merger clearance

Merger clearance is the approval process that companies must undergo before combining through a merger or acquisition. Regulatory agencies, like the Federal Trade Commission or the Department of Justice in the U.S., review the proposed merger to ensure it won't reduce competition, harm consumers, or lead to monopolies. The companies provide information about their operations, and regulators analyze whether the merger might create unfair market dominance. If approved, the merger can proceed; if not, adjustments or cancellations may be required. This process helps maintain fair competition and protect consumer interests in the marketplace.