Supernet Technologies Limited (STL) has approved a rights issue valued at approximately Rs914.77 million to bolster its capital base and finance an ambitious expansion across digital infrastructure and regional markets. The move signals a strategic push following a major merger and a recent Rs1 billion contract win. Main Developments The board authorized the issuance of 91,476,554 ordinary shares at Rs10 per share, offered in a ratio of roughly 85 rights shares for every 100 ordinary shares held by existing shareholders. This represents about 85 percent of the company’s current paid-up capital. Completion of the rights issue remains contingent on fulfilling all applicable legal and regulatory requirements, the company stated. Proceeds are intended to strengthen STL’s balance sheet, optimize its capital structure, and enhance its capacity to meet evolving customer needs. Read also: 3 reasons Pakistan's largest Chinese mine may shut within a month Background The capital-raising follows a period of significant transformation for STL, including the completion of its merger with Supernet Limited. That consolidation created a larger, more diversified technology platform with integrated capabilities in cybersecurity, cloud, connectivity, managed services, enterprise networking, and technology integration. STL has also expanded its regional footprint through the Supernet Global platform, leveraging its presence in the UAE to pursue opportunities across the Middle East, Africa, and Central Asia while maintaining a strong position in Pakistan. Earlier, the company announced a contract valued at around Rs1 billion for the enhancement and modernization of critical communications infrastructure in Pakistan. Why It Matters The rights issue will enable STL to fund a growing portfolio of technology projects and respond more aggressively to market opportunities in digital infrastructure and cybersecurity. For shareholders, the 85-for-100 ratio means significant dilution unless they participate, but the capital injection is designed to support long-term growth and competitiveness. STL’s strategic progress is increasingly reflected in its commercial performance, with secured projects across cybersecurity, enterprise technology, and communications infrastructure. The move positions the company to compete for larger contracts in Pakistan and emerging markets. What's Next The rights issue must clear regulatory processes before shares can be offered to eligible shareholders. STL is expected to provide a timeline for subscription and listing of the new shares. The company will also continue executing its Rs1 billion communications infrastructure contract and pursuing regional deals through its UAE base.