Pakistan Power_A much needed first dose of liquidity, AKD Daily, May 19, 2021)
AKD Daily
Pakistan Power: A much needed first dose of liquidity
- After a delay of three months since the payments to the IPPs became due, the federal cabinet has finally accorded approval to the clearance of first installment to the IPPs. The first installment is expected to be received by 7th Jun’21 latest.
- Some of the best placed bets in the power sector on upcoming payments could be KAPCO, followed by PKGP and ALTN, for whom liabilities amount to 46/33/20% of the receivables, respectively (refer to table), with KAPCO having a potential to pay out PkR12.5/sh over the next 12 months.
- PSO’s receivables from HUBC stand at PkR23.3bn as of Mar’21and assuming a 40% clearance in first installment, we expect cash inflow of PkR6.6/sh while EPS impact from PIB and T-Bills is expected to be at PkR0.8/sh (2.5% of FY22F EPS) however the expectation of payout rests on receipt of late payment surcharge, in our opinion.
AKD Research
Altern Energy Limited is a Pakistan-based company, which owns, operates and maintains a 32-megawatt gas-based thermal power plant located near Fateh Jang, district Attock, Punjab in Pakistan. The Company sells the electrical energy produced to Water and Power Development Authority (WAPDA) under long term Power Purchase Agreement (PPA). The Company's subsidiaries include Power Management Company (Private) Limited (PMCL) and Rousch (Pakistan) Power Limited. The Company is a subsidiary of Descon Engineering Limited.
AKD Securities Ltd. is one of the leading securities firm in Pakistan, providing a comprehensive range of investor focused services, including equity brokerage, economic and securities research, investment banking and financial advisory services. AKD Securities accounts for more than 6% of the average daily value of the Karachi Stock Exchange. AKD Securities was the first brokerage house to launch an online trading platform in Pakistan in November 2002 and now has the largest market share with over 6000 customers. This has helped diversify and expand the retail investor base in the country and ushered in a whole new universe of investors to the stock market.
AKD Securities Ltd. caters to a diversified group of domestic and international institutional investors, high net worth individuals and upscale retail clients, including expatriate Pakistanis. With high quality research, unparalleled execution and distribution capability for both regular and large block trades, AKD Securities Ltd. has earned an outstanding reputation in the Pakistani securities industry.Outside of commercial banks, AKD Securities Ltd. is one of the biggest capital market firms in the country. AKD Securities is the leader in raising and providing risk capital in underwriting, market making and mergers and acquisitions in Pakistan. Good corporate governance and professionalism are emphasized throughout the firm and AKD Securities Ltd. is amongst the very few companies to have introduced a firm-wide comprehensive CODE of ETHICS, overseen by an independent compliance manager.Ultimately, our success is based on the quality of service we provide to our customers and the trust and confidence reposed in us by them. Our focus, therefore, remains on customer satisfaction at all levels in the company.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.