KARACHI: In a significant development for Pakistan–Saudi investment ties, the government has successfully resolved a long-standing dispute between Pakistani investor Sheharyar Chishti and Saudi shareholders in K-Electric (KE), clearing the path for a majority acquisition by a Saudi investor.
According to official sources, Prince Mansour Bin Mohammed Al Saud has signed a Memorandum of Understanding (MoU) with Chishti for the acquisition of a controlling stake in KES Power Ltd, the parent company holding 66.4% ownership in K-Electric. This agreement marks the largest Saudi investment in Pakistan’s power sector to date and is expected to strengthen Riyadh’s participation in KE’s management and strategic direction.
The settlement, facilitated by the Special Investment Facilitation Council (SIFC), comes after months of legal wrangling between Chishti and Saudi shareholders in the Sindh High Court. Sources revealed that during Prime Minister Shehbaz Sharif’s recent visit to Saudi Arabia, the matter was raised at the highest levels, prompting the government to mediate a resolution. Under the agreement, Chishti will transfer his shares to the Saudi investor, effectively ending the dispute.
The signing ceremony, hosted at the Chief Minister’s House in Karachi by Sindh Chief Minister Syed Murad Ali Shah, was attended by members of the visiting Saudi delegation, senior government officials, and representatives from the Pakistan Business Council, OICCI, and the Saudi Embassy.
Prince Mansour, who also chairs the Saudi-Pakistan Joint Business Council, emphasized that Saudi Arabia is prioritizing investments in energy, mining, food security, and tourism as part of its broader strategy to deepen economic integration with Pakistan. “Our leadership has directed us to be part of Pakistan’s economic growth story,” he stated.
In a parallel development, K-Electric signed another MoU with Trident Energy, a Saudi-linked entity, to explore joint ventures in power generation, renewable energy, and infrastructure development—further underscoring Saudi Arabia’s expanding footprint in Pakistan’s energy sector.
While K-Electric’s spokesperson confirmed that the company has not yet received official communication regarding shareholder changes, the transaction has been hailed by both governments as a milestone in bilateral economic cooperation and a reflection of Saudi confidence in Pakistan’s regulatory and investment climate.
Story by Zafar Bhutta
