Waves Home Appliances' rights issue to fund AC expansion, cut debt

August 19, 2026 (MLN): Waves Home Appliances Limited will raise Rs1.5bn through a Right Issue of 150,015,772 ordinary shares, representing 56% of its existing paid-up capital, at par value of Rs10 per share, with Book Closure scheduled for August 27, 2026.

According to the Company's Offer Document, the Right Issue was approved by the Board of Directors in a meeting held on July 23, 2026, with proceeds to be utilized towards working capital requirements and partial repayment of a loan payable to its holding company, Waves Corporation Limited.

Of the total proceeds, up to Rs800.16m (53.3%) will be deployed to meet working capital requirements arising from the Company's expansion in the air conditioner market and continued investment in its deep freezer and refrigerator segments, while up to Rs700m (46.7%) will go towards partial repayment of the loan payable to Waves Corporation Limited, the Company's holding company and substantial shareholder with a 34.34% stake.

Next Capital Limited has underwritten Rs985mn of the issue, while directors and substantial shareholders, including Waves Corporation Limited, have committed to subscribe to their respective entitlements, ensuring 100% subscription of the issue and eliminating the need for a Minimum Level of Subscription.

Key dates for the rights issue include the commencement of trading of unpaid rights on the PSX from August 31, 2026, with the last date for acceptance of subscription payment set for September 21, 2026, and allotment of shares expected by October 5, 2026.

 The information was disseminated through a notification to the Exchange.

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