Air Link Communication Limited and its wholly owned subsidiary, Select Technologies Limited, have achieved the financial close of a Rs4.76 billion, ten year Islamic syndicated term finance facility to support the expansion of their manufacturing operations at the Sundar Green Special Economic Zone. The financing has been arranged through a consortium led by The Bank of Punjab, with Askari Bank Limited, BankIslami Pakistan Limited, and Pak China Investment Company Limited serving as Mandated Lead Advisors and Arrangers.
InfraZamin Pakistan Limited is providing a Rs3.57 billion credit guarantee, enabling the companies to secure long term financing on terms not typically available to industrial borrowers in Pakistan. According to a statement issued by the companies, The Bank of Punjab also acted as the Intercreditor Agent, Investment Agent, Security Agent, Account Bank, and Shariah Advisor for the transaction, while InfraZamin served as the guarantor, providing the credit enhancement that made the extended ten year tenor possible for the project.
The financing will be used to expand production facilities for smartphones, consumer electronics, and home appliances at the Sundar Green Special Economic Zone, supporting Pakistan’s industrialisation and import substitution efforts. The project also includes plans for a one megawatt solar power plant, which is expected to reduce carbon emissions by around 700 tonnes annually while lowering operating costs through greater use of clean energy. The investment is projected to enable the production of more than one million affordable smartphones each year, improving digital access and internet connectivity across the country, while the expansion is also expected to generate around 450 direct jobs within five years of construction, with between 25 and 30 percent of the positions earmarked for women.
Air Link Communication is engaged in the distribution, retail, and manufacturing of mobile phones and electronic products, and partners with global brands including Samsung, Apple as an authorised reseller, Xiaomi, Tecno, itel, Acer, and iMiki. Its subsidiary, Select Technologies, manufactures smartphones and consumer appliances locally through partnerships with Xiaomi and Hisense, producing Xiaomi smartphones and LED televisions as well as Hisense air conditioners and LED televisions. The financing follows Select Technologies’ successful initial public offering, through which the company raised approximately Rs3.02 billion, positioning it as the first initial public offering of the new fiscal year on the Pakistan Stock Exchange.
Commenting on the development, Air Link Chief Executive Officer Muzzaffar Hayat Piracha said the long term financing backed by InfraZamin would support the company’s Made in Pakistan agenda by expanding local manufacturing, introducing new products, and creating employment opportunities, particularly for women. InfraZamin Pakistan Chief Executive Officer Maheen Rahman said the financing would strengthen domestic manufacturing of digital and electronic equipment, create jobs, promote digital inclusion, and enhance export potential. The Bank of Punjab’s Head of Investment Banking, Muhammad Mateen Farooq, said the transaction demonstrated collaboration among financial institutions in delivering innovative financing solutions and would strengthen Pakistan’s consumer electronics manufacturing ecosystem, while officials from Askari Bank, Pak China Investment Company, and BankIslami said the deal highlighted the role of blended finance and Shariah compliant structures in mobilising long term private capital for industrial development.
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