PayU India gets CCI approval for 100 percent acquisition of BillDesk

PayU India Payments recently received approval from the Competition Commission of India (CCI) for the acquisition of 100 percent equity in online payment gateway provider indiaideas.com (BillDesk). The $4.7 billion (around Rs 34,400 crore) acquisition of digital payments provider BillDesk was initially announced by Prosus NV-backed PayU in August last year. With CCI’s approval for the acquisition, it has now become the largest deal in the Indian online consumer space.

CCI on Monday approved PayU India’s acquisition of 100 per cent of online payment gateway provider BillDesk. Under the deal, PayU India has acquired BillDesk for $4.7 billion. CCI announced the approval through a tweet on Monday.

PayU India shares are indirectly held by Prosus NV, while BillDesk operates under India Ideas Limited (IIL) to provide payment integration services.

Prosus NV-backed PayU first announced a deal to buy 100 percent stake in BillDesk in August 2021. However, since the deal was beyond a certain threshold, it required approval from the CCI.

The CCI regulates anti-competitive practices in the marketplace and has the authority to approve or reject merger and acquisition deals based on fair market policies.