Saudi company expresses interest in acquiring 77.42% stakes in Shell Pakistan

A Shell logo is pictured on a sign outside a Royal Dutch Shell petrol station in Gateshead, north east England on January 31, 2023. (AFP/File)
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  • WAFI Energy is a rapidly growing retail gas station network and sole licensee of Shell Retail Network in Saudi Arabia
  • Based in Riyadh, the company was incorporated in September 2012 with a paid-up capital of 3 million Saudi Riyal

ISLAMABAD: A Saudi company has expressed interest in acquiring majority ownership of 77.42 percent in Shell Pakistan Limited (SPL), a leading oil and gas entity in the country, announced a stock filing at the Pakistan Stock Exchange (PSX) on Tuesday.

The SPL revealed plans for its parent organization, Shell Petroleum Company (SPC), to exit the Pakistani market in June of this year. This move was said to be part of SPC’s global strategy to rationalize its portfolio.

The divestment plan included the sale of SPC’s 77.4 percent stake in the local business, encompassing all of SPL’s downstream operations as well as its 26 percent ownership in Pak-Arab Pipeline Company Limited.

“It is hereby informed that M/s Shell Pakistan Limited (Target Company) has received firm intention from WAFI Energy LLC (Acquirer) to acquire control of 165,700,304 (up to 77.42 percent) voting shares of the target company,” said SPL’s stock filing.

It requested the relevant authorities to make the information immediately available to the shareholders to fulfil a necessary legal requirement.

According to documents submitted at PSX, WAFI Energy LLC is a “fast growing retail gas station network and sole licensee of Shell Retail Network (Gas Stations) in the Kingdom of Saudi Arabia.”

Based in Riyadh, the company was incorporated in September 2012 with a paid-up capital of 3 million Saudi Riyal.

WAFI Energy has engaged Arif Habib Limited in Pakistan to manage its acquisition offer.