The merger is not likely to have an appreciable adverse effect on competition in India
After been approached by Competition Commissioners ING Vysya and Kotak Mahindra will merge together making it country fourth largest private sector lender
New Delhi: The proposed Rs15,000 crore merger deal between Kotak Mahindra and ING Vysya has got the Competition Commission’s approval. According to the fair trade regulator, the merger, which would create the country’s fourth largest private sector lender, is “not likely to have an appreciable adverse effect on competition in India”.
In an order dated February 12 but released today, the Competition Commission of India (CCI) said that share of both entities in various relevant markets is “insignificant”. In this case, the regulator took into account multiple relevant markets including those for deposits, home loans, agricultural banking and card business.
The CCI observed that the presence of large players in these markets would also “act as a competitive constraint to the parties”. The commission also said that since ING Vysya does not have significant market share in any of the relevant markets.
( Source : PTI )
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