On February 09, 2023, CCI approved the acquisition of textiles dyes and chemical business of Hunstman International LLC., (‘Huntsman International’) by Archromab Operations S.a.r.l., (Archroma / Acquirer) (‘Proposed Combination 2’).  Later Archroma Germany GmBH., (‘Archroma Germany’) also became a notifying party.
Equity and asset purchase agreement between Archroma and Huntsman International dated August 9, 2022.
Parties to Proposed Combination 2
Both Hunstman International and Archroma are engaged in the manufacturing and supply of chemicals and dyes for textile processing. The CCI took note of certain finer aspects of the business i.e., the processes involved.
Overlaps and Competitive Assessment
The CCI noted that Hunstman International and Archroma have horizonal overlaps in:
i. Six sub-segments within the segment of Textile Chemicals; and
ii. Four sub-segments within the segment of Textile Dyes.
In said context, the CCI observed that none of these overlaps would cause any potential competition concerns keeping in mind: (i) the combined market shares of Hunstman International and Archroma (ranged from 5% – 30% in these markets); and (ii) the presence of other players in these markets.
Lastly, the CCI in terms of vertical interface, noted that Hunstman International purchases certain amounts of Aluminum Chloride (‘AC’) from Archroma, but the latter’s market share for AC is less than 5% both in India, and globally.
Accordingly, the CCI approved Proposed Combination 2, holding that it was unlikely to have any AAEC in India.
 Combination Registration No. C-2022/09/970.