PUBLICATIONS

This study analyzes the merger control in Portugal. A concentration is the legal combination of two or more undertakings, by the merger between two or more undertakings or by the control acquisition, directly or indirectly, of the whole or parts of one or several other companies.

While such operations may have a positive impact on the market, they may also appreciably restrict competition, by creating or strengthening a dominant position of a player in the national market or in a substantial part of it.

In order to preclude restrictions to competition in the national market, Law 18/2003, of 11 July 2003, as amended by Law 52/2008, of 28 August (the "Competition Law"), establishes several merger control measures. Among these measures, the obligation to give prior notice to the Portuguese competition authority (Autoridade da Concorrência - the "Competition Authority") constitutes a precautionary measure of merger control.

On the other hand, in order to prevent the risk of competition restrictions, the Competition Authority exercises control over planned concentrations with a national dimension and may authorize them subject to conditions or forbid them.

Lastly, the Competition Authority may apply fines to the undertakings that execute mergers which have been suspended or prohibited by the Competition Authority. In these cases, the maximum amount of the fine could be 10% of the aggregate annual turnover of the associated undertakings that have engaged in the prohibited behaviour.