PSM sell-off: Only one bidder still showing interest, says Fawad

Updated 22 Sep, 2023

ISLAMABAD: There is a single bidder left which is still showing interest in the privatisation of Pakistan Steel Mills (PSM) out of four Chinese companies group, Federal Minister for Privatisation Fawad Hassan Fawad said on Thursday.

In a press conference, the minister said out of the four Chinese companies group, only one is still showing interest in the privatisation of the mill.

However, “We will not be in favour of dealing with a single bidder, however, the cabinet is the competent forum to take a decision on this,” he said.

He further said that the privatisation commission would continue discussion on the PSM in the light of recommendations of the financial advisor who were appointed in 2020.

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The minister further clarified that the caretaker government would only continue the process of operation of the PSM and would not deal with the land of the PSM.

Earlier, Fawad received a briefing from the financial advisor appointed by the Privatisation Commission in 2020 to oversee the PSM.

The meeting was attended by the secretary of the Privatisation Commission, as well as other senior officers and consultants from the commission.

During the meeting, the financial advisor’s team provided a comprehensive overview, including details from their due diligence report, the transaction’s structure, the proposed scheme to create a new entity called, Steep Corp, the status of pre-qualified interested parties, and the major challenges impeding progress in the transaction.

It was emphasised that the successful completion of this transaction depended on resolving issues among various stakeholders and maintaining the interest of pre-qualified bidders.

The minister highlighted the importance of stakeholders working together to resolve these issues and move the transaction forward.

He also instructed the consortium of financial advisors to develop a clear action plan with achievable timelines.

He reaffirmed the Privatisation Commission’s commitment to its mission of facilitating efficient and transparent privatisation of state-owned entities.

Copyright Business Recorder, 2023

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