Cherat Cement Wants to Buy 30% Stake in Nimir Industrial Chemicals

Cherat Cement Company Limited (PSX: CHCC) has stated its intention to acquire a minimum 30 percent controlling stake in Nimir Industrial Chemicals Limited (PSX: NICL). NICL officially notified the Pakistan Stock Exchange on Thursday regarding CHCC's public announcement of intent to purchase a minimum of 33.177 million shares, under a share purchase agreement.

The proposed acquisition would be subject to respective regulatory approvals, completion of commercial negotiations, thorough due diligence, and execution of necessary agreements. The statement emphasizes that the public announcement of interest may be revoked if the mandatory regulatory approvals are not secured. CHCC, led by Chief Executive Officer Azam Faruque, reported no prior holding in NICL, and currently has no shares controlled by any affiliated parties.

NICL comprises 110.59 million issued ordinary shares, with Zafar Mahmood holding 19.72 percent, Muhammad Yahya Khan owning 11.89 percent, and Khalid Mumtaz Qazi possessing 11.53 percent. For fiscal year 2026, Nimir generated net sales of Rs. 48.291 billion and reported profit after tax of Rs. 2.393 billion. The company's assets totaled Rs.

35.996 billion, and its equity reached Rs. 11.534 billion. The transaction's final terms and public offering details are yet to be determined. CHCC operates under the Ghulam Faruque Group, producing and distributing Ordinary Portland and composite cement under the Cherat and Cherat Khyber brands. Its Nowshera plant has an annual capacity of 4.5 million tons, catering to local markets and exporting to Afghanistan.

Nimir Industrial Chemicals was established in 1994 as Ravi Alkalis Limited, listed on the Pakistan Stock Exchange in 1996, and rebranded in 1998. The company manufactures oleochemicals and chlor-alkali products, including soap noodles, stearic acid, glycerin, caustic soda, and hydrochloric acid.