LAHORE: Lahore Stock Exchange (LSE) has cleared the draft prospectus of offer for sale of shares of Engro Foods Limited. The total paid-up capital of the company is Rs 7.4 billion whereas the present offer consists of 2.7 million ordinary shares i.e. 3.61% of the total paid-up capital. The offer price will be Rs 25 per share (including premium of Rs 15 per share).
The presented offer for sale of shares is being made to the general public by Engro Corporation Limited’s existing shareholders of the Company.
Engro Foods Limited was formed as a wholly owned subsidiary of Engro Corporation Limited in 2005 and started operations in 2006. In a span of 5 years, the company has become a major player in the food industry of Pakistan and attained market leadership in Ultra Temperature Industry at the end of 2010.
Now the company has successfully launched multiple new products that include ice cream, flavored milk, fruit juice and milk powders. The company has diversified by venturing out of the diary sector and stepping in the beverage industry by launching Olfrute and ice cream industry by launching Omore, Olpers, Olpers Cream, Tarang, Owsum, Olfrute, Tarka and Omore are the major products of Engro Foods Limited.
The company is also entering international markets through launch of “Al-Safa”—a halal food business in North America acquired by Engro Corporation at a total cost of $6.3 million.
Engro Corporation will also be setting up companies, based in USA and Canada to acquire and operate the business. This business will be owned by Engro Corporation but managed by Engro Foods Limited.