The Privatisation Commission has invited applications for the positions of financial adviser for the privatisation of two mutual funds, the National Investment Trust (NIT) and the Investment Corporation of Pakistan (ICP). The move follows instructions from Prime Minister Nawaz Sharif that the commission should complete the privatisation of all banking and financial institutions by mid-1998.

NIT is an open-ended mutual fund with total assets of about Rs 30,000 million ($743 million). It holds about 8 per cent of the total market capitalisation of the Karachi Stock Exchange. The smaller ICP is a closed-end mutual fund with assets of about Rs 6 million ($149,000), representing about 1 per cent of the market’s total capitalisation.

In the case of each fund, the financial adviser will recommend the percentage of shares which should be sold as a strategic stake with management control. The advisers will structure, promote, negotiate and execute the transactions, the commission says. The advisers will also assist in the development of the necessary regulatory framework which will allow for the privatisation. PQA invites bids for private cement terminal

Port Qasim Authority (PQA) has invited bids for the development of a clinker and cement terminal on a build-operate-transfer (BOT) basis. The terminal is expected to have a handling capacity of about 3 million tonnes a year. However, PQA says that construction could be undertaken in stages, subject to market conditions.

PQA says that it will provide utilities including water, sewerage and periphery roads, and port operation services, subject to the usual port dues. Bidders are asked to submit the amount of royalties which they will pay to PQA.

PQA has also invited private companies to develop a liquefied petroleum gas (LPG) terminal and a liquid cargo terminal. Bids for the cement terminal are due to be submitted by 30 July (see Tenders).