Burj Clean Energy Modaraba set to deploy Rs100m IPO proceeds

September 03, 2025 (MLN): Burj Clean Energy Modaraba (PSX: GEMBCEM) has reported progress regarding the utilization of its Initial Public Offering (IPO) proceeds that the entire amount of Rs100 million remained invested in bank deposit accounts, generating profit while ensuring capital preservation and ready for deployment, according to its half-yearly progress report.

“The Modaraba was formally allowed commencement of business on December 3, 2024, even though it was listed on the Growth Enterprise Market (GEM) Board of the Pakistan Stock Exchange on October 10, 2024,” the report reads.

While the first six months of business will formally conclude in June 2025, BCEM has already published interim results for the quarter ended March 31, 2025.

Profits before taxes are reportedly tracking better than the original plan due to prudent financial and risk management practices, according to the report.

“The first three months since commencement of business were devoted to formulating policies and developing product programs before any public funds were deployed towards retail solar installations,” the report adds.

On preparations for deployment, the company highlighted that it has established approved product programs and risk policies. In addition, customer engagement is underway, with a pilot program already commenced.

The company has secured commitment letters from prospective clients covering part of its planned capacity, and deployment of funds has now begun.

“The aim is to utilize the committed proceeds within the next half year,” the report stated.

Furthermore, in its progress report the company emphasized that as responsible custodians of public funds, it prioritized establishing risk policies and product frameworks in its early phase.

This, it noted, would ensure both investor protection and long-term project viability.

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