Latest News | Future Group Shares in Heavy Demand; Jump Up to 20 Pc
Get latest articles and stories on Latest News at LatestLY. Shares of Future Group companies on Monday zoomed up to 20 per cent after the Competition Commission suspended its more than two-year-old approval for Amazon's deal with Future Coupons and imposed a Rs 202-crore penalty on the e-commerce major.
New Delhi, Dec 20 (PTI) Shares of Future Group companies on Monday zoomed up to 20 per cent after the Competition Commission suspended its more than two-year-old approval for Amazon's deal with Future Coupons and imposed a Rs 202-crore penalty on the e-commerce major.
Future Lifestyle Fashions jumped 20 per cent, Future Supply Chain Solutions 19.99 per cent, Future Retail Ltd 19.92 per cent, Future Enterprises 19.93 per cent and Future Consumer zoomed 19.91 per cent on the BSE.
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All these companies hit their upper circuit limits.
In a significant development, the Competition Commission on Friday suspended its more than two-year-old approval for Amazon's deal with Future Coupons and imposed a Rs 202 crore penalty on the e-commerce major for failure to furnish true and complete details about the transaction.
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The ruling by CCI assumes significance amid the long-drawn bitter legal battle between Amazon and Future Group over the Indian entity's proposed Rs 24,713 crore-deal with Reliance Retail Ventures Ltd (RRVL).
Deals beyond a certain threshold require CCI nod and it is quite rare for the watchdog to suspend an approval.
In a 57-page order, the regulator noted that the contraventions of the competition law have arisen "from a deliberate design on the part of Amazon to suppress the actual scope and purpose of the combination".
Consequently, fines totalling Rs 2 crore have been imposed on Amazon.
For failure to notify the combination in the requisite terms, the watchdog has also slapped a penalty of Rs 200 crore.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)