Nishat Group forms 7-company consortium to bid for FESCO

August 06, 2026 (MLN): Nishat Group has assembled a 7-company consortium to chase FESCO, staking an early claim in what could become one of Pakistan's most closely watched power-sector privatisations in years.

In near-identical filings to the Pakistan Stock Exchange on Thursday, Pak Elektron Limited (PEL), Kohinoor Energy Limited (KEL), Nishat Power Limited (NPL), Nishat Chunian Power Limited (NCPL), Nishat Mills Limited (NML), Lalpir Limited and Pakgen Limited disclosed they have each obtained a Request for Statement of Qualification (RSOQ) from the Privatisation Commission covering the divestment of Faisalabad Electric Supply Company (FESCO) and that their respective boards have signed off on joining forces to pursue it.

Pakgen holds the pen

The group has designated Pakgen Limited itself a former IPP now folded into Nishat's diversified energy stable as Lead Consortium Member, granting it irrevocable power of attorney to run the bid on behalf of all seven companies through the qualification process.

Each filer stressed the appointment carries a sub-delegation clause, giving Pakgen's authorised representative latitude to manage day-to-day dealings with the Privatisation Commission without repeated sign-off from every member.

The consortium spans Nishat Group's core industrial and power holdings NML, NPL, NCPL, Lalpir and Pakgen alongside two independent additions: PEL, the Lahore-based appliances and transformer manufacturer, and Kohinoor Energy, a legacy IPP now under separate ownership. All seven are listed on the PSX.

Early days, no commitments yet

Every filing carries the same guardrail: as of the disclosure date, none of the seven companies has assumed a binding obligation toward the transaction. Participation remains contingent on the Privatisation Commission's pre-qualification process and "all requisite corporate and regulatory approvals."

Each company said it would keep the exchange updated as the process develops standard language for a bid still at the qualification-statement stage rather than a firm offer.

Why it matters

FESCO is one of Pakistan's ten distribution companies (DISCOs) formed out of the unbundling of WAPDA, serving Faisalabad and surrounding districts a textile and industrial hub that makes the utility's customer base commercially significant despite the chronic circular-debt and transmission-loss issues that have long plagued the DISCO sector.

Privatisation of the loss-making discos has been a recurring line item in Pakistan's IMF-linked reform agenda, with FESCO among the names most frequently floated for an early transaction given its relatively stronger recovery metrics versus peers like PESCO or HESCO.

A Nishat-anchored consortium taking a serious run at FESCO would mark a notable pivot for a group better known for textiles, cement, banking (MCB) and thermal power generation, into the distribution side of the energy chain a segment with a harder turnaround profile but potentially significant upside if tariff and governance reforms hold.

None of the seven companies' filings disclosed a bid value, transaction structure, or expected timeline — details investors will be watching for as the process advances.

Copyright Mettis Link News

August 06, 2026 (MLN): Nishat Group has assembled a 7-company consortium to chase FESCO, staking an early claim in what could become one of Pakistan's most closely watched power-sector privatisations in years.

In near-identical filings to the Pakistan Stock Exchange on Thursday, Pak Elektron Limited (PEL), Kohinoor Energy Limited (KEL), Nishat Power Limited (NPL), Nishat Chunian Power Limited (NCPL), Nishat Mills Limited (NML), Lalpir Limited and Pakgen Limited disclosed they have each obtained a Request for Statement of Qualification (RSOQ) from the Privatisation Commission covering the divestment of Faisalabad Electric Supply Company (FESCO) and that their respective boards have signed off on joining forces to pursue it.

Pakgen holds the pen

The group has designated Pakgen Limited itself a former IPP now folded into Nishat's diversified energy stable as Lead Consortium Member, granting it irrevocable power of attorney to run the bid on behalf of all seven companies through the qualification process.

Each filer stressed the appointment carries a sub-delegation clause, giving Pakgen's authorised representative latitude to manage day-to-day dealings with the Privatisation Commission without repeated sign-off from every member.

The consortium spans Nishat Group's core industrial and power holdings NML, NPL, NCPL, Lalpir and Pakgen alongside two independent additions: PEL, the Lahore-based appliances and transformer manufacturer, and Kohinoor Energy, a legacy IPP now under separate ownership. All seven are listed on the PSX.

Early days, no commitments yet

Every filing carries the same guardrail: as of the disclosure date, none of the seven companies has assumed a binding obligation toward the transaction. Participation remains contingent on the Privatisation Commission's pre-qualification process and "all requisite corporate and regulatory approvals."

Each company said it would keep the exchange updated as the process develops standard language for a bid still at the qualification-statement stage rather than a firm offer.

Why it matters

FESCO is one of Pakistan's ten distribution companies (DISCOs) formed out of the unbundling of WAPDA, serving Faisalabad and surrounding districts a textile and industrial hub that makes the utility's customer base commercially significant despite the chronic circular-debt and transmission-loss issues that have long plagued the DISCO sector.

Privatisation of the loss-making discos has been a recurring line item in Pakistan's IMF-linked reform agenda, with FESCO among the names most frequently floated for an early transaction given its relatively stronger recovery metrics versus peers like PESCO or HESCO.

A Nishat-anchored consortium taking a serious run at FESCO would mark a notable pivot for a group better known for textiles, cement, banking (MCB) and thermal power generation, into the distribution side of the energy chain a segment with a harder turnaround profile but potentially significant upside if tariff and governance reforms hold.

None of the seven companies' filings disclosed a bid value, transaction structure, or expected timeline details investors will be watching for as the process advances.

Copyright Mettis Link News