ISLAMABAD, Aug 16: The Privatization Commission has asked all three pre-qualified bidders of Pakistan Telecommunication Company Limited (PTCL) to start their due diligence from September so that the company could be privatized positively by December 2003.
“And as soon as the due diligence is completed by the pre- qualified bidders, the bidding date for the PTCL would be announced,” said Privatization and Investment Minister Dr Hafeez Shaikh.
Talking to Dawn here on Saturday, he said it was good to see that some strong business groups from Turkey, Egypt, Saudi Arabia and Singapore were participating in the privatization of PTCL. He, however, made it clear only the three pre-qualified bidders would be allowed to participate in the disinvestment process.
Dr Hafeez also said that out of 19 parties, seven had been pre-qualified to take part in the bidding of Habib Bank Limited.
“We think there are only seven parties who have the real potential to bid for HBL.” HBL would be privatized by December this year, he assured.
He further stated that efforts were being made to resolve the 25-year long-standing issues of Hyatt Regency Karachi Hotel Project. The privatization of Pakistan State Oil (PSO) is being scheduled in October this year, he added.
THATTA CEMENT: The Privatization Commission (PC) held a pre-bid meeting with the prospective buyers of Thatta Cement Company here on Saturday.
According to an official handout issued here the prospective bidders sought clarifications about the bid documents, procedure and other issues relating to the transaction.
The commission had received seven Expressions of Interest (EOI) from interested parties for the purchase of minimum of 90pc shares of Thatta Cement Company (TCCL) on “as is where is” basis. The Privatization Commission had invited EOIs in May 2003.
The parties include Afzal Motors, Peshawar, Kohat Cement Company Ltd, Lahore, Shirazi Investments (Private) Ltd, Thatta (Sindh), Tariq Sayeed and Associates, Lahore, United Bank Ltd, Karachi and Universal Navigation & Trading (pvt) Ltd, Karachi.
The bidding for TCCL is expected to be held during the current month and a final date in this regard will be announced shortly after consultation with the interested parties.
Thatta Cement Company was incorporated in 1980 as a limited company under Companies Ordinance 1913 (now Companies Ordinance 1984) and is a wholly-owned subsidiary of the State Cement Corporation of Pakistan (SCCP). The unit is located 115 km north east of Karachi at Makli Ghulamullah Road, District Thatta.
The plant is based on dry technology and has a capacity of 1,000 tons per day production. The entire plant and machinery was imported from Mitsubishi Corporation, Japan, while the slag-grinding mill has been supplied by HMC.
The plant started commercial production in December 1982 and is fully operative. Its main products include Ordinary Port land Cement, Slag Cement and Sulphate Resisting Cement. The unit is located on 236 acres of land consisting of factory, officer and workers colonies complete with all facilities along with 4,725 acres of mining lease land (Quarry).
The first bidding for TCCL was earlier held on September 7, 2002 and Privatization Commission received a highest offer of Rs696.431 million at the rate of Rs10 per share for the sale of 71,79 million shares i.e. 90pc shares of Thatta Cement Company Ltd (TCCL) on “as is where is” basis, including Rs383 million loan liabilities and 50pc of GHS/VHS to be paid to the employees by the buyer which was around Rs45 million making the total above Rs1 billion.
The Cabinet Committee on Privatization (CCoP) in its meeting held on September 23, 2002 had approved the bids received for Thatta Cement Company but the successful bidder defaulted and failed to deposit the bid amount as per sale schedule. As per laid down procedure PC forfeited the earnest money worth Rs50 million.