Mahmood Textile Mills Limited (MTML) has announced that the Lahore High Court, Multan Bench, has approved the company’s proposed de-merger, clearing the way for its apparel unit to be carved out and transferred into a separate entity, MG Apparel Limited.
In a notice to the Pakistan Stock Exchange (PSX) on Thursday, MTML said the court has sanctioned the Scheme of Arrangement under Petition Civil Original No. 06/2025. According to the company, the order, issued on November 25, 2025, approves the restructuring plan aimed at separating its apparel unit from the Company for transfer to and vesting into MG Apparel Limited.
The court ruling follows a petition titled “Mahmood Textile Mills Ltd. & another Vs. Joint Registrar of Companies,” under which the proposed reconstruction and de-merger were reviewed.
The company stated that the certified copy of the court’s order and the approved Scheme of Arrangement have been provided to the exchange. MTML also requested that the information be circulated among market participants, noting in the filing that “You may inform the TRE Certificate Holders of the Exchange accordingly.”
The de-merger marks a significant structural shift for the textile group, which has been seeking to reorganise its operations and streamline business segments.
