Competition Commission of India approves Brenntag-Raj Petro deal
The Competition Commission of India has approved the acquisition of Raj Petro Specialities by chemical distribution company Brenntag.
Brenntag (Holding) BV is part of the Brenntag Group, which is active in distribution of industrial and speciality chemicals. Raj Petro Specialities is a manufacturer, distributor and exporter of a range of petroleum speciality products and lubricants.
The proposed transaction involves the acquisition of 100% equity share capital of Raj Petro by Brenntag in two tranches. In first tranche, Brenntag - through its indirect subsidiary Brenntag (Holding) - will acquire equity shares representing 65% of the total issued, paid-up and subscribed equity share capital of Raj Petro.The remaining 35% will be picked up in the second tranche.
Deals beyond a certain threshold require approval from the Competition Commission of India, which keeps a watch on unfair business practices across sectors.