The Board of Directors of Noon Sugar Mills Limited has approved the sale of a prime property located at 66-67 Garden Block, New Garden Town, Lahore, to Malik Adnan Hayat Noon, the company’s advisor and a related party, for a total consideration of Rs. 315 million.
The transaction was reviewed and endorsed by the company’s Audit Committee before being approved by the Board. According to the company’s statement to the Pakistan Stock Exchange (PSX), the sale complies with all applicable laws and regulatory requirements.
Related-party transactions are often subject to heightened scrutiny to ensure they are conducted at arm’s length and in the best interests of minority shareholders. The company’s assurance of oversight by the Audit Committee aims to address these concerns and demonstrate transparency.
Noon Sugar Mills, a longstanding player in Pakistan’s sugar industry, is known for its diversified business interests, including agriculture and real estate. The sale of this property could provide the company with additional liquidity, potentially aiding in its operational or strategic initiatives.
Malik Adnan Hayat Noon, a prominent figure in the Noon family, holds significant influence in the company and is expected to leverage this acquisition for future development or investment purposes.
This transaction underscores the ongoing trend of asset optimization within the sugar industry, as companies seek to unlock value from non-core assets amidst fluctuating market dynamics.
