India- Central Govt. further dilutes competitive neutrality- exempts Oil and Gas PSUs from merger control by CCI In continuation of its slew of exemptions , the Government of India, Ministry of Corporate Affairs (MCA) , vide its recent Gazette notification dated 22.11.2017 has exempted all Central Public Sector Enterprises (CPSEs) in the Oil & Gas…
The Government of India , Ministry of Corporate Affairs (“MCA”) has exempted Nationalized Banks from the applicability of the merger control regime under the Competition Act,2002 (Act) . The MCA vide a Gazette notification dated 30.08.2017 ,in exercise of the powers conferred by clause (a) of Section 54 of the Act , has exempted, all cases…
Introduction “Non-compete” obligations are frequently incorporated in M & A transactions to facilitate the effective implementation of a proposed combination. Non-compete obligations enable the Acquirer to secure complete benefit from the transferred assets (including tangible, and intangible assets such as know-how and goodwill). In the case of a joint venture, non-compete obligations prevent the parent…
Much has been written about the recent exemption granted by the Government of India, Ministry of Corporate Affairs vide Notification dated 29 June, 2017 (‘Notification’) exempting parties to a “combination” that is mergers and acquisitions, amalgamations between parties having their assets or turnover beyond the prescribed thresholds , from notifying the Competition Commission of India…
Competition Appellate Tribunal (COMPAT) by its order dated August 30, 2016 has upheld the penalty imposed by the CCI on SCM Soilfert for failure to file a notice under Section 6(2) of the Competition Act, 2002(the Act) for a combination. Deepak Fertilizers and Petrochemicals Corporation Ltd. (DFPCL) is a company engaged in manufacturing and trading…
The proposed combination relates to acquisition of 100% shareholding in L&T General Insurance Company Limited (“LTGI”) by HDFC Ergo General Insurance Company Limited (“HDFC Ergo”) from Larsen and Toubro (L&T). Subsequently, HDFC Ergo shall be merged with its then 100% subsidiary LTGI. HDFC Ergo is engaged in providing housing finance, finance for commercial real estate,…
Competition Commission of India(CCI) vide its order dated July 01,2016 has given its approval to JSW Energy to acquire 1,000 MW power plant in Chhattisgarh from Jindal Steel and Power Ltd (JSPL).The JSPL board had approved divesting the unit of its subsidiary Jindal Power Ltd (JPL) into a special purpose vehicle for transferring it to…
CCI vide its order dated July 01,2016 has approved JV entered between Nestlé and PAI (through Riviera Topco) which would be jointly controlled by Nestlé and PAI (through Riviera Topco) and would be principally active in the production, distribution and sale of ice cream products in certain geographical areas and to a limited extent in…
CCI, by its order dated May 04, 2016, has approved acquisition of DLF’s film exhibition business, subject to modifications. The proposed combination relates to acquisition by PVR of DLF Utilities Limited (DUL) film exhibition business comprising of 39 screens (29 existing and 10 upcoming) as a going concern on a slump sale basis. PVR is…
Competition Commission of India (CCI) by its order dated February 16, 2016 has penalized GE Energy Europe B.V., GE and GE Industrial France SAS (collectively, the “Acquirers”) for failure to notify a proposed combination in terms of Section 6(2)(b) of the Competition Act, 2002(Act) read with Regulation 5(8) of the Competition Commission of India(Procedure in…
