Nishat Mills Limited has approved a plan to sell its entire 49.10 percent stake in Nishat Sutas Dairy Limited to its Turkish joint venture partner, Sutas Sut Urunleri A.S., as difficult market conditions continue to pressure the dairy business.

The Nishat Mills board approved the proposed transaction at an emergency meeting on August 19. The stake is valued at Rs. 5 per share, subject to approval from shareholders and completion of all required legal and regulatory procedures.

The company said challenging market and regulatory conditions in the dairy sector have put pressure on its financial position. After reviewing the situation, the board concluded that exiting the investment would be in the best interests of Nishat Mills and its shareholders.

Nishat Sutas Dairy was established as a joint venture between Nishat Mills and Sutas, an international dairy company based in Türkiye. Nishat Mills currently owns 49.10 percent of the company.

Sutas has agreed to acquire Nishat Mills’ entire holding and continue operating the dairy business, subject to final transaction agreements and regulatory approvals.

Nishat Mills said the proposed deal would also support continued foreign strategic investment in Pakistan’s dairy industry and the wider economy.

The transaction is not yet final. Nishat Mills shareholders will vote on the proposed sale at an Extraordinary General Meeting scheduled for September 23, 2026, at Emporium Mall in Lahore.

The company’s share transfer books will remain closed from September 17 to September 23 in connection with the meeting.