The Board of Directors of Sapphire Fibres Limited (SFL) has approved a Scheme of Compromises, Arrangement and Reconstruction for the amalgamation of Reliance Cotton Spinning Mills Limited (RCSML) with and into SFL.
The listed textile manufacturer disclosed the development in its notice to the Pakistan Stock Exchange (PSX) on Friday.
“Upon the completion of merger/amalgamation through the intended scheme, RCSML will be dissolved under the order of the Honorable High Court of Sindh (SHC) at Karachi without winding up and the shares of SFL shall be issued to the registered shareholders of RCSML as per the swap ratio as certified /determined by Shinewing Hameed Chaudhri & Co, Chartered Accountants,” read the notice.
The transaction, carried out under provisions of the Companies Act, 2017, is subject to multiple approvals, including those from shareholders, creditors, regulators, and final sanction by SHC. The merger also requires completion of all related corporate, legal, and regulatory formalities before taking effect.
Sapphire Fibres Limited was incorporated in Pakistan as a public limited company in 1979. The principal activity of the company is the manufacturing and sale of yarn, fabric and garments.
Comments
Comments are closed for this article.