PC receives eleven EoI for Heavy Electrical Complex

ISLAMABAD—The Privatisation Commission received eleven (11) Expressions of Interest (EoI) from the interested parties to participate in the privatisation process of Heavy Electrical Complex (HEC) the Privatisation Commission has extended the date for filing the Expressions of Interest (EoI).
The parties include 1. ABB (PVT) LIMITED, Islamabad 2. ABRAJJ CAPITAL LTD, Dubai ,United Arab Emirates 3. AREVA T&D PAKISTAN (PVT) LTD, Karachi, 4.ICC (PVT) LTD Lahore, 5. ILJIN HEAVY INDUSTRIES CO.LTD, Korea, through Seven A’s Corporation Lahore, 6. LAHORE POLYPROPYLENE INDUSTRIES (PVT) LTD, Lahore, 7. PAK ELEKTRON LTD Lahore, 8. PAKISTAN KUWAIT INVESTMENT COMPANY Karachi, 9. SHAFI ASSOCIATES Karachi, SHAHZAD INTERNATIONAL, Islamabad and 11. SIEMENS (PAKISTAN) ENGINEERING COMPANY LTD, Karachi.
These parties are being sent the Request of Statement of Qualification (RSOQ) for response, which shall form the basis of pre-qualification. The last date to submit the Statement of Qualification (SOQ is December 15, 2006 accordingly.
The Privatization Commission had invited Expression of Interest (EOI) from prospective investors (Mechanical Engineering, Electrical Engineering and or Industrial Companies and groups, consortium of investors with demonstratable ability to own, efficiently manage and operate the Company) for the acquisition of minimum 90% shares of Heavy Electrical Complex (‘HEC’) together with management control on an `as is, where is’ basis.
Heavy Electrical Complex (HEC) is one of the industrial units of State Engineering Corporation (SEC) engaged in the manufacturing of power transformers of different types (total annual capacity 3000 MVA) with primary voltage rating of 66 and 132 KV. In addition, the HEC undertakes repair and refurbishment of old and damaged power transformers upto 500 KV. HEC was incorporated as a private limited company in 1991 and commenced full-scale commercial operation in 1997.
HEC is located in Hattar Industrial Estate about 65 Km from country’s capital Islamabad. HEC is spread over an area of 81.379 acres. A total of 63 acres of land is included in the transaction out of which 20 acres is non-core land for expansion. Major clients of HEC products include WAPDA, its corporatized entities and KESC. HEC has six main manufacturing shops namely Machine shop, Winding shop, Insulation shop, Core shop, Fabrication shop and Assembly shop. In addition HEC has an oil purification shop, high voltage test laboratory equipped with 250 tonne overhead traveling crane. HEC can diversify its manufacturing range by including other products such as instrument transformers, high voltage circuit breakers and other grid stations equipped for meeting demand of the products in domestic and foreign markets. The Purchaser shall continue to operate company’s manufacturing facility and shall not in any way abandon, cease to operate or shutdown the existing Company manufacturing facility. The Purchaser will not in any form or manner dispose off, alienate transfer any or all land in the name of the Company without the prior consent of PC.The cost of Golden Hand Shake Scheme (GHS) for permanent workers and Voluntary Separation Scheme (VSS) for the executives will be shared equally between the new buyer and the Privatisation Commission. The bidder shall bid on the basis of audited accounts of June 2006 and may also factor the latest un-audited accounts available prior to the bidding.—Agencies