Lahore July 10 2023: Dost Steel management is hopeful of coming out of Defaulter segment on resuming commercial production after regulatory approvals.
"The company has been trying to get new investor group to join the management of the company to restart the commercial production. In this regard the SECP permission is needed and an application to SECP has already been given on 15 April 2022. However Crescent Star Insurance Limited ("CSIL:) had filed certain comments to SECP and our said application is pending disposal. In addition, these issues are also under litigation (In Lahore High Court) between CSIL and the company which are also being settled. The SECP will be approached during the coming fortnight with a resolution proposal. It is expected that the matter will be resolved amicably during the coming weeks” reported by Dost Steel Limited.
SECP has advised the company to resolve all the issues including pending litigations with CSIL before the company's application will be considered. The company is making efforts to coordinate the different pending issues in parallel with the new investor group and CSIL."
“However, management's efforts are continuing for arriving on amicable solution to restart commercial production despite an extremely difficult economic and foreign exchange situation prevailing in the country. It is anticipated that the company will reach a reasonable resolution of pending prevailing issues and an amicable solution will be found. We are still hopeful that once, after the approval from SECP, the group of investors who are in talks with the company can achieve commercial production once again and it will be removed from default counter at PSX” states the management.
Dost Steel Limited was incorporated in Pakistan on March 19, 2004 as a private limited company under the Companies Ordinance, 1984 now the Companies Act, 2017. The principal business of the company includes manufacturing of steel, direct reduced iron, sponge iron, hot briquetted iron, carbon steel, pig iron and special alloy steel in different forms, shapes and sizes and any other product that can be manufactured within the existing facilities.