An Analysis of Corporate Merger and Acquisition in Pakistan: A Comparative Study with UK and USA

Abstract

This study provides an in-depth analysis of the legal and regulatory structures surrounding merger and acquisition in Pakistan, drawing comparisons with the United Kingdom and United States regulatory environments. Although merger and acquisition transactions are very instrumental in corporate development, market expansion and economic integration, they are highly regulated globally in order to maintain a fair competition. This paper is a critical analysis of the current mergers and acquisition laws in Pakistan, the applicable laws, process, and the regulatory bodies. A comparative analysis is carried out in detail to get an idea of how the mergers and acquisition regime in Pakistan compares with or contrasts to well established regimes of the UK and the USA. The paper also examines major regulatory reforms that have been enacted in such developed jurisdictions and especially the mechanisms that have been put in place to ensure that there is competition, transparency and accountability in mergers and acquisition transactions. This study, through qualitative research approach, determines the existence of legal gaps and procedural deficiencies that exist in the corporate merger and acquisition environment in Pakistan. This research paper has come up with practical suggestions on how the Pakistani regulatory framework can be enhanced to ensure that the merger and acquisition process is efficient, transparent, and competitive based on the experience of the UK and USA. The research seeks to establish a more transparent, cohesive and internationally consistent environment for corporate merger and acquisition in Pakistan.