Karachi: Bank Makramah Ltd (BML) has announced significant developments following its Board meeting on January 26, 2026. The Board approved a proposal from the Sponsor to adjust his shareholding in the bank. This proposal, initially disclosed on November 19, 2025, involves reducing the Sponsor’s shareholding from 86.1% to 75.8%. This adjustment is based on issuing shares at PKR 6.25 per share, diverging from the original issue price of PKR 2.14 outlined in the Restructuring Scheme. The proposal aims to benefit the bank and its shareholders, with the Scheme of Arrangement set to be filed with the Islamabad High Court for approval.
In a related development, the Board addressed the status of the bank’s outstanding term finance certificates (TFCs), which have been unresolved since October 2018. Due to financial and regulatory considerations, the Board has proposed converting the outstanding redemption amount into fully paid ordinary shares. The conversion involves PKR 1.50 billion as principal and PKR 1.85 billion as accrued profit, totaling PKR 3.35 billion, to be converted at a rate of PKR 6.25 per share, adjusted for a share reduction of 94.734080314649%. According to information available from the Pakistan Stock Exchange (PSX), this conversion will increase the bank’s capital significantly.
BML has been advised to disseminate this information to the TRE certificate holders of the Exchange. The proposal’s implementation and subsequent share distribution are contingent upon court approval, marking a pivotal step in BML’s financial restructuring efforts.