On January 10, 2019, CCI approved the acquisition of 100% equity shares of EPC Constructions India Limited (‘EPCC’) by ArcelorMittal India Private Limited (‘AMIPL’). The said transaction is subject to the corporate insolvency resolution process under the Insolvency and Bankruptcy Code, 2016.
AMIPL is a part of ArcelorMittal group (‘AM Group’). AM Group does not have a steel manufacturing unit in India but is engaged in sale of steel products through other channels.
EPCC is a part of the Essar Group. EPCC is engaged in the supply of Engineering Procurement Construction (‘EPC’) services, which includes undertaking and executing projects involving industrial plants, civil and infrastructure projects, laying onshore pipeline for oil, gas and water, and working in marine constructions.
In its competitive assessment, CCI noted that there were no horizontal and vertical overlaps between EPCC and AMIPL. CCI, however, observed that AMIPL had also filed a resolution plan with respect to acquisition of Essar Steel India Limited (‘ESIL’). If the acquisition of ESIL by AMIPL were to be successful, the services of EPCC could also be utilized by ESIL. In this regard, CCI noted that this potential vertical relationship may not cause any potential competition concerns due to lack of ability and incentive to foreclose the market by EPCC.
In light of the above, CCI approved the combination since it was not likely to have any AAEC in India in any of the markets.
 Combination Registration No. C- 2018/12/624