Although investigations on Panama Leaks are underway, yet two offshore companies have successfully made two deals worth $1.7 billion in the sale of shares of K-Electric, Pakistan Today learnt on Friday.
The official documents available with this scribe revealed that two offshore companies have succeeded in obtaining two business deals worth $1.7 billion in the sale of shares of K-Electric (KE).
“The share-purchase agreement relates to the terms of the proposed transaction entered into between 2 (two) offshore entities to which KE is not a party,” said official documents submitted by K-Electric in NEPRA.
The sources said that transfers of shares and handing over the control were not possible without the permission of NEPRA. They said Shanghai Electric Power Company Limited will pay $1.7 billion to KESPL while K-Electric has submitted power transmission and distribution plan of Shanghai Electric Power Company Limited in NEPRA along with an application seeking transfer of shareholdings of the company.
In an application to NEPRA, K-Electric has requested the authority to authorise/approve and permit K-Electric to recognise the transfer of 66.40pc of the total voting shares from KESPL to SEPCL. The K-Electric said, ‘KES Power Limited (KESPL), a company incorporated under the laws of Cayman Islands owns 66.40 per cent shares in K-Electric. Now, KESPL has decided to sell 66.40pc shareholdings in K-Electric to Shanghai Electric Power Company Limited (SECPL) which is incorporated under the company laws of People’s Republic of China’.
The K-Electric is interested to hand over its eighteen billion and thirty three crore shares and control to Shanghai Electric Power Company Limited, K-Electric application said.
Power sector regulatory authority (NEPRA) through a notice has sought comments from all stakeholders, interested/affected persons and general public on the application of K-Electric regarding sale of shares of K-Electric.
According to the shareholding structure of the company (K-Electric) as of August 1, 2016, KES Power Limited (KESPL) owns 66.40pc, Government of Pakistan 24.36pc, International Finance Corporation (IFC) 00.69pc and other shareholders 08.55pc.
Sources in power sector said the influential politicians and businessman were behind the scene in the transfer of KE’s shares to KSPL. Even now, some politicians and businessman are involved in the deal to maximise benefits through the sale of shares from KES Power Limited to Shanghai Electric Power Company Limited.