February 26, 2024 (MLN): The Board of Directors (BoD) of Zahur Cotton Mill Limited (PSX: ZHCM) has approved the draft Scheme of Arrangement to formalize a pivotal agreement between the company and Itanz Technology (Private) Limited (Itanz), the company's filing on PSX showed.
This approval is subject to the finalization of the Scheme, obtaining all necessary shareholders’, secured creditors’, regulatory approvals and the sanction of the Scheme by the Honourable Lahore High Court, Lahore along with the fulfilment of related legal formalities.
Under the said scheme, ZHCM is to acquire the whole undertaking of Itanz by way of share issuance. In consideration, ZHCM shall issue and allot 97.9615 million to the new shares to the shareholders of Itanz, upon the implementation of the scheme.
It is important to note that the issuance of new shares of ZHCM will take place after the increase of Authorized Capital by 100mn shares. After the implementation of the Scheme, the total Paid-up Capital of ZHCM will become 107.8215mn.
The principle line of business of the ZHCM is to be changed/altered to include Information Technology related services as more depicted the in Scheme of Arrangement.
In addition, the name of ZHCM will be changed from Zahur Cotton Mills Limited to Itanz Technologies Limited, subject to the finalization and approval of the Scheme.
