Engro Corporation Limited (PSX: ENGRO) has backed out of plans to restructure/reorganize its thermal energy assets under a separate wholly-owned company, the company informed the Pakistan Stock Exchange on Monday.
“Further to the disclosure dated September 27, 2023, Engro Corporation Limited (the “Company”) would like to inform its shareholders that the earlier disclosed plans for restructuring and/or reorganization of its thermal energy assets under a separate wholly-owned holding company are not being pursued any further,” the stock filing stated.
Referring to the disclosure made on October 31, 2023, the Company said that as part of its ongoing discussions between the Company and Liberty Mills Limited, along with other parties acting in concert, it is now being evaluated to execute the proposed divestment of the Company’s thermal energy asset portfolio held via Engro Energy Limited through a conventional sale of shares process.
The consummation of the proposed transaction remains subject to successful negotiations, execution of definitive agreements, receipt of corporate/regulatory approvals, and lender consent.
“In case of any further material developments, the Company shall keep the Exchange informed accordingly,” the filing added.