Competition Commission Approves Ctrip’s 42.5% Stake Purchase In MakeMyTrip
The Competition Commission of India has approved the acquisition of additional shares of MakeMyTrip by Chinese travel major Ctrip.com International.
According to notice submitted by the parties to fair trade regulator, the transaction relates to the acquisition of approximately 42.52 percent equity stake of MMT by Ctrip from MIH Internet Sea Private Ltd., owned by South African internet firm Naspers.
Post-transaction, Ctrip.com -- an existing stakeholder in MMT -- will increase its stake in the Indian travel company to 49 percent.
In a tweet, the CCI on Tuesday said it “approves acquisition of additional outstanding voting securities of MakeMyTrip Limited by Ctrip.com International Ltd.”
In April, Naspers had said that it will exit MakeMyTrip by selling its entire shareholding to Ctrip.com International.
Naspers will get a 5.6 percent stake in Ctrip.com International for selling its stakeholding in MakeMyTrip, the former had said.
Combinations (mergers and acquisitions) beyond a certain threshold require clearance from the CCI.