Karachi: Crescent Star Insurance Limited convened its Extraordinary General Meeting on June 8, 2026, where shareholders approved several pivotal resolutions. The meeting, which adhered to the requirements set forth in Regulation 5.6.9 (b) of the Pakistan Stock Exchange Limited (PSX) rule book, marked a significant moment for the company as it sought to expand its capital and financial strategies.

According to the resolutions passed, the minutes from the Annual General Meeting held on April 30, 2026, were confirmed and approved. More notably, the shareholders agreed to a substantial increase in the company's authorized capital. The authorized capital will now rise from PKR 1.50 billion, comprising 150 million ordinary shares at PKR 10 each, to PKR 3.00 billion, divided into 300 million ordinary shares at the same face value. The resolution further mandates the amendment of Clause V in the Memorandum of Association to reflect this change.

Another critical resolution involved the issuance of 148,619,157 right shares, priced at PKR 5 each, following a 100% rights issue plan. These shares are to be offered at a discount to existing shareholders, based on their current holdings, ensuring compliance with Section 83 of the Companies Act, 2017. The rights issue aims to bolster the ordinary paid-up share capital of the company.

Additionally, the company sanctioned a loan to its associated entity, PICIC Insurance Limited (PIL), amounting to PKR 1.00 billion. This loan, approved under Section 199 of the Companies Act, 2017, will incur a markup rate pegged at KIBOR plus 3% per annum, reflecting the company's commitment to strategic financial support for its affiliates.

According to information available from the Pakistan Stock Exchange (PSX), these resolutions represent a strategic move by Crescent Star Insurance Limited to strengthen its capital base and expand its investment capacity. The company remains committed to complying with all applicable laws and regulatory requirements as it implements these significant changes.