Pakistan’s Agha Steel Industries Ltd has signed a bilateral restructuring agreement with Bank Al Habib Ltd (BAHL), marking a key milestone in the company’s ongoing financial restructuring program.
Under the agreement, BAHL and Agha Steel have restructured and rescheduled the company’s financing facilities for a period of up to 10 years. The bank accounts for around 30pct of Agha Steel’s total lender exposure, making the agreement a significant step toward the company’s broader debt restructuring efforts.
Agha Steel said the restructuring will facilitate the orderly settlement of its financial obligations, better align debt servicing with projected operating cash flows and support the long-term sustainability of its operations.
The company added that it is continuing discussions with its remaining lenders to complete the overall restructuring process and will provide further updates as material developments occur.
Agha Steel operates an EAF-based plant at Port Qasim, Karachi, with annual production capacity of 450,000 tons of billets and 650,000 tons of rebar.