ISLAMABAD: The Competitors Fee of Pakistan (CCP) has authorized a scheme of preparations for the merger of Intermarket Securities Ltd (IMS) with EFG Hermes Pakistan Ltd (EFG).
IMS is a publicly unlisted firm that gives brokerage companies. On the identical time, EFG is a publicly listed firm that provides brokerage companies in shares and monetary brokerage, company finance, and monetary analysis.
The Part-I competitors evaluation by the CCP recognized ‘Brokerage Providers’ because the related product market. The evaluation additional revealed that post-transaction, IMS will dissolve with out winding up, and EFG would be the surviving entity.
Underneath the scheme, the agreed swap ratio for the transaction is 2.16:1, whereby, for each 1 share of IMS, EFG will problem 2.16 shares to the shareholders of IMS.
The evaluation additional confirmed that post-transaction, the merger will result in a slight improve in EFG’s market share, which won’t end in EFG attaining dominance within the brokerage market.
Printed in Daybreak, Might twenty eighth, 2024