Nishat: CCP Approves Acquisition of Hotel Margala by Nishat Hotels

The Competition Commission of Pakistan (CCP) has approved the acquisition of Hotel Margala Private Limited's assets by Nishat Hotels and Properties Limited (NHPL). The transaction involves NHPL acquiring the hotel’s assets including the leasehold rights to its plot on Srinagar Highway in Islamabad, and all associated properties and fittings. The CCP conducted a competition assessment to examine potential concerns regarding market dominance and competitive impact. The acquisition is classified as horizontal since both entities are in the hospitality sector, but their geographical markets do not overlap as NHPL predominantly operates in Lahore and Hotel Margala is based in Islamabad. Hotel Margala has a modest market share of 5.46% in Islamabad's hospitality sector, and due to the lack of direct geographical overlap, CCP believes the acquisition would not affect market competition. NHPL already operates two hotels in Lahore, further solidifying its position in the hospitality industry.