On Tuesday, the fair trade regulator, the Competition Commission of India (CCI), granted approval for the US-based investment firm Carlyle to acquire a significant 68.9% stake in Roop Automotives Ltd. The CCI’s announcement detailed that the proposed transaction includes a series of interconnected steps, which involve a securities swap between Highway Industries Ltd (HIL) and Roop Automotives Ltd (RAL), leading to the acquisition of the majority stake in RAL by the investor.
CA Carob Investments, the investor in this transaction, is a special-purpose vehicle established in Mauritius and operates under the auspices of Carlyle Group Inc. As of September 30, 2024, Carlyle boasts a substantial portfolio with $447 billion in assets under management. Both Roop Automotives Ltd (RAL) and Highway Industries Ltd (HIL) specialise in the manufacturing and sale of automotive components.
The regulator affirmed, “The commission approves the proposed combination involving interconnected steps which will result in the acquisition of up to 68.9% shareholding in Roop Automotives Ltd by CA Carob Investments.”
In a related matter, CCI also endorsed the acquisition of 21 Special Purpose Vehicles (SPVs) by Gentari Renewables India Pte Ltd, which includes entities owning renewable power generation plants as well as the holding companies of specific SPVs. Gentari Renewables India is an indirect subsidiary of Petroliam Nasional Berhad, dedicated to providing clean energy solutions across three primary domains: renewable energy, hydrogen, and green mobility.
Also Read: “Commission approves the proposed acquisition of 21 SPVs, owning renewable power generation plants, and the holding companies of certain SPVs by Gentari Renewables India Pte Ltd,” the competition watchdog announced in a post on X. The approved SPVs are involved in generating and selling power through wind turbines and solar energy installations. Transactions exceeding specified thresholds require regulatory approval to ensure fair competition and prevent unethical business practices within the marketplace.
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