ISLAMABAD: The Competition Commission of Pakistan (CCP) has approved the acquisition of 11.9 per cent paid-up ordinary share capital of Sindh Engro Coal Mining Company (SECMC) Ltd by International Electric Power (Pvt) Ltd (IEPWR) under a Share Purchase Agreement (SPA).
The IEPWR, established in March for this transaction, is jointly owned by Liberty Power Holding, Soorty Enterprises and Procon Engineering.
The target company, SECMC, is a key player in coal mining and supply, while the seller, Engro Energy Ltd, a subsidiary of Engro Corporation, serves as a major holding company for energy investments in Pakistan.
In its competition assessment, the CCP identified the relevant market as ‘coal mining’ within Pakistan. SECMC operates under the regulatory oversight of the Thar Coal Energy Board and the Government of Sindh for determining the price of coal for Thar-coal-based power plants. This transaction strengthens IEPWR’s foothold in the coal mining industry, while SECMC’s market share will remain stable post-acquisition.
Published in Dawn, September 10th, 2024
