The Competition Commission of India (CCI) on Monday gave its approval for an internal corporate reorganization of the Daimler AG group of companies. The approval was sought under the green channel route, an automatic approval system whereby a combination is deemed to have been approved by the regulator upon receiving the filing of the notice for the combination by the parties concerned.
Parties to the combination are Daimler AG and Daimler Trucks AG (DTAG), as per a combination notice filed with the regulator.
The proposed transaction is an internal corporate reorganization, relating to separating DTAG, which operates the Daimler Group’s trucks and buses business, from the Daimler Group, to establish two independent companies.
Pursuant to the transaction, the trucks and buses business will be spun-off to become a publicly-traded company, where Dailmer AG will hold a minority shareholding and the majority share capital will be publicly listed, as per the notice.
“Commission received green channel filing from Daimler AG, relating to an internal corporate reorganization of the Daimler AG group of companies and is deemed approved,” the regulator said in a tweet.
The filing said there are no horizontal overlaps, vertical relationships or complementary activities between the businesses of the parties in India as they currently belong to one corporate group and therefore the proposed transaction is unlikely to cause an appreciable adverse effect on competition in any relevant market in India.
