On Wednesday, Shell Pakistan Limited (SPL) disclosed that its parent firm, Shell Petroleum firm Limited (SPCo), had informed SPL of its intention to sell a portion of its stock.
Shell Pakistan informed the Pakistan Stock Exchange (PSX) of the situation in a notice.
Shell Pakistan Notices To PSX
“We hereby inform you that the Board of Directors of Shell Pakistan Limited (SPL), in a meeting of its Board held on June 14, 2023, have been notified by The Shell Petroleum Company Limited (SPCo) of its intent to sell its shareholding in SPL,” read the notice.
The sale will be subject to a targeted sales process, the execution of legally binding documentation, and the acquisition of all necessary regulatory permissions, according to the firm.
SPL is a division of Royal Dutch Shell Plc, one of the biggest oil and petrochemical corporations in the world, which is a division of SPCL based in the United Kingdom.
In addition to selling compressed natural gas and petroleum products, SPL also blends and sells a variety of lubricating fluids.
SPL, however, asserted that the development would not have an effect on its ongoing commercial activities.
“SPL remains committed to continuing to deliver safe and reliable operations for our customers and partners,” it added.
The prolonged economic crisis in the nation had a significant impact on SPL’s financial performance for the first quarter of 2023, which was disclosed last month.
In comparison to the same period last year, the company’s earnings turned red in the first quarter of this year, going from a profit after taxes of Rs. 2 billion to a loss of Rs. 4.6 billion.
The loss resulted from the rupee’s unheard-of depreciation, as well as rising inflation and macroeconomic instability.
Just one hour after the notice was posted on the PSX website, at around 1:30 p.m., SPL’s share price was trading at roughly Rs. 89.17, up by Rs. 6.22 on a volume of over 4 million.1
To read our blog on “Shell Pakistan promotes motorcycle and rickshaw fueling safety,” click here.
