KARACHI: Habib Rice Products Limited (HRPL) has announced that its Board of Directors has approved obtaining an unsecured, interest-free loan of US$500,000 from the company’s sponsor shareholder, Mr. Gaffar A. Habib, to strengthen its liquidity position and support ongoing working capital requirements.
According to the company’s disclosure to the Pakistan Stock Exchange (PSX), the board approved the financing during its meeting held on July 14, 2026. The loan amount, equivalent to US$500,000 in Pakistani Rupees based on the prevailing exchange rate at the time of disbursement, is intended to provide additional financial flexibility for the company’s operations.
The company stated that the financing facility will be interest-free, reducing the cost of borrowing while helping meet short-term funding needs. The loan will be repayable upon the lender’s request, subject to mutual agreement between both parties and the company’s assessment of sufficient cash flow availability at the time of repayment.
HRPL further noted that the repayment will be made in Pakistani Rupees, with the amount calculated according to the prevailing US dollar-to-Pakistani Rupee exchange rate on the actual repayment date.
The company believes the sponsor-backed financing will reinforce its liquidity position, enabling it to effectively manage working capital requirements while supporting ongoing business operations. The disclosure was made in compliance with the Securities Act, 2015, and the Pakistan Stock Exchange’s disclosure regulations.
