CCI introduces automatic system of approval for combinations under the Green Channel
The Competition Commission of India (“CCI”) has, in a Press Release dated 19th August, 2019, introduced an automatic system of approval for combinations (mergers and acquisitions (M&A) above certain financial threshold) under the Green Channel.
The Green Channel is aimed to sustain and promote a speedy, transparent and accountable review of combination cases, strike a balance between facilitation and enforcement functions, create a culture of compliance and support economic growth.
This is with a view to make mergers and acquisitions filings approvals faster. Under this process, the combination is deemed to have been approved upon filing the notice in the prescribed format. This system would significantly reduce time and cost of transactions.
CCI has also revised its pre-filing consultation guidance note and extended its scope to include consultation to assist parties in determining whether their combination would be eligible for Green Channel. It has informed that parties, filing combination notice, can now meet the case team between 10 am and 12 pm from Monday to Friday for this purpose.
Source: Competition Commission of India