DRAFT LAW TO OPTIMIZE ANTIMONOPOLY CONTROL OF SMALL AND MEDIUM-SIZED BUSINESSES

The proposed amendments will raise the threshold of the antimonopoly control from 400 to 800 million rubles

To implement the instructions of the President of the Russian Federation and the Government of Russia, the FAS Russia has worked out the amendments to the legislation, under which a company cannot be recognized as a dominant economic entity if its annual revenue does not exceed 800 million rubles.

The document also establishes that whenever the amount of the merger-acquisition transaction does not exceed 800 million rubles, such a transaction will not require the approval of an antimonopoly body.

Amendments designed to raise the threshold of antimonopoly legislation will be made to the Law on Protection of Competition and the Law on Trade.

The FAS estimates that a change in the thresholds for companies from 400 to 800 million rubles will reduce bureaucratic costs for small and medium-sized businesses and foster competition. In addition, all the mechanisms increasing the effectiveness of the existing FAS tools for combating cartels will be maintained.

The FAS Russia has submitted the draft law to the federal authorities for approval.