Following a controversial process, Chile’s Tribunal for the Defense of Free Competition (TDLC) approved the sale of 24% of shares in the SQM mining company to its Chinese counterpart Tianqi, in what would be the largest business operation of the year for the South American country.
The TDLC approved the out-of-court settlement that Tianqi had reached with the National Economic Prosecutor’s Office (FNE) to approve the purchase of 24% of the company, previously in the hands of Canadian mining company Nutrien. The agreement was valued at more than US$4 billion.
The court determined that the measures established to protect free competition in the global lithium market are sufficient. The operation had been revised due to the possibility of “generating anti-competitive effects” in the Chilean market. The purchase will allow Tianqi to control almost 26% of SQM, raising initial concerns over risks related to possible coordination effects among economic agents.
Among the commitments that Tianqi assumes to appease the FNE, notable steps include Tianqi’s directors or employees being barred from taking part in the SQM board of directors, nor will its directors be able to influence the interests of the second, neither may they form or participate in committees, in the administration, or other instances of decision-making related to the lithium market involving SQM.
Full Content: La Tercera
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Apple Pushes Back Against UK Regulator’s Proposed Browser Market Remedies
Feb 20, 2025 by
CPI
FTC Seeks Public Input on Alleged Censoring by Big Tech
Feb 20, 2025 by
CPI
Aviv Nevo Rejoins Cornerstone Research as Expert in Antitrust and Competition Policy
Feb 20, 2025 by
CPI
Sen. Elizabeth Warren Calls for DOJ Scrutiny of Disney-Fubo Deal Over Antitrust Concerns
Feb 20, 2025 by
CPI
EU Approves €920 Million German State Aid for Infineon Semiconductor Plant
Feb 20, 2025 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Supply Chains
Feb 20, 2025 by
CPI
Antitrust and the Supply Chain: Protecting the Power of the Markets
Feb 20, 2025 by
Robert Handfield
Understanding Category Captain Power: Insights for Competition Policy and Antitrust Law
Feb 20, 2025 by
Gregory Gundlach & Riley Krotz
Supply Chain Risks and Vertical Merger Enforcement
Feb 20, 2025 by
Kate E. Gehl, Ellen Matheson & Anna Busse
Aligning Trade and Competition in Global Tech-Based Value Chains
Feb 20, 2025 by
Oscar Borgogno