Case
GREY CEMENT LIMITED
INDUSTRY :CONSUMER PRODUCTS
AREA :FINANCE
ORGANIZATION :-
LENGTH :33
LUMS No :02-576-97-1
PUBLICATION YEAR : 1997
ABSTRACT:
In July 1996, the management and financial advisors of Grey Cement Limited (GCL) approached the Pakistan Credit Rating Agency (PACRA) Private Limited, to obtain a credit rating for its proposed Term Finance Certificates (TFC) issue. Since 1995, PACRA had publicly disclosed the ratings of four TFCs: Sui Southern Gas Company Limited, rated AA; Packages Limited, rated A+; Nishat Tek Limited, rated A+ and; ICI Pakistan Limited, rated AA. The Rating Committee, comprising the senior management and concerned analysts, was now looking at the cement sector and at GCL, to assign a rating to the proposed TFC issue. PACRA was the first credit rating company in Pakistan, and followed the standard methodology used by rating companies world-wide, in order to provide an assessment of the risk profile of a bond issue or an entity.