PACRA assigns Entity Ratings to Habib Construction Services Limited
Lahore, December 29, 2017 (PPI-OT):Habib Construction Services has delivered a number of infrastructure projects in the last couple of years and has built its repute as a “Fast Track” execution company. Lately the company has been engaged in one of the country’s largest public sector transportation project – approaching completion. Over the years, Habib Construction Services has earned sizeable profits – contributing to its equity size. The majority shareholder is Mr. Shahid Saleem, while other executives and management members have remaining stake – furnishing fuel to the company’s growth.
Construction business is dependent on award of public works (Federal and Provincial PSDP + CPEC). Habib Construction Services has a number of banking lines, predominantly non-funded, required for its construction business. With sustained cash flows, the financial risk profile is expected to remain adequate. The ratings are dependent on sustaining a steady revenue stream and financial risk profile. Any prolonged downturn in subdued business volume can negatively affect the ratings. Good corporate governance practice is considered essential.
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