Control of Mergers
Introduction Merger control is a particularly political area, principally due to divergent beliefs as to the merits of mergers and the contrasting analyses of the likely economic outcomes of proposed individual merger arrangements. In this context the term ‘merger’ connotes a welcome, uncontested, union, but it applies equally to a hostile takeover. The intricacies of both EU and UK merger control ensure that the respective controls also apply to wider situations than the commonly understood full legal merger. The principal focus of merger control concerns the potential competitive consequences that may arise as a result of the increased concentration in a market caused by a merger. However, other policies and interests may also have a role to play, such as industrial and employment policy or national ownership of industry.