CCP approves AsiaPak, Montage Oil's acquisition of LCPL

May 12, 2025 (MLN): The Competition Commission of Pakistan (CCP) has approved the acquisition of a majority stake in Lotte Chemical Pakistan Limited (LCPL) by AsiaPak Investments Limited (APIL) and Montage Oil DMCC (MOD).

As per the Share Purchase Agreement with Lotte Chemical Corporation (LCC), the acquired shareholding in LCPL will be equally divided between APIL and MOD.

The CCP evaluated the transaction’s impact on the market for purified terephthalic acid (PTA), which is a critical raw material in the polyester industry.

Since neither APIL nor MOD are currently engaged in PTA production, the acquisition does not affect the existing market concentration.

The Commission concluded that there are no horizontal or vertical overlaps between the merging parties, as per the press release issued today.

The acquisition will not lead to increased market power, create entry barriers, or lessen market competition.

Accordingly, the transaction has been approved under Section 31(1)(d)(i) of the Competition Act, 2010.

APIL is a private investment firm registered in the British Virgin Islands with investments across infrastructure, energy, logistics, and technology sectors.

MOD, headquartered in the UAE, is active in the international trade of oil and petrochemical products. LCPL is a public company listed in Pakistan, focused on the manufacturing of purified terephthalic acid.

Copyright Mettis Link News