CCP approves Gul Ahmed Holdings’ acquisition of Gallant Energy

KARACHI: The Competition Commission of Pakistan (CCP) has granted approval for the acquisition of 100 per cent shareholding in Gallant Energy (Private) Limited by Gul Ahmed Holdings (Private) Limited, following a share purchase agreement.

Gul Ahmed Holdings, a private limited company with diverse investments across multiple sectors, will now fully acquire Gallant Energy, which operates in the liquefied petroleum gas (LPG) sector. Gallant Energy is involved in the filling and distribution of LPG, a crucial energy source for both households and industries in Pakistan.

The CCP’s review focused on the relevant market, which was identified as the liquefied petroleum gas’ (LPG) sector. Currently, Gallant Energy holds less than 1.0 per cent of the market share in LPG, and following the acquisition, Gul Ahmed Holdings’ market share will see a slight increase.

After a thorough evaluation, the CCP concluded that the transaction will not result in the creation or strengthening of a dominant position in the LPG market. This finding complies with Section 2(1)(e) and Section 11 of the Competition Act, 2010, as well as the Merger Regulations.

By authorising the acquisition under Section 31(1)(d)(i) of the Competition Act, the CCP has reiterated its commitment to maintaining fair competition and promoting efficiency within the country’s LPG market. The commission also pledged to continue monitoring market dynamics to ensure healthy competition that benefits both businesses and consumers in the country.