Press Release

VIS Reaffirms Entity Ratings of Multiline Securities Limited

Karachi, November 06, 2023: VIS Credit Rating Company Ltd. (VIS) has reaffirmed entity ratings of Multiline Securities Limited (MSL) at ‘A-/A-2’ (Single A Minus/A-Two). Long-term rating of ‘A-’ signifies good credit quality with adequate protection factors. Risk may vary slightly from time to time because of economic conditions. Short-term rating of ‘A-2’ depicts good certainty of timely payment where liquidity factors are sound and good access to capital markets. Outlook on the assigned ratings is ‘Stable’. Previous rating action was announced on April 14, 2022.

Multiline Securities Limited (MSL), is a leading brokerage firm since two decades with a, market share of approximately 4%. This growth in brokerage revenue has largely been attributed to an uptick in domestic institutional clientele along with retail clientele which at 80% is a major contributor. 70% of the brokerage business is channeled through the head office, with the rest being contributed by branches. MSL plans to diversify its brokerage revenue accounting for about 70% of the recurring revenue base by engaging in new IPOs, Advisory, and Research Publication

In tandem with improved financial performance in 9MFY23, supported by dividend income and capital gains, the company has also improved its efficiency ratio over FY22. Resultantly the equity base marginally increased with low returns. The market risk in ST investments and uptick in trade debts in 9MFY23 need to be managed, going forward.

In governance, MSL's board composition given its private limited status has an independent director. Ratings are dependent upon maintaining a growth in market share, market risk management and diversification of business risk

For further information on this rating announcement, please contact Dr. Jahanzaib Alvi (Ext: 104) or the undersigned (Ext: 201) at (021) 35311861-70 or email at

Sara Ahmed

Applicable rating criteria: Securities Firms Rating (July 2020)

VIS Issue/Issuer Rating Scale

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS , the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2023 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .