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Mexico: COFECE slaps “gun jumping” fine on Banco Ve por Más and Bankaool, but clears merger

 |  January 22, 2019

Mexico´s Federal Commission for Economic Competition (COFECE) has authorized the purchase operation between Banco Ve por Más (BX +) and Bankaool, where the former has acquired the credit rights of the latter, considering that the sale would have little chance of affecting free competition.

However, the authority also applied a fine, for $754,900 pesos (US$39,400 approximately) to each company as a result of having made the deal without first notifying the authorities, in what is known as “jumping the gun.”

The transaction, completed on December 1, 2017, had to be notified and authorized previously due to the amounts involved. However, it wasn’t until September 7, 2018 when the financial institutions notified the regulator.

Full Content: COFECE

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