Islamabad February 24, 2022: Federal Minister for Finance and Revenue Mr. Shaukat Tarin, presided over meeting of the Cabinet Committee on Privatization (CCoP), today. Federal Minister for Privatization Muhammedmian Soomro, Chairman Privatization Commission Mr. Muhammad Saleem, Federal Secretaries and senior officials attended the meeting.
On a proposal by the PC for the sale/divestment of all government shares (96.6%) of Heavy Electrical Complex to the successful bidder M/S IMS Engineering Pvt. Ltd., against their highest bid of Rs. 99.999/share amounting to Rs. 1,410,000,000, the CCoP approved the proposal. The proposal will be considered by the Cabinet.
Waves Singer Pakistan Limited (WSPL), one of the country’s largest retailer and trader of domestic appliances has expressed interest to acquire the Heavy Electrical Complex.
“The Board of Directors of Waves Singer Pakistan Limited has approved submission of an Expression of Interest (EOI) for the acquisition of 96.6 percent shares of Heavy Electrical Complex (Private) Limited (HEC) from the Government of Pakistan by way of privatization process.
It is pertinent to mention that the HEC is owned by State Engineering Corporation (SEC), a full-owned company by the government and under the administrative control of the Ministry of Industries and Production.
Over the years, the HEC has continuously lost its market share in the transformers business, which is even less than five percent in the recent years.
In the last couple of years, only in 2016, company served around 30 percent of the market share in the power sector for transformers, primarily in the capacity of a sub-contractor to the PEL. As per earlier reports, the company has been accumulating losses and consequently, the initially injected government equity of around Rs1.5 billion has been eroded to half.
