The Competition Commission of Pakistan (CCP) has approved the acquisition of a 94.8% shareholding in FINCA Microfinance Bank Limited by TPL Corp Limited and ABHI (Private) Limited. The transaction marks a significant development in Pakistan’s microfinance sector, as the two entities acquire stakes from the bank’s existing shareholders, including FINCA Microfinance Coöperatief U.A., International Finance Corporation (IFC), Triodos Fair Share Fund, and Acumen Pakistan.
Under the agreement, TPL Corp will acquire 33.17% of FINCA Microfinance Bank’s shares, while ABHI (Private) Limited will secure a majority stake of 61.61%. Following its competition assessment, the CCP concluded that the acquisition would not create a dominant market position for the acquirers in Pakistan’s microfinance lending market.
TPL Corp, a publicly listed investment company, operates across a range of sectors, including insurance, real estate, asset tracking, and technology start-ups. ABHI, a licensed private entity, specializes in providing investment finance services under Pakistan’s non-banking finance company (NBFC) regulations.
FINCA Microfinance Bank Limited, regulated by the State Bank of Pakistan, has been a significant player in offering financial services to underserved communities. Its outgoing shareholders—FINCA Microfinance Coöperatief U.A., IFC, Triodos Fair Share Fund, and Acumen Pakistan—are globally recognized entities focused on sustainable investment and socio-economic development in emerging markets.
The transaction is expected to enhance the scope of microfinance services in Pakistan, leveraging the diverse expertise of the acquiring entities.
