MetaTech Trading merges into Big Bird Foods

July 23, 2024 (MLN): Following the Honorable Lahore High Court's sanction order for the merger dated June 26, 2024, MetaTech Trading Limited (PSX: META) has been merged into Big Bird Foods Limited (BBFL).

The merger was completed after BBFL allotted ordinary shares to the members of META, as disclosed in a notice issued by META to the PSX today.

Additionally, to facilitate the listing of BBFL on the PSX, the Board of Directors of BBFL has approved a share price of Rs51.28, as evaluated by Abdul Khalid & Co., Chartered Accountants, according to the Auditor’s Certificate.

The scheme to effect merger/amalgamation of META with and into BBFL was reached for the following reasons:

META has a weak financial position having limited capacity to raise funds. However, BBFL has a strong financial position and shareholders of META can participate in profitability of BBFL (with healthy EBITDA i.e. Earnings Before Interest, Taxes, Depreciation and Authorization) soon after merger.

Moreover, technical, financial, sales & marketing expertise of BBFL will be an added advantage for the operations of META,

Thus, it is expected to have positive synergies with this merger for the shareholders of both of the merging entities.

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