Murugappa group’s Tube Investments of India Ltd has been declared as the successful bidder for acquiring the majority stake in stressed power equipment maker CG Power and Industrial Solutions Ltd, the company said in a stock exchange filing on Friday night.

Tube emerged the successful bidder following a Swiss challenge bidding process, which was initiated by the lenders to CG Power, after the company had on 7 August said that its board had approved an investment of Rs 700 crore by Tube Investments for a 56.61 per cent stake.

The bid is, however, subject to the approval of the Competition Commission of India and also the lenders said the company in a stock exchange notification.

“Lenders of CG Power and Industrial Solutions Limited have today (28th August 2020) communicated to Tube Investments of India Limited (TII) by their Letter of Intent that, upon conclusion of the Swiss Challenge bid process launched under the auspices of the Reserve Bank of India (Prudential Framework for Resolution of Stressed Assets) Directions 2019, they have declared TII’s offer as the successful offer and TII as the successful bidder, subject to compliances with all the conditions stated in the said Letter of Intent, to the satisfaction of the lenders,” said the notification.