Comment: Synopsys-Ansys deal brings China's new filing thresholds into focus
By Yonnex Li ( January 25, 2024, 03:56 GMT | Comment) -- A $35 billion plan by Synopsys to buy simulation-software company Ansys has turned the spotlight on China's recently revised but undisclosed merger-filing thresholds. Ansys's Chinese revenue last year will be crucial to determining whether the deal avoids regulatory notification in China.A $35 billion plan by Synopsys to buy simulation-software company Ansys has turned the spotlight on China's recently revised merger-filing thresholds.It has also drawn attention to Ansys's China sales last year because the figure will be crucial to determining whether a filing is required with the State Administration for Market Regulation, or SAMR.On Dec. 29, China's State Council announced that it has adopted a set of revised filing thresholds, but without disclosing the details (see here). The cabinet also didn't mention when the change would come into force.While the finalized thresholds remain to be seen, some Chinese attorneys said they expect the requirements to be largely the same as those listed in a draft by SAMR in June 2022.The draft mandates notification if, in the previous financial year, the combined global turnover of the merging parties exceeded 12 billion yuan ($1.7 billion) — or their combined sales in China exceeded 4 billion yuan — with at least two of the entities each recording China turnover of more than 800 million yuan (see here)....
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