August 10, 2022 (MLN): The Board of Directors of ICI Pakistan Limited has authorized a partial divestment of approximately 26.5% of the issued and paid-up share capital of its subsidiary, NutriCo Morinaga (Private) Limited (NMPL) to Morinaga Milk Industry Co. Ltd. at an aggregate sale price of $45.08 million (i.e., at approximately $2.07 per share), the company's filing on PSX showed today.
ICI Pakistan will continue to hold approximately 24.5% of the issued and paid-up share capital of NMPL upon completion of the transaction.
To note, on July 14, 2022, the company had received a conditional offer from Morinaga Milk Industry Co., Ltd, Japan (Morinaga Milk) to acquire an aggregate of approximately 33.3% of the issued and paid-up share capital of NutriCo Morinaga (Private) Limited (NMPL), a subsidiary of ICI Pakistan, from NMPL's existing shareholders. The Board of Directors of ICI Pakistan had granted in-principle approval to ICI Pakistan to move forward with the proposed sale/divestment of 26.5% of its shareholding in NMPL (i.e. partial divestment) to Morinaga Milk,
According to the notice issued today, the approval is subject to, inter alia, obtaining the requisite approval of the shareholders of the company pursuant to section 183(3)(b) of the Companies Act, 2017, and all necessary regulatory and other approvals required.
In this regard, the Board of Directors has authorized the management to finalize the arrangement and ancillary matters and place this matter at the upcoming Annual General Meeting scheduled for September 27, 2022, for approval from the company's members/shareholders.