SECP grants TRG Pakistan shareholders option to retrieve tendered shares amid legal hurdles

June 05, 2025 (MLN): The Securities and Exchange Commission of Pakistan (SECP) has directed AKD Securities Limited to accommodate shareholder requests for the return of tendered shares in the ongoing acquisition of TRG Pakistan Limited, following legal challenges that have stalled the transaction.

The aforesaid information was disseminated through a notification to exchange today.

In view of the above SECP permission, AKDSL will be honoring requests received until June 18, 2025 (prior to the commencement of the book closure period as indicated for the Corrigendum) for the return of shares to the shareholders who have already tendered the shares in the Public Offer.

All such requests shall be considered final, and no payments shall be disbursed to shareholders from whom requests are received. Upon return of shares, the shareholders may re-tender during the revised acceptance period (2-8 July 2025).

Payments for shares already tendered pursuant to the Public Offer shall be subject to the final decision in ongoing litigation (JCM 12 of 2025) in the Honorable High Court of Sindh.

The Securities and Exchange Commission of Pakistan (SECP) issued guidance on May 26, 2025, allowing shareholders who had tendered their shares under Greentree Holdings Limited’s public offer to reclaim them before the revised acceptance period begins on July 2, 2025.

The move came after minority shareholders raised concerns over the prolonged blocking of their shares, citing liquidity constraints and financial losses.

Greentree Holdings had initially sought to acquire 35.14% of TRG Pakistan’s voting shares, but legal proceedings, including a stay order from the Islamabad High Court and subsequent litigation in the Sindh High Court, delayed the process.

The SECP’s latest directive aims to mitigate shareholder risks while ensuring compliance with takeover regulations.

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