Analyst
Faiqa Qamar
faiqa.qamar@pacra.com
+92-42-35869504
www.pacra.com
Applicable Criteria
Related Research
Pak Elektron Limited Redeems CP | March 19 | PACRA Withdraws Instrument Rating
Issuer | Pak Elektron Limited |
Instrument | |
Amount | PKR mln |
Issuance Date | 01-Jan-70 |
Tenor | Years |
Redemption Date | 01-Jan-70 |
Outstanding Amount | - |
Rating Type | Debt Instrument | |
Current (20-Dec-19 ) |
Previous (22-Aug-19 ) |
|
Action | Redeem | Maintain |
Long Term | - | - |
Short Term | A1 | A1 |
Outlook | Stable | Stable |
Rating Watch | - | - |
The Company issued a privately placed Commercial Paper worth PKR 1,200mln on March,2019, to finance working capital requirements. The Paper had a tenor of nine (9) months and carried a profit rate of 9MK + 125bps. Issuance was in the form of promissory notes at a discount to face value with redemption at face value in one bullet payment at maturity.
Subsequent to the repayment of Commercial Paper, the Pakistan Credit Rating Agency (PACRA) has withdrawn the rating of Pak Elektron Limited CP | March 19 |
About
the Entity
PEL is a listed Public Limited Company and was incorporated in 1956. The Company is principally engaged in manufacturing and sale of electrical capital goods and domestic appliances. PEL is majorly owned by Saigol Group (~50%). Other interests of the group include power, textile and real estate. Mr. Naseem Saigol is the Chairman of the ten member Board. Saigol family has prominent presence on Board. Mr. Murad Saigol, MD/CEO, monitors all of the strategic and operational affairs of the Company. He is supported by an experienced and stable management team.