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Karachi, Thatta Cement Company Limited has successfully completed its share purchase/buy-back program, as detailed in the final report to be submitted to the Securities and Exchange Commission of Pakistan and the Pakistan Stock Exchange Limited by the authorized officer.
The buy-back process, conforming to the Regulation 4(5) and Schedule IV of the Listed Companies (Buy-Back of Shares) Regulations, 2019, involved several key steps. The decision for the buy-back was made during the Board of Directors meeting on September 26, 2023. Following this, a general meeting on October 26, 2023, saw the passing of special resolutions regarding the purchase. The public announcement of the buy-back was first made on October 28, 2023, with the purchase period running from November 4, 2023, to January 8, 2024.
The purchase price was based on the spot/current share price prevailing during the purchase period. A total of 15,000,000 (Fifteen Million) shares were acquired through the automated trading system of the Pakistan Stock Exchange Limited. The criteria for acceptance of shares were also through this automated system. The final announcement regarding the buy-back was published on January 10, 2024.
In terms of the financials, the total price for the 15,000,000 shares amounted to PKR 277,076,128. This significant investment reflects Thatta Cement Company Limited’s confidence in its value and future growth. Notably, none of the purchased shares were cancelled, resulting in all 15,000,000 shares being classified as treasury shares.
The report also included a detailed date-wise and price-wise breakdown of the share purchases, indicating an average price of PKR 18.47 per share. The highest volume of shares purchased in a single day was on January 2, 2024, with 3,670,000 shares at an average price of PKR 20.62.
This strategic move by Thatta Cement Company Limited demonstrates a strong commitment to enhancing shareholder value and confidence in its long-term financial health.