ISLAMABAD - The Cabinet Committee on Privatisation (CCoP) on Thursday approved to sell 2.5 per cent government’s shareholding in Pakistan Petroleum Limited (PPL).

The Cabinet Committee on Privatization met here under the chairmanship of Federal Minister for Finance and Economic Affairs, Dr Abdul Hafeez Shaikh. The CCoP approved the summary moved by Privatization Commission to sell 2.5 per cent of the government shareholding in the PPL through the transaction structure, which envisages 50 per cent of 2.5 per cent government share to be offered to institution local/foreign and high net worth individuals through book building, 25 per cent of 2.5 per cent government shares to be offered to foreign investors through preferential allocation and 25 per cent of 2.5 per cent GOP owned shares to be offered to general public through a subscription. 

The Committee agreed in principle to approve the summary moved by the Privatization Commission, Ministry of Privatization for the Transaction Structure and Pricing for Pakistan Petroleum Secondary Public Offering (SPO).

The summary has authorized Finance Minister to ratify the strike price determined through book building process or resolve to meet urgently to decide on the strike price. The Federal Minister for Finance as the chairman of the CCoP, after deliberations on the Strike Price and proposed Transaction Structure, has decided to constitute a sub-committee under Federal Minister for Water and Power, Syed Naveed Qamar with Federal Minister for Petroleum and Natural Resources, Dr. Asim Hussain, Secretary Privatization, and Chairman SECP, to fine tune the transaction structure, strike price and other aspects of the proposal and they will submit their report/recommendations to the chairman shortly.