PACRA Maintains the Entity Ratings of Madiha International (Pvt.) Limited

The assigned rating of Madiha International (Pvt.) Limited (“Madiha International” or the “Company”) reflects its established position in the import and trading of printer papers in Pakistan, supported by a stable customer base, efficient supply chain management, and a relatively low-leveraged capital structure. The Company benefits from the sponsors’ extensive experience in the paper trading business and their continued financial support when required, which provides additional comfort to the assigned rating. The Company markets its products under recognized brand names, including “BLC, PPC, and IK Copy logo”, which have gained acceptance in the local market over time. The overall paper industry in Pakistan comprises manufacturers, converters, and commercial importers, within which Madiha International has positioned itself as a notable importer. The Company’s supply chain is supported through its dedicated intender, International Business Management, which facilitates sourcing and procurement of paper products from international markets and ensures the timely availability of inventory. The Company serves a stable and diversified clientele, primarily consisting of corporate customers, including reputable financial institutions and other established organizations. Demand for printer paper remains largely linked to commercial and institutional consumption, which provides relative stability to the Company’s sales volumes. During FY25, the Company maintained a stable operational profile. The financial risk profile remains manageable, as the Company largely relies on internally generated funds and sponsor support rather than excessive reliance on external borrowings.
The rating is dependent on sustaining its market share and prudent management of the working capital. While maintaining sufficient cash flows and coverages are essential for the ratings. Any significant change in margins and coverages will impact the ratings. Moving forward, improvement in the governance and management framework remains of vital importance.

About the Entity
Madiha International (Pvt.) Limited was established in 2016 as a private limited Company, registered with the Securities and Exchange Commission of Pakistan (SECP) under the Companies Act, 2017. Headquartered in Karachi, the Company operates as part of a family-owned business group. Ownership is divided among four shareholders, each holding a 25% stake: i) Mr. Usman Saleem Bikiya, ii) Mr. Muhammad Bilal, iii) The remaining 50% is held by other family members.
The Board of Directors (BoD) consists of three members. Mr. Muhammad Bilal, serving as the CEO, oversees the Company’s financial matters and provides external advisory support. Mr. Usman Bikiya is one of the Company's directors.