Press Release
VIS Reaffirms Entity Rating of Shirazi Investments (Private) Limited
Karachi, January 29, 2026: VIS Credit Rating Company Limited (VIS) has reaffirmed the entity ratings of Shirazi Investments (Private) Limited (‘SIL’ or the ‘Company’) at ‘AA/A1+’ (Double A/ A-one plus). Medium to long term rating of 'AA' indicates High credit quality; Protection factors are strong. Risk is modest but may vary slightly from time to time because of economic conditions. Short term rating of 'A1+' indicates Strongest likelihood of timely repayment of short-term obligations with outstanding liquidity factors. Outlook on the assigned ratings remains Stable. Previous Rating action was announced on January 13, 2025
Incorporated in 1962 as a private limited company, SIL is positioned as a prominent holding company of the group companies collectively referred as ‘The Atlas Group’. The shareholding of the Company is vested amongst members of the Shirazi Family. SIL’s Head office is located in Karachi, while regional offices are in Lahore and Islamabad.
The assigned ratings reflect SIL’s strong position as the holding company of the Atlas Group, one of the top ten business groups in Pakistan with a history spanning over six decades. The Company’s financial risk profile is characterized by a debt-free balance sheet, a sizeable Tier-1 equity base, and robust dividend and investment income. The absence of leverage provides significant financial flexibility and cushions the Company against market volatility, supporting stable liquidity and enhancing its capacity to absorb adverse shocks. Notwithstanding the above, the ratings also factor in certain structural considerations associated with the Company’s status as a private limited entity, including limited independent representation at the Board level. Governance practices are considered adequate for the Company’s current scale and complexity; however, further strengthening of independent oversight could support a more favorable comparative assessment over time. These considerations do not detract from the Company’s strong financial profile but may moderate upward rating potential relative to peers with more institutionalized governance structures.
Furthermore, the business risk profile is influenced by a degree of revenue concentration in the automobile sector, exposing earnings to cyclical demand conditions. Management has acknowledged this concentration risk and has been actively pursuing diversification through selective investments and the acquisition of quality assets across sectors, which, if executed successfully, could gradually improve revenue diversification over the medium term. Continued progress on portfolio diversification and enhancements in governance practices will remain important for ratings.
For further information on this ratings announcement, please contact on 021-35311861-64 or email at info@vis.com.pk.
Applicable Rating Criteria:
Industrial Corporates
https://docs.vis.com.pk/docs/CorporateMethodology.pdf
VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf