After Nishat Group, Sapphire Fibres joins race for FESCO privatisation
- SFL says it may form a consortium once the approval is granted
Sapphire Fibres Limited (SFL) has entered the race for the privatisation of Faisalabad Electric Supply Company (FESCO).
The development comes a day after a consortium comprising several Nishat Group companies announced its participation in the privatisation of the power distribution company.
“Sapphire Fibres Limited obtained the Request for Statement of Qualification as amended or supplemented from time to time (RSOQ) issued by the Privatisation Commission, for the divestment of FESCO through privatisation,” the listed company stated in a notice to the Pakistan Stock Exchange (PSX) on Friday.
SFL shared that the company’s Board of Directors have approved participation in the transaction. However, it added that the company has not yet assumed any binding obligation, “which remains subject to pre- qualification by the Privatisation Commission and to all requisite corporate and regulatory approvals”.
Sapphire Fibres said that it may form a consortium once the approval is granted.
Last year, SFL completed the acquisition of 50% shares each in UCH Power (Private) Limited (a 586MW gas-based power plant) and UCH-II Power (Private) Limited (a 404 MW gas-based power plant), both located in Dera Murad Jamali, Balochistan.
FESCO is among the electricity Distribution Companies (DISCOs) slated for privatisation by the Pakistani government, alongside Islamabad Electric Supply Company (IESCO) and Gujranwala Electric Power Company (GEPCO), as part of a broader energy sector reform agenda aimed at improving efficiency, reducing losses, and attracting private investment. The Cabinet initially approved the outright privatisation of these three DISCOs in August 2024.
Last month, the deadline for EOI submission for FESCO was revised to August 7, 2026.
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