No change in mkt structure by SpiceJet share transfer: CCI

The Competition Commission of India (CCI) Thursday cleared the return of Ajay Singh to cash-strapped airline SpiceJet.

No reason why diesel and petrol prices must move in tandem

Ashok Chawla

Chairman

CCI

The Competition Commission of India (CCI) Thursday cleared the return of Ajay Singh to cash-strapped airline SpiceJet . In an exclusive interview to CNBC-TV18's Malvika Jain, CCI chairman Ashok Chawla said the transfer of shares from Marans to Ajay Singh will have no adverse effect on competition in the sector.

He expects Indian aviation market to see an upside and said the regulator is probing if airlines are acting in concert with reference to airfares.

Below is the transcript of Ashok Chawla's interview with CNBC-TV18's Malvika Jain.

Q: CCI nod to SpiceJet…

A: This is a case of transfer of shares from the existing promoters to a new promoter. There is no change in the proposal, there is no change in terms of the market structure. There is no change in either competition increasing or reducing. So, essentially the market remains the same.

So from our point of view we didn't take very long to come to a conclusion that this has no adverse impact on the competition and will not in any manner have any impact on the users and the consumers and therefore we have given our approval yesterday.

Q: While analysing the market dynamics did you find anything that stood out because as far as aviation sector is concerned the sector and most airlines continue to be under pressure and maybe in this case SpiceJet was able find somebody to safeguard its interest but that might not be possible in each case?

A: The aviation market in India is a market which has been growing over a period of time but it has also seen a lot of volatility. The decision on airlines on who will run them, who will be the promoters etc is with the private entrepreneurs and it is they who have to decide how many airlines will operate, what they will do, what their business models etc will be. So we don't really get into that and otherwise on the whole my sense is that the aviation market in India is going to grow steadily.

SpiceJet stock price

On February 20, 2015, SpiceJet closed at Rs 23.90, up Rs 3.95, or 19.80 percent. The 52-week high of the share was Rs 24.10 and the 52-week low was Rs 11.10.

The latest book value of the company is Rs -16.49 per share. At current value, the price-to-book value of the company was -1.45.

Anda sedang membaca artikel tentang

No change in mkt structure by SpiceJet share transfer: CCI

Dengan url

http://kebugaranhidup.blogspot.com/2015/02/no-change-in-mkt-structure-by-spicejet.html

Kebugaran Hidup