CCP Approves Merger of Global Haly Development Ltd into Bank Makramah
Key Takeaways
- The Competition Commission of Pakistan (CCP) approved the merger of Global Haly Development Limited into Bank Makramah Limited.
- The merger involves the amalgamation of a real estate firm into a publicly listed banking institution.
- The CCP found no horizontal overlaps as Global Haly Development does not operate in the banking sector.
- The transaction was approved because it is not likely to substantially lessen competition or create a dominant position.
- The merger's primary goal is to help Bank Makramah meet minimum capital requirements and enhance operational capabilities.
The Competition Commission of Pakistan (CCP) officially approved the merger of M/s. Global Haly Development Limited with and into M/s. Bank Makramah Limited, following a review under the Competition Act, 2010. This transaction involves the amalgamation of the real estate and infrastructure development company into the publicly listed banking institution, with Bank Makramah remaining the surviving entity. The CCP's Phase-I review determined the relevant market to be 'Commercial Banking' in Pakistan, noting that Bank Makramah has a modest market share. Crucially, since Global Haly Development does not operate in banking, the transaction presented no horizontal overlaps. The Commission concluded that the merger would not substantially lessen competition or create a dominant position. The primary motivation for the merger is to assist Bank Makramah in meeting minimum capital requirements and enhancing its operational capabilities, leading to the final authorization by the CCP.
