FCCPC strengthens merger regulations and partners with Lagos consumer protection agency

The Federal Competition and Consumer Protection Commission FCCPC has issued a warning to companies and legal advisers against completing mergers and acquisitions without prior approval. The commission stated that transactions meeting prescribed thresholds under the Federal Competition and Consumer Protection Act 2018 must be notified and cleared before implementation, with non-compliance attracting sanctions. This obligation applies to various business combinations, including acquisitions of shares and assets, joint ventures, and other arrangements defined as mergers. The FCCPC emphasized that the notification regime is crucial for assessing whether proposed transactions could prevent or lessen competition in Nigerian markets or raise public interest concerns. Businesses are advised to engage early in the transaction lifecycle, including pre-notification consultations, to ensure regulatory certainty and compliance, as failure to notify a notifiable transaction will result in stiff penalties. This warning comes amidst increased dealmaking activity in Nigeria. In a separate development, the FCCPC signed a Memorandum of Understanding MoU with the Lagos State Consumer Protection Agency LASCOPA to enhance consumer protection nationwide. Tunji Bello, the Executive Vice Chairman of the FCCPC, stated that the partnership aims to decentralize consumer protection and accelerate complaint resolution, as many consumer disputes are local and require rapid intervention at the state level.