Karachi: Further to our letter no. MSM/ASF/158 of 15th December, 2011, in accordance with the requirements of Rule 6 of The Companies (Issue of Capital) Rules, 1996, we are enclosing herewith Auditors’ Certificate in respect of Free Reserves of the Company for the issue of bonus shares @ 15% i.e. 15 shares for every 100 shares held as recommended by the Board of Directors of the Company.
Free Reserves Certificate
This is to certify that the free reserves based on the company’s audited financial statements for the year ended September 30, 2011 of Mirpurkhas Sugar Mills Limited after the proposed issues of’ Bonus Shares of face value of Rs. 12.650 million would be arrived at as follows:-
|Issued, Subscribed and Paid-Up Capital|
|8,433,215 ordinary shares of Rs. 10/- each||84,332|
|Proposed Issue of bonus Shares||12,650|
|Increased Share Capital||96,982|
|Un-provided contingent liabilities as per financial statements||(145,220)|
|Available Free Reserves||233,446|
|Free Reserves proposed to be appropriated|
|Proposed Cash Dividend||(8,423)|
|Proposed Bonus Shares (Face Value)||(12,650)|
|Total Free Reserves||212,363|
We have ascertained that after the proposed issue of Bonus Shares, the balance of free reserve totaling Rs. 212.363 million would not be less than 25% of the increased capital of the company.
The term “Free Reserves” has been deemed to have the meaning given to it in the Rule 5 of the Companies (Issue of Capital) Rule 1996.
Free reserves are required to be calculated after consideration of any dividend / bonus shares issue recommended by the Board of Directors. The above free reserve has been determined after deducting Rs. 1 per share final cash dividend and 15% bonus shares as proposed by directors.
No upward revaluation of assets since the inception of the company is included in the above figures of `Free Reserves” and to the best of our information there were no intangible or factious assets not written off in the books of the company as at 30th September, 2011.
For more information, contact:
Mirpurkhas Sugar Mills Limited
Modern Motors House, Beaumont Road,
P. O. Box 5379 Karachi-75530, Pakistan.
Tel: (92-021) 35682565-67- 35682569-70
Fax: (92-021) 35682839- 35688036