Abraaj Capital and the Karachi Electric Supply Company
In 2008, the Dubai-based private equity group Abraaj Capital Invested $360 million in Karachi Electric Supply Company, a troubled utility serving Pakistan's largest city. In 2010, the firm has made great strides in turning around the company but the transition is not complete. In fact, completing the task involves significant work in rebuilding the social contract in addition to correcting matters related to company management and electricity supply. Is this the direction for private equity in the future?