On August 2, 2022, the Competition Commission of India (CCI) approved the proposal of Rs 4,500 crore deal wherein the Bandhan Financial Holdings (BFHL)-led consortium will buy stakes in IDFC Asset Management Company Ltd and IDFC AMC Trustee.
- The consortium consists of Bandhan Bank’s parent BFHL, private equity firm ChrysCapital and Singapore’s sovereign fund GIC.
Key Points:
i.The transaction includes acquisition of 99.96% stake in IDFC Asset Management Company Ltd and 100% shareholding in IDFC AMC Trustee Company Ltd.
ii.The stakes would be acquired by BFHL Ltd, Lathe Investment Pte. Ltd, Tangerine Investments Ltd and Infinity Partners.
iii.IDFC AMC is the asset management company of IDFC Mutual Fund which operates a portfolio management business and IDFC Trustee is a trustee company of IDMF.
iv.BFHL is a wholly-owned subsidiary of Bandhan Financial Services Ltd and the promoter of private sector lender Bandhan Bank Ltd.
v.Lathe is wholly-owned by Singapore-based GIC Ventures Pvt Ltd and Tangerine Investments is a subsidiary of Chrys Capital Group while Infinity Partners is a partnership firm.
CCI approves Composite Scheme of Arrangement and Amalgamation between Shriram Group Companies
CCI also approves Composite Scheme of Arrangement and Amalgamation between Shriram Group Companies under Section 31(1) of the Competition Act, 2002.
- The scheme involves Shrilekha Business Consultancy Private Limited (SBCPL), Shriram Financial Ventures (Chennai) Pvt. Ltd (SFVPL), Shriram Capital Limited (SCL), Shriram Transport Finance Company Limited (STFC), Shriram City Union Finance Limited (SCUF), Shriram LI Holdings Pvt Ltd (SLIH), Shriram GI Holdings Pvt. Ltd (SGIH) and Shriram Investment Holdings Ltd (SIHL).
The salient features of the Scheme are as under:-
i.The amalgamation of SBCPL with SCL;
ii.The demerger of the undertaking from SCL, carrying on the business of Financial Services, and the transfer and vesting thereof into SIHL;
iii.The demerger of undertakings from SCL carrying on the businesses of a) Life Insurance and b) General Insurance, and the transfer and vesting of the same into a) SLIH); and b) SGIH respectively;
iv.The amalgamation of SCL (with its remaining undertaking and investments) with STFC; and
v.The amalgamation of SCUF with STFC.
The disclosure was made in compliance with Regulation 30 of the Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements) Regulations, 2015.
CCI okays acquisition of 50.1% stake in Sanmina SCI India by RSBVL
CCI granted its approval for the acquisition of a 50.1% stake of Sanmina-SCI India (SCIPL) by Reliance Strategic Business Ventures (RSBVL). RSBVL is a subsidiary of Reliance Industries (RIL).
Background:
In March 2022, Sanmina Corporation and RSBVL inked an agreement to create a Joint Venture (JV) through investment in Sanmina’s existing Indian entity (Sanmina SCI India). In this RSBVL will invest Rs 1,670 crore and hold the majority stake, while, Sanmina hold the remaining 49.9%.
About JV:
i.It will serve both domestic and export markets by prioritizing high technology infrastructure hardware, for growth markets, and across industries such as communications networking (5G, cloud infrastructure, hyper-scale datacenters), medical and healthcare systems, and defence and aerospace.
ii.It will also create a state-of-the-art ‘Manufacturing Technology Center of Excellence’ that will serve as an incubation center to support the product development and hardware start-up ecosystem in India, as well as promote research and innovation of leading-edge technologies.
Recent Related News:
i.CCI approves acquisition of shareholding in Hitachi Construction Machinery Co., Ltd. by HCJI Holdings G.K., Citrus Investments, HCJ Holdings 2 G.K., Japan Industrial V – GP K.K., and other investors.
ii.CCI has approved the acquisition of up to 24.98% shareholding of IIFL Wealth Management Limited (IIFL) by BC Asia Investments X Limited(BC Asia).
About Competition Commission of India (CCI):
Chairperson– Ashok Kumar Gupta
Headquarters– New Delhi, Delhi
