KESC in its Extraordinary General Meeting (EGM) on Wednesday, held here at Navy Welfare Centre, Liaquat Barracks, resolved that Directors of the Company be and are, hereby, authorised to take all necessary steps to approve the terms of issuance of up to 650 million shares worth $25 million, to each IFC and ADB.
The measure, according to sources, is aimed at adjusting the Rs 27.5 billion, which the utility owes to the two international financial institutions. The measure would, however, be taken after the completion of all legal requirements envisaged under Companies Ordinance, 1984 and KESC Memorandum & Articles of Association, the meeting said.
It was resolved that the issue of further capital to the extent of $50 million to be converted to equivalent Pak Rupees (PKR) at applicable exchange rate on the date of subscription viz, additional share capital in PKR up to an estimated Rs 4500 million, to IFC and ADB without making a Right Issue be and is, hereby, approved subject to the approval of the Federal Government/Securities & Exchange Commission of Pakistan (SECP) as required U/S 86(1) of the Companies Ordinance, 1984. It was also resolved the date of subscription of these shares by IFC and ADB shall not be later than December 31, 2012.
It further resolved that four directors of the company, including Zulfiqar Haider Ali, Syed Arshad Masood Zahidi, Syed Nayyer Hussain and Muhammad Tayyab Tareen are hereby accorded the sanction of the company in general meeting to hold the offices of profit like Head of Special Projects, Chief Strategic Officer - Generation & Transmission, Chief Strategic Officer - Distribution and Group Head HR Management / Group CFO respectively, in the Company.
However, sources said, the minority shareholders objected to the offer of extra duties to the four directors with the payment of Rs 0.5 million each, saying being the elected directors, they should not hold additional charges in the company.
But, justifying their recruitment, Tabish Goahar, chief executive officer (CEO) of KESC, who, in absence of company's chairman Waqar Hussain, was chairing the meeting, said the directors were highly qualified and company needed their services, they added. They said the EGM was also informed by the CEO that KESC would, free of cost, distribute almost six thousand energy savers to the arson's effectees of Boultan Market. He also announced the same offer to all shareholders if they added.