The Competition Commission of India (CCI) has approved Tata Digital Limited’s offer of acquiring up to 64.3 per cent 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 acquisition by Tata Digital of up to 64.3 percent 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 27.58% stake and Actis LLP, which owns 18.05% stake in BigBasket. Other smaller investors in the grocery e-tailer are also expected to be bought out.