Pak-Gulf Leasing Company Limited (PSX:PGLC) has approved a proposal to double its authorized share capital to Rs1 billion from the existing Rs500 million, subject to approval from shareholders through a special resolution and the completion of required regulatory clearances. The decision was taken by the company’s Board of Directors at a meeting held on September 28, 2026, as the company also moves to expand the scope of activities permitted under its corporate documents.
Under the proposal approved by the board, Pak-Gulf Leasing’s authorized share capital will increase to Rs1 billion, divided into 100 million ordinary shares with a face value of Rs10 each. The existing authorized capital stands at Rs500 million and comprises 50 million ordinary shares, also carrying a face value of Rs10 per share. The proposed change therefore doubles the number of authorized ordinary shares while maintaining the existing denomination.
The increase in authorized capital will require shareholder approval through a special resolution before it can take effect. The proposal is scheduled to be placed before shareholders at the company’s Annual General Meeting (AGM), which is set to take place on October 27, 2026. The company will also seek approval at the AGM for amendments to its Memorandum and Articles of Association.
Alongside the capital increase, the board approved changes to the Object Clause and other relevant provisions of the Memorandum and Articles of Association. The amendments are intended to enable Pak-Gulf Leasing to cover Investment Finance Services (IFS) as permissible under the applicable Non-Bank Finance Company (NBFC) rules and regulations.
The proposed amendments to the company’s corporate documents are part of the broader changes being placed before shareholders. Inclusion of Investment Finance Services within the company’s permitted activities would provide the corporate framework for Pak-Gulf Leasing to undertake activities falling within the applicable regulatory parameters, subject to the necessary approvals and requirements under the NBFC regulatory framework.
The proposed capital structure would result in authorized share capital of Rs1 billion compared with Rs500 million currently. The number of authorized ordinary shares would rise from 50 million to 100 million, while the face value would remain unchanged at Rs10 per share. The changes approved by the board do not by themselves constitute an issuance of new shares, as the proposal concerns the company’s authorized share capital and remains subject to the required shareholder and regulatory approvals.
Pak-Gulf Leasing’s board decision comes as the company prepares for the October 27 AGM, where shareholders will consider both the proposed increase in authorized capital and amendments to the Memorandum and Articles of Association. The special resolution process will be required for the capital change, while the company will also have to obtain any regulatory clearances applicable to the proposed amendments.
The company’s move provides shareholders with a proposed expansion in the authorized capital ceiling alongside changes intended to accommodate Investment Finance Services within its permitted corporate activities. The final implementation of both measures will depend on shareholder approval and the completion of the relevant regulatory process following the AGM.
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