MEXICO CITY, Feb 20 (Reuters) - Mexico's National Antitrust Commission $(CAN)$ on Friday blocked Visa's planned 51% acquisition of payment processor Prosa, marking the first major assertion of authority by the country's new competition watchdog.
The watchdog found the merger would eliminate a direct competitor, as Visa already operates its own processing services with significant market reach.
Regulators said the deal would grant Visa access to sensitive transactional data, creating an unfair advantage over other market participants.
Prosa is currently owned by a consortium of Mexican banks, including Banorte, HSBC, Santander, and Scotiabank.
The decision marks the first show of strength by the CNA since Mexico's Congress scrapped the previous autonomous regulator, Cofece, in late 2024.
Observers are now awaiting the CNA's decision on a separate proposed merger between Mexico's two leading low-cost airlines.
(Reporting by Raul Cortes and Natalia Siniawski)
((natalia.siniawski@thomsonreuters.com;))
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