The Pakistan Credit Rating Agency Limited
Press Release
a

Rating Action
Lahore: (09-May-2005)
    PACRA Maintains Entity Ratings of Jahangir Siddiqui Investment Bank Limited
 

 
Analyst
Ambreen Irfan
(+92-42-586 9504)
ambreen@pacra.com

 

 

 










 

 




Disclaimer
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The Pakistan Credit Rating Agency (PACRA) has maintained the long-term and the short-term ratings of Jahangir Siddiqui Investment Bank Limited (JSIBL) at “A+” (Single A plus) and “A1” (A one) respectively. These ratings are applicable to senior unsecured creditors of the company, and denote a low expectation of credit risk emanating from a strong capacity for timely payments of financial commitments.

JSIBL's ratings reflect its robust performance, and the strengthening capital structure. Thus, while JSIBL's performance is primarily a function of stock market operations, the bank's capacity to absorb the associated risk remains strong. The bank's affiliation with the Jahangir Siddiqui Group, with its proven expertise in capital market operations, is also a critical rating factor.

About the bank: Jahangir Siddiqui Investment Bank Limited commenced commercial operations in September 1993. The bank is mainly engaged in capital and money market activities and to some extent in short-term advances. JSIBL is continuing to develop fee based earning avenues stemming from activities such as underwriting, trusteeship, portfolio-trading and consultancy services. With a number of ideas in the pipeline, the bank is in the process of reviewing its future strategy to effectively meet the challenges of the increasingly competitive financial sector. Jahangir Siddiqui and Company Ltd. (JSCL) – the principal shareholder, with 62.41% stake in JSIBL – assumed control of the bank in September 1999. With its considerably expanded equity and asset base, the company is embarked upon new initiatives while retaining its status as the flagship company of the Jahangir Siddiqui Group. Meanwhile, the group itself continues to expand and diversify with a dynamic approach in identifying new growth opportunities with the proven ability to take quick but prudent investment decisions.

 
 
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.