Deals worth ₹10,000 crore stall as CCI awaits quorum

Transactions worth more than ₹10,000 crore are hanging fire as India's competition authority lacks enough members to make decisions on them, prompting many businesses to approach the government for an early resolution.

- Gireesh Chandra Prasad

Although the law allows Competition Commission of India (CCI) 210 days to clear a transaction starting from the date on which parties to the deal approach the regulator, approvals are usually granted much faster. The regulator takes 17-18 business days on an average to give merger approvals, said at person informed about the development. But that has changed since former chairman Ashok Kumar Gupta left after completing his four-year term on 25 October. CCI is now one short of the three members needed to meet the quorum.

"With the lack of quorum, at present, there are around 10 deals pending for around 100 days. Some of these are bigticket transactions involving investments from private equity and venture capital funds," said a second person, who also spoke on condition of anonymity, estimating the total deal value of these transactions at around ₹10,000 crore.