CCI approves Hitachi's stake-buy in ABB's power grid arm

Competition Commission of India (CCI) on Tuesday said it has approved acquisition of 80.1 per cent stake in ABB Management Holding AG by Hitachi Ltd.

The proposed combination envisages acquisition of 80.1 per cent share capital of ABB Management Holding AG by Hitachi from ABB Ltd. ABB Management will hold the entire power grid business of ABB, CCI said in a release.

In December 2018, Swiss power major ABB Group had said the Japan-based Hitachi will buy an 80.1 per cent stake in its power grids arm in a deal that values its grid business at USD 11 billion (Rs 78,763 crore).

The deal is expected to be complete by the first half of 2020, it had added.

Japanese firm Hitachi is the parent company of the Hitachi group of companies and is active in business segments, including IT solution, energy solution, industry solution, mobility solution, and smart life solution.

Besides, ABB is involved in development, engineering, manufacturing and sale of products, systems and projects in the power grids sector, fair trade regulator noted.