The Grand Court of the Cayman Islands has issued a ruling in the ongoing battle for control of Karachi Electric (KE). While granting partial relief to Infrastructure and Growth Capital Fund SPV21 (IGCF), the court also allowed the Pakistan Proceedings to continue with various government entities.
The dispute centers around KE, a major utility company in Pakistan, ownership structure. Shareholders have been in conflict over the control and management of the company.
The court order stipulates that IGCF must terminate or discontinue its proceedings in the High Court of Sindh at Karachi, Pakistan. However, the Pakistan Proceedings can continue against government entities such as the Privatization Commission, Ministry of Energy, Power Division, National Electric Power Regulatory Authority, and the Securities and Exchange Commission of Pakistan.
This ruling follows the recent controversy surrounding the transfer of KE’s majority shareholding to Sage Venture Group Ltd, a British Virgin Islands-registered special-purpose company. The original shareholders of KE dispute the extent of Sage Venture Group’s ownership and control.
The ownership structure of KE has a complex history, involving multiple stakeholders and legal entities. The recent developments have raised questions about the true ownership and management of the company, setting the stage for further legal battles.
The original shareholders, along with other significant stakeholders, collectively hold a substantial ownership stake in KE and share common interests in the company’s growth and development.
The Cayman Islands court ruling represents a significant step in resolving the ownership dispute surrounding Karachi Electric, but further legal proceedings are expected to clarify the complex ownership structure.
Please note that the court’s ruling does not imply a final resolution to the dispute, and the matter is likely to continue in both legal and corporate arenas.
