Lahore, July 05, 2021 (PPI-OT):The ratings incorporate TPL Trakker’s prominent position in Pakistan’s tracking industry, emanating from its multifaceted product portfolio and sanguine technology infrastructure. The Company is gradually shifting towards business avenues that are more beneficial for the Company’s growth. The new segments have already achieved above par results, however, incremental yet consistent cash flows remain pivotal. The Company has acquired majority stake in Trakker Middle East LLC, with a view to enhance its presence in the Middle East market. Post-merger, TPL Maps and TPL Rupiya into TPL Trakker, the mapping division and locations based Services (LBS) has progressed significantly.
Moreover, the Company stands as a public listed company since Aug’20. Underpinning the IPO, was the Privately Placed Commercial Paper (PPCP) which is now completely paid off. The Company continues to face the pressure of high finance cost on account of its leveraged book, resulting in an overall bottom-line loss by the end 9MFY21. The situation accumulates the impact of COVID-19 pandemic in the country which has led to severe economic disruption and demand deceleration. Currently, the Company’s financial risk profile exhibits improved interest and debt coverages alongside capital structure and cash conversion cycles, endurance of which is necessitated.
TPL Trakker Limited (TPLT) – is now a Public Listed Company – since it got listed on the PSX in the month of Aug’20. Previously it was a wholly-owned subsidiary of TPL Corp Limited. TPL Trakker is a telematics solution provider and the core business mainly comprises vehicle tracking, fleet management, Internet of things (IoT) and Digital mapping services. TPL Corp is a ~62.41% subsidiary of TPL Holdings. Post-IPO, TPL Corp Limited is the major shareholder of TPL Trakker Limited with ~64% holding. BoD of the Company comprises eight members, headed by the Chairman Mr. Jameel Yusuf. Mr. Sarwar Ali Khan is the CEO of the Company, having more than a decade of experience and has been associated with the Company for the last three years.
For more information, contact:
Analyst,
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore, Pakistan
Tel: +92-42-5869504-6
Fax: +92-42-5830425
Email: hammad.rashid@pacra.com
Website: www.pacra.com