Press Release

VIS Assigns Initial Ratings of AA/A-1 to International Complex Projects Limited

Karachi, March 13, 2020: VIS Credit Rating Company Limited has assigned initial entity ratings of ‘AA/A-1’ (Double A /A-One) to International Complex Projects Limited (ICPL). 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. Liquidity factors are excellent and supported by good fundamental protection factors. Risk factors are minor. Outlook on the assigned rating is ‘Stable’.

Assigned ratings take into account sponsor strength of ICPL and market position in the real estate sector; the Dolmen Group has developed & managed renowned residential, commercial and retail projects. The group has completed several projects including Dolmen Mall Clifton, Harbour Front and Executive Tower; two more towers are substantially completed and partially operational. Both Dolmen Mall and Harbour Front have an occupancy level of more than 95%. Ratings also reflect strong financial profile, low leverage indicators and healthy & growing dividend income from Dolmen City REIT (DCR). During 2019, management has concerted efforts towards strengthening its internal controls by outsourcing its internal audit function and implementing a fully integrated ERP system.

During 2019, ICPL (on behalf of the Dolmen Group) entered into an agreement with DHA Lahore to construct a commercial complex / mall in Lahore. This project will exist under a new subsidiary, DHA Dolmen Lahore (Private) Limited (DDL). As per agreement, Dolmen Group will hold 74% of investment in DDL while DHA Lahore will maintain a shareholding of 26%; profit sharing will be based on the same proportion. Total construction cost of the property is expected to be Rs. 27b.

Financial profile of ICPL draws support from the company’s strong balance sheet as evident sizeable equity base while profitability and cash flow profile of the company draws support from recurring and growing dividend income from DCR. Moreover, low leverage indicators and healthy internal capital generation depicts sound capitalization profile. Ratings remain dependent on maintenance of a healthy financial profile along with leverage indicators and materialization of its upcoming projects.

For further information on this rating announcement, please contact the undersigned (Ext. 207) or Ms. Muniba Abdullah, CFA (Ext: 215) or at 021-35311861-70 or email at

Jamal Abbas Zaidi

Applicable Rating Criteria: Corporates (May 2019)

Information herein was obtained from sources believed to be accurate and reliable; however, VIS Credit Rating Company Limited (VIS) does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information.VIS , the analysts involved in the rating process and members of its rating committee do not have any conflict of interest relating to the rating(s)/ranking(s) mentioned in this report.VIS is not an NRSRO and its credit ratings are not NRSRO credit ratings.VIS is paid a fee for most rating assignments. This rating/ranking is an opinion and is not a recommendation to buy or sell any securities. Copyright 2020 VIS Credit Rating Company Limited . All rights reserved. Contents may be used by news media with credit to VIS .

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