Notice given by H.M. Luxembourg S.a.r.l.
Case brief
What is this about?
The Competition Commission of India approved a proposed combination involving the formation of a Luxembourg-based joint venture by ConAgra, Cargill, and CHS to consolidate flour milling operations in North America. The Commission found the combination, which impacts no Indian assets or operations, unlikely to have an appreciable adverse effect on competition in India under Section 31 of the Compet
What did the court decide?
The proposed combination is approved, provided information furnished is correct; approved without prejudice to other legal obligations.
What the court decided
23rd April, 2013
COMPETITION COMMISSION OF INDIA
Combination Registration No. C-2013/04/117
Order under Section 31 (1) of the Competition Act, 2002
- On 2nd April, 2013, the Competition Commission of India (hereinafter referred to as the “ Commission ”) received a notice under sub-section (2) of Section 6 of the Competition Act, 2002 (hereinafter referred to as the “ Act ”) given by H.M. Luxembourg S.a.r.l (hereinafter referred to as “ HMLS ”). The notice was given to the Commission pursuant to the execution of a Master Agreement, by and among ConAgra Foods, Inc. (hereinafter referred to as “ ConAgra ”), Cargill, Incorporated (hereinafter referred to as “ Cargill ”), CHS Inc. (hereinafter referred to as “ CHS ”) and HMLS, on 4th March, 2013.
- By way of the proposed combination, ConAgra, Cargill and CHS (hereinafter ConAgra, Cargill and CHS shall be collectively referred to as “ Parties ”) establish HMLS, as a joint venture, to combine their North American (Canada, USA and Puerto Rico) flour milling operations and other related business along with that of their respective subsidiaries. It has been stated in the notice that the proposed combination is to be accomplished through a series of internal corporate reorganisation(s) of the Parties and subsequent acquisition of their flour milling and other related assets by HMLS. The proposed combination falls under Section 5 of the Act.
- HMLS, a company newly established in Luxembourg, is a joint venture between the Parties. As stated in the notice, HMLS would acquire the flour milling and other related assets of the Parties and be subsequently renamed as Ardent Mills S.a.r.l.
Issues for consideration
2 issues framed by the court
Whether the proposed combination between ConAgra, Cargill, and CHS to form a joint venture in North America is likely to appreciably affect competition in India.
Whether the proposed combination falls under the provisions of Section 5 of the Competition Act, 2002.
Case details
As recorded by the court registry
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