Hoechst Pakistan to Establish Subsidiary in UAE, formerly Sanofi-Aventis Pakistan Limited, announced plans to establish a subsidiary in the Gulf state.

Hoechst Pakistan to Establish Subsidiary in UAE

In line with the growing trend of Pakistani companies expanding operations to the United Arab Emirates (UAE), Hoechst Pakistan Limited, formerly known as Sanofi-Aventis Pakistan Limited, has announced its intention to incorporate a subsidiary in the Gulf state. This decision was disclosed in a notice to the Pakistan Stock Exchange on Friday.

Details of the Expansion Plan

According to the notice, the Board of Directors of Hoechst Pakistan Limited approved the incorporation of a wholly owned foreign subsidiary during a meeting held on December 19, 2024.

The subsidiary, based in the UAE, will primarily focus on commercial trading, with import, export, distribution, and warehousing as ancillary activities.

The company also highlighted that it will secure all required regulatory approvals before moving forward.

At the time of the announcement, Hoechst Pakistan’s share price stood at Rs2,655, reflecting a decrease of Rs55 or 2.03%.

Why UAE?

The UAE continues to attract Pakistani companies due to its business-friendly environment, streamlined payment processes, and efficient contract enforcement. The nation ranks ninth globally out of 190 countries for contract enforcement and holds the top spot for ease of getting electricity. These factors, coupled with its robust infrastructure and legal framework, make the UAE an ideal hub for international business operations.

A Growing Trend Among Pakistani Companies

Hoechst Pakistan is not the only company looking to leverage the UAE’s strategic advantages. Several other Pakistani firms have recently announced expansions in the Gulf state:

Symmetry Group: A digital technology company revealed plans to establish a UAE subsidiary in September.
Ismail Industries Limited: Known for its confectionery products, the company announced in June the setup of its subsidiary in Abu Dhabi.
Treet Corporation Limited: Recently incorporated Treet Trading LLC, a wholly owned subsidiary in Dubai.

Strategic Advantages: Hoechst Pakistan to Establish Subsidiary in UAE

Experts believe that setting up operations in the UAE offers Pakistani companies a unique opportunity to access global markets more efficiently. The UAE’s position as a global hub, combined with its modern infrastructure and favorable regulatory environment, enables businesses to streamline their operations and enhance their competitiveness.

As more companies follow suit, the UAE continues to solidify its reputation as the go-to destination for Pakistani firms seeking international expansion.

Hoechst Pakistan to Establish Subsidiary in UAE

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