Waves Singer Pakistan Limited is looking to acquire 96.6 percent shares in the Heavy Electrical Complex (HEC) by way of privatization. Its Board of Directors has decided to submit an Expression of Interest (EOI) to participate in the privatization process of the HEC that was put on the list of privatization by the government.
In November 2020, the Cabinet Committee on Privatization (CCoP) had approved the transaction structure for the divestment of 96.6 percent shares of the HEC which is a Private Limited Company under the State Engineering Corporation, Pakistan.
It has been set up in technical collaboration with manufacturers of international repute to manufacture electrical equipment mainly used in the 132 KV and 66 KV substations and grid stations of the high voltage power supply systems.
The HEC also specializes in the repair of Power Transformers in the range of 250 MVA, 132/220/500 KV, and offers its clients an array of services including repair facilities, assistance in installation and commissioning of the equipment, and the diagnostic inspection and testing of the damaged transformers on-site.
The stock filing stated that Waves Singer Pakistan will further conduct the due diligence of the HEC in the next step, following which it will submit its recommendations to the board for the final action.
Waves and Singer had merged their operations in 2018 and underwent a tough financial crunch last year due to the pandemic that had resulted in low demands for and declining sales of its home appliances. The company is currently working to diversify its business by entering the construction and real estate sectors.