Agha Steel Secures Key Debt Restructuring Deal with Bank AL Habib

July 14, 2026 (MLN): Agha Steel Industries Limited (PSX: AGHA) has signed a bilateral debt restructuring agreement with Bank AL Habib Limited (BAHL).

This represents a pivotal milestone in the company’s financial turnaround and long‑term revival strategy.

In a material information notice submitted to the Pakistan Stock Exchange (PSX), the company stated that the agreement was executed on July 14, 2026, under the Corporate Debt Restructuring (CDR) framework.

According to the disclosure, Agha Steel has been conducting restructuring discussions with its financial creditors, including Bank AL Habib Limited, after operational disruptions from the 2022 floods and an extended economic slowdown.

The company noted that these challenges reduced its ability to generate sufficient cash flow to meet debt obligations.

The restructuring arrangement with Bank AL Habib Limited accounts for nearly 30% of Agha Steel’s total debt exposure, marking a major milestone in the company’s broader financial rehabilitation plan.

The company stated that the restructuring will provide the financial flexibility required to optimize operations, enhance liquidity, and align debt servicing obligations with projected operating cash flows.

Management believes the agreement will support business stabilization and enhance its long‑term operational sustainability.

Agha Steel informed investors that it continues active discussions with its other lenders to finalize and implement the remaining debt restructuring arrangements.

The company said it will continue to keep the market informed of any material developments arising from these negotiations.

The disclosure complies with the Securities Act of 2015 and PSX regulations governing material information.

Source link