Fauji Cement Company Limited (FCCL) and Kot Addu Power Company Limited (KAPCO) have announced a public offer to purchase up to 10.95 million ordinary shares roughly 7.97% of Attock Cement Pakistan Limited (ACPL).
In a notice submitted to the Pakistan Stock Exchange (PSX) on Monday, the companies stated that the offer forms part of a larger deal aimed at securing joint control of Attock Cement.
Previously, FCCL and KAPCO signed a share purchase agreement with Pharaon Investment Group Limited Holding S.A.L to acquire 84.06% of Attock Cement’s issued and paid-up capital, along with joint management control.
As per the agreement, Fauji Cement will buy 57.76 million ordinary shares equal to 42.03% of ACPL’s paid-up capital while KAPCO will acquire the same number of shares, also representing 42.03%, at an adjusted price of Rs330.41 per share.
Through the public offer, each company also plans to obtain an additional 3.98% stake at the same price of Rs330.41 per share. If the offer is fully subscribed, the combined holding of the two firms could rise to nearly 92%.
The estimated total cost of the public offer, assuming full acceptance, stands at around Rs3.62 billion.
In the official notice, the companies stated that FCCL and Attock Cement both operate in cement manufacturing and sales. The acquisition is described as strategically advantageous for Fauji Cement, as it enhances its cement portfolio and strengthens its nationwide presence.
The transaction will also enable FCCL to broaden its footprint in the sector. For KAPCO, the deal marks its entry into the cement industry and diversification into a new business segment.
According to the public announcement, Attock Cement will continue its normal operations and remain listed on the PSX following completion of the transaction.
