Question map
In India, mergers and acquisition of firms are regulated by
Explanation
In India, the Competition Commission of India (CCI) is the primary regulatory authority responsible for overseeing mergers and acquisitions (M&A), which are referred to as 'combinations' under the law. Established under the Competition Act, 2002, the CCI acts as an antitrust watchdog to ensure that such combinations do not lead to an appreciable adverse effect on competition (AAEC) or the creation of monopolies. Sections 5 and 6 of the Act specifically govern the regulation of mergers and acquisitions based on asset and turnover thresholds. While the Securities and Exchange Board of India (SEBI) regulates takeovers in listed companies to protect investor interests [1], and the Department for Promotion of Industry and Internal Trade (DPIIT) handles FDI policy [3], the overarching regulation of M&A activity to maintain market competition is the mandate of the CCI.
Sources
- [1] Indian Economy, Nitin Singhania .(ed 2nd 2021-22) > Chapter 9: Agriculture > SEBI > p. 274
- [2] Indian Economy, Vivek Singh (7th ed. 2023-24) > Chapter 2: Money and Banking- Part I > 2.23 Foreign Investment > p. 98
- [3] https://www.dpiit.gov.in/static/uploads/2025/07/043b9b6bdddf0b0dfd6175f555f986c8.pdf