Notice given by Toho Titanium Co. Ltd.
Case brief
What is this about?
The Competition Commission of India approved a proposed combination where Toho Titanium Co. Ltd. acquired a 34 percent stake in Nippon Steel & Sumikin Naoetsu Titanium Co. Ltd. Subsidiary.
What did the court decide?
Approval of the proposed combination subject to revocation if information provided is found to be incorrect.
What the court decided
A compact analysis
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
Fair competition for greater good
COMPETITION COMMISSION OF INDIA
(Combination Registration No. C-2013/10/133)
22.10. 2013
Notice u/s 6 (2) of the Competition Act, 2002 given by:
- Toho Titanium Co. Ltd.
Order under Section 31(1) of the Competition Act, 2002
- On 3rd October, 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 Toho Titanium Co. Ltd. (hereinafter referred to as “ TTC/Acquirer ”).
- The notice was filed pursuant to the execution of a Joint Business Agreement dated 4th September, 2013 entered into between Nippon Steel & Sumitomo Metal Corporation (hereinafter referred to as “ NSSMC ”) and TTC (hereinafter NSSMC and TTC are collectively referred to as the “ parties to the combination ”).
- As per the information in the notice, the proposed combination comprises acquisition of a 34 percent stake by TTC in the newly incorporated subsidiary of NSSMC i.e. Nippon Steel & Sumikin Naoetsu Titanium Co. Ltd (hereinafter referred to as “ NSSNTC ”) as a part of the following steps of transaction: Step 1: NSSMC would incorporate a wholly owned subsidiary i.e. NSSNTC and would transfer a part of titanium materials melting business being operated by NSSMC at its Naoetsu works in Japan to NSSNTC; Step 2: NSSNTC would acquire two vacuum arc re-melting furnaces (VAR furnaces) held by Osaka Titanium Technologies Co. Ltd. and relocate them to
Issues for consideration
3 issues framed by the court
Whether the proposed combination involving acquisition of a stake in a subsidiary of Nippon Steel by Toho Titanium is likely to have an appreciable adverse effect on competition in India.
Whether the Commission can approve the proposed combination under Section 31(1) of the Competition Act, 2002.
Whether the proposed combination qualifies under Section 5 of the Competition Act, 2002.
Parties & counsel
- applicant
Nippon Steel & Sumitomo Metal Corporation
- applicant
Toho Titanium Co. Ltd.
- other
Nippon Steel & Sumikin Naoetsu Titanium Co. Ltd.
Coram
Case details
As recorded by the court registry
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