PACRA Maintains Entity Ratings of Multinet Pakistan (Pvt.) Limited- Digital Infrastructure Facility | PKR 2100mln | Aug-22

Multinet Pakistan (Private) Limited has secured a PKR 1,038 million long-term financing facility through a structured arrangement involving Habib Bank Limited (HBL) as Lender, Security Agent, and Inter-Creditor Agent, and InfraZamin Pakistan (IZP) Limited as Guarantor. The facility was originally structured at PKR 2,100 million and subsequently resized in light of the prevailing high-interest-rate environment. The financing is backed by a partial credit guarantee from InfraZamin, covering 75% of the outstanding exposure and significantly strengthening the facility's credit profile. The facility supported the Company’s strategic digital infrastructure including the deployment of 100 data center packs, extension of its metro fiber network, advancement of tower fiberization initiatives, and funding of a dedicated Debt Service Reserve Account (DSRA). The facility benefits from a comprehensive security structure comprising a pari passu charge over present and future movable fixed assets, assignment of key contracts and receivables through a designated escrow arrangement with HBL, a pledge of the Company's shareholding, sponsor support commitments, and dedicated debt servicing accounts. Additionally, the DSRA is maintained at a level equivalent to 1.5 times the peak quarterly debt service requirement, providing enhanced liquidity support and strengthening lender protection. The financing will further accelerate Multinet's investment in critical digital infrastructure while supporting the growing demand for connectivity, cloud services, and enterprise-grade digital solutions across Pakistan.
The Company’s topline recorded an 8.6% increase, primarily driven by the growth of its domestic operations. The Enterprise business segment remained a key contributor, posting growth of 9.4%, supported by increasing demand for integrated ICT solutions and enterprise connectivity services. The Company demonstrated improvement in margins and profitability, reflecting effective cost management initiatives and operational efficiencies
The assigned rating reflects both the financial strength of the borrower and the credit enhancement provided by InfraZamin Pakistan Limited. InfraZamin draws upon the extensive infrastructure financing experience of InfraCo Asia and GuarantCo, complemented by Karandaaz Pakistan's local market expertise and track record in advancing financial inclusion initiatives. InfraZamin Pakistan Limited holds a long-term credit rating of “AAA” assigned by PACRA, underscoring the strength of its guarantee support.

About the Entity
Multinet Pakistan (Pvt.) Limited was incorporated in 1996, as a private limited Company. Primary business activity of the Company is to provide telecommunications infrastructure and services. Major shareholding (99%) resides with Mr. Adnan Asdar Ali. The product slate of the Company comprises provision of broadband & data connectivity related services to corporates, long-haul and metro optical fiber infrastructure requirements for telecom operators, international voice termination, fixed line telephony, and partnering with global carriers to provide broadband and data connectivity solutions to their customers operating in Pakistan.

About the Instrument
Multinet Pakistan (Pvt.) Limited has issued a privately placed secured instrument of PKR 1,038 million. The profit is being paid quarterly in arrears at the rate of 3M Kibor+0.75% p.a calculated on a 365 days basis on the outstanding principal amount. The principal is also being paid in twenty-four equal quarterly installments commenced from Feb-24 after the expiry of the Grace Period. The Company has made markup payments of PKR 25.5mln on 11st Feb-26, and PKR 22.1mln on 11th May-26. Additionally, two principal installments of PKR 42.8mln each were paid on 11th Feb-26 and 11 May-26 respectively.