Pakistan Kuwait Investment Company (Private) Limited (PKIC), a leading development finance institution in Pakistan, has entered into a strategic alliance agreement worth $750 million with Enertech Holding Company KSC (Enertech), a subsidiary of Kuwait Investment Authority. The agreement is aimed at the joint exploration of investment opportunities and business potential, primarily within Pakistan.
This alliance allows PKIC and Enertech to pave the way for future projects to support infrastructure development in Pakistan. It will also enable advancements in the digital and technology space in tandem with supporting financial inclusion and gender diversity. The alliance will bring foreign investments to Pakistan and support technology and knowledge spillover.
The agreement was inked by Chairman PKIC, Mohammad Al Fares, and CEO Enertech, Abdullah Al Mutairi.
Addressing the signing ceremony, Al Fares said, “PKIC has a firm desire to support all important sectors of the economy. The strategic alliance with Enertech will help identify, invest and materialize viable investment opportunities in Pakistan. Where Both PKIC and Enertech would benefit from individual capabilities and knowledge structure of each other.”
Regarding the landmark initiative, MD PKIC, Mubashar Maqbool, commented, “We have cemented this collaboration to support priority sectors of the economy including infrastructure, power, technology, housing, and tourism with an objective of social upliftment and poverty alleviation. This strategic alliance would also bring in much needed foreign investment into Pakistan.”
CEO Enertech Pakistan, Yasser Malik, emphasized that these projects will be “critical to energy security and sustainability in Pakistan.”
Prior to this, PKIC had collaborated with Meezan Bank Limited to design a Sukuk as a quasi-equity instrument to finance the local equity requirement of a 61-km long water pipeline that is being developed by Enertech in Thar, Sindh, to deliver water to coal plants. This transaction that is structured for Enertech received two prestigious awards, including the Pakistan Deal of the Year and the Most Innovative Deal of the Year, by Islamic Finance News (IFN) in Malaysia.
PKIC was established in 1979 as a joint venture between the governments of Pakistan and Kuwait. It is the largest AAA-rated development financial institution that is engaged in investment and development banking activities in Pakistan.
PKIC has played a pivotal role in promoting industrial activity through equity and debt investments and has been accredited with many successful investments, including the establishment of Meezan Bank Limited and Al Meezan Investments, in which it presently holds thirty percent shareholding.
Registered in Kuwait, Enertech Holding Company KSC is a fully-owned subsidiary of the National Technology Enterprises Company (NTEC), which is a wholly-owned subsidiary of the Kuwait Investment Authority (KIA). It is engaged in the business of development and investment in clean energy, water, sustainable infrastructure, and the digital banking sector.