First Of Its Kind Direct Listed Retail Utility Short-Term Sukuk Of K-Electric Limited
Mohsin Tayebaly & Co. was engaged as transaction legal counsel with respect to the issuance of Rated, Unsecured, Short-Term and Retail Listed Sukuk Issue of K-Electric Limited in the aggregate amount of PKR 3,000,000,000/- (Pak Rupees Three Billion), for which purpose Habib Bank Limited has been appointed as the Investment Agent and the Issue Agent and served as the Exclusive Mandated Lead Advisor and Arranger and the Consultant to the Issue.
The Shariah advisory board for the Sukuk Issue included 7 (seven) Shariah advisors from 3 (three) different Shariah boards who have approved the underlying structure for this transaction. A total of 12 (twelve) banks also served as the Bankers to the Issue for the IPO leg of this transaction.
The Sukuk Issue is Pakistan’s first ever direct retail listed short term sukuk issue and comprises a novel utility bill adjustment feature whereby eligible investors can elect to have their K-Electric electricity bills adjusted against the monthly profit payments they are entitled to during the tenor of the sukuk issue based on their investment amounts.
The IPO process has been successfully completed and was oversubscribed by 2.2 times including subscription of over PKR 900 Million by 650+ individual investors, demonstrating growing investor confidence and a significant step toward unlocking capital markets and deepening retail participation in Pakistan. Upon successful completion of the IPO and declaration of the Issue Date, a gong ceremony was held at Pakistan Stock Exchange on September 16, 2025 for the listing of this first of its kind Sukuk Issue.
MTC is proud to have acted as the legal advisor on this landmark transaction which showcases our market-leading debt capital markets practice. We remain committed to advising on future transactions that contribute to the development of Pakistan’s capital markets and promote broader retail investor inclusion.
The Firm’s scope of work included advising on the legal and regulatory framework, reviewing and revising the offering documents, drafting of all transaction documents and full scope investor side advisory.
MTC’s team in this matter was led by Vaseeq Khalid (Partner) and included Kamil Tayebaly (Senior Associate) and Arsalan Abid Bachani (Associate).