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ISLAMABAD, Oct 6 (APP):The Competition Commission of Pakistan (CCP) has approved the proposed acquisition of a controlling interest in Olam Agri Holdings Limited (Olam Agri) by the Saudi Agricultural and Livestock Investment Company (SALIC), a wholly-owned subsidiary of the Saudi Public Investment Fund.
The transaction involves the transfer of shares from Olam Group’s Singapore-based entities—Olam Agri Pte. Limited and Olam Holdings Pte. Limited—to SALIC. The acquisition is aligned with Saudi Arabia’s long-term food security objectives.
In Pakistan, Olam Agri operates in the origination, trading, and processing of agricultural commodities, including edible oils, rice, cotton, rubber, and timber.
Following a detailed Phase I review, the CCP determined that although Olam Agri holds a meaningful presence in certain commodity markets, the transaction will not create or strengthen a dominant position in Pakistan.
The Commission also noted that SALIC does not have any direct business operations in Pakistan, and the transaction essentially represents a shift from joint to sole control at the shareholder level.
The CCP further observed that Pakistan’s agricultural commodities sector remains broad and competitive, with several active traders and importers participating in the market.
On the basis of its assessment, the Commission concluded that the acquisition does not raise competition concerns and will not substantially lessen competition in the relevant markets. Accordingly, the proposed transaction has been authorized under the Competition Act, 2010 and the Competition (Merger Control) Regulations, 2016.