Oilboy Energy Unveils PKR 1 Billion Rights Issue to Fund Nationwide EV Charging Network
Oilboy Energy Limited is planning a major expansion into Pakistan’s electric vehicle (EV) charging market through a proposed PKR 1 billion rights issue, according to the company’s Right Share Offer Document.
The company plans to issue 100 million new ordinary shares at PKR 10 per share, representing 200% of its existing paid-up capital. Existing shareholders will be offered 200 right shares for every 100 shares held. The rights issue was approved by the company’s Board of Directors on June 24, 2026.
Funds to support 70 fast-charging sites
The central objective of the fundraising is to establish a network of 70 DC fast-charging EV stations across major cities and highways in Pakistan.
Each proposed station will feature a dual-nozzle DC fast charger with a capacity of 120kW to 240kW, allowing two vehicles to charge simultaneously. The company estimates that a typical 40 kWh top-up could take around 15 to 20 minutes.
Oilboy says the project represents a diversification of its existing energy business, which has historically included the trading of coal, LPG, petrochemicals and related fuel products. Through EV charging, the company aims to develop a recurring, rupee-denominated revenue stream and reduce its reliance on commodity trading margins.
More than PKR 1 billion estimated project cost
The total estimated cost of establishing the 70 charging sites stands at approximately PKR 1.025 billion. Of this amount, PKR 1 billion, or 97.52%, is expected to come from the rights issue, while the remaining PKR 25.42 million will be financed through the company’s internal cash flows.
Equipment is expected to account for about PKR 524.92 million, or 51.19% of the total project cost. Civil works and installation are budgeted at PKR 444.5 million, while marketing, licensing and legal expenses are estimated at PKR 56 million.
The company expects commercial operations of the project to begin in the first quarter of 2027. However, the offer document notes that work on the project had not yet commenced at the time of preparation of the document.
Imported equipment forms a major part of the investment
The proposed network will require significant investment in imported charging infrastructure. The offer document identifies HICI Digital Power Technology Co. Ltd. of China as the expected supplier for the DC fast chargers, transformers and electrical panels, as well as the OCPP software platform and payment terminals.
The planned order date for these items is October 2026, with targeted completion in December 2026. Several other components, including civil works, cabling, signage and security systems, are to be sourced locally, with suppliers yet to be finalized.
Financial position shows improvement in the latest period
Oilboy’s financial figures show a significant improvement in its latest nine-month period compared with previous full-year results.
For 9M FY2026, the company reported net sales of approximately PKR 151.74 million, gross profit of PKR 47.62 million, and profit after tax of PKR 26 million. This compares with a loss after tax of approximately PKR 52.62 million in FY2025.
The company’s net equity stood at PKR 286.31 million as of March 31, 2026, while its break-up value per share was reported at PKR 5.73. Earnings per share for the nine-month period were PKR 0.52.
Following the proposed rights issue, paid-up capital is expected to rise from PKR 500 million to PKR 1.5 billion, while the number of shares would increase from 50 million to 150 million. The offer document also states that the company had no debt as of March 31, 2026.
Sponsor commits PKR 250 million
The offer document also highlights a commitment from director Farhan Abbas Sheikh, who has committed to subscribe to 25 million right shares worth PKR 250 million.
His stated shareholding is expected to rise from 13.62% before the issue to 21.21% after the issue, subject to the actual subscription of the rights offering.
Meanwhile, Dawood Equities Limited has underwritten PKR 750 million of the proposed issue.
EV expansion comes with significant risks
The proposed project also faces a number of risks. Oilboy identifies electricity costs, retail charging prices and station utilization as key factors that could affect profitability.
The company will also be exposed to changes in electricity tariffs, grid availability, load sanctions, transformer availability and potential load shedding. Since charging equipment is to be imported, supply-chain disruptions, shipping delays, port congestion and foreign-exchange movements could also affect the project.
Another important consideration is the pace of EV adoption in Pakistan. Lower-than-expected growth in the electric vehicle fleet, increased reliance on home charging, greater use of hybrids or competition from vehicle manufacturers and distribution companies could reduce utilization of the planned charging network.
The offer document itself cautions investors that equity investments involve risk and advises them to carefully review the rights issue document and risk factors before making investment decisions.
A strategic shift for Oilboy
Oilboy Energy’s proposed rights issue marks a notable strategic move from traditional energy and commodity trading toward electricity as a transport fuel. If successfully implemented, the planned 70-station network could give the company an early presence in Pakistan’s emerging public EV charging market.
At the same time, the success of the plan will depend on execution, timely installation of infrastructure, electricity costs, station utilization and the pace at which Pakistan’s EV market develops.
