ISLAMABAD: Nestlé Pakistan Limited’s bottled water business is proposed to be separated into a newly incorporated subsidiary and subsequently brought within a global joint venture between Nestlé SA and a Platinum Equity-controlled entity, according to a merger order issued by the Competition Commission of Pakistan (CCP).
The Commission approved the transaction after a Phase-I assessment found no horizontal or vertical overlap between the businesses concerned in Pakistan’s bottled water market. The order, dated October 16, 2026, authorises the transaction under Section 31(1)(d)(i) of the Competition Act, 2010.
The Pakistani restructuring forms part of a wider reorganisation of Nestlé’s waters and beverages business across several jurisdictions. Nestlé Pakistan currently produces and sells bottled water under the Nestlé Pure Life brand.
Under the proposed scheme of arrangement, Nestlé Pakistan will transfer its water business as a going concern to a newly incorporated, wholly owned subsidiary identified in the order as “Newco Pakistan”. In return, Nestlé Pakistan will receive shares in that subsidiary.
Those shares will subsequently be transferred to an upstream Nestlé entity, placing the Pakistani water business within the international Nestlé Waters structure that will ultimately form part of the joint venture.
The global transaction involves Forward I S.à r.l., a Luxembourg special purpose vehicle incorporated on July 1, 2026, acquiring a shareholding in WPB JVco S.à r.l. The latter was incorporated in Luxembourg on July 2, 2026, and is initially wholly owned by Nestlé. Following the acquisition, Nestlé and Forward I will jointly control the company.
The acquisition percentage, transaction consideration and Nestlé Pakistan’s estimated FY2025 market share are not disclosed in the supplied order.
Forward I have no independent operations. It is ultimately controlled by Platinum Equity LLC through investment entities managed or advised by Platinum Equity Advisors. Platinum-controlled businesses already operate in Pakistan in sectors including IT distribution, pharmaceuticals, educational materials and industrial power generation.
However, CCP found that these activities did not overlap horizontally or vertically with the target’s bottled water business. The transaction would therefore leave existing market shares unchanged.
The Commission also cited established, certified manufacturers and consumers’ ability to switch between compliant brands. It found no resulting entry barriers, substantial lessening of competition or creation or strengthening of a dominant position.
The clearance is expressly limited to merger review under Section 11. Matters outside CCP’s jurisdiction remain subject to other applicable laws and regulatory oversight.
Copyright Business Recorder, 2026
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