Rating Rationale
December 05, 2018 | Mumbai
Reliance Industries Limited
'CRISIL AAA/Stable' assigned to NCD
 
Rating Action
Total Bank Loan Facilities Rated Rs.65000 Crore
Long Term Rating CRISIL AAA/Stable (Reaffirmed)
 
Rs.2000 Crore Non Convertible Debentures CRISIL AAA/Stable (Assigned)
Rs.10000 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Rs.10000 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Rs.10000 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Non-Convertible Debentures Aggregating Rs.10008 Crore CRISIL AAA/Stable (Reaffirmed)
Rs.34500 Crore Commercial Paper CRISIL A1+ (Reaffirmed)
1 crore = 10 million
Refer to annexure for Details of Instruments & Bank Facilities
The common independent director on CRISIL's and RIL's boards did not participate in the rating committee meeting and the rating process of these instruments.
Detailed Rationale

CRISIL has assigned the rating of 'CRISIL AAA/Stable' to the Non-Convertible Debentures of Reliance Industries Limited (RIL), while reaffirming the ratings of existing debt instruments and bank facilities at 'CRISIL AAA/Stable/CRISIL A1+'.
 
The ratings continue to reflect RIL's leadership in the petrochemicals industry in India, strong competitiveness in the global oil refining business, and exceptional financial flexibility. These strengths are partially offset by RIL's exposure to risks relating to reducing gas volumes at its largest gas production field, the Krishna-Godavari D6 (KG-D6) and exposure to an intensely competitive telecom industry.

Analytical Approach

For arriving at its ratings, CRISIL has combined the business and financial risk profiles of RIL with its subsidiaries, Reliance Jio Infocomm Ltd (RJIL, rated 'CRISIL AAA/CRISIL AAA(SO)/Stable'/CRISIL A1+), and Reliance Retail Ltd (RRL, rated 'CRISIL AAA/Stable/CRISIL A1+) as these entities are a part of core operations of RIL.

CRISIL has also fully consolidated its group companies which are strategically important to, and have a significant degree of operational integration with RIL. These companies are Jamnagar Utilities and Power Pvt Ltd (Formerly Reliance Utilities & Power Pvt Ltd) (JUPPL, rated 'CRISIL AAA/CCR AAA/Stable/CRISIL A1+ '), Sikka Ports & Terminals Ltd (Formerly Reliance Ports and Terminals Ltd) (SPTL, 'CRISIL AAA/Stable/CRISIL A1+'), East West Pipeline Ltd (Formerly Reliance Gas Transportation Infrastructure Ltd) (EWPL, 'CRISIL A1+'), and Reliance Industries Holding Pvt Ltd. CRISIL considers these entities as being strategic to RIL in view of their strong integration with RIL's Jamnagar, Hazira, and KG D6 operations.

Further, CRISIL has also combined the financials of RIL's subsidiaries to reflect the operational or financial linkages with these entities. The list of entities consolidated by CRISIL is included in Table 1.

Key Rating Drivers & Detailed Description
Strengths
* Leadership in petrochemicals industry in India
RIL is among the top 10 global petrochemical manufacturers, and commands a share of over 30% in the domestic polymer market and about 50% in the polypropylene market. Its strong market position helps it operate its petrochemical plants at full utilisation and benefit from its large scale of operations and high level of vertical integration. These operating efficiencies support RIL's strong profitability in the petrochemicals segment.

RIL has recently commissioned the world's largest ethane cracker project, the final phase of its Para-xylene project, and its Refinery off-gas cracker (ROGC) and downstream projects. These projects will add further value to the company's petrochemical business. Operating efficiencies will likely benefit from these projects, resulting in further integration benefits over the medium term.

* Strong competitiveness in the global oil refining business
RIL's competitive advantage in refining arises from its global-scale capacity, broad product portfolio, and highly integrated operations. With a combined capacity of about 62 million tonne per annum (mtpa), RIL is a significant player in the domestic oil refining market, with a refining capacity share of about 27%. Both the company's refineries, with capacities of 33 mtpa and 29 mtpa, have consistently maintained high utilisation levels of 110% of nameplate capacity, over the years, and benefit from superior Nelson Complexity Index (NCI) configurations of 11.3 and 14.0, respectively. High utilisation levels of the refineries help maintain strong operating efficiency and healthy profitability. In addition, RIL's proximity to oil fields in West Asia (Its facilities are located along India's western coast) gives it a logistical advantage, which helps it control transportation costs in procuring crude and exporting refined products. Gross refining margins have consistently been better than benchmark Singapore gross refining margins. CRISIL believes RIL's strong competitive advantage in global oil refining will be further enhanced owing to improved energy-efficiency by the pet-coke gasification project, for which pre-commissioning is underway.

Weakness
* Reducing volumes at the Krishna-Godavari D6 (KG-D6) gas producing field
The company's exploration and production (E&P) segment has been adversely affected by reduced gas output from its KG-D6 field. There has been a significant drop in RIL's gas production' average production from its KG-D6 block during Q2 FY 2019 was at 3.7 mmscmd, down from about 12 mmscmd production levels from fiscal 2014 to fiscal 2016, which was in turn significantly lower than 26 mmscmd during 2012-13. Gas volumes are likely to decline further in the near term with production at RIL's MA fields in the KG D6 basin ceasing production in September 2018. CRISIL believes that lower-than-expected gas output from KG-D6 will affect RIL's return on investments in the E&P segment over the medium term. In June 2017, RIL announced three projects along with BP to produce deep-water gas in its KGD6 block at a cost of about Rs. 40,000 crore. The company expects to produce about 30-35 mmscmd gas from these projects by 2022.    

* Exposure to an intensely competitive telecom sector  
RIL is also exposed to highly competitive telecom business- RIL's subsidiary, Reliance Jio Infocomm Limited (RJIL), which has rolled out a pan-India 4G LTE telecom network and other digital services at an investment of over Rs. 250,000 crore. The Indian telecom space has well-entrenched players such as Bharti Airtel Ltd ('CRISIL AA/Stable/CRISIL A1+'), and Vodafone Idea Ltd ('CRISIL AA-/Negative/CRISIL A1+'), from whom the company continues to face significant competitive pressures; these command a sizeable revenue share in the market and have been in operation for more than a decade.

RJIL entered the Indian telecom space by offering voice and high speed internet services through a combination of existing and new technologies, including long-term evolution (LTE). CRISIL believes that RIL is uniquely placed with respect to offering LTE telecom services as it is the only player with pan-India liberalised spectrum across different spectrum bands, including sub-GHZ LTE band, and a unified licence to offer new-age LTE services. RJIL has spectrum in the 800 MHz, 1800 MHz and 2300 MHz across all the 22 circles of the country, all of which spectrum is being used to offer LTE services. The company has acquired over 252 million subscribers by September 30, 2018, with strong growth in customer base ' reflected in increase in market share to 22% as on September 30 2018, from 12% as on September 30, 2017. Despite the healthy acquisition of customers till now, the company's profitability going ahead depends on its ability to improve ARPUs while also continuing growth in customer base, which will remain key monitorables.

RIL announced the acquisition of controlling stakes in Den Networks Limited and Hathway Cable and Datacom Limited on October 19, 2018. These acquisitions will contribute to the roll-out of RJIL's Fiber to The Home (FTTH) venture. Earlier, RIL had announced definitive agreement for the acquisition of specified assets of Reliance Communications Limited ('RCom''''?) by RJIL in December 2017. CRISIL expects increase in debt levels at RIL consolidated level on account of these acquisitions. Nevertheless, this will be partly offset by the resulting reduction in capex.
Outlook: Stable

CRISIL believes that RIL's credit risk profile will continue to be supported over the medium term by its highly integrated operations in its core businesses of oil refining and petrochemicals, its large scale of operations, and its exceptional liquidity.

Downside scenario
* Significantly lower than expected returns from ongoing and recently completed capital expenditures 
* Considerably large, debt-funded capex or acquisition which weakens the company's capital structure

Liquidity: Ample
RIL has a strong liquidity position, owing to its exceptional financial flexibility, given its demonstrated resource-raising ability in tapping the capital markets, and its large cash and liquid investments of Rs. 76,740 crore as on September 30, 2018 at a consolidated level. Moreover, the company's financial flexibility is also supported by bank lines which remain minimally utilized. It has bank facilities of Rs 60,000 crore, of which about half are non-fund-based. The company has a strong financial profile underpinned by stable, healthy profitability, robust debt protection metrics and gearing of less than 1 times, which gives it headroom for additional borrowings. The company has debt repayment obligations about Rs. 37,400 crore in FY 2019 and Rs. 15,000 crore in FY 2020 while its capex incurred remains high. CRISIL believes the company has sufficient accruals and cash & cash equivalents to meet its repayment obligations and partly finance its capex requirements. The company is approaching the end of its large capex plan in its petrochemical & refining segment while capex in its telecom segment is expected to remain elevated in the near to medium term. This capital expenditure is mainly to strengthen its refinery and petrochemicals business and in the pan-India telecom and broadband services through Reliance Jio Infocomm Ltd (RJIL, rated 'CRISIL AAA/CRISIL AAA(SO)/Stable'/CRISIL A1+).

About the Company

RIL is one of India's largest private sector companies, with diverse interests, including petrochemicals, oil refining, and upstream oil and gas E&P. Oil refining is RIL's largest activity, accounting for around 56% of the revenue in fiscal 2018, followed by petrochemicals at around 23% (both before interparty transactions). In the recent past, RIL has diversified into newer businesses which includes telecommunications and organized retail.

RIL has different joint venture agreements for development of shale gas reserves in the US. These include agreements with Atlas Energy Inc (Atlas; acquired by Chevron Corporation during 2012-13) for a 40% working interest (WI) partnership in Atlas's Marcellus shale acreage; and with Pioneer Natural Resources Company, USA (Pioneer; rated 'BBB/Stable' by S&P Global Ratings), for a 45% WI partnership in Pioneer's Eagle Ford shale acreage. The company has announced the sale of its 60% interest in shale acreage with Carrizo's Marcellus for USD 126 million in October 2017, and the sale of select assets in the Eagle Ford Shale play in the USA for USD 100 million in March 2018.

Key Financial Indicators - Consolidated
As on / for the period ended March 31  Unit 2018 2017
Revenue Rs crore 408,265 330,180
Profit after tax Rs crore 36,080 29,833
PAT Margins % 8.8% 9.0%
Interest coverage Times 8.0 12.1
Adjusted debt/adjusted networth Times 0.8 0.8

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL complexity levels are assigned to various types of financial instruments. 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 Assigned with Outlook
NA% Debenture NA NA NA 2,000 CRISIL AAA/Stable
NA% Debenture NA NA NA 3,500 CRISIL AAA/Stable
INE002A08534 Debenture 17-Oct-18 9.05% 17-Oct-28 3,500 CRISIL AAA/Stable
INE002A08542 Debenture 9-Nov-18 8.95% 9-Nov-28 3000 CRISIL AAA/Stable
INE002A08500 Debenture 08-Nov-17 7.17% 08-Nov-22 5,000 CRISIL AAA/Stable
INE002A08518 Debenture 14-Nov-17 6.95% 14-Dec-20 2,500 CRISIL AAA/Stable
INE002A08526 Debenture 22-Nov-17 7.07% 24-Dec-20 2,500 CRISIL AAA/Stable
INE002A08476 Debenture 31-Aug-17 7.00% 31-Aug-22 5,000 CRISIL AAA/Stable
INE002A08484 Debenture 1-Sep-17 6.78% 16-Sep-20 2,500 CRISIL AAA/Stable
INE002A08492 Debenture 4-Sep-17 6.80% 4-Sep-20 2,500 CRISIL AAA/Stable
INE002A07601 Debenture^ 17-Jun-02 9.25% 17-Jun-14 500 CRISIL AAA/Stable
INE002A07619 Debenture^ 27-Jun-02 9.25% 27-Jun-14 500 CRISIL AAA/Stable
INE002A07684 Debenture^ 20-Dec-02 6.45% 20-Dec-12 170 CRISIL AAA/Stable
INE002A07692 Debenture^ 24-Nov-03 6.25% 24-Nov-18 800 CRISIL AAA/Stable
INE006A07073 Debenture^ 01-Apr-06 0% 01-Jan-13 110 CRISIL AAA/Stable
INE006A07081 Debenture^ 01-Apr-06 0% 30-Jun-13 49 CRISIL AAA/Stable
INE006A07123 Debenture^ 01-Apr-06 0% 31-Mar-15 52 CRISIL AAA/Stable
INE006A07099 Debenture^ 01-Apr-06 0% 31-Dec-12 13 CRISIL AAA/Stable
INE006A07107 Debenture^ 01-Apr-06 0% 06-May-15 31 CRISIL AAA/Stable
INE002A07700 Debenture^ 25-Nov-08 11.45% 25-Nov-13 840 CRISIL AAA/Stable
INE002A07718 Debenture^ 25-Nov-08 11.45% 25-Nov-13 668 CRISIL AAA/Stable
INE002A07726 Debenture 08-Dec-08 10.75% 08-Dec-18 370 CRISIL AAA/Stable
INE002A07767 Debenture^ 10-Dec-08 11.90% 10-Dec-13 5000 CRISIL AAA/Stable
INE002A07742 Debenture^ 12-Dec-08 10.10% 12-Dec-11 405 CRISIL AAA/Stable
INE002A07775 Debenture 07-May-10 8.75% 07-May-20 500 CRISIL AAA/Stable
NA Commercial Paper NA NA 7-365 days 34,500 CRISIL A1+
NA Fund-Based Facilities* NA NA NA 49965 CRISIL AAA/Stable
NA Rupee Term Loan^ NA NA Apr-18 35 CRISIL AAA/Stable
NA Proposed Long Term Bank Loan Facility NA NA NA 15000 CRISIL AAA/Stable
% Yet to be issued
* Fully interchangeable between bank guarantee, letter of credit, export packing credit, and post-shipment credit
^CRISIL is awaiting confirmation from the issuer before withdrawing ratings on these instruments

Annexure - Details of consolidation
Fully consolidated entities

S. No Name of Entity  
1 Reliance Jio Infocomm Ltd
2 Reliance Retail Ltd
3 Sikka Ports & Terminals Ltd
4 East West Pipeline Ltd
5 Jamnagar Utilities & Power Pvt Ltd
6 Reliance Industries Holding Private Limited
7 Adventure Marketing Private Limited
8 AETN18 Media Private Limited
9 Affinity Names Inc.*
10 Aurora Algae Inc.*
11 Aurora Algae Pty Limited*
12 Capital18 Fincap Private Limited
13 Colorful Media Private Limited
14 Colosceum Media Private Limited
15 Digital18 Media Limited
16 Dreketi S.A.*
17 E-18 Limited
18 e-Eighteen.com Limited
19 Equator Trading Enterprises Private Limited
20 Ethane Crystal LLC
21 Ethane Emerald LLC
22 Ethane Opal LLC
23 Ethane Pearl LLC
24 Ethane Sapphire LLC
25 Ethane Topaz LLC
26 Greycells18 Media Limited
27 IBN18 (Mauritius) Limited
28 Independent Media Trust
29 IndiaCast Media Distribution Private Limited
30 IndiaCast UK Limited
31 IndiaCast US Limited
32 Indiawin Sports Private Limited
33 Infomedia Press Limited
34 Jio Information Solutions Limited (Formerly known as Reliance Textiles Limited)
35 Kanhatech Solutions Limited
36 Model Economic Township Limited
37 Moneycontrol Dot Com India Limited
38 Naroda Power Private Limited
39 Network18 Holdings Limited
40 Network18 Media & Investments Limited
41 Network18 Media Trust
42 Panorama Television Private Limited
43 Petroleum Trust
44 RB Holdings Private Limited
45 RB Media Holdings Private Limited
46 RB Mediasoft Private Limited
47 Recron (Malaysia) Sdn. Bhd.*
48 Reed Infomedia India Private Limited
49 Reliance Ambit Trade Private Limited
50 Reliance Aromatics and Petrochemicals Limited
51 Reliance Brands Limited
52 Reliance Chemicals Limited
53 Reliance Clothing India Private Limited
54 Reliance Commercial Dealers Limited
55 Reliance Comtrade Private Limited
56 Reliance Content Distribution Limited
57 Reliance Corporate IT Park Limited
58 Reliance Digital Media Distribution Limited
59 Reliance Eagleford Midstream LLC*
60 Reliance Eagleford Upstream GP LLC*
61 Reliance Eagleford Upstream Holding LP*
62 Reliance Eagleford Upstream LLC*
63 Reliance Eminent Trading & Commercial Private Limited
64 Reliance Energy and Project Development Limited
65 Reliance Energy Generation and Distribution Limited
66 Reliance Ethane Holding Pte Limited
67 Reliance Exploration & Production DMCC*
68 Reliance GAS Lifestyle India Private Limited (Formerly known as Reliance Brands
69 Reliance Gas Pipelines Limited
70 Reliance Global Energy Services (Singapore) Pte Ltd.
71 Reliance Global Energy Services Limited
72 Reliance Holding USA, Inc.*
73 Reliance Industrial Investments and Holdings Limited
74 Reliance Industries (Middle East) DMCC*
75 Reliance Innovative Building Solutions Private Limited
76 Reliance Jio Digital Services Limited
77 Reliance Jio Global Resources LLC*
78 Reliance Jio Infocomm Pte Limited*
79 Reliance Jio Infocomm UK Limited*
80 Reliance Jio Infocomm USA, Inc.*
81 Reliance Jio Infratel Private Limited
82 Reliance Jio Media Limited
83 Reliance Jio Messaging Services Limited
84 Reliance Lifestyle Holdings Limited
85 Reliance LNG Limited
86 Reliance Marcellus II LLC*
87 Reliance Marcellus LLC*
88 Reliance Payment Solutions Limited
89 Reliance Petro Marketing Limited
90 Reliance Polyolefins Limited
91 Reliance Progressive Traders Private Limited
92 Reliance Prolific Commercial Private Limited
93 Reliance Prolific Traders Private Limited
94 Reliance Retail Finance Limited
95 Reliance Retail Insurance Broking Limited
96 Reliance Retail Ventures Limited
97 Reliance Sibur Elastomers Private Limited
98 Reliance SMSL Limited
99 Reliance Strategic Investments Limited
100 Reliance Universal Enterprises Limited
101 Reliance Universal Traders Private Limited
102 Reliance Vantage Retail Limited
103 Reliance Ventures Limited
104 Reliance World Trade Private Limited
105 Reliance-GrandOptical Private Limited
106 Resolute Land Consortium Projects Limited
107 RIL Exploration and Production (Myanmar) Company Limited
108 RIL USA, Inc.*
109 Roptonal Limited
110 RP Chemicals (Malaysia) Sdn. Bhd.*
111 RRB Investments Private Limited
112 RRB Mediasoft Private Limited
113 RRK Finhold Private Limited
114 RVT Finhold Private Limited
115 RVT Media Private Limited
116 Santol Commercials Private Limited
117 Setpro18 Distribution Limited
118 Surela Investment and Trading Private Limited
119 Tangerine Agro Private Limited
120 Television Eighteen Mauritius Limited
121 Television Eighteen Media and Investment Limited
122 TV18 Broadcast Limited
123 Viacom18 Media (UK) Limited
124 Viacom18 Media Private Limited
125 Viacom18 US Inc.
126 Watermark Infratech Private Limited
127 Web18 Holdings Limited
128 Web18 Software Services Limited
*Subsidiary Company with 31st December as its reporting date.
Annexure - Rating History for last 3 Years
  Current 2018 (History) 2017  2016  2015  Start of 2015
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Commercial Paper  ST  34500.00  CRISIL A1+  27-11-18  CRISIL A1+  01-11-17  CRISIL A1+  28-10-16  CRISIL A1+  28-10-15  CRISIL A1+  CRISIL A1+ 
        01-10-18  CRISIL A1+  08-08-17  CRISIL A1+      05-10-15  CRISIL A1+   
        21-05-18  CRISIL A1+  25-07-17  CRISIL A1+           
        16-04-18  CRISIL A1+               
        26-02-18  CRISIL A1+               
        09-01-18  CRISIL A1+               
Non Convertible Debentures  LT  36508.00
05-12-18 
CRISIL AAA/Stable  27-11-18  CRISIL AAA/Stable  01-11-17  CRISIL AAA/Stable  28-10-16  CRISIL AAA/Stable  28-10-15  CRISIL AAA/Stable  CRISIL AAA/Stable 
        01-10-18  CRISIL AAA/Stable  08-08-17  CRISIL AAA/Stable      05-10-15  CRISIL AAA/Stable   
        21-05-18  CRISIL AAA/Stable  25-07-17  CRISIL AAA/Stable           
        16-04-18  CRISIL AAA/Stable               
        26-02-18  CRISIL AAA/Stable               
        09-01-18  CRISIL AAA/Stable               
Short Term Debt  ST      16-04-18  CRISIL A1+  01-11-17  CRISIL A1+  28-10-16  CRISIL A1+  28-10-15  CRISIL A1+  CRISIL A1+ 
        26-02-18  CRISIL A1+  08-08-17  CRISIL A1+      05-10-15  CRISIL A1+   
        09-01-18  CRISIL A1+  25-07-17  CRISIL A1+           
Fund-based Bank Facilities  LT/ST  65000.00  CRISIL AAA/Stable  27-11-18  CRISIL AAA/Stable  01-11-17  CRISIL AAA/Stable  28-10-16  CRISIL AAA/Stable  28-10-15  CRISIL AAA/Stable  CRISIL AAA/Stable 
        01-10-18  CRISIL AAA/Stable  08-08-17  CRISIL AAA/Stable      05-10-15  CRISIL AAA/Stable   
        21-05-18  CRISIL AAA/Stable  25-07-17  CRISIL AAA/Stable           
        16-04-18  CRISIL AAA/Stable               
        26-02-18  CRISIL AAA/Stable               
        09-01-18  CRISIL AAA/Stable               
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
Fund-Based Facilities* 49965 CRISIL AAA/Stable Fund-Based Facilities* 49965 CRISIL AAA/Stable
Proposed Long Term Bank Loan Facility 15000 CRISIL AAA/Stable Proposed Long Term Bank Loan Facility 15000 CRISIL AAA/Stable
Rupee Term Loan 35 CRISIL AAA/Stable Rupee Term Loan 35 CRISIL AAA/Stable
Total 65000 -- Total 65000 --
* Fully interchangeable between bank guarantee, letter of credit, export packing credit, and post-shipment credit
Links to related criteria
CRISILs Approach to Financial Ratios
CRISILs Bank Loan Ratings - process, scale and default recognition
Rating criteria for manufaturing and service sector companies
Rating Criteria for Petrochemical Industry
Rating Criteria for Upstream Oil and Gas Sector
CRISILs Criteria for rating short term debt

For further information contact:
Media Relations
Analytical Contacts
Customer Service Helpdesk
Saman Khan
Media Relations
CRISIL Limited
D: +91 22 3342 3895
B: +91 22 3342 3000
saman.khan@crisil.com

Naireen Ahmed
Media Relations
CRISIL Limited
D: +91 22 3342 1818
B: +91 22 3342 3000
naireen.ahmed@crisil.com


Vinay Rajani
Media Relations
CRISIL Limited
D: +91 22 3342 1835
M: +91 91 676 42913
B: +91 22 3342 3000
vinay.rajani@ext-crisil.com

Subodh Rai
Senior Director - CRISIL Ratings
CRISIL Limited
B:+91 124 672 2000
subodh.rai@crisil.com


Manish Kumar Gupta
Director - CRISIL Ratings
CRISIL Limited
B:+91 124 672 2000
manish.gupta@crisil.com


Vardhman Rai
Rating Analyst - CRISIL Ratings
CRISIL Limited
D:+91 22 3342 3353
Vardhman.Rai@crisil.com
Timings: 10.00 am to 7.00 pm
Toll free Number:1800 267 1301

For a copy of Rationales / Rating Reports:
CRISILratingdesk@crisil.com
 
For Analytical queries:
ratingsinvestordesk@crisil.com


 

Note for Media:
This rating rationale is transmitted to you for the sole purpose of dissemination through your newspaper / magazine / agency. The rating rationale may be used by you in full or in part without changing the meaning or context thereof but with due credit to CRISIL. However, CRISIL alone has the sole right of distribution (whether directly or indirectly) of its rationales for consideration or otherwise through any media including websites, portals etc.


About CRISIL Limited

CRISIL is a leading agile and innovative, global analytics company driven by its mission of making markets function better. We are India’s foremost provider of ratings, data, research, analytics and solutions. A strong track record of growth, culture of innovation and global footprint sets us apart. We have delivered independent opinions, actionable insights, and efficient solutions to over 1,00,000 customers.
 
We are majority owned by S&P Global Inc., a leading provider of transparent and independent ratings, benchmarks, analytics and data to the capital and commodity markets worldwide.
 
For more information, visit www.crisil.com 


Connect with us: TWITTER | LINKEDIN | YOUTUBE | FACEBOOK

About CRISIL Ratings
CRISIL Ratings is part of CRISIL Limited (“CRISIL”). We pioneered the concept of credit rating in India in 1987. CRISIL is registered in India as a credit rating agency with the Securities and Exchange Board of India (“SEBI”). With a tradition of independence, analytical rigour and innovation, CRISIL sets the standards in the credit rating business. We rate the entire range of debt instruments, such as, bank loans, certificates of deposit, commercial paper, non-convertible / convertible / partially convertible bonds and debentures, perpetual bonds, bank hybrid capital instruments, asset-backed and mortgage-backed securities, partial guarantees and other structured debt instruments. We have rated over 24,500 large and mid-scale corporates and financial institutions. CRISIL has also instituted several innovations in India in the rating business, including rating municipal bonds, partially guaranteed instruments and microfinance institutions. We also pioneered a globally unique rating service for Micro, Small and Medium Enterprises (MSMEs) and significantly extended the accessibility to rating services to a wider market. Over 1,10,000 MSMEs have been rated by us.


CRISIL PRIVACY
 
CRISIL respects your privacy. We may use your contact information, such as your name, address, and email id to fulfil your request and service your account and to provide you with additional information from CRISIL.For further information on CRISIL’s privacy policy please visit www.crisil.com.


DISCLAIMER

This disclaimer forms part of and applies to each credit rating report and/or credit rating rationale that we provide (each a “Report”). For the avoidance of doubt, the term “Report” includes the information, ratings and other content forming part of the Report. The Report is intended for the jurisdiction of India only. This Report does not constitute an offer of services. Without limiting the generality of the foregoing, nothing in the Report is to be construed as CRISIL providing or intending to provide any services in jurisdictions where CRISIL does not have the necessary licenses and/or registration to carry out its business activities referred to above. Access or use of this Report does not create a client relationship between CRISIL and the user.

We are not aware that any user intends to rely on the Report or of the manner in which a user intends to use the Report. In preparing our Report we have not taken into consideration the objectives or particular needs of any particular user. It is made abundantly clear that the Report is not intended to and does not constitute an investment advice. The Report is not an offer to sell or an offer to purchase or subscribe for any investment in any securities, instruments, facilities or solicitation of any kind or otherwise enter into any deal or transaction with the entity to which the Report pertains. The Report should not be the sole or primary basis for any investment decision within the meaning of any law or regulation (including the laws and regulations applicable in the US).

Ratings from CRISIL Rating are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities / instruments or to make any investment decisions. Any opinions expressed here are in good faith, are subject to change without notice, and are only current as of the stated date of their issue. CRISIL assumes no obligation to update its opinions following publication in any form or format although CRISIL may disseminate its opinions and analysis. CRISIL rating contained in the Report is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment or other business decisions. The recipients of the Report should rely on their own judgment and take their own professional advice before acting on the Report in any way.

Neither CRISIL nor its affiliates, third party providers, as well as their directors, officers, shareholders, employees or agents (collectively, “CRISIL Parties”) guarantee the accuracy, completeness or adequacy of the Report, and no CRISIL Party shall have any liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of any part of the Report. EACH CRISIL PARTY DISCLAIMS ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall any CRISIL Party be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of any part of the Report even if advised of the possibility of such damages.

CRISIL Ratings may receive compensation for its ratings and certain credit-related analyses, normally from issuers or underwriters of the instruments, facilities, securities or from obligors. CRISIL’s public ratings and analysis as are required to be disclosed under the regulations of the Securities and Exchange Board of India (and other applicable regulations, if any) are made available on its web sites, www.crisil.com (free of charge). Reports with more detail and additional information may be available for subscription at a fee – more details about CRISIL ratings are available here: www.crisilratings.com.

CRISIL and its affiliates do not act as a fiduciary. While CRISIL has obtained information from sources it believes to be reliable, CRISIL does not perform an audit and undertakes no duty of due diligence or independent verification of any information it receives and / or relies in its Reports. CRISIL keeps certain activities of its business units separate from each other in order to preserve the independence and objectivity of the respective activity. As a result, certain business units of CRISIL may have information that is not available to other CRISIL business units. CRISIL has established policies and procedures to maintain the confidentiality of certain non-public information received in connection with each analytical process. CRISIL has in place a ratings code of conduct and policies for analytical firewalls and for managing conflict of interest. For details please refer to: https://www.crisil.com/en/home/our-businesses/ratings/regulatory-disclosures/highlighted-policies.html

CRISIL’s rating criteria are generally available without charge to the public on the CRISIL public web site, www.crisil.com. For latest rating information on any instrument of any company rated by CRISIL you may contact CRISIL RATING DESK at CRISILratingdesk@crisil.com, or at (0091) 1800 267 1301.

This Report should not be reproduced or redistributed to any other person or in any form without a prior written consent of CRISIL.

All rights reserved @ CRISIL