Key Takeaways
- A consortium led by Lucky Cement has been pre-qualified for the privatisation of Gujranwala Electric Power Company Limited (GEPCO).
- The consortium will now conduct due diligence on the power distribution company.
- Nine interested parties, including Turkish energy companies and local firms, have been pre-qualified for the process.
A consortium led by Lucky Cement Limited has been pre-qualified to conduct due diligence on Gujranwala Electric Power Company Limited (GEPCO), as part of the privatisation process initiated by the Government of Pakistan.
In a filing to the Pakistan Stock Exchange (PSX), Lucky Cement informed that the consortium, which includes Hub Power Holdings Limited, Kohat Cement Company Limited, and Metro Ventures (Private) Limited, has been shortlisted to undertake financial, technical, and legal due diligence on the power distribution company.
The consortium is one of nine pre-qualified parties, including three Turkish energy companies – Aktor Elektrik Enerji Yatirimlari San. Ve Tic. A.S., Genvera Enerji A.S., and Cengiz Enerji Sanayii Ve Ticaret A.S. – as well as local firms such as Engro Energy Limited, Sapphire Fibers Limited, Hub Power Holdings Consortium, Shirazi Investments (Pvt.) Limited Consortium, Artistic Milliners (Pvt.) Limited Consortium, and AKD Securities Consortium.
Lucky Cement stated that neither it nor the consortium has entered into any binding commitment to acquire an equity stake in GEPCO. Any such commitment would only be made following satisfactory completion of due diligence, receipt of all applicable corporate and regulatory approvals, and a determination that the transaction is commercially viable.
The consortium intends to undertake a comprehensive due diligence exercise and evaluate the viability of the potential acquisition opportunity.
On Monday, the Privatisation Commission (PC) Board approved the prequalification of the nine interested parties, paving the way for the next stage of the transaction.
The process involves the prequalified parties accessing a Virtual Data Room for detailed buy-side due diligence, which will be followed by the submission of final bids.
The privatisation of GEPCO is part of the government's broader privatisation strategy to improve the efficiency and management of state-owned enterprises.
