Cofece imposes a fine of almost 1.9 million pesos on Invex and Neology

The fined economic agents are: Banco Invex, SA, Institución de Banca Múltiple, INVEX Grupo Financiero, exclusively in its capacity as trustee of the Irrevocable Trust for the Issuance of Development Trust Stock Certificates No. 2695 (2695); Banco Invex, SA, Institución de Banca Múltiple, INVEX Grupo Financiero, exclusively in its capacity as trustee of the Irrevocable Management Trust number F/3436 (3436); Neology Inc. (Neology USA); Neology, S. de RL de CV (Neology mx) and a natural person, detailed Cofece in a statement

The sanctions, details the commission, were imposed because at the time, Invex, its subsidiaries and the natural person requested the authorization of a concentration, consisting of the acquisition or subscription by Investor Trusts 2695 and 3436 of a portion of the capital stock of Neology mx, owned by Neology USA, in association with Controles Electromecánicos, SA de CV

After the operation, the investment trusts were associated with a natural person and Neology USA, in a different way to what had been proposed in the notified operation and as authorized by the Cofece Plenary.

The concentration exceeded the thresholds established in the federal competition law, as it was mandatory to notify the operation prior to its completion.

By not complying with the notification, Cofece was unable to analyze in a timely and preventive manner the impact and risk that said concentration could generate in competition and free market access.

Sanctioned economic agents have the right to go to the Judicial Power of the Federation to review the legality of Cofece’s actions.