In April 2024, the Competition Commission of India ("CCI") granted approvals to numerous proposed combinations. Encompassing a variety of sectors, these approvals comprised acquisitions, subscriptions to securities, and relocations of investment portfolios, thus highlighting a broad spectrum of strategic maneuvers within the Indian market. Concurrently, within the realms of advisory and enforcement, the CCI addressed instances of anti-competitive practices and dismissed complaints, emphasizing its pivotal role in ensuring equitable competition. Moreover, regulatory attention shifted towards emerging technologies with the initiation of a market study on artificial intelligence and competition, reflecting the evolving confluence of innovation and antitrust scrutiny.
Merger Control and Combinations
1. On April 2, 2024, the CCI granted approval to a proposed combination relating to the acquisition of up to approximately 8% of the share capital of the MG Motor India Private Limited along with certain rights by IndoEdge India Fund – LVF Scheme.
2. On April 2, 2024, the CCI granted approval to a proposed combination involving the acquisition of fully paid Series C CCPS (representing approximately 6% of the total issued and paid-up share capital on a fully diluted basis along with certain affirmative voting rights and board nomination rights) in Northern Arc Capital Limited by International Finance Corporation.
3. On April 2, 2024, the CCI granted approval to a proposed combination involving: (i) acquisition of certain assets of Nagarjuna Fertilizers and Chemicals Limited by AM Green Ammonia (India) Private Limited ("AMG India"), and (ii) acquisition of 100% shareholding of Greenko ZeroC Private Limited by AMG India; using proceeds of investments received from AM Green B.V., AM Green Ammonia Holdings B.V., AM Green Ammonia B.V., AMG India, Baker Street Investment Pte. Ltd., Gentari International Renewables Pte. Ltd. and Platinum Rock B 2014 RSC Limited (acting in its capacity as the trustee of the Platinum Stone A 2014 Trust).
4. On April 2, 2024, the CCI granted approval to a proposed transaction envisages the acquisition of 10.39% shareholding of Annapurna Finance Private Limited and subscription to its certain debentures by Piramal Alternatives Trust.
5. On April 2, 2024, the CCI granted approval to a proposed combination involving the acquisition of 100% equity stake in Sharekhan Ltd. and Human Value Developers Pvt. Ltd. collectively by Mirae Asset Capital Markets (India) Pvt. Ltd. and Mirae Asset Securities Co. Ltd., respectively.
6. On April 2, 2024, the CCI granted approval to a proposed combination involving the subscription of compulsorily convertible preference shares of Pritam International Private Limited by India Advantage Fund S5 I, HCL Corporation Private Limited, Mirabilis Investment Trust, Mr. Aashil Apurva Shah and Mr. Ansh Ashit Shah.
7. On April 2, 2024, the CCI granted approval to a proposed transaction envisaging the subscription to 14,25,79,161 equity shares of Max Life Insurance Company Limited by Axis Bank Limited.
8. On April 04, 2024, a proposed transaction, involving subscription by Kingsman Wealth Fund PCC – Aurisse Special Opportunities Fund to certain securities of Mudhra Lifesciences Private Limited ("Mudhra"), the proceeds of which investment will be utilised by Mudhra towards the proposed acquisition of Tianish Laboratories Private Limited by Matrix Pharma Private Limited, a step-down subsidiary of Mudhra, was deemed as approved under the green channel route.
9. On April 04, 2024, a proposed combination, relating to the relocation or migration of the entire investment portfolio of the DSP India Fund, Mauritius to the DSP India Fund – India Long / Short Strategy Fund with Cash Management Option, was deemed as approved under the green channel route.
10. On April 16, 2024, the CCI granted approval to a proposed combination involving the acquisition by PAMP Ventures SA of: (i) 100% of the share capital of PAMP Technologies (India) Private Limited; and (ii) 72.65% of the share capital (on a fully diluted basis) of MMTC PAMP India Private Limited.
11. On April 16, 2024, proposed transaction involving an acquisition by Endo, Inc. of: (i) substantially all of the business and assets of Endo International, plc. ("Endo"); and (ii) 100% of the shares of Endo US Holdings Luxembourg I S.à.r.l., which, pursuant to an internal restructuring within the group of Endo, will indirectly hold 100% of the shares of Par Formulations Private Limited, Par Active Technologies Private Limited and Par Biosciences Private Limited, was deemed as approved under the green channel route.
12. On April 16, 2024, the CCI granted approval to a proposed combination involving additional shareholding of Thyssenkrupp Industries India Private Limited by Protos Engineering Company Private Limited and Paharpur Cooling Towers Limited.
13. On April 23, 2024, the CCI granted approval to a proposed combination envisaging subscription to compulsory convertible debentures of Napino Auto and Electronics Limited by International Finance Corporation.
14. On April 30, 2024, the CCI granted approval to a proposed combination involving acquisition of 15.43% shareholding by Sanyo Special Steel Co. Ltd. in Sanyo Special Steel Manufacturing India Private Limited from Mitsui & Co. Ltd.
Advisory and Enforcement Matters
1. NCLAT rejects Sundaram Brakes' appeal against CCI's anti-competitive practices order
On April 02, 2024, the National Company Law Appellate Tribunal dismissed a plea filed by Sundaram Brake Lining Limited challenging a cease-and-desist order issued by the CCI directed the company to cease certain activities related to railway tendering.
2. CCI closes complaint filed against National Accreditation Board for Testing and Calibration Laboratories
On April 05, 2024, the CCI closed a complaint filed by Association of Indian Laboratories against National Accreditation Board for Testing and Calibration Laboratories ("NABL") alleging that its circular, directing its accredited laboratories operating as sole proprietors to align with specific forms of legal entity, is in violation of provisions of Section 3 and 4 of the Competition Act. The CCI concluded that there was no reasons to interfere with the circular as the same was mandating a structure which a laboratory had to follow if it wish to seek accreditation services from NABL.
3. CCI closes complaint filed against Thoothukudi District Chess Association and Tamil Nadu State Chess Association
On April 05, 2024, the CCI closed a complaint filed by Prem Kumar G. against Thoothukudi District Chess Association and Tamil Nadu State Chess Association alleging that his suspension from playing chess, arbitering and organizing tournaments as he organized an allegedly unauthorized friendly match amounts to illegal suspension order. The CCI concluded that prima facie no competition concerns under the provisions of the Competition Act appear to be raised in the instant matter.
4. CCI closes complaint filed against CovaiCare
On April 05, 2024, the CCI closed a complaint filed by Buchi Ramarao Valury against Covai Property Centre (India) Private Limited, Covai Senior Citizen Services Pvt. Ltd., and Ozone Urbana Infra Developers Private Limited alleging that they are misusing their dominant position and are engaged in abusive conduct in the development and sale of apartments catering to the needs of senior citizens. The CCI concluded that the opposite parties are not dominant in the relevant market.
5. CCI closes complaint filed against hospitals, pharmaceutical companies, e-pharmacies, associations and certain government departments/authorities
On April 25, 2024, the CCI closed a complaint filed by Somnath Banerjee against several entities including hospitals, pharmaceutical companies, e-pharmacies, associations and certain government departments/authorities alleging that his product 'Protestin' is not being marketed and promoted because of non-cooperation by opposite parties. The CCI concluded that in absence of any apparent anti-competitive conduct, the decision of purchase or sale of a product and quantity thereof is driven by the commercial considerations of the market players.
6. CCI closes complaint filed against WordPress
On April 29, 2024, the CCI closed a complaint filed by Ravi Shankar Tiwari against Automattic Inc., parent company of wordpress.org, alleging contravention of provisions of the Competition Act, 2002 ("Competition Act"). CCI concluded that no prima facie case is made in delisting of informant's plugins from the plugin's directory maintained by WordPress for an abuse of dominant position in the relevant market by WordPress in violation of provisions of Section 4 of the Competition Act.
Regulatory Updates
1. CCI launches market study on artificial intelligence and competition
On April 22, 2024, the CCI invited proposals from agencies / institutions for conducting a study on artificial intelligence and competition with objectives, amongst others, to study the scope and nature of AI applications/use cases, and assess associated opportunities, risks and ramifications from a competition standpoint.
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