⚡ Flash Summary

Kashf Foundation, an organization set up under Section 42 of the Companies Act 2017, has been requested to provide a certificate regarding the maintenance of a Redemption Reserve Account for its ‘Gender Bond’ (PPTFC) as of June 30, 2025. The auditors, A.F. Ferguson & Co., have issued a certificate stating that the company has maintained the required balance in the Redemption Reserve Account in compliance with Pakistan Stock Exchange regulations. The balance in the account, held with MCB Bank Limited, is PKR 362,578,666, which is more than the payment obligations of PKR 109,195,792 due in September and December 2025. The purpose of this account is to ensure sufficient funds are available for the redemption of the privately placed term finance certificates.

📌 Key Takeaways

• ✅ Kashf Foundation maintains a Redemption Reserve Account for its ‘Gender Bond’ (PPTFC) as of June 30, 2025.
• 🏦 The Redemption Reserve Account is held with MCB Bank Limited under account number 0044-740011005048.
• 📜 The audit was conducted by A. F. Ferguson & Co., Chartered Accountants, a member firm of the PwC network.
• 🗓️ The audit certificate is dated October 02, 2025.
• 🇵🇰 The audit complies with Pakistan Stock Exchange Limited Regulations 5C.8 (xii) (h).
• ⚖️ The company’s management is responsible for maintaining adequate accounting records and internal controls.
• 🔒 The Redemption Reserve Account balance as of June 30, 2025, is PKR 362,578,666.
• 💰 Payment obligations due in September and December 2025 total PKR 109,195,792.
• ✔️ The Redemption Reserve Account balance exceeds the upcoming payment obligations.
• 🤝 A Letter of Lien and Set Off agreement with Pak Brunei Investment Company Limited is in place.
• 🧾 The auditors compared the account details with the ‘Letter of Lien and Set off’ and ‘Amendment Agreement’.
• ⚠️ The certificate is restricted to the facts stated and is solely for submission to the Pakistan Stock Exchange Limited.
• 🏢 Kashf Foundation confirms maintaining an amount equal to payment obligations becoming due.
• 👩‍💼 The certificate does not relieve management of its responsibilities.
• 📑 The certificate is based on the management’s representation that all information provided is genuine.

🎯 Investment Thesis

HOLD. The announcement confirms that Kashf Foundation is adequately managing its Redemption Reserve Account for the Gender Bond (PPTFC). The current balance exceeds upcoming payment obligations, mitigating the risk of default. Given the compliance with regulatory requirements and responsible financial management demonstrated by this announcement, a HOLD recommendation is appropriate. While the information is positive, it primarily confirms existing obligations are being met, rather than signaling significant growth or undervaluation.