Merger Remedies: The Fix Is In (Again)

The antitrust enforcement regimes in the United States, the United Kingdom, and the European Union are in various stages of political turnover. Fortunately for merging parties, one of the emerging priorities for antitrust enforcers in these jurisdictions has been merger remedies.

Background on Merger Remedies

Remedies allow merger parties to proceed with a transaction by "fixing" any aspects of the transaction that could allegedly harm competition. Proposing a successful remedy can be critical to minimizing delays for the deal timeline.

Structural or Behavioral? Remedies can be structural or behavioral. Structural remedies typically divest overlapping assets to a third party ("divestiture buyer") and aim to maintain competition in the market. Regulators historically favor structural remedies that are relatively easy to implement and require limited oversight from the regulator post transaction. In judging potential remedies, regulators may look for (1)