ISLAMABAD: QistBazaar generated a huge amount of Rs 500 million from the first privately placed Sukuk to expand its business.
QistBazar is a leading Pakistani company offering “Buy Now, Pay Later” and installment-financing platform.
The issuance marks the first tranche in a planned series of Sukuk offerings by the company. It also represents Pakistan’s first unrated, privately placed Sukuk of its kind.
Dada Partners served as QistBazaar’s exclusive financial adviser and led the capital raise. The firm fully placed the issue with investors through its institutional relationships.
Sukuk attracts institutional investors
The Sukuk was subscribed by Alfalah Shariah Private Financing Fund-I, managed by Alfalah Asset Management Company.
Al Hamd Shariah Advisory Services served as the Shariah adviser and certified the structure. Pak Brunei Investment Company acted as the investment agent.
Meanwhile, Akhund Forbes provided legal counsel for the transaction.
QistBazaar said raising capital through a secured but unrated instrument reflected investor confidence in its business model, management and growth prospects.
The transaction also marks an important step in the company’s transition from a fast-growing BNPL platform into a larger institutionally funded financial services business.
Funds to expand installment financing
QistBazaar will use the PKR 500 million to expand its Shariah-compliant consumer installment financing portfolio.
The funding will help the company provide affordable financing to more underserved and unbanked consumers across Pakistan.
Additionally, the capital will support higher financing origination, merchant-network expansion and entry into new product categories.
The company also plans to expand its geographic footprint through the additional funding.
QistBazaar co-founder Arif Lakhani said investor participation validated the company’s business model and future growth opportunities.
He added that the funding would allow QistBazaar to serve more customers and expand access to formal financial services.
The transaction also highlights the growing potential of Islamic finance and Sukuk instruments for Pakistani businesses seeking alternatives to traditional bank financing.
Sukuk will empower the company to broaden the scope of its operations in Pakistan and offer its customers different items on installments.
