{"id":213,"date":"2026-06-02T20:38:00","date_gmt":"2026-06-02T20:38:00","guid":{"rendered":"https:\/\/finance.brands.pk\/?p=213"},"modified":"2026-06-03T20:39:34","modified_gmt":"2026-06-03T20:39:34","slug":"dandot-cement-proposes-loan-to-equity-conversion-worth-over-rs-2-47-billion-to-strengthen-balance-sheet","status":"publish","type":"post","link":"https:\/\/finance.brands.pk\/?p=213","title":{"rendered":"Dandot Cement Proposes Loan-to-Equity Conversion Worth Over Rs. 2.47 Billion to Strengthen Balance Sheet"},"content":{"rendered":"<p>Dandot Cement Company Limited has announced a significant corporate restructuring initiative aimed at improving its financial position through the conversion of related-party loans into equity shares.<\/p>\n<p>According to a material information disclosure submitted to the Pakistan Stock Exchange (PSX), the company&#8217;s Board of Directors approved multiple resolutions for the conversion of outstanding loans received from associated entities into ordinary shares under Section 83 of the Companies Act, 2017.<\/p>\n<p>Under the approved resolutions, loans from three related parties will be converted into equity:<\/p>\n<ul data-spread=\"false\">\n<li>Digital World Pakistan (Pvt.) Limited: Loan amount of Rs. 735 million to be converted into up to 37 million ordinary shares at the prevailing market price prior to the shareholders&#8217; book closure date, plus a premium of Rs. 2 per share.<\/li>\n<li>Tetra Engineering (Private) Limited: Loan amount of Rs. 210 million to be converted into up to 8.4 million ordinary shares at Rs. 25 per share, comprising a par value of Rs. 10 and a premium of Rs. 15 per share.<\/li>\n<li>Calicom Industries (Private) Limited: Loan amount of approximately Rs. 1.529 billion to be converted into up to 76 million ordinary shares at the market price prior to the book closure date, plus a premium of Rs. 2 per share.<\/li>\n<\/ul>\n<p>The proposed transactions represent a total loan conversion exceeding Rs. 2.47 billion, reflecting the company&#8217;s efforts to reduce liabilities and enhance its capital structure through equity financing.<\/p>\n<p>To obtain the required shareholder approval, Dandot Cement has scheduled an Extraordinary General Meeting (EOGM) for June 24, 2026, at its registered office in Lahore. Shareholders will be asked to approve the issuance of shares other than right shares in favor of the related parties involved in the loan conversion arrangement.<\/p>\n<p>The company stated that, subject to shareholder and regulatory approvals, the management will proceed with all necessary legal and regulatory formalities, including applications to the Securities and Exchange Commission of Pakistan (SECP).<\/p>\n<p>Market participants are expected to closely monitor the outcome of the EOGM, as the proposed transaction could significantly impact the company&#8217;s capital structure, shareholding pattern, and future financial stability.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Dandot Cement Company Limited has announced a significant corporate restructuring initiative aimed at improving its financial position through the conversion of related-party loans into equity shares. According to a material information disclosure submitted to the Pakistan Stock Exchange (PSX), the company&#8217;s Board of Directors approved multiple resolutions for the conversion of outstanding loans received from [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[107],"tags":[49],"class_list":["post-213","post","type-post","status-publish","format-standard","hentry","category-dandot-cement-company-limited-dncc-psx","tag-material-information","et-doesnt-have-format-content","et_post_format-et-post-format-standard"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/213","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=213"}],"version-history":[{"count":1,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/213\/revisions"}],"predecessor-version":[{"id":214,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=\/wp\/v2\/posts\/213\/revisions\/214"}],"wp:attachment":[{"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=213"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=213"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/finance.brands.pk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=213"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}