Description

Implemented Decree No. 75/2019/ND-CP including merger control regulation

On 26 September 2019, Decree No. 75/2019/ND-CP entered into force. The regulation is applicable to all economic sectors and is designed to regulate and monitor mergers and acquisitions that may potentially result in a reduction of market competition. The regulation delineates the procedures and requirements for merger notifications and assessments. In particular, enterprises that engage in mergers, consolidations, acquisitions, or joint ventures without the requisite authorisation are liable to pay fines amounting to between 1% and 5% of their total turnover from the relevant market in the financial year preceding the commission of the offence. To illustrate, both the acquiring and acquired companies in prohibited acquisitions are liable to substantial fines based on their annual market turnover. The regulatory measures include the mandatory division of the merged entities and forced sale of the acquired assets. Additionally, the merged entities may be required to operate under the strict control of the relevant regulatory authority, particularly with regard to pricing and other contract terms. Failure to notify the relevant regulatory authority of planned economic concentrations may result in the imposition of fines and the revocation of enterprise registration certificates.

Original source

Scope

Policy Area
Competition
Policy Instrument
Merger control regulation
Regulated Economic Activity
cross-cutting
Implementation Level
national
Government Branch
executive
Government Body
central government

Complete timeline of this policy change

Hide details
2019-09-26
adopted

On 26 September 2019, the Government of Vietnam adopted Decree No. 75/2019/ND-CP. The regulation is…

2019-12-12
in force

On 26 September 2019, Decree No. 75/2019/ND-CP entered into force. The regulation is applicable to …

We use cookies and other technologies to perform analytics on our website. By opting in, you consent to the use by us and our third-party partners of cookies and data gathered from your use of our platform. See our Privacy Policy to learn more about the use of data and your rights.