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Major Corporate Reorganizations Announced on Pakistan Stock Exchange: Complete Details of LSE Group Changes

Lahore, In a significant restructuring, LSE Capital Limited and LSE Financial Services Limited have announced a comprehensive merger and dissolution scheme affecting several companies, as disclosed in recent financial filings to the Pakistan Stock Exchange (PSE). The scheme, sanctioned by the Honorable Lahore High Court on April 3, 2024, involves the dissolution of LSE Proptech Limited and Modaraba Al-Mali, with their assets and operations merging into LSE Capital Limited and LSE Financial Services Limited.

LSE Capital Limited has absorbed all assets and undertakings from Modaraba Al-Mali and LSE Proptech Limited, now positioned as the transferee in this arrangement. This part of the restructuring has been finalized as a complete transfer, consolidating significant corporate assets under the LSE Capital umbrella.

On the other side, LSE Capital Limited has partially transferred designated assets to LSE Financial Services Limited, also involving Modaraba Al-Mali as a transferor. This partial transfer aims to streamline operations and asset management between the involved entities.

In terms of share distribution and adjustments, LSE Capital Limited has issued 181,153,345 shares, divided among the certificate holders and shareholders of Modaraba Al-Mali and LSE Proptech Limited according to predetermined swap ratios. Simultaneously, 90,090,731 shares of LSE Proptech Limited and 90,816,915 Modaraba certificates of Modaraba Al-Mali have been canceled due to the merger.

Additionally, LSE Financial Services Limited has expanded its share capital by issuing new shares to stakeholders of LSE Capital Limited and Modaraba Al-Mali. The total new shares issued amount to 35,677,578. This change aligns with the company’s updated strategy and structure post-merger.

Both companies have declared their authorized capital post-reorganization, with LSE Capital Limited set at 200 million shares and LSE Financial Services Limited at 119 million shares, each share having a par value of Rs. 10. The free float of shares has been adjusted accordingly, reflecting the new distribution post-merger and asset reassignment.

The completion of this corporate reorganization is set within 120 days of the sanction date, as per the terms approved by the Lahore High Court. The involved companies anticipate that these changes will streamline operations and enhance corporate governance structures.