SHANGHAI Electric Power Co. said yesterday it is seeking a stake in K-Electric Ltd., the US$2.3 billion Pakistani utility, in what could become the Shanghai-listed firm’s largest overseas deal.

    Shanghai Electric Power is doing preliminary preparation work on acquiring a stake in K-Electric and hasn’t decided how much it will buy, the firm said in a Shanghai Stock Exchange filing yesterday.

    Shanghai Electric Power isn’t the only company competing in the auction, so there’s no certainty it will succeed, according to the filing.

    Shanghai Electric Power is vying with Chinese clean energy group Golden Concord Holdings Ltd. for control of K-Electric, which has also drawn interest from Engie SA and at least one investment fund, sources said.

    Bidders were asked to submit binding offers by the end of this month for Abraaj Group’s 66 percent holding in the Pakistani company, according to the sources.

    Any transaction would add to the US$129.1 billion in utility deals announced globally this year, up from US$60 billion during the same period in 2015. K-Electric, formerly known as Karachi Electric Supply Co., serves more than 2.2 million customers in and around the Pakistani city of Karachi and employs about 11,000 people, according to its website.

    A spokeswoman for K-Electric said last week the company hasn’t been notified of any transaction or acquisition. Spokesmen for Abraaj Group and Engie declined to comment.

    Acquiring control of K-Electric would be Shanghai Electric Power’s biggest overseas purchase, surpassing its 2014 deal to buy a US$399 million stake in Maltese utility Enemalta Plc. (SD-Agencies)