Agha Steel Industries : Progress Report for the period ended November 02, 2023

Building with Sustainability

PROGRESS REPORT FOR THE PERIOD ENDED NOVEMBER 02, 2023

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	Percentage of
Utilization	incurred	utilized	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	Completed	1,000,000,000	-	N/A
Requirement
		3,6000,000,000	3,614,725,000

2. SHIPMENT AND INSTALLATION OF MI DA ROLLING MILL:

S.no	Commitment made in	Start	date	Completion	Current
	prospectus	(disclosed in	date (disclosed	Status
		prospectus)	in prospectus)
1	Shipment of the Mi.Da	January 2020	March 2020	Completed
	rolling mill
2	Installation of the of	September	December 2020	In Progress
	Mi.Da rolling mill.
	2020

Rational for Delay, If any

N/A

Macro-economic

factors

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)

1	Pre-Commissioning	January 2021	March 2021	In progress	Macro-economic factors /
and Commissioning	other economic issues

___________________	____________________
Company Secretary	Chief Financial Office

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PROGRESS REPORT

ANNEXURE -A

CIVIL, ELECTRICAL AND MECHANICAL WORKS INVOLVED IN IMPLEMENTATION OF MI DA ROLLING MILL

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PROGRESS REPORT

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PROGRESS REPORT

ANNEXURE - II

CIVIL, ELECTRICAL AND MECHANICAL WORKS INVOLVED IN IMPLEMENTATION OF AIR

SEPARATION UNIT

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