Pakistan’s Minister of Privatisation, Mohammadmian Soomro, said that the land valuation for Pakistan Steel Mills (PSM) is expected to be completed by the end of January 2021. Invitation for concrete bids is expected in March with potential investors from China, Russia, and South Korea expressing interest.
Foreign investment would ensure the revival of PSM. Thousands of employees were laid off in late 2020. Protests ensued on Jan 12 outside PSM’s chief executive officer’s home demanding an expeditious plan for rehiring. The majority of the shares will be divested from public ownership according to the Privatisation Commissions’ pre-approved structure. The Commission have finalized the due process and appointed Pak-China Investment Co and BOC International as joint financial advisors.
Pakistan officials have stated a commitment towards privatization of major assets to attract foreign investments, improve working opportunities, and focus resources on social interests. The renewed commitment should move to find a concrete buyer in H1 2021 as the privatization process for PSM is underway with Sinosteel starting the due diligence process back in April 2020.