Competition Commission Approves Acquisition Of Sundaram BNP Paribas By Sundaram Finance
The Competition Commission of India has approved acquisition of Sundaram BNP Paribas Home Finance Ltd by non-banking finance company Sundaram Finance Ltd.
Sundaram BNP Paribas Home Finance is a joint venture of Sundaram Finance and BNP Paribas Personal Finance, wherein Sundaram Finance holds 50.1 percent stake.
Sundaram Finance had in June announced acquisition of BNP Paribas Personal Finance’s 49.9 percent stake in Sundaram BNP Paribas for about Rs 999.66 crore. After the acquisition, Sundaram BNP Paribas would become a wholly-owned subsidiary of Sundaram Finance.
“Competition Commission of India approves acquisition of Sundaram BNP Paribas Home Finance by Sundaram Finance Holdings,” CCI said in a tweet on July 27.
According to a notice submitted to CCI, Sundaram BNP Paribas is a housing finance company registered with the National Housing Bank. It is engaged in the business of providing long-term finance to individuals and corporates for construction or acquisition of residential units.
Sundaram Finance is a Chennai-based NBFC engaged in financing the purchase of commercial vehicles, cars, construction equipment and tractors while BNP Paribas Personal Finance is a wholly-owned subsidiary of BNP Paribas SA. BNP Paribas is a leading European bank present in India through its branches in eight cities.
On Monday, Sundaram Finance shares fell 3.34 percent to Rs 1505.15 apiece on the BSE while the benchmark Sensex shed 0.52 percent to end the day at 37,686.37 points.