In a strategic expansion of its global retail operations, Saudi Aramco, the world’s leading integrated energy and chemicals company, has completed the acquisition of a 40% stake in Gas & Oil (GO) Pakistan.
GO is one of Pakistan’s premier retail and storage providers in the diversified downstream fuel sector. It boasts over 1,100 retail outlets nationwide that offer various services, including lubricants, diesel, and petrol.
This acquisition, finalized in December 2023, represents Saudi Aramco’s first foray into Pakistan’s downstream retail sector, highlighting its global commitment to expanding its retail footprint. Yasser Mufti, Executive Vice President for Products & Customers at Aramco, emphasized that this move is pivotal in Aramco’s strategy to broaden its global retail presence.
Mufti also conveyed his enthusiasm for bringing Aramco’s high-quality products and services to the Pakistani market through this strategic alliance with GO Pakistan. He underscored the potential this partnership holds for enhancing Aramco’s network of international operations, aiming to foster new opportunities and elevate the Aramco brand in diverse markets.
The acquisition received clearance from the Competition Commission of Pakistan (CCP) last month, marking another successful step in Aramco’s expansion strategy. Before this, Aramco also fully acquired SMX Distribucion SPA, a major fuel and lubricant retailer in Chile, in March. The agreement to purchase a stake in GO Pakistan was signed in December of the previous year, a move lauded by economic analysts as a significant boost for Pakistan’s economy, which has been grappling with challenges such as foreign exchange shortages.
Pakistan has struggled to attract substantial foreign direct investment, with FDI amounting to $1.46 billion from July to April this fiscal year, a modest increase from $1.35 billion in the corresponding period of the previous year. The strategic investment by Saudi Aramco is seen as a positive development for Pakistan’s investment landscape.