Karachi, December 13, 2012 (PPI-OT): We have read with great concern the letter dated 11 December 2012 issued by Dawood Hercules Corporation Limited (“DHCL”) to all of you, regarding the above subject, and would like to clarify our position as follows:
We are indeed surprised to read the above letter on the KSE website, considering that DHCL has still not directly communicated this decision to us (even though the letter does state that Pakarab has been notified of this decision).
We are equally surprised on account of the fact that the Memorandum of Understanding (“MOU”) between the parties was to expire only on 15 December 2012, and in terms of clauses of the MOU could only have been terminated with the mutual consent of the parties or upon execution of a binding Share Purchase Agreement, prior to the expiration date. It is thus inexplicable that DHCL has chosen to issue the letter dated 11 December 2012, which is in complete violation of the MOU.
In light of the aforesaid, and otherwise, Pakarab Fertilizers Limited (PAFL) reserves all rights to pursue appropriate action against DHCL.
For more Information, contact:
Pakarab Fertilizers Limited
E-110, Khayaban-e-Jinnah,
Lahore Cantt, Pakistan.
PABX: +92 42 111-FATIMA (111-328-462)
Fax: +92 42 36621389,
Web: www.fatima-group.com