CCI Approves Bharat Forge's Acquisition of AAM India with Conditions

New Delhi, Apr 23 (KNN) The Competition Commission of India (CCI) has approved Bharat Forge Ltd’s proposed acquisition of AAM India Manufacturing Corporation Pvt Ltd, following certain voluntary modifications offered by the companies involved.

In a statement released on Tuesday, the CCI announced that the transaction has been cleared "subject to compliance of voluntarily modifications offered by the parties."

While the specifics of the modifications were not disclosed, the move comes after the regulator previously flagged potential concerns about the deal's impact on market competition.

Last month, the CCI had invited public comments on the proposed transaction after forming a prima facie opinion that the deal could negatively affect competition in the sector.

Bharat Forge is a major player in the manufacturing of forged components and engineering solutions, serving industries such as automotive, aerospace, and energy.

AAM India, on the other hand, focuses on the production and sale of axles for commercial vehicles within the Indian market.

The CCI's role is to ensure that mergers and acquisitions, especially those exceeding certain asset or turnover thresholds, do not lead to anti-competitive practices.

The approval of this deal with modifications reflects the regulator’s ongoing efforts to balance business growth with fair competition.

The conditional approval allows Bharat Forge to expand its footprint in the commercial vehicle component space, while adhering to safeguards designed to protect market fairness.

Further details on the exact nature of the modifications are expected to emerge once the companies comply with regulatory disclosures.

(KNN Bureau)