Competition Commission of India Approves KKR's Stake Acquisition in Rebel Foods

The Competition Commission of India (CCI) has given the green light to KKR's plan to invest in Rebel Foods. KKR, a US-based investment firm, will acquire shares in Rebel Foods through its affiliate, Royce Asia Holdings II Pte. This acquisition involves purchasing equity and convertible preference shares of Rebel Foods.

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Rebel Foods, established in 2011 by Jaydeep Barman and Kallol Banerjee, operates 450 kitchens worldwide. These include locations in India, Indonesia, the UK, and the UAE. The company owns brands like Faasos, Behrouz Biryani, and Oven Story. The CCI noted that there are no overlapping business activities between Royce Asia Holdings II and Rebel Foods in India.

Green Channel Route Approval

The transaction is being processed under the green channel route. This means it is automatically approved upon notification to the competition authority if it poses no risk of harming competition. The CCI stated that this acquisition would not negatively impact market competition in India.

Recent reports indicated that Rebel Foods was negotiating to secure additional funding from KKR. The amount ranged between USD 50-70 million, valuing the company at USD 800-860 million. Rebel Foods competes with companies like Curefoods and Eatclub.

Last month, Temasek Holdings, Singapore's sovereign wealth fund, also received CCI approval to invest in Rebel Foods. This highlights the growing interest in the food-tech sector and Rebel Foods' potential for expansion and innovation.

The absence of horizontal or vertical overlaps between the parties involved means that defining a specific market is unnecessary. This ensures that the proposed transaction will not adversely affect competition within India.