8811001 Informal Interpretation

us-ftc-hsr-informal-interpretations-30f7f764c4111797828fe76b6f6fabfe8811001 Informal InterpretationGuidance

Date
Rule
801.11(e)
Staff
Richard Smith
Response/Comments
11/4 called (redacted) and advised that no filing is required.

Question

(redacted)

November 1, 1988

Premerger Notification Office
Bureau of Competition
Federal Trade Commission
600 Pennsylvania Avenue, NW, Room 303
Washington, D.C. 20580

Re:

Dear Mr. Smith:

As a follow-up to our telephone conversation of October 27, 1988, I would like to request a written confirmation regarding the necessity of filing premerger notification documents with your office as required by the Hart-Scott-Rodino Antitrust Improvements Act.

The deal consists of two separate transactions. The first is well below any threshold: the purchase of two (redacted) by three individuals for $3 million dollars. The second is a bit more complex, but according to our conversation, also will not require premerger notification filing. A new corporation, organized for this acquisition, will purchase two (redacted) for $22 million dollars. The purchasing corporation will receive 100% of the stock of the two (redacted) and will have no assets prior to that acquisition. There will be three shareholders, each owning one-third of the shares. These individuals are also shareholders in other sister corporations owning (redacted), but no individual has a controlling interest. There is no parent entity involved in this transaction.

For your convenience, I have provided a line below for your signature, acknowledging that there is no need to file the premerger documents to be in compliance with Hart-Scott-Rodino.

Thank you for your attention to this matter.

Very truly yours,

(Redacted)

The above-mentioned transaction does not meet the requirements as set forth in 15 U.S.C. Section 18a, and thus, it is not necessary to file premerger documents as required under the Hart-Scott-Rodino Antitrust Improvements Act.

____________________________________________________

Richard Smith Date
Compliance Division
Premerger Notification Office


cc: (redacted)


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