KARACHI: The Pakistan Stock Exchange (PSX) received a total of 17 Expression of Interests (EOIs) from local and foreign investors for acquisition of 40 per cent strategic shares in the bourse.
The last date of filing EoIs was Aug 15.
“The PSX has received an overwhelming feedback in response to its invitation for EOIs for acquiring the 40pc equity stake in PSX on offer,” the bourse said in a statement issue on Wednesday. “The EoIs pertain to the categories of ‘Strategic Investor’, ‘Anchor Investor’ and ‘Financial Institution,” the statement added.
According to the stipulated procedure, the Divestment Committee of PSX would assess all the EOIs received and forward them with comments to the Securities and Exchange Commission of Pakistan (SECP) for pre-qualification. The SECP, after its own assessment, would declare any or all of the parties which have submitted EOIs as eligible to carry out due diligence of PSX and on its basis submit their binding offers for acquisition of requisite stake in PSX.
In pursuance of provisions of Stock Exchanges (Corporatisation, Demutualisation and Integration) Regulations, 2012, Divestment Committee of PSX, constituted by SECP towards the end of Feb, this year was mandated to oversee and complete the process for divestment of 40pc equity interest in PSX to local and/or international investors.
The whole or part of the stake on offer was proposed to be transferred either to a Strategic Investor or alternatively, a minimum of 25pc of 40pc could also be sold to a financial investor that opts to act as an ‘Anchor Investor’ while the remaining part of the shares, if any, would go to other selected financial institutions where, a single financial institution is allowed to acquire up to 5pc of the stake.
The Divestment Committee and management of PSX aggressively pursued prospects in various jurisdictions and in the process, also visited some potential investors and investment advisors in China, USA and UK, stated the bourse. Originally, the last date for submission of EOIs was set at 30 days (June 29) from the date of release of the Invitation, which was later extended till August 15, 2016.
