KARACHI: The share price of TRG Pakistan rose 3.1 per cent to Rs90.13 on Monday after the company announced its CEO and director, Zia Chishti, had resigned with immediate effect.
The stock price took a beating after an employee of a TRG Pakistan Ltd-related company testified before a committee of the US Congress in mid-November that Mr Chishti sexually assaulted her during a business trip. Since Nov 16, the share price has lost almost 31pc value.
“Mr Chishti has also resigned from his positions at The Resource Group International Ltd (TRGIL), effective immediately. This follows Mr Chishti’s Nov 18 resignation as the CEO, chairman and a director of Afiniti Ltd,” said the regulatory filing.
TRG Pakistan Ltd owns 56.86pc shares (with voting power of 45.9pc) in TRGIL, its international investment arm. In turn, TRGIL is one of the 10 investors in Afiniti, a technology company that uses artificial intelligence to identify and predict patterns of interpersonal interactions for businesses.
TRG Pakistan Ltd posted a net profit of Rs31.6 million in July-September, down 96.1pc from a year ago.
However, the annual accounts of TRG Pakistan Ltd recorded the value of its stake in TRGIL at Rs49.6 billion, up almost 2.3 times from June 2020. Despite several attempts to seek analysts’ views on the share price movement, no A-listed brokerage house was willing to offer a comment on the record.
Published in Dawn, November 30th, 2021