Services International Hotel sell-off in final stages

ISLAMABAD: Privatisation Commission held a meeting on Wednesday with Punjab Cooperative Board for Liquidation (PCBL), National Insurance Company Limited (NICL) and Ministry of Commerce to finalise the auction and fulfil remaining formalities for the privatisation of the Services International Hotel.

Federal Minister Mohammed Mian Soomro chaired the review meeting on privatisation progress, with secretary and senior officials of the ministry in attendance. Soomro was briefed about the on-going transactions and the possible dates of the completion. Privatisation is a complex process, where the consultation with line ministries is indispensable to remove the bottlenecks for problem free sale of entities.

The meeting with the PCBL, NICL and the Ministry of Commerce was held to smooth out the final details of the transaction/privatisation of the hotel.

Participants were also briefed that for the sale of the remaining 17 federal government properties, the summary for the approval of financial advisers would be placed before the Privatization Commission Board. Progress regarding House Building Finance and First Women Bank was also discussed. The Ministry of Finance is leading the completion of the board of directors and chief executive, and the audited accounts of First Women Bank Limited for the year 2018-2020 are to be finalised. For the privatisation of Heavy Electrical Complex, reference price would be placed before the Privatization Commission Board and subsequently to Cabinet Committee on Privatisation and the Federal Cabinet.

The minister was briefed that the request for proposal for debt refinancing for National Power Parks Management Company Limited was finalised in consultation with stakeholders.

The task of debt recapitalisation and refinancing was expected to be completed in three months after the approval from the Cabinet Committee on Privatisation and Cabinet and issuance of expression of interest from the National Power Parks Management Company.

It was briefed that for the hiring of FAC for private sector participation in management of DISCOs, the advertisement was published from the ministry in national and international print media and the date for the same was extended up to November 30, 2021.

In the end, the federal minister said, “Despite challenges, we are to move ahead swiftly and consultation with line ministries / divisions should be on fast track basis to expedite the ongoing transactions and identification of new ones.”