Karachi: In a significant development for the financial landscape of Pace (Pakistan) Limited, the Board of Directors has approved crucial resolutions aimed at restructuring the company’s financial liabilities and enhancing its capital base. The resolutions, approved by circulation on August 28, 2025, were disclosed in a material information notice on August 29, 2025.
The Board has authorized the company’s Chief Executive Officer or one of its Directors to finalize negotiations with Term Finance Certificate (TFC) holders. This negotiation seeks to convert the outstanding liability of Rs 1.08 billion, encompassing both principal and mark-up, into 120.27 million ordinary shares of the company. The shares will be issued at a par value of Rs. 10 each, priced at Rs. 9 per share, representing a Big move subject to the necessary corporate and regulatory approvals.
Additionally, there is a substantial increase in the authorized capital of the company. The capital will rise from Rs. 6.00 billion, divided into 600 million ordinary shares, to Rs. 18.00 billion, segmented into 1.80 billion ordinary shares. This move necessitates amendments to the company’s Memorandum of Association and Articles of Association.
According to information available from the Pakistan Stock Exchange (PSX), these steps are part of the company’s broader strategy to fortify its financial standing and operational flexibility. The Board has also empowered the CEO, any Director, and/or the Company Secretary to fulfill all necessary corporate and legal formalities. This includes obtaining shareholder approvals in an extraordinary general meeting and deciding on the closure of the Members’ register.
Pace (Pakistan) Limited’s strategic decisions underline its commitment to addressing financial obligations and positioning itself for future growth. The developments are being closely monitored by stakeholders in the designated market category, as the company’s actions reflect a Very large or significant move in its corporate governance and operational strategies.