Future Supply and Piramal secure investments
The Competition Commission of India (CCI) has approved two acquisitions of Japanese and Canadian companies.
First it has approved the acquisition of stake in India’s Future Supply Chain Solutions Limited by Nippon Express (South Asia & Oceania) Pte Ltd, under Section 31(1) of the Competition Act, 2002.
The proposed combination pertains to the acquisition by Nippon Express of approximately 22% of the total issued and paid up share capital of Future Supply, on a fully diluted basis.
Singapore-based Nippon Express is wholly owned subsidiary of Nippon Express Co Ltd, a Japan-based global logistics company providing one-stop logistics services, which include, transport services, global supply chain management, warehouse and distribution services, etc.
Future Supply is a third-party supply chain and logistics service provider in India which offers automated and IT-enabled warehousing, distribution and other logistics solutions.
These services include, (a) contract logistics; (b) express logistics; and (c) temperature-controlled logistics. The Target, inter alia, offers warehousing and distribution services and automated technology systems to cater to its customers’ supply chain needs. Additionally, it also provides international freight forwarding services by water routes and air routes.
The CCI has also approved subscription of compulsorily convertible debentures (CCDs) of Piramal Enterprises Limited by Caisse de dépôt et placement du Québec (CDPQ).
Upon conversion, equity shareholding of CDPQ in Piramal Enterprises will increase from 3.68 % to 8.99 %.
CDPQ, an institutional investor, is a Canadian institutional fund that manages and serves more than 40 depositors, which comprises public and private pension and insurance funds in Quebec, Canada.
Piramal Enterprises is an Indian multi-national conglomerate, with presence in financial services, pharmaceuticals and healthcare insights & analytics businesses.
In India, its financial services business comprises, inter alia, wholesale lending (Real Estate and Construction Finance, Corporate Lending and Emerging Corporate Lending), retail lending (Housing Finance, including Loans against Property) and alternative asset management. fiinews.com
