VIS Credit Rating Company Limited has assigned initial entity ratings of double A Plus/A-One plus to Lucky Cement Limited

VIS Credit Rating Company Limited has assigned initial entity ratings of double A Plus/A-One plus to Lucky Cement Limited.

The medium to long-term rating of ‘AA+’ signifies high credit quality; protection factors are strong. The short-term rating of A-1+ signifies high certainty of timely payments; short-term liquidity including internal operating factors and access to alternative sources of funds is outstanding and safety is just below risk free Government of Pakistan‘s short-term obligations. The outlook on the assigned rating is stable, said press release on Wednesday.

Assigned ratings incorporate LCL’s leadership position in the cement sector, diversified business risk profile, consistently strong operating performance, robust financial profile and sound corporate governance framework.

The ratings assigned to LCL also draw support from strong financial profile and diversified presence of the company‘s sponsor, Yunus Brothers Group (YBG) which is a leading conglomerate having presence across multiple sectors including Cement, Power, Real Estate, Textiles, Chemicals, Pharmaceuticals, Healthcare, food and Automotive Sectors.