ISLAMABAD: In a major development for Pakistan’s power sector, Saudi investor Prince Mansour bin Saud has purchased 53.8% shares in KES Power Limited (KESP) — the company that owns 66.4% of K-Electric — from Pakistani businessman Shaheryar Chishty, chairman of AsiaPak Investments.

Chishty confirmed on Friday that he has sold all his shares in KESP to Prince Mansour. The signing ceremony was held at the Chief Minister’s House in Karachi, attended by senior Saudi and Pakistani officials.

This deal is seen as a major step that could end years of ownership disputes over K-Electric, Pakistan’s largest power utility. Officials believe it will also encourage new foreign investment in the country’s energy sector.

According to the Sindh Chief Minister’s Office, a 30-member Saudi business delegation visited Karachi for the event. Sindh Chief Minister Murad Ali Shah welcomed the visitors and invited Saudi investors to explore business opportunities in energy, infrastructure, and industrial projects under the province’s successful public-private partnership model.

Prince Mansour said Saudi Arabia sees huge potential in Pakistan’s privatization and energy sectors and aims for long-term cooperation.

Two agreements were signed during the event — one for the sale of shares in AsiaPak Power Limited (KESP) and another between K-Electric Limited and Trident Energy Limited to explore future joint projects and investments.

Officials said the deal shows strong confidence in Pakistan’s energy market and could bring much-needed foreign capital to improve electricity generation, transmission, and distribution, especially in Karachi.

Background:
K-Electric is the sole power supplier for Karachi and nearby areas, serving over 3.5 million customers. It was privatized in 2005 when a group of investors bought the government’s majority stake. Since then, the company has played a key role in modernizing Karachi’s electricity system but has also faced challenges like power shortages, billing disputes, and management controversies. The ownership issue between KES Power’s shareholders had delayed major foreign investments for years — a problem this Saudi deal now aims to resolve.

Experts believe the Saudi investment could help stabilize K-Electric’s operations, bring in new technology, and attract fresh international investors to Pakistan’s struggling energy industry.