Rating Rationale
July 16, 2020 | Mumbai
Muthoot Finance Limited
'CRISIL PP-MLD AAr/Positive' assigned to Long term principal protected market linked debentures 
 
Rating Action
Rs.200 Crore Long Term Principal Protected Market Linked Debentures CRISIL PP-MLD AAr/Positive (Assigned)
Rs.200 Crore Long Term Principal Protected Market Linked Debentures CRISIL PP-MLD AAr/Positive (Reaffirmed)
Rs.100 Crore Long Term Principal Protected Market Linked Debentures CRISIL PP-MLD AAr/Positive (Reaffirmed)
Rs.150 Crore Long Term Principal Protected Market Linked Debentures CRISIL PP-MLD AAr/Positive (Reaffirmed)
Rs.2000 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Subordinated Debt Aggregating Rs.200.28 Crore CRISIL AA/Positive (Reaffirmed)
Non Convertible Debentures Aggregating Rs.2000 Crore CRISIL AA/Positive (Reaffirmed)
Non Convertible Debentures Aggregating Rs.4000 Crore CRISIL AA/Positive (Reaffirmed)
Rs.4000 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.304.2 Crore Non-Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.1500 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.251.80 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.93.60 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.2.80 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.250 Crore Non Convertible Debentures CRISIL AA/Positive (Reaffirmed)
Rs.10 Crore Subordinated Debt CRISIL AA/Positive (Reaffirmed)
Rs.18.72 Crore Subordinated Debt CRISIL AA/Positive (Reaffirmed)
Rs.31.78 Crore Subordinated Debt  CRISIL AA/Positive (Reaffirmed)
Rs.23.0392 Crore Subordinated Debt CRISIL AA/Positive (Reaffirmed)
Rs.5000 Crore Commercial Paper CRISIL A1+ (Reaffirmed)
1 crore = 10 million
Refer to annexure for Details of Instruments & Bank Facilities
Detailed Rationale

CRISIL has assigned its 'CRISIL PP-MLD AAr/Positive' rating to Rs.200 crore Proposed Issuance of Long Term Principal Protected Market Linked Debentures of Muthoot Finance Limited (Muthoot Finance). The ratings on existing debt instruments have been reaffirmed at 'CRISIL AA/CRISIL PP-MLD AAr/Positive/CRISIL A1+'.
 
The ratings continue to factor in the established track record of Muthoot Finance's promoters in the gold financing business, strong capitalization and healthy profitability. The aforementioned strengths are partially offset by high geographical concentration of loan portfolio and operations in South India ' which accounted for 49% of the Assets under Management and housed 60% of the branches, as of March 31, 2020 and; inherent challenges in profitably scaling up the non-gold loan segments.
 
The outlook remains driven by Muthoot Finance's demonstrated ability to sustain its strong financial risk profile while profitably scaling its core gold loan business and maintaining asset quality. Having registered a 3 year CAGR of 17.8% - to achieve a consolidated assets under management (AUM) of Rs 46,871 crore as of March 31, 2020, the company continues to retain its leadership position among non-banking financial companies (NBFCs) in the gold financing business. The gold loan book grew at 14.4%% CAGR over last 3 years while the non-gold segments registered a growth of over 300% over similar period, albeit on a smaller base. Asset quality as measured by annualised credit costs has also been under control, despite non-performing asset (NPA) levels exhibiting a rise in Q4 of fiscal 2018, though it has since moderated. Stage III assets stood at 2.2% as on March 31, 2020 as compared to 4.4% (gross NPA of 7%) on March 31, 2018.
 
Profitability has remained healthy over the years and, has improved further in the last 2-3 fiscals, evidenced by a consolidated return on managed assets (RoMA) of 6.6% for fiscal 2020, against a RoMA of 3% for fiscal 2016. The improvement has been supported by high margins and low credit costs (particularly after implementation of IndAS) and, further bolstered by increased collection of interest.
 
The company has strengthened its capital position alongside ramp up in scale of operations, maintaining adequate networth and a comfortable gearing during the course of it. Capitalisation remains strong as reflected in the reported networth of Rs 11,829 crore (consolidated), tier I capital adequacy of 24.3% (standalone) and a low gearing of 3.6 times at a consolidated level, on March 31, 2020. Over the last 5 fiscals, gearing (standalone) has remained below 4 times whereas Tier I capital (standalone) adequacy has remained above 20%.
 
Apart from strengthening its standalone capital position, CRISIL believes that strong internal cash generation from gold finance business will also help Muthoot Finance to prudently capitalise its subsidiaries as they diversify into other asset classes including microfinance, vehicle finance and housing finance. Non-gold segments now constitute about 13% of the total loan portfolio.
 
In terms of funding, while a larger proportion of borrowing has been sourced as funding lines from banks and financial institutions (39%), the company's resource profile remains diversified across avenues like non-convertible debentures and subordinated debt (28%), commercial paper (10%), External commercial borrowing (20%) and other sources (3%) ' as of March 31, 2020
 
The lockdown (presently effective till the end of July 2020 in most parts of the country) declared by the Government of India to contain the spread of the Novel Coronavirus (Covid-19) will have a near-term impact on disbursements and collections of financial institutions. With the lockdown being in its sixth stage now, the relaxations have been granted in a phased manner - varying across geographies. Eventual lifting of restrictions is also expected to be in a staggered manner. Any delay in return to normalcy will put further pressure on collections and asset quality metrics of companies. Additionally, any change in the behavior of borrowers on payment discipline can affect delinquency levels. However, for Muthoot Finance, around 87% of the consolidated loan book is in the gold segment. And within the gold segment, the portfolio loan to value (LTV) is comfortable due to the sharp increase in the gold prices. Hence, timely auction will ensure that credit losses are minimal, even if the company faces delinquencies. For the balance 13% of the portfolio, asset quality risks are likely to manifest, especially in the microfinance segment.
 
On the liability side, the Reserve Bank of India (RBI) announced regulatory measures under 'Covid-19 - Regulatory Package'Ã'Â?, whereby lenders were permitted to grant moratorium on bank loans for a period of 3 months ending May 31, 2020, which - as per RBI announcement dated May 22, 2020 - was allowed to be extended by another 3 months till August 31, 2020. However, Muthoot Finance has not availed moratorium on its borrowings.
 
In terms of liquidity, the company has been able to roll over existing working capital lines and also raise incremental funds over the first quarter of fiscal 2021 thus far, which has aided its liquidity cover. In terms of interest collections in the gold loan portfolio, after a dip in April 2020, collections have started to revive at a healthy pace to restore to pre-covid-19 levels. However, CRISIL will continue to monitor this trend closely.

Analytical Approach

To arrive at the rating, CRISIL has evaluated the consolidated business and financial risk profile of Muthoot Finance and its subsidiaries, including Muthoot Homefin India Limited, Belstar Microfinance Limited and Muthoot Money Private Limited.

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
Strengths
* Established track record and brand name in gold financing industry
Muthoot Finance has sustained its leadership position in the gold financing segment, supported by the long and established track record of 80 years of its promoter family. The company has a large operational base of over 4,500 branches ' spanning across India, which has continued to support its market share of >45% within the universe of NBFCs carrying out gold loan business over the years. Despite modest volume growth, the company's gold AUM grew by 21.4% in fiscal 2020 to reach Rs 40,772 crore at the end of March 2020. The company's operating efficiency ' indicated in terms of gold AUM per branch ' remains high at Rs 8.9 crore as of March 31, 2020, higher than Rs 7.5 crore ' a year ago.
 
Muthoot Finance's extensive branch network and client base, which is relatively more diverse in terms of geographies and is gradually improving further, will improve its competitive position over the medium term. While the company has started to diversify into non-gold segments, its primary focus would remain on gold.
 
* Strong capitalisation
Muthoot Finance's capital position remains strong in relation to its scale and nature of operations, supported its demonstrated ability to raise capital frequently and large accretions to networth. As of March 31, 2020, the company reported a consolidated networth of Rs 11,829 crore and gearing remained comfortable at 3.6 times. Tier I and overall capital adequacy ratios on a standalone basis have also remained comfortably >20% over the last few years owing to moderated growth in business, and stood at 24.3% and 25.5% respectively on March 31, 2020. Over the medium term, the AUM in the gold loan segment is not expected to grow sharply and the share of non-gold segments (affordable housing finance, and microfinance) would remain relatively small scale, therefore ' capitalisation is expected to remain adequate. Even after factoring in leverage in the key subsidiaries, CRISIL believes that consolidated gearing will remain below 5 times over the medium term.
 
* Profitability to remain healthy
Profitability continues to improve reflected in standalone return on assets (RoA) of 6.8% for fiscal 2020 which was higher than 5.7% for the preceding fiscal. This improvement can be attributed to dedicated recovery efforts, favourable movement in gold prices and reduction in provisioning requirements after implementation of IndAS. Despite charging yields which are lower than industry average, the company has been able to sustain margins on account of its high operating efficiency.
 
Over fiscal 2019 and 2020, increased focus on collection of interest on a regular basis along with revision in its interest rates on different schemes, has resulted in sustenance of margins. Additionally, operating expenses remained low and credit costs reduced after implementation of IndAS. Asset quality as measured by annualised credit costs has also been under control, despite non-performing asset (NPA) levels exhibiting a rise in Q4 of fiscal 2018, though it has since moderated. Stage III assets stood at 2.2% as March 31, 2020, as compared to 4.4% (GNPA of 7%) on March 31, 2018.  Lower asset-side risk (security of gold, which is liquid and is in the lender's possession) helps in controlling credit costs in the gold finance business. Over the last three years, credit costs have remained sub 1% of total assets and for the current fiscal 2021, despite the expectation of a marginal uptick in consolidated credit costs due to Covid-19 disruption, profitability is expected to remain healthy in the normal course of business - supported by sustained margins and low operating expenses. As the group is diversifying into other segments, asset quality within non-gold businesses would remain a monitorable.
 
Weaknesses
* Geographical and segmental concentration in operations
Despite gradual increase in diversification over time, Muthoot Finance's operations have a high degree of geographical concentration in operations. South India accounted for 49% of the company's AUM and 60% of its branches as on March 31, 2020. Significant regional concentration exposes the company vulnerabilities of economic, social, and political disruptions in the region. Furthermore, implementation of the Kerala Money Lenders Act, 1958, for NBFCs could affect Muthoot Finance's lending rates and operational expenditure as the compliance requirements under the act would be rigorous and cumbersome. This will remain a key rating monitorable.
 
In terms of concentration across segments, Muthoot Finance has steadily diversified its product suite across housing finance (Muthoot Homefin), microfinance (Belstar Microfinance), vehicle finance (Muthoot Money) and a few other segments. This expansion into non- gold segments and growth of these businesses has resulted in their share in the consolidated AUM, going up to almost 13% as of March 31, 2020. However, it still remains low ' reflecting high segmental concentration in AUM and revenue profile as majority income flows through the gold loan business.
 
* Challenges associated with non-gold loan segments
Given the low track record and seasoning in the non-gold loan segments, the growth, asset quality and profitability in those segments are yet to stabilise. Within the housing finance segment, Muthoot Homefin operates in the affordable housing finance segment, catering to self-employed customers engaged in small business activities and thus, have a relatively weak credit risk profile because of the volatile nature of their income and employment in un-organised segments. Therefore, the delinquencies from this book may increase as the portfolio achieves more seasoning. Similarly, microfinance loans, through which the company intends to cater to weaker sections of the society, are unsecured in nature and are rendered to borrowers with a weak credit risk profile. This segment also exhibits high subjectivity to local socio-political issues. The vehicle finance business, which is relatively new, deals with lending against commercial vehicles and equipment ' majority of which are old vehicles.
 
With respect to impact of covid-19, most of the smaller segments wherein the company operates - micro, small and medium enterprise (MSME) finance, home loans and micro finance, could still witness challenges, especially in the cash salaried and self-employed segment, wherein income streams of borrowers is likely to be affected given the challenging macro environment. Collections across most of these segments have dropped during April and May. However, the group is taking steps to improve its collections in the non-gold businesses by engaging and reaching out to the borrowers.
 
From a longer term perspective, as the growth within these segments has remained limited as yet, the asset quality and profitability in these businesses will be a key monitorable.
Liquidity Strong

The lockdown (presently effective till the end of July 2020 in most parts of the country) declared by the Government of India to contain the spread of the Novel Coronavirus (Covid-19) will have a near-term impact on disbursements and collections of financial institutions. With the lockdown being in its sixth stage now, the relaxations have been granted in a phased manner - varying across geographies. Eventual lifting of restrictions is also expected to be in a staggered manner. Any delay in return to normalcy will put further pressure on collections and asset quality metrics of companies. Additionally, any change in the behavior of borrowers on payment discipline can affect delinquency levels.  On the liability side, the Reserve Bank of India (RBI) announced regulatory measures under 'Covid-19 - Regulatory Package'Ã'Â?, whereby lenders were permitted to grant moratorium on bank loans for a period of 3 months ending May 2020, which ' as per RBI announcement dated May 22, 2020 ' was allowed to be extended by another 3 months on the lenders' discretion. Muthoot Finance has not availed moratorium on its borrowings.
 
The company's liquidity position remains adequate with cash and equivalents balance of Rs 8288 crore as on June 30, 2020 (excluding un-utilized portion of existing term loans, Cash Credit and Working Capital Demand Loans). Liquidity cover for debt and operating expense obligations arising over July and August 2020, without factoring in any roll over or incremental collections, was at 1.3 times. Additionally, the company has been able to roll over/ issue facilities and has also received other sanctions over the last 3 months.

Outlook: Positive

CRISIL believes the company will sustain its strong capitalisation and healthy profitability. Asset quality within the gold business, which accounts for a significant majority proportion of the AUM, would remain stable ' supported by increased frequency of interest collections and the highly liquid nature of the underlying security ' gold ' which should keep credit losses very low. For non-gold segments, maintenance of asset quality and profitability alongside growth, remains a monitorable.

Rating Sensitivity factors
Upward Factors
* Maintaining its strong market position in the gold finance business while increasing diversity in AUM mix
* Sustenance in profitability with RoMA at above 5% on a steady state basis, while improving asset quality

Downward Factors
* Significant and sustained deterioration in asset quality and profitability, leading to moderation in capital position ' reflected in the tier I CAR declining to below 15%.
* Inability to maintain momentum of growth in the gold loan business, resulting in a significant decline in market share.
About the Company

Muthoot Finance, an NBFC, was originally set up as a private limited company in 1997; this was reconstituted as a public limited company in November 2008. It provides finance against used household gold jewelry; the promoters' family has been in this business for over seven decades, during the initial days ' the business was carried out under the name 'Muthoot Bankers'Ã'Â? which was a partnership firm. Muthoot Finance is the flagship company of the Muthoot group (promoters of Muthoot Finance), which is also in the hospitality, healthcare, media, education, information technology, foreign exchange, insurance distribution, and money transfer businesses.

Key Financial Indicators - Muthoot Finance (Standalone)
As on/ for the period ended Unit Mar-20 Mar-19 Mar-18
Total managed assets Rs crore 50459 38069 30,792
Total income Rs crore 8723 6881 6,333
Profit after tax Rs crore 3018 1972 1,777
Gross NPA % 2.2 2.7 4.4
Gearing Times 3.2 2.7 2.7
Return on managed assets (annualised) % 6.8 5.7 5.8

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL complexity levels are assigned to various types of financial instruments and are included (where applicable) in the Annexure -- Details of Instrument in this Rating Rationale. For more details on the CRISIL complexity levels, please visit www.crisil.com/complexity-levels.
Annexure - Details of Instrument(s)
ISIN Name of instrument Date of Allotment Coupon rate (%) Maturity date Issue Size (Rs.In crs) Complexity Level Ratings
NA Principle protected market linked debentures^ NA NA NA 200 Highly complex CRISIL PP-MLD AAr/Positive
NA Principle protected market linked debentures^ NA NA NA 200 Highly complex CRISIL PP-MLD AAr/Positive
NA Principle protected market linked debentures^ NA NA NA 100 Highly complex CRISIL PP-MLD AAr/Positive
NA Principle protected market linked debentures^ NA NA NA 14.5 Highly complex CRISIL PP-MLD AAr/Positive
INE414G07ES3 Principle protected market linked debentures 12-Jun-20 NA 10-Jun-22 135.5 Highly complex CRISIL PP-MLD AAr/Positive
NA Subordinated debt^ NA NA NA 200.28 Complex CRISIL AA/Positive
NA Debentures^ NA NA NA 2000 Simple CRISIL AA/Positive 
NA Debentures^ NA NA NA 2811 Simple CRISIL AA/Positive 
NA Debentures^ NA NA NA 1189 Simple CRISIL AA/Positive
NA Debentures^ NA NA NA 160 Simple CRISIL AA/Positive
INE414G07EX3 Secured Redeemable Non-Convertible Debentures 15-Jul-20 8.4 15-Jul-23 100 Simple CRISIL AA/Positive
INE414G07EV7 Secured Redeemable Non-Convertible Debentures 07-Jul-20 8.3 08-Aug-22 650 Simple CRISIL AA/Positive
INE414G07EU9 Secured Redeemable Non-Convertible Debentures 25-Jun-20 8.5 04-Jul-22 365 Simple CRISIL AA/Positive
INE414G07ET1 Secured Redeemable Non-Convertible Debentures 18-Jun-20 9.5 18-Jun-25 125 Simple CRISIL AA/Positive
INE414G07ER5 Secured Redeemable Non-Convertible Debentures 02-Jun-20 9.05 02-Jun-23 500 Simple CRISIL AA/Positive
INE414G07EQ7 Secured Redeemable Non-Convertible Debentures 14-May-20 8.9 12-May-23 100 Simple CRISIL AA/Positive
INE414G07EP9 Secured Redeemable Non-Convertible Debentures 24-Feb-20 9.5 11-Mar-22 175 Simple CRISIL AA/Positive
INE414G07AS1 Secured Redeemable Non-Convertible Debentures 20-Jan-16 9.25 & 8.50 20-Jan-21 1.4 Simple CRISIL AA/Positive
INE414G07AV5 Secured Redeemable Non-Convertible Debentures 20-Jan-16 9.50 & 8.75 20-Jan-21 0.8 Simple CRISIL AA/Positive
INE414G07AZ6 Secured Redeemable Non-Convertible Debentures 20-Jan-16 N.A 20-Jan-21 0.6 Simple CRISIL AA/Positive
INE414G07BQ3 Secured Redeemable Non-Convertible Debentures 30-Jan-17 9.00 & 8.75 30-Jan-22 11.1 Simple CRISIL AA/Positive
INE414G07BT7 Secured Redeemable Non-Convertible Debentures 30-Jan-17 9.25 & 9.00 30-Jan-22 82.5 Simple CRISIL AA/Positive
INE414G07CA5 Secured Redeemable Non-Convertible Debentures 24-Apr-17 8.75 24-Apr-22 61.2 Simple CRISIL AA/Positive
INE414G07CD9 Secured Redeemable Non-Convertible Debentures 24-Apr-17 9 24-Apr-22 190.6 Simple CRISIL AA/Positive
INE414G07CJ6 Secured Redeemable Non-Convertible Debentures 19-Apr-18 8.5 19-Jun-21 27.14 Simple CRISIL AA/Positive
INE414G07CK4 Secured Redeemable Non-Convertible Debentures 19-Apr-18 8.75 19-Apr-23 56.51 Simple CRISIL AA/Positive
INE414G07CM0 Secured Redeemable Non-Convertible Debentures 19-Apr-18 8.75 19-Jun-21 1862.45 Simple CRISIL AA/Positive
INE414G07CN8 Secured Redeemable Non-Convertible Debentures 19-Apr-18 9 19-Apr-23 721.85 Simple CRISIL AA/Positive
INE414G07CQ1 Secured Redeemable Non-Convertible Debentures 19-Apr-18 N.A 19-Jun-21 19.73 Simple CRISIL AA/Positive
INE414G07CR9 Secured Redeemable Non-Convertible Debentures 19-Apr-18 N.A 19-Apr-23 205.55 Simple CRISIL AA/Positive
INE414G07CY5 Secured Redeemable Non-Convertible Debentures 20-Mar-19 N.A 20-Mar-21 36.01 Simple CRISIL AA/Positive
INE414G07DB1 Secured Redeemable Non-Convertible Debentures 20-Mar-19 9.25 20-Mar-21 40.12 Simple CRISIL AA/Positive
INE414G07DE5 Secured Redeemable Non-Convertible Debentures 20-Mar-19 9.5 20-Mar-21 79.28 Simple CRISIL AA/Positive
INE414G07CZ2 Secured Redeemable Non-Convertible Debentures 20-Mar-19 N.A 20-May-22 151.74 Simple CRISIL AA/Positive
INE414G07DC9 Secured Redeemable Non-Convertible Debentures 20-Mar-19 9.5 20-May-22 79.45 Simple CRISIL AA/Positive
INE414G07DF2 Secured Redeemable Non-Convertible Debentures 20-Mar-19 9.75 20-May-22 73.71 Simple CRISIL AA/Positive
INE414G07DA3 Secured Redeemable Non-Convertible Debentures 20-Mar-19 N.A 20-Mar-24 46.75 Simple CRISIL AA/Positive
INE414G07DD7 Secured Redeemable Non-Convertible Debentures 20-Mar-19 9.75 20-Mar-24 110.64 Simple CRISIL AA/Positive
INE414G07DG0 Secured Redeemable Non-Convertible Debentures 20-Mar-19 10 20-Mar-24 91.76 Simple CRISIL AA/Positive
INE414G07DH8 Secured Redeemable Non-Convertible Debentures 14-Jun-19 9.25 14-Jun-21 72.76 Simple CRISIL AA/Positive
INE414G07DK2 Secured Redeemable Non-Convertible Debentures 14-Jun-19 9.5 14-Jun-21 94.59 Simple CRISIL AA/Positive
INE414G07DN6 Secured Redeemable Non-Convertible Debentures 14-Jun-19 N.A 14-Jun-21 30.29 Simple CRISIL AA/Positive
INE414G07DI6 Secured Redeemable Non-Convertible Debentures 14-Jun-19 9.5 14-Aug-22 87.16 Simple CRISIL AA/Positive
INE414G07DL0 Secured Redeemable Non-Convertible Debentures 14-Jun-19 9.75 14-Aug-22 71.27 Simple CRISIL AA/Positive
INE414G07DO4 Secured Redeemable Non-Convertible Debentures 14-Jun-19 N.A 14-Aug-22 157.29 Simple CRISIL AA/Positive
INE414G07DJ4 Secured Redeemable Non-Convertible Debentures 14-Jun-19 9.75 14-Jun-24 105.81 Simple CRISIL AA/Positive
INE414G07DM8 Secured Redeemable Non-Convertible Debentures 14-Jun-19 10 14-Jun-24 179.47 Simple CRISIL AA/Positive
INE414G07DP1 Secured Redeemable Non-Convertible Debentures 14-Jun-19 N.A 14-Jun-24 20.82 Simple CRISIL AA/Positive
INE414G07DQ9 Secured Redeemable Non-Convertible Debentures 14-Jun-19 N.A 14-Dec-26 32.24 Simple CRISIL AA/Positive
INE414G07DT3 Secured Redeemable Non-Convertible Debentures 01-Nov-19 9.25 01-Nov-21 45.56 Simple CRISIL AA/Positive
INE414G07DU1 Secured Redeemable Non-Convertible Debentures 01-Nov-19 9.5 01-Jan-23 53.73 Simple CRISIL AA/Positive
INE414G07DV9 Secured Redeemable Non-Convertible Debentures 01-Nov-19 N.A 01-Nov-24 89.82 Simple CRISIL AA/Positive
INE414G07DW7 Secured Redeemable Non-Convertible Debentures 01-Nov-19 9.5 01-Nov-21 54.83 Simple CRISIL AA/Positive
INE414G07DX5 Secured Redeemable Non-Convertible Debentures 01-Nov-19 9.75 01-Jan-23 40.99 Simple CRISIL AA/Positive
INE414G07DY3 Secured Redeemable Non-Convertible Debentures 01-Nov-19 N.A 01-Nov-24 53.62 Simple CRISIL AA/Positive
INE414G07DZ0 Secured Redeemable Non-Convertible Debentures 01-Nov-19 9.75 01-Nov-21 26.05 Simple CRISIL AA/Positive
INE414G07EA1 Secured Redeemable Non-Convertible Debentures 01-Nov-19 10 01-Jan-23 38.02 Simple CRISIL AA/Positive
INE414G07EB9 Secured Redeemable Non-Convertible Debentures 01-Nov-19 N.A 01-Nov-24 14 Simple CRISIL AA/Positive
INE414G07EC7 Secured Redeemable Non-Convertible Debentures 01-Nov-19 N.A 01-May-27 43.2 Simple CRISIL AA/Positive
INE414G07EH6 Secured Redeemable Non-Convertible Debentures 27-Dec-19 9.25 27-Dec-21 63.8 Simple CRISIL AA/Positive
INE414G07EI4 Secured Redeemable Non-Convertible Debentures 27-Dec-19 9.5 27-Feb-23 54.69 Simple CRISIL AA/Positive
INE414G07EJ2 Secured Redeemable Non-Convertible Debentures 27-Dec-19 N.A 27-Dec-24 81.83 Simple CRISIL AA/Positive
INE414G07EK0 Secured Redeemable Non-Convertible Debentures 27-Dec-19 9.5 27-Dec-21 285.72 Simple CRISIL AA/Positive
INE414G07EL8 Secured Redeemable Non-Convertible Debentures 27-Dec-19 9.75 27-Feb-23 117.08 Simple CRISIL AA/Positive
INE414G07EM6 Secured Redeemable Non-Convertible Debentures 27-Dec-19 N.A 27-Dec-24 54.38 Simple CRISIL AA/Positive
INE414G07ED5 Secured Redeemable Non-Convertible Debentures 27-Dec-19 9.75 27-Dec-21 34.47 Simple CRISIL AA/Positive
INE414G07EE3 Secured Redeemable Non-Convertible Debentures 27-Dec-19 10 27-Feb-23 40.78 Simple CRISIL AA/Positive
INE414G07EF0 Secured Redeemable Non-Convertible Debentures 27-Dec-19 N.A 27-Dec-24 12.66 Simple CRISIL AA/Positive
INE414G07EG8 Secured Redeemable Non-Convertible Debentures 27-Dec-19 N.A 27-Jun-27 44.6 Simple CRISIL AA/Positive
INE414G07CS7 Secured Redeemable Non-Convertible Debentures 26-Jul-18 9.75 26-Jul-21 175 Simple CRISIL AA/Positive
INE414G08306 Subordinated Debt 20-Jan-16 N.A 20-Apr-23 23 Complex CRISIL AA/Positive
INE414G08330 Subordinated Debt 30-Jan-17 N.A 30-Jan-25 31.8 Complex CRISIL AA/Positive
INE414G08348 Subordinated Debt 24-Apr-17 N.A 24-Apr-25 18.72 Complex CRISIL AA/Positive
INE414G09015 Subordinated Debt 26-Mar-13 N.A 26-Mar-23 10 Complex CRISIL AA/Positive
N.A. Commercial Paper N.A N.A 7-365 days 5000 Simple CRISIL A1+
^Yet to be issued
 
Annexure - List of Entities Consolidated
Entity consolidated Extent of consolidation Rationale for consolidation
Muthoot Homefin (India) Ltd Full Consolidation Subsidiary
Belstar Microfinance Private Limited Full Consolidation Subsidiary
Muthoot Money Limited Full Consolidation Subsidiary
Annexure - Rating History for last 3 Years
  Current 2020 (History) 2019  2018  2017  Start of 2017
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Commercial Paper  ST  5000.00  CRISIL A1+  03-07-20  CRISIL A1+  18-01-19  CRISIL A1+  29-11-18  CRISIL A1+  31-10-17  CRISIL A1+  -- 
        26-06-20  CRISIL A1+      19-09-18  CRISIL A1+       
        15-06-20  CRISIL A1+      31-07-18  CRISIL A1+       
        05-06-20  CRISIL A1+      29-01-18  CRISIL A1+       
        03-03-20  CRISIL A1+      19-01-18  CRISIL A1+       
        02-03-20  CRISIL A1+               
        31-01-20  CRISIL A1+               
Long Term Principal Protected Market Linked Debentures  LT  650.00
15-07-20 
CRISIL PP-MLD AAr/Positive  03-07-20  CRISIL PP-MLD AAr/Positive    --    --    --  -- 
        26-06-20  CRISIL PP-MLD AAr/Positive               
        15-06-20  CRISIL PP-MLD AAr/Positive               
        05-06-20  CRISIL PP-MLD AAr/Positive               
Non Convertible Debentures  LT  14402.39
15-07-20 
CRISIL AA/Positive  03-07-20  CRISIL AA/Positive  18-01-19  CRISIL AA/Stable  29-11-18  CRISIL AA/Stable  31-10-17  CRISIL AA/Stable  CRISIL AA/Stable 
        26-06-20  CRISIL AA/Positive      19-09-18  CRISIL AA/Stable  24-10-17  CRISIL AA/Stable   
        15-06-20  CRISIL AA/Positive      31-07-18  CRISIL AA/Stable  08-03-17  CRISIL AA/Stable   
        05-06-20  CRISIL AA/Positive      29-01-18  CRISIL AA/Stable       
        03-03-20  CRISIL AA/Positive      19-01-18  CRISIL AA/Stable       
        02-03-20  CRISIL AA/Positive               
        31-01-20  CRISIL AA/Positive               
Short Term Debt  ST                  24-10-17  CRISIL A1+  CRISIL A1+ 
                    08-03-17  CRISIL A1+   
Subordinate Bond  LT    --  03-07-20  Withdrawal  18-01-19  CRISIL AA/Stable  29-11-18  CRISIL AA/Stable  31-10-17  CRISIL AA/Stable  CRISIL AA/Stable 
        26-06-20  CRISIL AA/Positive      19-09-18  CRISIL AA/Stable  24-10-17  CRISIL AA/Stable   
        15-06-20  CRISIL AA/Positive      31-07-18  CRISIL AA/Stable  08-03-17  CRISIL AA/Stable   
        05-06-20  CRISIL AA/Positive      29-01-18  CRISIL AA/Stable       
        03-03-20  CRISIL AA/Positive      19-01-18  CRISIL AA/Stable       
        02-03-20  CRISIL AA/Positive               
        31-01-20  CRISIL AA/Positive               
Subordinated Debt  LT  283.80
15-07-20 
CRISIL AA/Positive  03-07-20  CRISIL AA/Positive  18-01-19  CRISIL AA/Stable  29-11-18  CRISIL AA/Stable  31-10-17  CRISIL AA/Stable  CRISIL AA/Stable 
        26-06-20  CRISIL AA/Positive      19-09-18  CRISIL AA/Stable  24-10-17  CRISIL AA/Stable   
        15-06-20  CRISIL AA/Positive      31-07-18  CRISIL AA/Stable  08-03-17  CRISIL AA/Stable   
        05-06-20  CRISIL AA/Positive      29-01-18  CRISIL AA/Stable       
        03-03-20  CRISIL AA/Positive      19-01-18  CRISIL AA/Stable       
        02-03-20  CRISIL AA/Positive               
        31-01-20  CRISIL AA/Positive               
All amounts are in Rs.Cr.
Links to related criteria
CRISILs Bank Loan Ratings - process, scale and default recognition
Rating Criteria for Finance Companies
CRISILs Criteria for Consolidation
CRISILs Criteria for rating short term debt

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