Islamabad, Jan 10: Engro Holdings Limited (EHL) has announced an important development for its shareholders, with the approval of the allotment and issuance of a total of 722.9 million ordinary shares.
Engro Corporation (PSX: ENGRO) will allocate each share, worth PKR 10, to eligible shareholders. The shares will go to those registered by January 7, 2025, as per the Scheme’s terms.
The approval for this issuance comes after the Islamabad High Court’s sanction of the Scheme on July 18, 2024. This move follows the ongoing restructuring process between Engro Corporation Limited (ENGRO) and Dawood Hercules Corporation Limited (DAWH), aimed at optimizing the organizational structure in accordance with the Scheme of Arrangement.
This restructuring is expected to streamline operations and further strengthen both entities, setting the stage for future growth and development.
In a noteworthy detail, the allotment process will exclude fractional shares. Any fractional entitlements resulting from the application of the share swap ratio, such as those that would result in less than one ordinary share of EHL, will be consolidated into whole shares of the company. This ensures that all shareholders receive complete and rounded shares, avoiding any discrepancies.
Furthermore, the shares will be allotted in the name of the Company Secretary or another person nominated by the Secretary, who will hold them in trust on behalf of the shareholders. The disposal of these shares will be conducted as per the Scheme’s guidelines, ensuring transparency and proper management of the process.
This announcement signifies a major milestone in the restructuring of Engro Corporation and Dawood Hercules, presenting a unique opportunity for shareholders to participate in the growth of Engro Holdings Limited. By executing this share allotment, the company is not only providing significant value to its shareholders but also positioning itself for sustained progress in the competitive market landscape.
