Tata Digital’s proposed supermarket Grocery Supplies Pvt Ltd (SGS) has acquired a 64.3% stake managed by online grocery firm Bigbasket, approved by the Competition Commission of India (CCI).
The proposed transaction involves the acquisition of Tata Digital Limited (TDL) up to 64.3% of SGS’s total share capital (on a full-fledged basis) through a combination of one or more steps of primary and secondary acquisitions.
Subsequently, SGS may acquire sole control of Innovative Retail Concepts Private Limited (IRC) through separate transactions. The proposed merger will result in the acquisition of TDL for the most part of SDC.
Tata Digital Limited (TDL) is a wholly-owned subsidiary of Tata Sons Pvt. Ltd., the ultimate holding company of entities under the Tata Sons Group. Currently, TDL is engaged in the business of providing technology services related to identity and access management, loyalty programs, offers, and payments.
SGS is affiliated with Indian law and is engaged in online B2B sales of relevant products in India through Business.bigbasket.com.
The IRC, affiliated under Indian law, is engaged in online B2C sales of relevant products in India and operates the www.bigbasket.com website and related mobile applications.
In March, Tata Digital sought CCI approval to acquire a 64.3% stake in SGS. At the time of submission to the unreliable company, Tata Digital said that the proposed transaction would not change the competitive landscape or have any significant adverse effects on competition in India, regardless of the context in which the relevant markets are determined.
