Fauji Foods Limited (FFL) has approved a loan of Rs 350 million to its wholly-owned subsidiary, Fauji Infraavest Foods Limited.
This decision was made during a Board of Directors meeting held on July 22, 2024, as disclosed in a notice pursuant to Section 96 of the Securities Act, 2015, and the Rule Book of the Pakistan Stock Exchange.
The loan is intended to support Fauji Infraavest Foods Limited in meeting its working capital requirements and certain capital expenditures.
The mark-up on the principal loan amount will be payable on the outstanding loan amount bi-annually at 6 months KIBOR plus 1%.
As Fauji Foods Limited is the holding company of its wholly owned subsidiary, it is exempt from obtaining shareholder approval for this transaction under SECP SRO 1239(I)/2017 dated December 06, 2017.
