Lahore, January 15, 2015 (PPI-OT): The Pakistan Credit Rating Agency (PACRA) has maintained the long-term and short-term entity ratings of ORIX Leasing Pakistan Limited (OLP) at “AA+” (Double A Plus) and “A1+” (A One plus) respectively. These ratings denote a very low expectation of credit risk emanating from the highest capacity for timely payment of financial commitments.
The ratings of OLP reflect consistent improvement emanating from established business profile of the company attributable to well-rooted penetration into target market ensuing leading position in the leasing industry, diverse product portfolio, and good management quality. Healthy bottomline is testament to OLP’s operational and financial improvement in the recent years. Meanwhile, OLP continues to benefit from historically demonstrated commitment from ORIX Corporation, Japan towards its operations in Pakistan.
OLP has recently signed an MoU with Standard Chartered Bank (Pakistan) Limited (SCBPL) to acquire SCBPL’s stake in Standard Chartered Modaraba (along with its management company) and Standard Chartered Leasing. PACRA would monitor OLP’s strategy and the impact of this acquisition on its financial profile once certainty as to this acquisition is established.
The ratings are dependent on the company’s ability to sustain its market position and profitability amid expected expansion via acquisition. Significant erosion in capitalization, either by deterioration in asset quality or through business losses may negatively impact its ratings.
For more information, contact:
The Pakistan Credit Rating Agency Limited (PACRA)
Awami Complex, FB1, Usman Block New Garden Town,
Lahore – Pakistan
Tel: +9242 586 9504 -6
Fax: +9242 583 0425