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The Pakistan Credit Rating Agency Limited
Press Release

Date
12-Dec-17

Analyst
Rohail Amjad
rohail.amjad@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 Maintain Entity Ratings of TPL Life Insurance Company Limited

Rating Type IFS
Current
(13-Dec-17)
Previous
(30-May-17)
Action Maintain Maintain
Long Term A- A-
Short Term - -
Outlook Stable Stable
Rating Watch - -

The rating incorporates the refined business strategy implemented by the new sponsor. The strategy encompasses innovation in its products and increased penetration in lower income segments.The strength of the new sponsor is evident from fresh injection of ~ PK 100mln at end Dec-16 – further equity of PKR 80mln was injected at end- Mar 17. The management of the company keeps to target certain segment of business. TPL Life has adopted a bottom life centric approach targeting low ticket business. The company is going through the business process revamp pot acquisition; the management expects fruits of this exercise to emerge in the near future. An IPO is also expected soon. The approval in lieu of the IPO has been obtained from SECP and Stock Exchange.

About the Entity
TPL Life Insurance Limited (Formerly Asia Care Health and Life Insurance Company Limited) was incorporated in 2008 and obtained license to carry on life and related line of business in 2009. During CY16, TPL Trakker Limited, a subsidiary of TPL Holdings (Pvt) Limited, acquired 100% stake of the company. TPL Trakker Limited (TPL), listed on Pakistan Stock Exchange, is Pakistan’s largest vehicle tracking and fleet management company.
The new board of TPL Life consists of eight members, all from the sponsoring group. Mr. Jameel Yusuf Ahmed, the chairman, is a veteran businessman and is also the Chairman of TPL Holdings (Pvt) Limited. The new CEO of the company, Mr. Faisal Abbasi, is a professional having experience of over 19 years in Life Insurance and banking sector. He is assisted by a team of experienced professionals.

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.