Karachi – International Packaging Films Limited (IPAK) has announced a significant development involving its subsidiary, Petpak Films (Private) Limited (PPAK), as part of the company’s broader strategy to strengthen its financial structure and support future growth.
According to a material information notice submitted to the Pakistan Stock Exchange (PSX) on May 21, 2026, Petpak Films has approved a Rights Issue worth approximately PKR 2.13 billion. The issue will be carried out through the issuance of ordinary shares at par value of PKR 10 per share to existing shareholders in proportion to their current holdings.
At present, International Packaging Films Limited owns 52% of Petpak Films, while the remaining 48% is held by minority shareholders. The company stated that the primary objective of the Rights Issue is to restructure debt and optimize the capital structure of Petpak Films.
Under the proposed arrangement, existing shareholders will have the first right to subscribe to the newly issued shares based on their respective ownership percentages. However, if any portion of the issue remains unsubscribed, other subsidiaries within the IPAK Group may subscribe to those shares, subject to regulatory approvals and legal requirements.
As a result, International Packaging Films Limited’s effective group holding in Petpak Films could potentially increase from the current 52% to approximately 61.6%, depending on the final level of participation by minority shareholders and related entities.
The company emphasized that the transaction is intended to strengthen the subsidiary’s financial position while improving operational and capital efficiency. The management also confirmed that the Pakistan Stock Exchange will be informed of any further material developments related to the transaction.
The announcement reflects IPAK’s ongoing commitment to reinforcing its market position in Pakistan’s packaging and film manufacturing sector while pursuing sustainable long-term growth opportunities.
International Packaging Films Limited operates from its registered office in Karachi, with production facilities located in Raiwind District, Lahore.
