Pakistan government offers Multi Billion dollars privatization deals
ISLAMABAD - Pakistan government offers Multi Billion dollars privatization deals.
The Privatization Commission Board (PCB), headed by Minister of Privatization, Mohammad Mian Soomro, has pre-qualified 12 firms to bid for 2 multi-billion dollar LNG-fired power plants.
The National Power Parks Management Company Limited (NPPMCL) owns both power plants located at Haveli Bahadur Shah and Balloki. The power plants have a total capacity of 2,453 MW. The PCB is hoping to raise Rs. 300 billion in non-tax revenue through the sale of power plants.
According to details, the PCB has pre-qualified all 12 parties that had submitted statements of qualification to acquire the 2 power plants. It includes renowned global firms from Malaysia, Japan, Thailand, and the UK.
Following the pre-qualified phase, all of the 12 firms will start the due diligence process, said Privatization Secretary, Rizwan Malik. ------------------------------
Moreover, the PCB has granted approval to hire financial advisers to sell 10% shares of Pakistan Petroleum Limited (PPL) and 7% stakes of Oil and Gas Development Company Limited (OGDCL). PCB is confident to raise Rs.400 billion by selling stakes of the country’s two blue-chip enterprises.
The PCB will also sell 27 unprofitable government-owned properties through an open auction. The total combined price of these properties is estimated to be Rs. 6.7 billion.
All the revenue raised through the sale of shares of petroleum corporations, capital market transaction and privatization of power plants will be used to bridge the budget deficit.