New Delhi, Nov 16 (PTI) Fair trade regulator CCI on Thursday approved the acquisition of an additional stake in Niva Bupa Health Insurance Company by Bupa Singapore Holdings Pte.

Bupa Singapore Holdings is a shareholder of Niva Bupa and a subsidiary of international healthcare group The British United Provident Association Ltd (Bupa).

The transaction relates to the secondary purchase of shares by Bupa Singapore Holdings in the Niva Bupa Health Insurance Company from Fettle Tone LLP.

After the transaction, the shareholding of Bupa Singapore Holdings will increase to 63 per cent in Niva Bupa Health Insurance.

Niva Bupa Health Insurance provides insurance policies in India, while Fettle Tone LLP is a special purpose vehicle (SPV) set up by private equity firm True North Fund.

The Competition Commission of India (CCI) said it has cleared the deal under the green channel route.

'Apart from the Bupa Singapore Holdings's (Acquirer) and Bupa’s existing interests in Niva Bupa (Target), there are no horizontal overlaps, vertical overlaps, or complementary businesses between the Acquirer / Bupa and the Target, the transaction is unlikely to raise any competition concerns, the relevant product and geographic markets may be left open.

'The transaction is being notified under the green channel route,' according to an update on the competition watchdog's website.

Under the green channel route, a transaction which does not raise any risk of an appreciable adverse effect on competition is deemed to be approved on being intimated to the fair-trade regulator.

In September, True North announced that it would be selling a 20 per cent holding in health insurer Niva Bupa for Rs 2,700 crore. The UK-headquartered Bupa is picking up the stake to become a majority shareholder in the venture post-deal.

True North became Niva Bupa’s majority shareholder in 2019 after it had acquired a 51 per cent stake in the company from Analjit Singh's Max India. PTI HG HG BAL BAL