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Taking control
The competitive implications of partial ownershipIf a company acquires a shareholding in a competitor, without taking full ownership, the transaction may nevertheless be subject to scrutiny by the competition authorities –somewhat counter-intuitively, the competitive effects may even be greater. In this bulletin, we explain the standard economic framework for assessing the competitive implications of partial ownership. Using the BSkyB/ITV merger case in the UK as an illustration, we go on to give some pointers to the treatment of future cases.
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