IPO-bound Service Long March Tyres commands 55% market share

April 15, 2026 (MLN):  Service Long March Tyres Ltd. (SLM) has strengthened its position in Pakistan’s tyre industry by benefiting from a corporate tax exemption valid until 2032, while rapidly emerging as a dominant local player with roughly 55% share of the all-steel tyre segment, according to Shahid Ali Habib, CEO of Arif Habib Ltd., the transaction’s financial adviser.

The company, a joint venture between China’s Chaoyang Long March Tyre Company and Pakistan’s Servis Group, is preparing to launch an initial public offering aimed at raising up to Rs7.8 billion, which marks a major milestone in Pakistan’s capital market activity,

Under the proposed offering, 389.7 million ordinary shares will be issued, representing a 5% stake in the post-listing structure.

The IPO is expected to be priced at a minimum of Rs14.25  per share.

Proceeds from the listing will partly support the company’s expansion into passenger car radial tyre production, a project estimated to cost Rs22.5bn.

The expansion will be financed through a combination of IPO proceeds, internal cash generation, and long-term borrowing.

Currently focused on manufacturing tyres for trucks and buses since commencing operations in 2022, the company is also a significant exporter, recording over $50 million in overseas sales in fiscal year 2025 with shipments to markets including the United States and Brazil, according to Bloomberg .

The new production facility is projected to begin operations in January 2028.

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