Extract to table

Section 6(2) of the Competition Act provides that no person or enterprise shall enter into a combination that causes or is likely to cause an appreciable adverse effect on competition within the relevant market in India, and further provides that any person or enterprise proposing to enter into a combination must give notice to the CCI in the form and manner prescribed by the CCI's regulations within the prescribed timeframe

Both prongs — the worldwide component and the India-specific component — must be satisfied simultaneously

The Cloudium group's total assets and turnover in India (attributable solely to Cloudium India) fall below the group-level India-specific thresholds, and while the worldwide component of the combined worldwide-plus-India thresholds may be satisfied, the India-specific component is not, and both must be met simultaneously

However, certain post-closing reporting and compliance obligations will arise, as follows: (a) RBI Reporting — Form FC-TRS / FC-GPR: In the case of an indirect transfer of shares resulting from a change in control of the foreign parent, the applicable Indian entity is required to report the transaction to the RBI

(b) Annual Return on Foreign Liabilities and Assets (FLA): Cloudium India is required to file the annual FLA return with the RBI, reporting its foreign liabilities and assets as of the end of each fiscal year (March 31)

(c) Beneficial Ownership Information — Registrar of Companies: Under the Companies Act, 2013, and the Companies (Significant Beneficial Owners) Rules, 2018, Cloudium India is required to maintain and file updated information regarding its significant beneficial owners with the Registrar of Companies