Karachi April 17 2022: The Right Shares offered by Pak Electronics Limited (PAEL) have been fully subscribed and the company has received an amount of Rs 5,016,629,380 till 15th April 2022, as per company filling to the exchange.
Directors and Sponsors of the company have subscribed 182,129,796 aganist an amount of 2,549,817,144 while general public has subscribed 176,200,874 against money of 2,466,812,236.
Auditor certify that the shareholders of the company have subscribed 358,330,670 Right ordinary shares at Rs 14 per share against subscription money amounting to Rs 5,016,629,380 received by the company.
The right shares were offered to the members in proportion of 72 Right Shares for every 100 ordinary shares held i.e. 72%, at a price of PKR 14/- (Pak Rupees Fourteen) per Right Share (inclusive of a premium of PKR 4/- (Pak Rupees Four) per Right Share).
The proceeds from the Right Issue will be utilized towards reducing the Company’s current borrowings and will augment the Company’s liquidity in a more optimal capital structure with reduced leverage. This will improve the attractiveness of the Company for investors, owing to lower finance costs and improvement in margins. The proceeds of the right shares will also be utilized for meeting growing working capital requirements and paying for capital expenditure. The expected increase in profit in the long run would enhance the expected returns to the valued members and can then be available for, inter alia, distribution to the members by way of dividend and / or to meet any future capital expenditures.
