Tatas deal to buy up to 64.3 pc stake in BigBasket gets CCI approval
PTI, Apr 29, 2021, 1:14 PM IST
Image Source: BigBasket
New Delhi: Competition Commission of India has approved Tatas’ proposal to acquire up to 64.3 per cent stake in BigBasket, a deal that will provide the diversified group a strong foothold in the fast-growing online grocery market.
Under the deal, Tata Digital Ltd (TDL) will purchase up to 64.3 per cent of the total share capital of Supermarket Grocery Supplies Pvt Ltd (SGS) as well as SGS sole control over Innovative Retail Concepts Pvt Ltd.
SGS is into B2B (business-to-business) sales through the portal business.bigbasket.com.
Innovative Retail Concepts Pvt Ltd (IRC) is engaged in B2C (business-to-consumer) sales through www.bigbasket.com and related mobile applications.
A wholly-owned subsidiary of Tata Sons Pvt Ltd, TDL provides technology services related to identity and access management, loyalty programmes, offers and payments.
An official release on Thursday said Competition Commission of India (CCI) has approved the proposed deal of Tata group acquiring up to 64.3 per cent stake in Bigbasket.
The deal involves TDL buying 64.3 per cent of the total share capital of SGS (on a fully diluted basis) through a combination of primary and secondary acquisitions, in one or more series of steps. This is the first transaction.
”It is stated that subsequently, through a separate transaction, SGS may acquire sole control over Innovative Retail Concepts Pvt Ltd (IRC) (transaction 2). Transaction 1 and Transaction 2 are collectively referred to as the proposed combination.
”The proposed combination will result in the acquisition by TDL of majority stake of and control over SGS,” the release said.
Founded in 2011, BigBasket operates in 25 Indian cities. It competes with SoftBank-backed Grofers as well as Amazon India and Flipkart.
Deals beyond a certain threshold require approval from CCI.
Udayavani is now on Telegram. Click here to join our channel and stay updated with the latest news.
Top News
Related Articles More
Adani-Hindenburg row: Public Accounts Committee calls SEBI chief on Oct 24
RBI research says onion farmers get 36% of consumers’ spend, pitches for futures trading, private mandis
Markets fall in early trade on unabated foreign fund outflows, Middle East conflict
BSE to discontinue weekly index derivatives on Sensex 50, Bankex following SEBI’s directive
Sensex, Nifty slump in early trade as Middle East conflict deepens
MUST WATCH
Latest Additions
Narsinghanand detained, claims aide; Security stepped up at Dasna temple after protest against his remarks
Anand, Arjun play out draws as Ganges Grandmasters suffer third consecutive defeat in GCL
NIA arrests alleged terror operative during pan-India searches,questions suspects radicalising youth
Enjoying my time as India captain, let’s see: Surya on IPL captaincy
Middle East latest: Hamas official killed in Israeli strike on refugee camp
Thanks for visiting Udayavani
You seem to have an Ad Blocker on.
To continue reading, please turn it off or whitelist Udayavani.