Green Channel clears acquisitions
Qatar Holding LLC’s (QH) acquisition of Adani Electricity Mumbai Limited (AEML) and Adani Electricity Mumbai Services Limited (AEMSL) is deemed approved under the Competition Commission of India (CCI) Green Channel which is an automatic system.
Similar acquisitions of GVK Airport Holdings Ltd (GVKAHL) and IDBI Asset Management Ltd (IAML) are also deemed approved on filing notification in December 2019.
QH’s notification filed on 19 December 2019 is for acquisition of 25.1% equity shares of AEML and AEMSL from Adani Transmission Limited.
QH, registered as a FPI with SEBI, is an investment holding company of Qatar Investment Authority (QIA).
AEML is the licensee for an integrated power distribution, transmission and generation business. AEMSL is a newly incorporated entity and is currently not engaged in any business activity. AEMSL intends to provide certain captive services to AEML and ATL.
Also deemed approved is acquisition of GVKAHL by Green Rock B 2014 Limited, National Investment and Infrastructure Fund (NIIF) and Indo-Infra Inc filed on 19 December 2019.
The notification relates to acquisition of shares of, and control over, GVKAHL (and/or of its affiliates) and through GVKAHL (and/or through its affiliates), control over GVKAHL’s subsidiaries, Mumbai International Airport Limited (MIAL) and Navi Mumbai International Airport Private Limited (NMIA) by Green Rock, NIIF, and Indo-Infra.
Green Rock, a trustee of Green Stone Trust has made certain investments in India and does not carry out any business activities directly in India.
NIIF is an alternative investment fund with a focus to provide long-term capital to the country’s infrastructure sector. Indo-Infra is a holding company and part of the PSP group.
PSP is a Canadian Crown corporation established by the Canadian Parliament under the Public Sector Pension Investment Board Act. GVKAHL is an affiliate of the GVK group.
GVKAHL is a holding company for MIAL and its subsidiaries and joint ventures and is also intended to engage in the business of developing infrastructure facilities and investing in companies directly or indirectly developing, operating and managing airports.
Acquisition of IDBI Asset Management Ltd (IAML) and IDBI MF Trustee Company Ltd (IMTL) by Muthoot Finance Limited (MFL), filed on 16 December 2019, is deemed approved.
The notification relates to the acquisition of 100% equity shares of both IAML and IMTL by MFL. MFL, a non-deposit taking NBFC registered with the RBI and provides secured and unsecured loan (financing) against collateral of gold jewellery to companies and individuals.
IAML’s principal activity is to act as an asset management company to the IDBI Mutual Fund. IMTL acts as the trustee company of IDBI MF in India. IDBI Bank holds 100% shareholding in IMTL.
The CCI Green Channel is an automatic system of approval for combinations under ‘Green Channel’. Under this process, the combination is deemed to have been approved upon filing the notice in the prescribed format, said CCI. fiinews.com
