The European Banking Authority has published final draft regulatory and implementing technical standards for material acquisitions, transfers of assets or liabilities, mergers and divisions involving credit institutions and financial or mixed financial holding companies under the Capital Requirements Directive. The package sets harmonised minimum information for notifications, a common prudential assessment methodology for material acquisitions, mergers and divisions, and common procedures for cooperation between supervisory authorities, with the aim of reducing national fragmentation and clarifying how prudentially material transactions will be reviewed across the European Union. A central feature is proportionality. Institutions will not need to resubmit information already held by supervisors, and merger and division notifications can rely on documentation prepared under the Company Law Directive. Information requirements are reduced for intra-group transactions, and competent authorities must inform applicants without undue delay if they decide not to assess certain intra-group acquisitions or mergers where the CRD allows discretion. The framework also introduces simplified treatment for smaller mergers and divisions, including cases where the entity being merged has total assets of EUR 1 billion or less or where combined assets are EUR 5 billion or less. For material acquisitions, the standards clarify how to calculate the materiality threshold and require acquisitions completed within 12 months to be aggregated to prevent fragmentation. For material transfers, the standards focus on notification requirements rather than a prudential assessment and differentiate between the information expected from the transferor and transferee. The ITS also set common consultation mechanics, including designated contact points, standard forms and timelines, and a joint decision process for certain acquisitions that trigger review at both individual and consolidated levels. The draft standards will now be submitted to the European Commission for endorsement. The regulatory technical standards will then be subject to scrutiny by the European Parliament and the Council before publication in the Official Journal of the European Union.
European Banking Authority2026-07-17
European Banking Authority publishes final technical standards on material acquisitions transfers mergers and divisions, with simplified regimes for intra-group and smaller transactions
The European Banking Authority has issued final draft standards for material acquisitions, asset or liability transfers, mergers and divisions under the Capital Requirements Directive. The package harmonises notification and assessment requirements and introduces proportionality measures, including lighter regimes for intra-group transactions and some smaller mergers and divisions. The drafts now go to the European Commission for endorsement.