Chinese steel giant offers to pump $778m into Pakistan Steel Mills (PSM)

[Shotgunner51]

this is so damn embarrassing!
its like Pakistani universities don't produce any management or engineering graduates at all that we have to ask for literally every penny of a thing from china!
we built our own ports (bin qasim) when we were poor, we built our cities when we were poor, we built our industries when we were poor, but now that we have more money than back then, suddenly we have to beg for everything?
why dont we just import a damn prime minister from china as well? bet they'd be glad to take over our worthless politicians! damn it is there any limit to how much we can shame ourselves? no self respect left in us anymore!

Take it easy bro, it's been difficult for the country to develop given the harsh security environment, external and internal. It isn't a shame at all, instead your ability to endure, to weather through such difficult times, is highly respected! Now that as things improve, it's a golden opportunity to strengthen civilian economy. Investment, experiences and skills from ally China or any other countries are just catalysts, once momentum picks up, it still upto Pakistani people to finish the jobs for themselves. All the best bros!

 

[ziaulislam]

PSM was flourishing in Mushy era, these politicians are pethatic as hell. No matter now much aid you pump into PSM, these politicians will eat it in months and PSM will again become dry to core.

liabilities have gone from 32 billion to 320 billion in addition to pumping of over 100 billion of govt money
meaning we lost 4 billion dollars due to an idiot sitting in supreme court

no only that we are not sure how many billion dollars of indirect losses our industry suffered due to import of steel rather than local production

 

[Thəorətic Muslim]

If Sinosteel invest $778m for say 51% stake, that's means the pre-money valuation is $747.5m, not bad for a 1.1 million tonne p.a. (installed capacity) company. Upon completion of deal, PSM is a $1.5255 billion (valuation) company, may consider IPO when it becomes $5-8 billion (note KSE is around $75-80 billion in market cap) and become a heavy weight public company, pride of Pakistani national industry!

1 thing you need to know about Pakistan is it has a lot of hopes and dreams, but those mostly get disregarded every 5 years, or for a Parliamentary Seat, but its usually $10 to vote for a certain politician.

When you got a government that will not only rehire fired workers but give them back pay for the 5 years they didnt work.....

When you hand over an entire industry to 1 car company to manage so that you can hopefully help design and build parts for the company that will just sell in your country. That deal destroyed an attempt by a citizen to make a domestic Pakistani car company....

To make a strong nation, you need strong leaders who are willing to go against the waves. Pakistan needs a Deng Xiaoping.

Oh btw, was the reason Xiaoping made the Special Economic Zones in southern China, so they'll be far from the seat of government, in case they failed?

 

[ramu]

The Chinese company investing in backbone industries is great for Pakistan, and win win for the two countries. When private players get involved, it is important that the valuation of stock exchanged or terms of commercial discourse is fair. Unfortunately, Pak is not in a good position to negotiate as there are few options for large investment. Privatization is one solution for the long run.

 

[Archie]

5 years ago Laxmi Mittal offered 1 Billion USD for PSM
Now Noonies will sell it for 778 Million USD

 

[black-hawk_101]

I think Steel Mills should be given to Russia.

 

[Shotgunner51]

Oh btw, was the reason Xiaoping made the Special Economic Zones in southern China, so they'll be far from the seat of government, in case they failed?

I never know but it is fair to pick a place far from center of bureaucracy for testing his agressive market reform i.e. liberalizing the manufacturing sector.

Moreover Shenzhen is in Guangdong, Cantonese people have strong sense of market and business. Locating right next to HK also has unique advantage, during its height HK accounted for over 70% of FDI to mainland China, and HK investment employed 30 million workers in the whole Guangdong province.

 

[Shotgunner51]

I think Steel Mills should be given to Russia.

Could you elaborate a bit more on this?

 

[Uchiha Madara]

Could you elaborate a bit more on this?

PSM was built with the contributions of Soviet Union back in the 70's. Machinery is soviet, hence the urge to give steel mills to Russia.

 

[black-hawk_101]

Could you elaborate a bit more on this?

I think Chinese wants to have everything on their own? I am sure that can happen only in Punjab.

 

[Shotgunner51]

PSM was built with the contributions of Soviet Union back in the 70's. Machinery is soviet, hence the urge to give steel mills to Russia.

Well that's understanble, thanks!

I think Chinese wants to have everything on their own? I am sure that can happen only in Punjab.

That's however an inaccurate statement bro. In general owning anything that's net liability is not exactly preferable from a financial POV. Also in business deals, it takes at least two or more willing parties to work things out.

I understand you are not too friendly to China, might be there's misunderstandings somewhere. Remember you propose that SL choose shipbuilding partner from EU, while all top shipbuilding countries are in fact in the East?

CHEC to build Dockyard in Hambantota

Well let's sort things out one by one my dear friend. Steel is an area that China can act as a catalyst for Pakistani growth, please kindly consider this.

 

[Winchester]

why dont we just import a damn prime minister from china as well?

Frankly i wouldn't mind that.