The Competition Commission of India (CCI) has approved acquisition of majority stake in SMW Ispat Pvt. Ltd by OFB Tech Pvt. Ltd
The proposed combination envisages acquisition of majority stake in SMW Ispat Private Limited (SMW Ispat) by OFB Tech Private Limited (OFB Tech), a statement from CCI said.
OFB Tech is a business-to-business (B2B) commerce startup engaged in the business of wholesale trading of bulk raw materials such as steel, non-ferrous metals, industrial chemicals and petroleum derivatives, agri-commodities. It facilitates transactions between businesses through its online or offline channels.
SMW Ispat is a private limited company engaged in the business of manufacturing products such as TMT steel bars and steel billets.
SoftBank-backed OfBusiness’s parent firm OFB Tech is acquiring a 100 per cent stake in SMW Ispat, mainly to acquire its key brand, Sangam TMT.
The acquisition will help the startup to include SMW Ispat’s range of TMT products on its online platform. Maharashtra-based SMW Ispat has a 40-million-tonne induction furnace for making TMT bars, steel billets and sponge iron. Its brand Sangam Steel also has a beneficiation plant that produces enriched iron ore, with a capacity of 2,000 tonnes a day.
