Ghani Chemical Industries Limited (PSX: GCIL) has approved up to Rs. 2.01 billion in funding for three gas projects and a new share issue that will give eligible existing shareholders additional shares.

The company secured shareholders’ approval at an extraordinary general meeting held on October 10 for investments in the Bono Lashari, Jandran and Maiwand gas projects. The funding will cover project development, execution, commissioning and operations.

Of the total amount, Rs. 850 million will come from the company’s internal resources, while approximately Rs. 1.16 billion will be raised through the proposed issuance of up to 116.37 million Class B Tracking Shares.

Eligible shareholders will be entitled to around 204 new shares for every 1,000 ordinary shares they hold. The issue price has been set at Rs. 10 per share.

Each Class B Tracking Share will comprise a redeemable portion of Rs. 9 and an irredeemable portion of Rs. 1. The shares will track the financial performance of the designated business unit and carry the rights and conditions approved by shareholders.

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Shareholders also approved project-related investments and guarantees of up to Rs. 2.01 billion for the three gas projects. The arrangements will be subject to applicable legal and regulatory requirements.

To enable the issuance, the company approved changes to its authorized share capital and articles of association. The board and relevant company officials have also been authorized to complete the documentation, regulatory filings and other formalities required to implement the decisions.