Fauji Foundation and KAPCO Plan Joint Acquisition of Attock Cement

Fauji Foundation and Kot Addu Power Company Limited (KAPCO) have officially announced their combined intention to procure a controlling stake and joint management of Attock Cement Pakistan Limited (ACPL).

KAPCO communicated this development to the Pakistan Stock Exchange (PSX) through a formal notification on Tuesday.

The notice stated, “The Board of Directors at KAPCO has sanctioned the acquisition of shares and joint oversight of Attock Cement Pakistan Limited (ACPL) by the company and Fauji Foundation (FF) in accordance with the Securities Act, 2015, and the Listed Companies Regulations, 2017.”

The acquisition’s completion is contingent upon fulfilling the required corporate and regulatory procedures.

Integrated Equities Limited has been designated as the Manager to the Offer (MTO), and the commencement of due diligence and negotiation of acquisition terms has been approved.

According to the public announcement of intention (PAI) presented to the stock exchange, the acquiring parties intend to secure 84.06% of APCL’s shareholding, divided equally between Fauji Foundation and KAPCO (42.03% each).

This development unfolds as Pharaon Investment Group Ltd., based in Lebanon, considers a strategic divestiture of its equity in Attock Cement Pakistan Ltd. (ACPL), specifically concerning its investment in the Pakistani cement sector.

Reports indicate that this sale has garnered preliminary interest from prominent entities within the cement and energy industries, including Cherat Cement, Bestway Group, KAPCO, and Fauji Cement.

Previously, Pharaon Investment Group had informed its stakeholders about the interest expressed by potential investors in acquiring its shareholding in ACPL, along with their intention to submit formal offers.

PIGL also disclosed the appointment of Standard Chartered Bank as the financial advisor for this divestment process.

Attock Cement Pakistan Ltd was established in Pakistan on October 14, 1981, as a public limited entity. The company operates as a subsidiary of Pharaon Investment Group Limited Holding S.A.L, Lebanon.

Its primary business function involves the production and distribution of cement.