Shanghai Electric renews its interest to buy KE

KARACHI: China’s state-owned Shanghai Electric Power Company Limited has once again renewed its interest to buy a majority stake in K-Electric from the Abraaj Group. 

“K-Electric has received a fresh public announcement of intention from Shanghai Electric Power Company to acquire up to 66.04% voting shares in K-Electric Limited,” the company said in a notification to the Pakistan Stock Exchange (PSX) on Monday.

Shanghai Electric had agreed with Dubai-based Abraaj Group on acquiring a majority stake in K-Electric for $1.77 billion in October 2016. However, it has now become uncertain whether the business deal will still be executed at the agreed price or will be renegotiated.

K-Electric’s share price dropped 2.2%, or Rs0.08, to Rs3.55 with trading in 55.56 million shares at the PSX.

The vertically integrated company posted a profit of Rs12.31 billion in the year ending June 30, 2018, up from Rs10.4 billion in the previous year.

1 COMMENT

Comments are closed.

Must Read