Service Industries Limited has announced that its subsidiary, Service Long March Tyres (Private) Limited (SLM), plans to raise capital through an Initial Public Offering (IPO) and pursue a listing on the Pakistan Stock Exchange (PSX).
Service Industries Limited informed the bourse in a notice issued on Friday.
“We are pleased to convey that Service Long March Tyres (Private) Limited (SLM), a subsidiary / associated company of Service Industries Limited, has decided to raise capital through IPO and, accordingly, to seek listing on the Pakistan Stock Exchange Limited,” read the notice.
SLM is an all-steel radial truck and bus (TBR) Tyre manufacturing company in Pakistan, established through a JV between Servis Group and Chaoyang Long March of China.
Service Industries Limited and its subsidiary, Service Global Footwear Limited, hold 32.09% and 18.91% equity stakes in SLM, respectively.
Last year in March, Service Long March (SLM) Tyres, a Chinese-Pakistani joint venture, announced its intention to invest an additional Rs30 billion (~ USD108 million) in Pakistan to expand its operations in the South Asian country.
SLM has also shown intent to invest a further Rs30 billion to launch a new project that exports specialised tyres from Pakistan to the EU and the USA.
Days ago, Ghani Dairies Limited, a part of the Ghani Group, announced plans to raise Rs2.5 billion through an IPO at the PSX, in a bid to expand its operations and strengthen its position in Pakistan’s dairy sector.
