PACRA authorizes PABC to manufacture aluminium-based beverage cans in Pakistan

Pakistan Aluminium Beverage Cans Limited (PABC) has been coroneted to become the only manufacturer of aluminium-made beverage cans in the country by Pakistan Credit Rating Agency Limited (PACRA). On November 25, the company's PSX filing displayed two primary entry ratings: "A+" for the long term and "Al" for the short term with a steady exposure.

The ratings specify the company's capability in assessing its market position and the management's capacity to run the company to achieve its full potential.

Since the enterprise is witnessing growth in business and volumes, the board is willing to make shrewd financial decisions and follow rigorous norms to control the environment.

The demand for aluminium cans is directly proportional to the intake of beverage drinks, which in a way, is on the rise. PABC has a B2B business model, wherein it provides aluminium cans to beverage makers, keeping no middleman in between, and the transactions are direct.

The released notification makes PABC a trusted organisation for sourcing aluminium cans not only in Pakistan but also in parts of Afghanistan, where it already has an existing consumer base. Traversing through this entry barrier, the company has also installed a production-oriented facility making PABC a well-known name in the region.

The company has increased its manufacturing rate to 950 million cans annually from 700 million cans. PABC has funded and installed an on-grid solar module along with meeting other energy requirements by its units.

By July 2023, the brand is trying to increase its estimated capacity to 1,200 million cans per annum. PABC also wishes to mark its progress in the market share for aluminium beverage cans in Pakistan and worldwide by adding international clients to its profile. A strong global client base is something that might be beneficial for the company's outlook.

At this moment, the company boasts a strong financial hold on its operations with a substantial amount of cash flow that is securing the capital and running the business. PABC is utilising both short and long-term aptitudes of financial institutions to source its aluminium-based raw materials.