The Nishat Group, one of South Asia's leading textile makers, is to merge Umer Fabrics Ltd into Nishat Mills Ltd and Nishat(Chunian) Ltd.

In a notice issued to Karachi Stock Exchange, Nishat said the move will reduce administration expenses and also hopes for improved risk absorption from an improved capital base.
 
Under the proposals, Umer Fabric will be split into two segments: Umer Fabrics 1 will be merged into Nishat Chunian, and Umer Fabrics 2 will be merged into Nishat Mills.