Press Release

VIS Assigns Initial Entity Ratings to Integrated Equities Limited

Karachi, August 21, 2024: VIS Credit Rating Company Limited (VIS) has assigned an initial entity rating of ‘A-/A-2 (Single A Minus/A-Two) to Integrated Equities Limited. The long-term rating of ‘A-’ signifies good credit quality; Protection factors are adequate. Risk factors may vary with possible changes in the economy. Short-term rating of A-2 signifies good likelihood of timely repayment of short-term obligations with sound short-term liquidity factors. Outlook on the assigned ratings is ‘Stable’.

Integrated Equities Limited (‘IEL’ or ‘the Company’) offers equity brokerage, research, investment banking, and project advisory services. Established in 2008 and later converted into a unlisted public limited company in 2016, IEL is affiliated with the Aequitas Group, which includes notable companies such as Pakistan Credit Rating Agency Limited (PACRA) and Tasdeeq, Pakistan's first licensed credit bureau. IEL is also licensed by the Securities & Exchange Commission of Pakistan (SECP) for various financial advisory services, including as a Consultant to the Issue, Securities Adviser, and Futures Adviser.

In FY24, the Pakistan Stock Exchange (PSX) experienced a historic surge, with the KSE-100 Index achieving the highest global equity market performance. IEL capitalized on this momentum, witnessing growth in brokerage revenue during 9MFY24. Despite fluctuations in revenue, IEL has maintained a diversified income stream, with advisory and consultancy fees consistently contributing to the revenue stream, albeit total revenues remain small. The Company's profitability also benefited from a substantial unrealized gain on investment property. IEL's liquidity and capitalization profiles are considered sound, supported by adequate liquid assets and an unleveraged balance sheet. Governance remains robust, with an independent representation on board and sound regulatory compliance, further enhanced by ongoing developments in client services and internal controls.

For further information on this ratings announcement, please contact at 021-35311861-64 or email at info@vis.com.pk.


Applicable Rating Criteria: Securities Firms:
https://docs.vis.com.pk/docs/SecuritiesFirm202007.pdf

VIS Issue/Issuer Rating Scale
https://docs.vis.com.pk/docs/VISRatingScales.pdf

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 2024 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .