Premji Invest, Claypond, 360 ONE Asset Seek CCI Approval For Stake In SNV Aviation
The investments will be utilized to power the airline’s ambitious growth plans
Tech tycoon Azim Premji’s global investment arm, Premji Invest, Manipal Group Chief Ranjan Pai’s family office, Claypond, and asset and wealth management services, 360 ONE Asset have sought approval from the Competition Commission of India (CCI) to acquire stakes in domestic carrier Akasa Air’s parent company SNV Aviation.
A notice filed with the fair-trade regulator read, “The proposed transaction involves the acquisition of certain shareholding by each of PIOF, Claypond and 360 Fund (through its various schemes and affiliates) in Akasa Air.”
PIOF is a SEBI-registered alternative investment fund owned and controlled by Premji Invest, Claypond is owned by the Pai family group and 360 Fund is a SEBI-registered alternative investment fund (AIF).
SNV Aviation, which operates Akasa Air, is engaged in domestic and international scheduled air passenger and air cargo transport services.
The entities stated that the transaction would not lead to competition concerns, as there were no overlaps between the companies.
However, the application acknowledges a notional vertical relationship between Akasa Air and the portfolio companies of one of the acquirers in the upstream and downstream markets.
These include the markets for domestic and international air transportation and travel agencies and corporate travel services.
Recently, Akasa Air entered a pact with a consortium of marquee investors, including Premji’s global investment arm and Pai’s investment office, for a fresh capital infusion for the airline’s growth.
Besides, the Jhunjhunwala family, currently holding a 45.97 percent stake in the airline, has also committed additional funding.
Vinay Dube, the CEO of Akasa Air, and one of the founders of the entity, with a 16.13 percent stake recently stated that the airline has been and will continue to be a well-capitalized company.
Dube’s brothers Sanjay and Niraj have 7.59 percent shares each in the carrier while Madhav Bhatkuly owns 9.41 percent of the airline and PAR Capital Ventures LLC 6.37 percent.
The investments will strengthen Akasa Air’s customer experience through continued investments in safety, reliability and technology and drive international expansion.