CCI approves merger of Mangalore Chemicals & Fertilisers with Paradeep Phosphates

CCI approves merger of Mangalore Chemicals & Fertilisers with Paradeep Phosphates

The Competition Commission of India on Tuesday said it has approved the proposed amalgamation of Mangalore Chemicals & Fertilizers with Paradeep Phosphates Ltd.

Mangalore Chemicals & Fertilizers Ltd (MCFL) is a company under the Adventz group and is engaged in the production and marketing of complex phosphatic fertilizers. Zuari Agro Chemicals Ltd holds 54.03 per cent stake in the company.

CCI approved the amalgamation of MCFL with Paradeep Phosphates Ltd (PPL), on a going concern basis, the regulator said in a release.

Besides, CCI approved the "proposed acquisition of 3,92,06,000 equity shares of MCFL by Zuari Maroc Phosphates Pvt Ltd (ZMPPL) from Zuari Agro Chemicals Ltd (ZACL)," the regulator added.

ZMPPL is a 50:50 joint venture between ZACL, a company belonging to the Adventz group, and OCP SA (OCP).

Paradeep Phosphates Ltd, primarily engaged in the production and marketing of complex phosphatic fertilizers. It is a company under the Adventz group and ZMPPL, with 56.08 per cent equity stake, has the majority shareholding in PPL.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace.

In another release, the fair trade regulator has cleared the acquisition of 100 per cent share capital of Viterra by Bunge.

"The proposed combination relates to the acquisition of 100 per cent of the issued and outstanding share capital of Viterra Ltd (Viterra) by Bunge Global SA (Bunge)," CCI said

After the transaction, "Viterra’s three main shareholders, Glencore PLC (Glencore), the Canada Pension Plan Investment Board (CPP Investments), and the British Columbia Investment Management Corporation (BCI) will receive Bunge stock and as a result will own minority stakes in Bunge," it added.

Bunge is mainly engaged in the sale of oilseed meals and vegetable oils. It also sells grains and milled products as well as unprocessed oilseeds and other products like sugar.

Viterra focuses on the purchase and sale of unprocessed commodity crops, in particular grains. The company also sells oilseeds and other unprocessed products like cotton and sugar, as well as milled products and oilseed-based products.