Fauji Fertilizer Bin Qasim Limited (FFBL) and Fauji Foundation, in a public announcement on Friday, expressed their intention for a joint acquisition of 51% shares in Noon Pakistan Limited.
FFBL and Fauji Foundation intend to acquire approximately 5,998,212 voting shares of Rs10 each constituting 51% of the issued, subscribed and full paid-up voting shares of Noon Pakistan Limited – the maker of Nurpur butter and milk products, according to a notification sent to the Karachi Stock Exchange.
The notice further stated that FFBL and the Fauji Group would acquire 38.25% (4.5 million) and 12.75% (1.5 million) voting shares respectively in the Lahore-based dairy and food company.
The announcement comes after the December 2014 statement in which the producer of di-ammonium phosphate (FFBL) said the company would enter meat, dairy and power businesses with an estimated investment of over Rs33 billion.
Late last year, FFBL had announced it was considering acquiring up to 24.9% shares in Noon Pakistan Limited, which also makes UHT flavoured milk, pasteurised milk, juices and cheese.
Noon Pakistan has been reporting a net loss for the past two years. The company reported a loss of Rs142 million or Rs10.19 per share for financial year ended June 30, 2014 compared to a loss of Rs128 million or Rs9.18 per share in the previous year. Its share traded at Rs75.6 at the close of business on March 26.
Published in The Express Tribune, March 28th, 2015.
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