Power Holding Ltd (PHL) has announced plans to carry out the early redemption of its Shariah-compliant Sukuk Certificates. The move involves Pakistan Energy Sukuk–I (PESC-I) and Pakistan Energy Sukuk–II (PESC-II), with a combined value of Rs. 399.97 billion.
The decision was approved during a board meeting on September 24, 2025. According to officials, the redemption will take place before the scheduled maturity dates. The process, however, depends on approval from certificate holders and relevant regulatory authorities.
PESC-I was first issued in 2019 and raised Rs. 200 billion, while PESC-II followed in 2020, collecting Rs. 199.97 billion. Both issues were managed by Meezan Bank Limited, which acted as trustee and investment agent. Power Holding Ltd confirmed that the redemption is allowed under Rule 5 of the Pakistan Energy Sukuk Rules, 2019. These rules were amended by the government in June 2025 to provide greater flexibility.
Once approvals are secured, the redemption date will be decided jointly by Power Holding Ltd and Meezan Bank. On the chosen date, the full principal amounts, along with any accrued profit or rental, will be paid to investors. Payments will be subject to Zakat and tax deductions as required by law.
The company has authorized CEO Mahfooz Ahmed Bhatti and CFO Fraz Qadri to negotiate terms, finalize agreements, and ensure compliance with all legal and regulatory obligations. This includes coordinating with the Pakistan Stock Exchange (PSX) and other oversight bodies.
Analysts suggest that Power Holding Ltd’s decision to redeem the Sukuk early reflects efforts to manage liabilities more effectively. It also highlights the company’s commitment to strengthening investor confidence and ensuring financial stability in the energy sector.
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