Jurisdiction - India
India – CCI Approves Mahindra-CIE Combination.

23 September, 2013



On July 12, 2013, CIE Group Companies (‘CIE’) and certain Mahindra Group Companies (‘Mahindra’) filed a notice under Section 6(2) of the Act with regards to a proposed combination. As a consequence of the combination, CIE would control approximately 45-52% in the post-combination resultant entity, Mahindra CIE Automotive Limited (‘Mahindra CIE’). Mahindra & Mahindra (‘M&M’) would also hold approximately 20% in Mahindra CIE. The transaction involved multiple agreements and stages but the trigger documents, i.e. documents whose execution triggers a Section 6(2) pre-merger notification requirement, were executed on June 15, 2013.

CCI examined the proposed combination in light of the criteria given in Section 20(4) of the Act and made the following observations – (i) CIE had no presence or investment in India, either directly or indirectly, and was not engaged in any activity that either competed with, or was vertically related to, the business proposed to be acquired by way of the proposed combination; (ii) the proposed combination is not between two existing players in the relevant market; (ii) postcombination, M&M would still hold 20% of the equity in Mahindra CIE and, (iii) technologies used by Mahindra would continue to be used by Mahindra CIE post-combination.

Based on the aforementioned observations, CCI found no likelihood of any appreciable adverse effect on competition within the relevant market in India and approved the proposed combination under Section 31(1) of the Act.




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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