DISCOs’ sell-off: PC inks ‘FASA’ with Raiffeisen Investment

ISLAMABAD: The Privatisation Commission on Thursday signed a Financial Advisory Services Agreement (FASA) with Raiffeisen Investment Finansal Danismanlik Hizmetleri Limited Sirketi for private sector participation through the privatisation of two electricity distribution companies: Hyderabad Electric Supply Company (HESCO) and Sukkur Electric Power Company (SEPCO).

Raiffeisen Investment was the top-ranked Financial Adviser (FA), which was selected through a competitive process from among the financial advisory firms that participated in the bidding.

The signing marks the conclusion of the appointment process for the Financial Adviser for the second batch of distribution companies (DISCOs) being taken forward for privatisation.

Under the FASA, Raiffeisen Investment will serve as the sell-side Financial Adviser and will undertake comprehensive sell-side due diligence, market sounding, and engagement with potential investors.

The FA will also support the Privatisation Commission in structuring and marketing the transactions, and in conducting a transparent and competitive bidding process, in line with the Government’s privatisation framework and applicable rules.

Privatisation of the first batch of DISCOs: Islamabad Electric Supply Company (IESCO), Gujranwala Electric Power Company (GEPCO), and Faisalabad Electric Supply Company (FESCO) is already under way.

The inclusion of HESCO and SEPCO in the second batch reflects the Government’s continued commitment to improving service delivery, efficiency, and financial sustainability in the power distribution sector through private sector participation.

Copyright Business Recorder, 2025