1.TVS Holdings Ltd. 2. Srinivasan Trading Private Limited 3. PI Opportunities Fund-II

‭Summary‬ ‭Summary‬‭of‬‭the‬‭Proposed‬‭Combination‬‭in‬‭terms‬‭of‬‭Regulation‬‭13(1A)‬‭of‬ ‭the‬ ‭Competition‬ ‭Commission‬ ‭of‬ ‭India‬ ‭(Procedure‬ ‭in‬ ‭regard‬ ‭to‬ ‭transaction‬‭of‬‭business‬‭relating‬‭to‬‭combinations)‬‭Regulations,‬‭2011‬‭as‬ ‭amended‬‭by‬‭the‬‭Competition‬‭Commission‬‭of‬‭India‬‭(Procedure‬‭in‬‭regard‬ ‭to‬ ‭transaction‬ ‭of‬ ‭business‬ ‭relating‬ ‭to‬ ‭combinations)‬ ‭Amendment‬ ‭Regulations, 2019.‬ ‭A.‬ ‭Names of the parties to the combination‬‭:‬ ‭1.‬ ‭TVS Holdings Ltd. (‬‭TVSH‬‭)‬ ‭2.‬ ‭Srinivasan Trading Pvt. Ltd. (‬‭STPL‬‭); and‬ ‭3.‬ ‭PI Opportunities Fund-II (‬‭PIOF‬‭).‬ ‭4.‬ ‭TVSH, STPL, and PIOF are collectively referred to as ‘‬‭Acquirers‬‭’.‬ ‭B.‬ ‭The nature and purpose of the Proposed Combination‬‭:‬ ‭5.‬ ‭The‬ ‭‘‬‭Proposed‬ ‭Transaction‬‭’‬ ‭involves‬ ‭the‬ ‭proposed‬ ‭acquisition‬ ‭of‬ ‭100%‬‭of‬‭the‬‭issued‬‭and‬‭paid-up‬‭share‬‭capital‬‭(on‬‭a‬‭fully‬‭diluted‬‭basis)‬ ‭of‬ ‭Home‬ ‭Credit‬ ‭India‬ ‭Finance‬ ‭Private‬ ‭Limited‬ ‭(‬‭Home‬ ‭Credit‬‭)‬ ‭by‬ ‭TVSH, STPL, and PIOF, in the following manner:‬ ‭a.‬ ‭Proposed‬ ‭acquisition‬ ‭of‬ ‭80.74%,‬ ‭8.47%‬ ‭and‬ ‭10.79%‬ ‭of‬ ‭the‬ ‭issued‬‭and‬‭paid-up‬‭share‬‭capital‬‭(on‬‭a‬‭fully‬‭diluted‬‭basis)‬‭of‬ ‭Home Credit by each of TVSH, STPL, and PIOF respectively.‬ ‭C.‬ ‭The‬ ‭products,‬ ‭services‬ ‭and‬ ‭business(es)‬ ‭of‬ ‭the‬ ‭parties‬ ‭to‬ ‭the‬ ‭combination:‬ ‭6.‬ ‭TVSH:‬‭TVSH‬‭(formerly‬‭known‬‭as‬‭Sundaram‬‭Clayton‬‭Limited‬‭-‬‭SCL)‬‭is‬ ‭registered‬‭with‬‭the‬‭Reserve‬‭Bank‬‭of‬‭India‬‭(RBI)‬‭as‬‭a‬‭Core‬‭Investment‬ ‭Company‬‭(CIC)‬‭to‬‭carry‬‭on‬‭the‬‭business‬‭of‬‭a‬‭Non-Banking‬‭Financial‬ ‭Institution‬ ‭(NBFC-CIC)‬ ‭without‬‭accepting‬‭public‬‭deposits.‬‭TVSH‬‭is‬‭a‬ ‭holding‬‭company‬‭and‬‭through‬‭its‬‭group‬‭entities,‬‭is‬‭broadly‬‭engaged‬‭in‬ ‭the‬ ‭manufacturing‬ ‭and‬ ‭distribution‬ ‭of‬ ‭automotive‬ ‭components,‬ ‭the‬ ‭supply‬ ‭of‬ ‭aluminium‬ ‭die‬ ‭castings‬‭to‬‭automotive‬‭and‬‭non-automotive‬ ‭sectors,‬‭the‬‭manufacture‬‭and‬‭sale‬‭of‬‭two-wheelers,‬‭financial‬‭services‬ ‭including lending activities, and real estate.‬ ‭7.‬ ‭STPL:‬ ‭STPL‬ ‭is‬ ‭a‬ ‭company‬ ‭incorporated‬ ‭under‬ ‭the‬‭Companies‬‭Act,‬ ‭2013.‬‭It‬‭was‬‭incorporated‬‭to‬‭trade‬‭goods‬‭and‬‭securities‬‭at‬‭a‬‭retail‬‭and‬ ‭wholesale‬‭level.‬‭However,‬‭STPL‬‭does‬‭not‬‭currently‬‭have‬‭any‬‭business‬ ‭activities in India or overseas.‬ ‭8.‬ ‭PIOF:‬‭PIOF‬‭is‬‭a‬‭Category-I‬‭alternative‬‭investment‬‭fund‬‭registered‬‭with‬ ‭the‬‭Securities‬‭and‬‭Exchange‬‭Board‬‭of‬‭India,‬‭and‬‭is‬‭an‬‭affiliate‬‭of‬‭the‬ ‭Premji‬ ‭Invest‬ ‭Group.‬ ‭Premji‬ ‭Invest‬ ‭has‬ ‭been‬ ‭setup‬ ‭to‬ ‭manage‬ ‭the‬ ‭investment‬ ‭corpus‬ ‭of‬ ‭the‬ ‭Azim‬ ‭Premji‬ ‭Foundation,‬ ‭a‬ ‭not-for-profit‬ ‭organisation.‬ ‭9.‬ ‭Home‬‭Credit:‬‭Home‬‭Credit‬‭is‬‭a‬‭part‬‭of‬‭the‬‭Home‬‭Credit‬‭group,‬‭which‬ ‭is‬‭an‬‭international‬‭consumer‬‭finance‬‭provider‬‭operating‬‭in‬‭Europe‬‭and‬ ‭Asia.‬ ‭Home‬ ‭Credit‬ ‭is‬ ‭registered‬ ‭as‬ ‭a‬ ‭Nonbanking‬ ‭Financial‬ ‭(Non-Deposit‬‭Accepting‬‭or‬‭Holding)‬‭Company‬‭with‬‭the‬‭Reserve‬‭Bank‬ ‭of‬‭India‬‭and‬‭is‬‭primarily‬‭engaged‬‭in‬‭the‬‭business‬‭of‬‭retail‬‭financing‬‭in‬ ‭India.‬ ‭D.‬ ‭Relevant Market to which the Proposed Combination relates:‬ ‭10.‬‭The‬‭affiliates‬‭of‬‭TVSH,‬‭PIOF‬‭and‬‭Home‬‭Credit‬‭undertake‬‭overlapping‬ ‭activities‬ ‭in‬ ‭the‬ ‭markets‬ ‭for‬ ‭the‬ ‭provision‬ ‭of‬ ‭(a)‬ ‭loans‬ ‭and‬ ‭lending‬ ‭services‬ ‭in‬ ‭India;‬ ‭(b)‬ ‭retail‬ ‭loans‬ ‭and‬ ‭lending‬ ‭services‬ ‭in‬ ‭India;‬ ‭(c)‬ ‭personal loans in India; and (d) consumer durable loans in India.‬ ‭11.‬‭The‬ ‭Proposed‬ ‭Transaction‬ ‭will‬ ‭not‬ ‭lead‬ ‭to‬ ‭any‬ ‭change‬ ‭in‬ ‭the‬ ‭competitive‬‭landscape‬‭in‬‭any‬‭of‬‭the‬‭aforesaid‬‭markets‬‭or‬‭cause‬‭any‬ ‭appreciable‬‭adverse‬‭effect‬‭on‬‭competition‬‭in‬‭India,‬‭irrespective‬‭of‬‭the‬ ‭manner in which the relevant market(s) are defined.‬ ‭*****‬