DIIL approves five-year lease of Lahore facility, sets timeline for Gadoon Plant revival

November 25, 2025 (MLN): Diamond Industries Limited (PSX: DIIL) has unveiled a multi-phase plan to revive its manufacturing operations, according to the company's statement issued today.

The company’s Board of Directors has approved an offer from Diamond Products (Pvt) Limited to take over the firm’s Lahore factory on a lease arrangement for a period of five years beginning January 1, 2026.

The arrangement includes the transfer of possession of the complete operational facility, which manufactures foam and spring mattresses, furniture, and allied products.

The takeover also covers all plant and machinery, along with inventories of raw materials and finished goods as of December 31, 2025.

In addition to the Lahore facility’s transition, DIIL plans to resume production of high-end foam and spring mattresses at its Gadoon factory by September 1, 2026.

To prepare for the restart, the Board has formed a committee comprising two directors and the Chief Financial Officer to develop and present a feasibility report by the end of February 2026.

The Board has also approved the disposal of old and obsolete plant and machinery at the Gadoon site on an “as-is-where-is” basis, with disposal planned before September 2026.

A dedicated committee has been authorized to oversee all legal and procedural requirements for the sale.

Until procurement and installation of new machinery are completed, the Gadoon unit will remain temporarily closed until August 2026, the company stated.

Copyright Mettis Link News