KARACHI: Airlink Communication, a Lahore-based mobile phone distributor, on Tuesday raised around $39 million through an initial public offering (IPO) at the Pakistan Stock Exchange (PSX), the largest private sector share offering in Pakistan’s history.
The company received bids for 147.64 million shares against 90 million shares offered in a two-day book building. The strike price was Rs71.5 against the offered Rs65 per share, according to details available at the PSX website.
“The company received bids worth Rs11 billion in this historic IPO,” Kamran Nasir, CEO of JS Global Capital Ltd. who was also the consultant and bookrunner, told Arab News on Tuesday. “The company has raised Rs6.43 billion, the highest ever amount, through this offering.”
In 2019, Faisalabad-based Interloop Limited, which supplies products to Nike, Adidas, Puma, Levi’s etc, had raised Rs5.02 billion.
Airlink plans to utilize the IPO proceeds to inject working capital to expand the company’s distribution and retail network through the procurement of inventory.
The company is in the process of vertical integration and plans to open 150 retail outlets across the country in the next five years and set up a facility to assemble both feature and smart phones, having an installed capacity of more than 400,000 units per month approximately, based on a single shift that could also be doubled up.
In addition, it has been authorized to assemble Itel and TCL mobile phones in the said facility and is in the process of obtaining authorization from other vendors.
The company expects its revenues to triple to Rs129 billion and net income to surge 500 percent to Rs9.2 billion by the fiscal year 2025.
“The sales revenue growth of Airlink has grown from Rs140 million from 2012 to Rs47 billion in 2021,” Nasir said, adding, “Local manufacturing of smart phones will increase phone usage in the country by 18 percent.”
Pakistan was previously a net importer of phones, but the South Asian nation has recently emerged as an exporter, with its locally manufactured phones surpassing the number of imported ones.
During January to July 2021, 12.27 million phones were assembled in Pakistan as compared to the import of 8.29 million handsets.
Pakistani stock market, which has recovered from 27,000 points since April 2020, has attracted IPOs worth around $160 million since fiscal year 2020.
“The major reason is that the market is highly liquid, and investors have money to invest and they are doing”, Nasir said. “Besides, during the last one year, the macroeconomic side of the country has witnessed substantial improvement due to better management of the government and the low interest rate regime.”
Analysts say an improved regulatory environment is also helping the capital market pull crowds of investors.
“Mostly, low-priced growth stocks were offered [in Tuesday’s IPO] after a strict regulatory process,” Arif Habib Corporation Director Ahsan Mehanti said. “Before the approval of IPOs, companies are thoroughly scrutinized that minimizes the chance of failure of any share offering, while higher participation of institutional and mutual funds also strengthens the prospects for companies to raise capital from the stock market.”
Pakistani mobile distributor Airlink raises $38.5 million in largest private IPO
https://arab.news/cf252
Pakistani mobile distributor Airlink raises $38.5 million in largest private IPO
- Company receives bids for 147.64 million shares against 90 million shares offered in two-day book building
- Pakistani companies have raised around $160 million from the capital market since the last fiscal year
Pakistan’s new electric vehicle policy targets 30% green cars by 2030
- The policy aims to cut Pakistan’s reliance on imported fuel, shielding the economy from global oil price fluctuations
- Electric vehicles are also expected to offer long-term savings for consumers through reduced fuel and maintenance costs
ISLAMABAD: Pakistan has unveiled an ambitious New Electric Vehicle Policy (NEVP) 2025–2030 that targets 30% of all new vehicle sales to be electric by 2030, Pakistani state media reported on Sunday.
The policy, which covers cars, buses, motorcycles and rickshaws, aims to accelerate the country’s shift toward sustainable transport, reduce fossil fuel dependence, and curb climate-warming emissions, the state-run APP news agency reported.
Pakistan imports most of its energy needs and the country’s urban areas exhibit some of the world’s highest levels of air pollution, primarily due to sub-2.5 μm particulate emissions. This issue significantly impairs both the country’s economy and the quality of life of its residents.
“Transitioning to electric vehicles (EVs) is critical for a healthier, greener and economically stable future,” Muhammad Saleem Shaikh, a spokesperson for the Climate Change Ministry, told APP, contending that transport sector was a major contributor to air pollution and greenhouse gas emissions in Pakistan.
With the NEVP now in effect, Pakistan, which has seen erratic changes in its weather patterns which experts blame on climate change, joins a growing list of nations pushing for zero-emission mobility to combat climate change and urban pollution.
Mohammad Asif Sahibzada, director-general of the Climate Change Ministry, highlighted that EVs produce zero tailpipe emissions, which will significantly reduce urban smog and help Pakistan meet its international commitments.
“This shift will also lower respiratory and cardiovascular diseases, particularly benefiting children and the elderly,” he added.
The policy aims to cut Pakistan’s reliance on imported fossil fuels, shielding the economy from global oil price fluctuations. EVs are also expected to offer long-term savings for consumers through reduced fuel and maintenance costs.
The government plans to incentivize EV adoption through tax breaks, subsidies, and infrastructure development, including nationwide charging stations.
“Electric vehicles are not just about transport; they are central to Pakistan’s climate action strategy,” Muhammad Azeem Khoso, the ministry’s director for urban affairs, was quoted as saying by the APP.
“This policy marks a decisive step toward a cleaner, more resilient future.”
Pakistan, China and Russia to push for ceasefire as UN Security Council meets on Iran
- The three countries have circulated a draft resolution text and asked UNSC members to share comments by Monday
- A resolution needs at least nine votes in favor and no vetoes by the US, France, Britain, Russia or China for it to pass
ISLAMABAD: Pakistan, China and Russia will present a joint resolution calling for an immediate and unconditional ceasefire in the Middle East, the Pakistani mission to the United Nations (UN) said on Sunday, ahead of a UN Security Council meeting to discuss US airstrikes on Iranian nuclear sites.
It was not immediately clear when it could be put to a vote. The three countries circulated the draft text, and asked members to share their comments by Monday evening. A resolution needs at least nine votes in favor and no vetoes by the United States, France, Britain, Russia or China to pass.
The US is likely to oppose the draft resolution, which condemns the attacks against “peaceful nuclear sites and facilities under the IAEA (International Atomic Energy Agency) safeguards in the Islamic Republic of Iran” and says that such attacks represent a threat to international peace and security, and to the entire safeguards regime of the IAEA, according to a draft seen by Arab News.
It calls for an immediate and unconditional ceasefire and a diplomatic solution to the nuclear issue to reach an agreement acceptable to all parties that “guarantees the exclusively peaceful nature of the Islamic Republic of Iran’s nuclear program in exchange for complete lifting of all multilateral and unilateral sanctions.”
“Pakistan, China and Russia jointly have drafted a resolution and it is hoped that other countries like Algeria may also become its approvers,” Pakistan’s UN mission said.
“So far, it has been shared with the members countries for comments, which is a procedure before tabling it in the UNSC.”
The member countries will comment on the draft resolution and then a final draft will be tabled in the Security Council.
The world awaited Iran’s response on Sunday after President Donald Trump said the US had “obliterated” Tehran’s key nuclear sites, joining Israel in the biggest Western military action against the Islamic Republic since its 1979 revolution.
Iran requested the UN Security Council meeting, calling on the 15-member body “to address this blatant and unlawful act of aggression, to condemn it in the strongest possible terms.”
Israel’s UN Ambassador Danny Danon said in a statement on Sunday that the US and Israel “do not deserve any condemnation, but rather an expression of appreciation and gratitude for making the world a safer place.”
UN Secretary-General Guterres branded the US strikes on Iran as a “dangerous escalation in a region already on the edge – and a direct threat to international peace and security.”
“At this perilous hour, it is critical to avoid a spiral of chaos. There is no military solution. The only path forward is diplomacy. The only hope is peace,” Guterres said in a statement.
Pakistan urges OIC to transform its pronouncements on Kashmir into ‘tangible actions’
- Kashmir has been divided between Pakistan and India since their independence from Britain in 1947
- Both countries claim the territory in full and have fought two of their four wars over the disputed region
ISLAMABAD: Pakistan’s deputy prime minister has urged the Organization of Islamic Cooperation (OIC) to transform its pronouncements on the disputed Kashmir region into “tangible actions,” the Pakistani foreign office said on Sunday, following a meeting of the OIC Contact Group on Jammu and Kashmir.
The meeting took place on the sidelines of the 51st session of the OIC Council of Foreign Ministers in Istanbul, which came in the backdrop of Israeli military campaign against Iran and Pakistan’s recent military conflict with India.
While Pakistan’s brief standoff with India ended in a ceasefire last month, Israel’s attacks on Iran were followed by US airstrikes on three Iranian nuclear facilities, raising fears of further instability in an already volatile region.
Addressing envoys of OIC member states, Pakistan’s deputy premier and foreign minister, Ishaq Dar, described New Delhi’s actions in Indian-administered Kashmir as a replication of the Israeli designs in Palestine, referring to alleged human rights violations and attempts to change demographics of the disputed Himalayan territory.
“The OIC’s pronouncements on Jammu and Kashmir are a major source of support to the Kashmir cause,” Dar said. “However, in view of the mounting challenges to the Kashmiri struggle, the OIC should transform its pronouncements into tangible actions. The Organization should scale up its efforts for mitigation of the Kashmiri people’s sufferings and finding a just settlement of the Jammu and Kashmir dispute.”
Kashmir has been divided between Pakistan and India since their independence from Britain in 1947. Both countries have fought two of their four wars over the disputed region, which is ruled in part but claimed in its entirety by both India and Pakistan.
The latest conflict between the two neighbors was also triggered by a militant attack in Indian-administered Kashmir’s Pahalgam resort town, which killed 26 tourists on April 22. India blamed the attack on Pakistan, a charge Islamabad denies.
New Delhi has long accused Pakistan of fanning an insurgency on its side of Kashmir. Islamabad denies this and maintains that it only offers moral, political and diplomatic support to the Kashmiris.
Dar said Indian authorities exploited the Pahalgam attack to launch a massive crackdown in Kashmir.
“There are reports that over 2800 Kashmiris were arrested or questioned in the immediate aftermath of the attack,” he said. “The draconian Public Safety Act was slapped on at least 75 of them. The police carried out extensive searches at multiple residences of the locals. Around three dozen houses were razed to ground through the use of explosives.”
The Pakistani deputy PM said the disturbing developments in Indian-administered Kashmir have once again shown that a peaceful settlement of the Kashmir dispute is imperative for a lasting peace in South Asia.
“The region is home to over one-fifth of the world population. It could ill-afford the consequences of irresponsible Indian actions,” he said, urging the OIC and its members to use their influence to urge India to improve the human rights situation, release political prisoners and implement relevant United Nations Security Council resolutions in Indian-administered Kashmir.
Heavy rains, lightning strikes kill at least six people in Pakistan’s northwest
- A total of seven houses were damaged due to rains, strong winds and flash floods in Khyber Pakhtunkhwa province
- The Pakistan Meteorological Department this week forecast pre-monsoon rains across various parts on June 20-23
ISLAMABAD: Heavy rains and lightning strikes killed at least six people and injured five others in Pakistan’s northwestern Khyber Pakhtunkhwa (KP) province this week, the KP Provincial Disaster Management Authority (PDMA) said on Sunday.
A total of seven houses were damaged due to rains, strong winds and flash floods that have lashed the province since June 20, according to a PDMA report. The accidents occurred in Mansehra, Buner, Lower Dir, Upper Dir, Malakand and Kohistan districts of the province.
“The deceased include three men, one woman and two children, while the injured include three men and two women,” it said.
The Pakistan Meteorological Department (PMD) this week forecast pre-monsoon rains in Kashmir, Gilgit-Baltistan and Punjab and KP from June 20 till June 23.
“The PDMA has already issued a letter to the district administrations to remain alert and take preventive measures,” it added.
Last month, rains and thunderstorms killed at least 26 people in KP and Punjab provinces, authorities said.
Pakistan has seen erratic changes in its weather patterns which have led to frequent heat waves, untimely rains, storms, cyclones and droughts in recent years. Scientists have blamed the events on human-driven climate change.
In 2022, devastating floods, blamed on human-driven climate change, killed more than 1,700 Pakistanis, affected another 33 million and caused the country over $30 billion in economic losses.
Pakistan says US strikes on Iran nuclear sites violate international law, IAEA statute
- Experts warn the latest strikes could have ‘catastrophic’ economic and security implications for Pakistan
- In phone call with Iran president, Pakistan premier offers Islamabad’s support to de-escalate the crisis
ISLAMABAD: The United States (US) airstrikes on Iranian nuclear facilities violate international law and the International Atomic Energy Agency (IAEA) statute, the Pakistan prime minister’s office said on Sunday, as experts warned of their economic and security implications for Islamabad.
The strikes, which targeted three Iranian nuclear sites at Fordow, Isfahan and Natanz early Sunday, came amid Israel’s ongoing campaign against Iran’s nuclear program, which Israeli officials claim is nearing weaponization, an allegation Iran denies, insisting its activities remain peaceful and under international safeguards.
While the amount of damage remained unclear, the strikes have fueled fears of a wider conflict, with Iranian Foreign Minister Abbas Araghchi saying the US had “crossed a very big red line,” the time for diplomacy was over and Iran had the right to defend itself. US President Donald Trump warned Tehran against retaliation.
Pakistan PM Shehbaz Sharif spoke with Iranian President Masoud Pezeshkian on Sunday afternoon and conveyed Pakistan’s condemnation of the US attacks, which targeted Iranian nuclear facilities that were under the safeguards of the IAEA, according to Sharif’s office.
“These attacks constituted a serious violation of international law and the IAEA Statute,” Sharif’s office said. “While noting Iran’s right to self-defense, as enshrined under Article 51 of the UN Charter, the prime minister stressed upon the need to immediately return to dialogue and diplomacy as the only viable path forward.”
Sharif called for urgent collective efforts to de-escalate the situation and reiterated Pakistan’s readiness to play a constructive role in this context, according to his office. President Pezeshkian conveyed his appreciation for Pakistan’s support to Iran.
Pakistan’s foreign office earlier said Islamabad condemned the strikes and was “gravely concerned” at the possible further escalation of tensions in the region.
“Any further escalation of tensions will have severely damaging implications for the region and beyond,” it said, adding that Iran had the right to defend itself under the United Nations (UN) Charter and urged all parties to respect international humanitarian law, protect civilian lives and “immediately bring the conflict to an end.”
“Recourse to dialogue, diplomacy, in line with the principles and purposes of the UN Charter remain the only viable pathway to resolve the crises in the region.”
Tensions flared on June 13 when Israel launched airstrikes against what it described as Iran’s military leadership and nuclear infrastructure. Iran, a signatory to the Treaty on the Non-Proliferation of Nuclear Weapons (NPT), has since retaliated with missile attacks on Israeli targets. The United States, Israel’s closest ally, has now directly joined the campaign.
Experts have warned that the latest US strikes could have “catastrophic” economic and security implications for Pakistan.
“The economic implications of a wider war would be catastrophic for Pakistan. First and foremost, if the Strait of Hormuz is closed, our major concern will be the import of oil, as most of our oil supplies come from the Middle East,” Shakeel Ramay, a Pakistani economist, told Arab News.
“This would severely impact our economy since a significant portion of our power grid is powered by imported oil and gas from the region. The disruption would affect electricity production and have far-reaching consequences for our transportation network as well. The government will need to manage rising prices in the short term.”
Lt. Gen. (retired) Naeem Lodhi, a former Pakistani defense secretary, said Pakistan had so far acted “wisely” by condemning the attacks on Iran and offering to mediate the crisis.
“At this point, Pakistan needs to remain alert and ensure that it does not get directly involved. It must not allow any country — on either side — to use its soil, airspace, or any other assets,” he told Arab News.
“Although staying completely uninvolved is difficult due to our geographic proximity, it is still the most desirable course of action.”
If the war expanded, Lodhi said, Pakistan would face “serious challenges.”
“Many Pakistanis believe that if Iran is defeated in this war, it could create long-term problems for Pakistan,” he said.
“A new regime in Iran might not be friendly toward Pakistan and could even become hostile, bringing yet another threat to our borders. That is a key concern Pakistan must keep in mind.”
The crisis also raises questions about how Islamabad will navigate its delicate balancing act between Iran, other Gulf partners, and the United States, which remains one of Pakistan’s largest trading partners and a critical source of military and economic assistance.
“Certain demands may be made that Pakistan will find hard to ignore. For instance, if Arab countries become involved — which is likely — there could be strong pressure on Pakistan to support them in some capacity, whether through logistics, access to airspace, or even bases,” Lodhi said.
“While it may be relatively easier to say no to the United States despite its influence, refusing multiple allied Arab countries will be much more difficult. Still, Pakistan’s current leadership, especially the military leadership, is well aware of these dangers and will likely try to keep the country out of the conflict.”
