Lahore, June 26, 2018 (PPI-OT): The rating incorporates the refined business strategy implemented by the new sponsor. The strategy encompasses innovation in its products and increased penetration in lower income segments. The strength of the new sponsor is evident from fresh injections raising the equity to PKR 700mln. An IPO is also in the pipeline.
The management of the company keeps targeting niche segments of businesses. TPL Life is expanding its business volume, wherein which size matters as it provides economies of scale, while further boosting the company’s capacity to write new business. The management has high growth targets, though it would take time to reach the zenith.
The rating is dependent on the company’s ability to execute its existing business plan in an efficient manner; herein, growth in top-line and underwriting profits are mandatory. Stagnant liquidity levels are pivotal for rating.
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