KAPCO Authorized to Acquire 46% Stake in Attock Cement for $74.62 Million

KAPCO Authorized to Acquire 46% Stake in Attock Cement for $74.62 Million

Kot Addu Power Company Limited (PSX: KAPCO) has been authorized to invest up to $74.62 million (in equivalent Rupees) for the acquisition of up to 63,238,327 ordinary shares of Attock Cement Pakistan Limited. This represents a stake of up to 46% of the cement company’s issued and paid-up share capital.

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The authorization was passed through a resolution at the company’s 14th Extraordinary General Meeting (EOGM) held on March 16, 2026. The move marks a significant strategic diversification for KAPCO, moving beyond its core power generation business into the cement sector.

Transaction Details

AspectDetail
AcquirerKot Addu Power Company Limited (KAPCO)
TargetAttock Cement Pakistan Limited
Stake AcquiredUp to 46%
SharesUp to 63,238,327 ordinary shares
Investment ValueUp to $74.62 million (equivalent Rupees)
Authorization14th EOGM, March 16, 2026

Implementation Authority

The resolution further empowers any two of the following officers, acting jointly, to execute all acts, agreements, and documents necessary to implement the transaction:

  • Chief Executive
  • General Manager Finance / CFO
  • Company Secretary

This includes making requisite regulatory filings to complete the acquisition process.

Strategic Rationale

The acquisition represents a major diversification move for KAPCO, which has historically been focused on power generation as one of Pakistan’s largest independent power producers. By acquiring a significant stake in Attock Cement, KAPCO gains exposure to:

  • Cement Sector: Pakistan’s construction and infrastructure industry
  • Portfolio Diversification: Reducing reliance on the power sector alone
  • New Revenue Streams: Potential dividends and capital appreciation from cement operations
  • Synergistic Opportunities: Possible operational or financial synergies between portfolio companies

About Kot Addu Power Company (KAPCO)

Kot Addu Power Company Limited (PSX: KAPCO) is one of Pakistan’s largest and most efficient independent power producers, operating a combined cycle power plant in Kot Addu. The company has a strong track record of operational performance and financial stability.

About Attock Cement Pakistan Limited

Attock Cement Pakistan Limited is a leading cement manufacturer in Pakistan, with production facilities serving both domestic and export markets. The company is part of the larger Attock Group, which has diversified interests across cement, petroleum, and other sectors.