The 2021 updates to the merger thresholds under Canada s
Competition Act and
for the first time ,
the
Competition Act s size-of target threshold
decreased by C$3 million to C$93 million.
Competition Act
The
Competition Act requires advance notification of
certain merger transactions involving operating businesses in
Canada where size-of-parties and size-of-target financial tests both are exceeded:
The size-of-target test
requires that the value of assets in Canada to be acquired, or
owned by the corporation the shares of which are being acquired, or
the annual gross revenue from sales in or from Canada generated by
those Canadian assets, exceeds a specified threshold. The