Privatisation Commission signs FASA for HESCO and SEPCO Privatisation

November 28, 2025 (MLN):  The Privatisation Commission has entered into a Financial Advisory Services Agreement (FASA) with Raiffeisen Investment Finansal Danismanlik Hizmetleri Limited Sirketi to move forward with the privatisation of Hyderabad Electric Supply Company (HESCO) and Sukkur Electric Power Company (SEPCO).

The development reflects the government’s expedited momentum toward reforming the power distribution sector and attracting credible private sector players, according to a post shared by Khurram Schehzad on his X (formerly Twitter) account.

The agreement was executed on 27 November 2025 in Islamabad.

Raiffeisen Investment secured the role of Financial Adviser (FA) after emerging as the highest-ranked bidder in a competitive evaluation process.

With the deal now formalised, the selection phase for advisers for the second group of distribution companies (DISCOs) earmarked for privatisation has been completed.

In its advisory role, Raiffeisen Investment will conduct detailed sell-side due diligence, assess market interest, and hold discussions with prospective investors.

The firm will also support the Privatisation Commission in designing and marketing the transactions, as well as managing a transparent, competitive bidding process under the government’s established privatisation framework.

Privatisation of the first batch of DISCOs  Islamabad Electric Supply Company (IESCO), Gujranwala Electric Power Company (GEPCO), and Faisalabad Electric Supply Company (FESCO)  is already underway.

The inclusion of HESCO and SEPCO in the second batch reflects the Government’s continued commitment to improving service delivery, efficiency, and financial sustainability in the power distribution sector through private sector participation.

Speaking at the ceremony, Adviser to the Prime Minister on Privatisation, Muhammad Ali, expressed confidence in Raiffeisen Investment’s expertise, emphasising that a capable and well-ranked adviser is essential for maximising value, bolstering investor trust and ensuring a credible process.

The Privatisation Commission reaffirmed its commitment to carrying out the DISCOs’ privatisation programme in a transparent, efficient and timely manner, with the aim of delivering better services to consumers and strengthening governance across the sector.

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