Home Acts & Rules Law of Competition Regulation CCI (Procedure In Regard To The Transaction Of Business Relating To Combinations) Regulations, 2011 This
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Schedule I - Type of combinations ordinarily not likely to cause an appreciable adverse effect on competition in India [ See regulation 4 ] - CCI (Procedure In Regard To The Transaction Of Business Relating To Combinations) Regulations, 2011Extract SCHEDULE I [See regulation 4] (1) An acquisition of shares or voting rights, referred to in sub-clause (i) or sub-clause (ii) of clause (a) of section 5 of the Act, solely as an investment or in the ordinary course of business in so far as the total shares or voting rights held by the acquirer directly or indirectly, do not exceed fifteen per cent (15%) of the total shares or voting rights of the company, of which shares or voting rights are being acquired, directly or indirectly or in accordance with the execution of any document including a share holders agreement or articles of association, not leading to acquisition of control of the enterprise whose shares or voting rights are being acquired. (2) An acquisition of shares or voting rights, referred to in sub-clause (i) or sub-clause (ii) of clause (a) of section 5 of the Act, where the acquirer, prior to acquisition, has fifty percent (50%) or more shares or voting rights in the enterprise whose shares or voting rights are being acquired. except in the cases where the transaction results in transfer from joint control to sole control. (3) An acquisition of assets, referred to in sub- clause (i) or sub-clause (ii) of clause (a) of section 5 of the Act, not directly related to the business activity of the party acquiring the asset or made solely as an investment or in the ordinary course of business, not leading to control of the enterprise whose assets are being acquired except where the assets being acquired represent substantial business operations in a particular location or for a particular product or service of the enterprise, of which assets are being acquired, irrespective of whether such assets are organized as a separate legal entity or not. (4) An amended or renewed tender offer where a notice to the Commission has been filed by the party making the offer, prior to such amendment or renewal of the offer: Provided that the compliance with regulation 16 relating to intimation of any change is duly made. (5) An acquisition of stock in-trade, raw materials, stores and spares in the ordinary course of business (6) An acquisition of shares or voting rights pursuant to a bonus issue or stock splits or consolidation of face value of shares or subscription to rights issue to the extent of their entitled proportion, not leading to acquisition of control. (7) Any acquisition of shares or voting rights by a person acting as a securities underwriter or a registered stock broker of a stock exchange on behalf of its clients, in the ordinary course of its business and in the process of underwriting or stock broking, as the case may be. (8) An acquisition of control or shares or voting rights or assets by one person or enterprise of another person or enterprise within the same group ; Explanation: The 'group' referred to in this category shall have the same meaning as given in explanation (b) to section 5 of the Act. (9) An acquisition of current assets in the ordinary course of business; Explanation: 'Current Assets' shall have the same meaning as attributed to them in schedule VI of the Companies Act, 1956. (10) A combination referred to in section 5 of the Act taking place entirely outside India with insignificant local nexus and effect on markets in India.
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