CCI okays Flipkart's Rs 1,500 cr stake in Aditya Birla Fashion and Retail

Amazon and Flipkart can't directly acquire assets under FDI rules, so they are doing smaller strategic stake deals with offline retailers, hoping to acquire offline assets when rules change

The Competition Commission of India (CCI) on Wednesday approved the acquisition of a 7.8 per cent minority stake in Aditya Birla Fashion and Retail Ltd by Flipkart Investments Private Ltd. The competition watchdog made the announcement in the evening on Twitter.

Last October, Flipkart Group and Aditya Birla Fashion and Retail Limited (ABFRL) formed a new strategic partnership aimed at enhancing the consumer fashion experience. Through an investment of Rs 1,500 crore, Flipkart Investments said it will acquire about 7.8 per cent stake in ABFRL. The companies have partnered to leverage synergies in the fashion segment.

Through this partnership, Flipkart