The Competition Commission of India (CCI) has approved the acquisition of 34% equity shareholding in Ashoka Concessions Limited (ACL) by Ashoka Buildcon Limited (ABL) and certain convertible instruments of ACL by ABL and Viva Highways. Additionally, the deal includes the acquisition of a 26% shareholding in Jaora Nayagaon Toll Road Company (JN) by Viva Highways.
Details of the Proposed Combination:
- Ashoka Buildcon Limited (ABL):
- Engaged in engineering, procurement, and construction (EPC) across various sectors.
- Operates road assets under EPC, Build Operate and Transfer (BOT), and Hybrid Annuity Model (HAM) frameworks.
- Ashoka Concessions Limited (ACL):
- Serves as the infrastructure arm of the Ashoka Group, focusing on operation and maintenance of roads and highways in India through its subsidiaries.
- Jaora Nayagaon Toll Road Company (JN):
- BOT concessionaire overseeing the reconstruction, strengthening, and widening of State Highway (SH)-31 in Madhya Pradesh under a concession from the Madhya Pradesh Road Development Corporation.
The proposed acquisition aims to consolidate ABL’s stake in ACL while enhancing its control over key infrastructure assets. This approval further cements ABL’s position in the road and highway development sector. A detailed order from the CCI is expected to follow.
