By Brazil Stock Guide – A board member of Brazil’s antitrust agency Cade, Victor Oliveira Fernandes, has ordered the Liga Forte União do Futebol Brasileiro (LFU) and the Liga do Futebol Brasileiro (Libra) to suspend new club admissions until the authority completes an ongoing investigation into potential antitrust violations within the nation’s football market.
According to a ruling published Thursday (6) in the Diário Oficial da União and reported by Broadcast, the precautionary measure bars both leagues from expanding their membership while Cade examines two Apuração de Ato de Concentração (Apac) cases. Violations of the order may trigger daily fines of R$50,000.
The probe centers on whether the leagues’ collective broadcast-rights deals amount to “gun jumping,” or the premature implementation of a merger before official approval from the regulator.
League Movements and Market Impact
The decision follows months of reshuffling among Brazil’s top-tier clubs. Atlético Mineiro returned to LFU after a stint with Libra, while Vitória approved its transfer from Libra to LFU in September. Remo and Volta Redonda joined Libra in December 2024 and February 2025, respectively — all moves noted by the board member as potentially affecting market dynamics.
Fernandes argued that these developments could distort competition during Cade’s review. “The admission of new clubs amid the ongoing investigation could significantly alter the market’s structure,” he wrote.
He further emphasized the need for immediate regulatory action:
“It is necessary to preserve, as much as possible, the useful result of this process, especially after the parties were formally notified of the investigation.”
“There is sufficient periculum in mora to justify a precautionary measure ensuring the effectiveness of Cade’s actions and preventing irreversible market effects.”