Citi Pharma Acquisition of Pakheim Cleared by the Competition Commission, With a Plan to Grow Its Revenue Tenfold to Rs5 Billion
ISLAMABAD: The Citi Pharma acquisition of Pakheim International Pharma has cleared its biggest regulatory hurdle. In a notice to the Pakistan Stock Exchange on Monday, Citi Pharma said the Competition Commission of Pakistan had authorised its purchase of 100 percent of Pakheim’s shareholding. The order, dated October 9, 2026, was passed in Case No. 1614/Merger-CCP/2026 under Section 31(1)(d)(i) of the Competition Act, 2010.
No competition concerns, the regulator found
After reviewing the proposed transaction, the commission concluded that the deal does not raise competition concerns. The acquisition will now proceed under the share purchase agreement signed on May 6, 2026, once the remaining legal, regulatory and other formalities are completed, with further disclosures to follow as those milestones are reached.
From Rs500 million to Rs5 billion
Citi Pharma first announced the plan in May, as part of a broader push to expand its manufacturing footprint at home and abroad. Pakheim currently generates around Rs500 million in annual revenue, a figure Citi Pharma says it intends to increase tenfold to Rs5 billion over the next five years, through a wider product portfolio, a stronger distribution network and fresh investment in manufacturing. The payments have been structured flexibly until December 31, 2026, and are expected to be met from operational cash flows rather than new borrowing.
A ready customer for its own raw materials
There is a quieter logic to the deal as well. Citi Pharma makes active pharmaceutical ingredients, and supplying them directly into Pakheim’s manufacturing operations should lift its API sales while putting its existing production capacity to fuller use. Incorporated in 2012, converted into a public company in 2020 and listed on the stock exchange in July 2021, Citi Pharma manufactures and sells pharmaceutical products, medical chemicals and botanical products.
