Compliance interpretation of request for premerger clearance: Bankruptcy imminent
73 F.T.C. 1304 · Sept. 1, 1966 · Digest No. 184
source volume section (73 F.T.C. 1304)
Text is machine-OCR of the printed volume and may contain errors. Advisory opinions are the Commission's views on proposed conduct, not binding orders.
No. 184. Compliance interpretation of request for premerger clearance: Bankruptcy imminent.
The Commission issued an opinion September 1, 1966, in connection with a request for advice as to whether a proposed merger, if consummated, would be in violation of an outstanding order prohibiting the acquiring company from making certain acquisitions. small processor of food products applied for clearance of its proposed acquisition by a larger processor engaged in operations in the same general product line. The larger processor was, and is now subject to a Commission order prohibiting, among other matters, the making of certain acquisitions for a designated period of time without prior Commission approval.
The requesting processor "'as on the verge of bankruptcy and had made reasonable but unsuccessful attempts to locate another purchaser within the industrv.
The Commission advised that, in reliance on the information and data supplied, it would approve the request lor clea.rance of the proposed acquisition. (File No. D-6651, released Feb. 13, 1968. ) (Opinion issued under authority of Section 3.61 (c) of the Commission s Rules of Practice (1967).