CCP approves merger of Intermarket Securities with EFG Hermes Pakistan

The Competition Commission of Pakistan (CCP) has approved a scheme of arrangements for the merger of Intermarket Securities Ltd (IMS) with EFG Hermes Pakistan Ltd (EFG).

The Phase-I competition assessment by the CCP identified 'Brokerage Services' as the relevant product market. The assessment revealed that post-transaction, IMS will dissolve without winding up, and EFG will be the surviving entity.

Under the scheme, the agreed swap ratio for the transaction is 2.16:1, where for every one share of IMS, EFG will issue 2.16 shares to IMS shareholders.

The assessment confirmed that post-transaction, the merger will result in a slight increase in EFG’s market share, without leading to dominance in the brokerage market.

IMS is a publicly unlisted company providing brokerage services. EFG, a publicly listed company, offers brokerage services in stocks and financial brokerage, corporate finance, and financial research.