Jamnalal Sons Private Limited
Case brief
What is this about?
The Competition Commission of India approved a proposed combination under Section 31(1) of the Competition Act, 2002. The Commission determined that the acquisition by Jamnalal Sons Private Limited of equity in Mukand Sumi Special Steel Limited was not likely to cause an appreciable adverse effect on competition in India.
What did the court decide?
Approval of the Proposed Combination under Section 31(1) of the Act and declaration that the non-compete clause is not ancillary to the combination.
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.
COMPETITION COMMISSION OF INDIA
(Combination Registration No. C-2020/11/784)
30th December 2020
Notice under Section 6 (2) of the Competition Act, 2002 given by Jamnalal Sons Private 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 9th November 2020, the Competition Commission of India (“ Commission ”) received a notice under Section 6(2) of the Competition Act, 2002 (“ Act ”), given by Jamnalal Sons Private Limited (“ JSPL/Acquirer ”). The notice was filed pursuant to the execution of Share Purchase Agreement (“ SPA ”) between JSPL and Mukand Limited (“ Mukand/Seller ”) on 5th November 2020.
- The Proposed Combination relates to acquisition of upto 51% of the equity share capital of Mukand Sumi Special Steel Limited (“ MSSSL/Target ”) from Mukand by JSPL. [Hereinafter, the Acquirer and the Target are collectively referred to as “ Parties ”.] MSSSL is a 51:49 joint venture (“ JV ”) between Mukand and Sumitomo Corporation
Issues for consideration
3 issues framed by the court
Whether the proposed acquisition of equity shares in Mukand Sumi Special Steel Limited by Jamnalal Sons Private Limited is likely to cause an appreciable adverse effect on competition in India.
Whether the non-compete clause in the relevant agreement is ancillary to the proposed combination.
Whether the parties involved in the combination are engaged in activities at different stages of production chain or complementary activities.
Coram
Ashok Kumar Gupta
Sangeeta Verma
Bhagwant Singh Bishnoi
Case details
As recorded by the court registry
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