Islamabad March 29 2022: The SECP’s Registrar Modaraba, with approval of the Religious Board, authorized floatation of Burj Clean Energy Modaraba (an Islamic Financial Institution) managed by Burj Modaraba Management Company (Private) Limited, under the Modaraba Ordinance, 1980.
The floatation of new Modaraba will facilitate the growth of Shariah compliant financial products in the financial services market. After due process, the Burj Modaraba will be listed at PSX within a period of 12 months, with public offering of its thirty million Modaraba certificates of PKRIO each (30% of the total paid up fund) out of the total paid up fund of PKRI billion. The Modaraba is intending to engage in business of generation and supplying renewable energy, and renting of commissioned renewable energy equipment/plants after completion of public offering. The sponsors of the Modaraba are already engaged in preparatory and development activities such as origination of renewable energy projects, execution of binding contracts with the customers, engineering design and appointment of engineering, procurement, construction and commissioning contractors.
Notably, the Burj Energy International Management Limited — a I-JAE based sponsor company of the Modaraba, in collaboration with US International Development Finance Corporation (DFC), has successfully developed and commissioned 50 MW Wind Power Plant in Jhimpir, District Thatta, Sindh, Pakistan, at a total cost of USD 126 million. It is believed to be one of the most efficient and successful wind power projects in Jhimpir wind corridor.
The floatation of a new Modaraba in the area of renewal energy is expected to encourage other players to raise funding through capital market and further develop Islamic financial institutions in the country.
