The Pakistan Credit Rating Agency Limited
Press Release
a

Rating Action
Lahore: (11-January-2007)
    PACRA Upgrades the Entity Ratings of
JS ABAMCO Limited
 

 
Analyst
Maimoon Rasheed
(+92-42-586 9504)
maimoon@pacra.com

 

 

 












 

 

 

Disclaimer
This press release is transmitted to you for this sole purpose of dissemination through your newspaper/magazine/agency. The press release may be used by you in full or in part without changing the meaning or context thereof but with due credit to PACRA. However, PACRA has the sole right of distribution of its press releases for consideration or otherwise through any media.

  

The Pakistan Credit Rating Agency (PACRA) has upgraded the long-term and the short-term ratings of JS ABAMCO to “AA-” (Double A minus) and “A1+” (A one plus), respectively. These ratings denote very low expectation of credit risk emanating from very strong capacity for timely payment of financial commitments.

JS ABAMCO’s ratings reflect sustained improvement in its performance and, in turn, the capital structure while maintaining a low risk business profile. The ratings also recognize the continuing efforts by the management to strengthen the human and infrastructure resources that provides a strong platform for the company’s growth plans. Meanwhile, the company’s strong franchise value in the country’s asset management industry and association with the JS group are also key rating factors.

About the company: Incorporated in 1995, JS ABAMCO Limited (formerly ABAMCO Limited) is the oldest and largest private sector asset management company in Pakistan, registered with the Securities & Exchange Commission of Pakistan (SECP) as an investment advisor for closed-end funds and asset management company for open-end funds. Currently, the company is managing nine funds (including six open-end and three closed-end funds) with assets under management of over PKR 22bln (as at June 30, 2006). It is a subsidiary of Jahangir Siddiqui & Company Limited (JSCL) which has a very strong market standing emanating from its reputation as a well-managed and strong entity carrying a long-term rating of ‘AA+’ from PACRA. The company is in the process of being listed at the Karachi Stock Exchange through an offer for sale of 20% of the existing issued shares.
 
The primary function of PACRA is to evaluate the capacity and willingness of an entity to honor its obligations. Our ratings reflect an independent, professional and impartial assessment of the risks associated with a particular instrument or an entity.

PACRA's comprehensive offerings include instrument and entity credit ratings, insurer financial strength ratings, fund ratings, asset manager ratings and real estate gradings.

PACRA's opinion is not a recommendation to purchase, sell or hold a security, in as much as it does not comment on the security's market price or suitability for a particular investor.

 

    
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