Introducing the Deal Value Threshold (DVT) under the Competition Amendment Act 2023 brings India’s merger regulation in line with global standards. This new provision, effective September 10, 2024, will significantly impact Mergers and Acquisitions (M&As), particularly in the digital and emerging sectors.
DVT applies to deals exceeding Rs 2,000 crore or where the target company has substantial business operations in India. It aims to capture M&A deals in digital markets, where traditional thresholds may fall short. India now joins the ranks of US, Germany, Austria, and South Korea, which have successfully implemented similar thresholds. This is a critical step forward in ensuring a competitive and fair marketplace, especially in data-driven industries.
Stay tuned as the CCI rolls out further regulations to guide this groundbreaking change!
To delve into the specifics, please review the information provided in the following link :