CCI Merger Approval: When You Need It and How Long It Takes
Not every acquisition in India needs Competition Commission sign-off. Here is how to tell if yours does, and what the timeline actually looks like once you are in the process.
The Competition Commission of India reviews mergers and acquisitions that cross defined asset and turnover thresholds, to check whether the deal is likely to cause an appreciable adverse effect on competition. Most cross-border acquisitions of Indian targets never trigger this at all. The ones that do need to plan around it from day one, because it sets the critical path for closing.
How to tell if you need it
CCI notification is based on combined asset and turnover thresholds of the acquirer and target group, tested in India and worldwide, with periodic revisions for inflation. A number of exemptions exist, including a de minimis "small target" exemption. Because the exact figures are revised periodically, treat any number you've seen elsewhere as a starting point for verification, not a final answer.
Two filing routes
Qualifying transactions can be filed under the Green Channel, which grants deemed approval on filing, or under the normal review route, involving Phase I and, occasionally, Phase II review.
What the timeline actually looks like
- Green Channel: approval is effectively immediate on filing, though preparing the filing itself takes real time.
- Normal Phase I review: a statutory clock applies, but pre-filing consultation routinely extends the working timeline.
- Phase II: reserved for deals with genuine competition concerns; uncommon for mid-market cross-border acquisitions.
What this means for deal timetables
If CCI approval is required, it becomes a condition precedent to closing. Build the assessment into your earliest deal planning, not the SPA drafting stage.