Supernet Technologies announces Rs914.8 million rights issue to fund working capital, acquisition

Supernet Technologies Limited has approved an 85% rights issue worth Rs914.77 million to strengthen working capital and partly fund the amount payable to Telecard Limited for the acquisition of a 51% stake in Supernet Limited, according to a notice sent to the PSX on Wednesday.

The company’s board approved the issuance of 91,476,554 ordinary shares at Rs10 each during a meeting held on July 15, 2026.

Existing shareholders will be offered approximately 85 rights shares for every 100 ordinary shares held before the closure of the company’s share transfer books.

The issue will increase Supernet Technologies’ paid-up share capital from Rs1.076 billion to Rs1.991 billion.

Of the total proceeds, Rs464.77 million, or 50.81%, will be used to meet working capital requirements for existing and planned business initiatives.

The remaining Rs450 million, or 49.19%, will be used to partly pay Telecard Limited under the Share Purchase Agreement dated February 15, 2024, as amended, relating to Supernet Technologies’ acquisition of 51% of Supernet Limited.

The company said the additional working capital would support operational performance, liquidity and business expansion.

Telecard, a director and substantial shareholder of Supernet Technologies, has committed to subscribe to its rights entitlement. The balance of the issue will be underwritten under applicable laws.

The rights shares will rank equally with the company’s existing ordinary shares.

Supernet Technologies said the issue price was substantially below the prevailing market price and therefore did not present a major investment risk linked to pricing. It added that general business risks would continue to apply.

There will be no minimum subscription requirement, according to the board-approved terms.

The company will separately announce the share transfer book closure dates, payment schedule and offer period after finalising the letter of offer in line with the Companies (Further Issue of Shares) Regulations, 2020.

Fractional entitlements will be consolidated in the name of the company secretary as trustee. Any unpaid rights will be sold through the Pakistan Stock Exchange, with the net proceeds distributed among entitled shareholders in proportion to their fractional holdings.

Any unsubscribed shares may be allotted to sponsors, substantial shareholders, directors, underwriters or other eligible investors under the applicable rules.