New Delhi: The Competition Commission of India (CCI) on Wednesday cleared the acquisition of Mitsubishi Chemical Corp.’s Indian unit—MCC PTA India Corp. Pvt. Ltd —by The Chatterjee Group (TCG).

“CCI approves acquisition of shares of MCC PTA India Corp. Pvt. Ltd by Chatterjee Group from Mitsubishi Chemical Corp.," the anti-trust regulator said in a post on Twitter.

The clearance will allow TCG to buy a 90% stake in MCC PTA—a producer of purified terephthalic acid, or PTA (a precursor to polyester).

The acquisition, for an estimated $48 million, will help prevent MCC PTA from shutting and save 1,100 jobs, Mint reported in July.

Also read: Chatterjee Group to acquire 90% stake in Mitsubishi Chemical’s India unit

MCC PTA has been making losses for several years as revenue declined owing to cheaper imports from China. Chinese imports affected MCC PTA’s profitability from 2012.

Under the deal, TCG’s purchase of MCC PTA’s stake will help infuse funds to pay off MCC PTA’s debt.

Investor Purnendu Chatterjee, founder of TCG, also acquired a controlling stake in Haldia Petrochemicals Ltd in West Bengal.

A spokesperson for MCC PTA said it was a straightforward deal, so the clearance was granted within the estimated time frame. In the past six months, the company’s performance has improved, and things will improve further after TCG takes over, this person added.

“CCI approval took pretty reasonable period to happen. Since there were no overlaps, CCI just cleared it. I wasn’t expecting any hurdle either," Purnendu Chatterjee, chairman of TCG said. However, he refused to divulge further details.