The Board of Directors of Gatron (Industries) Limited (PSX: GATI) has resolved to enter into a Scheme of Arrangement with two of its major shareholders: Nova Frontiers Limited (NFL) and Ghani & Tayub (Private) Limited (G&T). This strategic move aims to simplify and reorganize the complex cross-holdings and shareholding structure of the companies involved.
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The Scheme is subject to the approval of the High Court of Balochistan at Quetta and the respective shareholders.
Key Elements of the Proposed Scheme:
- Involving NFL: NFL will cancel shares held by certain categories of its shareholders, resulting in a reduction of its own share capital. In return, Gatron’s current 29.33% shareholding owned by NFL will be cancelled up to a determined valuation ratio. New shares of Gatron will then be issued directly to the outgoing shareholders (or beneficial owners) of NFL, based on a swap ratio to be determined by a professional valuer.
- Involving G&T: Gatron will cancel the 2.98% shareholding (3,240,774 shares) currently held by G&T. New Gatron shares will be issued directly to the shareholders of G&T.
This restructuring is designed to streamline the ownership chain by replacing indirect holdings through intermediate companies (NFL and G&T) with direct shareholding in Gatron. The ultimate beneficiaries remain the same, but the corporate structure becomes more transparent and efficient.
