UBAI: Abraaj Group has agreed to sell its majority stake in Pakistan's K-Electric to Shanghai Electric Power Co (SEP) for $1.77 billion, the emerging market-focused private equity firm said on Sunday.

The transaction is the largest M&A deal in Pakistan in a decade, and comes at a time of heightened Chinese interest in investing in the South Asian nation as part of its "One Belt, One Road" initiative.

Abraaj-controlled KES Power will divest the 66.4 percent stake subject to regulatory approvals being obtained.

SEP was among a number of Chinese bidders, including China Southern Power Grid, which were lining up to acquire the stake, sources told Reuters in August.

Chinese companies' interest comes after China last year announced energy and infrastructure projects worth $46 billion in Pakistan, with a view to opening a trade corridor linking western China with the Arabian Sea.

K-Electric is Pakistan's biggest electricity company, supplying power to 2.5 million customers in and around Karachi, the country's biggest and wealthiest city.

The private equity firm first acquired its stake in K-Electric in 2009, but said in June 2014 that it had mandated Citigroup to evaluate options for the investment.

"SEP will leverage its own strengths as a strategic investor and further realize K-Electric's potential to provide better services to the people of Pakistan and the government of Pakistan," SEP Chairman Wang Yundan said in the statement.

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</s>The Abraaj Group on Sunday announced that a $1.77 billion stake in K-Electric will be sold to China’s state-backed Shanghai Electric Power (SEP).

The Abraaj Group boasted that the company has undertaken one of the largest private sector transactions in the country.

"Upon completion, this will be one of the largest private sector transactions in Pakistan and represent one of the global power industry’s most well-recognised operational turnaround stories," said a press release issued by the Abraaj Group.

The Abraaj Group has entered into "a definitive agreement to divest its stake in K-Electric to Shanghai Power Company for $1.77bn," the statement said.

Chairman of SEP Wang Yundan said, "SEP appreciates what Abraaj has achieved at K-Electric over the past seven years and recognises the performance and capability of K-Electric’s management team."

"SEP will leverage its own strengths as a strategic investor and further realise K-Electric’s potential to provide better services to the people of Pakistan and the Government of Pakistan. SEP is confident about working together with Abraaj in the future to transform K-Electric into one of the best companies in Pakistan."

Commenting on the exit, Abraaj Group Founder and Group Chief Executive Arif Naqvi said, "Today marks a milestone... as we enter into a definitive agreement to divest our stake in a high-performance business as market leader to a strategic buyer who is fully committed to continuing this success story into the future."

K-Electric serves 2.5 million consumers in and around Karachi. The company, formerly known as the Karachi Electric Supply Company, was incorporated in 1913 and is a publicly listed fully integrated power utility involved in generation, transmission and distribution. The company was privatised in 2005 and Abraaj took a majority stake in 2009 through its funds, the statement said.

Shanghai Electric Power, a subsidiary of the State Power Investment Corporation of China, is engaged in the generation and transmission of electricity, and the operation and maintenance business in the energy service sector, it said.

Read more: Editorial — Chinese interest in K-Electric</s>General view of the K-Electric's Power Plant located in Bin Qasim, on the outskirts of Karachi, Pakistan (Reuters file photo)

KARACHI, Pakistan — China's Shanghai Electric power company will buy a controlling stake in K-Electric, a power generation and distribution company in Pakistan's largest city, for $1.77 billion, K-Electric's parent company announced in a statement on Sunday.

Dubai-based Abraaj Group said it had entered into a definitive agreement with China's state-backed Shanghai Electric to divest its 66.4 per cent stake in K-Electric .

K-Electric serves around 2.2 million customers in and around Karachi, Pakistan's largest city with a population of about 20 million. It is involved in both generation at thermal power plants and power distribution.

"Today marks a milestone in that partnership as we enter into a definitive agreement to divest our stake in a high performance business and market leader to a strategic buyer who is fully committed to continuing this success story into the future," Arif Naqvi, Abraaj's chief executive, said in a statement.

When completed, the deal will be biggest M&A agreement in Pakistan in a decade. Large parts of the Pakistani economy remain nationalised, or held by a few private businessmen, rather than diversified companies.

"The K-Electric transaction only marks the beginning of SEP's cooperation with Abraaj and we look forward to further collaboration between the two parties in many other areas in the future," Wang Yundan, Shanghai Power's chief executive, said in a statement.

Shanghai Electric announced its intention to bid for the stake in August.

Chinese companies' interest in Pakistan is growing after China announced energy and infrastructure projects worth $46 billion in the South Asian nation last year, with a view to opening a trade corridor linking western China with the Arabian Sea.</s>31 October 2016



 NB Global Floating Rate Income Fund Limited (the 'Company')



 Transaction in Own Shares



The Company announces that pursuant to the general authority granted by shareholders of the Company on 15 June 2016 to make market purchases of its own Ordinary shares, it repurchased 775,000 Sterling Shares at a price of 94.1314 pence per Sterling Share, to be cancelled, on 31 October 2016. This represents approximately 0.071 per cent of the Company's current issued Sterling Shares.



Following this transaction, the Company has 1,094,974,857 Sterling Shares in issue of which 75,000,000 are held in treasury. The Company also has 40,806,425 US Dollar Shares in issue of which 2,972,627 are held in treasury. US Dollar Shares have 1 vote per share and Sterling Shares have 1.6 votes per share.



For reporting purposes under the FCA's Disclosure and Transparency Rules the market should exclude any shares held in treasury and should use the figure of 1,669,793,569 total voting rights when determining if they are required to notify their interest in, or a change to their interest in the Company.



Enquiries:



Carey Group Claire McSwiggan 01481 700300



This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients. The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.



Source: NB GLOBAL FLOATING RATE INCOME FUND LIMITED (GBP) via GlobeNewswire



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Copyright RTT News/dpa-AFX</s>In the aftermath of super Typhoon “Lawin,“ the Department of Energy (DOE), through its attached agencies, called on other power industry participants to help restore damaged energy facilities in badly hit areas like Cagayan Valley, Kalinga and Apayao.

“We are exhausting all available resources and help we can avail of to speed up the re-energization in Northern Luzon, especially in the most badly affected areas,” Energy Secretary Alfonso Cusi said over the weekend.

“Bayanihan is what is necessary in this time of need. We are calling several industry participants unaffected by the calamity like Meralco [Manila Electric Co.] and the Aboitiz Group to help in the restoration efforts of the affected distribution utilities such as Cagelco [Cagayan Electric Cooperative] and Iselco [Isabela Electric Cooperative],” Cusi said.

On the distribution side, the National Electrification Administration (NEA) and several electric cooperatives (ECs) have responded to the DOE’s call to activate Task Force Kapatid (TFK).

The TFK has three teams with more than 60 personnel from NEA, 19 ECs in Regions III and IV and 7 Private Investor-Owned utilities – Zambales Electric I and II Electric Cooperative; Peninsula Electric Cooperative; Pampanga I, II and III Electric Cooperative; Tarlac I and II Electric Cooperative; Nueva Ecija I Electric Cooperative; Pampanga Rural Electric Cooperative; Quezon I Electric Cooperative; First Laguna Electric Cooperative; Batangas I Electric Cooperative; Batangas II Electric Cooperative; Pangasinan I Electric Cooperative; Nueva Vizcaya Electric Cooperative; Quirino Electric Cooperative; Davao Light & Power Co.; Visayas Electric Corp.; Tarlac Enterprise Inc.; Cabanatuan Electric Corporation; Dagupan Electric Corp.; Subic Electric Power Company, and Meralco.

As of October 28, restoration efforts in Northern Luzon stood at 58 percent, while La Union Electric Cooperative has completed restoration in its franchise area.

Still affected distribution utilities are Ilocos Norte Electric Cooperative; Ilocos Sur Electric Cooperative; Cagayan I and II Electric Cooperative; Isabela I and II Electric Cooperative; Nueva Vizcaya Electric Cooperative; Quirino Electric Cooperative; Benguet Electric Cooperative; Mountain Province Electric Cooperative; Ifugao Electric Cooperative; Kalinga-Apayao Electric Cooperative and Abra Electric Cooperative.

Cusi said TFK efforts are concentrated in bringing back electricity to 526,087 households.

Meanwhile, the National Grid Corp. of the Philippines reported that restoration of transmission facilities has been completed in Ilocos Sur, Ilocos Norte, Abra, Benguet and Mountain Province. Power has been restored at 87.57 percent in the provinces of Nueva Vizcaya, Quirino, Ifugao, Isabela, Cagayan, Kalinga and Apayao.
The Dubai based Abraaj Group agreed to sell its majority shares in K-Electric to China’s state-backed Shanghai Electric Power Company with a transaction of US $ 1.77 billion.