The Pakistan Credit Rating Agency Limited
07-Nov-20
Analyst
Saadat Mirza
saadat.mirza@pacra.com
+92-42-35869504
www.pacra.com
Applicable Criteria
- Methodology | Corporate Ratings | Jun-20
- Methodology | Correlation Between Long-Term And Short-Term Rating Scale | Jun-20
- Criteria | Rating Modifier | Jun-20
Related Research
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 Entity Ratings of BBJ Pipe Industries Limited
| Rating Type | Entity | |
|
Current (07-Nov-20 ) |
Previous (08-Nov-19 ) |
|
| Action | Withdraw | Maintain |
| Long Term | - | BBB- |
| Short Term | - | A3 |
| Outlook | Stable | Stable |
| Rating Watch | - | - |
Subsequent to the management's decision to discontinue the entity ratings of BBJ Pipe, PACRA withdraws the ratings of BBJ Pipe Industries Limited with immediate effect.
About
the Entity
BBJ Pipe Industries Limited was incorporated in January 1991. The Company was converted into a public limited entity in 2013 under the company ordinance. It is primarily engaged in manufacturing of steel, iron and polyethylene pipe in several diameters range which are used in different government and private projects. The company is wholly owned by the sponsors - Zubair family. In FY18, The Company established a subsidiary 'BBJ Steel Limited', for one of it's product lines (HRC to CRC). The company has 99.88% ownership in the subsidiary.
The overall control of Company vests with three members' board of directors, wherein all members are from sponsoring family including the Chief Executive Officer. Mr. Zubair Qayyum, a mechanical engineer by profession, is the founding member of BBJ Pipe Industries limited. He is an Ex-Army official. Two board members, Mr. Zubair (CEO) and his son, Mr. Ahmed (COO), are equipped with necessary technical skills to manage and oversee the business.