Kot Addu Power Company Limited (KAPCO) has received shareholder approval to sell two of its gas turbines — GT-3 and GT-4 — along with associated components, to Rizwan Steel (Private) Limited for Rs800 million. The decision was formalized during an Extraordinary General Meeting (EOGM) on July 15, 2025, and disclosed in a notice to the Pakistan Stock Exchange (PSX).
KAPCO’s Chief Executive Officer Shahab Qader Khan and Company Secretary Adolf Anthony Rath have been authorized to execute the transaction, including fulfilling all necessary regulatory requirements with the PSX and the Securities and Exchange Commission of Pakistan (SECP).
This sale is part of KAPCO’s broader strategy to streamline operations and optimize its asset portfolio. It follows the recent signing of a Tri-Partite Power Purchase Agreement (TPPA) with the Central Power Purchasing Agency (Guarantee) Limited (CPPA-G) and the National Grid Company of Pakistan Limited, aimed at regulating electricity sales from KAPCO’s 1,600 MW multi-fuel power plant in Kot Addu, Punjab.
Rizwan Steel, a growing local player in Pakistan’s industrial sector, is acquiring the turbines to enhance its in-house power capacity, a move that reflects increasing demand for self-reliant energy solutions within the steel manufacturing space.
The deal underscores the synergy between Pakistan’s energy and industrial sectors, with KAPCO divesting non-core assets and Rizwan Steel investing in power infrastructure to support operational growth.
As of this week, the Pakistani rupee has remained relatively stable, trading around Rs284.67 against the US dollar in the interbank market. Social media reactions have been positive, with many viewing the move as a smart reallocation of energy assets to meet industrial needs while strengthening private sector collaboration.
The transaction is expected to conclude smoothly, pending standard regulatory clearances.
Published in SouthAsianDesk, July 16th, 2025
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