Karachi: In a significant move, the shareholders of Bestway Cement Limited have approved two major resolutions during an extraordinary general meeting held on October 13, 2025. The resolutions authorize substantial financial commitments towards its wholly owned subsidiary, Bestway Automotive (Private) Limited.

The first resolution involves an equity investment of up to PKR 4 billion through the subscription of 400,000,000 ordinary shares valued at Rs. 10 each. This investment is aimed at strengthening Bestway Automotive, enabling it to expand its operations and potentially venture into new markets. The resolution is valid for a period of five years, granting the Board of Directors the authority to execute the investment as deemed appropriate.

According to information available from the Pakistan Stock Exchange (PSX), the second resolution entails the extension of a long-term loan of up to PKR 6 billion to Bestway Automotive. The loan is structured for a five-year term, with repayment scheduled in four equal semi-annual installments beginning 42 months after the first disbursement. The loan will facilitate investments in the automobile sector and support the subsidiary’s capital and working capital requirements.

The loan agreement stipulates a mark-up rate based on the 3 Months Karachi Inter Bank Offered Rate (KIBOR), with an additional 50 basis points, adjustable quarterly. In the event of a default, the mark-up will increase to KIBOR plus 75 basis points post-due date until repayment is complete.

The resolutions empower the company's top executives, including the Chief Executive Officer, Managing Director, Chief Financial Officer, and Director Projects, to manage the execution and disbursement of the loan. The decisions underscore Bestway Cement Limited's strategic focus on enhancing its subsidiary’s growth prospects in the automobile sector, reflecting a commitment to optimizing shareholder value through diversified investments.