Shell Petroleum Company Limited (SPCo) and WAFI Energy LLC, a Saudi Arabian fuel station company, have signed an agreement to sell SPCo’s entire ownership in Shell Pakistan Limited (SHEL). This information was shared by Shell Pakistan Limited, which is a subsidiary of SPCo, in a notice to the Pakistan Stock Exchange.
The sale includes 165,700,304 shares, which represent 77.42% of SHEL’s total shares. However, the completion of this transaction is subject to a few conditions. These include the issuance of a public offer by WAFI Energy, obtaining necessary approvals, such as clearance from the Competition Commission of Pakistan (CCP), and fulfilling other closing requirements.
Earlier, Shell Pakistan Limited had received a firm intention from WAFI Energy to acquire the majority of voting shares in SHEL. WAFI Energy LLC is known for its rapidly growing retail gas station network and is the exclusive licensee of Shell Retail Network (gas stations) in Saudi Arabia.
In June, Shell Pakistan announced the intention of its parent company, SPCo, to sell its ownership in the Pakistani entity. However, this change in ownership is not expected to impact Shell Pakistan’s ongoing business operations.
Additionally, other companies like Pakistan Refinery Limited (PRL), Air Link Communication (AIRLINK), and Prax Overseas Holdings Limited (Prax) have also expressed their interest in acquiring a majority stake in Shell Pakistan Limited.
According to SHEL’s latest financial results, the company reported a profit after tax of Rs6,450 million for the nine months ending on September 30, 2023, which is a significant increase compared to the profit after tax of Rs2,864 million in the same period last year.
