Foreign companies showing interest in revival of PSM

Eleven International Companies have shown interest in the restoration of Pakistan Steel Mills and has contacted the Privatization Division, according to sources. As, the foremost priority of Government is the revival of PSM which can be complimented as a fruitful step in the current scenario, it has attracted the attention of vital companies from Russia, China, the US, and Pakistan. The representative of Chinese Companies- Metallurgical Corporation of China Ltd (MCC) and NHI International Trade Company – visited the Privatization Division and discussed their plan for the betterment of PSM. Another Chinese company, M/s Sino Steel Equipment & Engineering Company Ltd, has also shown interest, but still, no industrious step has been taken by it.

At the same time, Four Russian companies i.e. Tyazhpromexport, Central Scientific Research Institute of Ferrous Metals, Metrom Group of Companies and Statue Scientific Center, and Central Scientific Research Institute (Ministry of Industries & Trade), have telephoned the management of the Privatization Division but no one has visited Pakistan so far. While Ukrainian National Foreign Economic Corporation Vazhmashimpex and Hussain Concepts & Solution Pvt Ltd (Consortium of 5 Ukrainian companies) are about to visit Pakistan. ESSA Corporation from the US and local Besrock (Pvt) Ltd also showed interest in the government’s decision for the restoration of the PSM.

The provisional figures depict that the total liabilities of the PSM reached Rs 219 billion till June 2019 against the total assets of Rs 149 billion. Accumulated losses reached Rs 207 billion and net worth of the PSM is Rs 70 billion. In the future, The Privatization Division will sign the Financial Advisory Services Agreement (FASA) with the consortium of Pak-China Investment Company & BOC International, Deloitte, Sinosteel, Cornelius Lane & Mufti, Abacus Consulting and Nanjee for the restoration of the Pakistan Steel Mills (PSM).