The rules have remained unchanged for nearly 10 years.
The Department of Justice announced on Friday that it would be updating its merger remedies guidelines. These rules determine how the Department would uphold and prosecute the antitrust laws that are on the books and could reshape many industries that are looking to have mega-mergers in the future.
Of the many changes, one of the biggest updates has to do with private equity firms that can be a good “divestiture buyer” of assets being sold in a merger. The release from the DOJ said, “in some cases, a private equity purchaser may be preferred.” This highlights that the DOJ would prefer companies to divest their assets to stay within compliance rather than promise to operate in a competition friendly way.
As the Lord Leads, Pray with Us…
- That God would lead the Justice Department to prevent corporations from gathering too much power.
- That the president’s administration would be led by God to cultivate strong economic growth while protecting the American people from monopolies.
Sources: Axios, Justice.gov, AP News
