CCI Approves Acquisition of Shares of Aditya Birla Capital Limited by Jomei Investments Limited

On October 24, 2019, CCI approved the subscription of 4.15% of the total issued and paid-up equity share capital of Aditya Birla Capital Limited (‘ABCL’) by Jomei Investments Limited (‘JIL’).[1] JIL is wholly-owned by Advent International GPE IX Limited Partnership (‘Advent GPE’), whose investment manager is Advent International Corporation (‘Advent International’).

CCI observed that the business activities of the Advent group (through ASK Investment Managers Limited, an investee company of the Advent group) and ABCL overlap horizontally in respect of portfolio management services (‘PMS’), wealth advisory / management related services and real estate investment services. The Parties also overlapped vertically as (i) ABCL offers mutual fund products and the ASK group distributes such products as a part of its wealth advisory business; and (ii) ABCL is engaged in PMS and the ASK group distributes such services. On account of low incremental market share and presence of other competitors, CCI approved the transaction.

[1] Combination Registration No. C-2019/09/686.

Published In:Inter Alia Special Edition - Competition Law - January 2020 [ English
Date: January 17, 2020