Islamabad, Aug 29: Agha Steel Industries Limited (PSX: AGHA) declared on Thursday that it has received a plan from the Fauji Foundation to purchase shares and control of the business above the limits set forth in Section 111 of the Securities Act of 2015.
The company said in a notification to the Pakistan Stock Exchange (PSX) on Thursday that the Board of Directors of the Target Company has been informed of its intention as of August 29, 2024. In compliance with the terms of the Act and the Regulations, the Fauji Foundation has designated Integrated Equities Limited (IEL) as Manager to Offer (MTO).
The Fauji Foundation stated in a public statement that it is a “Social Hybrid Enterprise” that is driven by growth and makes money to support its beneficiaries. The foundation also stated that it intends to purchase shares and control of Agha Steel. With a strategically diversified portfolio of businesses in the areas of fertilizer, cement, food, oil and gas exploration, LPG marketing and distribution, marine terminals, financial services (banking and financial brokerage), and employment services, it is the largest social entity in Pakistan.
It went on to say that through strategic alliances and targeted acquisitions, it hopes to expand both domestically and globally. It further stated that the linked companies of the Fauji Foundation that are listed on PSX have consistently demonstrated strong performance, demonstrating the trust of shareholders in their managerial skills.
It added that the totally owned projects of the Fauji Foundation are producing excellent returns and are well-positioned for future expansion. It stated that since it has been in the cement industry for more than 25 years, it plans to investigate the possibility of vertical integration with steel. The main products that Agha Steel produces and markets are steel bars, wire rods, and billets.
