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India – CCI Approves The Proposed Amalgamation Of Kalyani Alstom Power Limited Tnto Alstom Bharat Forge Power Limited.

27 January, 2014

 

 

On December 10, 2013, CCI approved the proposed amalgamation of Kalyani Alstom Power Limited (‘KAPL’) into Alstom Bharat Forge Power Limited (‘ABFPL’) pursuant to a scheme of amalgamation. Under the proposed combination, KAPL would merge into ABFPL as a result of which, KAPL would cease to exist and all the assets and liabilities of KAPL would be transferred to ABFPL.


CCI observed that both ABFPL and KAPL were joint ventures between Alstom Power Holdings S.A (‘Alstom S.A’) and Bharat Forge Limited (‘Bharat Forge’). Post the proposed amalgamation of KAPL into ABFPL, the surviving entity, namely ABFPL, would continue to be under the joint control of Alstom S.A and Bharat Forge.


Further, CCI was of the view that there were no horizontal overlaps between the products offered by ABFPL and KAPL. While ABFPL deals with manufacturing and selling of steam turbines and generators, KAPL is in the business of manufacturing heat exchangers and other auxiliary equipment(s) for steam turbine generators. In addition, it was observed that both ABFPL and KAPL had not commenced business operations, with the former’s manufacturing facility being scheduled to commence operations in 2015.


In light of the above, CCI was of the opinion that the proposed combination was not likely to have any Adverse Effect. Accordingly, CCI approved the proposed combination under subsection (1) of Section 31 of the Act.

 

AZB

 

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]

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