The Competition Commission of India (CCI) has cleared its fourth merger, with the Japanese Aica Kogyo Company takeover of the laminates division of the Bombay Burmah Trading Corporation.
The Japanese company and its Indian subsidiary Aica Laminates India filed a notice to the CCI on 7 September, with the CCI clearing the takeover today as having no appreciable adverse effect on competition.
The members recorded that the “surfacing/decorative laminates business in India is highly fragmented and competitive with the presence of a large number of players. The share of the Laminates Division (i.e. Sunmica Division) of BBTCL in the surfacing/decorative laminates business in India is insignificant. The business […] is characterised by an almost equal share of both branded and unbranded products.
“Given the presence of a large number of players with fragmented market shares in the surfacing/decorative laminates business in India, the proposed combination is not likely to have an appreciable adverse effect on competition in India.”
Amarchand Mangaldas advised the Japanese company on the competition law approvals and the M&A aspects of the transaction.
Mumbai partners Vandana Shroff and Ganesh Prasad acted on the M&A for Aica, while Mumbai partner Ashwath Rao and principal associate Nisha Kaur Uberoi advised on the CCI filing, according to a statement from the firm.
The Sunmica division of Bombay Burmah Trading would be sold for around Rs 100 crore ($20.4m), reported moneycontrol in August.
Earlier this month the CCI cleared the Wockhardt Danone merger in less than 15 working days and UTV Disney merger in 16 working days, following the Reliance Industrial Infrastructure – Bharti AXA Life takeover that was cleared in 10 working days in August.
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