Cherat Cement to Acquire 51% Stake in Nimir Industrial Chemicals for Rs. 19.2 Billion

Cherat Cement Company Ltd. has agreed to acquire a controlling 51% stake in Nimir Industrial Chemicals Ltd., signalling a cross-sector expansion by the cement manufacturer into Pakistan's industrial chemicals sector. The share purchase agreement, signed on October 30, covers 56.4 million shares at Rs. 340 per share, valuing the transaction at approximately Rs. 19.2 billion, according to a notice filed with the Pakistan Stock Exchange on Monday.

The sellers are Nimir's controlling shareholders, although neither company disclosed their identities. The disclosure was made under the Securities Act 2015 and the PSX rule book, and was signed by Muhammad Inam ur Rahim, company secretary at Nimir. The deal remains subject to conditions precedent outlined in the agreement as well as regulatory approvals, and no completion timeline was provided.

The acquisition gives Cherat a foothold in industrial chemicals at a time when Pakistani manufacturers are contending with elevated energy and financing costs. Nimir, which is listed on the PSX, produces chemicals including caustic soda and allied products used across textiles, soaps and detergents, making it a supplier to several downstream industries.

For Cherat, the move represents a diversification away from its core cement business and into a segment tied to consumer and industrial demand. The transaction also reflects a broader trend of listed Pakistani companies pursuing acquisitions to broaden their revenue base amid a challenging operating environment marked by high input costs and tight liquidity.

The share purchase agreement was reported to the exchange in line with applicable disclosure requirements, giving investors visibility into a deal that could reshape the ownership structure of one of Pakistan's listed chemical producers. Further details on the selling shareholders and the expected completion timeline are likely to emerge as the transaction progresses through regulatory review.

The development comes as Pakistan's corporate sector continues to navigate elevated financing costs and energy prices, factors that have weighed on margins across manufacturing industries. Cross-sector acquisitions such as this one are being watched for their potential to create operational synergies and strengthen balance sheets in a difficult macroeconomic climate.