CCI Approvals on December 10 2024

On December 10 2024, the Competition Commission of India (CCI) has approved the following proposals:

i.The combined acquisition of certain shareholding in Bagmane Developers Private Limited and Bagmane Rio Private Limited, are part of Bengaluru (Karnataka)-based Bagmane Group by the BREP Asia III India Holding Co VIII Pte. Ltd., arm of the United States of America (USA)-based Blackstone Inc.

ii.The acquisition of stake in India Business Excellence Fund-IV, a Category-II Alternative Investment Fund (AIF) registered with the Securities Exchange Board of India (SEBI) by Gurugram (Haryana)-based product engineering and manufacturing company VVDN Technologies Private Limited.

iii.The proposal of Abu Dhabi National Oil Company (ADNOC), a state-owned oil company of the United Arab Emirates (UAE) to acquire Leverkusen (Germany)-based petrochemical-producing company Covestro AG (Covestro) for USD 16.4 billion.

iv.The acquisition of 100% share capital of Nashik (Maharashtra)-based Thyssenkrupp Electrical Steel India Private Limited (Thyssenkrupp India) by Jsquare Electrical Steel Nashik Private Limited (Jsquare), a wholly-owned subsidiary of JSW JFE Electrical Steel (J2ES).

CCI Approved Acquisition of Certain Stake in two Bagmane Group Entities by Blackstone’s Arm BREP Asia III India Holding Co. VIII Pte. Ltd.

The CCI has approved the combined acquisition of certain shareholding in Bagmane Developers Private Limited and Bagmane Rio Private Limited, are part of Bengaluru (Karnataka)-based Bagmane Group by the BREP Asia III India Holding Co VIII Pte. Ltd., arm of the United States of America (USA)-based Blackstone Inc. which is the world’s largest alternative asset manager with over USD 1 trillion in Asset Under Management (AUM).

• In this proposed arrangement, Bagmane Developers and Bagmane Rio will be the target companies, both entities engaged in the business of development, leasing and operation of commercial real estate, hospitality business as well as allied services like: generation of renewable power and BREP Asia III India Holding Co VIII Pte. Ltd. will be the acquirer, which is engaged in investment holding and related activities.

CCI Approved the Acquisition of Stake in India Business Excellence Fund-IV by VVDN Technologies

The CCI has approved the acquisition of stake in India Business Excellence Fund-IV, a Category-II Alternative Investment Fund (AIF) registered with the Securities Exchange Board of India (SEBI) by Gurugram (Haryana)-based product engineering and manufacturing company VVDN Technologies Private Limited.

• In this proposed arrangement, VVDN Technologies will be the target company, which works primarily in the business of providing Electronic Manufacturing Services (EMS)/ Original Design Manufacturing (ODM) services and India Business Excellence Fund-IV will be the acquirer, which invests in equity and equity-linked instruments and/or debt and other instruments of India related companies.
• The acquirer will buy the stake of Target through a combination of secondary share purchases of equity shares and subscription to compulsorily convertible debentures.

CCI Approved Acquisition of Covestro AG by Abu Dhabi National Oil Company

The CCI has approved the proposal of Abu Dhabi National Oil Company (ADNOC), a state-owned oil company of the UAE to acquire Leverkusen (Germany)-based petrochemical-producing company Covestro AG (Covestro) for USD 16.4 billion.

• As per the proposed arrangement, ADNOC PJSC, ADNOC International Limited (ADNOC Limited) and ADNOC International Germany Holding AG (ADNOC Germany) will jointly buy up to 100% of the share capital of Covestro (Target), through an all-cash voluntary public takeover offer to all shareholders of Covestro.
• On completion of the acquisition, ADNOC Germany will infuse additional capital into Covestro, subscribing to 1.89 crore new shares, thus increasing the share capital of Covestro by 10%.

CCI Approved Acquisition of 100% Shareholding of Thysesenkrupp India by Jsquare

The CCI has approved the acquisition of 100% share capital of Nashik (Maharashtra)-based Thyssenkrupp Electrical Steel India Private Limited (Thyssenkrupp India) by Nashik (Maharashtra)-based Jsquare Electrical Steel Nashik Private Limited (Jsquare) which is a wholly-owned subsidiary of JSW JFE Electrical Steel (J2ES).

• Thyssenkrupp India (Acquirer) works in the business of manufacturing and sale of Grain-Oriented Electrical Steel (GOES).

Note: J2ES was established in 2023, 50:50 joint venture between JSW Steel Limited (JSW Steel) and JFE Steel Corporation (JFE Steel).

Other Approvals:

On December 03 2024, the CCI has approved the acquisition of certain shareholding of New Delhi (Delhi)-based Shiprocket Private Limited (Shiprocket) by Tokyo (Japan)-based MUFG Bank Limited, which is a wholly-owned subsidiary of Mitsubishi UFJ Financial Group, Inc. (MUFG).

• It has also approved the acquisition of certain shareholding of Shiprocket by United States of America (USA)-based early venture capital firm, KDT Venture Holdings, LLC (KDT).