In a recent development, Asyad Holding Group, through UAE-based Wafi Energy Holding Limited, has acquired 77.42% shareholdings and control of Shell Pakistan Limited. The Competition Commission of Pakistan (CCP) has approved this acquisition under Section 11 of the Competition Act, 2010, to bolster the retail oil sector in Pakistan.
Shell Pakistan Limited plays a significant role in the retail supply of motor fuels and lubricants across Pakistan. Meanwhile, Wafi Energy LLC, a wholly-owned affiliate of Asyad Holding Group, specializes in managing and operating fuel stations in Saudi Arabia. Wafi Energy Holding Limited, established for investment purposes in Pakistan, will now oversee operations of Shell Pakistan.
The CCP’s Phase I competition assessment identified ‘Retail Fuel, Vehicle Lubricants, and Industrial Lubricants’ as the relevant product markets. It was confirmed that Shell Pakistan holds distinct shares in all three markets, which will remain unchanged post-acquisition.
Further analysis indicated that Wafi Energy Holding Limited will not gain a dominant position in these markets even after gaining direct control of Shell Pakistan. As a result, the CCP swiftly authorized the acquisition under Section 31 of the Competition Act, 2010.
Dr. Kabir Ahmed Sidhu, CCP Chairman, emphasized that this acquisition is expected to enhance competition by raising service standards in the retail fuel supply chain, thereby contributing significantly to the growth of Pakistani markets.
