June 29, 2021 (MLN): The Board of Directors of Fauji Fertilizer Bin Qasim Limited (FFBL), has authorized the company to sell and transfer the company’s entire shareholding in Foundation Wind Energy-I Limited (FWEL-I), and Foundation Wind Energy – Il Limited (FWEL-II) to Fauji Fertilizer Company Limited (FFC).
According to the details shared by the company, the Board approved to sell and transfer 122.587mn of the Company’s shares in FWEL-I, constituting 35% of the entire issued and paid-up share capital of FWEL-I to FFC.
The above-mentioned shareholding will be transferred for the cash consideration of Rs2.727bn plus receipt of Delayed Payment Surcharge in accordance with the agreed Delayed Payment Surcharge mechanism set out in the share purchase agreement.
The Board also approved to transfer company’s 123.469mn shares of PKR 10/- each in FWEL-II, constituting 35% of the entire issued and paid-up share capital of FWEL II, to FFC for the cash consideration of Rs2.747bn, plus receipt of Delayed Payment Surcharge in accordance with the agreed Delayed Payment Surcharge mechanism set out in the share purchase agreement.
The cash consideration to be paid by FFC to the Company is subject to adjustment as per the terms of the share purchase agreement (including adjustment for dividends paid post 31 December 2020).
Meanwhile, it is important to note that the aforementioned authorizations by the Board are subject to approval by special resolution of the shareholders at an Extraordinary General Meeting of the Company, and to the receipt of the requisite regulatory approvals and third-party approvals.
