September 14, 2020: BMA Capital Management (BMA Capital) has joined hands with Pakistan Mortgage Refinance Corporation (PMRC) in raising funds for the housing market of Pakistan.
PMRC is one of its kind in the country, set up as a mortgage liquidity facility to address the funding constraints in the banking sector.
BMA Capital is one of the leading financial institutions in Pakistan offering a diverse range of services. With a network of 17 branches spread all over the country.
To support its mission, which is in line with government’s policy for developing the housing market in Pakistan, BMA Capital will act as Sole Financial Consultant to PMRC for the issuance of Rated, Secured, Technically Listed, 3-year Sukuk of PKR 2,000 million – with a green shoe option of PKR 1,500 million.
“The issue is unique as it offers a fixed lucrative pre-tax yield of 10.25% per annum” stated Saad Hashemy, Executive Director of BMA.
This issue will have a tax break from full and final tax of 25% applicable to conventional Sukuks due to PMRC’s tax exempt status till 2023, under the tax rules.
“PMRC is pleased to be working with BMA Capital on this pivotal transaction that will pave the way for raising further funds in the near future to support the country’s housing sector” stated Farrukh Zaheer, PMRC’s Head of Capital Markets.