December 15, 2025 (MLN): First National Equities Limited (FNEL) has proposed a sub-division (split) of its ordinary shares and recommended a substantial increase in its investment limit in associated or subsidiary undertakings, subject to shareholders’ approval.
In a notice submitted to the Pakistan Stock Exchange (PSX), the Company informed that its Board of Directors, in a meeting held on December 12, 2025, approved key matters to be placed before shareholders at an Extraordinary General Meeting (EOGM) scheduled for January 12, 2026.
The Board has proposed a sub-division of FNEL’s ordinary shares by reducing the face value of each share from Rs10 to Rs1.
Under the proposed arrangement, shareholders will receive ten ordinary shares of Rs1 each for every one ordinary share of Rs. 10 held as of the effective date, subject to regulatory approvals.
The Company stated that the move is aimed at enhancing market liquidity, improving affordability and accessibility for a wider investor base, and aligning FNEL’s share price with broader market participation.
Following the proposed sub-division, FNEL’s issued, subscribed, and paid-up share capital will be restructured from 267.29 million ordinary shares of Rs10 each to 2.67 billion ordinary shares of Rs1 each, without any change in the total paid-up capital.
The Memorandum and Articles of Association of the Company will be altered accordingly, subject to shareholders’ approval.
In addition to the share split, the Board has also recommended increasing the Company’s approved investment limit in its subsidiary or associated undertaking from Rs500 million to Rs1billion.
The Board was informed that shareholders had earlier approved investments of up to Rs500 million for the acquisition of an existing pharmaceutical company, either through equity participation or by extending loans, advances, or other forms of financial assistance.
However, in view of enhanced acquisition-related and working capital requirements, the Board concluded that an increase in the investment ceiling is necessary to ensure the timely execution of the project.
The proposed incremental increase of Rs500 million will be utilized to support the enhanced working capital and related requirements of the subsidiary or associated undertaking.
The investment may be made in one or more tranches, on terms and conditions determined by the Board, subject to shareholders’ consent and approvals from relevant regulatory authorities.
The Company has requested the PSX to disseminate the above information to its members and TREC holders. Copies of the notice have also been forwarded to the Securities and Exchange Commission of Pakistan (SECP) for information and record.
Both proposals, the share sub-division and the enhancement of the investment limit, will require approval from shareholders at the upcoming EOGM.
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