The Pakistan Credit Rating Agency Limited
15-Sep-23
Analyst
Faiqa Qamar
faiqa.qamar@pacra.com
+92-42-35869504
www.pacra.com
Applicable Criteria
- Methodology | Corporate Rating | Jul-23
- Methodology | Correlation Between Long-term & Short-term Rating Scales | Jul-23
- Methodology | Rating Modifiers | Apr-23
Related Research
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PACRA Withdraws Entity Ratings of OILCO Petroleum (Pvt.) Limited
| Rating Type | Entity | |
|
Current (15-Sep-23 ) |
Previous (19-Sep-22 ) |
|
| Action | Withdraw | Maintain |
| Long Term | - | A- |
| Short Term | - | A2 |
| Outlook | Stable | |
| Rating Watch | - | - |
Subsequent to the management's decision to discontinue the Entity Ratings, PACRA withdraws the Entity Ratings of OILCO Petroleum (Pvt.) Ltd. with immediate effect.
About
the Entity
OILCO Petroleum (Pvt.) Limited (OILCO), incorporated in 2013, was granted license to establish as Oil Marketing Company in 2017. OILCO started its operation in Punjab region with a network of ~ 68 retail outlets (end Dec-22). OILCO has a storage infrastructure of ~ 28000MTs. The Company's stake mainly (~ 98%) resides with the sponsors through SEARS Energy DMCC (~ 65%) and Halmore Power Generation Company (Halmore) (~ 33%). Moreover, SEARS Energy is a joint venture between Halmore (~67%) and Mr. Ahsan Majeed (~33%). ~2% of the stake in OILCO is held by Mr. Zaheer Ahmed Ghanghro. While ~1% stake resides among individuals.
The control of the Company vests with a seven-member Board, including the CEO. Two Directors are representative of SEARS Energy, whereas the remaining five Directors are Non-Executive. All the Board members are experienced professionals with diversified backgrounds. The CEO is supported by a competent team.