CCI approves proposed acquisition of shares of Shriram Asset Management Company Limited by Sanlam Emerging Market (Mauritius) Limited and Shriram Credit Company Limited

The Competition Commission of India has approved the proposed acquisition of shares of Shriram Asset Management Company Limited by Sanlam Emerging Market (Mauritius) Limited and Shriram Credit Company Limited.

The proposed combination relates to subscription of equity shares of Shriram Asset Management Company Limited (SAMC) constituting 23% of the expanded voting share capital of SAMC by Sanlam Emerging Market (Mauritius) Limited (SEMM) by way of preferential allotment and further acquisition of up to 26% shareholding of SAMC from the public, as required under Section 3 of Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeover) Regulation, 2011, by way of an open offer to be made by SEMM along with Shriram Credit Company Limited (SCCL).

SEMM, incorporated in Mauritius, belongs to Sanlam Group, South Africa. SEMM is the existing strategic partner of Shriram Group. It holds 40.70% stake in Shriram Capital Private Limited, which is the ultimate holding company of SAMC.

SCCL, also a part of Shriram Group, is the subsidiary of Shriram Investment Holdings Private Limited and is presently the promoter and sponsor of SAMC.

SAMC is also a part of Shriram Group and is engaged in the asset management business and registered with Securities and Exchange Board of India (SEBI). SAMC has also obtained license for portfolio management services (PMS) from SEBI, though SAMC has not started PMS business as on date. 

Detailed order of the Commission will follow.