The Bank of Punjab has proposed issuing up to Rs. 30 billion worth of ordinary shares to the Government of Punjab as part of a planned equity subscription, according to a disclosure submitted to the Pakistan Stock Exchange on August 10.
The bank’s board approved the proposal at its 334th emergent meeting, held on August 7, 2026. Under the plan, the shares would be issued to the Punjab government through a mechanism other than a rights issue.
Issuance to Be Completed in Two Tranches
The proposed equity subscription is structured across two phases. The first tranche, worth up to Rs. 20 billion, is expected to be completed by December 31, 2026, with the remaining amount planned for completion by June 30, 2027.
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Approvals Still Required Before Finalization
The bank clarified that the proposal is not yet final and will need to clear several regulatory and corporate hurdles. These include approval from shareholders at an Extraordinary General Meeting, as well as clearance from the State Bank of Pakistan and the Securities and Exchange Commission of Pakistan, where applicable.
The share issue price has not yet been finalized. According to the bank, pricing will be determined under the mechanism prescribed by the relevant legal framework and will require sign-off from the competent authorities.
The Bank of Punjab said it will keep the Pakistan Stock Exchange updated on further developments in line with applicable legal and regulatory requirements.
