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Engro Corpora-tion (Engro) has presented "Offer for Sale" (OFS) of 27 million ordinary shares of Engro Foods Limited (EFoods) to general public at Rs 25/share. The subscription is likely to take place from July 05-07, 2011. Engro has already offered 48 million shares through a Private Placement to a group of foreign and local investors.
"The offer price includes a premium of Rs 15/share. This transaction will generate a gain on sale of Rs 1,125 million, translating into after tax per share impact of Rs 2.24/share for Engro", Shahbaz Ashraf, an analyst at Arif Habib Limited said. The proceeds of the transaction would be utilised in undertaking capital expenditure for increasing market share in the dairy, milk, farming and ice-cream segments and investment in its subsidiary, Engro Foods Supply Chain (Pvt) Limited.

Copyright Business Recorder, 2011

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