K-Electric has expressed its pride in announcing that the KE SUKUK issue of PKR 22 billion, including a green shoe option of PKR 2 billion, has been fully subscribed on its launch day. The Sukuk has a tenor of 7 years and is rated AA+ by the JCR-VIS Credit Rating Agency Limited. It is the largest listed SUKUK issue in Pakistan’s corporate history and will offer investors lucrative value for their investment. It will also be listed in the stock exchanges of Karachi in June 2015.
Spokesperson K-Electric said that this strategic initiative will have far-reaching benefits for KE in executing its long term business strategy. Future investment plans of the Company include investing in generation capacity addition & efficiency improvement, along with augmentation of the transmission & distribution network, improving system reliability and execution of loss reduction projects.
He further said that KE management is grateful to its stakeholder for their continued trust in KE, stating that the subscription of KE SUKUK on the day of launch clearly reflects confidence and trust of retail and institutional investors in KE as an entity, its professional management and its sound growth strategy.
The structure of this Sukuk has been approved by the Transaction Shariah Advisory Board which consists of the following Islamic Scholars: Prof. Mufti Muneeb-ur-Rehman, Dr. Muhammad Imran Ashraf Usamani, Mufti Muhammad Yahya Asim and Mufti Irshad Ahmad Aijaz. KE believes that this issue of Sukuk will pave way for the development of Capital markets for Islamic Instruments.