ISLAMABAD: Shaffi Chemical Industries Limited (SHCI) has announced a major shift in its business strategy, moving from chemical production to furniture manufacturing. The company disclosed this strategic change in a notice to the Pakistan Stock Exchange (PSX) on Friday.
According to the notice, the company’s Board of Directors (BoD) reviewed and approved a new growth strategy that includes the revival of operations through the production of furniture products at its factory premises.
“As part of our future strategy, we are now focused on manufacturing furniture products. The Board of Directors has decided to shift our primary business to furniture manufacturing,” the company said in the statement.
In line with this change, SHCI plans to amend its Memorandum of Association (MoA) to reflect the new business direction, as required by the Companies Act, 2017. The company will officially designate furniture manufacturing as its principal line of business.
Additionally, the BoD has proposed changing the company’s name from “Shaffi Chemical Industries Limited” to “Shaffi Industrial Enterprises Limited,” a move that is subject to approval from the Securities and Exchange Commission of Pakistan (SECP).
To support its new business focus, SHCI has also decided to increase its authorized capital from Rs120 million to Rs400 million. This capital increase will facilitate a forthcoming rights issue for fundraising and equity expansion.
Previously, SHCI’s main activities included the production of Di-OctylOrtho Phthalates (DOP) chemicals, with its current products including Lith and Diltex binders. However, with this strategic pivot, the company aims to tap into the growing furniture manufacturing market in Pakistan.
