Lahore: In a pivotal move sanctioned by the Lahore High Court on June 26, 2024, MetaTech Trading Limited will be fully integrated into Big Bird Foods Limited, as detailed by the latest Board of Directors’ decisions.

Following the approval by the Lahore High Court for the Scheme of Arrangement and Reconstruction, MetaTech Trading Limited and Big Bird Foods Limited have officially merged. This approval comes under Sections 279 to 283 and 285 of the Companies Act, 2017, marking a significant reorganization within Pakistan’s corporate sector. The scheme’s effective date was set for March 31, 2023, with a completion deadline within 120 days of the sanction date.

The Boards of both companies met on July 8, 2024, to finalize the merger details, including a share swap ratio of 0.24 Big Bird Foods Limited shares for every one share of MetaTech Trading Limited. This decision sets the stage for Big Bird Foods Limited to be listed on the Pakistan Stock Exchange (PSX), with MetaTech’s last trading day on PSX scheduled for July 18, 2024.

According to information available from the Pakistan Stock Exchange (PSX), the entitlement date for issuing Big Bird Foods Limited shares to MetaTech shareholders is set for July 22, 2024. Furthermore, the Board of Directors at Big Bird Foods Limited has empowered the CEO to set the opening share price, which will not be below Rs. 10.00 per share.

This corporate restructuring will see Big Bird Foods Limited’s authorized capital increase from Rs. 3,000,000,000 to Rs. 3,600,000,000, divided into 360,000,000 shares of Rs. 10 each, while MetaTech Trading Limited will be dissolved by the order of the court without winding up.

The detailed Information Memorandum outlines the full transfer of assets and obligations from MetaTech Trading Limited to Big Bird Foods Limited, ensuring a seamless transition and continued compliance with corporate governance regulations. As per the merger agreement, a 30% free float of Big Bird Foods Limited shares will be created by selling the necessary shares to investors prior to the PSX listing.

The merger not only signifies a strategic consolidation within the food and trading industries but also promises enhanced market presence and operational efficiencies for Big Bird Foods Limited. The tentative schedule for the final stages of the merger includes book closures from July 23 to July 26, 2024, with the official listing of Big Bird Foods Limited on PSX slated for July 30, 2024.

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