New Zealand: Closed consultation on Review of the Commerce Act 1986 including merger control regulation

On 7 February 2025, the Ministry of Business, Innovation, and Employment closes the public consultation on the review of the current merger control regulations established by the Commerce Act 1986. The proposed reforms include refining the "substantial lessening of competition test" by explicitly considering “creeping acquisitions” and nascent competition threats. For partial acquisitions, reforms suggest defining a "substantial degree of influence" with explicit criteria such as veto rights to improve predictability. To reduce uncertainty, the scope of “assets of a business” could be clarified by simplifying terminology or providing detailed definitions. For mergers outside the clearance process, options include granting the Commission powers to pause or investigate non-notified mergers, such as through a "call-in" or mandatory notification for specific companies. Lastly, the proposed reforms include measures on allowing behavioral commitments to address post-merger competition concerns.