Reliance Cotton Spinning Mills Limited (RCSML) has announced that its board of directors has approved a scheme for the company’s alliance and integration with Safir Fibers Limited (SFL).
According to regulatory requirements, the decision was disclosed to the Pakistan Stock Exchange (PSX).
According to the official notice, the integration will proceed under section 279 to 283 and the companies will proceed under Section 285 of the Act, which is subject to the approval of the shareholders, lenders, regulators, and the Sindh High Court.
Once finalized, the RCSML will be integrated into the SFL, and the shares of Neelam Fibers Limited will be released to RCSML shareholders, based on the proportion of the exchange, which will be determined by Shining Hameed Chaudhry and Chartered Accountants.
As a result of the merger, according to the court order, Reliance Cotton Spinning Mills will not be restricted. The scheme will be properly circulated to the PSX and the shareholders, in which the Sindh High Court has further instructions and applicable rules.