The Competition Commission of Pakistan (CCP) has granted approval for Liberty Daharki Power Limited to acquire shareholding in Engro Polymers and Chemicals Limited from Mitsubishi Corporation after completing its Phase I merger review under the Competition Act, 2010.

The transaction is being executed under a Share Purchase Agreement signed between Mitsubishi Corporation, Liberty Daharki Power Limited, and Seagreen Enterprises (Private) Limited. The deal facilitates a change in ownership structure while maintaining operational continuity at Engro Polymers.

Engro Polymers and Chemicals Limited, a subsidiary of Engro Corporation Limited, is among Pakistan’s leading producers of polyvinyl chloride (PVC), caustic soda, hydrogen peroxide, and other industrial chemicals widely used across manufacturing and construction sectors.

Liberty Daharki Power Limited, the acquiring company, operates a natural gas-based power generation facility in Daharki, Sindh, supplying electricity under an established power purchase arrangement.

During its review, the CCP examined the potential competitive impact of the transaction within Pakistan’s markets for PVC, caustic soda, and hydrogen peroxide manufacturing and sales.

The regulator concluded that the acquisition does not create any horizontal overlap between the businesses of the buyer and the target company. As a result, the deal will not alter market shares or significantly affect competition dynamics in the relevant industries.

According to the Commission’s assessment, the markets involved remain competitive and fragmented, with no indication that the transaction would lead to market dominance, collusion risks, or foreclosure of competitors.

Based on these findings, the CCP authorized the acquisition under Section 31(1)(d)(i) of the Competition Act, determining that the deal is unlikely to reduce competition or harm market efficiency.