⚡ Flash Summary

LSE Capital Limited held its Annual General Meeting on November 27, 2025, where shareholders unanimously passed several resolutions. Key actions included confirming the minutes of the previous AGM, adopting the audited financial statements for the year ended June 30, 2025, and appointing Ilyas Saeed & Co. as external auditors for the year ending June 30, 2026. A significant resolution involved a stock split, reducing the par value of shares from Rs. 10.00 to Rs. 5.00, and amending the Memorandum and Articles of Association accordingly to reflect the increased number of ordinary shares.

📌 Key Takeaways

• ✅ Minutes of the previous AGM held on November 27, 2024, were confirmed.
• 📈 Annual Audited Financial Statements for the year ended June 30, 2025, were adopted.
• 👨‍💼 Ilyas Saeed & Co. appointed as external auditors for the year ending June 30, 2026, at the same remuneration as previous auditors.
• ✂️ Stock split approved, reducing par value from Rs. 10.00 to Rs. 5.00 per share.
• 📊 Authorized capital remains at Rs. 2,500,000,000/-.
• 🔄 Ordinary shares increased from 200,000,000 to 400,000,000 after the stock split.
• 💎 Preference shares remain at 100,000,000.
• 📜 Memorandum and Articles of Association to be amended to reflect the stock split.
• 🗓️ Board authorized to determine entitlement and book closure dates for the stock split.
• ➕ New clauses (Articles 80A, 80B, 80C and 80D) added to Articles of Association for an optional payout structure.
• 💸 Shareholders can opt for cash dividend or bonus shares.
• 🚫 Bonus shares can be issued from any reserves, including capital reserves.
• 🤝 Upper limit fixed at PKR 600 Mn for investments/financing with associated companies.
• 🏦 Advance/financing/loan shall not be below the rate of six (6) months KIBOR+1%.
• ✔️ Related party transactions for the period ended June 30, 2025, were approved/ratified.

🎯 Investment Thesis

Given the information available, a HOLD recommendation is appropriate. The stock split is a neutral event from a fundamental valuation perspective. Monitoring the impact of the stock split on trading volume and investor base is crucial. Additionally, close monitoring of related party transactions is necessary to ensure corporate governance standards are maintained. The investment thesis will depend on LSE Capital’s future financial performance, strategic initiatives, and overall market conditions in the Pakistani stock exchange. Further analysis of the annual financial statements is required to assess the company’s profitability and financial health.