Pakistan’s largest Independent Power Producer (IPP), the Hub Power Company Limited (HUBC) has shown a remarkable performance during 1HFY20 by doubling its profits. The aggressive revamping of its base business as well as growth plan over the past few years has marked a turning point for HUBC’s profitability. Additionally, zero payout spell for six consecutive quarters due to liquidity crunch is likely to end in FY21, as dividend inflows from associated companies and partial resolution of circular debt on the back of issuance of Rs 200 billion Energy Sukuk II which ECC has approved on 22 January’20, would allow the company to pay dividends, thereby, revitalizing investors’ interest in the company, a report by AKD Research said. The report further highlighted that HUBC has achieved 95% of its equity investment requirements through a mix of right issue, leverage and internal cash generation and approximately Rs 7-8 billion investment remain to be undertaken for 2x330MW projects whic...