Carey Advised The Walt Disney Company (TWDC) on the Mandatory Merger Control Procedure before the National Economic Prosecutor (FNE) Regarding the Global Acquisition of Twenty-First Century Fox (21CF) for USD71.3 Billion
April, 2019 - Santiago, Chile
Carey advised The Walt Disney Company (TWDC) on the mandatory merger control procedure before the National Economic Prosecutor (FNE) regarding the global acquisition of Twenty-First Century Fox (21CF) for USD71.3 billion, including film and television studios and international cable and television businesses, which closed subject to behavioral remedies.
It was a worldwide transaction that involved two of the biggest players in the industry, and which required notifications across multiple jurisdictions. Given the existence of horizontal overlaps between the parties, the FNE analyzed the need for remedies.
Considering the specific situation of the Chilean market, the FNE approved the transaction subject to behavioral remedies, taking a different stand to the competition agencies from Brazil and Mexico, where the parties were requested to divest 21CF’s sports channels.
The remedies offered by the parties were aimed to respond to the main risk identified by the FNE during its investigation, that is, the increase of negotiating power that TWDC would supposedly have after the transaction on the operation and wholesale supply of Pay-TV channels.
Carey advised The Walt Disney Company through a team led by partner Claudio Lizana and associates Felipe Hepner and Paulina Espinoza.
