Honey Wheat Investment Ltd.
Case brief
What is this about?
The Competition Commission of India approved a proposed combination where Honey Wheat Investment Limited acquired 9.99% equity in SBI General Insurance from IAG International. The Commission found the proposed combination unlikely to cause any appreciable adverse effect on competition.
What did the court decide?
The Commission approves the Proposed Combination under Section 31(1) of the Act.
What the court decided
COMPETITION COMMISSION OF INDIA
(Combination Registration No. C-2019/11/701)
13th December, 2019
Notice under Section 6(2) of the Competition Act, 2002 filed by Honey Wheat Investment Limited
CORAM:
Mr. Ashok Kumar Gupta Chairperson
Ms. Sangeeta Verma Member
Mr. Bhagwant Singh Bishnoi Member
Order under Section 31(1) of the Competition Act, 2002
- On 5th November, 2019, the Competition Commission of India ( Commission ) received a notice ( Notice ) under Section 6(2) of the Competition Act, 2002 ( Act ), filed by Honey Wheat Investment Limited ( Honey Wheat/Acquirer ). The Notice has been given pursuant to the execution of the share purchase agreement between IAG International Pty Limited ( IAG International / Seller ), Honey Wheat and SBI General Insurance Company Limited ( SBI General Insurance ) on 16th October, 2019 ( SPA ). Honey Wheat and SBI General Insurance are collectively referred to as Parties. The Parties also envisage execution of shareholder’s agreement amongst Target and its shareholders.
Issues for consideration
3 issues framed by the court
Whether the proposed acquisition of 9.99% equity shareholding in SBI General Insurance by Honey Wheat would cause appreciable adverse effect on competition.
Whether the proposed combination requires approval under the Competition Act, 2002.
Whether the market position of the target and acquisition party indicates dominant position or horizontal/vertical overlap.
Parties & counsel
- applicant
Honey Wheat Investment Limited
- respondent
IAG International Pty Limited
- respondent
SBI General Insurance Company Limited
Coram
Case details
As recorded by the court registry
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