CHILE Law and Practice Contributed by: Francisca Levin, Benjamín Torres, María Paz Dulanto and Antonia Silva, Cuatrecasas
Cuatrecasas Avenida Nueva Costanera 3300, Oficina 41, Vitacura, Santiago, Chile Tel: +56 2 2889 9900 Email: lorena.guardia@cuatrecasas.com Web: www.cuatrecasas.com
1. Legislation and Enforcing Authorities 1.1 Merger Control Legislation Key Chilean Merger Control Legislation • Title IV of Decree Law No. 211 (“DL 211”), which establishes the mechanism for preventive and mandatory merger control; • Decree No. 41/2021 of the Ministry of Economy, Development and Tourism, which establishes the Regulation on the Notification of Concentrations (“Merger Regulation”); and • FNE Exempt Resolution No. 157 of 25 March 2019, which sets the jurisdictional thresholds effective from this date. FNE Guidelines, Forms and Instructions • Guidelines on Jurisdiction (2017); • Guidelines on Threshold Interpretation (2019); • Guidelines on Remedies (2017); • Guidelines on Horizontal Mergers (2022); • Notification Form (2021); • Instructions on Pre-Notifications (2021); and • Instructions for actions prior to the initiation of a potential investigation based on a complaint or ex officio (2026). 1.2 Legislation Relating to Particular Sectors Relevant Legislation for Foreign Investments Currently, Chile does not have in place either a for - eign direct investment (FDI) screening regime or for - eign subsidies legislation that evaluates cross-border investments. In other words, there are no require - ments or separate filings beyond those required under the Chilean merger control rules for foreign investment
specifically, as explained in 9. Foreign Direct Invest- ment/Subsidies Review . Foreign investment is generally implemented without ex ante approval and is subject only to post-closing registration formalities before the Central Bank of Chile, for statistical and administrative purposes, pursuant to Law No. 20,848 on the Framework for Foreign Investment in Chile. In particular, foreign capital inflows (including credit operations, depos - its, investments and capital contributions) exceeding USD10,000 must be channelled through the formal foreign exchange market and are subject to reporting obligations by the relevant financial intermediaries, according to the Chapter XIV of the Compendium of Foreign Exchange Regulations. However, Chilean law contains limited restrictions that apply specifically to foreign investors in certain cases. In particular, under Decree Law No. 1,939 of 1977, nationals of neighbouring countries (Argentina, Bolivia and Peru), as well as entities incorporated in those jurisdictions or controlled by their nationals above a certain threshold, are prohibited from acquiring own - ership, other real rights or possession of real estate located in designated border zones. In addition, Chilean law does contain industry-specific regulatory requirements that apply to both domestic and foreign companies. Sector-Specific Regulatory Requirements In specific industries, certain ownership structures or changes of control are subject to prior authorisation
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