January 1, 2002	Tuesday	Shawwal 16, 1422

KARACHI, Dec 31: The Term Finance Certificate issue of Security Leasing Corporation Limited, advised and arranged by UBL, has been oversubscribed, according to the initial subscription figures received from the banks.

The TFC issue comprised a pre-IPO of Rs160 million and an IPO of Rs40 million.

The TFC issue comprised a self-registration of Rs500 million with the first tranche of Rs200 million. The TFC has been assigned an Instrument Rating of A- (A Minus) by JCR-VIS credit rating agency, which denotes good credit quality, adequate protection factors and risk factors which may vary with possible changes in the economy. The instrument has a tenor of four years, inclusive of 18 months grace period. The instrument has a floating profit rate with a minimum rate of return of 14.75 per cent per annum for the first two years and 14.0 per cent p.a. for the last two years and as maximum of 17.5 per cent for the tenure of the TFC.

The profit is calculated on the basis of the State Bank discount rate + 225 bps.

The major investors in this TFC issue are UBL, SLIC, Askari Commercial Bank, ABL etc. UBL is acting as the trustee to the TFC issue.—APP