Fair Trade Regulator Clears Ashok Leyland Deal To Buy Nissan Stake In 3 JVs
Cars maker Ashok Leyland has bought approval of the competitor’s commission of India (CCI) to buy out its Japanese accomplice Nissan Motors’ stake in three joint ventures.
It was introduced in September that Nissan Motors would exit the three joint ventures via promoting its stake to Ashok Leyland. Submit-deal, the three entities would turn out to be absolutely owned subsidiaries of Ashok Leyland.
The three joint ventures are: Ashok Leyland Nissan autos Ltd (ALNVL) for making autos, Nissan Ashok Leyland energy instruct Ltd (NALPT) for manufacturing power trains and Nissan Ashok Leyland applied sciences Ltd (NALT), which is a technology joint venture.
The competition commission of India, which keeps a tab on unfair trade practices, has accredited the proposed transaction, as per the regulator’s internet site.
“Nissan has agreed to promote to Ashok Leyland all of Nissan’s shares in three joint venture businesses that have been formed in 2008,” the two organizations had stated in a joint statement in September. It marked an end to their eight-12 months-historical partnership.
Ashok Leyland is engaged in the manufacture and sale of commercial vehicles, defense cars kits, passenger vehicles, engines and spare constituents.
Nissan Motors is into manufacturing, sale, and advertising of vehicles and automotive materials.
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