A Term Financing Certificate issued by companies in Pakistan, is a corporate debt instrument to generate short and medium term funds. The expiration of the certificate depends on the issuance of the bond. GDPs typically provide a higher return compared to government bonds and bank deposits due to higher risk.
United Bank Limited (UBL) has issued 2.5 billion issued by Pakistan Mortgage Refinery Company Limited (PMRCL) for a Period of 3 years, subscribed to an extremely safe sheltered and unlisted Private Placement Term Financing Certificate and included Mohsin Tayebaly & Co. as transaction legal advisor.
The underwriting will help build housing and construction loan portfolios as part of the Government of Pakistan and Pakistan State Bank’s strategy for the extension of mortgage loans and financing to developers and developers.
The facility aims to improve the quality of living conditions of the Pakistani population through the construction of affordable housing. Its connection with dozens of related industries offers substantial potential to boost economic activities in the country. The line of credit has been successfully disbursed and the proceeds will be used to refinance the mortgage.
Recently, a signing ceremony in this regard was held at the UBL head office, Karachi. UBL was represented by Shazad G. Dada, Chairman and Chief Executive Officer, Farooq A. Khan, Group Head – Corporate, Investment Banking and Financial Institutions, Muhammad Tayyab Khurshid, Unit Head of Financial Institutions and other senior executives of UBL.
From PMRCL, Chief Executive Officer Muddasir H. Khan, Director of Treasury and Finance Farrukh Zaheer, Chief Commercial Officer Muhammad Shahzad Khan and other senior members of the team attended the ceremony.