New Delhi, Aug 28 (IANS) The Confederation of All India Traders (CAIT) has approached the National Company Law Appellate Tribunal (NCLAT) against the Competition Commission of India (CCI) approval for Walmart-Flipkart deal.
“In its appeal, the CAIT has prayed for reversing the order of CCI as no opportunity of hearing was given by CCI to CAIT…,” the confederation said in a statement on Tuesday.
“In its appeal, CAIT has maintained that it had filed a detailed objection against this proposed combination before the CCI on several grounds.”
On August 8, CCI approved the deal which was announced on May 9, when global retail giant Walmart Inc revealed that it would buy a 77 per cent equity stake in Flipkart for $16 billion, subject to regulatory approval in India.
Consequently, Walmart Inc. on August 18 acquired the stake in e-commerce major.
Accordingly, Walmart now holds the majority stake in Flipkart, while the remainder of the business is held by other shareholders, including Flipkart co-founder Binny Bansal, Tencent, Tiger Global and Microsoft Corp.
Walmart’s investment includes $2 billion of new equity funding to help accelerate the growth of the Flipkart business and both companies will retain their unique brands and operating structures in India.