ISLAMABAD: The Competition Commission of Pakistan (CCP) Monday approved a proposed investment by the Central Depository Company of Pakistan Limited (CDC) in Naymat Collateral Management Company Limited, a move that officials say could strengthen the country’s evolving warehousing and collateral management infrastructure without harming market competition.
The approval, granted by the CCP following a first-phase review under the Competition Act, 2010, allows CDC to subscribe to additional ordinary shares in Naymat Collateral Management Company Limited (NCMCL).
The transaction comes at a time when Pakistan is attempting to modernise commodity financing and strengthen confidence in warehouse receipt systems, particularly for agricultural and traded commodities. NCMCL is currently the only collateral management company registered with the Securities and Exchange Commission of Pakistan for accreditation and oversight of warehouses operating under the country’s Electronic Warehouse Receipt framework.
The CDC, established in 1993, is one of Pakistan’s key capital market institutions, providing electronic custody of securities, settlement facilitation and related depository services. NCMCL, incorporated in 2020, operates as a collateral management company responsible for warehouse oversight, verification and reporting services for commodities held as collateral.
In its assessment, the CCP defined the relevant market as collateral management and warehousing oversight services within Pakistan. The regulator concluded that the deal would not significantly alter competition dynamics because the two companies operate in separate and unrelated business segments.
The CCP’s merger order stated: “The Transaction will have minimal effects on the market dynamics in terms of competition and market structure considering the fact that post-merger market share would not increase. Further, it would not produce any anti-competitive effects such as collusion or removal of an effective competitor because the relevant market is fragmented.”
The FBR has also been notified.
The acquisition neither constituted horizontal integration nor vertical integration, reducing the likelihood of anti-competitive effects such as market foreclosure or collusion. The transaction would not create entry barriers or substantially lessen competition in the market.
The decision reflects Pakistan’s broader effort to facilitate investment and improve institutional infrastructure in financial and commodity markets while maintaining regulatory oversight of competition concerns.
The CCP formally authorised the transaction under Section 31 of the Competition Act.
Copyright Business Recorder, 2026
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