The Competition Commission of Pakistan (CCP) has granted approval for the acquisition of a 100 percent shareholding in Tenaga Generasi Limited (TGL), an independent power producer with a 49.5 MW wind power plant, by Artistic Milliners (Private) Limited (AMPL), a leading global denim manufacturer.
Tenaga Generasi Limited, a Malaysian entity, was established in Pakistan in 2004 to develop a 50 MW wind power plant. The company was allocated 1,200 acres in District Gharo, Sindh, for this purpose. The National Electric Power Regulatory Authority (NEPRA) issued a Generation License to TGL, initially valid for 20 years. In January 2008, TGL decided to exit the Pakistani market, and Dawood Lawrencepur Limited (DLL) acquired a 75 percent stake in TGL, with the remaining shares held by the International Finance Corporation (IFC), a member of the World Bank Group.
The CCP’s Phase-I competition assessment identified ‘Renewable Energy – Wind Power Generation’ as the relevant market. The assessment revealed that TGL’s market share is less than 3 percent, while AMPL’s two subsidiaries collectively hold a market share of 5.38 percent. Following the transaction, AMPL’s market share is expected to rise to approximately 8 percent. As the transaction does not result in the acquirer dominating the relevant market, the CCP has approved the acquisition.
This approval enables Artistic Milliners to expand its footprint in the renewable energy sector. The acquisition highlights the potential for collaborative advancements in renewable energy, significantly contributing to the transformation of Pakistan’s national energy landscape.
