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ARTICLE · 05 MARCH 2014

CADE Launches Three Public Hearings On Drafts Of New Resolutions

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The Administrative Council for Economic Defense has launched 3 public hearings on drafts of new resolutions.

BrazilAntitrust/Competition Law

The Administrative Council for Economic Defense ("CADE") has launched 3 (three) public hearings on drafts of new resolutions.

Public Hearing No. 1/2014 refers to the draft of a new resolution that, if approved, will amend CADE's resolution No. 2/2012 with respect to: (i) definition of economic group applicable to investment funds; and (ii) notification of transactions related to acquisition of convertible debentures.

Currently, CADE's resolution No. 2/2012 determines that, in case of investment funds, the economic group is understood as comprising: (i) investment funds whose portfolios are managed by the same entity; (ii) their portfolio managers; (iii) investors holding an interest of 20 percent or more in at least one of the funds; and (iv) companies in which the funds directly or indirectly hold more than 20 percent of the total or voting capital stock. According to the proposed wording of the amendment, the definition of economic group will be broader and will

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