Waves Home Appliances' rights issue to fund AC expansion, cut debt

Waves Home Appliances Limited plans to raise Rs1.5 billion through a rights issue of 150,015,772 new shares, according to Mettis Link News. Each share carries a par value of Rs10, and the offer equals 56 per cent of existing paid-up capital. Book closure is set for August 27, 2026, and the board approved the issue at a meeting on July 23, 2026.

The proceeds are split between two uses. Up to Rs800.16 million will fund working capital for the expansion in the air conditioner business, along with continued investment in deep freezers and refrigerators. The remaining up to Rs700 million will partly repay a loan owed to Waves Corporation Limited, the holding company that holds a 34.34 per cent stake.

Next Capital Limited has underwritten Rs985 million of the issue. Directors and major shareholders, including Waves Corporation, have agreed to take up their entitlements, which the company says ensures full subscription. Key dates: unpaid rights trade on the PSX from August 31, 2026, payment closes September 21, 2026, and allotment is expected by October 5, 2026.