FATIMA plans up to around Rs70bn diversification investments

March 09, 2026 (MLN): Fatima Fertilizer Company Limited (PSX: FATIMA) has approved investments of up to Rs69.9 billion across aviation, exploration and production, capital markets, and real estate as part of its ongoing business diversification strategy, the company said in a notice to the Pakistan Stock Exchange.

The board approved an investment of up to Rs50 billion in PIA Equity Limited, an associated company established as a special purpose vehicle by a consortium led by Arif Habib Corporation Limited, to acquire Pakistan International Airlines Corporation Limited.

The investment may be made directly or through a wholly owned subsidiary and is intended to support a potential turnaround of the national carrier while expanding the fertiliser producer’s exposure to the aviation sector.

In the energy sector, the company approved an equity investment of up to Rs9.88 billion in its wholly owned subsidiary Fatima Petroleum Company Limited, to support exploration activities.

The subsidiary has entered into production-sharing and farm-out agreements with Mari Energies Limited, as operator, along with Orient Petroleum Inc., Hycarbex American Energy Inc., and Turkish Petroleum Overseas Company for four onshore and two offshore exploration blocks.

Separately, the board approved an investment of up to Rs7 billion in Fatima Capital Limited, another wholly owned subsidiary, to expand its presence in capital markets and other investment avenues.

The move will add to the subsidiary’s existing portfolio of listed securities valued at Rs21.65 billion as of December 31, 2025.

In the real estate sector, the company approved an additional equity investment of up to Rs3 billion in the Emerald Bay Islamic Developmental REIT Fund, managed by Lake City REIT Management Limited, raising its total approved investment to Rs14 billion.

The project aims to develop an urban community spanning about 4,000 acres within the jurisdiction of the Ravi Urban Development Authority.

The board also renewed an unutilized equity investment limit of up to Rs2.25 billion in REITs managed by Arif Habib Dolmen REIT Management Limited, enabling the company to pursue future real estate investment opportunities.

The company said the planned investments are aimed at strengthening its diversified portfolio and capturing growth opportunities in strategic sectors. 

Copyright Mettis Link News