Azgard Nine to issue further capital upto Rs 365 million through right issue

January 20, 2020 (MLN): The board of Directors of Azgard Nine Limited, in their meeting held on January 18, 2020, has affirmed and accepted that in pursuance of the Creditor’s Scheme of Arrangement, the Honorable Lahore High Court has approved vide its order dated 31.07.2019 to issue further capital by observing all the steps as required under SECP, PSX and CDC rules and regulations including issuance of notice to the members.

The company is obligated to raise funds up to Rs 365 million in order to pay off the liabilities of its creditors, through a right issue of ordinary shares.

To achieve this purpose, the company shall increase its ordinary paid-up share capital from Rs 4,548,718,700 (divided into 449,349,439 voting ordinary shares and 5,522,431 non-voting ordinary shares of Rs 10 each) by the issue of further capital, in aggregate Rs 365,034,670 by offering:

• 36,060292 new ordinary shares @8.025% (i.e. 8.025 shares for every 100 shares) as right shares at par value of Rs 10 per share
• 443,175 new non-voting ordinary shares @ 8.025% (i.e. 8.025 shares for every 100 shares) as right shares at par value of Rs 10 per share

In this connection, the Share Transfer Books of the company will remain closed from Feb 11, 2020, to Feb 21, 2020, to determine the entitlements of the members of the company to offer the right shares.

Further, the members  (ordinary shares; voting and non-voting ) whose names will appear on the respective Register of Members at the close of business on Feb 10, 2020, shall be entitled to the receipts of physical letters of offers for right or credit of unpaid rights in book-entry form in their accounts with CDC Pakistan.

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