Pakistan announces launch of secondary offering of shares in OGDCL
By Asad Cheema

ISLAMABAD—Pakistan on Monday announced the launch of secondary offering of ordinary shares and Global Depositary Shares (GDSs) of Oil and Gas Development Company Limited (OGDCL) .
The Privatisation Commission announced that it expects from November 15 (Wednesday) to launch a secondary offering of ordinary shares and GDSs (the “Offer”) of OGDCL. The GDSs are expected to be listed on the London Stock Exchange . Addressing a press conference here Monday, the Minister for Privatization and Investment Zahid Hamid said this secondary offering will represent up to 15 per cent of OGDCL share capital comprising 645,139,000 shares including an over-allotment option for the institutional tranche of up to 79,900,000 additional shares in the form of ordinary shares and GDSs.
The Offer consists of an institutional offering of up to 532,939,000 shares, in the form of ordinary shares to institutional investors in Pakistan and GDSs to international institutional investors, including to Qualified Institutional Buyers in the United States under Rule 144 A, and (b) a retail offering of up to 32,300,000 ordinary shares to private investors in Pakistan. “ This is the largest ever equity offering of Pakistani company abroad and important part of ongoing privatization program,” the minister said.
The minister said Privatization is a corner stone of highly successful economic reforms initiated by the President General Pervez Musharraf after assuming office in 1999 and the then Finance Minister and present Prime Minister Shaukat Aziz. “ These reforms have played a significant part in transforming the economy and placing it on the part of rapid sustainable growth,” he added.
The minister said during last seven years, the government has raised more than Rs. 320 billion or 5.3 bln dollars from 58 transactions. He said the broad based privatization process along with very liberal and attractive investment policies has resulted in a significant increase in foreign direct investment during lat six years. It is pertinent to mention here that all of the proceeds from the Offer will be received by the Islamic Republic of Pakistan, the selling shareholder.