Lahore: Nishat Chunian Power Limited has announced a strategic proposal to invest in NexGen Auto (Private) Limited, an associated company. The decision was made during a board meeting held on July 21, 2025, in Lahore. The proposed investment will be pursued under Section 199 of the Companies Act, 2017, which is aligned with the Companies (Investment in Associated Companies or Associated Undertakings) Regulations, 2017.

The board has recommended an investment of up to 2.00 billion PKR through the acquisition or subscription of 200 million ordinary shares, each priced at 10 PKR in NexGen Auto (Private) Limited. Additionally, the board has approved a working capital loan or advance of up to 500 million PKR for a one-year term, commencing upon shareholder approval. The return on any outstanding loan amount will be the 3 Months Karachi Inter Bank Offered Rate (KIBOR) plus 100 basis points, ensuring it is not less than the company's average borrowing cost or the relevant period's KIBOR, whichever is higher.

According to information available from the Pakistan Stock Exchange (PSX), this planned investment is subject to shareholder approval, which will be sought during the Extraordinary General Meeting (EOGM) scheduled for August 13, 2025, in Lahore. The event will provide a platform for shareholders to deliberate and vote on the proposed financial commitments.

In preparation for the EOGM, the company has announced the closure of its ordinary shares transfer books from August 6 to August 13, 2025. Shareholders are advised that physical transfers and CDS Transaction IDs must be submitted by August 5, 2025, at the company's Share Registrar in Lahore to be eligible for participation and voting at the meeting.

This significant move by Nishat Chunian Power Limited is a reflection of its strategic vision for future growth and collaboration within the automotive sector, as it seeks to enhance its investment portfolio through associated ventures.