Sanlam, Shriram Credit Get CCI Nod for Shriram AMC Stake

New Delhi, Apr 8 (PTI) Fair trade regulator CCI on Tuesday cleared South Africa-based Sanlam and Shriram Credit Company's joint proposal to acquire a stake in Shriram Asset Management Company.

"The proposed combination relates to subscription of equity shares of Shriram Asset Management Company Ltd (SAMC) constituting 23 per cent of the expanded voting share capital of SAMC by Sanlam Emerging Market (Mauritius) Ltd (SEMM) by way of preferential allotment," the Competition Commission of India (CCI) said in a release.

The competition watchdog has also granted its approval for further acquisition of up to 26 per cent shareholding of SAMC from the public, as required under Sebi's SAST (Substantial Acquisition of Shares and Takeover) rules, by way of an open offer to be made by SEMM along with Shriram Credit Company.

"Commission approves proposed acquisition of shares of Shriram Asset Management Company Ltd by Sanlam Emerging Market (Mauritius) Ltd and Shriram Credit Company Ltd," the regulator said.

SEMM belongs to Sanlam Group. It is the existing strategic partner of Shriram Group. It holds a 40.70 per cent stake in Shriram Capital Pvt Ltd, which is the ultimate holding company of SAMC.

Shriram Credit Company is the subsidiary of Shriram Investment Holdings and the promoter and sponsor of SAMC. SAMC, a Sebi-registered entity, is also a part of the Shriram Group and is engaged in the asset management business.

In a separate release, CCI approves the proposed acquisition of shareholding in Vastu Housing Finance Corporation, APAC Financial Services, and Quantiphi, Inc by Multiples Plenty Private Equity GIFT Fund.

Multiples GIFT Fund, a registered International Financial Services Centres Authority as a restricted scheme, belongs to the Multiples Group. Vastu is a housing finance company, while APAC is a non-banking financial company.

Quantiphi is engaged in the provision of various artificial intelligence and machine learning solutions, and data analytics. It is present in India through its subsidiary, Quantiphi Analytics Solutions Pvt Ltd.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace.