CCI Approves Blackstone and Other Investors' Acquisition Proposal for Neysa Networks

CCI Approves Blackstone-Backed PE Funds Acquisition of Neysa Networks Stake

The Competition Commission of India (CCI) has cleared a proposal by Blackstone-backed private equity funds and other investors to acquire a stake in AI acceleration cloud provider Neysa Networks. This development follows Neysa's announcement in February this year that private equity funds affiliated with Blackstone and co-investors have entered into definitive agreements to invest in the company, enabling a USD 1.2 billion capital raise.

The CCI approval comes as Neysa, a Mumbai-based company, enables enterprises, startups, and public sector organisations to discover, deploy, and scale AI workloads securely and cost-effectively. The company intends to use the funding to secure an additional USD 600 million of debt financing, subject to documentation. Following the funding, Neysa became a unicorn, crossing a USD 1 billion valuation.

Neysa plans to scale up and deploy over 20,000 GPUs in India, which will help enable the country's AI revolution. The company will be supported by Blackstone, the world's largest alternative asset manager with USD 1.3 trillion in assets under management, including global investment strategies focused on real estate, private equity, credit, infrastructure, and hedge funds, etc.

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Other equity investors in the transaction include Teachers' Venture Growth, TVS Capital, 360 ONE Assets, and Nexus Ventures. The proposed acquisition is part of a series of deals that require approval from the regulator, which monitors unfair business practices and promotes fair competition in the marketplace.

In a separate release, the CCI granted its nod to Cube Highways Trust for the proposed acquisition of Baharampore - Farakka Highways Ltd, Devanahalli Tollway Pvt Ltd, Western MP Infrastructure and Toll Roads Pvt Ltd, and Chenani Nashri Tunnelway Ltd. Cube Trust is a Sebi-registered infrastructure investment trust, while the acquired companies are engaged in the business of operating (through governmental concessions) roads and highways in India.