The Board of Directors of Shifa International Hospitals Limited (SIHL) has approved the purchase of the shareholding of all the minority shareholders in its subsidiary, Shifa Medical Centre Islamabad (Private) Limited (SMCI).
According to a company’s notice sent to the Pakistan Stock Exchange (PSX) on Monday, this decision was taken during a board meeting on May 10, 2025.
The acquisition would lead to the consolidation of SMCI into a wholly owned subsidiary of SIHL. This move is expected to streamline the company’s corporate structure, improve operational efficiencies, and create new business expansion opportunities.
Apart from a simplification of the corporate structure by eliminating redundant administrative layers and inter-company relationships, the transaction and its subsequent proposed merger will further increase asset base and size of SIHL and as a result, SIHL will be in a position to effectively and efficiently benefit from economies of scale with respect to the combined business.
Further business expansion opportunities for SIHL are also expected to arise due to this proposed transaction.
The deal will now proceed with a special shareholders’ meeting to formally approve the transaction. The board of SIHL has also called an extraordinary general meeting of all its shareholders to approve the transaction.
SIHL emphasized that the acquisition would be contingent on obtaining all necessary regulatory and corporate approvals.
