Reliance Cotton Spinning Mills to Merge With Amer Cotton

The Board of Directors of Reliance Cotton Spinning Mills Limited (PSX: RCML) in their meeting held on August 28, 2024, approved the Scheme of Compromises, Arrangement and Reconstruction for Amalgamation/Merger of Amer Cotton Mills (Pvt.) Limited (ACML) and its members with and into Reliance Cotton Spinning Mills Limited (RCSML) in terms of provisions of Sections 279 to 283 and all other enabling provisions of the Companies Act, 2017. Upon the completion of the merger/amalgamation through the intended Scheme, Amer Cotton Mills (Pvt.) Limited will be dissolved under the order of the High Court of Sindh at Karachi without winding up and the shares of Reliance Cotton Spinning Mills Limited shall be issued to the registered shareholders of Amer Cotton Mills (Pvt.) Limited as per the SWAP ratio as certified/determined by M/s. Shinewing Hameed Chaudhri & Co, Chartered Accountants. The Scheme is subject to obtaining all the required shareholders, creditors, and regulatory approvals and sanction of the Scheme by the Honorable High Court of Sindh at Karachi along with the fulfillment of corporate, regulatory, and legal formalities. The principal activity of the RCML is the manufacturing and sale of yarn.