Review №8 of Brazilian Antitrust News from the Experts of the BRICS Competition Centre
- CADE approved the B3’s purchase of a stake in a competitor against the recommendation of its technical staff
- CADE’s General Superintendence approved American Airlines’ entry into Azul’s capital
- The authority recommended convicting Bayer and Monsanto over practices in the soybean seed market
- The Tribunal extended the investigation into 99Food and denied Keeta’s request for a preventive measure
- The regulator upheld the Equatorial group’s entry into the capital of water utility Copasa
CADE approved the B3’s purchase of a stake in a competitor against the recommendation of its technical staff
At its session on September 2, the CADE Tribunal approved the acquisition by exchange operator B3 of 60% of the capital of the Central de Registro de Direitos Creditórios (CRDC). Before the deal, the company was wholly owned by the São Paulo Commercial Association (ACSP). The approval was granted subject to a Merger Control Agreement (ACC). In May, CADE’s General Superintendence had recommended rejecting the deal.
The rapporteur agreed with the findings of the General Superintendence and of CADE’s Department of Economic Studies that the transaction could pose risks to competition in the already concentrated markets for the registration of paper-based receivables, bank credit notes (CCBs), and rural product notes (CPRs), as well as in the emerging market for the registration of electronic receivables.
In addition to the share purchase, the parties signed a partnership agreement to jointly develop the credit solutions market.
The agreement sets out several categories of obligations. Until the end of 2029, B3 will not be able to acquire stakes in competing institutions in the relevant markets if the deal would give it more than 20% of the competitor’s capital. Until the end of 2030, the company must notify CADE of any transactions with competitors or registrars, even if the applicable revenue thresholds are not met. Other conditions concern transparency, an objective commercial policy, a ban on tied sales and cross-subsidization, and requirements for technical interoperability of systems.
Source: CADE
CADE’s General Superintendence approved American Airlines’ entry into Azul’s capital
CADE’s General Superintendence came out in favor of unconditionally approving the deal under which American Airlines is acquiring roughly 8% of the capital of Brazilian airline Azul. The transaction is taking place as part of Azul’s financial restructuring. The authority found no risks to competition in the markets for passenger and cargo air transport between Brazil and the United States.
The review covered overlaps on routes from São Paulo and Rio de Janeiro to Miami and Orlando. In the authority’s assessment, the market remains subject to competition from Latam, Gol, Copa, Avianca, and Delta, and the deal itself neither merges the companies nor removes a competitor from the market. The safeguards adopted by the parties were found sufficient to rule out the exchange of competitively sensitive information. In CADE’s assessment, American Airlines’ investment strengthens Azul’s ability to compete in the domestic market. The decision will become final if, within 15 days, no Tribunal member calls for a review of the case and no appeal is filed by a third party.
Source: CADE
The authority recommended convicting Bayer and Monsanto over practices in the soybean seed market
CADE’s General Superintendence recommended convicting Monsanto Company, Monsanto do Brasil, Bayer Aktiengesellschaft, and Bayer S.A. for anticompetitive practices in the soybean seed procurement market. The investigation began in January 2018, prompted by complaints filed during the review of Bayer’s acquisition of Monsanto.
Two practices were at the center of the case. The first involved incentives for plant breeders that encouraged them to work with the patented Intacta RR2 PRO biotechnology at the expense of comparable non-patented technologies. The second was the Monsoy Multiplica discount program for seed-multiplying farms. In the authority’s assessment, both practices raised barriers to entry and made it harder for competitors to develop in markets that are key to Brazil’s agribusiness sector.
The authority also examined the practice of requiring seed-multiplying companies to purchase a minimum volume of parent seed from the patent-holding companies. On this point, however, the case was closed for lack of evidence. A final decision will be issued by the CADE Tribunal.
Source: CADE
The Tribunal extended the investigation into 99Food and denied Keeta’s request for a preventive measure
The CADE Tribunal ordered the investigation into the terms that food delivery service 99Food includes in its contracts with restaurants to continue, while at the same time denying platform Keeta’s request for a preventive measure. The case was opened in March 2026 following a complaint from Keeta, which claimed that 99Food restricts restaurants’ ability to work with competing services, in some cases tying this to financial incentives.
In June, the General Superintendence closed the investigation, but the Tribunal called in the case for review. The rapporteur and CADE’s acting president, Diogo Thomson de Andrade, found the evidence gathered insufficient for a final conclusion. The authority still needs to determine how the disputed terms affect restaurants and their ability to work with several platforms at once, examine the duration, scope, and penalties across different types of contracts, and update its assessment of the market’s structure in light of Keeta’s entry, 99Food’s return, and the positions of competitors such as iFood and Rappi. The terms of the settlement CADE previously reached with iFood will be taken into account, as will documents submitted by 99Food concerning similar terms in Keeta’s own contracts.
The Tribunal agreed to hear Keeta’s appeal. On the merits, however, the regulator has so far found no grounds for a preventive measure.
Source: CADE
The regulator upheld the Equatorial group’s entry into the capital of water utility Copasa
The CADE Tribunal upheld its approval of the deal under which Gerais Saneamento, part of the Equatorial group, is acquiring 30% of the capital of Copasa, the state-owned water utility of Minas Gerais. An appeal by the state’s water workers’ union (Sindágua-MG) was rejected.
The union had sought to have the deal reviewed under the standard, more extensive procedure rather than the summary one, arguing that the initial review lacked sufficient depth. The Tribunal found these arguments unconvincing and upheld the unconditional approval.
Source: CADE
