Pakistani rebar producer Dost Steels Limited (DSL) has signed a settlement agreement with its syndicate of banks to resolve outstanding liabilities of PKR 2.08 bln (USD 7.34 mln), paving the way for financial and operational restructuring, the company said in a stock exchange filing.
The agreement was formally endorsed by the Sindh High Court through a consent decree, giving the restructuring process a legally binding framework.
To support its turnaround, DSL has also announced a 100pct rights issue worth PKR 4.44 bln (USD 15.6 mln). Proceeds will fund the company’s backward integration strategy, including the establishment of a melting plant aimed at improving efficiency and long-term profitability.
DSL, with an annual rebar production capacity of 350,000 tons, has remained idle since 2019 due to financial difficulties.
1 USD / 283.5 PKR
