The Competition Commission of Pakistan (CCP) has approved the acquisition of M/s Hotel Margala Private Limited by M/s Nishat Hotels and Properties Limited.
Under the Sale and Purchase Agreement, Nishat Hotels and Properties Limited will acquire Hotel Margala’s assets, including leasehold rights to its plot on Srinagar Highway, the motel’s built-up structure, fittings, fixtures, utility connections, deposits, and all movable property on-site.
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The CCP assessed the potential impact of the acquisition on market competition, defining the relevant product market as hospitality services and the geographic market as Islamabad. Hotel Margala, a 92-room facility, holds an estimated 5.46 percent share of Islamabad’s hospitality sector.
Since Nishat Hotels primarily operates in Lahore and Hotel Margala in Islamabad, the acquisition does not create a direct market overlap, minimizing concerns about market concentration. Additionally, with moderate barriers to entry in the hospitality sector, the CCP concluded that the transaction is unlikely to harm competition.
