Shell Pakistan
ISLAMABAD: Prax Overseas Holdings Limited has announced its decision to acquire up to 77.42% of the issued and paid-up share capital and control of Shell Pakistan Limited.
Earlier, Saudi oil giant, Aramco, has shown its interest in acquiring Shell Pakistan.
AKD Securities Limited, the manager of the offer for Prax Overseas, disclosed this development on Monday. Prax Overseas is a UK based British company. It already had a major stake in the state run oil giant, Pakistan State Oil.
Shell Pakistan Petroleum Company Limited (SPCo) announced on June 14 its intention to sell its shareholding in SHEL.
The notice issued by SHEL added that any sale would be subject to a targeted sale process, the execution of binding documentation, and the receipt of applicable regulatory approval.
At the time of writing, the company’s share is being traded at Rs165.60, up by 6.16 rupees or 3.86% compared to the previous close.
Meanwhile, Saudi Aramco is contemplating making an offer for Shell Plc’s assets in Pakistan. If they proceed with this bid, it would mark the Gulf oil giant’s inaugural entry into the South Asian nation.
Currently, Aramco has been operating more than 11,000 retail outlets in Saudi Arabia, China, United States and South Korea.
The Saudi oil giant is currently assessing Shell’s assets, which include the one listed at Karachi-listed, with a market value of $123 million.
The potential value of the oil and gas company’s assets in Pakistan could reach approximately $200 million in a transaction.
Shell boasts a significant presence in Pakistan, operating for 75 years with over 600 fuel stations and a lubricants business. It’s worth noting that this interest does not guarantee an acquisition, and other potential buyers may emerge.
A Shell representative acknowledged substantial interest from local and international buyers but refrained from disclosing specific details.
The representative emphasized that any sale would be contingent on a targeted sales process, the execution of binding documentation, and the receipt of requisite regulatory approvals.
