The Board of Directors at Fauji Cement Company Limited has approved of the amalgamation of Askari Cement Ltd. through a scheme of arrangement with and into its operation.
The merger of the two companies is taking place on a share swap ratio of 5:1. Accordingly, 5 shares of Fauji Cement Company Limited for every 1 share held in Askari Cement Limited.
According to the notification issued to PSX, the entire undertaking of Askari Cement with all its properties, assets, rights, trademarks, patents, liabilities, and obligations will be transferred to and vest in Fauji Cement Ltd.
Askari Cement will be dissolved in Fauji Cement without winding up its operations.
The scheme will be processed in accordance with sections 279 to 282 and 285 of the Companies Act, 2017 for the sanction and appropriate facilitating orders of the Lahore High Court, Rawalpindi Bench.
Further announcements in this regard will be made in due course of time, including the convening of an extraordinary general meeting to seek shareholders’ approval of the scheme.
Fauji Cement Ltd. and Askari Cement Ltd are the leading manufacturers of the cement industry. The merger of these two companies will strengthen the synergy of both entities, including operations and businesses.
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