In a strong show of confidence from Pakistan’s capital market, Pak-Qatar Family Takaful Limited (PQFTL) made an impressive debut with its Initial Public Offering (IPO) being oversubscribed on the very first day of book building. The overwhelming investor interest underscores the company’s solid fundamentals and its position as a market leader in the fast-growing takaful industry.
A Powerful Market Response on Day One:
According to Shahid Ali Habib, CEO of Arif Habib Limited, a substantial volume of funds has already been deposited during the book-building process. He shared on his X (formerly Twitter) account that many more investors are expected to place their final bids on the last day of the offer a sign that sentiment around the IPO remains highly positive.
The IPO consists of 50 million shares, representing 21.67% of post-IPO paid-up capital, with a floor price of Rs14 per share. Using the Dutch auction method, PQFTL will allocate 75% of shares to successful bidders while 25% is reserved for retail investors.
A Market Leader With a Strong Track Record:
Founded in 2006, Pak-Qatar Family Takaful is Pakistan’s first and largest dedicated Family Takaful operator. Today, it dominates the sector with:
• 44% share of the overall family takaful market
• Over 90% share of the dedicated takaful segment
Such commanding strength doesn’t happen overnight. PQFTL has built its reputation by delivering consistent growth in net income and profit-after-tax (PAT). Its single-contribution products have played a vital role in accelerating asset accumulation while maintaining low acquisition costs of just 5% in FY24, a notable advantage in a competitive industry.
A Forward-Looking Company With Long-Term Vision:
The company’s ambition for innovation and diversification became clearer in 2022, when it became Pakistan’s first takaful operator to receive a Voluntary Pension Scheme (VPS) license. This strategic move positions PQFTL to capture long-term retirement savings, giving it a sustainable growth path for the coming decades.
What the Oversubscription Really Means:
The immediate oversubscription of PQFTL’s IPO indicates three important trends in Pakistan’s financial markets:
- Rising investor appetite for Shariah-compliant financial products
- Strengthening confidence in the takaful and Islamic finance ecosystem
- A positive outlook for companies with strong governance and sustainable business models
For investors, PQFTL represents a rare opportunity to invest in a high-growth segment of Pakistan’s financial industry, one that continues to expand even during economic volatility.
Pak-Qatar Family Takaful’s IPO success story is more than a market event, it’s a reflection of how Islamic finance, digital distribution, and long-term savings products are reshaping Pakistan’s financial landscape. As bids continue flowing in, all eyes are on the final book-building results, which are expected to set new benchmarks for future Shariah-compliant IPOs.