News
Columnist questions wisdom of FTC challenge to CSL's attempt to acquire Talecris Biotherapeutics
By Stephen Bartholomeusz
Commentary in Business Spectator, Australia
The US Federal Trade Commission’s decision to challenge CSL’s proposed $3.5 billion acquisition of Talecris Biotherapeutics is based on an unusual premise that will attract the attention of the Australian Competition and Consumer Commission (ACCC).
The reduction in the number of competitors, the FTC argues, would cause anti-competitive harm by making “co-ordinated interaction” even more likely.
Co-ordinated interaction doesn’t appear to involve actual illegal collusion – cartel-like behaviour – but rather an informal, uncoordinated understanding by competitors that it is in everyone’s interests not to compete too hard.
