Have you ever encountered boredom or issues while studying the investments of a large Conglomerate or a holding company like ENGROH? If you have read our previous blogs, then you will surely know that we try our best to explain complex phenomenon and concepts related to stock market in an easier manner. Today’s blog is also another effort in this regard to make you understand the Holding Structure of ENGROH and a concise description of the businesses it is involved in
Engro Holdings Limited is one of the largest conglomerates in Pakistan, previously known as Dawood Hercules Corporation Ltd. and is a holding company. Engro Holdings Limited underwent a significant restructuring on January 6, 2025, leading to its split into Engro Holdings Ltd (ENGROH) and DH Partner Ltd (DHPL) DH Partners Limited (the Company) was incorporated in Pakistan on May 8, 2024, as a public company under the Companies Act, 2017. Dawood Hercules Corporation Limited has been demerged into two legal entities whereby all its assets, liabilities and obligations other than its investment in shares of Engro Corporation Limited (ENGRO) as specified in the Scheme have been vested into DHPL. As a result, Engro Corporation became a wholly owned subsidiary of Engro Holdings Limited and was subsequently delisted from the Pakistan Stock Exchange.
Businesses description and the holding structure is explained below:
Engro Holdings Ltd, through its wholly owned subsidiary Engro Corporation, holds 56.2% of Engro Fertilizers (EFERT), a leading fertilizer manufacturer in Pakistan.EFERT produces a wide range of fertilizers, including urea and NPK fertilizers, under various product brands such as Zarkhez, Zingro, Zorawar, and Zoron.
Engro Holdings Ltd also holds a 56.19% stake in Engro Polymer and Chemicals Ltd (EPCL), a company that manufactures, markets, and distributes various chemical products, including PVC resin (sold under the brand name ‘SABZ’), caustic soda, sodium hypochlorite, and hydrochloric acid. EPCL is listed company on stock exchange, you can gather more information on it from PSX Data Portal.
Additionally, Engro Holdings holds a 40% share in Friesland Campina Engro Pakistan Ltd (FCEPL), a dairy product company that manufactures, processes, and sells a variety of dairy-based products and frozen desserts. Among the notable brands under FCEPL are Dairy Omung, Olpher's, Omung Lassi, and Omoré. The company also operates a dairy farm. FCEPL is listed on the Pakistan Stock Exchange and is part of the KSE 100 index.
Engro Holdings Limited also owns 100% of Engro Energy Ltd, which focuses on power generation and energy development projects in Pakistan. Engro Energy is involved in multiple power projects, including Thar Energy, Engro Powergen Qadirpur Limited, and Thar Block II, contributing to Pakistan's energy security and supporting its economic growth. Engro Energy Limited owns a stake of 68.9pc in Engro powergen Qadirpur Limited, 50.1pc in Engro Power Gen Thar Limited and 11.9pc in Sindh Engro Coal Mining Company Limited. According to the company’s announcement, the management of ENGROH is looking forward to divest its share in Engro Energy Limited.
Engro Holdings used to have a 100pc ownership in Engro Eximp FZE through Engro Corporation until recently when they sold it. “The Board of ECORP has authorized the Company to enter into a Share Purchase Agreement (SPA) for the sale of EEAP. A SPA has been executed with MAP Rice Mills (Private) Limited (the “Acquirer”) for a transaction consideration of PKR 2.4 billion on a debt-free and cash-free basis,” read the notice. Situated in the heart of the basmati growing region, it operates the most modern integrated plant for processing rice in the country capable of exporting 70,000 tons of rice. EEAP processes and exports the finest basmati and non-basmati rice in raw, parboiled and steamed forms locally and around the world.
In addition, Engro Holdings owns 100% of Engro Connect (Pvt) Ltd, which operates through its subsidiary Engro Enfrashare. Engro Enfrashare is the largest independent tower infrastructure company in Pakistan, focused on providing telecommunications tower services. Engro Enfrashare was founded in November 2018 as a wholly-owned subsidiary of Engro Corporation, as the latter entered the telecommunication infrastructure vertical. And commenced operations in January 2019 upon signing with one of Pakistan’s largest telcos for deploying telecom towers, alongside the Makran Coastal belt under the USF project. At the same time, we acquired a portfolio of dark sites from Deodar, marking a significant milestone in our journey.
The core activities involve designing, constructing, and managing telecom infrastructure networks that enable connectivity across the Country. Company unlocks tower value by sharing tower infrastructure, deploying efficient power solutions to optimize costs, and close monitoring of operations – thus, creating higher efficiency and value for our customers..Currently, Engro Enfrashare owns and manages the passive infrastructure of towers, and leases space and power to telecom companies in Pakistan. Their network expands throughout the Country, spreading from Chitral in the North to Karachi in the South, covering some of the most complex and security-challenged terrains including Bolan, Mastung, ex-FATA, and the Makran Coastal Highway.Today, Engro Enfrashare is the largest independent towerco in Pakistan with over 3,450 towers and hosting more than 3,540 tenants on these sites
Engro Holdings holds a 50% stake in Engro Vopak Terminal Ltd, a joint venture with Royal Vopak. This company operates a chemical storage and handling terminal that provides services for bulk liquid storage, cryogenic storage, and terminal operations. It plays a crucial role in Pakistan's petrochemical industry and energy security by facilitating the imports and exports of petrochemicals, LPG, and LNG. The lease for this terminal is set to expire in mid-2026, but the management is optimistic that it will be renewed.
Lastly, Engro Holdings holds a 56% stake in Elengy Terminal Pakistan Ltd (EETL), a joint venture with Royal Vopak. EETL operates Pakistan's first Liquefied Natural Gas (LNG) import terminal. The terminal provides storage and regasification services, converting LNG into natural gas and delivering it to the national transmission network.
Lastly, ENGROH holds own 100pc stake in Engro Technical Solutions Pvt Limited. Engro Technical Solutions, led by CEO Ahmad Shakoor, specializes in providing advanced technology solutions.
I have gathered all the information from company’s website and its corporate briefings. Errors, omissions and changings may happen. This blog is just meant to describe things to the best of my knowledge, and is not an investment advice.
Disclaimer: This content is for educational and informational purposes only. It should not be considered financial or investment advice. Always do your own research or consult with a licensed financial professional before making any investment decisions.
