Finance & Digital Economy | August 2026 | 4 min read
⚡ Quick Takeaways
- The PC Board has prequalified 10 parties for the next stage of FESCO privatization.
- The decision was taken at the Board’s 258th meeting chaired by Muhammad Ali.
- Twelve Expressions of Interest were received, and 10 were cleared after evaluation.
- Prequalified parties will get access to FESCO’s Virtual Data Room for due diligence.
- The commission says the transaction will continue under a transparent and competitive framework.
Pakistan’s plan to privatize Faisalabad Electric Supply Company has moved into a more serious phase after the Privatisation Commission Board cleared 10 interested parties for detailed due diligence.
| 12 EOIs Expressions of Interest received for FESCO |
10 Bidders Interested parties cleared for the next phase |
258th Meeting PC Board meeting where approval was granted |
FESCO Privatization Enters Next Phase
The Privatisation Commission Board has prequalified 10 parties to participate in the next stage of the Faisalabad Electric Supply Company privatization process. The decision was taken at the Board’s 258th meeting, chaired by Adviser to the Prime Minister on Privatization Muhammad Ali.
The Board was informed that 12 Expressions of Interest had been submitted for FESCO. After the applications were evaluated against the approved criteria, the Financial Adviser recommended 10 interested parties for prequalification. That approval now moves the transaction from the interest stage toward detailed review by potential buyers.
| Green signal: Prequalification does not complete the sale, but it shows that the transaction has moved into a more formal buyer review stage. |
Who Has Been Cleared for Due Diligence
The prequalified list includes a mix of foreign energy groups, Pakistani energy companies, industrial groups and large local consortia. The names matter because the next phase will require bidders to study FESCO’s financial, commercial and operational information before any final transaction steps are taken.
| No. | Prequalified party | Investor type |
| 1 | Aktor Elektrik Enerji Yatirimlari San. Ve Tic. A.S. | Foreign energy group |
| 2 | Genvera Enerji A.S. | Foreign energy group |
| 3 | Cengiz Enerji Sanayii Ve Ticaret A.S. | Foreign energy group |
| 4 | Engro Energy Limited | Local energy company |
| 5 | Sapphire Fibres Limited | Local industrial group |
| 6 | Hub Power Holdings Consortium with Lucky Cement, Kohat Cement and Metro Ventures | Local consortium |
| 7 | Shirazi Investments (Pvt) Limited | Local investment group |
| 8 | Maple Leaf Cement Factory Limited Consortium with Kohinoor Textile Mills | Local consortium |
| 9 | Pakgen Limited Consortium with Nishat Mills, Nishat Power, Nishat Chunian, Lalpir, Pak Elektron and Kohinoor Energy | Local consortium |
| 10 | Artistic Milliners (Pvt) Limited | Local industrial group |
Virtual Data Room Opens the Detailed Review
The prequalified parties will now proceed to the next stage of the transaction, including access to FESCO’s Virtual Data Room. In practical terms, this is where shortlisted investors can examine detailed information before deciding how strongly to pursue the asset and what value they may attach to it.
Due diligence can cover a wide range of matters, including customer base, receivables, losses, tariffs, assets, liabilities, employee structure and regulatory conditions. For a power distribution company, this review is important because bidders need to understand both the commercial opportunity and the operating risks before making binding decisions.
| Blue note: Data room access is a normal transaction step, giving bidders controlled access to information before deeper financial or legal commitments. |
Why the FESCO Process Matters
FESCO is part of Pakistan’s wider electricity distribution reform debate. Distribution companies sit between power producers and consumers, so their performance affects bill recovery, service quality and the financial burden on the power sector. Any privatization process therefore attracts attention from investors, policymakers, workers and electricity consumers.
For the government, a competitive process can help maximize value and test investor appetite for distribution assets. For bidders, FESCO offers exposure to a large regulated utility business, but the final attraction will depend on the quality of information, the regulatory framework and the level of operational risk they identify during due diligence.
| Amber watch: The approved bidder list is only one milestone. Final outcomes will depend on due diligence, bidding terms, regulatory comfort and government approvals. |
Board Also Reconstitutes Key Committees
Alongside the FESCO prequalification decision, the PC Board also approved the reconstitution of its Audit and Risk, Human Resources, Investment and Legal Committees. These committees are important for governance because privatization work involves financial review, legal structuring, risk controls and transaction oversight.
The Privatisation Commission said the process would continue under a transparent and competitive framework, with the objective of maximizing value for the government and the public. That statement signals that the commission wants to frame the FESCO transaction not only as a sale process, but as part of a professionally managed reform program.
| Red flag: Prequalified status should not be treated as a final purchase approval; it only allows the parties to move further into the transaction process. |
Disclaimer: This article is based on official and reported information available at the time of writing. Privatization timelines, bidder participation and final transaction terms may change as the process advances.
