TRG shareholders to receive tendered shares back

June 27, 2025 (MLN): TRG Pakistan Limited has stated that the Honorable High Court of Sindh has issued its judgment in JCM No. 12 of 2025 regarding the Public Offer made by Greentree Holdings Limited.

As a result, all shares tendered in the Public Offer will be returned to the respective shareholders, the notification issued to the local bourse.

In line with the court’s directives, AKD Securities Limited, acting as the Manager to the Offer, has initiated the process of returning the tendered shares.

In a recent Analyst Briefing, TRG Pakistan Limited addressed the impact of the adverse court verdict, confirming plans to challenge the ruling in the Supreme Court.

While avoiding detailed comments due to legal constraints, the management noted that AKD Securities has begun returning shares to investors as per court orders.

The company highlighted strong performance from IBEX, which posted 11% year-on-year revenue growth in Q3 and is expected to close FY25 with $540–545 million in revenue and $70m in EBITDA.

TRG’s stake in IBEX has reduced to 13% following a share repurchase.

Afiniti, facing financial stress from earlier debt, underwent a major restructuring in December 2024.

Vista now holds a controlling stake, while TRG retains a 13% share and board representation.

There are no immediate plans for Afiniti’s IPO.

TRG reported a Rs4.3 billion profit for 9MFY25, reversing a major loss from the previous year, driven by gains in IBEX and Greentree Holdings.

However, no dividends will be declared due to the holding company's limited liquidity and ongoing legal matters.

Management reaffirmed its long-term focus on tech-driven investments, particularly in predictive and generative AI.

Earlier, the Sindh High Court blocked Bermuda-based Greentree Holdings' attempted takeover of TRG Pakistan Limited, ruling that nearly 30% of shares were unlawfully acquired using TRG’s own funds, violating Section 86(2) of the Companies Act 2017.

The court declared the transactions fraudulent and oppressive to minority shareholders, ordered the shares to be treated as treasury stock, voided the public offer, and called for fresh board elections.

AKD Securities has been directed to return all tendered shares to investors.

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