Offshore owners move to get direct control of K-Electric

Infighting among the ultimate owners of K-Electric Ltd led one group of investors to announce on Wednesday that it wants to wind up a Cayman Islands-based company to establish a direct shareholding in Karachi’s only power utility. In a densely worded statement, IGCF SPV21 Ltd said it had filed a petition in the Grand Court of the Cayman Islands for a “just and equitable winding up” of the holding company of K-Electric. The intended shift from indirect to direct shareholding of K-Electric comes after a Pakistani investor took in October 2022 a prominent role in a fund that was previously managed by the now-defunct Abraaj Group. The investors behind the attempt at the winding up of K-Electric’s holding company claim that the other group of investors has violated the shareholders’ agreement and prevented them from appointing their nominees to K-Electric’s board of directors.