Karachi: Crescent Star Insurance Limited has released its Revised Final Right Offer Document for shareholders, incorporating feedback from both the Pakistan Stock Exchange and the Securities and Exchange Commission of Pakistan (SECP). The document, dated January 20, 2026, details the company’s upcoming rights issue and aims to provide comprehensive information to shareholders and the general public.

According to the document, Crescent Star Insurance plans to issue 40,924,116 new ordinary shares at a price of PKR 3 per share, reflecting a discount of PKR 7 to par. This issuance represents 38% of the existing paid-up capital, amounting to an aggregate issue size of PKR 122.77 million. The offer document remains valid until April 14, 2026.

The financial effects of the rights issue include a 30% increase in authorized share capital, rising from 115 million to 150 million shares, and a 38% increase in paid-up capital, from 107,695,041 to 148,619,157 shares. The net assets breakup value per share is expected to decrease from PKR 11.94 to PKR 11.40, marking a moderate move. Additionally, the gearing ratio will reduce from 19% to 14%, indicating an improvement in the company’s financial leverage.

The rights entitlement letter is tradable on the PSX, and investors are reminded of the risks and rewards associated with such investments, which are solely their responsibility. According to information available from the Pakistan Stock Exchange (PSX), this rights issue aligns with the regulatory requirements and provisions set forth by the exchange.

The total expenses related to the issue include various fees and commissions, such as a 1% underwriting commission, a 0.5% bankers commission, and a PSX fee capped at PKR 850,000. Additionally, the SECP supervisory fee is set at 10% of the fees paid to the PSX, and stamp duty for additional shares will be applied at specified rates. Other expenses, including auditor fees and printing costs, are estimated to reach up to PKR 3.25 million.

Crescent Star Insurance’s rights issue initiative reflects the company’s strategic effort to bolster its financial foundation, while ensuring compliance with regulatory standards and maintaining transparency with its shareholders.