CCI approves Flipkart’s 7.8% acquisition of Aditya Birla Fashion and Retail

The Competition Commission of India (CCI) has approved e-commerce marketplace Flipkart’s proposed acquisition of 7.8 per cent equity stake in Aditya Birla Fashion and Retail.

Aditya Birla Fashion had approved the issuance of equity shares on a preferential basis to Flipkart for Rs 1,500 crore.

In addition to approval of shareholders by way of postal ballot received on November 22, 2020), the issue was subject to regulatory approvals and completion of customary closing conditions under the investment agreement.

“The CCI has accorded its approval to Flipkart for its proposed acquisition of 7.8 per cent equity stake in the company on a fully diluted basis vide its approval letter dated January 20,” said Geetika Anand, Vice-President, Company Secretary and Compliance Officer at Aditya Birla Fashion.