BOP secures green light for Rs30bn Punjab govt capital injection

September 08, 2026 (MLN): Shareholders of The Bank of Punjab (BOP) have formally approved a landmark equity injection of up to Rs30bn from the Government of Punjab (GoPb). The decision was finalized during an Extraordinary General Meeting (EOGM) held in Lahore on September 8, 2026.

Under the approved resolutions, the bank will issue new ordinary shares to the Punjab government outside of a right issue.

The capital injection will proceed in phases, subject to remaining statutory and regulatory approvals from the Securities & Exchange Commission of Pakistan (SECP), the State Bank of Pakistan (SBP), and the Pakistan Stock Exchange (PSX).

Key details of the approved resolutions

Pricing Structure: Shares will be issued at PKR 38.20 per ordinary share. If the market price at the time of issuance exceeds this floor price, shares will be offered at the prevailing market price plus a 5% premium.

Phased subscription schedule:

Tranche 1: Rs15 to 20bn in cash subscription target by December 31, 2026.

Tranche 2: Remaining Rs10 to 15bn in cash subscription target by June 30, 2027.

Advance Subscription: The bank is authorized to accept an initial advance equity payment of up to Rs10bn from the GoPb ahead of formal share issuance.

In addition to the capital expansion, shareholders approved an updated Board Remuneration Policy. Board members, including the Chairman (excluding the President & CEO), will now receive Rs395,000 (net of taxes) per meeting for attending Board of Directors and Sub-Committee meetings.

The bank’s executive leadership including the President & CEO, CFO, and Company Secretary has been authorized to execute all necessary agreements, complete application filings with regulators, and finalize share allocations across each tranche.

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