Islamabad: The Competition Commission of Pakistan (CCP) has given its approval for the merger of LSE SPAC-I Limited with Ningbo Greenlight Energy Limited. The approval, detailed in Case No. 1627/Merger-CCP/2026, states that the merger does not create or strengthen a dominant position within the relevant market, in compliance with the Competition Act, 2010, and the Competition (Merger Control) Regulations, 2016.
The decision, conveyed through an order dated August 28, 2026, follows a comprehensive review under Section 11 of the Competition Act, 2010. This merger is primarily guided by a Scheme of Compromise, Arrangement and Reconstruction, jointly submitted by both merger parties.
LSE SPAC-I Limited, established on March 9, 2025, is a Special Purpose Acquisition Company (SPAC) listed on the Pakistan Stock Exchange. Its primary function is to raise capital through public offerings and engage in mergers or acquisitions. Currently, it operates as a wholly owned subsidiary of LSE Capital Limited and lacks direct commercial operations.
Ningbo Greenlight Energy Limited, incorporated on April 12, 2018, functions as an unlisted public company. It specializes in the import and distribution of solar power equipment within Pakistan, encompassing solar panels and inverters, alongside offering related services.
This merger transaction is structured in two phases. The initial phase involved LSE SPAC-I Limited acquiring a 19.04% stake in the equity share capital of Ningbo Greenlight Energy Limited. In the subsequent phase, LSE SPAC-I Limited will merge into Ningbo Greenlight Energy Limited, leading to the latter emerging as the surviving entity. This will involve Ningbo Greenlight Energy Limited issuing 39,000,003 ordinary shares to LSE SPAC-I Limited's shareholders at a swap ratio of 1.51. The share exchange is valued at 390.00 million PKR, based on a par value of 10 PKR per share.
According to information available from the Pakistan Stock Exchange (PSX), the merger has been strategically aligned with market conditions. The solar energy market, wherein Ningbo Greenlight Energy Limited operates, is identified as "Solar Photovoltaic Equipment and Related Services" within Pakistan. The company's market share, based on installed capacities, stood at 1.5% in fiscal year 2025 and 0.12% in fiscal year 2026, against Pakistan's total installed capacities of 2,813 MW and 7,319 MW respectively.
The CCP's decision underscores a thorough procedural review and a Phase-I competition assessment, which focused on evaluating potential competitive concerns and impact on the solar energy market within Pakistan. The Commission's findings affirm that the merger does not pose significant threats to market competition or dominance, thus enabling the transaction to proceed as planned.