The Competition Commission of Pakistan (CCP) has granted approval for the acquisition of Advans Pakistan Microfinance Bank Limited by Dutch-based holding company MNT–Halan Pak BV, marking a significant milestone in Pakistan’s microfinance banking sector.
MNT–Halan Pak BV, a Netherlands-incorporated holding company, operates in Pakistan through its subsidiaries, Halan Wallet (Private) Limited and Halan Finance Limited. Meanwhile, Advans Pakistan Microfinance Bank Limited is a public limited company operating in the microfinance banking sector of Pakistan.
The acquisition entails the purchase of 100% shareholding of Advans Pakistan Microfinance Bank Limited from Advans S.A SICAR, a Luxembourg-based financial services company.
Following a comprehensive review of the pre-merger application, the CCP concluded that there are no overlaps between the merging parties, ensuring that market conditions will remain unchanged post-merger.
The approval of this acquisition holds significant implications for Pakistan’s microfinance banking sector, which plays a vital role in the country’s financial inclusion agenda. With the sector serving 76% of all borrowers and accounting for approximately a third of all outstanding agriculture advances, foreign investment in this sector is poised to introduce new technologies, innovative products, and enhanced services, benefiting both industry stakeholders and consumers alike.
