Pakistan’s Dost Steels Limited (DSL) has reported progress on its financial and operational restructuring, following a settlement agreement with its syndicate lenders, according to a company filing.
The company has executed a settlement covering outstanding liabilities of around PKR 2.08 bln (7.45 mln) and has made initial and subsequent payments under the agreed plan, with cumulative repayments exceeding PKR 293 mln (USD 1 mln) to date. The agreement has also been endorsed by the Sindh High Court, providing a legal framework for restructuring and revival.
In parallel, DSL has announced a 100pct rights issue of PKR 4.44 bln (USD 15.9 mln) to support its backward integration strategy, including the establishment of a melting plant aimed at improving efficiency and long-term profitability.
The company, which has an annual rebar capacity of around 350,000 tons, has remained idle since 2019 due to financial constraints. The latest developments are expected to support a potential restart of operations.
1 USD / 279 PKR
