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Brazil’s Antitrust Watchdog Expected to Approve Pet Retail Merger Without Conditions

By  |  May 20, 2025

Brazil’s top antitrust authority, Cade, is poised to grant unconditional approval to a proposed merger between leading pet product retailers Cobasi and Petz, according to a report by Brazil Journal cited by Reuters. The decision, anticipated later this week, would clear the path for the two largest pet supply chains in the country to join forces.

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    As reported by Reuters, the deal involves a combination of cash and share swaps and was first made public in April of last year. The transaction is expected to consolidate the companies’ operations but still result in a relatively modest market share overall—one of the main reasons approval is likely to proceed without restrictions, according to Brazil Journal.

    If granted, Cade’s approval would not be final until a 15-day window for potential appeals has passed. Should any objections arise, the matter could then be reviewed by a specialized internal panel within the agency, Reuters noted.

    Neither Cade nor the two companies involved—Petz and Cobasi—offered immediate comment when contacted outside regular business hours, per Reuters.

    Related: Brazil Poised to Update Antitrust Merger Reporting Thresholds

    In related news, Brazil’s Ministry of Finance and Ministry of Justice and Public Security are expected to announce an update to the revenue thresholds that determine whether companies must notify the Administrative Council for Economic Defense (CADE) of mergers and acquisitions. According to a statement from sources familiar with the matter, the revision is aimed at alleviating CADE’s workload and allowing it to focus more on regulating big tech companies.

    Under current antitrust regulations, companies must report deals if at least one party had revenues of R$750 million and the other at least R$75 million in the previous fiscal year. However, according to people involved in the discussions, these thresholds are likely to be increased to R$1 billion and R$200 million or potentially even higher.

    Source: Reuters