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CCI Clears Sapphire-Devyani Merger and Navi Stake Deal

The Competition Commission of India approved the merger of Sapphire Foods India into Devyani International and a stake buy in Navi Limited by MIH Payments.

By Published · 2 min read
CCI Clears Sapphire-Devyani Merger and Navi Stake Deal — GK24 title card

Why in News

On 31 October 2026 the Competition Commission of India cleared the merger of Sapphire Foods India with and into Devyani International, and separately cleared MIH Payments Holdings B.V. buying a shareholding in Navi Limited.

The Competition Commission of India (CCI) cleared two separate combinations, one in the quick-service restaurant business and one in digital lending and financial services. Both approvals were made public on 31 October 2026.

Sapphire Foods goes into Devyani International

The first clearance covers the merger of Sapphire Foods India Limited with and into Devyani International Limited, together with a set of related transactions that the two sides have placed before the Commission as one proposed combination. Because the merger is framed as Sapphire going with and into Devyani, it is Devyani that continues as the surviving company.

The two firms are in the same line of work, which is what makes the deal interesting for competition law. Devyani runs KFC and Pizza Hut franchise outlets across the country, and Sapphire runs KFC and Pizza Hut franchise outlets in India as well. Devyani's spread is wider than that single pair of brands: it is the exclusive franchisee in India for Costa Coffee, New York Fries and Sanook Kitchen, and it also owns and operates homegrown brands of its own.

MIH Payments picks up a stake in Navi

In the second clearance the Commission allowed the acquisition of a certain shareholding in Navi Limited by MIH Payments Holdings B.V. Navi Limited is the holding company of the Navi Group, which puts a range of financial services in front of customers through a single mobile application, with the products themselves offered by its subsidiaries.

The acquirer is an indirect wholly-owned subsidiary of Prosus N.V. On its own it carries on no operating business at all; what it does is hold investments in portfolio companies that have business activities in India.

Why the Commission is involved

A merger or an acquisition that crosses the thresholds set in competition law cannot be completed until the Commission has looked at it and approved it. The test applied is whether the deal is likely to hurt competition in the relevant market in India.

Important Facts

RegulatorCompetition Commission of India (CCI)
First dealMerger of Sapphire Foods India Limited with and into Devyani International Limited, plus related transactions
Surviving companyDevyani International Limited
Common brandsKFC and Pizza Hut franchise outlets, run by both companies
Devyani's exclusive franchises in IndiaCosta Coffee, New York Fries and Sanook Kitchen
Second dealAcquisition of a certain shareholding in Navi Limited by MIH Payments Holdings B.V.
Acquirer's parentProsus N.V., of which MIH Payments Holdings B.V. is an indirect wholly-owned subsidiary
What Navi Limited isHolding company of the Navi Group, offering financial services through one consumer-facing mobile app

Exam Point of View

Remember which company survives the merger (Devyani International), that both firms run KFC and Pizza Hut outlets, the three brands Devyani holds exclusively in India, that MIH Payments Holdings B.V. is an indirect wholly-owned subsidiary of Prosus N.V., and that Navi Limited is the holding company of the Navi Group with a single-app model.

Practice Questions

Q1.EconomyEasy

Sapphire Foods India Limited has been cleared by the CCI to merge with and into which company?

  1. A.Jubilant FoodWorks Limited
  2. B.Devyani International Limited
  3. C.Westlife Foodworld Limited
  4. D.Barbeque Nation Hospitality Limited
Show answer
Correct answer: B. Devyani International Limited

The Competition Commission of India approved the merger of Sapphire Foods India Limited with and into Devyani International Limited, along with certain related transactions placed before it as one proposed combination.

Q3.EconomyMedium

MIH Payments Holdings B.V., which has received CCI approval to acquire a shareholding in Navi Limited, is an indirect wholly-owned subsidiary of which company?

  1. A.Prosus N.V.
  2. B.SoftBank Group Corp.
  3. C.Alibaba Group Holding
  4. D.Temasek Holdings
Show answer
Correct answer: A. Prosus N.V.

The Commission's clearance notes that the acquirer, MIH Payments Holdings B.V., is an indirect wholly-owned subsidiary of Prosus N.V., and that the acquirer itself carries on no business activity beyond holding investments in portfolio companies which have business activities in India.

Frequently Asked Questions

Which company survives the Sapphire-Devyani merger?

Devyani International Limited. Sapphire Foods India Limited is merged with and into Devyani, and the Competition Commission of India has approved the merger along with the related transactions.

Whose subsidiary is MIH Payments Holdings B.V.?

It is an indirect wholly-owned subsidiary of Prosus N.V. It runs no business of its own and only holds investments in portfolio companies that operate in India.

What does Navi Limited do?

It is the holding company of the Navi Group, which offers financial services through a single consumer-facing mobile app, with the products delivered by its subsidiaries.

Sources