Security Papers Renews PSPC Agreement for Three Years

Security Papers Limited has approved the renewal of its trade agreement with Pakistan Security Printing Corporation (Pvt.) Ltd. for an additional term of three years, pursuant to a resolution passed by its board of directors in the meeting held on April 29, 2026.

The renewal has been formally disclosed in compliance with the requirements of the Securities Act, 2015 and applicable Pakistan Stock Exchange regulations.

Under the renewed arrangement, the agreement will continue to operate on a cost-plus pricing mechanism. However, certain key commercial parameters have been revised relative to the previous term to reflect prevailing market conditions and operational insights gained over the preceding three-year period.

Specifically, the margin framework has been rationalised through updated benchmarking aligned with industry segments more representative of the company’s operational profile. The revised agreement stipulates a gross margin of 24% for the duration of the renewed term.

The company has indicated that these modifications are intended to enhance operational efficiency and ensure that the agreement remains consistent with evolving market dynamics and cost structures.

Furthermore, Security Papers Limited has highlighted that the anticipated introduction of a new banknote series, coupled with continued emphasis on productivity improvements and operational optimisation, is expected to positively contribute to financial performance over the course of the agreement period.