Recently the government asked for bids for the divestment of 14.10 million shares (96.6 per cent) of Heavy Electrical Complex (HEC). According to Privatisation Commission (PC), six parties had reached the pre-qualified stage; however, only three bidders deposited the earnest amount and participated in the open bidding.
IMS Engineering (Pvt) Ltd, the Karachi based firm was declared successful at the bidding process after it offered the highest bid of all the bidders. After the bidding process the PC convened for due deliberation on the one point agenda of HEC bidding. The board members welcomed the price offered by the successful bidder for the state-run entity.
The reserve or the reference price of Rs98.23 per share was fixed by the Cabinet Committee on Privatisation (CCoP) but IMS Engineering offered its bid at the price of Rs99.99 per share or Rs1.9 billion to acquire 14.10 million shares (96.6pc stake). In its competition two other bidders were present namely Waves-Singer Pakistan Ltd and Pak Elektron Ltd (PEL) which had offered Rs26.250 and Rs17.731 per share, respectively. HEC, located in Hattar Industrial Estate, manufactures power transformers of 132kV and 66kV with units ranging from 6.3 to 40MVA (high-voltage) along with services for testing, repairs and onsite commissioning of transformer.
