Merger Control In Russia

Article by Anton Sitnikov and Matvey Kaploukhiy

Originally published in The Moscow Times, 13.03.07

On Oct. 26, 2006 a new antimonopoly law – Federal Law No. 135-FZ of 26 July 2006 "On Protection of Competition" – came into force in Russia. The law that it replaces was enacted more than 15 years ago and, despite numerous amendments, was hardly able to continue regulating the actively emerging Russian market.

The new law establishes procedures for notification and prior clearance with antimonopoly authorities for corporate reorganizations and transactions aimed at acquiring major blocks of shares or ownership interest in business entities or significant portions of their assets. Some aspects of merger control are also covered by other federal laws, international treaties, regulatory acts and other subordinate legislation.