Pace Pakistan raises paid-up share capital by 45% through 140.16 million-share issue

Pace (Pakistan) Limited has increased its issued and paid-up share capital by 45.2% after allotting 140.158 million ordinary shares to certain persons and an entity against non-cash consideration, according to a notice submitted to the Pakistan Stock Exchange.

Following the issuance, the company’s total paid-up share count has risen to 450.021 million from 309.863 million.

The new shares were credited to the respective accounts in the Central Depository System at the end of trading on June 12, 2026, the Central Depository Company of Pakistan Limited confirmed in a letter dated June 15.

Pace Pakistan said the shares had been issued against the conversion of long-outstanding term finance certificates, a financial liability and a property.

The 140.158 million shares were issued at Rs 9 each, representing a 10% discount to their par value of Rs 10 per share.

At the issue price, the shares represent a total consideration of approximately Rs 1.261 billion, although the transaction involved non-cash settlement rather than a cash injection into the company.

Pace Pakistan shares closed at Rs11.53 on June 12, the date on which the new securities were credited to the recipients’ CDC accounts.

The market closing price was Rs 2.53, or around 28.1%, above the Rs 9 issue price.

The company said the issuance complied with applicable corporate, legal and regulatory requirements.

The issuance was conducted other than through a rights offer under Section 83(1)(b) of the Companies Act, 2017, and Regulation 5 of the Companies (Further Issue of Shares) Regulations, 2020.

The Securities and Exchange Commission of Pakistan approved the transaction through a letter dated May 7, 2026.

The company had previously informed the exchange about the proposed issuance on May 8.

The newly issued shares will remain subject to a six-month lock-in period, during which their recipients will not be permitted to sell them.

Pace Pakistan said the restriction was imposed in compliance with the Listed Companies (Substantial Acquisition of Voting Shares and Takeovers) Regulations, 2017.

CDC separately confirmed that the new paid-up share count in its records stood at 450.021 million securities and asked the company to report any discrepancy.