India: Competition regulator the Competition Commission of India (CCI) has given its approval to the proposed 14% stake sale by Lafarge of its subsidiary Lafarge India to Baring Private Equity Asia, saying that the deal will not adversely effect competition in the country.
"The combination is not likely to have appreciable adverse effect on competition in India and therefore, the Commission hereby approves the combination under... the (Competition) Act," said the CCI in its order on 26 June 2013.
According to the regulator the deal will not cause adverse competition concerns as neither Paris Cement nor Baring or any of its portfolio companies is engaged in the business of manufacturing cement in India. Lafarge and Baring entered their sale agreement on 14 May 2013, which stated that certain actions of Lafarge India cannot be taken without the prior written consent of Paris Cement Investment Holdings.
