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CCI approves acquisition of 72.8 pc shareholding of Orient Cement by Ambuja, 6 other proposals

CCI approves acquisition of 72.8 pc shareholding of Orient Cement by Ambuja, 6 other proposals

New Delhi, Mar 5 (UNI) India competition regulatory body, the Competition Commission of India (CCI) today approved a slew of acquisition proposals (7 in total) including acquisition of up to 72.8 percent shareholding of Orient Cement Limited by Ambuja Cements Limited and acquisition of equity shares of PSP Projects Limited by Adani Infra (India) Limited.

Ambuja Cements Limited (Acquirer) is engaged in the manufacture and sale of grey cement, including Ordinary Portland Cement (OPC), Pozzolona Portland Cement (PPC), and Pozzolona Composite Cement (PCC).

The Acquirer (including its subsidiaries) operates 22 integrated cement plants across India, as well as 10 bulk cement terminals and 21 grinding units, an official statement by CCI said.

Orient Cement Limited (Target) is involved in the business of manufacturing grey cement, including PPC and OPC. It has three manufacturing facilities at Devapur (Telangana), Chittapur (Karnataka) and Jalgaon (Maharashtra), with distribution in 10 states across India.

The proposed transaction comprises of 2 steps -- acquisition of 46.80 percent of the issued share capital in the Target by the Acquirer, including 37.90 percent held by the current Promoter and Promoter Group and 8.90 percent from certain public shareholders. And in the step 2, Step 1 triggers an obligation on the Acquirer to make an open offer under Regulation 3(1) and 4 of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 for acquisition of up to 26 percent of the expanded share capital of the Target (Open Offer). Assuming full acceptance of Open Offer, the shareholding of the Acquirer will stand at 72.8.

The CCI also approved the acquisition of equity shares of PSP Projects Limited by Adani Infra (India) Limited. The proposed transaction involves the acquisition by Adani Infra (India) Limited (Acquirer) of equity shares of PSP Projects Limited (Target) from: (i) Mr. Prahaladbhai S. Patel (Seller) (Initial Acquisition); and (ii) public shareholders by way of an open offer (Open Offer), such that, post-closing of the Initial Acquisition and Open Offer, the Acquirer (on the one hand) and the Seller and other existing promoters (on the other hand) would hold equal shareholding.

The Acquirer is an infrastructure development company with specialization in comprehensive engineering, project management, and construction services for power generation and transmission sector. The Acquirer provides Project Management Consultancy (PMC) and Engineering, Procurement and Construction (EPC) services for road, water, and power projects.

The CCI also approved the proposed acquisition of certain shareholding of Schott Poonawalla Private Limited by TPG Scion SG Pte. Ltd.

The proposed combination involves the acquisition by TPG Scion SG Pte. Ltd. of certain shareholding in SPPL by way of a secondary purchase from Serum Institute of India Private Limited.

The CCI has also approved the proposed combination involving acquisition of pharma solution segment and product lines of Nourish segment of International Flavors & Fragrances Inc.(IFF) by Roquette Frères S.A.(Roquette).

Other proposals approved by the CCI are acquisition of 100 percent equity share capital of Raj Petro Specialities Private Limited by Shell Deutschland GmbH and Shell Overseas Investments B.V.; acquisition by Alpha Wave Ventures II, LP of a 12.44 per cent shareholding in Advanta Enterprises Limited; the proposed acquisition of 100 per cent shareholding in KSK Mahanadi Power Company Limited by JSW Energy Limited.

UNI SKB CS1602

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