Divestment of reinsurance firm’s 20pc shares gets nod

Published November 26, 2021
In this file photo, Minister for Privatisation Mohammedmian Soomro chairs the Privatisation Commission Board meeting in Islamabad. — Govt of Pakistan Twitter
In this file photo, Minister for Privatisation Mohammedmian Soomro chairs the Privatisation Commission Board meeting in Islamabad. — Govt of Pakistan Twitter

ISLAMABAD: The Board of Privatisation Commission on Thursday approved the divestment of 20 per cent shares of Pak Reinsurance Company Ltd (PRCL).

The meeting also considered the sale of remaining 17 federal government properties and okayed the hiring of financial advisers.

Chaired by Minister for Privatisation Mohamm­admian Soomro, the PC board’s meeting was informed that papers of ‘Offer for Sale Document (OFSD)’ were being obtained from the management of PRCL to approach the Sec­urities and Exchange Comm­ission of Pakistan for further action.

Once these actions are completed, the opinion of the Cabinet Committee on Privatisation (CCoP) will be solicited for the determination of share price to proceed for divestment, the board was informed.

The reference price approval of Heavy Electrical Complex (HEC) also came under consideration at the board meeting. Recomm­endations of the PC Board were also solicited for recommending a reference price for HEC.

The board considered reserve price computation under discounted cash flow (DCF), Market Multiple and Adjusted Net Asset Book Value (NAV) modes, allowed under Privatisation Comm­ission (Valuation of Property) Rules 2007. The board recommended the Discounted Cash Flow method and the same would be sent to CCoP for taking the decision.

Mr Soomro stressed that the timeline for ongoing transactions should be strictly followed.

Published in Dawn, November 26th, 2021

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

New funds
27 Feb, 2024

New funds

PAKISTAN plans to seek a new loan of $6bn from the IMF under its Extended Fund Facility for a period of three years,...
Missing link
27 Feb, 2024

Missing link

WITH most of Punjab and KP now accessible via motorways, which have greatly eased road travel for the bulk of the...
Tragedy averted
Updated 27 Feb, 2024

Tragedy averted

Pakistan must shed the layers of intolerance that have been allowed to permeate society.
Spirit of ’74
26 Feb, 2024

Spirit of ’74

FOR three days in 1974, starting Feb 22, Lahore witnessed an epochal meeting of 38 Muslim nations as it hosted the...
Silence strategy
Updated 26 Feb, 2024

Silence strategy

Attempts at internet censorship only serve to tarnish Pakistan’s image globally and betray the democratic principles the country purports to uphold.
Nepra’s reluctance
26 Feb, 2024

Nepra’s reluctance

WHAT is the point in having a regulator that does not punish the entities it oversees for misconduct and...