CADE And Central Bank Of Brazil Approve Joint Normative Act

On December 5th, the Administrative Council of Economic Defense (CADE) and the Central Bank of Brazil (Bacen) approved the Joint Normative Act No. 1, which governs the procedures for efficient cooperation in merger control procedures involving financial institutions and in the investigations of anticompetitive conducts by financial institutions that are subject to the supervision of Bacen.

The Joint Normative Act No. 1 establishes that concentration acts involving financial institutions must be submitted to both Bacen and CADE for independent analysis. The Act also regulates the prudential aspects that could base Bacen's decisions to approve transactions involving a financial institution unilaterally when there are significant and imminent risks to the stability and solidity of the National Financial System (SFN).

The Act regulates the sharing of information and documents submitted by interested parties between...