The Competition Commission of India (CCI) has granted nod to Singapore-based TIGA Investments’ proposal to acquire a stake in Dream11’s parent company Dream Sports Inc. The deal was cleared by CCI under the green channel route.
The transaction pertains to the purchase by Tiga Acquisition Corp III (Tiga) of certain preferred stock of Dream Sports Inc (DSI), along with certain rights, from an existing shareholder of DSI, the regulator said in a notice on September 23.
However, the fair trade regulator CCI did not reveal the name of the existing shareholder.
The US-based Dream Sports conducts its operations through its subsidiary in India, Sporta Technologies Pvt Ltd. DSI, a sports tech company, owns a portfolio of leading brands like Dream11 and FanCode.
Sporta is primarily involved in the provision of online gaming and allied digital engagement services in India.
TIGA Investments (TIGA) focuses on making long-term investments in differentiated businesses with strong management teams.
Tiga is also the sponsor of TIGA Acquisition Corp, an NYSE-listed special purpose acquisition company. It provides private debt and equity investment across the Asia Pacific.
“The parties and their respective group entities and affiliates do not have any horizontal overlaps, existing or potential vertical linkages and existing or potential complementary business activities in India.
“…proposed transaction is unlikely to cause any appreciable adverse effect on competition in India,” CCI said.
Accordingly, the transaction is being notified to the Commission under the green channel route.
Under this route, a transaction that does not raise any risk of an appreciable adverse effect on competition is deemed to be approved on being intimated to the fair-trade regulator.
Source: Economic Times