Fair trade regulator CCI has approved Tata Steel's proposed acquisition of debt-ridden Bhushan Power and Steel.
"@CCI_India finds no appreciable adverse effect on competition in respect of Tata Steel's proposed acquisition of 100 per cent of the total issued and paid up capital of Bhushan Power and Steel Limited," the regulator said in a tweet on Wednesday.
@CCI_India finds no Appreciable Adverse Effect on Competition in respect of Tata Steel' s proposed aqusition of 100% of the total issued and paid up capital of Bhushan Power and Steel Limited.— CCI (@CCI_India) August 8, 2018
According to the notice submitted to the Competition Commission of India (CCI), the proposed combination involves the acquisition by Tata Steel, either directly or through a wholly owned subsidiary, of up to 100 per cent of the total issued and paid up share capital of Bhushan Power and Steel, which is presently undergoing insolvency resolution proceedings initiated under the Insolvency and Bankruptcy Code (IBC).
Bhushan Power and Steel owes about Rs 450 billion to its lenders and it was among the 12 non-performing accounts referred by the Reserve Bank of India for insolvency proceedings in June last year.