Kohinoor Mills Limited (PSX: KML) announced a significant corporate move aimed at enhancing shareholder value, with the Board of Directors approving a proposal for a subdivision of its ordinary shares. The company will reduce the face value of each ordinary share from Rs10 to Rs1, effectively implementing a 10-for-1 stock split.
As a result, the number of issued shares will increase from 50.91 million to 509.11 million, without changing the total paid-up capital of the company. This stock split is designed to improve market liquidity, attract more investor participation, and make the stock more accessible to a broader base of shareholders.
An Extraordinary General Meeting (EGM) is scheduled for Tuesday, September 9, 2025, at 12:30 p.m. at the company’s registered office, where shareholder approval for the stock split will be sought.
In addition to the stock split, the Board also approved the establishment of a wholly owned subsidiary in the United States, pending legal and regulatory compliance. The new subsidiary will focus on e-commerce and related technologies, enabling KML to directly distribute its textile products to international markets and leverage the growth of digital platforms.
The company also highlighted its ongoing commitment to sustainability, with the installation of a 7.2 MW solar energy system as part of its broader strategy to reduce energy costs and increase operational efficiency. The solar project is expected to be completed by the end of Q1, September 30, 2025, and will meet over 20% of the company’s energy needs through renewable sources, thereby reducing both energy costs and the company’s carbon footprint.
Additionally, KML revealed the construction of a new garment unit, set to begin production soon. With a capacity of 17,000 garments per day per shift, the facility is expected to be fully operational by September 30, 2025. Initially, it will begin operations with a capacity of 5,000 garments per day per shift. This expansion will allow KML to offer fully finished apparel, complementing its existing dyeing division and furthering its strategy of vertical integration.
