Jurisdiction - India
News
India – CCI Approves The Transfer Of Assets By USL To EEPL.

7 February, 2014

 

 

On December 26, 2013, CCI approved the proposed hive-off of United Spirits Limited’s (‘USL’) unit at Poonamallee, Chennai, Tamil Nadu (‘Unit’), which is a distillery for the manufacture of Indian Made Foreign Spirits (‘IMFS’) to Enrica Enterprises Private Limited (‘EEPL’).


While reviewing the proposed transaction, CCI noted that there was no overlap between the activities of EEPL and USL. While USL is engaged in the manufacture and sale of IMFS, EEPL does not currently carry out any business operations. The promoters of EEPL, namely, Spurthi Holdings Private Limited, Viki Investments and Properties LLP and Sree Shyam Sayi Investments and Traders Private Limited, have diversified business interests and now propose to enter into the manufacture of IMFS by way of the proposed transaction. CCI also noted the potential impact of the transaction on the manufacture and sale of IMFS in Tamil Nadu, which is highly regulated by the Tamil Nadu State Marketing Corporation (which has the exclusive privilege of conducting the trade of IMFS in Tamil Nadu). There are a number of other manufacturers of IMFS in Tamil Nadu.


Based on this, CCI concluded that the proposed transaction is unlikely to cause any Adverse Effect and hence approved the proposed transaction.

 

AZB

 

For further information, please contact:

 

Zia Mody, AZB & Partners
zia.mody@azbpartners.com

 

Abhijit Joshi, AZB & Partners 
abhijit.joshi@azbpartners.com


Shuva Mandal, AZB & Partners 
shuva.mandal@azbpartners.com

 

Samir Gandhi, AZB & Partners
samir.gandhi@azbpartners.com


Percy Billimoria, AZB & Partners 
percy.billimoria@azbpartners.com

 

Aditya Bhat, AZB & Partners 
aditya.bhat@azbpartners.com

Comments are closed.