Re: Meryl Lynch says “sell Indonesia Buy Pakistan!”
ML, Stanley, Citi top contenders for UBL GDRs
**Merrill Lynch, Morgan Stanley and Citi-group are the top contenders for the sale of the Global Depository Receipts of the United Bank Limited, The Nation learnt on Thursday. The UBL is selling its shares to the international investors, said sources, adding that the bank would be listed with London Stock Exchange in next few weeks. **Within a couple of months the Lead Manager selected by the Privatisation Commission, would start marketing the shares of the UBL to international institutions and investors. As the process of marketing would complete, the UBL would be taken to London Stock Exchange for listing and subsequent trading of its shares at the LSE.
Sources said that the federal government could mop up 200-500 millions Pound Sterlings through the sale of the UBL shares to international investors. After the completion of UBL shares sale, the Privatisation Commission would kick-off the process of offering Global Depository Receipts of Habib Bank Limited and National Bank of Pakistan to raise foreign exchange. However, the Commission is yet uncertain regarding the deadline of offering the shares of HBL and NBP to foreign investors through the launching of their GDRs, sources further said. Sources said that the government had picked up three banks, UBL, HBL, NBP and one power company, KAPCO for the sale of GDRs. Earlier the government had raised more than $770 million from the sale of GDRs of the OGDCL while the MCB Bank had moped up $150 million by selling GDRs of the bank a few months ago. According to sources, UBL is a listed entity and its existing price could be taken as a reference price for the sale of the GDRs to the investors. Sources hoped that the federal government was making efforts to offer GDRs of two banks, out of three banks, that would help in reducing the current account deficit and to raise foreign exchange from the sale of their shares. The federal government was enhancing the exposure of mega listed companies to international stock markets that would improve their financial results and make them efficient in performance.