Karachi, Significant changes are underway for several key players in the Pakistan financial market, as announced in a recent scheme involving asset transfers, mergers, and the dissolution of entities under the Companies Act, 2017. This major corporate restructuring impacts Modaraba Al-Mali, LSE Proptech Limited, and LSE Capital Limited, among others.
Modaraba Al-Mali and LSE Proptech Limited are transferring assets and undertakings to LSE Capital Limited, effective as of June 30, 2023. This transfer includes all assets and undertakings of Modaraba Al-Mali to LSE Capital Limited, while LSE Proptech Limited is also transferring assets, indicating a significant realignment within these entities.
Additionally, LSE Capital Limited has issued new shares to Modaraba Al-Maliâ€
s certificate holders and LSE Proptech Limitedâ€s shareholders as part of the scheme. The total paid-up capital of LSE Capital Limited post-merger amounts to 181,153,345 shares, reflecting the new equity distribution.
On a related note, LSE Financial Services Limited has also been involved in asset transfers, receiving designated assets from both LSE Capital Limited and Modaraba Al-Mali. This partial transfer under the scheme sees LSE Financial Services Limited issuing a total of 35,677,578 new shares to its stakeholders.
The legal approval for these extensive corporate activities was granted by the Honorable Lahore High Court under case number C.O. No 78278/2023, dated April 3, 2024, with a completion deadline set within 120 days from the sanction date.
Furthermore, LSE Proptech Limitedâ€s shares and Modaraba Al-Maliâ€s certificates have been cancelled as part of the merger process. These strategic moves are aimed at streamlining operations and enhancing the overall financial structure of the involved entities.
Upon the completion of the merger and the issuance of shares, both Modaraba Al-Mali and LSE Proptech Limited will be dissolved under the order of the Lahore High Court, without the need for winding up.