CCI approves Brookfield's stake buy in JPFL Films under green route 

Under the green channel route, a deal which does not raise any risk of an appreciable adverse effect on market competition is deemed to be approved on it being intimated to the competition watchdog.

Published: 30th May 2022 07:33 PM  |   Last Updated: 30th May 2022 07:33 PM   |  A+A-

Competition Commission of India (Photo | Twitter/ CCI_India)

Competition Commission of India (Photo | Twitter/ CCI_India)

By PTI

NEW DELHI: The competition commission of India on Monday approved the purchase of stake in JPFL Films Pvt Ltd by UAE-based Project Holdings Fourteen (DIFC) Ltd -- an affiliate of Brookfield Asset Management-- under a green channel route.

Under the green channel route, a deal which does not raise any risk of an appreciable adverse effect on market competition is deemed to be approved on it being intimated to the competition watchdog.

In a release on Monday, CCI (Competition Commission of India) said it has approved the proposed deal.

In March, JPFL signed a pact with Brookfield Asset Management to sell a 25 per cent stake in its packaging films business that will be hived off as a separate unit as part of the Rs 2,000-crore transaction.

The transaction will result in JPFL carving out the packaging films business into a wholly-owned subsidiary, in which Brookfield will hold a minority stake.

The proposed investment, which values the hived-off entity at Rs 8,000 crore, will be carried out through Brookfield's Special Investments programme and with its institutional partners Brookfield and Jindal Poly Films.

"Given that there are no horizontal overlaps, vertical relationships, or complementary businesses between acquirer/acquirer's group and target in India, the proposed transaction does not raise any risk of an appreciable adverse effect on competition in India and is being notified under the green channel route," CCI said.

Jindal Poly Films Ltd produces metallised and coated films as well as tear tape, stamping foil, security thread and other high-value products.

Jindal Films India Ltd is a leading manufacturer of flexible plastic films for the packaging industry and non-woven fabrics products.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp