MEXICO LAW AND PRACTICE Contributed by: Fernando Carreño, Sergio López, Michel Llorens, Andoni Garza and María García, Von Wobeser y Sierra
1. Legislation and Enforcing Authorities 1.1 Merger Control Legislation Main Legislation
criteria will be issued to align with the updated legal framework. 1.2 Legislation Relating to Particular Sectors There is no additional legislation specifically applicable to merger control in Mexico. How - ever, in the oil and gas industry, there are certain additional regulatory requirements when an eco - nomic agent owns or acquires a shareholding interest in companies active in different portions of the downstream segment. Also, the Foreign Investments Law requires that transactions related to certain restricted sectors or that meet the monetary thresholds must initi- ate an authorisation process. The law is very lax; however, only a few sectors are restricted and Pursuant to the constitutional amendment to Article 28 published on 20 December 2024, the structure of competition authorities in Mexico was fundamentally reorganised. Previously, two independent agencies were responsible for competition matters: the Federal Telecommuni - cations Institute, which oversaw transactions in the broadcast and telecommunications sectors, and COFECE, which supervised all other mar - kets. Depending on the relevant sectors involved and the existence of government concessions related to broadcasting and telecommunica - tions, certain transactions could require notifi - cation to both authorities. Following the amendment, the Federal Executive Branch, through a newly established authority, is now expected to be mandated to prevent, inves - tigate, and combat monopolies and anticompeti - tive practices, as well as other restrictions on the efficient functioning of markets, in accordance the monetary thresholds are high. 1.3 Enforcement Authorities
In Mexico, the relevant merger control legisla - tion is currently the Federal Economic Competi - tion Law (FECL) and its regulatory provisions. However, pursuant to the constitutional amend - ment to Article 28 published on 20 December 2024, a new legislative framework will be imple - mented. As part of this reform, a new compe - tition law is expected to be enacted between May and August 2025, which will replace, or at least substantially amend, the existing FECL and establish the detailed legal regime applicable to the authority and its functions, including merger control and investigative procedures (New Law). This report is based on the current Federal Eco - nomic Competition Law (FECL) and its applicable regulations, as the new competition law resulting from the constitutional reform of December 2024 has not yet been enacted. Therefore, all analysis and references contained herein reflect the legal framework currently applicable. Secondary Legislation The Federal Economic Competition Commission ( Comisión Federal de Competencia Económica , or COFECE) and the Federal Telecommunica - tions Institute ( Instituto Federal de Telecomuni- caciones , or IFT, and together with COFECE the “Authority”) have issued Guidelines for Notifica - tion of Concentrations and the Technical Criteria for the Calculation and Application of a Quanti - tative Index to Measure Market Concentration. However, as mentioned above, given that a New Law is expected to be enacted in May 2025, it is anticipated that new guidelines and technical
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