GHULAM ABBAS
ISLAMABAD: The Competition Commission of Pakistan (CCP) has given the green light to Aramco, a global leader in integrated energy and chemicals, for its acquisition of a 40% equity stake in Gas & Oil Pakistan Ltd (GO). This landmark transaction marks Aramco’s debut in Pakistan’s fuels retail market, signifying its confidence in the country’s economic potential and its dedication to fostering growth.
As per details Aramco Asia Singapore Pte. Ltd., a wholly-owned subsidiary of Saudi Aramco based in Singapore, submitted the pre-merger application to the CCP. The company specializes in various services, including sales, marketing, procurement, logistics, and exploration, drilling, refining, and marketing of hydrocarbon substances.
GO, the targeted Pakistani company, is a licensed oil marketing company operating nationwide. It plays a vital role in the procurement, storage, sale, and marketing of petroleum products and lubricants. With a significant presence in downstream fuels, lubricants, and convenience stores, GO stands as one of Pakistan’s leading retail and storage entities.
The CCP’s merger analysis concluded that the acquisition would not lead to post-transaction dominance by the acquirer in the relevant market. Thus, the merger received the CCP’s approval, in line with its mandate to promote competition and ensure a fair business environment.
Aramco’s investment represents a significant stride forward for Pakistan’s energy sector, introducing advanced expertise and technology to the fuels retail market. This development is anticipated to enhance competition, elevate service standards, and offer consumers a wider array of high-quality products.
Moreover, the acquisition heralds a surge in foreign direct investment in Pakistan’s energy sector, thereby contributing to economic growth and development.
