AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Lahore, In a significant corporate development, Agritech Limited (AGL) has announced the partial redemption of its cumulative, redeemable, Class A preference shares. This decision was made during the Board of Directors meeting on June 24, 2024.
According to information available from the Pakistan Stock Exchange (PSX), the Board of Directors of AGL approved the partial redemption of the preference shares to the extent of their issue price component only. This move is contingent on the approval of both ordinary shareholders and preference shareholders. Additionally, the company has committed to paying the dividends accumulated until the date of redemption.
The company plans to utilize approximately PKR 2,000,000,000 (Pak Rupees Two Billion) from its available liquidity for this redemption, reflecting AGL’s strategic use of its financial resources to manage its capital structure efficiently.
This decision follows a notice dated June 20, 2024, which outlined the agenda for the recent Board meeting, emphasizing the company’s adherence to regulatory requirements under Sections 96 and 131 of the Securities Act, 2015, and Clause 5.6.1. (viii) of the Rule Book of PSX.
AGL’s move to redeem these shares partially is a critical step in optimizing its financial strategy and providing returns to its shareholders.