Aditya Birla Fashion and Retail surges 2% as CCI approves Flipkart's acquisition of 7.8% equity stake

Aditya Birla Fashion and Retail has informed exchanges that the Competition Commission of India (CCI) has accorded its approval to e-commerce player Flipkart for the acquisition of 7.8% stake of the company.

At around 1.40 pm, Aditya Birla Fashion was trading at Rs176.35 per piece up 1.67% on Sensex.

In its regulatory filing on Wednesday, Aditya Birla Fashion said, "We wish to inform you that CCI has accorded its approval to Flipkart for its proposed acquisition of 7.8% equity stake in the Company on a fully diluted basis vide its approval letter dated January 20, 2021."

The completion of the Preferential Issue remains conditional upon the fulfilment of the said customary conditions, said the company.

Aditya Birla Fashion had approved the issuance of equity shares on a preferential basis to Flipkart for an amount aggregating up to Rs1500cr.