IESCO privatisation draws 10 investor groups

The Privatisation Commission (PC) on Monday received 10 Expressions of Interest (EOIs) from domestic and international investors for the acquisition of 51% to 100% shareholding in Islamabad Electric Supply Company (IESCO), along with management control.

The EOIs were submitted on the closing date of the process for privatisation of IESCO, one of three distribution companies included in the first batch of DISCO privatisation, the Ministry of Privatization said in a statement.

The interested parties include three Turkish companies – Aktor Elektrik Enerji Yatırımları San. ve Tic. A.Ş., Genvera Enerji A.Ş. and Cengiz Enerji Sanayii ve Ticaret A.Ş. – along with Engro Energy Limited, Sapphire Fibers Limited, Novatex Limited and Bestway Cement Limited.

Four consortiums also submitted EOIs: Artistic Milliners (Private) Limited Consortium; Hub Power Holding Limited Consortium; Hasnaat Brothers Construction Co. (Pvt) Limited Consortium; and a consortium comprising The Lake City Holdings, Fatima Capital Limited, Din Ventures and Fazal Cloth Mills.

Privatisation Adviser to the Prime Minister and Privatisation Commission Chairman Muhammad Ali said the strong response reflected investor confidence in Pakistan’s electricity distribution sector and the government’s commitment to a transparent and competitive process.

“The Commission now looks forward to engaging constructively with the prequalified investors through the due-diligence process and to seek alignment on an equitable, transparent and predictable post-privatisation regime,” he said.

The EOIs and Statements of Qualification submitted by the interested parties will now undergo evaluation against the approved prequalification criteria. Applicants meeting the requirements will be prequalified and invited to the next stage, including access to the Virtual Data Room for detailed due diligence.

IESCO is part of DISCOs Batch-I, along with Faisalabad Electric Supply Company (FESCO) and Gujranwala Electric Power Company (GEPCO).

The commission said 10 parties had already been prequalified for FESCO, while 11 EOIs received for GEPCO are currently under evaluation.

The government aims to improve operational efficiency, modernise distribution infrastructure, strengthen customer service and reduce losses through the privatisation process.