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FTC Updates Guidance on Premerger Due Diligence and Negotiations (Sharing But Not Oversharing)

The Federal Trade Commission (FTC) recently issued guidance on information sharing while conducting premerger negotiations and due diligence. The FTC is warning companies to employ additional, specific safeguards to competitively sensitive information (CSI) during premerger negotiations.

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The FTC is threatening to treat the inappropriate disclosure of CSI as so-called “gun jumping” (the term for premature integration, intermingling with, or exercise of control over the target, during the premerger waiting period) and impose significant penalties for non-compliance. Partners from V&E’s antitrust group will provide practical ways to minimize the risks during a premerger while still getting the deal done on time.

This presentation was recorded and current as of June 13, 2018. Content viewed after this date may no longer be current.

This information is provided by Vinson & Elkins LLP for educational and informational purposes only and is not intended, nor should it be construed, as legal advice.