Rights Issue Receives Rs898 Million In Subscriptions
Supernet Technologies Limited (PSX: STL) has secured subscriptions of nearly Rs898 million against its rights issue of approximately Rs914.77 million, resulting in a strong subscription rate of 98.16%.
Only 1.84% of the rights issue remained unsubscribed after the subscription period closed, highlighting the strong participation from existing shareholders.
The high subscription level also reflects investor confidence in the company’s business strategy, growth prospects and expanding position in Pakistan’s information and communications technology sector.
STL Offered 85% Rights Issue At Rs10 Per Share
Supernet Technologies had announced an 85% rights issue at Rs10 per share to raise approximately Rs915 million.
The company plans to use the proceeds primarily to strengthen its working capital position and support the execution of larger projects that require greater working capital.
Part of the funds will also be used to partially finance the consideration payable under the Share Purchase Agreement with Telecard Limited.
The additional capital is expected to provide STL with greater financial flexibility as it takes on larger and increasingly working-capital-intensive projects.
Technology And Cybersecurity Portfolio Continues To Expand
Supernet Technologies has been expanding its business across telecommunications infrastructure, information technology, cybersecurity and related technology solutions.
The company expects the fresh capital to strengthen its ability to undertake larger projects while supporting its broader growth strategy.
Its expanding portfolio also positions the company to participate in Pakistan’s growing demand for digital infrastructure, connectivity and cybersecurity services.
Non-Service Revenue Crosses Rs5 Billion
STL has undergone a significant transformation in its revenue mix over recent years.
Non-service revenues increased from approximately Rs682 million in FY2021 to more than Rs5 billion in FY2025.
At the same time, the company’s services business generated more than Rs4.2 billion in revenue during FY2025.
Together, these revenue streams took STL’s total annual revenue to approximately Rs9.2 billion in FY2025.
The shift demonstrates the company’s move toward a broader business model rather than relying primarily on traditional service revenues.
Major Technology Projects Support Growth Outlook
Supernet Technologies has also secured several major technology and cybersecurity projects.
Among them is a recently awarded hardware and services project valued at approximately Rs1 billion. The project is expected to be executed across FY2026 and FY2027.
Such contracts could create additional demand for working capital, making the timing of the rights issue important for the company’s expansion plans.
The fresh funds should help STL manage project-related funding requirements while continuing to pursue new opportunities across its technology businesses.
Remaining Rights To Be Offered By The Board
While the rights issue achieved a 98.16% subscription rate, a small portion remains unsubscribed.
The company said the remaining shares will be offered and allotted to persons considered suitable by its Board of Directors, in accordance with Section 83(1)(a)(iv) of the Companies Act, 2017.
The underwriter will be approached only after this process has been completed, if required.
This means the company still has a defined mechanism for dealing with the remaining 1.84% of the issue.
Capital Raise Moves STL Closer To Completion
The strong subscription provides Supernet Technologies with most of the capital it sought through the rights issue.
With nearly Rs898 million already subscribed against an issue of approximately Rs914.77 million, the company is now close to completing the capital-raising exercise.
The funds are expected to strengthen working capital, support major projects and partially finance the Telecard transaction.
For STL, the near-full subscription comes at a time when its revenue base has expanded substantially and its technology and cybersecurity project pipeline is growing.