On January 28, 2014, CCI approved the proposed acquisition by (i) KKR Floorline Investments Pte. Ltd. (‘KKR Floorline’) of (a) up to 37.98% of the fully diluted equity share capital of Gland Pharma Limited (‘Gland Pharma’), (b) up to 24.9% of the fully diluted equity share capital of Gland Celsus Bio Chemicals Private Limited (‘Gland Celsus’), and (ii) Gland Celsus in Gland Pharma, which will entitle Gland Celsus to increase its existing shareholding of Gland Pharma from 17.7% to 30.24%, on a fully diluted basis.

 
KKR Floorline is an investment holding company with no operations at present and is controlled by KKR & Co. L.P., a global asset management firm. Gland Pharma is engaged in the business of production and marketing of specialized injectable formulations for generic versions of drugs. Further, Gland Celsus is an investment holding company and does not carry out any business activities. It has investments in Gland Chemicals Private Limited (‘Gland Chemicals’) and Nicomac Clean Rooms Far East Private Limited (‘Nicomac’).

 
While making an assessment, CCI noted that KKR has investments in three companies in India namely, Accellent Inc., Capsugel and PRA International, which are engaged in the healthcare sector. CCI observed that there is no vertical relationship or horizontal overlap between Gland Pharma and these entities in which KKR has investments.

 
In light of the above, CCI was of the view that the proposed combination is not likely to have an Adverse Effect in India.

For further information, please contact:

Zia Mody, AZB & Partners
[email protected]

Abhijit Joshi, AZB & Partners 
[email protected]

Shuva Mandal, AZB & Partners 
[email protected]

Samir Gandhi, AZB & Partners
[email protected]

Percy Billimoria, AZB & Partners 
[email protected]

Aditya Bhat, AZB & Partners 
[email protected]