Privatization Commission refutes reports regarding OGDCL's divestiture
Last updated on: 31 January,2020 08:33 am
Financial Advisors (FA) for the divestment of up to 7% of OGDCL's shares is in process.
(Web Desk) – Privatisation Commission (PC) of Ministry of Privatisation refuted reports about the selling and privatization of Oil and Gas Development Company Limited (OGDCL) shares.
Managing Director of KSE Muhammad Jamil sent a letter today informing the Karachi Stock Exchange (KSE) and stakeholders that the appointment of Financial Advisors (FA) for the divestment of up to 7% of OGDCL’s shares is in process.
According to the letter, FA will carry out comprehensive due diligence and suggest a suitable transaction structure for consideration of the government.
The letter further added that there is absolutely no consideration to offer OGDC’s shares either at a discount of on a historical average, and any rumors pertaining to transaction size or discounted divestment price are strongly refuted.
‘Up to 7% of OGDCL shares will be offered at a value that is best reflective of the fundamentals of OGDC including its strong financials’ it read.
The clarifications poured in after the false reports of OGDC’s privatization in the market. OGDC’s share price went down during the day at the Pakistan Stock Exchange. The investors opted to sell after the circulation of the rumor. The share price saw a low of Rs. 140.72 from the previous day’s closing of Rs148.51 and was closed at Rs143.89 on Jan 22.