The Ontario Securities Commission has now issued final recognition orders regarding
the Maple Group's proposed acquisition of TMX Group, Alpha
Group and Canadian Depository Services.
Meanwhile, the Commissioner of Competition has also issued a
"no-action letter" to Maple Group in respect of its
proposed acquisition of TMX Group, Alpha Group and Canadian
Depository Services. The Competition Bureau's review of the
Maple / TMX transaction was extensive. Maple Group (whose investors
are Alberta Investment Management Corporation, Caisse de
dépôt et placement du Québec, Canada Pension
Plan Investment Board, CIBC World Markets Inc., Desjardins
Financial Group, Dundee Capital Markets Inc., Fonds de
solidarité des travailleurs du Québec (F.T.Q.),
National Bank Financial & Co. Inc., Ontario Teachers'
Pension Plan, Scotia Capital Inc., TD Securities Inc. and The
Manufacturers Life Insurance Company) announced on May 15, 2011, in the midst of the
failed bid by the TSX to merge with the LSE,
that the Group had submitted a proposal to acquire the TMX Group.
Maple filed an application for an advance ruling certificate on
June 7, 2011. The transaction was therefore under active
Competition Bureau review for a period of some 13 months.
The Commissioner stated in a press release that "the
measures contained in the OSC's final recognition orders
materially change the regulatory environment sufficient to
substantially mitigate the Bureau's competition concerns"
thereby addressing the serious competition concerns that the Bureau
had previously communicated to Maple in two areas: equities
trading, and post-trade services, including clearing, settlement
and depository services.
Notably, there is no consent agreement under the Competition Act in respect of the
proposed transaction, with the result that beyond the standard
one-year period after closing within which the Commissioner may
challenge a transaction on the grounds that it substantially
lessens or prevents competition, there will be no ongoing
monitoring or enforcement of any competition law remedy. Such
ongoing monitoring and regulation will instead fall to the OSC and
other securities law regulators.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
Register for Access and our Free Biweekly Alert for
This service is completely free. Access 250,000 archived articles from 100+ countries and get a personalised email twice a week covering developments (and yes, our lawyers like to think you’ve read our Disclaimer).