The Competition Commission of India (CCI) receives notice under Green Channel filed under sub-section (2) of Section 6 of the Competition Act, 2002 (Act) read with regulation 5A of the Competition Commission of India (Procedure in regard to the transactions of business relating to combinations) Regulations, 2011 (Combination Regulations) and is deemed approved.
Acquisition by Dhampur Bio Organics Limited (DBOL) of certain undertakings of Dhampur Sugar Mills Limited (DSML) in a series of inter-connected steps
The promoter–manager family group of DSML comprises of two families, viz., the group represented by Mr. Gaurav Goel, or the GV Promoter Group, and the group represented by Mr. Gautam Goel or the GT Promoter Group. Mr. Gaurav Goel and Mr. Gautam Goel are presently the managing directors of DSML, as per Ministry of Corporate Affairs.
The Proposed Combination envisages a series of inter-connected steps pursuant to which GV Promoter Group will hold stake only in/comparatively greater stake in DSML (which will hold the Dhampur and Rajpura units); and GT Promoter Group will hold stake only in/comparatively greater stake in DBOL (which will hold the Asmoli, Mansurpur and Meerganj units).
DSML is a public company, limited by shares, incorporated under the provisions of the Companies Act, 1913.
At present, DSML has five manufacturing units situated in the state of Uttar Pradesh. DSML has manufacturing facilities of sugar, power, industrial alcohol, ethanol, chemicals and potable alcohol with different capacities. The equity shares of DSML are listed on the Stock Exchanges.
DBOL is a public company, limited by shares, incorporated under the provisions of the Companies Act, 2013. At present, all the shares of the DBOL are held by DSML and its nominees, such that DBOL is a wholly-owned subsidiary of DSML. The objects of DSML are similar to those of DBOL, i.e. to carry out the dealing in and manufacturing of sugar, power and industrial alcohol, ethanol, chemicals and potable alcohol. However, at present, DBOL is yet to commence operations.
The above news was originally posted on www.indiainfoline.com
