Mergers play a critical role in Australia's economy, enabling businesses to achieve economies of scale that improve innovation and productivity - driving economic growth that benefits consumers and businesses.
Business Council Chief Executive Bran Black said the improved legislation is a step in the right direction compared to the original proposal.
"We know that over 90 per cent of mergers that are currently assessed by the ACCC are cleared, and in fact help drive better outcomes across our economy" Mr Black said.
That is why the Business Council advocated strongly on key measures, many of which are reflected in the current design.
"The BCA strongly advocated for measures, which have now been included in the design including retaining the ability to progress mergers with net public benefits, ensuring stop-the-clock and restart-the-clock provisions don't bog down economic activity, and having clear transitional provisions for business," Mr Black said.
"Another key improvement is the ability for merger proponents to put on evidence that's responsive to material on which the ACCC has relied, which will help ensure a fair right of reply to issues raised by the Regulator.
"The legislation now presents the opportunity to achieve greater certainty, more simplicity and increased timeliness for merger proponents.
"These are significant national reforms and the proof in the pudding will be in their implementation.
"Timeliness and transparency for the ACCC will be critical to ensuring deals that are good for the Australian economy aren't impeded by red-tape, and so we will be engaging closely with the 12-month review to carefully monitor their impact on the economy." Mr Black said.
There are many details still to be worked through to support implementation. The further consultation, including ministerially determined thresholds, will be critical to ensuring the final detail achieves the right balance.
The BCA represents more than 130 of Australia's leading businesses, employing more than 1.1 million Australians.
"The strength of our businesses directly impacts the strength of our economy, and so we'll continue to advocate strongly through the further consultation and implementation of these reforms for the best outcomes for Australian competitiveness and productivity," Mr Black said.
