Sanyo Special Steel Gets CCI Nod For Additional 15% Stake In SSMI acquisition

The Competition Commission of India on Tuesday said it has cleared Sanyo Special Steel's proposed acquisition of an additional 15.43% stake in Sanyo Special Steel Manufacturing India (SSMI) from Mitsui & Co.

Sanyo Special Steel Co is a Japan-based firm that manufactures and sells steel products globally. Sanyo is part of the Nippon Steel Corporation Group.

The proposed combination involves the acquisition of 15.43% shareholding by Sanyo in SSMI from Mitsui & Co Ltd (Mitsui), CCI said.

After the completion of the transaction, Sanyo shall be entitled to 100% of the equity shareholding of SSMI (as one share in SSMI will be held by a nominal shareholder), it added.

"CCI approves acquisition of 15.43% shareholding by Sanyo Special Steel Co Ltd in Sanyo Special Steel Manufacturing India Pvt Ltd from Mitsui & Co Ltd," the regulator said in a post on X (formerly Twitter).

Incorporated in 2012, SSMI was a joint venture company between Mahindra & Mahindra, Sanyo Special Steel Co, Ltd and Mitsui & Co., Ltd (Japan).

In March 2019, the shareholding of SSMI underwent a change and Sanyo Special Steel Co became the majority shareholder of SSMI. It is engaged in the manufacturing of forged products, hot-rolled products and cast products.

The deals beyond a certain threshold require approval from the regulator, which keeps a tab on unfair business practices as well as promotes fair competition in the marketplace.