Agha Steel Industries : Progress Report for the period ended November 02, 2022

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CONTENTS

INTRODUCTION ....................................................................................................................................	3
SUMMARY OF IPO FUNDS GENERATED.....................................................................................	3
IMPLEMENTATION STATUS.............................................................................................................	4
1.	UTILIZATION OF IPO PROCEEDS ON LOCAL COST COMPONENTS....................	4
2.	SHIPMENT AND INSTALLATION OF MI DA ROLLING MILL ......................................	4
3.	SHIPMENT AND INSTALLATION OF AIR SUPRESSION UNIT ..................................	5
4.	PRE COMMISSIONING AND COMMISSIONING..............................................................	5
ANNEXURE - I ........................................................................................................................................	6
ANNEXURE - II.......................................................................................................................................	8

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PROGRESS REPORT

INTRODUCTION

This Progress report is being submitted as per Regulation 16 of the Public Offering Regulations, 2017

• in compliance with the requirement specified in clause 4.1.10 of the prospectus to the issue of the Company.

AGHA STEEL INDUSTRIES LIMITED carried out a successful IPO in October 2020 to finance its expansion at estimated cost as detailed below:

	Break up of IPO Proceeds Utilization		Rupees
	Civil Works	377,380,707
	Electrical	486,387,463
	Mechanical	458,231,960
	Duties and Others	534,403,866
	Air Separation Unit	399,735,446
	LC Discount Charges	193,860,558
	Contingency	150,000,000
	Working Capital Requirement		1,000,000,000

In this respect, We would like to update the following progress has been achieved on the implementation of the phase II during the period ended Nov 02, 2022 after listing on PSX and in accordance with financial results uploaded at PSX in respect of aforementioned projects in the ensuing pages.

SUMMARY OF IPO FUNDS GENERATED

	Description		Rupees
	Issuance of 120 million ordinary shares at floor price of Rs. 30 per share	3,600,000,000
	Excess funds received - Share Premium at Rs. 2 per share	240,000,000
	Less: Share issuance costs	(225,275,000)
	Net IPO Proceeds		3,614,725,000

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PROGRESS REPORT

IMPLEMENTATION STATUS

1. UTILIZATION OF IPO PROCEEDS ON LOCAL COST COMPONENTS:

		Break up of IPO Proceeds				Completed				Cost to be			Already utilized		Percentage of
		Utilization							incurred					Completion
		Civil Works			Completed	377,380,707		1,073,825,000	100%
		Electrical		Completed	486,387,463		452,023,000	90%
		Mechanical		Completed	458,231,960		665,277,000	90%
		Duties and Others		Completed	534,403,866		535,410,000	90%
		Air Separation Unit		Completed	399,735,446		694,329,000	100%
		LC Discount Charges		Completed	193,860,558		193,860,558	100%
		Contingency		Completed	150,000,000		-		N/A
		Working Capital Requirement		Completed		1,000,000,000			-		N/A

3,600,000,000 3,614,725,000

2. SHIPMENT AND INSTALLATION OF MI DA ROLLING MILL:

S.no

Commitment made in

Start

date

Completion

Current

Rational for Delay, If

prospectus

(disclosed in

date (disclosed

Status

any

prospectus)

in prospectus)

1

Shipment of the Mi.Da

January 2020

March 2020

Completed

N/A

rolling mill

2

Installation of the of

Foreign Travel

Mi.Da rolling mill.

September

restrictions on

December 2020

In Progress

account of COVID-19

2020

pandemic/ other

economic issues

Please refer 'Annexure - I' for pictorial representation of the under process Civil, Electrical and Mechanical works involved in implementation of MI DA rolling mill would give an idea over pace of progress

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PROGRESS REPORT

3. SHIPMENT AND INSTALLATION OF AIR SUPRESSION UNIT:

S.no

Commitment made

Start

date

Completion

Current

Rational for Delay, If any

in prospectus

(disclosed in

date

Status

prospectus)

(disclosed in

prospectus)

1

Shipment of Air

August 2020

October 2020

Completed

N/A

Separation Unit

2

Installation of Air

November

December

Completed

N/A

Separation Unit

2020

2020

Please refer 'Annexure - II' for pictorial representation of the under process Civil, Electrical and Mechanical works involved in implementation of Air Separation Unit would give an idea over pace of progress.

4. PRE-COMMISSIONING AND COMMISSIONING:

S.no

Commitment made

Start

date

Completion

Current

Rational for Delay, If any

in prospectus

(disclosed in

date

Status

prospectus)

(disclosed in

prospectus)

Foreign Travel

1

Pre-Commissioning

January 2021

March 2021

In progress

restrictions on account of

and Commissioning

COVID-19 pandemic /

other economic issues

___________________	____________________
Company Secretary	Chief Financial Officer

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