Cherat Cement agrees to acquire majority stake in Nimir Industrial Chemicals for Rs24 billion

Cherat Cement has reached an agreement to acquire a majority stake in Nimir Industrial Chemicals Limited for more than Rs24 billion, equivalent to approximately $86.6 million. The company announced this development in a filing with the Pakistan Stock Exchange (PSX) on Monday. The acquisition is set to be finalized through two share purchase agreements signed with NICL shareholders on October 30, 2026.

The first agreement involves the purchase of 56.40 million shares, constituting a 51% interest, from NICL’s majority shareholders, while the second agreement covers the acquisition of 14.46 million shares, accounting for a 13.07% stake, from non-controlling shareholders. Cherat Cement aims to attain a 30% stake in NICL. The total transaction encompasses 64.07% of NICL’s issued share capital at an agreed price of Rs340 per share.

The completion of the deal is contingent upon obtaining necessary regulatory approvals and meeting conditions precedent outlined in the respective share purchase agreements. Cherat Cement, a publicly-traded company specializing in cement manufacturing, marketing, and sales, boasts an annual production capacity of about 4.5 million tons, primarily catering to markets in northern Pakistan.

Additionally, the company exports cement to Afghanistan, contributing to Pakistan’s regional trade and export revenues. Nimir Industrial Chemicals, on the other hand, is involved in the manufacture and marketing of chemicals and is listed on the PSX.