On 4 March 2011, the Indian Government brought into force the
provisions of the Competition Act 2002 (the 'Act') relating
to the regulation of mergers. The notification followed the release
of new draft merger regulations by the Competition Commission of
India ('CCI'). India had enacted its competition law in
2002 but, in order to address industry concerns, had suspended the
operation of the merger provisions in the Act.
However, from 1 June 2011, mergers and acquisitions which meet
the turnover thresholds will have to be notified to the CCI within
30 days of the transaction being approved by the companies. A
merger must be notified if any of the thresholds below are met.
- Combined assets of the acquirer and target in India is at least
Rs. 1,500 crores (€240 million) or combined worldwide
assets are valued at least USD 750 million (€ 540 million)
with at least Rs. 750 crores (€ 120 million) of Indian
assets.
