The Board of Directors of Service Industries Limited (SIL) has approved a proposal to subdivide the company’s ordinary shares, reducing the face value from Rs. 10 per share to Rs. 1 per share. The move, subject to shareholder approval, will effectively result in a 10-for-1 stock split, with shareholders receiving ten ordinary shares for every one existing share held.
The decision was taken during the board meeting held on June 29, 2026, in accordance with Section 85(1)(c) of the Companies Act, 2017. Alongside the proposed share subdivision, the board also approved amendments to the company’s Memorandum of Association and Articles of Association to reflect the revised share structure.
To seek shareholder approval, the company has convened an Extraordinary General Meeting (EOGM), which will be held on August 4, 2026, at Shalimar Tower Hotel, adjacent to Servis House, 2-Main Gulberg, Lahore. During the meeting, shareholders will vote on both the proposed stock split and the related amendments to the company’s constitutional documents.
Service Industries also announced that its share transfer books will remain closed from July 29, 2026, to August 4, 2026 (both days inclusive). Share transfers received by the company’s registrar, Corplink (Private) Limited, by the close of business on July 28, 2026, will be eligible for participation and voting at the EOGM.
A stock split does not alter the overall value of shareholders’ investments or the company’s market capitalization. However, by increasing the number of outstanding shares while lowering the per-share price, such actions are often intended to improve liquidity and make shares more accessible to a broader range of investors.
The company stated that a formal notice of the EOGM will be issued in due course, while the disclosure has been submitted to the Pakistan Stock Exchange in compliance with applicable regulatory requirements.
