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{{Infobox company
{{Infobox company
| name = Dawood Hercules
| name = Dawood Hercules
| former_name = Dawood Hercules Chemicals Ltd. (1968–2011)
| former_name = Dawood Hercules Chemicals Limited (1968–2011)
| logo = DH Logo.svg
| logo = DH Logo.svg
| image = Office Building Karachi Pakistan.png
| image = Office Building Karachi Pakistan.png
Line 16: Line 16:
| area_served = [[Pakistan]]
| area_served = [[Pakistan]]
| key_people = [[Hussain Dawood]] ([[Chairman]])<br/>Mohammad Shamoon Chaudry ([[CEO]])
| key_people = [[Hussain Dawood]] ([[Chairman]])<br/>Mohammad Shamoon Chaudry ([[CEO]])
| revenue = {{increase}} {{PKRConvert|6.22|b}} (2022)
| revenue = {{increase}} {{PKRConvert|482.488|b}}
| revenue_year = 2023
| operating_income =
| net_income = {{Decrease}}{{PKRConvert|3.69|b}} (2022)
| operating_income = {{increase}} {{PKRConvert|121.032|b}}
| income_year = 2023
⚫
| assets = {{Decrease}}{{PKRConvert|34.93|b}} (2022)
| equity = {{Decrease}} {{PKRConvert|26.88|b}} (2022)
| net_income = {{increase}} {{PKRConvert|8.322|b}}
| net_income_year = 2023
⚫
| num_employees = 24 (2022)<ref name="DHAR22">{{cite web |title=Annual Report 2022 |url=https://www.dawoodhercules.com/app/media/2023/04/DH-Corp-Annual-Report-2022.pdf |publisher=Dawood Hercules Ltd. |access-date=10 July 2023 |page=104 |language=en |date=2 March 2023}}</ref>
⚫
| assets = {{increase}} {{PKRConvert|815.792|b}}
⚫
| subsid = [[Engro Corporation]]
| assets_year = 2023
| equity = {{decrease}} {{PKRConvert|232.897|b}}
| equity_year = 2023
| num_employees = 21
| num_employees_year = 2023
| owner = Dawood Lawrencepur (16.19%) <br/> Dawood Investments (9.85%)
⚫
| subsid = [[Engro Corporation]] (40%)
| location = Dawood Centre, M.T. Khan Road, [[Karachi]]
| location = Dawood Centre, M.T. Khan Road, [[Karachi]]
| website = {{URL|dawoodhercules.com}}
| website = {{URL|dawoodhercules.com}}
| footnotes = Financials {{as of|2023|12|31|lc=y}} <ref name="AR2023">{{cite web|title=Dawood Hercules Annual Report 2023|url=https://financials.psx.com.pk/lib/DownloadPDF.php?id=228543 |access-date=30 November 2024}}</ref>
}}
}}
'''Dawood Hercules Corporation Limited''' ({{langx|ur|داؤد ہرکولیس کارپوریشن}}, DH Corp.) is a Pakistani publicly listed [[investment company|investment]] and holding company headquartered in [[Karachi]]. It operates its subsidiary [[Engro Corporation]].<ref name="DHAR22"/>
'''Dawood Hercules Corporation Limited''' ({{langx|ur|داؤد ہرکولیس کارپوریشن}}, DH Corp.), commonly known as '''Dawood Hercules''', is a Pakistani holding company headquartered in [[Karachi]].<ref name="Dawn, The Business and Finance Weekly">{{cite news |last1=Hussain |first1=Dilawar |title=Who's who of the PSX |url=https://www.dawn.com/news/1613808 |access-date=3 June 2021 |publisher=Dawn |date=22 March 2021}}</ref><ref>{{Cite web|url=https://tribune.com.pk/story/964022/the-dawoods-growing-bet-on-pakistan|title=The Dawoods’ growing bet on Pakistan|date=28 September 2015|website=The Express Tribune}}</ref>


== History ==
== History ==
[[File:Chichoki Mallian Plant.jpg|thumb|left|Fertiliser factory in Chichoki Mallian, Sheikhupura district]]
[[File:Chichoki Mallian Plant.jpg|thumb|right|Fertiliser factory in Chichoki Mallian, Sheikhupura district]]
In 1968 Dawood Hercules Chemicals Ltd. was formed as a [[joint venture]] between the Pakistani [[Dawood Group]] and the American company [[Hercules Inc.]]<ref>{{cite web |title=Dawood Hercules Fertilizers |url=https://www.rozee.pk/company/dawood-hercules-fertilizers/about |website=Rozee.Pk |access-date=3 June 2021}}</ref><ref>{{Cite web |last=Ahmad |first=Mumtaz |date=December 1987 |title=Agricultural research in Pakistans private sector |url=https://pdf.usaid.gov/pdf_docs/PNABS826.pdf |access-date=20 June 2023}}</ref> The fertilizer plant in Chichoki Mallian, [[Sheikhupura]], [[Punjab, Pakistan|Punjab]] was constructed in 1969. This was the first private sector venture to receive a loan from the [[World Bank]]. The factory was the largest [[ammonia]]/[[urea]] plant in the country at the time.
Dawood Hercules Corporation was incorporated in 1968 as Dawood Hercules Chemicals Limited, a [[joint venture]] between [[Dawood Group]] and [[Hercules Inc.]], each contributed 40 percent of the equity while 10 percent each was subscribed by the [[International Finance Corporation]] and the general public following its [[initial public offering]] on the [[Karachi Stock Exchange]].<ref name="worldbank">{{Cite web|url=https://documents1.worldbank.org/curated/ru/218571468333600932/pdf/multi0page.pdf|title=Dawood Hercules Chemicals Limited Urea Project - World Bank}}</ref><ref>{{Cite web |last=Ahmad |first=Mumtaz |date=December 1987 |title=Agricultural research in Pakistans private sector |url=https://pdf.usaid.gov/pdf_docs/PNABS826.pdf |access-date=20 June 2023}}</ref> The planning of the project began in 1966 when both the parties requested the [[World Bank]] to finance the project.<ref name="worldbank"/> In August 1967, the National Economic Council of Pakistan gave its approval to the project.<ref name="worldbank"/> The fertilizer plant, with a capacity to manufacture 345,000 tons of [[urea]] per annum, was constructed in [[Chichoki Mallian]], [[Sheikhupura]], [[Punjab, Pakistan|Punjab]], at a total cost of $78.2 million; with a loan component of $32 million, provided by the [[World Bank]].<ref name="worldbank"/><ref name="loan">{{Cite web|url=https://documents1.worldbank.org/curated/en/378871468100489416/pdf/Loan-0549-Pakistan-Dawood-Hercules-Fertilizer-Project-Guarantee-Agreement.pdf|title=World Bank loan}}</ref>


In 1997, Dawood Hercules began equity investments in [[Engro Corporation]], and acquired 27 percent of its shares.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=SECP, SBP to settle Engro takeover issue |url=https://www.dawn.com/news/91386/secp-sbp-to-settle-engro-takeover-issue |access-date=3 June 2021 |publisher=Dawn |date=4 April 2003}}</ref> In 2002, Dawood Hercules made further investment in the [[Engro Corporation]] and since then has increased its shareholding to 40 percent.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Investor mopping up shares in Engro |url=https://www.dawn.com/news/736251/investor-mopping-up-shares-in-engro |access-date=3 June 2021 |publisher=Dawn |date=22 July 2012}}</ref>
Dawood Hercules Chemicals remained as a joint venture between the family-driven business and the American partners for over 20 years until the majority takeover in 1990.


In 1997 the Dawood Hercules Chemicals began equity investments in Engro Corporation, and 27% of its shares were acquired.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=SECP, SBP to settle Engro takeover issue |url=https://www.dawn.com/news/91386/secp-sbp-to-settle-engro-takeover-issue |access-date=3 June 2021 |publisher=Dawn (Newspaper) |date=4 April 2003}}</ref>
In 2003, Dawood Hercules acquired a partial stake in the [[Sui Northern Gas Pipeline Limited|Sui Northern Gas Pipeline]] and owned up to 10 percent of its shares.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Dawood Hercules gets 61m shares of SNGPL |url=https://www.dawn.com/news/106075/dawood-hercules-gets-61m-shares-of-sngpl |access-date=3 June 2021 |publisher=[[Dawn (newspaper)|Dawn]] |date=12 June 2003}}</ref>


⚫
In 2010, Dawood Hercules Chemicals was de-merged and became Dawood Hercules Corporation, a holding company which focuses on investments and Dawood Hercules Fertilizers. By 2011, Dawood Hercules' fertilizer business was facing difficulties in procuring gas.<ref name=":0">{{Cite web |date=2021-01-03 |title=Strong profits at Engro allow Dawood Hercules to pay off debts early |url=https://profit.pakistantoday.com.pk/2021/01/03/strong-profits-at-engro-allow-dawood-hercules-to-pay-off-debts-early/ |access-date=2022-05-31 |website=Profit by Pakistan Today |language=en-US}}</ref> It undertook a failed sale of DH Fertilizers to Pakarab Fertilizers.<ref name=":0" /> In 2012, Dawood Hercules acquired a minor stake in [[Hub Power Company]].<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Hub Power Company is sold |url=https://www.dawn.com/news/725889/hub-power-company-is-sold |access-date=3 June 2021 |publisher=Dawn |date=12 June 2012}}</ref><ref>{{Cite web|url=https://tribune.com.pk/story/392248/dawood-conglomerate-group-acquires-stake-in-hubco|title=Dawood conglomerate: Group acquires stake in Hubco|date=11 June 2012|website=The Express Tribune}}</ref>
In 2002 the company expanded its long-term investment in the [[Engro Corporation]]. Since then, at least 37% of the shares of Engro are held by DH Corp.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Investor mopping up shares in Engro |url=https://www.dawn.com/news/736251/investor-mopping-up-shares-in-engro |access-date=3 June 2021 |publisher=Dawn (Newspaper) |date=22 July 2012}}</ref>


⚫
In 2015, Dawood Hercules sold its fertilizer manufacturing company to the [[Fatima Fertilizer Company]].<ref>{{cite news |title=FFC acquires DH Fertilizer |url=https://www.thenews.com.pk/print/47909-ffc-acquires-dh-fertilizer |access-date=3 June 2021 |publisher=The News International |date=26 June 2015}}</ref><ref>{{Cite web|url=https://tribune.com.pk/story/904095/birth-to-speculation-dawood-hercules-cleans-hands-off-fertiliser-plant|title=Birth to speculation: Dawood Hercules cleans hands off fertiliser plant|date=15 June 2015|website=The Express Tribune}}</ref> The shares of Hubco were sold in 2018.<ref>{{cite news |last1=Farooq |first1=Mohammad |title=Mega Conglomerate to acquire 15.8 percent stake of Dawood Hercules in Hubco |url=https://profit.pakistantoday.com.pk/2018/02/01/mega-conglomerate-acquires-100pc-stake-in-hubco/ |access-date=3 June 2021 |publisher=Profit (Pakistan Today) |date=1 February 2018}}</ref>
In 2003, the company invested in shares of [[Sui Northern Gas Pipeline Limited|Sui Northern Gas Pipeline]] and owned up to 10% of it.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Dawood Hercules gets 61m shares of SNGPL |url=https://www.dawn.com/news/106075/dawood-hercules-gets-61m-shares-of-sngpl |access-date=3 June 2021 |publisher=[[Dawn (newspaper)|Dawn]] (Newspaper) |date=12 June 2003}}</ref>


⚫
In October 2022, Dawood Hercules sold its wholly-owned subsidiary Empiric AI, which solves complex industrial problems through software products like data analytics and artificial intelligence, under a share swap agreement to [[Avanceon]].<ref>{{cite news |last1=Hassan |first1=Taimoor |title=The rising Octopus |url=https://profit.pakistantoday.com.pk/2022/10/16/the-rising-octopus/ |access-date=16 July 2023 |work=Profit by Pakistan Today |date=16 October 2022 |language=en}}</ref>
⚫
In 2011, the company's fertilizer manufacturing business encountered problems due to the strain in Pakistan's gas supply.<ref name=":0">{{Cite web |date=2021-01-03 |title=Strong profits at Engro allow Dawood Hercules to pay off debts early |url=https://profit.pakistantoday.com.pk/2021/01/03/strong-profits-at-engro-allow-dawood-hercules-to-pay-off-debts-early/ |access-date=2022-05-31 |website=Profit by Pakistan Today |language=en-US}}</ref> It undertook a failed sale of DH Fertilizers to Pakarab Fertilizers.<ref name=":0" /> Dawood Hercules Chemicals Ltd. was de-merged and became Dawood Hercules Corporation (DH Corp.), a holding company which focuses on investments and Dawood Hercules Fertilizers.<ref>{{cite web |last1=Malik |first1=Silwat |title=Rating Report (June 2019) |url=https://islamicmarkets.com/publications/dawood-hercules-corporation-limited-sukuk-pacra-rating-report |website=IslamicMarkets |publisher=The Pakistan Credit Rating Agency |access-date=3 June 2021}}</ref>


== Investments ==
In 2012 DH Corp. acquired shares of [[Hub Power Company]] (HUBCO), the first and largest independent power producer in Pakistan with a power generation capacity of 2920 MW.<ref>{{cite news |last1=Hussain |first1=Dilawar |title=Hub Power Company is sold |url=https://www.dawn.com/news/725889/hub-power-company-is-sold |access-date=3 June 2021 |publisher=Dawn (Newspaper) |date=12 June 2012}}</ref>
⚫
DH Corp. directly governs financially and operationally over its subsidiary, [[Engro Corporation]], and holds, through the majority of voting rights, the decision-making power at the company's' boards of directors.<ref name="DHAR22">{{cite web |title=Annual Report 2022 |url=https://www.dawoodhercules.com/app/media/2023/04/DH-Corp-Annual-Report-2022.pdf |publisher=Dawood Hercules Ltd. |access-date=10 July 2023 |page=104 |language=en |date=2 March 2023}}</ref>

⚫
In 2015, DH Corp. sold its fertilizer manufacturing company to the Fatima Fertilizer Company.<ref>{{cite news |title=FFC acquires DH Fertilizer |url=https://www.thenews.com.pk/print/47909-ffc-acquires-dh-fertilizer |access-date=3 June 2021 |publisher=The News International |date=26 June 2015}}</ref> The shares of Hubco were sold in 2018.<ref>{{cite news |last1=Farooq |first1=Mohammad |title=Mega Conglomerate to acquire 15.8 percent stake of Dawood Hercules in Hubco |url=https://profit.pakistantoday.com.pk/2018/02/01/mega-conglomerate-acquires-100pc-stake-in-hubco/ |access-date=3 June 2021 |publisher=Profit (Pakistan Today) |date=1 February 2018}}</ref>

⚫
In October 2022, DH Corp. sold its wholly-owned subsidiary Empiric AI, which solves complex industrial problems through software products like data analytics and artificial intelligence, under a share swap agreement to [[Avanceon]].<ref>{{cite news |last1=Hassan |first1=Taimoor |title=The rising Octopus |url=https://profit.pakistantoday.com.pk/2022/10/16/the-rising-octopus/ |access-date=16 July 2023 |work=Profit by Pakistan Today |date=16 October 2022 |language=en}}</ref>

== Shareholding ==
DH Corp. is a public listed family-owned company on the [[Pakistan Stock Exchange]] (PSX). It is traded on the PSX under the symbol DAWH. The number of shares of DAWH are 481,287,116.<ref>{{cite web |title=Dawood Hercules Corporation Limited |url=https://dps.psx.com.pk/company/DAWH |website=Data Portal |publisher=Pakistan Stock Exchange (PSX) |access-date=21 August 2021}}</ref> It has received domestic entity rating by the Pakistan Credit Rating Agency Limited (PACRA), Long Term: AA and Short Term: A1+.<ref>{{cite web |last1=Qamar |first1=Faiqa |title=Rating Report: Dawood Hercules Corporation Limited |url=https://www.pacra.com/summary_report/RR_1401_8218_26-Jun-20.pdf |website=pacra.com |publisher=The Pakistan Credit Rating Agency Limited |access-date=3 June 2021}}</ref> DH Corp. is one of four companies that collectively control 19.3% of the total market capitalization on the Pakistan Stock Exchange (PSX).<ref name="Dawn, The Business and Finance Weekly">{{cite news |last1=Hussain |first1=Dilawar |title=Who's who of the PSX |url=https://www.dawn.com/news/1613808 |access-date=3 June 2021 |publisher=Dawn (Newspaper) |date=22 March 2021}}</ref>

== Subsidiaries ==
DH Corp. directly governs financially and operationally over its subsidiary, [[Engro Corporation]], and holds, through the majority of voting rights, the decision-making power at the company's' boards of directors.<ref name="DHAR22"/>

Engro Corporation is a conglomerate with subsidiaries itself. Its activities span from production of [[Engro Fertilizers|fertilizers]], foods, chemicals to energy, [[Engro Polymer|petrochemicals]], telecommunication infrastructure and trade.

=== Associated companies ===
Through common directorship of DH Corp. are the following companies associated with it:<ref name="DHAR22"/>

Inbox Business Technologies had initially started its operations as a computer assembly business in 2001. Inbox has partnerships with leading global IT companies which include Huawei, Oracle, and Microsoft corporation. It is the largest domestic revenue-generating IT company.<ref>{{cite news |title=Inbox recognised as Pakistan's largest tech company |url=https://tribune.com.pk/story/1271725/inbox-recognised-pakistans-largest-tech-company |access-date=31 August 2021 |publisher=Express Tribune |date=22 December 2016}}</ref>

Dawood Lawrencepur Limited (DLL), used to be a leading textile company with factories in Burewala and Karachi but shut its textile business and was restyled in 2004<ref>{{cite news |title=Lawrencepur Woolen and Textile Mills suspends operations |url=https://www.thenews.com.pk/archive/print/451572-lawrencepur-woolen-and-textile-mills-suspends-operations |access-date=3 June 2021 |publisher=[[The News International]] |date=30 August 2013}}</ref><ref>{{cite news |title=Dawood Lawrencepur Limited |url=https://fp.brecorder.com/2015/09/201509031223597/ |access-date=3 June 2021 |publisher=[[Business Recorder]] |date=3 September 2015}}</ref> to become a holding company for two renewable energy projects.<ref>{{cite news |last1=Hasan |first1=Saad |title=Solar power: Dawood Group's Reon eyes tube-well project |url=https://tribune.com.pk/story/921015/solar-power-dawood-groups-reon-eyes-tube-well-project |publisher=The Express Tribune |date=15 July 2015}}</ref>

Tenaga Generasi Limited (TGL), a Malaysian company, incorporated in Pakistan in 2004 to implement a 50MW wind power plant. TGL runs a wind power plant in Sindh and was acquired by DLL in 2008.<ref name="Recorder Report">{{cite news |title=Dawood Lawrencepur Limited |url=https://www.brecorder.com/news/596768 |access-date=3 June 2021 |publisher=Business Recorder |date=14 May 2020}}</ref>

Reon Energy is DLL's subsidiary actively engaged in [[solar power]], [[energy storage]], [[electric vehicle]] charging and digitization of energy assets. Reon is one of Pakistan's leading industrial renewable energy specialist. Its portfolio includes cement, oil and gas, coal mining, steel, textile, dairy, and telecommunications.<ref>{{cite web |title=Press Release: Reon Energy Limited Energises Business Growth With Oracle Cloud |url=https://www.oracle.com/apac/news/announcement/reon-energy-limited-energises-business-growth-2020-07-27.html |website=Oracle.com |date=27 July 2020 |access-date=3 June 2021}}</ref>


== Leadership ==
== Leadership ==
DH Corp.'s board of directors, according to Pakistan's Companies Act of 2017,<ref>{{cite web |title=Companies Act, 2017 |url=http://www.na.gov.pk/uploads/documents/1487136261_767.pdf |website=Na.gov.pk |publisher=National Assembly of Pakistan |access-date=3 June 2021}}</ref> comprises 6 non-executive, 3 independent, and 1 executive director.
Dawood Hercules' [[board of directors]], according to Pakistan's Companies Act of 2017,<ref>{{cite web |title=Companies Act, 2017 |url=http://www.na.gov.pk/uploads/documents/1487136261_767.pdf |website=Na.gov.pk |publisher=National Assembly of Pakistan |access-date=3 June 2021}}</ref> comprises 6 non-executive, 3 independent, and 1 executive director.

Mohammad Shamoon Chaudry is since 1st January 2022 the company's chief executive officer.<ref>{{cite news |title=DAWH appoints Shamoon Chaudry as CEO |url=https://mettisglobal.news/dawh-appoints-shamoon-chaudry-as-ceo/ |access-date=22 June 2023 |work=Mettis Global Link |date=17 December 2021}}</ref>
Chairman of the board of directors:
Chairman of the board of directors:
* [[Ahmed Dawood]], 1968 - 2002
* [[Ahmed Dawood]], (1968–2002)
* [[Hussain Dawood]], 2008 - present
* [[Hussain Dawood]], (2002–present)


Vice Chairman of the board of directors:
Vice Chairman of the board of directors:
* J. M. Eagen, 1973
* J. M. Eagen (1973)
* Gordon M. Hoffmann, 1975 - 1979
* Gordon M. Hoffmann (1975–1979)
* Walter H. Duncan, 1981 - 1988
* Walter H. Duncan (1981–1988)
* Arden B. Engebretsen, 1989 - 1990
* Arden B. Engebretsen (1989–1990)
* [[Shahzada Dawood]] (2018–2021)
* [[Shahzada Dawood]], 2018 - 2021<ref>{{cite web |title=Engro Corporation 1H 2021 Results |url=https://www.engro.com/press-releases/engro-corporation-1h-2021-results/ |website=Governance Matters |publisher=Engro Corp |date=August 24, 2021 |access-date=22 June 2023 |archive-date=20 June 2023 |archive-url=https://web.archive.org/web/20230620220136/https://www.engro.com/press-releases/engro-corporation-1h-2021-results/ |url-status=live }}</ref>
* Samad Dawood (2021–present)

CEOs:
* Mohammad Shamoon Chaudry (2022–present)


==See also==
==See also==
Line 93: Line 81:


{{KSE 100}}
{{KSE 100}}
{{Portalbar|Business and economics|Pakistan|Company}}{{coord|24.8459|N|67.0231|E|display=title}}
{{Portalbar|Business and economics|Pakistan|Company}}


{{DEFAULTSORT:Dawood Hercules}}
{{DEFAULTSORT:Dawood Hercules}}
⚫
[[Category:Hercules Inc.]]
[[Category:Conglomerate companies established in 1968]]
[[Category:Conglomerate companies established in 1968]]
[[Category:Conglomerate companies of Pakistan]]
[[Category:Conglomerate companies of Pakistan]]
[[Category:Companies based in Karachi]]
[[Category:Companies based in Karachi]]
[[Category:Companies of Sindh]]
[[Category:Companies of Sindh]]
[[Category:1960s initial public offerings]]
[[Category:Companies listed on the Pakistan Stock Exchange]]
[[Category:Companies listed on the Pakistan Stock Exchange]]
[[Category:Companies in the KSE 100 Index]]
[[Category:Companies in the KSE 100 Index]]
[[Category:Dawood Hercules Corporation]]
[[Category:Pakistani brands]]
[[Category:Pakistani companies established in 1968]]
[[Category:Pakistani companies established in 1968]]
[[Category:Former joint ventures]]
[[Category:Former joint ventures]]
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[[Category:Hercules Inc.]]

Latest revision as of 16:54, 15 December 2024

Dawood Hercules
FormerlyDawood Hercules Chemicals Limited (1968–2011)
Company typePublic
PSX: DAWH
KSE 100 component
ISINPK0017501013
IndustryConglomerate
Founded17 April 1968; 56 years ago (17 April 1968)
FounderAhmed Dawood
HeadquartersDawood Centre, M.T. Khan Road, Karachi
Area served
Pakistan
Key people
Hussain Dawood (Chairman)
Mohammad Shamoon Chaudry (CEO)
RevenueIncrease Rs. 482.488 billion (US$1.7 billion) (2023)
Increase Rs. 121.032 billion (US$420 million) (2023)
Increase Rs. 8.322 billion (US$29 million) (2023)
Total assetsIncrease Rs. 815.792 billion (US$2.8 billion) (2023)
Total equityDecrease Rs. 232.897 billion (US$810 million) (2023)
OwnerDawood Lawrencepur (16.19%)
Dawood Investments (9.85%)
Number of employees
21 (2023)
SubsidiariesEngro Corporation (40%)
Websitedawoodhercules.com
Footnotes / references
Financials as of 31 December 2023 [1]

Dawood Hercules Corporation Limited (Urdu: داؤد ہرکولیس کارپوریشن, DH Corp.), commonly known as Dawood Hercules, is a Pakistani holding company headquartered in Karachi.[2][3]

History

[edit]
Fertiliser factory in Chichoki Mallian, Sheikhupura district

Dawood Hercules Corporation was incorporated in 1968 as Dawood Hercules Chemicals Limited, a joint venture between Dawood Group and Hercules Inc., each contributed 40 percent of the equity while 10 percent each was subscribed by the International Finance Corporation and the general public following its initial public offering on the Karachi Stock Exchange.[4][5] The planning of the project began in 1966 when both the parties requested the World Bank to finance the project.[4] In August 1967, the National Economic Council of Pakistan gave its approval to the project.[4] The fertilizer plant, with a capacity to manufacture 345,000 tons of urea per annum, was constructed in Chichoki Mallian, Sheikhupura, Punjab, at a total cost of $78.2 million; with a loan component of $32 million, provided by the World Bank.[4][6]

In 1997, Dawood Hercules began equity investments in Engro Corporation, and acquired 27 percent of its shares.[7] In 2002, Dawood Hercules made further investment in the Engro Corporation and since then has increased its shareholding to 40 percent.[8]

In 2003, Dawood Hercules acquired a partial stake in the Sui Northern Gas Pipeline and owned up to 10 percent of its shares.[9]

In 2010, Dawood Hercules Chemicals was de-merged and became Dawood Hercules Corporation, a holding company which focuses on investments and Dawood Hercules Fertilizers. By 2011, Dawood Hercules' fertilizer business was facing difficulties in procuring gas.[10] It undertook a failed sale of DH Fertilizers to Pakarab Fertilizers.[10] In 2012, Dawood Hercules acquired a minor stake in Hub Power Company.[11][12]

In 2015, Dawood Hercules sold its fertilizer manufacturing company to the Fatima Fertilizer Company.[13][14] The shares of Hubco were sold in 2018.[15]

In October 2022, Dawood Hercules sold its wholly-owned subsidiary Empiric AI, which solves complex industrial problems through software products like data analytics and artificial intelligence, under a share swap agreement to Avanceon.[16]

Investments

[edit]

DH Corp. directly governs financially and operationally over its subsidiary, Engro Corporation, and holds, through the majority of voting rights, the decision-making power at the company's' boards of directors.[17]

Leadership

[edit]

Dawood Hercules' board of directors, according to Pakistan's Companies Act of 2017,[18] comprises 6 non-executive, 3 independent, and 1 executive director.

Chairman of the board of directors:

Vice Chairman of the board of directors:

  • J. M. Eagen (1973)
  • Gordon M. Hoffmann (1975–1979)
  • Walter H. Duncan (1981–1988)
  • Arden B. Engebretsen (1989–1990)
  • Shahzada Dawood (2018–2021)
  • Samad Dawood (2021–present)

CEOs:

  • Mohammad Shamoon Chaudry (2022–present)

See also

[edit]

References

[edit]
  1. ^ "Dawood Hercules Annual Report 2023". Retrieved 30 November 2024.
  2. ^ Hussain, Dilawar (22 March 2021). "Who's who of the PSX". Dawn. Retrieved 3 June 2021.
  3. ^ "The Dawoods' growing bet on Pakistan". The Express Tribune. 28 September 2015.
  4. ^ a b c d "Dawood Hercules Chemicals Limited Urea Project - World Bank" (PDF).
  5. ^ Ahmad, Mumtaz (December 1987). "Agricultural research in Pakistans private sector" (PDF). Retrieved 20 June 2023.
  6. ^ "World Bank loan" (PDF).
  7. ^ Hussain, Dilawar (4 April 2003). "SECP, SBP to settle Engro takeover issue". Dawn. Retrieved 3 June 2021.
  8. ^ Hussain, Dilawar (22 July 2012). "Investor mopping up shares in Engro". Dawn. Retrieved 3 June 2021.
  9. ^ Hussain, Dilawar (12 June 2003). "Dawood Hercules gets 61m shares of SNGPL". Dawn. Retrieved 3 June 2021.
  10. ^ a b "Strong profits at Engro allow Dawood Hercules to pay off debts early". Profit by Pakistan Today. 3 January 2021. Retrieved 31 May 2022.
  11. ^ Hussain, Dilawar (12 June 2012). "Hub Power Company is sold". Dawn. Retrieved 3 June 2021.
  12. ^ "Dawood conglomerate: Group acquires stake in Hubco". The Express Tribune. 11 June 2012.
  13. ^ "FFC acquires DH Fertilizer". The News International. 26 June 2015. Retrieved 3 June 2021.
  14. ^ "Birth to speculation: Dawood Hercules cleans hands off fertiliser plant". The Express Tribune. 15 June 2015.
  15. ^ Farooq, Mohammad (1 February 2018). "Mega Conglomerate to acquire 15.8 percent stake of Dawood Hercules in Hubco". Profit (Pakistan Today). Retrieved 3 June 2021.
  16. ^ Hassan, Taimoor (16 October 2022). "The rising Octopus". Profit by Pakistan Today. Retrieved 16 July 2023.
  17. ^ "Annual Report 2022" (PDF). Dawood Hercules Ltd. 2 March 2023. p. 104. Retrieved 10 July 2023.
  18. ^ "Companies Act, 2017" (PDF). Na.gov.pk. National Assembly of Pakistan. Retrieved 3 June 2021.
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