CCP approves Nishat Hotels’ acquisition of Nishat Hospitality

KARACHI: The Competition Commission of Pakistan (CCP) has approved Nishat Hotels and Properties Limited’s acquisition of a 100 per cent stake in Nishat Hospitality (Private) Limited.

The transaction was reviewed under Section 11 of the Competition Act, which prohibits mergers or acquisitions that may substantially reduce competition or strengthen a dominant market position. Nishat Mills Limited, a public company, sold its entire shareholding in Nishat Hospitality to Nishat Hotels and Properties, a public unlisted company active in Lahore’s real estate and hospitality sectors.

Nishat Hotels and Properties operates key ventures in Lahore, including a shopping mall, hotel, banquet halls and the Nishat Residences residential project. Nishat Hospitality provides hospitality services within the city. The relevant market for the acquisition was identified as Hospitality Services within Lahore. Currently, Nishat Hotels holds a 10 per cent share of Lahore’s hospitality market, while Nishat Hospitality accounts for 4.0 per cent. Following the acquisition, the combined entity will hold a 14 per cent market share.

After evaluating the deal, the CCP concluded that the acquisition would not lead to market dominance or raise substantial competition concerns. Consequently, the commission approved the transaction.