Karachi: In a significant turn of events, Saudi Pak Leasing Company Limited (SPLC), now rebranded as Saudi Pak Consultancy Company Limited, has announced a major shift in its business operations following a series of regulatory and financial challenges. According to information available from the Pakistan Stock Exchange (PSX), the company has navigated through considerable adversities, including the threat of a cancelled license and ongoing financial distress.

In a detailed disclosure, SPLC reported a recovery of PKR 21.22 million and a significant settlement with a corporate depositor, which is expected to substantially improve its negative equity. Despite the prevailing economic turbulence and operating under force majeure conditions, SPLC has projected optimism about posting a substantial profit for the fiscal year ended June 30, 2024.

The transformation came after a unanimous decision during an Extraordinary General Meeting (EOGM) on April 24, 2024, which led to pivotal changes in response to a Show Cause Notice from the Securities and Exchange Commission of Pakistan (SECP). The notice, which stemmed from a cancellation of the company's Non-Banking Financial Institution (NBFI) license in 2021, prompted SPLC to redefine its business model and corporate identity.

The company has shifted from its original leasing business to providing consultancy services, a strategic pivot approved during the EOGM. This decision aligns with amendments to the company's objective in its Memorandum of Association and a change of the company name to better reflect its new business focus.

SPLC has taken proactive steps by filing the necessary changes with the SECP, including adjustments to its corporate governance framework and business strategy. This includes submissions of various legal documents and compliance forms to the SECP's Company Registration Office in Karachi, marking a fresh trajectory aimed at revitalizing the company’s operations and restoring stakeholder confidence.

The company awaits further responses from SECP and remains committed to navigating through its restructuring process, aiming for a resilient comeback in the competitive landscape of Pakistan’s business sector.