China Steel Group Corporation or Sinosteel has started the due diligence process for the assets of Pakistan Steel Mill, according to local media.
A team from Sinosteel recently visited Pakistan at the invitation of Pakistan’s Privatisation Commission (PC). The Pak-China Investment Company and Bank of China are financial advisors for the privatisation of Pakistan Steel. Legal, financial and matters of land use were discussed with all stakeholders. The commission has submitted the draft for financial, tax and human resource due diligence of Pakistan Steel to Pakistan’s ministry of industries for a review.
Pakistan is keen to privatise Pakistan Steel Mills and turn it into a profit-making company. The Pakistani government aims to complete the privatisation process by the end of the year.
Earlier, Pakistan Steel was to be sold in an open auction, but the government called off the plan to exclusively offer the steelmaker to Chinese investors, Davis Index reported.
Sinosteel is a state-owned enterprise engaged in the development, processing as well as trade and logistics of mineral resources and metallurgical raw materials. The company also provides technical and investment services.