Karachi: Abdulaziz Hamad Aljomaih, managing director investments at Saudi business group Aljomaih Holdings, is hopeful Pakistan would complete a deal held up since 2016 and expedite the removal of impediments to conclude Shanghai Electric Power’s (SEP) bid to acquire 66.4% controlling stakes in K-Electric Limited, the power utility said on Wednesday.
Dubai-based, now collapsed, private equity firm Abraaj Group and Aljomaih/National Industries Group (NIG) of Kuwait have a 66.4% stake in K-Electric, formerly known as Karachi Electric Supply Company (KESC), while the government of Pakistan holds 24.36% shares. 
Aljomaih is one of the largest investors in KE through the consortium that bought out KESC in 2005 and was the main driver of the privatization process of the company. He also served as the first chairman of KE’s board of directors and continues to serve on the board of KES Power, the controlling and shareholding company of KE. 
“Hamad Aljomaih was in Pakistan to seek resolution of challenges facing K-Electric, including the long-standing issue of payables and receivables involving KE and several government entities,” a statement issued by K-Electric said. “Aljomaih expressed pleasure that the government of Pakistan has assured that it will extend support in expediting the process of approvals so that held up Tariff Differential Claims (TDC) to the tune of around PKR 275 billion on principle basis, are released at the earliest.”
The power utility said the issues had put a strain on the sustainability of the company.
Aljomaih, who is on a two-day visit to Pakistan, held meetings with Prime Minister Imran Khan, President Dr. Arif Alvi and other key officials including finance minister Dr. Abdul Hafeez Shaikh, minister for privatization Mohammedmian Soomro, energy minister Omar Ayub Khan, and energy adviser Nadeem Babar, focusing on areas of mutual interest, such as the resolution of pending issues, as well as potential future collaborations. 

On the second day of his visit, Wednesday, Aljomaih met with key stakeholders in Sindh including Governor Sindh Imran Ismail, Provincial Minister for Energy Imtiaz Shaikh, Murtaza Wahab, adviser to the Sindh chief minister, among others. Matters regarding KE, which is one of Aljomaih Group’s largest investments outside of Saudi Arabia, also came up for discussion. 
During his meetings with the Pakistani leadership, Aljomaih welcomed Pakistan’s positive response for the resolution of the long-standing issue of payables and receivables with various government entities and the conclusion of the sale of Aljomaih’s stake to Shanghai Electric Power.
The talks also focused on KE’s continued commitment to Karachi, and its upcoming 900 MW power plant located at Bin Qasim. Aljomaih said the release of pending payments would enable the power utility to continue investing in Karachi’s power infrastructure, and also remove hindrances to the signing of fresh agreements critical to improving the city’s demand and supply situation. 
“K-Electric has been transformed into a utility that is attracting investors like Shanghai Electric, one of the major players in the global energy sector that has transformed the city of Shanghai from 3000MW to 30,000MW,” Aljomaih was quoted in the statement as saying.
“This would have not been possible ten or fifteen years ago. However, this is possible today when KE has been transformed into a top of the line integrated utility company of Pakistan. The transaction that has been lingering since 2016, when completed will open the doors to investment of billions of dollars into Karachi’s energy infrastructure,” he added.
The utility said since its privatization, the Group had invested more than $720 million as equity into the company, which had in turn allowed the company to invest more than $3.3 billion in Karachi’s power infrastructure. 
The Saudi businessman, who has significant interest in several industrial and financial sectors internationally, is also chairman of Arcapita Investments Bahrain, which has completed over 80 investments in the Middle East, Europe and the United States over the last 20 years with total transaction value exceeding $30 billion.
Established in 1936, Aljomaih Holding Company is a major industrial and commercial conglomerate with partnerships with some of the most prominent global companies including General Motors, Pepsi Cola, Shell, Yokohama, and many other American, European and Japanese international brands.