Organic Meat Co completes MSMH acquisition

Utilises IPO proceeds for buying 100% shareholding

KARACHI:

The Organic Meat Company Limited, one of the leading halal meat exporters, has announced that it has acquired Mohammad Saeed Mohammad Hussain Limited (MSMH) by utilising proceeds of its initial public offering (IPO).

“We are pleased to inform our valued shareholders that The Organic Meat Company Limited has successfully completed the share transfer and 100% acquisition of Mohammad Saeed Mohammad Hussain Limited as part of its IPO utilisation of proceed commitment in the Karachi Export Processing Zone Authority,” the company said in its material information sent to the Pakistan Stock Exchange (PSX) on Tuesday.

The Organic Meat Company is a major player in Pakistan’s emerging halal meat industry with a wide exposure to the Middle Eastern countries. MSMH is a leading producer and exporter of natural sausage casings, animal offals and byproducts.

“This acquisition is a strategic move to expand our market share, diversify our product portfolio, and enhance our operational efficiency and profitability,” the company said. With the acquisition, MSMH has become a wholly owned subsidiary of The Organic Meat Company. The acquisition was approved by the Competition Commission of Pakistan on June 12, 2023.

“The 100% acquisition of MSMH was not only in line with The Organic Meat Company’s IPO commitment but also signals a favourable trajectory ahead. The company in 2020 had committed to establishing such a unit,” JS Global agriculture and meat sector analyst Waqas Ghani Kukaswadia stated.

“MSMH, a key player in the export of offals and sheep casings, operates through its agricultural production facility at the Karachi Export Processing Zone. This strategic move has the potential to create a positive outlook for The Organic Meat Company,” he added.

Published in The Express Tribune, August 16^th, 2023.

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