Rating Rationale
November 18, 2019 | Mumbai
Bajaj Finance Limited
Rating Action
Total Bank Loan Facilities Rated Rs.21000 Crore
Long Term Rating CRISIL AAA/Stable
Short Term Rating CRISIL A1+
Rs.5000 Crore Non Convertible Debentures CRISIL AAA/Stable
Non Convertible Debentures Aggregating Rs.33457 Crore CRISIL AAA/Stable
Subordinated Debt Aggregating Rs.2600 Crore CRISIL AAA/Stable
Lower Tier-II Bonds Aggregating Rs.700 Crore CRISIL AAA/Stable
Fixed Deposits Programme FAAA/Stable 
Rs.20000 Crore Commercial Paper CRISIL A1+  
1 crore = 10 million
Refer to annexure for Details of Instruments & Bank Facilities
Detailed Rationale

CRISIL's ratings on the bank facilities and debt instruments of Bajaj Finance Limited (Bajaj Finance) continue to reflect Bajaj Finance's strong business risk profile, given its position as one of the largest retail asset financing non-banking financial companies (NBFCs) in the country, and expectation of comfortable asset quality. Increased focus on risk management and data analytics should mitigate the inherent asset quality challenges in the risky asset segments. Strong capitalisation and healthy earnings also underpin the ratings. The ratings also reflect expectation of support from the Bajaj group and its healthy financial flexibility.

Consequent to redemption, CRISIL has also withdrawn its rating on non-convertible debentures of Rs 92.8 crore (See Annexure 'Details of rating withdrawn' for details) in line with its withdrawal policy. CRISIL has received independent confirmation that these instruments are fully redeemed.

Analytical Approach

The ratings factor in the company's strategic importance to, its ultimate holding company Bajaj Holdings and Investments Ltd (BHIL), and parent Bajaj Finserv Ltd (Bajaj Finserv). The ratings also factor in support if required from the parent company in an unlikely event of Bajaj Finance requiring support in extraordinary situation.  The ratings also factor benefits arising from synergies with the group.

Please refer Annexure - List of Entities Consolidated, which captures the list of entities considered and their analytical treatment of consolidation.

Key Rating Drivers & Detailed Description
*Large, well-diversified NBFC
Bajaj Finance has emerged as one of the largest retail asset financing NBFCs in India, and continues with its two-pronged strategy of building scale and maximising profit. Segments such as mortgages, small business loans, and commercial lending are focused on building scale, while consumer durable loans, personal loans, and 2- and 3-wheeler financing are focused on maximising profit. As on September 30, 2019, assets under management (AUM) grew 26% (year-on-year) to Rs 110946 crores on a standalone basis. The AUM consisted primarily of personal and consumer durables loans (38%), mortgages (loans against property [LAP] and home loans; 12%), SME loans and vendor financing (18%), two- and three-wheeler financing (11%), rural financing (9%), loan against securities (6%) and others (5%).
The LAP book decreased marginally owing to shift in the company's stance of direct sourcing of customers and maintaining a cautious view on the sector. The existing home loans book is being run-down and the incremental booking for home loans is being booked in the Bajaj Housing Finance Limited (BHFL). All other segments witnessed growth. 
*Strong capitalisation
Capitalisation is robust, with sizeable networth of Rs 21757 crore and adequate Tier-I capital ratio and capital adequacy ratio (CAR) of 15.86% and 19.68%, respectively, as on September 30, 2019. Gearing was comfortable at 4.5 times as on September 30, 2019. The gearing policy is conservative. Adjusted gearing has been below 6 times over the past five years, despite aggressive growth in AUM. The healthy capitalisation enhances the ability to absorb potential losses on its portfolio; adjusted networth to net NPAs was healthy, at 25 times as on September 30, 2019 (27 times as on March 31, 2019).
Despite strong growth plans, capitalisation should remain comfortable over the medium term, supported by regular capital infusion, demonstrated ability to raise capital (Rs 4500 crore QIP in September 2017), and healthy internal cash accruals; thus providing cushion against asset-side risks.
* Healthy earnings
Earnings are supported by a large proportion of high-yield businesses and competitive borrowing costs. Return on managed assets (annualised) remained healthy at 3.8% in fiscal 2019 and improved from 3.4% in fiscal 2018, driven by higher fee income and a stable net interest margin. Profitability continued to be better than the industry average. Additionally, the company has increased efforts to diversify earnings by focusing on various fee-based income avenues, such as existing member identification cards, co-branded credit card and third-party product distribution. Earnings remain susceptible to high credit costs, especially during continued macroeconomic stress, despite the conservative provisioning policy. With CRISIL-adjusted provision coverage ratio at 60% as on September 30, 2019, the coverage was in line of that of peers. While Bajaj Finance's profitability may moderate as the proportion of mortgage loans increases under its housing finance subsidiary, it will remain better than that of peers over the medium term.
* Strategic importance to, and strong expectation of support from, the Bajaj group
Bajaj Finance is strategically important to the Bajaj group, the company gets significant financial, managerial and operational support from its parent, Bajaj Finserv. It also derives synergies from being a captive financier for Bajaj Auto Ltd (Bajaj Auto; rated 'CRISIL AAA/FAAA/Stable/CRISIL A1+'). Bajaj Finance is one of the crucial entities of the group's financial services business, and its established track record of profitable growth enhances its strategic importance. Bajaj Finance also plays a critical role in helping Bajaj Auto meet its sales targets and maintain market share; it financed around 40% of Bajaj Auto's sales volume in fiscal 2019, from 20% in fiscal 2010.  CRISIL believes Bajaj Finance will continue to receive support from the group.
Bajaj Finserv's financial flexibility has steadily improved over the years supported by performance of its operating companies including insurance ventures. In the unlikely event of Bajaj Finance requiring group support in an extraordinary situation, Bajaj Holdings and Investment Limited has ample liquidity in the form of cash and bank balances and portfolio of quoted investments to address the requirements. In addition, CRISIL believes that there is sufficient flexibility inherent in the market standing of the various listed and unlisted financial services firms in the group. CRISIL also believes that the financial flexibility will be sufficient to support any material requirements of Bajaj Finance even if the group were to step up its stake in the insurance ventures.
* Focus on risky asset classes and under-seasoned mortgage loan book
Over the past 18-24 months, risk management processes and data analytics capability have been strengthened. Underwriting norms and monitoring mechanisms in small and medium-sized enterprise (SME) business segments such as business loans and LAP have been reinforced. The unsecured lending business (mainly consumer durables financing and personal loans) has also been supported through investments in risk analytics and technology. Underwriting and collection norms have been tightened based on portfolio performance trends and early warning indicators. The company has also slowed down growth in the LAP business in recent years due to intense competition and is expected to continue to adjust growth plans across business segments in response to market opportunities and challenges. It has revamped its business model in the SME segment and now increasingly focuses on sourcing business through cross-selling to existing customers to support growth. The well diversified loan book and increased focus on risk management and data analytics has enabled it to manage asset quality risks over the past few years and will continue to do so. Asset quality, as measured by gross NPAs remained comfortable at 1.93% as on September 30, 2019 as against 1.80% as on March 31, 2019. Over the past 5 years, GNPA metrics for BFL have ranged between 1.0-2.0%.
The increased focus on risk management is expected to mitigate the inherent asset quality risks following the high growth in recent years and the focus on riskier asset segments. A significant proportion of Bajaj Finance's portfolio comprising mortgage loans has witnessed strong growth over the past few years and remains under-seasoned. Additionally, the company has high exposure to risky asset segments such as personal loans and consumer durable loans (including life-style and digital loans), 2- and 3-wheeler finance, and unsecured business loans, which constituted around 58% of its loan portfolio as on September 30, 2019, and are vulnerable to economic cycles. Furthermore, competition, especially in the retail and SME financing business, has intensified significantly with increased focus by private and public sector lenders and the entry of new banks. However, the share of secured assets segments such as mortgages is expected to rise over the medium term, which will help improve asset quality. 

Liquidity: Superior
The liquidity profile of BFL is comfortable with positive cumulative mismatches across all ALM buckets even with exclusion of committed lines. As on September 30, 2019, BFL had total repayments of Rs 17030 crore for 6 months between October 2019 and March 2020, of which Rs 6175 crore was for repayment of CP maturities. Against the same, BFL had repayments of Rs 35738 crore between October 2019 and March 2020. Additionally, BFL had cash and equivalents of Rs 542 crore, Rs 5500 crore of investments in mutual funds. Further, BFL had unutilised bank term lines, CC/WCDL & ECB Loan of Rs 7467 crore as on September 30, 2019. Bajaj Finance's liquidity profile also benefits from the high proportion of shorter-tenor assets such as consumer durables; it has significant positive gaps in its ALM, indicating that business inflows support repayments.
Outlook: Stable

CRISIL believes Bajaj Finance will remain strategically important to, and continue to receive support from, the Bajaj group. The company will also sustain its healthy financial risk profile. The outlook may be revised to 'Negative' if there is a significant deterioration in asset quality or earnings of Bajaj Finance, or diminution in support from the Bajaj group, or weakening, in CRISIL's view, of the group's credit risk profile.

Rating sensitivity factors:
Downward factors:
* With the current AUM mix, any significant deterioration in asset quality translating into pressure on earnings profile thereby leading return on assets to drop below 2.0% on a sustained basis. This excludes any significant change in AUM mix due to an increase in the secured portfolio that will inherently impact return on assets negatively.
* Significant increase in consolidated leverage metrics
* In the unlikely event of Bajaj Finance requiring group support in an extraordinary situation the necessary support not coming forth from the group.

About the Company

Set up in 1987, Bajaj Finance is a subsidiary of Bajaj Finserv (52.8% ownership), the financial services arm of the Bajaj group. Bajaj Finance has a diversified product suite comprising key businesses such as vehicle loans (2- and 3-wheelers manufactured by Bajaj Auto), consumer durable loans, personal loans, mortgage loans, small business loans, loans against securities, commercial finance, and rural finance. Bajaj Finance is the largest financier of 2-wheelers and consumer durables in India. Its standalone AUM was Rs 110946 crore as on September 30, 2019 (Rs 98671 crore as on March 31, 2019).

Key Financial Indicators (Standalone)
As on/for the period ended March 31, 2019 Unit 2019 2018
Total Assets Rs crore 109500 83629
Total income Rs crore 11462 8745
Profit after tax Rs crore 3890 2647
Gross NPA % 1.8 1.5
Gearing Times 4.5 3.7
Return on assets % 3.9 3.4

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL complexity levels are assigned to various types of financial instruments. The CRISIL complexity levels are available on www.crisil.com/complexity-levels. Users are advised to refer to the CRISIL complexity levels for instruments that they consider for investment. Users may also call the Customer Service Helpdesk with queries on specific instruments.
Annexure - Details of Instrument(s)
ISIN Name of instrument Date of allotment Coupon rate (%) Maturity date Issue size (Rs.Cr) Rating outstanding with outlook
INE296A07FV8 Debenture 07-Apr-15 9.1 07-Apr-23 165 CRISIL AAA/Stable
INE296A07FV8 Debenture 07-Apr-15 9.1 08-Apr-24 165 CRISIL AAA/Stable
INE296A07FV8 Debenture 07-Apr-15 9.1 07-Apr-25 170 CRISIL AAA/Stable
INE296A07HW2 Debenture 20-Aug-15 8.9 20-Aug-25 90 CRISIL AAA/Stable
INE296A07HX0 Debenture 20-Aug-15 8.8 20-Aug-20 15 CRISIL AAA/Stable
INE296A07HY8 Debenture 14-Sep-15 8.8 14-Sep-20 10 CRISIL AAA/Stable
INE296A07EG2 Debenture 17-Nov-14 9.4 18-Nov-24 100 CRISIL AAA/Stable
INE296A07EN8 Debenture 03-Dec-14 9.1 03-Dec-19 25 CRISIL AAA/Stable
INE296A07ET5 Debenture 12-Dec-14 9 12-Dec-19 100 CRISIL AAA/Stable
INE296A07FN5 Debenture 25-Mar-15 9 25-Mar-20 25 CRISIL AAA/Stable
INE296A07GL7 Debenture 28-Apr-15 8.8 28-Apr-20 25 CRISIL AAA/Stable
INE296A07HZ5 Debenture 29-Sep-15 8.8 29-Sep-20 47 CRISIL AAA/Stable
INE296A07IO7 Debenture 10-Dec-15 8.6 10-Dec-20 25 CRISIL AAA/Stable
INE296A07IA6 Debenture 13-Oct-15 8.7 13-Oct-25 5 CRISIL AAA/Stable
INE296A07IB4 Debenture 13-Oct-15 8.7 13-Oct-22 8 CRISIL AAA/Stable
INE296A07IP4 Debenture 05-Jan-16 8.7 05-Jan-21 17 CRISIL AAA/Stable
INE296A07IT6 Debenture 12-Jan-16 8.7 12-Jan-21 10 CRISIL AAA/Stable
INE296A07IW0 Debenture 20-Jan-16 8.7 20-Jan-21 15 CRISIL AAA/Stable
INE296A07IX8 Debenture 22-Jan-16 8.7 22-Jan-21 10 CRISIL AAA/Stable
INE296A07KC8 Debenture 18-Mar-16 8.9 18-Mar-21 26.2 CRISIL AAA/Stable
INE296A07KD6 Debenture 18-Mar-16 8.9 18-Mar-26 28 CRISIL AAA/Stable
INE296A07KV8 Debenture 31-Mar-16 8.8 31-Mar-21 10 CRISIL AAA/Stable
INE296A07KW6 Debenture 31-Mar-16 8.8 31-Mar-26 3 CRISIL AAA/Stable
INE296A07LA0 Debenture 26-Apr-16 8.6 26-Apr-21 30 CRISIL AAA/Stable
INE296A07ND0 Debenture 24-Nov-16 7.5 25-Nov-19 200 CRISIL AAA/Stable
INE296A07NE8 Debenture 30-Nov-16 7.6 30-Nov-21 80 CRISIL AAA/Stable
INE296A07NF5 Debenture 30-Nov-16 7.5 30-Jan-20 75 CRISIL AAA/Stable
INE296A07NG3 Debenture 30-Nov-16 7.5 02-Dec-19 435 CRISIL AAA/Stable
INE296A07NI9 Debenture 30-Nov-16 7.6 13-Aug-20 9 CRISIL AAA/Stable
INE296A07MW2 Debenture 21-Oct-16 7.6 03-Sep-19 7 CRISIL AAA/Stable
INE296A07MX0 Debenture 21-Oct-16 7.6 18-Feb-20 4 CRISIL AAA/Stable
INE296A07MY8 Debenture 21-Oct-16 7.6 13-Apr-20 10.5 CRISIL AAA/Stable
INE296A07MZ5 Debenture 21-Oct-16 7.6 16-Oct-20 7 CRISIL AAA/Stable
INE296A07NA6 Debenture 21-Oct-16 7.7 28-Sep-21 7 CRISIL AAA/Stable
INE296A07NB4 Debenture 21-Oct-16 7.7 21-Oct-21 75 CRISIL AAA/Stable
INE296A07NC2 Debenture 25-Oct-16 7.7 25-Oct-21 26 CRISIL AAA/Stable
INE296A07NJ7 Debenture 01-Dec-16 7.5 20-Nov-19 275 CRISIL AAA/Stable
INE296A07NK5 Debenture 07-Dec-16 7.5 07-Dec-21 30 CRISIL AAA/Stable
INE296A07NL3 Debenture 10-Jan-17 7.7 10-Jan-20 235 CRISIL AAA/Stable
INE296A07NM1 Debenture 10-Jan-17 7.7 07-Apr-20 7.3 CRISIL AAA/Stable
INE296A07NN9 Debenture 10-Jan-17 7.7 09-Jun-20 4 CRISIL AAA/Stable
INE296A07NO7 Debenture 10-Jan-17 7.7 28-Apr-22 3.8 CRISIL AAA/Stable
INE296A07NP4 Debenture 13-Jan-17 7.7 13-Jan-22 77 CRISIL AAA/Stable
INE296A07NQ2 Debenture 20-Jan-17 7.7 20-Jan-22 90 CRISIL AAA/Stable
INE296A07NR0 Debenture 02-Feb-17 7.7 02-Feb-22 10 CRISIL AAA/Stable
INE296A07OB2 Debenture 10-Feb-17 7.6 31-Mar-20 50 CRISIL AAA/Stable
INE296A07OC0 Debenture 10-Feb-17 7.7 10-Feb-20 30 CRISIL AAA/Stable
INE296A07OJ5 Debenture 09-Mar-17 7.8 09-Mar-20 10 CRISIL AAA/Stable
INE296A07OK3 Debenture 09-Mar-17 7.8 06-May-20 3.5 CRISIL AAA/Stable
INE296A07OL1 Debenture 09-Mar-17 7.8 20-Apr-20 27.4 CRISIL AAA/Stable
INE296A07BH6 Debenture 12-Aug-14 9.7 12-Aug-19 62.5 CRISIL AAA/Stable
INE296A07NS8 Debenture 08-Feb-17 7.7 08-Feb-22 130 CRISIL AAA/Stable
INE296A07NT6 Debenture 08-Feb-17 7.7 08-Feb-21 5 CRISIL AAA/Stable
INE296A07NU4 Debenture 08-Feb-17 7.7 10-Feb-20 125 CRISIL AAA/Stable
INE296A07NV2 Debenture 08-Feb-17 7.7 28-Jan-20 4 CRISIL AAA/Stable
INE296A07NW0 Debenture 08-Feb-17 7.7 27-Mar-20 21.8 CRISIL AAA/Stable
INE296A07NX8 Debenture 08-Feb-17 7.7 07-Apr-20 4.7 CRISIL AAA/Stable
INE296A07NY6 Debenture 08-Feb-17 7.7 04-May-20 39.7 CRISIL AAA/Stable
INE296A07NZ3 Debenture 08-Feb-17 7.7 27-Jul-20 3.2 CRISIL AAA/Stable
INE296A07OA4 Debenture 08-Feb-17 7.7 14-Aug-20 32.9 CRISIL AAA/Stable
INE296A07OD8 Debenture 23-Feb-17 7.8 24-Feb-20 200 CRISIL AAA/Stable
INE296A07OE6 Debenture 23-Feb-17 7.8 27-Mar-20 14 CRISIL AAA/Stable
INE296A07OF3 Debenture 23-Feb-17 7.8 02-Apr-20 19 CRISIL AAA/Stable
INE296A07OG1 Debenture 23-Feb-17 7.8 06-Apr-20 25 CRISIL AAA/Stable
INE296A07OH9 Debenture 23-Feb-17 7.8 11-Aug-20 5 CRISIL AAA/Stable
INE296A07OI7 Debenture 23-Feb-17 7.8 21-Aug-20 9.6 CRISIL AAA/Stable
INE296A07OM9 Debenture 21-Mar-17 7.9 21-Mar-22 23.5 CRISIL AAA/Stable
INE296A07ON7 Debenture 24-Mar-17 7.9 07-Apr-20 35 CRISIL AAA/Stable
INE296A07OO5 Debenture 24-Mar-17 7.9 02-Apr-20 13 CRISIL AAA/Stable
INE296A07OP2 Debenture 24-Mar-17 7.9 09-Apr-20 54.3 CRISIL AAA/Stable
INE296A07OQ0 Debenture 24-Mar-17 7.9 05-May-20 12 CRISIL AAA/Stable
INE296A07OR8 Debenture 24-Mar-17 7.9 10-May-20 20 CRISIL AAA/Stable
INE296A07OS6 Debenture 24-Mar-17 7.9 14-May-20 12 CRISIL AAA/Stable
INE296A07OT4 Debenture 24-Mar-17 7.9 20-May-20 10 CRISIL AAA/Stable
INE296A07OU2 Debenture 24-Mar-17 7.9 05-Jun-20 100 CRISIL AAA/Stable
INE296A07OV0 Debenture 24-Mar-17 7.9 08-Jul-20 39 CRISIL AAA/Stable
INE296A07OW8 Debenture 24-Mar-17 7.9 29-Jul-20 18 CRISIL AAA/Stable
INE296A07OX6 Debenture 27-Mar-17 7.9 28-Mar-22 37 CRISIL AAA/Stable
INE296A07OY4 Debenture 30-Mar-17 7.8 29-Jun-20 735 CRISIL AAA/Stable
INE296A07OZ1 Debenture 30-Mar-17 7.8 15-Jun-20 175 CRISIL AAA/Stable
INE296A07PA1 Debenture 30-Mar-17 7.9 30-Apr-20 17.5 CRISIL AAA/Stable
INE296A07PB9 Debenture 30-Mar-17 7.9 05-May-20 10 CRISIL AAA/Stable
INE296A07PC7 Debenture 30-Mar-17 7.9 14-May-20 31.4 CRISIL AAA/Stable
INE296A07PD5 Debenture 30-Mar-17 7.9 04-Jun-20 500 CRISIL AAA/Stable
INE296A07PE3 Debenture 30-Mar-17 7.9 08-Jul-20 32 CRISIL AAA/Stable
INE296A07PF0 Debenture 30-Mar-17 7.9 26-May-20 10 CRISIL AAA/Stable
INE296A07PG8 Debenture 31-Mar-17 7.8 30-Jun-20 355 CRISIL AAA/Stable
INE296A07PH6 Debenture 31-Mar-17 7.9 12-May-20 22.7 CRISIL AAA/Stable
INE296A07PI4 Debenture 31-Mar-17 7.9 08-Jul-20 10 CRISIL AAA/Stable
INE296A07PJ2 Debenture 31-Mar-17 7.9 31-Jul-20 75 CRISIL AAA/Stable
INE296A07PK0 Debenture 31-Mar-17 7.9 04-Aug-20 12 CRISIL AAA/Stable
INE296A07PL8 Debenture 07-Apr-17 7.9 07-Apr-22 15 CRISIL AAA/Stable
INE296A07PM6 Debenture 20-Apr-17 7.7 30-Jun-20 480 CRISIL AAA/Stable
INE296A07PN4 Debenture 20-Apr-17 7.8 30-Jun-20 28 CRISIL AAA/Stable
INE296A07PO2 Debenture 20-Apr-17 7.8 28-Apr-20 36.7 CRISIL AAA/Stable
INE296A07PP9 Debenture 21-Apr-17 7.9 21-Apr-22 14 CRISIL AAA/Stable
INE296A07PQ7 Debenture 17-May-17 7.8 17-Jun-20 105 CRISIL AAA/Stable
INE296A07PR5 Debenture 17-May-17 7.8 20-May-20 755 CRISIL AAA/Stable
INE296A07PS3 Debenture 17-May-17 7.8 06-May-20 12 CRISIL AAA/Stable
INE296A07PT1 Debenture 17-May-17 7.8 04-May-21 5.5 CRISIL AAA/Stable
INE296A07PU9 Debenture 17-May-17 7.8 04-Aug-20 8 CRISIL AAA/Stable
INE296A07PV7 Debenture 19-May-17 7.8 19-May-20 250 CRISIL AAA/Stable
INE296A07PW5 Debenture 29-May-17 7.8 29-May-20 215 CRISIL AAA/Stable
INE296A07PX3 Debenture 29-May-17 7.8 12-Aug-20 10 CRISIL AAA/Stable
INE296A07PY1 Debenture 01-Jun-17 8.1 31-May-24 1000 CRISIL AAA/Stable
INE296A07PZ8 Debenture 13-Jun-17 7.6 15-Jun-20 1025 CRISIL AAA/Stable
INE296A07QA9 Debenture 20-Jun-17 7.5 18-Jun-21 365 CRISIL AAA/Stable
INE296A08839 Debenture 06-Jun-17 8.1 07-Jun-32 1000 CRISIL AAA/Stable
INE296A07QB7 Debenture 18-Jul-17 7.5 10-Aug-20 1180 CRISIL AAA/Stable
INE296A07QE1 Debenture 27-Oct-17 7.5 27-Oct-20 400 CRISIL AAA/Stable
INE296A07QC5 Debenture 04-Sep-17 7.3 10-Nov-20 505 CRISIL AAA/Stable
INE296A07QC5 Debenture 15-Sep-17 7.3 10-Nov-20 700 CRISIL AAA/Stable
INE296A07QF8 Debenture 31-Oct-17 7.5 10-Dec-20 485 CRISIL AAA/Stable
INE296A07QF8 Debenture 05-Dec-17 7.5 10-Dec-20 600 CRISIL AAA/Stable
INE296A07QH4 Debenture 28-Dec-17 7.7 28-Dec-22 300 CRISIL AAA/Stable
INE296A07QJ0 Debenture 28-Mar-18 8.1 15-Apr-21 614.2 CRISIL AAA/Stable
INE296A07QG6 Debenture 27-Jul-18 8.8 27-Jul-23 70 CRISIL AAA/Stable
INE296A07QG6 Debenture 13-Aug-18 8.8 27-Jul-23 80 CRISIL AAA/Stable
INE296A07QG6 Debenture 24-Aug-18 8.8 27-Jul-23 31 CRISIL AAA/Stable
INE296A07QL6 Debenture 29-Aug-18 8.7 06-Sep-21 60 CRISIL AAA/Stable
INE296A07QM4 Debenture 14-Sep-18 8.8 08-Sep-23 50 CRISIL AAA/Stable
INE296A07QN2 Debenture 14-Sep-18 8.8 02-Sep-22 250 CRISIL AAA/Stable
INE296A07QO0 Debenture 25-Oct-18 9.3 07-Oct-22 25 CRISIL AAA/Stable
INE296A07QN2 Debenture 25-Oct-18 9.3 02-Sep-22 400 CRISIL AAA/Stable
INE296A07QP7 Debenture 15-Nov-18 9.2 05-May-22 370 CRISIL AAA/Stable
INE296A07QP7 Debenture 20-Nov-18 9.3 05-May-22 200 CRISIL AAA/Stable
INE296A07QQ5 Debenture 30-Nov-18 9.2 05-Apr-22 788.4 CRISIL AAA/Stable
INE296A08888 Debenture 06-Nov-18 9.1 02-Nov-33 1600 CRISIL AAA/Stable
INE296A07QP7 Debenture 05-Dec-18 9.2 05-May-22 35 CRISIL AAA/Stable
INE296A07QP7 Debenture 27-Dec-18 8.9 05-May-22 60 CRISIL AAA/Stable
INE296A07QQ5 Debenture 27-Dec-18 8.9 05-Apr-22 359.3 CRISIL AAA/Stable
INE296A07QR3 Debenture 27-Dec-18 8.9 05-Jan-24 770 CRISIL AAA/Stable
INE296A07QS1 Debenture 09-Jan-19 9 08-Jan-26 1495 CRISIL AAA/Stable
INE296A08888 Debenture 31-Jan-19 8.8 02-Nov-33 625 CRISIL AAA/Stable
INE296A07QQ5 Debenture 28-Feb-19 8.8 05-Apr-22 165.1 CRISIL AAA/Stable
INE296A07QT9 Debenture 13-Feb-19 8.9 06-Feb-24 50 CRISIL AAA/Stable
INE296A07QT9 Debenture 21-Feb-19 8.9 06-Feb-24 100 CRISIL AAA/Stable
NA Debenture^ NA NA NA 5000 CRISIL AAA/Stable
NA Subordinated Debt^ NA NA NA 100 CRISIL AAA/Stable
INE296A08359 Subordinated Debt 19-Apr-10 9.8 19-Apr-20 55 CRISIL AAA/Stable
INE296A08359 Subordinated Debt 06-May-10 9.8 19-Apr-20 10 CRISIL AAA/Stable
INE296A08425 Subordinated Debt 01-Jun-10 9.5 01-Jun-20 50 CRISIL AAA/Stable
INE296A08433 Subordinated Debt 02-Jul-10 9.5 02-Jul-20 50 CRISIL AAA/Stable
INE296A08466 Subordinated Debt 28-Sep-10 9.6 28-Sep-20 27.5 CRISIL AAA/Stable
INE296A08474 Subordinated Debt 29-Oct-10 9.6 29-Oct-20 36.2 CRISIL AAA/Stable
INE296A08490 Subordinated Debt 18-May-11 9.8 18-May-21 50 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 14-Jun-12 10.2 22-Aug-22 10 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 15-Jun-12 10.2 22-Aug-22 15.4 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 20-Jun-12 10.2 22-Aug-22 3 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 28-Jun-12 10.2 22-Aug-22 2.6 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 25-Jul-12 10.2 22-Aug-22 4.4 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 02-Aug-12 10.2 22-Aug-22 4 CRISIL AAA/Stable
INE296A08656 Subordinated Debt 17-Aug-12 10.2 22-Aug-22 118 CRISIL AAA/Stable
INE296A08672 Subordinated Debt 28-Jan-13 9.8 28-Jan-23 49.7 CRISIL AAA/Stable
INE296A08706 Subordinated Debt 26-Apr-13 9.7 26-Apr-23 50 CRISIL AAA/Stable
INE296A08714 Subordinated Debt 19-Sep-14 10.2 19-Sep-24 452.5 CRISIL AAA/Stable
INE296A08755 Subordinated Debt 21-Oct-15 8.9 21-Oct-25 40 CRISIL AAA/Stable
INE296A08763 Subordinated Debt 09-Nov-15 8.9 07-Nov-25 250 CRISIL AAA/Stable
INE296A08821 Subordinated Debt 02-Dec-16 8.1 02-Dec-26 105 CRISIL AAA/Stable
INE296A08847 Subordinated Debt 22-Jun-17 8.15 22-Jun-27 600 CRISIL AAA/Stable
N.A Subordinate Debt^ N.A N.A N.A 1216.7 CRISIL AAA/Stable
N.A Commercial Paper N.A N.A 7-365 days 20000 CRISIL A1+
N.A Cash Credit & Working
Capital Demand Loan
N.A N.A N.A 2620 CRISIL AAA/Stable
N.A Term Loan 1 N.A N.A 05-Dec-22 650 CRISIL AAA/Stable
N.A Term Loan 2 N.A N.A 30-Mar-21 500 CRISIL AAA/Stable
N.A Term Loan 3 N.A N.A 30-Oct-20 1000 CRISIL AAA/Stable
N.A Term Loan 4 N.A N.A 30-Mar-21 1000 CRISIL AAA/Stable
N.A Term Loan 5 N.A N.A  28-Jan-20 300 CRISIL AAA/Stable
N.A Term Loan 6 N.A N.A 27-Jun-20 250 CRISIL AAA/Stable
N.A Term Loan 7 N.A N.A 28-May-20 500 CRISIL AAA/Stable
N.A Term Loan 8 N.A N.A 30-Jun-19 0 CRISIL AAA/Stable
N.A Term Loan 10 N.A N.A 26-Nov-20 200 CRISIL AAA/Stable
N.A Term Loan 11 N.A N.A 31-Mar-20 200 CRISIL AAA/Stable
N.A Term Loan 12 N.A N.A 30-Mar-22 300 CRISIL AAA/Stable
N.A Term Loan 13 N.A N.A 30-Mar-21 400 CRISIL AAA/Stable
N.A Term Loan 14 N.A N.A 30-Jun-19 0 CRISIL AAA/Stable
N.A Term Loan 15 N.A N.A 30-Nov-19 500 CRISIL AAA/Stable
N.A Term Loan 16 N.A N.A 27-Oct-21 350 CRISIL AAA/Stable
N.A Term Loan 19 N.A N.A 25-Mar-24 6300 CRISIL AAA/Stable
N.A Proposed Long-Term Bank Loan Facility N.A N.A N.A 5,555 CRISIL AAA/Stable
N.A Short-Term Bank Facility N.A N.A N.A 375 CRISIL A1+
N.A Fixed Deposits Programme N.A N.A N.A Programme FAAA/Stable
NA Debenture^ NA NA NA 5000 CRISIL AAA/Stable
NA Debenture^ NA NA NA 303.5 CRISIL AAA/Stable
INE296A07QU7 Debenture 28-Mar-19 8.54% 07-Jun-22 770 CRISIL AAA/Stable
INE296A07QV5 Debenture 15-May-19 8.55% 06-Jun-24 225 CRISIL AAA/Stable
INE296A07QW3 Debenture 24-Jun-19 8.11% 08-Jul-22 2000 CRISIL AAA/Stable
INE296A08896 Debenture 06-Jun-17 8.10% 07-Jun-32 1000 CRISIL AAA/Stable
^Yet to be issued
Annexure - Details of Rating Withdrawn
ISIN Name of instrument Date of allotment Coupon rate (%) Maturity date Issue size (Rs.Cr)
INE296A07DQ3 Debenture 22-Oct-14 9.5 22-Oct-19 5
INE296A07HS0 Debenture 3-Aug-15 8.9 2-Aug-19 80
INE296A07NH1 Debenture 30-Nov-16 7.5 8-Oct-19 7.8
Annexure - List of Entities Consolidated
Entity Consolidated Extent of Consolidation Rationale for Consolidation
Bajaj Housing Finance Limited Full Subsidiary
Annexure - Rating History for last 3 Years
  Current 2019 (History) 2018  2017  2016  Start of 2016
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Commercial Paper  ST  20000.00  CRISIL A1+  26-07-19  CRISIL A1+  27-12-18  CRISIL A1+  26-12-17  CRISIL A1+    --  -- 
        05-04-19  CRISIL A1+  05-11-18  CRISIL A1+  24-10-17  CRISIL A1+       
        22-03-19  CRISIL A1+  25-07-18  CRISIL A1+  18-10-17  CRISIL A1+       
            04-04-18  CRISIL A1+  13-10-17  CRISIL A1+       
Fixed Deposits  FD  0.00  FAAA/Stable  26-07-19  FAAA/Stable  27-12-18  FAAA/Stable  26-12-17  FAAA/Stable  07-12-16  FAAA/Stable  FAAA/Stable 
        05-04-19  FAAA/Stable  05-11-18  FAAA/Stable  24-10-17  FAAA/Stable  21-10-16  FAAA/Stable   
        22-03-19  FAAA/Stable  25-07-18  FAAA/Stable  18-10-17  FAAA/Stable  05-10-16  FAAA/Stable   
            04-04-18  FAAA/Stable  13-10-17  FAAA/Stable  31-08-16  FAAA/Stable   
                15-06-17  FAAA/Stable  22-03-16  FAAA/Stable   
                09-05-17  FAAA/Stable  02-03-16  FAAA/Stable   
                05-05-17  FAAA/Stable       
                04-04-17  FAAA/Stable       
                03-02-17  FAAA/Stable       
Lower Tier II Bonds  LT  700.00
CRISIL AAA/Stable  26-07-19  CRISIL AAA/Stable  27-12-18  CRISIL AAA/Stable  26-12-17  CRISIL AAA/Stable  07-12-16  CRISIL AAA/Stable  CRISIL AA+/Stable 
        05-04-19  CRISIL AAA/Stable  05-11-18  CRISIL AAA/Stable  24-10-17  CRISIL AAA/Stable  21-10-16  CRISIL AAA/Stable   
        22-03-19  CRISIL AAA/Stable  25-07-18  CRISIL AAA/Stable  18-10-17  CRISIL AAA/Stable  05-10-16  CRISIL AAA/Stable   
            04-04-18  CRISIL AAA/Stable  13-10-17  CRISIL AAA/Stable  31-08-16  CRISIL AA+/Positive   
                15-06-17  CRISIL AAA/Stable  22-03-16  CRISIL AA+/Positive   
                09-05-17  CRISIL AAA/Stable  02-03-16  CRISIL AA+/Positive   
                05-05-17  CRISIL AAA/Stable       
                04-04-17  CRISIL AAA/Stable       
                03-02-17  CRISIL AAA/Stable       
Non Convertible Debentures  LT  37964.20
CRISIL AAA/Stable  26-07-19  CRISIL AAA/Stable  27-12-18  CRISIL AAA/Stable  26-12-17  CRISIL AAA/Stable  07-12-16  CRISIL AAA/Stable  CRISIL AA+/Stable 
        05-04-19  CRISIL AAA/Stable  05-11-18  CRISIL AAA/Stable  24-10-17  CRISIL AAA/Stable  21-10-16  CRISIL AAA/Stable   
        22-03-19  CRISIL AAA/Stable  25-07-18  CRISIL AAA/Stable  18-10-17  CRISIL AAA/Stable  05-10-16  CRISIL AAA/Stable   
            04-04-18  CRISIL AAA/Stable  13-10-17  CRISIL AAA/Stable  31-08-16  CRISIL AA+/Positive   
                15-06-17  CRISIL AAA/Stable  22-03-16  CRISIL AA+/Positive   
                09-05-17  CRISIL AAA/Stable  02-03-16  CRISIL AA+/Positive   
                05-05-17  CRISIL AAA/Stable       
                04-04-17  CRISIL AAA/Stable       
                03-02-17  CRISIL AAA/Stable       
Short Term Debt  ST              15-06-17  CRISIL A1+  07-12-16  CRISIL A1+  CRISIL A1+ 
                09-05-17  CRISIL A1+  21-10-16  CRISIL A1+   
                05-05-17  CRISIL A1+  05-10-16  CRISIL A1+   
                04-04-17  CRISIL A1+  31-08-16  CRISIL A1+   
                03-02-17  CRISIL A1+  22-03-16  CRISIL A1+   
                    02-03-16  CRISIL A1+   
Subordinated Debt  LT  2600.00
CRISIL AAA/Stable  26-07-19  CRISIL AAA/Stable  27-12-18  CRISIL AAA/Stable  26-12-17  CRISIL AAA/Stable  07-12-16  CRISIL AAA/Stable  CRISIL AA+/Stable 
        05-04-19  CRISIL AAA/Stable  05-11-18  CRISIL AAA/Stable  24-10-17  CRISIL AAA/Stable  21-10-16  CRISIL AAA/Stable   
        22-03-19  CRISIL AAA/Stable  25-07-18  CRISIL AAA/Stable  18-10-17  CRISIL AAA/Stable  05-10-16  CRISIL AAA/Stable   
            04-04-18  CRISIL AAA/Stable  13-10-17  CRISIL AAA/Stable  31-08-16  CRISIL AA+/Positive   
                15-06-17  CRISIL AAA/Stable  22-03-16  CRISIL AA+/Positive   
                09-05-17  CRISIL AAA/Stable  02-03-16  CRISIL AA+/Positive   
                05-05-17  CRISIL AAA/Stable       
                04-04-17  CRISIL AAA/Stable       
                03-02-17  CRISIL AAA/Stable       
Fund-based Bank Facilities  LT/ST  21000.00  CRISIL AAA/Stable/ CRISIL A1+  26-07-19  CRISIL AAA/Stable/ CRISIL A1+  27-12-18  CRISIL AAA/Stable/ CRISIL A1+  26-12-17  CRISIL AAA/Stable/ CRISIL A1+  07-12-16  CRISIL AAA/Stable/ CRISIL A1+  CRISIL AA+/Stable/ CRISIL A1+ 
        05-04-19  CRISIL AAA/Stable/ CRISIL A1+  05-11-18  CRISIL AAA/Stable/ CRISIL A1+  24-10-17  CRISIL AAA/Stable/ CRISIL A1+  21-10-16  CRISIL AAA/Stable/ CRISIL A1+   
        22-03-19  CRISIL AAA/Stable/ CRISIL A1+  25-07-18  CRISIL AAA/Stable/ CRISIL A1+  18-10-17  CRISIL AAA/Stable/ CRISIL A1+  05-10-16  CRISIL AAA/Stable/ CRISIL A1+   
            04-04-18  CRISIL AAA/Stable/ CRISIL A1+  13-10-17  CRISIL AAA/Stable/ CRISIL A1+  31-08-16  CRISIL AA+/Positive/ CRISIL A1+   
                15-06-17  CRISIL AAA/Stable/ CRISIL A1+  22-03-16  CRISIL AA+/Positive/ CRISIL A1+   
                09-05-17  CRISIL AAA/Stable/ CRISIL A1+  02-03-16  CRISIL AA+/Positive/ CRISIL A1+   
                05-05-17  CRISIL AAA/Stable/ CRISIL A1+       
                04-04-17  CRISIL AAA/Stable/ CRISIL A1+       
                03-02-17  CRISIL AAA/Stable/ CRISIL A1+       
All amounts are in Rs.Cr.
Annexure - Details of various bank facilities
Current facilities Previous facilities
Facility Amount (Rs.Crore) Rating Facility Amount (Rs.Crore) Rating
Cash Credit & Working Capital demand loan 2620 CRISIL AAA/Stable Cash Credit & Working Capital demand loan 2620 CRISIL AAA/Stable
Long Term Bank Facility 12450 CRISIL AAA/Stable Long Term Bank Facility 12600 CRISIL AAA/Stable
Proposed Long Term Bank Loan Facility 5555 CRISIL AAA/Stable Proposed Long Term Bank Loan Facility 5405 CRISIL AAA/Stable
Short Term Bank Facility 375 CRISIL A1+ Short Term Bank Facility 375 CRISIL A1+
Total 21000 -- Total 21000 --
Links to related criteria
Rating Criteria for Finance Companies
CRISILs Criteria for Consolidation
CRISILs Criteria for rating short term debt
Criteria for Notching up Stand Alone Ratings of Companies based on Parent Support

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