CCI clears BNP Paribas’ acquisition of Sharekhan

Tuesday, Jan 5, 2016,20:20 IST By metrovaartha A A A

New Delhi | The Competition Commission has given approval to banking giant BNP Paribas’ proposed acquisition of home-grown brokerage firm Sharekhan in an estimated Rs 2,000-crore deal.
The fair trade regulator, which keeps tabs on unfair business practices across sectors, has approved the acquisition as the deal may not have an adverse impact on competition in the country.
BNP Paribas, in July, had announced to acquire Sharekhan as it seeks to expand retail broking operations.
According to sources, the deal size is estimated to be Rs 2,000 crore.
In a tweet today, the Competition Commission of India (CCI) has approved the acquisition of Sharekhan Limited by BNP Paribas SA.
The Mumbai-based Sharekhan began operations in 2000 and is one of the largest independent retail brokers with about 1.2 million clients.
BNP’s financial offerings in the country include corporate and retail banking, investment banking and wealth management.
The deal to buy Sharekhan marks BNP’s second big play in retail broking in the country after its 2007 investment in the Kochi-based Geojit Securities.
Following the BNP investment for 34 per cent, Geojit was renamed as BNP Geojit Paribas Financial Services and has now some 7,50,000 retail clients.