Home » News » Business » CCI nod to RIL arm's acquisition of 50.1% stake in Sanmina-SCI India
1-MIN READ

CCI nod to RIL arm's acquisition of 50.1% stake in Sanmina-SCI India

moneycontrol.com

Last Updated: August 02, 2022, 19:02 IST

New Delhi, India

In a regulatory filing on March 3, RIL said that RSBVL would achieve the majority ownership primarily through an investment of up to Rs 1,670 crore

In a regulatory filing on March 3, RIL said that RSBVL would achieve the majority ownership primarily through an investment of up to Rs 1,670 crore

The CCI nod comes five months after Reliance announced a joint venture with the California-headquartered Sanmina to create a world-class electronic manufacturing hub in India

The Competition Commission of India (CCI) on August 2 gave its nod to the acquisition of a 50.1 percent equity stake by Reliance Strategic Business Ventures Ltd (RSBVL) in Sanmina-SCI India Pvt Ltd (SCIPL).

“The proposed combination envisages acquisition of 50.1 percent of the equity share capital of SCIPL by RSBVL,” the fair trade regulator said in a press release.

The CCI approval comes around five months after RSBVL, a wholly-owned subsidiary of Reliance Industries Limited (RIL), announced a joint venture with Sanmina Corporation to create a world-class electronic manufacturing hub in India.

In a regulatory filing on March 3, RIL said that RSBVL would achieve the majority ownership primarily through an investment of up to Rs 1,670 crore in new shares in Sanmina’s existing Indian entity.

SCIPL is an indirect subsidiary of the California-headquartered Sanmina, which is a global provider of integrated manufacturing solutions.

The joint venture with Sanmina would prioritise high technology infrastructure hardware for growth markets, and across industries such as communications networking (5G, cloud infrastructure, hyperscale datacentres), medical and healthcare systems, industrial and cleantech, and defense and aerospace, the oil-to-telecom conglomerate had said in the exchange filing.
The partnership between Sanmina and RSBV, whose principal activities include holding strategic investment interests and providing business support services, “is significant market opportunity for high-tech manufacturing in India”, Reliance Jio Chairman Akash Ambani had said in March.

“For both growth and security, it is essential for India to be more self-reliant in electronics manufacturing in telecom, IT, data centres, cloud, 5G, new energy and other industries as we chart our path in the new digital economy. Through this partnership we plan to boost innovation and talent in India, meeting both Indian and global demand,” Akash Ambani said.

Network18 and TV18 – the companies that operate news18.com – are controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.

Read all the Latest News and Breaking News here

first published:August 02, 2022, 19:02 IST
last updated:August 02, 2022, 19:02 IST