On January 21, 2016, the Federal Trade Commission announced its annual revisions to the monetary thresholds of the Hart Scott Rodino Antitrust Improvements Act of 1976, as amended, (the “HSR Act”) and Section 8 of the Clayton Act.
The revised thresholds are expected to become effective in late February 2016, 30 days after the date of their publication in the Federal Register. These changes increase the dollar thresholds necessary to trigger the HSR Act’s premerger notification reporting requirements. The FTC also increased the thresholds for interlocking directorates under Section 8 of the Clayton Act.
The HSR Act requires parties to certain transactions to notify the Federal Trade Commission and Department of Justice, and to observe a waiting period prior to consummation. The HSR Act enables antitrust regulators to review transactions, investigate and address potential competitive concerns prior to consummation, and also carries with it monetary penalties for failure to comply.