d Minority shareholders revolt at Merit Packaging This company has not been doing well recently and the minority shareholders - who own about 17% of the company - want to know what is going on A hmed Munaf has a bone to pick with the Lakson Group. Munaf holds shares in Merit Packaging group, a printing and packaging company that has been around for the last three decades. For the last three years, Munaf watched as the printing company made loss after loss after taxation, even with relatively stable total sales. So one day, Munaf decided he had had enough. He rallied enough of his supporters who believed in his cause (that is, minority shareholders with excess of 17% shares in the company). And for the upcoming annual general meeting to be held on October 23, he pushed through resolutions, demanding that the management of the company explain themselves. And if the answer is unsatisfactory, then maybe Lakson should consider merging Merit Packaging with another printing mill. this is the Lakson Group we are talking about. The Lakson Group was established in 1954 and is one of the largest business groups in Pakistan. Sultan Ali Lakhani is the co-owner, along with his brothers, including Iqbal Ali Lakhani. The group runs over 15 companies in and board, printing and packaging, surgical instruments, and travel. All together the assets of the Lakson Group exceed $1 billion, employ more than 17,000 people, and are present in 50 towns and cities in Pakistan. That still does not quite put it into per- Essentially, what Munaf is saying is this: Lakson, you do not know how to run a company. Let us try and explain to you how economies of scale work. You have to admire Munaf’s chutzpah, because this is not just any large conglomerate; 32
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