Karachi, December 31, 2021 (PPI-OT):Upon review of final issuance documentation VIS Credit Rating Company Ltd. has finalized the rating of ‘AAA’ (Triple A) assigned to Basel 3 compliant Tier II Sukuk (‘Sukuk 4’ or ‘the Issue’) issue of Meezan Bank Limited (MBL). Outlook on the assigned rating is ‘Stable’. The medium to long-term rating of ‘AAA’ denotes highest credit quality, with negligible risk factors, being only slightly more than for risk-free debt of Government of Pakistan (GoP). The previous rating action was announced on November 24, 2021.

The Issue is unsecured and sub-ordinated. Tenor of the issue is 10 years and repayment structure is bullet payment at the end of the tenor. The arrangement involves recalling the Sukuk 1, issued previously on September 22, 2016 amounting to Rs. 7b, and issuing fresh Sukuk. The Issue shall contribute towards MBL’s Tier II Capital for complying with the Capital Adequacy Ratio (CAR) requirements prescribed by SBP under its Basel III framework. The Issue proceeds will be utilized towards enhancement of the bank’s business operations.

For more information, contact:
Director Compliance and Rating Analytics,
VIS Credit Rating Company Limited
VIS House, 128/C, 25th Lane off Khayaban-e-Ittehad,
Phase VII, DHA, Karachi, Pakistan
Tel: +92-21-35311861-72
Fax: +92-21-35311873
Email: bilal@jcrvis.com.pk
Website: https://www.vis.com.pk/