An acquisition between competitors may be scrutinised by the French Competition Authority even where none of the mandatory filing thresholds are met. Decision No. 26-D-10 of 22 October 2026 provides the first illustration of this approach in France.
A deal below the thresholds can still be examined
A concentration arises whenever one company acquires control of another, whether through the purchase of shares or assets, a merger, or the creation of a joint venture. Where such transactions reach a certain size, they may harm competition on a market. This is why competition law provides for prior review: the companies involved calculate their turnover, check whether the applicable thresholds are met, and notify the transaction to the Competition Authority before closing. The Authority then assesses whether the deal risks harming competition and may clear it, clear it subject to conditions, or prohibit it.
Since 1 September 2026, the general French thresholds require, in particular, a combined worldwide turnover of all parties exceeding EUR 250 million and turnover in France exceeding EUR 80 million for at least two of the parties.
Where these thresholds are not met, the transaction is not subject to mandatory prior notification under French merger control. That does not mean, however, that it is beyond all scrutiny. The Competition Authority may still examine its effects under the rules prohibiting anti-competitive conduct.
This is precisely what it has just done in a case concerning the treatment of infectious healthcare waste, known in France as DASRI.
The case at hand
In 2020, Drapkoc acquired Point Net, a competing company active in the treatment of DASRI on the island of La Réunion. The deal had not been notified, as the filing thresholds were not met.
Following the acquisition, the combined entity became the only operator capable of treating DASRI in the territory concerned. It also held over 80 % of the market for their collection and transport.
The Competition Authority found, on an ex post basis, that the transfer agreement concluded between the parties could be assessed under Article L. 420-1 of the French Commercial Code (which prohibits anti-competitive agreements). It concluded that the transaction had eliminated competition on the treatment market and created a situation of dependency on the collection and transport market. It imposed a fine of one euro on each party, given the unprecedented nature of its decision.
The amount is symbolic, but the principle is new: a transaction that was not subject to mandatory notification can be sanctioned after completion if its effects harm competition.
An approach already endorsed by the CJEU
The decision follows the line set by the Towercast judgment delivered by the Court of Justice of the European Union on 16 March 2023. In that case, an already dominant company had acquired a competitor without meeting the notification thresholds. The Court held that such a transaction could nevertheless be examined after completion, on the basis of the prohibition of abuse of a dominant position under EU law.
The risk depends on market structure
The risk is particularly acute where the acquisition eliminates the last active competitor, confers control over an indispensable resource, or creates lasting dependency for customers or rivals. It can arise on any local or specialised market.
The competition law assessment must therefore address two separate questions: are the thresholds met? And what competition will remain after the deal? This analysis should be documented before signing. Care should also be taken with internal language: describing the target as the “last competitor” or the “only alternative” could backfire on the parties if the Authority opens an investigation.
Although the facts of this case took place on La Réunion, the same scenario could unfold anywhere an acquisition leaves a single operator in control of a resource or service with no credible competitor in sight. The thresholds determine the obligation to file; they no longer determine, on their own, the competition risk.