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Turkish Company Buying Dawlance Pakistan

One of the leading Turkish companies Arcelik has announced to a privately held Pakistani manufacturer of consumer durables, commonly known as Dawlance for $258 million. Deutsche Bank recently issued a research to their client, where one of the subsidiaries of the Turkish company, Ardutch BV signed an agreement to acquire three companies based in Pakistan and British virgin islands, which collectively own 100% shares of Dawlance.

This agreement is expected to get closed by the end of 2016 because it requires approvals from completion authorities, purchase of minority stakes and transferring of land and buildings to the ownership of the company. However, Dawlance authorities are neither confirming nor denying the deal.

Dawlance Pakistan is known for manufacturing white goods, such as, freezers, refrigerators, microwave ovens, air conditioners, etc. These products are later sold to the local and foreign markets. Dawlance has a private limited status, due to which, its accounts are not public. Nonetheless, according to the earning details, Dawlance has given Arcelik revenues of $220.6 million in 2015.

Although Dawlance is not mentioning any reasons for its sale, there are many speculations, which are being made. Sources, which are too close to the sponsors of Dawlance, say that the company was on the auction block since 5 years. The majority of its shares are being owned by a single person, who is a corporate titan controlling shareholdings in HUBCO, Engro and Dawood Hercules group. One reason declared is the owner moving aboard permanently and lack of his children interest.

Afreen is a young writer and visionary towards life predominantly. I believe that writing is similar to life; it inspires surprises and creates. Being a Literature Masters, I am passionate about viewing the world with literary spectacle. Solely in love with this beautiful part of Universe called Pakistan, I am creating words and ideas for CharchaGuru.

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Turkish Company Buying Dawlance Pakistan

One of the leading Turkish companies Arcelik has announced to a privately held Pakistani manufacturer of consumer durables, commonly known as Dawlance for $258 million. Deutsche Bank recently issued a...