CCP Approves 100% Acquisition of EFU Health by EFU Life

The Competition Commission of Pakistan (CCP) has granted approval to a merger in the Health Insurance and Health Takaful sector. The approved transaction involves the acquisition of 100% shareholding of M/s. EFU Health Insurance Limited by M/s. EFU Life Assurance. The acquirer, EFU Life Assurance is a public listed company. It is engaged in life insurance business including ordinary life business and pension fund business. Whereas, the target company, EFU Health Insurance Limited, is an unlisted public limited company. Its principal activities include selling health insurance and health takaful cover in Pakistan. EFU Life Assurance is acquiring 100% shareholding of EFU Health from M/s. EFU Services (Private) Limited and six other shareholders. EFU Life will be issuing its own ordinary shares at a swap ratio to the current shareholders of EFU Health. Following the Phase 1 Review, the CCP determined that the proposed transaction would not lead to the acquirer attaining dominance in the relevant market after the completion of the transaction. Consequently, the merger has been authorized. The approval of the acquisition of EFU Health by EFU Life marks a significant development in the health insurance and health takaful sector of Pakistan. It reflects the ongoing consolidation and strategic realignment within the industry, which could potentially lead to improved services and offerings for customers.