The Board of Directors of Fauji Fertilizer Company Limited (PSX: FFC) has granted approval to evaluate the potential amalgamation of Fauji Fertilizer Bin Qasim Limited (FFBL) with and into FFC through a scheme of arrangement. This strategic move aims to explore synergies that could enhance the value of the combined enterprise.
Currently, FFC holds a 49.88 percent stake in FFBL. The potential amalgamation is anticipated to bring operational efficiencies and create additional value for the stakeholders of both entities.
The principal activities of FFC encompass the manufacturing, purchasing, and marketing of fertilizers and chemicals. Additionally, the company invests in other sectors including fertilizers, chemicals, cement, energy generation, food processing, and banking operations.
At the time of the announcement, FFC’s stock was trading at Rs. 168.83, experiencing a decline of 3.75 percent or Rs. 6.58, with a turnover of 1.47 million shares on Friday.
The proposed amalgamation reflects FFC’s commitment to strengthening its market position and leveraging combined resources to drive growth and innovation in the fertilizer and chemicals industry. Further details and implications of the amalgamation will be assessed as the evaluation process progresses.
