CCOP APPROVES HIGHEST BID OF RS.19.99 BILLION FOR PAFL

Islamabad, March 11, 2006

The Cabinet Committee on Privatisation (CCOP), which met here today under the chairmanship of Prime Minister Shaukat Aziz approved the highest bid of Rs.19.99 billion by Ibrahim Fibers Limited for sale of Pak American Fertilizers Limited.

It was also decided that the Privatisation Commission would privatise the site of Services International Hotel, Upper Mall Lahore for construction of a world class Five Star hotel on fast track basis. The CCOP approved the transfer of management control of Pakistan Telecommunication Company Limited (PTCL) to Etisalat of UAE.

To resolve the long outstanding grievance of the workers who opted for golden handshake, the CCOP approved the proposal of Privatisation Commission for the payment of balance dues of GHS of the ex-employees of Pak Saudi Fertilizers Limited.

The CCOP was apprised of the privatisation program during the next three months. The major transactions coming for privatisation in the next three months are Pakistan State Oil (PSO), Pakistan Petroleum Limited (PPL), National Investment Trust Unit and Pakistan Steel Mills Corporation (PSMC). The secondary public offering of UBL shares and GDR of OGDCL would also be completed by the end of June 2006.

The Prime Minister while appreciating the professional approach of the Privatisation Commission for skillfully handling complex privatisation transactions, paid glowing tributes to Dr. Abdul Hafeez Shaikh, Federal Minster for Privatisation & Investment for his leadership to reinvigorate the privatisation process. The Prime Minister also lauded Dr. Hafeez Shaikh for his stellar performance, commitment, vision and the contribution towards the economic reforms process.