ISLAMABAD: The Competition Commission of Pakistan (CCP) has approved the acquisition of BASF Pakistan (Private) Limited by UAE-based Kemyion Chemical Solutions Trading FZCO, according to the CCP’s merger order released on Tuesday.
According to the order, the CCP has authorised the acquisition of 100 percent shareholding of BASF Pakistan from Germany’s BASF SE following a Phase-I review under the Competition Act, 2010, facilitating another foreign investment transaction in Pakistan’s chemicals sector.
Kemyion Chemical Solutions Trading FZCO, incorporated in the UAE in November 2025, is authorised to trade in industrial and specialty chemicals, petrochemicals, construction chemicals, insecticides, and plastic and nylon raw materials. The company currently has no operations, assets, or revenue in Pakistan.
The target company, the BASF Pakistan (Private) Limited, is engaged in the indenting and merchandising of chemical products including colorants, catalysts, solvents, oxo alcohols, and process chemicals. It is a wholly owned subsidiary of BASF SE, the German multinational chemical giant.
Documents reviewed by Business Recorder showed that the transaction is being executed under a Share Purchase Agreement signed on November 18, 2025. Upon completion, the UAE-based company will acquire full ownership and control of BASF Pakistan.
During its competition assessment, the CCP identified the relevant market as the trade of specialty and industrial chemicals in Pakistan. The Commission observed that the acquiring company is not currently active in the Pakistani market and therefore the acquisition would not result in any material increase in market concentration.
The regulator concluded that the combined market share of the merger parties would remain unchanged and insignificant following completion of the transaction. The Commission further held that the acquisition would neither create barriers to entry nor strengthen a dominant position in the relevant market.
As a result, the CCP authorized the transaction under Section 31 of the Competition Act, concluding that it is unlikely to lessen competition or adversely affect market dynamics.
The approval comes amid increasing economic engagement between Pakistan and the UAE. In recent years, Emirati investors have expanded their footprint across Pakistan’s ports, logistics, aviation, telecommunications, energy, financial services, mining, and industrial sectors, making the UAE one of Pakistan’s most important investment partners.
The latest approval reflects the CCP’s continued role in facilitating investment and corporate transactions through timely merger reviews while ensuring that market competition, efficiency, and consumer welfare remain protected.
Copyright Business Recorder, 2026
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