Category Archives: news story

The incentives offered by the Pakistan Automotive Policy in 2016 attracted major automotive vehicle manufacturers to Pakistan. Many major players set up assembly plants, introducing new vehicles to the Pakistani market, which led to record demand for cold rolled coils/sheets used in the manufacturing of automotive parts, much of which is imported.

In this context, local manufacturers of cold rolled coils/sheets applied to the National Tariff Commission (NTC) for initiation of an investigation against imports of cold rolled coils/sheets and imposition of anti-dumping duties.

We successfully represented the Pakistan Association of Automotive Parts & Accessories Manufacturers (“PAAPAM”) and South Korean giant, POSCO, in these proceedings, which culminated in an order that did not levy anti-dumping duties on a wide variety of such products. The NTC’s decision recognised that domestic industry did not manufacture the product of the quality and specifications required by many auto manufacturers. This outcome was significant as the imposition of definitive duties, as sought by the applicants, would have significantly reduced the competitiveness of the local automotive industry.

Our team in this matter was led by Mazhar Bangash (Partner – Pakistan) and also comprised Ehsan Ejaz (Senior Associate) and Momin Taufiq (Associate).

For further details on this matter, please see https://www.ntc.gov.pk/wp-content/uploads/2022/02/ADC-60-CRC-FD-Notice.pdf

RIAA Barker Gillette (Pakistan) acted for Star Hydro Power Limited (Star Hydro) in its dispute with the National Transmission and Despatch Company Limited (NTDC) regarding NTDC’s delay in completion of the interconnection works necessary for connecting Star Hydro’s hydropower project to Pakistan’s national grid.

Star Hydro owns and operates the 147MW run-of-the-river Patrind hydropower project in Azad Jammu and Kashmir. The electric power generated by the project is sold to NTDC, Pakistan’s national grid company, pursuant to a power purchase agreement (PPA). South Korean giants K-water and Daewoo Engineering and Construction Co. Ltd sponsor the Patrind project.

We successfully represented Star Hydro in expert determination proceedings under the PPA. The expert decided the dispute in favour of Star Hydro and found NTDC responsible for the delays in testing and commissioning the project. This is the first expert determination in which NTDC has been held accountable for such a delay.

After the expert determination, the parties initiated arbitration proceedings at the London Court of International Arbitration. Star Hydro is seeking recovery of further amounts due to the delay, whereas NTDC has challenged the expert decision. We continue to act as Pakistan law counsel in the arbitration proceedings, while Herbert Smith Freehills acts as arbitration counsel.

Pakistan Partner Nadir Altaf leads the team advising Star Hydro.

State owned PTDC owns a number of motels and rest houses at prime locations in tourist destinations across Pakistan, including the famous mountain ranges in the north of the country. PTDC decided to to attract private sector investment to develop these facilities, and thereby further promote tourism, while ensuring the involvement of local government and communities.

As part of a larger consortium, RIAA Barker Gillette (Pakistan) was engaged by PTDC to provide transaction advisory services in relation to fifteen properties situated across Gilgit Baltistan and Azad Jammu and Kashmir. Working with other members of the consortium, we undertook an extensive feasibility study of properties and their potential for commercial use on a public private partnership basis. The study covered legal, financial, commercial and environmental due diligence, referred to international best practices, and recommended the most viable framework for commercial use of the properties.

Our team, led by Mazhar Bangash (Partner – Pakistan) and comprising Ehsan Ejaz (Senior Associate) and Momin Taufiq (Associate), also undertook a review of applicable legislation and prepared all necessary bidding and other documents.

For further detail, please visit the following link: https://tribune.com.pk/story/2330246/ptdc-to-lease-out-ajk-g-b-properties

RIAA Barker Gillette (Pakistan) was engaged by Lakeside Energy Limited as project company counsel for the development, construction and operation of their 50 MW wind power project in Jhimpir, Sindh, Pakistan, at an estimated cost of USD 65 million.

We advised on the project’s licence, tariff, implementation agreement and power purchase agreement and assisted with negotiations with the Alternate Energy Development Board. Further, we negotiated and finalised project documents with the EPC Contractors, as well as the finance documents, with a consortium of local and foreign lenders, including Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO) and Deutsche Investitions- und Entwicklungsgesellschaft mbH (DEG) to enable Lakeside Energy Limited to achieve financial close within a tight timeline. Subsequent to the financial close, we assisted the company on various matters pertaining to the disbursement of finances and the construction of the project. The project achieved commercial operations in April 2022.

We are delighted to have assisted in a project that will contribute to economic growth by adding low-cost and clean power to Pakistan. The project will supply clean wind energy at 4.7 cents per unit which is reported to be the cheapest cost of renewable energy supplied in the country. In Karachi, our team was led by the Managing Partner of Pakistan, Bilal Shaukat and Pakistan Partner Shafaq Rehman. Our Islamabad-based Partner, Nadir Altaf, advised the company on tariffs and other regulatory matters.

More details on the project can be found at: https://www.brecorder.com/news/40167501/naveena-groups-65-million-wind-power-project-begins-operations

We are pleased to have advised Engro Energy Limited (EEL) concerning the finalization of the letter of intent (LOI) signed between EEL and Engro Polymer and Chemicals Limited (EPCL). Under the LOI, EEL will be conducting a feasibility study to develop a 70 MW hybrid power solution comprising a wind and solar-based renewable power and steam element for powering EPCL’s petrochemical facility at Port Qasim.

The development of this project will mark a significant shift from EPCL’s reliance on imported RLNG to renewable energy.

Pakistan Senior Partner Hasnain Naqvee leads the team advising EEL.

For further details on this matter, please see: https://augaf.com/engro-polymer-to-shift-on-renewables-for-power-needs/

In 2018, we acted for Ant Financial Services Group (Ant), an affiliate of the Chinese e-commerce giant Ali Baba, in acquiring a 45% stake in Telenor Microfinance Bank (TMB) for approx. US$ 185 million.

Ant has periodically made further investments in TMB for new ventures and projects, with an additional investment of approximately US$ 25 million in the last six months.

We continue to advise Ant on all matters relating to their shareholding in TMB, including the Digital Banking License issued to TMB by the State Bank of Pakistan. Shafaq Rehman (Partner – Pakistan) is their primary contact.

For more information on Ant Financial’s investment in TMB, please visit:

https://businesschief.asia/technology/alibabas-ant-financial-invests-dollar185mn-into-pakistani-telco-tmb

RIAA Barker Gillette (Pakistan) was engaged by Lucky Electric Power Company Limited as project company counsel for the development, construction and operation of their 660MW imported coal fired power project at Bin Qasim Town, Karachi at an estimated cost of USD 1 billion. The plant is based on a supercritical cycle to utilise the benefit of higher efficiencies. It will operate at 85% capacity factor and contribute towards reducing Pakistan’s cost of generating electricity. The project commenced commercial operations in March 2022.

We advised the company on all project related matters including tariff, financing, EPC contracts, and coal supply. In Karachi, our team led by our Managing Partner – Pakistan Bilal Shaukat, and comprising Associates Parus Qureshi, Ahsan Amir and our then Senior Associate, Sara Ansari assisted with the financing, EPC and fuel supply agreements. Islamabad based Partner – Pakistan Nadir Altaf advised the company on tariff and other regulatory matters.

For more information on the project, please visit https://luckyelectricpower.com.

Indus Wind Energy Limited engaged RIAA Barker Gillette (Pakistan) as project company counsel for developing, constructing and operating their 50 MW wind power project in Jhimpir, Sindh, Pakistan, at an estimated cost of USD 64  million. The firm advised on matters relating to the project’s licence, tariff, implementation agreement and power purchase agreement, and has assisted the client in negotiations with the Alternate Energy Development Board. The firm also negotiated and finalised project documents with the EPC Contractors and the finance documents with a consortium of local and foreign lenders, including CDC Group, Plc, to enable Indus Wind Energy Limited to achieve financial close within a tight timeline. Subsequent to the financial close, we assisted the company on various matters pertaining to the disbursement of finances and the construction of the project. The project achieved commercial operations in March 2022.

We are delighted to have assisted in a project that will contribute to economic growth by adding low-cost and clean power to Pakistan. In Karachi, our team was led by the Managing Partner of Pakistan, Bilal Shaukat. Our Islamabad-based Partner – Pakistan, Nadir Altaf, advised the company on tariff and other regulatory matters.

For more information on the project, please visit https://www.bii.co.uk/en/our-impact/investment/indus-wind-energy-limited/

Healthcare giant GlaxoSmithKline plc (GSK) is currently undergoing a global restructuring to separate its consumer healthcare business from its pharmaceutical business into two separate legal entities. The consumer healthcare business will be demerged into newly independent company, Haleon. Renowned brands, including those with a strong presence in Pakistan, including Sensodyne, ENO and Panadol will comprise the portfolio of Haleon.

GSK has multiple subsidiaries in Pakistan, and employs over 1500 persons across departments and functions. With the division and separation of the two businesses, it is imperative for GSK to seamlessly transition its employees between the two companies.

RIAA Barker Gillette (Pakistan) has been engaged to assist GSK with this restructuring, and in particular advise on related employment and labour related matters in Pakistan. Our team led by Partner – Pakistan Shafaq Rehman and Associate Parus Qureshi are advising on this matter.

For more information on the restructuring, please visit https://www.gsk.com/en-gb/media/press-releases/gsk-announces-independent-consumer-healthcare-company-is-to-be-called-haleon/