Sui Southern Gas Company subsidiary to go public

Sui Southern Gas Company Ltd (SSGC) said on Wednesday it’s going to convert SSGC LPG Ltd, a wholly owned subsidiary, into a public limited firm by offering its shares to the general public. The government-owned gas distribution company said it’ll initiate the process for the “issuance of 33.3 million shares” of the converted company by means of an initial public offering (IPO) at “any time in (the) future”. SSGC LPG Ltd is a fully integrated LPG marketing and distribution company, which acquires gas from local producers besides importing it through its terminal at Port Qasim. Since the LPG subsidiary’s existing paid-up capital consists of 100m shares, the issuance of 33.3m new shares through the IPO will reduce SSGC’s shareholding to about 75pc post-listing. SSGC LPG Ltd recorded sales of 98,700MT in 2022-23, up 127 per cent from a year ago. Its total terminal volume hit 164,204MT, up 27.3pc year-on-year. Industry-wide, its share in the terminal business remained 70pc versus 50pc a year ago. Its share in overall LPG sales was 7pc as opposed to 2.8pc in the preceding fiscal year.