Lahore: Millat Tractors Limited has announced significant resolutions following its Extra Ordinary General Meeting, held on June 5, 2026, at the company’s registered office in Lahore. The meeting resulted in the confirmation of minutes from the 62nd Annual General Meeting, the subdivision of share capital, and the authorization of a corporate guarantee aimed at supporting an e-bike project.
The minutes of the 62nd Annual General Meeting, held on October 24, 2025, were formally confirmed, marking the first item on the agenda. This procedural step ensures the continuity and documentation of the company’s decision-making process.
A notable development at the meeting was the ratification and approval of a subdivision of share capital. In accordance with Section 85 of the Companies Act, 2017, and Article 34 of the Articles of Association, each ordinary share of the company, previously valued at Rs. 10, will be subdivided into two ordinary shares of Rs. 5 each. This alteration in share structure does not affect the rights and privileges attached to the shares. Consequently, the authorized capital has been subdivided from 530 million ordinary shares of Rs. 10 each to 1.06 billion ordinary shares of Rs. 5 each. Likewise, the issued and paid-up capital, originally comprising 199,515,947 ordinary shares of Rs. 10 each, is now divided into 399,031,894 ordinary shares of Rs. 5 each.
According to information available from the Pakistan Stock Exchange (PSX), these resolutions include changes in the Memorandum and Articles of Association to reflect the new structure, ensuring compliance with corporate governance requirements.
Moreover, the meeting approved a corporate guarantee in favor of Millat Industrial Products Limited (MIPL) for the financing of an e-bike project. This involves the issuance of a corporate guarantee, letter of comfort, or other security arrangements up to an aggregate amount not exceeding Rs. 1.50 billion. The initiative aligns with Section 208 of the Companies Act, 2017, and adheres to regulatory requirements set by the Securities and Exchange Commission of Pakistan (SECP) and the State Bank of Pakistan (SBP). The security arrangements will facilitate MIPL’s e-bike project financing, with an arm’s length guarantee commission or fee being charged by MTL to MIPL.
The company’s Chief Executive Officer, Chief Financial Officer, and Company Secretary have been granted the authority to negotiate, finalize, and execute all necessary documentation related to these resolutions. These actions include requisite disclosures to PSX and SECP, ensuring transparency and regulatory compliance.
The resolutions mark a strategic move for Millat Tractors Limited, reflecting a focused effort on capital restructuring and diversification of its investment portfolio through innovative projects like the e-bike initiative.