Karachi: Globe Textile Mills Limited is embroiled in a legal battle following a civil suit filed by its shareholders, according to recent disclosures. The suit, lodged in the court of the VIII-Senior Civil Judge Karachi South, seeks the cancellation of a Share Purchase Agreement executed on July 27, 2018, between the shareholders and OBS Pakistan (Private) Limited.

The plaintiffs, identified as Mr. Arshad Arif, Mrs. Farzana Arif, Ms. Maheen Arif, Mrs. Humaira Arshad, Mrs. Misbah Taha Kanchwala, and Mrs. Saman Fahim Memon, collectively hold 13,417,306 ordinary shares. This figure represents 81.98% of the total issued and paid-up share capital of Globe Textile Mills Limited. The shareholders allege that OBS Pakistan (Private) Limited failed to fulfill its obligations as per the agreement's stipulations, prompting the legal action.

According to information available from the Pakistan Stock Exchange (PSX), the dispute centers on the execution and fulfillment of the terms outlined in the agreement. The shareholders are seeking not only the cancellation of the agreement but also the recovery of shares and other amounts they believe are owed due to the alleged breach by OBS Pakistan (Private) Limited.

The case highlights ongoing issues within the designated market category of the Pakistan Stock Exchange, as stakeholders await further legal developments. The outcome of this case could have significant implications for corporate governance and shareholder rights within the industry. The proceedings continue as the court reviews the merits of the claims presented by the shareholders.