The Competition Commission of India (CCI) has granted approval to Tata Digital Limited’s offer of acquiring up to 64.3 percent stake in Supermarket Grocery Supplies Private Ltd (SGS), which runs the online grocery delivery platform BigBasket.
The decision will give a major boost to Tata Group’s ambitious plans of furthering its reach into the online grocery retail segment in India.
Tata Sons had earlier approached the CCI with their proposal to pick up a majority stake in online grocery delivery platform BigBasket.
According to a CCI notification, it has approved the acquisition by Tata Digital of up to 64.3% of Supermarket Grocery Supplies Private Limited and its sole control over Innovative Retail Concepts Private Limited, the company that runs BigBasket.
Tata Digital, a wholly-owned subsidiary of Tata Sons, is likely to buy out Alibaba, which holds a 27.58 percent stake, and Actis LLP, which owns an 18.05 percent stake in BigBasket. Other smaller investors in the grocery e-tailer are also expected to be bought out.