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1 Minute read

Merger Control in Defense Sector: Changes

Legal updates
May 15, 2024
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home - Legal updates - Merger Control in Defense Sector: Changes

Ukraine has enacted a law (No 3613-ІХ) that introduces exemptions from the necessity of merger clearance for transactions falling within the following parameters:

Transaction Location: The exemption applies to transactions conducted outside of Ukraine.

Purpose of Transaction: Transactions must involve the development and implementation of technologies, as well as the production of military and dual-use goods within Ukraine.

Recipient: The ultimate recipients of the technologies and goods must be the Armed Forces of Ukraine or other relevant bodies engaged in defense and counter-terrorism efforts, including law enforcement agencies.

Territoriality of Production: Technologies and goods are not developed or produced within the territory of Ukraine, or their current production is insufficient to meet the defense capabilities of the state.Acquirer’s Activity: The acquiring entity must be engaged in activities within markets concerning the production, sale, or purchase of products, services, or technologies for military or dual-use goods.

Duration of Exemption: This exemption will remain effective for the duration of martial law and for an additional 90 days following the cessation of martial law or cancellation.

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Related expertise:
Competition
For more information, please contact an imagine Lawyers`s specialist:
Galyna Zagorodniuk

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