KARACHI: The manager of the offer informed the Pakistan Stock Exchange on Monday that Shanghai Electric Power Company had withdrawn its bid to purchase up to 66.4 percent of K-Electric Ltd.
The management of Arif Habib Ltd. stated in the notice to the exchange that Shanghai Electric withdrew its proposal, and that the time for submitting a firm offer for the K-Electric holding expired on April 20.
For Karachi, the largest metropolis in the nation, and its surrounding territories, KE is the only supplier of listed electricity and the only generator, transmitter, and distributor of electricity. In 2005, it was privatized.
For over five years, Shanghai Electric has been in negotiations to purchase a portion of KE.
Due to regulatory approvals and liquidity issues brought on by the nation’s growing circular debt in the power industry, the sale has been repeatedly postponed. 24.4 percent of KE is owned by the Pakistani government.
Shanghai Electric reaffirmed its commitment to the deal in June of last year. The contract’s value was estimated to be around $1.77 billion in 2016, but it was subject to change.
