PSL Denies Reports Of Pearl-Continental Property Split

Pakistan Services Limited (PSL), the listed company that owns and operates the Pearl-Continental hotel chain, has denied having any information about reports suggesting a possible division of its hotel properties, saying it has not received any communication from shareholders regarding such an arrangement.

The company issued the clarification through a notice to the Pakistan Stock Exchange (PSX) on Monday.

The statement followed a report by digital media outlet Nukta claiming that five Pearl-Continental properties could potentially be divided between Thatta Cement and Fauji Foundation as part of a proposed out-of-court settlement to resolve a long-running dispute concerning control of around 56% of PSL’s voting shares.

PSL said it was unaware of the contents of the report and had received no information from any shareholder concerning the reported arrangement.

The company stated that it was therefore unable to comment further on the matter.

According to Nukta, citing sources familiar with the situation, the parties had signed a memorandum of understanding outlining a proposed settlement after more than a year of legal disputes over the approximately 56% voting stake in PSL.

Under the reported proposal, Pearl-Continental Karachi and Pearl-Continental Rawalpindi would be transferred to Thatta Cement, while Pearl-Continental Lahore, Pearl-Continental Bhurban and Pearl-Continental Muzaffarabad would be transferred to Fauji Foundation.

The dispute over ownership and control of PSL dates back to mid-2025.

While the company did not comment on the reported settlement details, it confirmed that litigation concerning its shareholding remains unresolved.

PSL said the relevant cases are currently sub judice and pending adjudication before the Islamabad High Court.

The company reaffirmed that it would continue keeping shareholders, regulators and the public appropriately informed and would disclose any material development requiring disclosure under applicable laws and regulations to the PSX.

Pakistan Services Limited was incorporated in Pakistan in 1958 as a public limited company and primarily operates in the hospitality sector. Besides owning and operating the Pearl-Continental hotel chain, the company operates a smaller budget hotel property in Lahore and also franchises the Pearl-Continental brand and trademark.