The Competition Commission of Pakistan (CCP) has approved the acquisition of a shareholding in M/s Northern Technik (Private) Limited by UAE-based M/s International Business Company FZE, marking a fresh inflow of foreign direct investment into Pakistan’s aviation services sector.
According to details, International Business Company FZE has registered in the United Arab Emirates in 2010 operates in import, export, general trading, and provides consultancy services in business, marketing, and management.
The target company, Northern Technik (Private) Limited, incorporated in Pakistan in 2018, specializes in aircraft line maintenance services for commercial airlines operating in the country. The selling entity, M/s SPARS (Private) Limited, is a diversified Pakistani firm with business interests across real estate, aviation, telecom, pharmaceuticals, IT, construction, and engineering services.
The transaction involves the acquisition of a significant shareholding in Northern Technik, a move expected to bring foreign capital into Pakistan’s aviation maintenance sector.
Following a Phase-I review under Section 11 of the Competition Act, 2010, the CCP concluded that the deal raises no competition concerns.
The Commission noted that the relevant market aircraft line maintenance services in Pakistan remains fragmented, with both independent providers and airlines’ in-house maintenance operations. It further observed that there is no horizontal overlap between the activities of the acquiring and target companies.
CCP stated that the transaction will not create or strengthen a dominant position, nor will it result in market foreclosure, collusion risks, or barriers to entry. The deal was therefore authorized under Section 31(1)(d)(i) of the Competition Act, 2010.
The regulator reiterated its commitment to facilitating investment through transparent merger reviews while ensuring fair competition and a stable business environment in Pakistan.
