Competition Commission gives nod to Schneider-L&T deal

However, the deal is subject to compliance of certain modifications, the Competition Commission of India (CCI) said.

The green signal comes after the regulator had sought comments from the public in November last year on the proposed acquisition by Schneider after finding that it could have an adverse impact on competition.

In a tweet, the CCI said it "approves acquisition of electrical and automation business of L&T by Schneider and MacRitchie, subject to compliance of certain modifications".

In May 2018, Larsen & Toubro had inked a definitive pact with Schneider Electric to sell its electrical and automation business for an all-cash consideration of ₹14,000 crore, as part of its long-term strategy to exit non-core activities.

According to notice submitted to the CCI, the proposed deal involves acquiring electrical and automation business of L&T by SEIPL (Schneider Electric India Pvt Ltd) as a going concern on a slump sale basis as well as the acquisition of 35 per cent stake in SEIPL by MacRitchie.

This story has been published from a wire agency feed without modifications to the text.