>> 10 Tips for Investing in Argentina

9. If antitrust issues are involved, check all approval-related risks before closing.

Antitrust laws subject economic concentrations in which the aggregate “business volume” in Argentina of the “acquiring group” and of the target company and its subsidiaries exceeds Pesos 200 million (subject to certain exceptions) to prior approval. However, as the approval procedure may usually take more than a year, deals are generally notified to antitrust authorities and closed before obtaining approval (but subject to it). As the authorities’ may finally mandate the reversion of the whole transaction or impose specific obligations (including divestures), the risk of non-approval shall be carefully considered before deciding whether to close without prior approval or establish it as a condition precedent to closing. As the final decision of the antitrust authorities is subject to review by the Secretary of Commerce, the political factor should be particularly taken into consideration.

volver atrás