Karachi: JS Investments Limited, a subsidiary of JS Bank Limited, has announced plans to buy back up to 4,630,000 ordinary shares, which represents about 7.5% of its total outstanding shares, as revealed in a public announcement on PUCARS dated September 11, 2024. According to information available from the Pakistan Stock Exchange (PSX), this strategic move aims to hold the repurchased shares as treasury stocks, enhancing the company's financial metrics such as earnings per share (EPS) and break-up value.
The board meeting, held on the same date, led to a unanimous recommendation for this buy-back under the provisions of Section 88 of the Companies Act, 2017, along with the Listed Companies (Buy-Back of Shares) Regulations, 2019. The initiative will see shares purchased directly through the PSX at prevailing market prices from October 21 to December 20, 2024, or until the buy-back is completed, providing an exit opportunity for shareholders seeking liquidity.
The detailed plan includes holding an Extraordinary General Meeting on October 14, 2024, in Karachi, to seek shareholder approval for this buy-back via a special resolution. This meeting's notice will be issued through PUCARS shortly, and the company's member register will remain closed from October 7 to October 14, 2024, to finalize the list of shareholders eligible to vote on the resolution.
This financial strategy not only reflects JS Investments Limited's robust market position but also signals confidence in the company's future growth prospects and financial health.