BAPL proceeds with rights issue to fund ASSML project

Bawany Air Products Limited has decided to go ahead with a rights issue worth Rs5.99 billion, according to Mettis Global. The board of the PSX-listed company reached that decision at a meeting on September 2, 2026, and informed the Pakistan Stock Exchange. The proceeds will fund working capital and the completion of the sugar plant being built by its subsidiary, Alman Seyyam Sugar Mills Limited (ASSML).

The offer comprises 599,999,732 ordinary shares, each with a face value of Rs10 and priced at par, made available to existing holders at roughly 98.765 new shares for every 100 held. The original approval was granted on August 26, 2024, and the terms were later amended to follow SECP directions dated June 26, 2025. Apart from the entitlement percentage and shareholding structure, the board said the earlier conditions remain unchanged.

The ASSML facility, a sugar plant with 10,000 MT/day crushing capacity, is still being built in Dera Ismail Khan, with equipment coming from five countries: Pakistan, Britain, Germany, Japan and China. Substantial shareholders and directors have committed to taking up their own entitlements, with any shares left over covered by underwriting. The board argued that because the issue price is below the prevailing market price, the offering carries no major investment risk.