Competition Commission of India Clears Tata Electronics-Wistron Infocomm Deal
Competition Commission of India Clears Tata Electronics-Wistron Infocomm Deal
The board of the technology service provider company had approved the sale for USD 125 million
The Competition Commission of India (CCI) has announced the clearance of the Tata Electronics proposed acquisition of Taiwan-based operations of Wistron Infocomm Manufacturing (India) in the country.
Wistron InfoComm was incorporated by the Winston Group in 2017. The Wistron Group, which operates an iPhone assembly plant near Bengaluru, Karnataka, had announced in October last that it had agreed to sell the plant to the Tata Group.
(Apple's iPhones are mainly assembled by Taiwanese manufacturing giants like Pegatron Corp and Foxconn Technology Group).
As per the notice submitted to the fair trade regulator, Tata Electronics proposes to acquire 100 percent of the Wistron Infocomm equity share capital from SMS Infocomm Singapore Pvt Ltd and Wistron Hong Kong Ltd.
SMS Infocomm and Wistron Hong Kong owned 99.99 percent and 0.01 percent, respectively, of the Wistron Infocomm share capital on a fully diluted basis.
The notice submitted to the CCI read, "The proposed transaction does not exhibit any horizontal overlaps, existing vertical linkages, or complementary linkages between the parties. A potential vertical overlap arises, which would not have any appreciable adverse effect on competition.”
