Pakistani rebar manufacturer Dost Steels Limited (DSL) plans to raise PKR 4.45 bln (USD 15.6 mln) through a rights issue to fund the installation of a billet-producing melting furnace and support working capital needs, the company said in a stock exchange filing.
The in-house billet production is expected to cut raw material costs, improve profit margins, and enhance supply chain control and operational efficiency, supporting the company’s long-term sustainability.
DSL, which has an annual rebar production capacity of 350,000 tons, has remained idle since 2019 due to financial challenges. In a step toward revival, the company recently finalized a loan restructuring agreement with a consortium of banks to reschedule PKR 2.08 bln (USD 7.3 mln) in outstanding debt, including future markup.
1 USD / 284.5 PKR