The regulations governing mergers, acquisitions and combinations under the Competition Act would be finalised by May 1, and implemented from June 1, said Minister for Corporate Affairs, Murli Deora, here on Monday.
“The revised draft of regulations is in the final stages and we expect the notification to be finalised by May 1,” he told reporters at an event organised by the Indian Merchants’ Chamber (IMC) here on Monday.
During the event, the Minister and the officials of the Competition Commission of India (CCI) and Ministry of Corporate Affairs met members of the industry to discuss the new provisions of the competition regime.
Mr. Deora said the new regulations for corporate mergers and acquisitions would be implemented from June 1.
“After Mumbai, we will hold meetings in Bangalore and Hyderabad. The combination of regulations will be finalised after duly considering the comments and suggestions received,” CCI Chairman, Dhanendra Kumar, said.
Under the Act, companies with a turnover of more than Rs 1,500-crore will have to approach the CCI for approval before merging with another firm. Also, companies with combined assets of Rs 1,000-crore or more, or a combined turnover of Rs 3,000-crore or more, would require the CCI’s nod.
The maximum time limit for the CCI to vet mergers has been reduced to 180 days from the earlier 210 days.