ISLAMABAD: National Power Construction Corporation (NPCC), a privatised power-sector company, has sought government approval for disposal of its remaining 12 percent government-held shares to an existing majority shareholder, arguing that the state ownership is creating administrative, banking and regulatory impediments to its business operations in Saudi Arabia.
According to sources in Privatisation Division, NPCC Chief Executive Officer (CEO) Muhammad Ajaz Malik, in a letter has requested approval for sale/disposal of the remaining shares in accordance with the applicable legal framework and prescribed procedure.
The request follows the reversion of 12 percent shares previously allocated under the Benazir Employees’ Stock Option Scheme (BESOS) to the Government of Pakistan following a Supreme Court judgment declaring the scheme unconstitutional.
NPCC was privatised with effect from December 1, 2015, through a competitive process conducted by the Privatisation Commission. At the time, 88 percent shares owned by the President of Pakistan were sold to M/s Mansour Al Mosaid Company for Trading and Contracting, Saudi Arabia, along with transfer of management control, after approval by the Cabinet Committee on Privatisation (CCoP).
The remaining 12 percent shares were allocated under BESOS and held through the Employees Empowerment Trust.
According to NPCC, the Supreme Court of Pakistan, through its judgment dated October 22, 2022, declared the BESOS scheme unconstitutional and violative of Article 154 of the Constitution and directed reversion of all shares held through Employees Empowerment Trusts to the Government of Pakistan. Consequently, the respective trusts stood dissolved.
The company stated that its 12 percent BESOS shares had reverted to the government pursuant to the judgment, while the NPCC Employees Empowerment Trust had ceased to exist and no longer held any shareholding in the company.
However, formal transfer of these shares back to the President of Pakistan has not yet been completed. NPCC stated that the Share Transfer Deed had been signed by the Secretary of the Employees Empowerment Trust as transferor but remained pending countersignature by the Ministry as transferee.
The company has also requested the Power Division to countersign the deed to complete the transfer before proceeding with disposal of the shares.
NPCC maintained that the continued existence of government-held shares was creating practical and operational difficulties for its business activities in Saudi Arabia, particularly concerning banking arrangements, corporate governance and regulatory compliance.
The company also recalled that during the privatisation process, the Privatisation Commission had specifically asked prequalified bidders whether they were interested in acquiring 100 percent shareholding in NPCC, to which all participating bidders had responded affirmatively.
NPCC further informed the Power Division that its ownership structure had subsequently changed, with M/s Mansour Al Mosaid Company transferring 50 percent of its shareholding to Hafiz Yasin Abdulkarim.
According to the company, its present shareholding structure comprises the President of Pakistan with 12 percent shares, Mansour Al Mosaid Company with 44 percent and Hafiz Yasin Abdulkarim with 44 percent.
Hafiz Yasin Abdulkarim has now expressed willingness to acquire the remaining 12 percent shares reverted to the government following the Supreme Court judgment.
NPCC argued that acquisition of the remaining shares by the existing majority shareholder would consolidate ownership, eliminate unnecessary administrative and regulatory hurdles and facilitate its international business operations.
The company emphasised that, notwithstanding its privatisation, it continued to maintain its registered head office in Pakistan and remained incorporated and registered with the Securities and Exchange Commission of Pakistan (SECP) as a Pakistani company.
The letter also enclosed a June 26, 2025 communication issued by the Ministry of Privatisation, along with the original Share Transfer Deed and share certificate, for consideration by the Power Division.
NPCC has requested the competent authority to approve the sale or disposal of the remaining government-held shares in accordance with applicable laws and prescribed procedures.
Copyright Business Recorder, 2026
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