⚡ Flash Summary

First National Equities Limited (FNEL) announced strategic decisions approved by its Board of Directors. These include divesting a 20% equity stake in Kingbhai Digisol (Private) Limited for PKR 280 million, reflecting an enterprise value of PKR 1.5 Billion. FNEL plans to invest up to PKR 400 million in its subsidiary, FNE Developments (Private) Limited, focusing on real estate and infrastructure. Additionally, the board authorized an investment of up to PKR 500 million to enter the pharmaceutical sector through establishment or acquisition.

📌 Key Takeaways

• ✅ FNEL to divest 20% stake in Kingbhai Digisol for PKR 280 million.
• 🏢 Kingbhai Digisol’s enterprise value independently assessed at approximately PKR 1.5 Billion.
• 💰 Divestment aims to unlock value and reallocate capital.
• 🏗️ Investment of up to PKR 400 Million approved for FNE Developments (Private) Limited.
• 📈 FNE Developments focuses on real estate and infrastructure growth.
• 💊 FNEL authorized investment of up to PKR 500 Million for entry into the pharmaceutical sector.
• 🤝 Entry into pharma will be through establishment or acquisition.
• 💼 This move marks significant diversification.
• 🚦 All decisions are subject to shareholders’ and regulatory authorities’ approvals.
• 🗓️ Announcement made on October 3, 2025.
• 🏢 Divestment involves 10,000 Class-B non-voting shares.
• 🎯 Strategy is to reallocate capital towards high-growth ventures.
• RECURRING Revenue potential mentioned in real estate and infrastructure

🎯 Investment Thesis

HOLD. The strategic decisions indicate a shift towards high-growth sectors and potential value unlocking, but the execution risks and uncertainties require monitoring. A price target cannot be determined without detailed financial forecasts. Time horizon is medium-term.