New Delhi: Competition watchdog CCI has approved Nestle's proposed acquisition of the global nutrition business of Pfizer.
"Considering the details provided and the assessment of the proposed combination, the Commission is of the opinion that the proposed combination is not likely to have an appreciable adverse effect on competition in India and, therefore, the Commission approves the proposed combination," Competition Commission of India (CCI) said in its order.
"Considering the fact that Pfizer is not engaged in the nutrition business in India and that there is no horizontal overlap or vertical relationship between the parties to the combination, the proposed combination is not likely to give rise to adverse competition concern in India," CCI said.
Switzerland-based Nestle is engaged in the business of production, marketing and sale of large variety of food and beverages products, including dairy products, coffee beverages, packaged water, cereals, healthcare and infant nutrition products.
Its Indian subsidiary, Nestle India, is engaged in production, marketing, distribution and sale of milk products, beverages, prepared dishes and cooking aids, chocolates and confectionery.
Pfizer is the US global research-based pharmaceutical company which discovers, develops, manufactures and markets a board portfolio spanning the entire spectrum of human and animal healthcare products. Pfizer Nutrition is a business division of Pfizer which is into the business of nutrition.
In April, Nestle had said that it would acquire Pfizer Inc's infant nutrition business for USD 11.85 billion, a move that will enhance Swiss food giant's position in emerging markets.
Shares of Nestle India on Wednesday closed at Rs 4,414.15 apiece on the BSE, down 0.78 percent from the previous close.
First Published: Wednesday, August 8, 2012, 20:05