Essar Steel-Inox Air Products deal gets CCI green signal.

Fair trade regulator CCI has cleared Essar Steel's proposed sale of a gas plant in Gujarat to Inox Air Products, saying the deal does not raise adverse competition concerns in the country.

As per the deal, Ruias-promoted Essar Steel will transfer its gas plant located at Hazira, Gujarat to Inox on a slump sale basis. In an order dated January 30, the Competition Commission of India (CCI) said that 'the proposed combination is not likely to have an appreciable adverse effect on competition in India'.


The Commission noted that in terms of a agreement between Essar Steel and Inox, a guaranteed quantity of the industrial gases produced at the Hazira gas plant Essar Steel 'on job work and long term basis, would be provided to Essar Steel, by Inox AP, post combination'.

'The proposed acquisition of the gas plant at Hazira, will also not increase, in any significant manner, the capacity of Inox AP for producing and selling industrial gases, in India,' CCI said in the order.

ET