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The Pakistan Credit Rating Agency Limited
Press Release

Date
10-Mar-23

Analyst
Muhammad Atif Chaudhry
Atif.Chaudhry@pacra.com
+92-42-35869504
www.pacra.com

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This press release is being transmitted for the sole purpose of dissemination through print/electronic media. The press release may be used in full or in part without changing the meaning or context thereof with due credit to PACRA

PACRA withdraws the Rating of China Power Hub Generation Company (Pvt.) Limited | PPSTS | PKR 8bln | Jul-22 | Redeemed

Issuer China Power Hub Generation Company (Pvt.) Limited
Instrument Privately Place Short Term Sukuk
Amount PKR 8000 mln
Issuance Date 28-Jul-22
Tenor 0.5 Years
Redemption Date 30-Jan-23
Outstanding Amount -

Rating Type Debt Instrument
Current
(10-Mar-23 )
Previous
(22-Aug-22 )
Action Redeem Initial
Long Term - AA+
Short Term - A1+
Outlook Stable
Rating Watch - -

China Power Hub Generation Company (Pvt.) Limited issued a rated, Privately Placed Sukuk (PPSTS) of PKR 8,000mln in July 2022. The tenor of the instrument was 6 months and carried a profit rate of 6MK+135bps. The instrument has been repaid, hence redeemed. The Company has paid in full, all markup and outstanding principal amount. The Sukuk has been redeemed on Jan 30, 2023. Hence, the Pakistan Credit Rating Agency (PACRA) has withdrawn the rating of China Power Hub Generation Company (Pvt.) Limited | PPSTS | PKR 8bln | Jul-22.
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About the Entity
State Power Investment Company (52.5%) in collaboration with the Hub Power Company (47.5%) has setup a 1320MW coal-fired power plant in 2015 at Hub, Baluchistan. Power Purchase Agreement (PPA) is signed for thirty years. Established and registered in Hong Kong in 1994, State Power International Holding Ltd. is primarily focused on the development, construction, operation, overseas investment, and financing of power supply programmes. Whereas, HUBCO is one of the first and largest Independent Power Producers (IPP) in Pakistan to be financed by the private sector in Southern Asia. The BoD comprises of seven members, four members represent China Power International (Pakistan) Investment Limited, while three represents Hub Power Holdings Limited. The management team isled by Mr. Ren Lihui, appointed as CEO.

The primary function of PACRA is to evaluate the capacity and willingness of an entity to honor its obligations. Our ratings reflect an independent, professional and impartial assessment of the risks associated with a particular instrument or an entity. PACRA's comprehensive offerings include instrument and entity credit ratings, insurer financial strength ratings, fund ratings, asset manager ratings and real estate gradings. PACRA opinion is not a recommendation to purchase, sell or hold a security, in as much as it does not comment on the security's market price or suitability for a particular investor.