Allowed

Copper Technology Pte. Ltd. (Ctpl), Singapore

CCI1 Sept 2017C-2017/08/525

Case brief

AI extract

What is this about?

The Competition Commission of India granted approval for Copper Technology Pte. Ltd.'s subscription of shares in ANI Technologies Private Limited. The Commission found no likelihood of an appreciable adverse effect on competition, noting the applicants' insignificant presence in mobile wallets and lack of vertical or horizontal relationships.

What did the court decide?

Proposed combination approved under sub-section (1) of Section 31 of the Competition Act, 2002.

Copper Technology Pte. Ltd. (Ctpl), Singapore — Company and Corporate | CCI (2017)

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Fair Competition For Greater Good

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COMPETITION COMMISSION OF INDIA

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(Combination Registration No. C-2017/08/525)

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1^st September, 2017

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Notice under Section 6 (2) of the Competition Act, 2002 given by Copper Technology Pte. Ltd.

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CORAM:

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Mr. Devender Kumar Sikri Chairperson

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Mr. Sudhir Mital Member

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Mr. Augustine Peter Member Mr. U.C. Nahta Member Mr. G.P. Mittal Member

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Legal Representative: Platinum Partners

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Order under Section 31(1) of the Competition Act, 2002

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On 17^th August, 2017, the Competition Commission of India (hereinafter referred to as the “ Commission ”) received a notice filed by Copper Technology Pte. Ltd (“CTPL”) pursuant to Share Subscription Agreement and Shareholders’ Agreement each dated 29th July 2017 , entered inter-alia, into and between CTPL, ANI Technologies Private Limited (“ANI”) . ( hereinafter, CTPL and ANI are collectively referred to as “ Parties ”).

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The proposed combination relates to subscription by CTPL of 9.57% fully diluted paidup share capital of ANI. In addition, CTPL is entitled to nominate a non- executive director on the board of ANI.

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Page 1 of 3

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COMPETITION COMMISSION OF INDIA

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(Combination Registration No. C-2017/08/525)

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Fair Competition For Greater Good

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The notice for proposed combination has been filed under sub-section 2 of Section 6 read with sub-section (a) of Section 5 the Competition Act,2002 ( “Act” ) .

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CTPL, a newly incorporated private company in Singapore, is an investment holding company. Currently, it does not carry out any business activities in India and is a wholly owned subsidiary of Aceville Pte. Ltd. (“ Aceville ”), an entity incorporated in Singapore. Tencent Holdings Limited (“ Tencent ”), a company incorporated in the Cayman Island, is the ultimate parent company of Aceville. Tencent is inter-alia , engaged in provision of value-added services and online advertising services to users in China.

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ANI, a private limited company incorporated in India, is inter-alia , engaged in providing internet and mobile technology platforms for taxi-hailing by commuters (under the brand OLA). Through its subsidiaries, ANI is also engaged in other related activities such as provision of cars on operating lease basis to drivers and to transport service providers.

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The Commission observed that neither Tencent nor its subsidiaries are engaged in production, distribution or trading of similar or identical or substitutable products as of the main activities of ANI in India. However, Tencent group has investment in Flipkart through one of its portfolio company, which is inter-alia, engaged in the business of issuance of semi-closed prepaid instruments (i.e. Mobile Wallets) under the brand name of “PhonePe”. The Commission noted that PhonePe may be substitutable to Ola Money. In this regard, the Commission observed that these entities have insignificant presence in the activity of mobile wallet in India and accordingly there seems to be no competition concerns.

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With regard to vertical relationships, there is no vertical relationship between them.

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Considering the facts on record, details provided in the notice given under sub-section (2) of Section 6 of the Act and assessment of the proposed combination on the basis of factors stated in sub-section (4) of Section 20 of the Act, the Commission is of the opinion that proposed combination is not likely to have an appreciable adverse effect on competition in India and therefore, the Commission, hereby, approves the same under sub-section (1) of Section 31 of the Act.

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COMPETITION COMMISSION OF INDIA (Combination Registration No. C-2017/08/525)

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Fair Competition For Greater Good

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This order shall stand revoked if, at any time, the information provided by the Parties is found to be incorrect.

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The information provided by the parties shall be treated as confidential in terms of and subject to provisions of Section 57 of the Act.

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The Secretary is directed to communicate to the parties accordingly.

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Copper Technology Pte. Ltd. (Ctpl), Singapore

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Copper Technology Pte. Ltd. (Ctpl), Singapore

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