Nishat Mills likely to sell 10% stake in AES Pak Gen
Company set to gain at least Rs6 per share.
KARACHI:
Nishat Mills Limited (NML) will likely sell 10 per cent of its stake in AES Pak Gen and the transaction is likely to go through in the first two months of 2011, according to JS Global Capital analyst Bilal Qamar.
NML will hold a board of directors meeting on December 20 to consider the divestment through an offer for sale and listing of AES Pak Gen, according to a notice sent to the stock exchange on Monday.
The listing price is expected to be around Rs20 to Rs30 per share, which is at least Rs6 per share higher than the purchase price of Rs13.9 per share, informed Topline Securities analyst Furqan Punjani.
NML holds 119.1 million shares or 32 per cent stake in AES Pak Gen purchased at Rs13.9 per share.
The company’s recurring dividend income will decline by Rs0.14 per share, according to Topline Securities estimates.
If this happens, the company will witness a one-time jump in profits by around Rs65 to Rs173 million depending on the selling price. NML share price jumped 1.6 per cent to close at Rs59.85 at the Karachi Stock Exchange on the first trading day of the week.
Published in The Express Tribune, December 14th, 2010.
Nishat Mills Limited (NML) will likely sell 10 per cent of its stake in AES Pak Gen and the transaction is likely to go through in the first two months of 2011, according to JS Global Capital analyst Bilal Qamar.
NML will hold a board of directors meeting on December 20 to consider the divestment through an offer for sale and listing of AES Pak Gen, according to a notice sent to the stock exchange on Monday.
The listing price is expected to be around Rs20 to Rs30 per share, which is at least Rs6 per share higher than the purchase price of Rs13.9 per share, informed Topline Securities analyst Furqan Punjani.
NML holds 119.1 million shares or 32 per cent stake in AES Pak Gen purchased at Rs13.9 per share.
The company’s recurring dividend income will decline by Rs0.14 per share, according to Topline Securities estimates.
If this happens, the company will witness a one-time jump in profits by around Rs65 to Rs173 million depending on the selling price. NML share price jumped 1.6 per cent to close at Rs59.85 at the Karachi Stock Exchange on the first trading day of the week.
Published in The Express Tribune, December 14th, 2010.