Air Link Enters Installment-Based Digital Lending Market With New Subsidiary

Air Link Communication Limited (PSX: AIRLINK) is entering the Buy Now Pay Later (BNPL) space through the creation of a wholly owned subsidiary with Rs. 500 million investment through issuance of 50 million ordinary shares of Rs. 10 each, subject to regulatory approvals.

The company informed the Pakistan Stock Exchange that its board has approved the incorporation of AirFin Consumer Finance (Private) Limited, which will operate in investment finance services with BNPL as its primary business line.

The new entity will require a No Objection Certificate and a license from the Securities and Exchange Commission of Pakistan before commencing operations. Once approved, the subsidiary is expected to position Airlink within Pakistan’s fast-growing digital consumer finance market, where installment-based purchasing has gained strong traction.

Airlink’s entry into BNPL builds on its existing exposure to the segment through partnerships. Earlier this month, the company collaborated with fintech platform EduFi to offer installment based purchasing on smartphones, reflecting rising demand for flexible payment options amid increasing device prices.

Founded in 2014, Airlink has evolved into one of Pakistan’s leading technology companies, operating across mobile phone distribution, retail, and local manufacturing. The company assembles smartphones and other devices for global brands while maintaining a nationwide distribution network that reaches millions of consumers.

In recent years, Airlink has focused on expanding its business model beyond traditional distribution. The company has invested in local manufacturing capacity and is also pursuing structural changes, including plans to list its manufacturing arm separately, signaling a broader strategy to unlock value across segments.