CCI Approves Alat Technologies' Stake in TKE Group and Saudi JV Formation

The approval paves the way for two major transactions: the acquisition of a minority stake in TKE Group by ATC, and the formation of a joint venture (JV) in Saudi Arabia between the two entities.

In a significant development with potential implications for the global and regional elevator and escalator industry, the Competition Commission of India (CCI) has officially approved a proposed combination involving Alat Technologies Company (ATC) and the TKE Group, a global leader in vertical transportation systems. The approval paves the way for two major transactions: the acquisition of a minority stake in TKE Group by ATC, and the formation of a joint venture (JV) in Saudi Arabia between the two entities.

Details of the Proposed Combination

The transaction includes two key components:

1. Proposed Topco Investment: Alat Technologies Company (ATC), a wholly owned subsidiary of the Public Investment Fund (PIF) of Saudi Arabia, will indirectly acquire approximately 15% shareholding in the TKE Group. This acquisition will be executed through an investment in Vertical Topco S.à r.l., a limited liability company incorporated under the laws of Luxembourg and the holding entity of the TKE Group.

2. Proposed KSA JV Transaction: In addition to the investment, ATC and the TKE Group will establish a joint venture (JV) based in the Kingdom of Saudi Arabia (KSA). The JV, referred to as KSA JV, will engage in the manufacture, supply, installation, and maintenance of vertical and horizontal transportation systems, including elevators, escalators, moving walkways, and related equipment. While initially focused on the Saudi market, the JV may expand its operations to other Middle East and North Africa (MENA) countries over time.

Strategic Objectives

The collaboration is part of Saudi Arabia’s Vision 2030 strategy to diversify its economy and become a hub for advanced industrial technologies. The joint venture is expected to bolster local manufacturing capabilities, create high-tech employment opportunities, and enable the localization of vertical mobility solutions.

The minority stake acquisition also aligns with ATC’s broader objective of investing in cutting-edge industrial technologies and strategic global partnerships. With this move, ATC gains entry into a global organization with a long-standing reputation in elevator and escalator innovation, service, and infrastructure.

About Alat Technologies Company (ATC)

Alat Technologies Company (ATC) is an emerging global player with a mandate to drive industrial transformation in the fields of:

• Semiconductors

• Smart devices and buildings

• Smart appliances and health solutions

• Electrification and next-generation infrastructure

• Artificial intelligence infrastructure

• Advanced industrial and manufacturing systems

As a subsidiary of the Public Investment Fund (PIF), ATC’s mission is to enable the Kingdom’s transition to a knowledge-based, innovation-driven economy.

About Vertical Topco and TKE Group

Vertical Topco S.à r.l. serves as the holding company for the TKE Group, a globally recognized enterprise active in more than 60 countries. The TKE Group specializes in:

• Installation and modernization of elevators and escalators

• Maintenance and servicing of passenger boarding bridges, stairlifts, and moving walks

• Providing mobility solutions for urban environments and complex infrastructure

Known for its technical innovation and customer service, TKE has been a front-runner in vertical transportation and smart mobility.

Impact and Future Prospects

The approved transactions are expected to:

• Enhance technological cooperation between global and Middle Eastern companies

• Strengthen Saudi Arabia’s capability to locally produce and support high-quality mobility solutions

• Open new market opportunities across the MENA region

• Encourage further FDI (foreign direct investment) and cross-border collaboration

The joint venture could potentially serve as a blueprint for future partnerships that blend global expertise with regional ambition. By combining ATC’s strategic investment focus and TKE’s technical know-how, the partnership is set to reshape the vertical transportation landscape in the region.

Regulatory Clearance

The approval from India’s antitrust watchdog, the Competition Commission of India, indicates that the proposed combination does not pose any adverse effects on market competition. This regulatory green light underscores the transparency and competitiveness of the deal.

As the transaction moves toward completion, all eyes will be on the rollout of the KSA JV and the integration of ATC into the TKE Group’s global shareholding structure.