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The Pakistan Credit Rating Agency Limited
Press Release

Date
14-Jun-22

Analyst
Kanwal Ejaz
kanwal.ejaz@pacra.com
+92-42-35869504
www.pacra.com

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This press release is being transmitted for the sole purpose of dissemination through print/electronic media. The press release may be used in full or in part without changing the meaning or context thereof with due credit to PACRA

PACRA Withdraws Rating of Ghani Chemical Industries Limited- Islamic Commercial Paper ("ICP") of PKR 1,000mln

Rating Type Debt Instrument
Current
(14-Jun-22 )
Previous
(24-Jun-21 )
Action Withdraw Preliminary
Long Term - A
Short Term - A1
Outlook Stable
Rating Watch - -

The management of Ghani Chemical Industries Limited has decided not to issue Islamic Commercial Paper ("ICP") of PKR 1,000mln. The Company is of the view that they are not in need of it now due to other sources of finances.
Consequently, Pakistan Credit Rating Agency Limited withdraws rating of Islamic Commercial Paper ("ICP") of PKR 1,000mln with immediate effect. Previously preliminary rating of 'A' was assigned to Islamic Commercial Paper ("ICP") of PKR 1,000mln on 24 June 2021.

About the Entity
Ghani Chemical Industries Limited is an unlisted, public concern, incorporated as a private limited company in Nov-15 and subsequently converted to public status. In Jul-19, as part of the Scheme of Compromises, Arrangement, and Reconstruction was undertaken by the Ghani Global Group of Companies, the manufacturing undertaking of Ghani Global Holdings Limited (formerly “Ghani Gases Limited”), along with all assets and liabilities, was transferred to Ghani Chemicals Industries Limited. The Company is a subsidiary (~69.90%) of Ghani Global Holdings Limited which is owned majorly by the Ghani Family (~51.62%). The remaining shareholding lies in Ghani Products (Pvt.) Ltd. Ghani Chemicals is engaged in the manufacturing, sale, and trading of medical and industrial gases and chemicals. The Company's overall capacity stands at ~435 TPD while its product slate consists of Liquid Oxygen, Liquid Nitrogen, Liquid Argon, and Calcium Carbide. Members of sponsoring family majorly represent Ghani Chemicals’ four-member board. Mr. Masroor Ahmad Khan is the Chairman of the board while Mr. Hafiz Farooq Ahmad holds the office of CEO. They are assisted by a management team with extensive experience and a diversified skillset.

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 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.