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  • Nov 11th, 2005
  • Comments Off on PC and Bestway sign SPA for Mustehkam Cement
Privatisation Commission (PC) Secretary Tehsin Iqbal Khan and Bestway Cement Ltd Group Chief Executive Zamir A. Choudrey signed a share purchase agreement (SPA) for sale of Mustehkam Cement Limited (MCL) here on Thursday.

The commission received Rs 3.204 billion bid amount from Bestway Cement Ltd for 85.29 percent shares (10,507,934 shares) of MCL at Rs 305 per share.

The bidding was held and participated by the parties in September this year after depositing the earnest money of Rs 75 million each.

After the final bidding, Bestway Cement gave the highest offer of Rs 305 per share (Rs 3. 204 billion in total).

MCL is a public limited company listed on the stock exchange. The original unit commenced its production in 1966, while the new unit started commercial production in 1981.

The company produced Portland cement. The plant is located at Hattar, Haripur and has a rated capacity of 630,000 tonnes per annum. The unit holds approximately 444 acres of land, while the factory area is approximately 146.3 acres. It was closed down in 1999 and the employees were paid off GHS/VSS. The Government of Pakistan would assume State Cement Corporation of Pakistan (SCCP) loans of Rs 1,239.534 million as on June 30, 2005.

Copyright Business Recorder, 2005


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