ISLAMABAD: Mughal Energy Limited has announced plans to issue Sukuk worth Rs 2.5 billion, following approval from its Board of Directors to amend the terms and structure of the issuance. The company disclosed this development to the Pakistan Stock Exchange (PSX) on Monday.
According to the notice, the Sukuk will be offered to the company’s existing shareholders through a rights issue, with an embedded conversion option. This allows Sukuk holders to convert their debt securities into ordinary shares of the company.
The company plans to seek approval from its members as required under section 83(1)(b) of the Companies Act, 2017, to facilitate the further issuance of share capital. This approval is also necessary under the Issuance of Convertible Debt Securities through Right Offer Regulations, 2022.
An Extraordinary General Meeting (EGM) of the company has been scheduled for January 1, 2025, to formalize the requisite approvals and move forward with the issuance.
