On September 9, 2021, the CCI approved the acquisition of 100% shareholding in Inflow Technologies Private Limited (‘Inflow’) by Savex Technologies Private Limited (‘Savex’).^[1]

Savex is a private limited company engaged in the distribution of Information and Communication Technologies (‘ICT’) products. Savex also has a wholly owned subsidiary, Savex Singapore Private Limited. Savex Singapore Private Limited is a distributor for Hewlett – Packard Singapore (Sales) Private Limited for their ‘Enterprise, Server, Storage and Networking’ division. Savex has interest in Uniserved Tech Solutions Private Limited which is a technology infrastructure platform engaged in providing on-demand technology services to its clients using enterprise crowdsourcing. Savex also has interest in a partnership firm called Marina Distributors (‘Marina’) which is present in the downstream activity of system integration of ICT products sourced from various ICT distributors. Inflow is a private limited company active as distributor of ICT products, largely catering to the enterprise segment for various technology vendors and Original Equipment Manufacturers (‘OEMs’). It has a presence in India and South Asia. It has a wholly owned subsidiary in Singapore named Inflow Technologies Singapore Private Limited.

ICT is generally the combination of Information Technology (‘IT’) and digital telecommunication. Savex and Inflow operate as distributors of ICT products and provide ancillary services related to distribution.

The CCI observed that the combined market share of the parties in the distribution of ICT products in India and the segment of distribution of ICT products to enterprises in India was less than five%. At a narrower level for overlapping product segments, the combined market share of the parties was around 15% or less except for Rack Optimised Servers, where the combined market share was less than 20%. The incremental market share at the narrower level overlapping product segments was less than 5%. Based on the analysis, the CCI concluded that this transaction was unlikely to raise any competition foreclosure concerns and approved the transaction.

[1] Combination Registration No. C-2021/06/846.