Rating Rationale
September 14, 2020 | Mumbai
Sundaram Finance Limited
'CRISIL AAA/Stable' assigned to NCD
 
Rating Action
Total Bank Loan Facilities Rated Rs.4000 Crore
Long Term Rating CRISIL AAA/Stable (Reaffirmed)
 
Rs.1500 Crore Non Convertible Debentures CRISIL AAA/Stable (Assigned)
Non-Convertible Debentures Aggregating Rs.7400 Crore (Reduced from Rs.8100 Crore) CRISIL AAA/Stable (Reaffirmed)
Rs.200 Crore Subordinated Debt  CRISIL AAA/Stable (Reaffirmed)
Tier-II Bonds Aggregating Rs.2200.1 Crore CRISIL AAA/Stable (Reaffirmed)
Fixed Deposits FAAA/Stable (Reaffirmed)
Rs.7000 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 AAA/Stable' rating to Rs 1500 crore Non-convertible debentures of Sundaram Finance Limited (SFL). The rating on the company's other debt instruments and bank facilities have been reaffirmed at 'CRISIL AAA/FAAA/Stable/CRISIL A1+'.
 
CRISIL has received an independent verification that SFL's Non-convertible debentures of Rs.700 crore have been fully redeemed. Consequently, CRISIL has withdrawn its ratings on the above instruments (See Annexure 'Details of Rating Withdrawn' for details), in line with its withdrawal policy.
 
The ratings continue to reflect the group's demonstrated ability to maintain healthy asset quality over economic cycles, comfortable capitalisation and a well -diversified resource profile. Furthermore, the group has sustained its market share in the retail vehicle financing segment, across multiple business cycles, and is also scaling up its presence in segments, such as mortgage finance, asset management and general insurance. The rating also reflects the group's strong management and conservative risk philosophy. These strengths are partially offset by the group's moderate market position in the overall financial services space in India.
 
During fiscal 2020, SFL acquired 49.9% and 49% stake in Sundaram BNP Paribas Home Finance Ltd (SBFS) and Sundaram BNP Paribas Fund Services Ltd (SHFL), respectively, for a consideration of Rs 999.67 crore and Rs 1.5 core, respectively. Consequently, SBFS and SHFL became Company's wholly-owned subsidiary effective July 31, 2019 and September 30, 2019, respectively.
 
From an industry perspective, the nationwide lockdown (originally till April 14, 2020) declared by the Government of India to contain the spread of the Covid-19 pandemic has impacted the disbursements and collections of non-banking finance companies (NBFCs). The lockdown is now further extended in containment zones with re-opening of the prohibited activities in a phased manner in areas outside containment zones. However, certain states have extended the lockdown. Herein, CRISIL believes that eventual lifting of restrictions will continue to be in a phased manner.
 
Further, the company's ability to manage collections and asset quality during this period of lockdown, with slow lifting of restrictions and weak macroeconomic environment is a key monitorable amidst the impact on the underlying borrower cash flows. SFL had given moratorium to its borrowers and around 54% of their borrowers in terms of value, had availed the moratorium as on August 31, 2020. While the collection efficiency was impacted in April, CRISIL understands that the collections have inched up since then till August. Nevertheless, any delay in return to normalcy could put pressure on collections and asset quality metrics and will be a key monitorable.
 
On liability side, the Reserve Bank of India (RBI) announced regulatory measures under the Covid-19 Regulatory Package, whereby lenders were permitted to grant moratorium (originally till May 31, 2020) on bank loans which was further extended till August 31, 2020. However, CRISIL understands that Sundaram Finance Group had not opted for any moratorium from the lenders and continues to service its debt obligations as per schedule. On the asset side, since the group had offered moratorium to its borrowers, collections were impacted till August 31, 2020. Also, while the one-time restructuring scheme announced by RBI will provide the necessary support to affected borrowers in the current environment, the details and operational implementation of the same remains to be seen.

Nevertheless, CRISIL believes that group has comfortable liquidity to meet all obligations during this period till November 2020.

Analytical Approach

For arriving at its ratings, CRISIL has combined the business and financial risk profiles of SFL and its subsidiaries, together referred to as the Sundaram Finance group. This is because of high degree of operational and management integration, common promoters, and shared brand equity.

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:
* Healthy asset quality
Sundaram Finance has consistently demonstrated strong asset quality, superior to that of its peers, across economic cycles. Gross and net non-performing asset (NPA) ratios stood at 2.4% and 1.5%, respectively, as on June 30, 2020, (2.5% and 1.7%, respectively, as on March 31, 2020). Strong customer relationships, prudent lending practices, appropriate credit filters and sound collection systems have been key enablers for SFL to maintain healthy asset quality across cycles. Centralisation of loan appraisals and strengthening of recovery verticals have helped improve credit practices in the mortgage finance business, and asset quality of contracts originated over the last couple of years.
  
* Comfortable capitalisation
Capitalisation remains adequate for the current scale of operations; with sizeable net worth of Rs 5,743 crore as on June 30, 2020 (Rs 5,547 crore as on March 31, 2020). Capital adequacy ratio was comfortable, forming 17.7% (18.4%) of risk-weighted assets. Healthy cash accrual has helped SFL support capital requirements of its subsidiaries. Adjusted Gearing stood stable at 5.2 times as on June 30, 2020 (5.2 times as on March 31, 2020) and remains comfortable. Recent acquisition of the stake in subsidiaries held by BNP Paribas Group in Sundaram Home and Sundaram Fund Services, is not likely to have a material impact on capitalisation and gearing levels in the medium term.
 
* Strong management
SFL is the only non-banking financial company (NBFC) in India, with a track record of over six decades in the commercial vehicle (CV) financing business. The management's experience and understanding of the retail asset backed financing businesses has enabled the group to withstand multiple business cycles. The management is likely to maintain a conservative and prudent approach towards risk management. Assessment of the group's credit risk profile continues to factor in the group's strong management capabilities, as a key rating parameter.
 
Weakness:
* Moderate market position of the Sundaram Finance group in most operating segments
The group has a moderate presence in the overall retail financing space and remains a mid-sized player on a pan- India basis. SFL's assets under management (AUM) stood at Rs 29,580 crore as on June 30, 2020, registering ade-growth of 1.3% y-o-y. The company nevertheless, holds a sizeable market share in the CV finance segment in southern India. It has also has steadily increased its presence in the car financing segment, which forms almost 25% of the portfolio currently. Yet, SFL remains a relatively smaller player in this segment, as it is dominated by few private sector banks. While the group's presence in the housing finance and asset management businesses has helped it diversify its business profile to some extent, scale of these businesses may remain modest over the medium term. Though the group remains exposed to downturns in the CV industry, and increasing competition in the retail financing space, it has a track record of withstanding economic downturns.
Liquidity Superior

Asset liability management profile was comfortable with positive cumulative mismatches in all the buckets as on July 31, 2020. The company has adequate liquidity aggregating to Rs 4,785 crore in the form of cash & cash equivalents of Rs 1,883 crore and unutilised bank lines of Rs 2,902 crore as on August 31, 2020. Against this, SFL has upcoming repayment for the next three months of around Rs 3,874 crore till November 30, 2020.
 
In terms of fund raising, SFL has raised around Rs.7,350 Cr. crore during April 2020 to August 2020 and continues to demonstrate ability to raise timely funds. CRISIL expects the company to continue to be able to raise funds at competitive funding costs going forward as well.

Outlook: Stable

CRISIL believes the Sundaram Finance group will continue to benefit from its healthy asset quality, comfortable capitalisation, and experienced management. The outlook may be revised to 'Negative' if asset quality or earnings profile of the group weakens significantly.

Rating Sensitivity factors
Downward factors:
* Significant deterioration in asset quality, with gross NPAs increasing beyond 4% on a sustained basis, coupled with weakening in profitability
* Significant increase in steady-state gearing over an extended period
About the Group

Sundaram Finance, the flagship company of the group, commenced operations in 1954, as a wholly owned subsidiary of Madras Motor and General Insurance Company Ltd, a member of the TVS group of companies. Listed in 1972, when TVS sold its ownership to the public, Sundaram Finance is registered with the Reserve Bank of India (RBI) as a deposit-taking NBFC, and is classified by the RBI as an asset financing company. The company had a nationwide network of 610 branches and 4208 employees as on June 30, 2020. SFL's AUM primarily consisted of Commercial Vehicles (52.7%), Car loans (24.5%), Construction Equipment (10.8%), Tractors (6.4%) and other loans (5.6%) as on June 30, 2020. Further, SFL's disbursements declined by 78.9% quarter-on-quarter (q-o-q) to Rs 929 crore in Q1FY21 from Rs 4,414 crore in the corresponding quarter earlier fiscal, given weak macro-economic environment.
 
The group also has presence in housing finance, asset management, and non-life insurance segments. The housing finance business was conducted through a joint venture (JV) with BNP Paribas (49.9% equity stake; through BNP Paribas Personal Finance, a wholly-owned subsidiary). Post-acquisition of 49.9% stake from BNP Paribas Personal Finance in Sundaram Home, Sundaram Finance holds 100% stake in the company and has become a wholly-owned subsidiary. The asset management business is /conducted through Sundaram Asset Management Company Ltd, a wholly-owned subsidiary of Sundaram Finance. Insurance business is carried through Royal Sundaram and recently Ageas International NV bought 40% stake in the Royal Sundaram General Insurance Company Ltd (RSGI), post which Sundaram Finance holds 50% stake in the RSGI.
 
For fiscal 2020, Sundaram Finance reported total income and net profit of Rs 3,926.9 crore and Rs 723.9 crore, respectively, against Rs 3,342.1 crore and Rs. 1126.3 crore, respectively, for the previous fiscal. The net profit of Rs.1126.3 crore in fiscal 2019 is after considering the exceptional profit (Rs 522.26 crore) on sale of 25.9% stake in Royal Sundaram General Insurance Co. Ltd.
 
Further, for the quarter ended June 30, 2020, it reported total income and net profit of Rs 952 crore and Rs 166 crore, respectively, against Rs 933 crore and Rs 158 crore, respectively, for the corresponding quarter previous fiscal.
 
The group reported total income and net profit of Rs. 4722.5 crore and Rs. 845.4 crore, respectively, for fiscal 2020, against Rs. 3712.5 crore and Rs. 1,258.5 crore, respectively, for the previous fiscal.

Key Financial Indicators - (Consolidated)
As on / for the quarter ended June 30 Unit 2020 2019
Total assets Rs. Cr. 46,172 35,085
Total income (excluding interest expense) Rs. Cr. 582 502
Profit after tax Rs. Cr. 262 178
Gross NPA (Standalone) % 2.44 2.20
Gross NPA (Housing subsidiary) % 3.98 3.43
Gearing (standalone) Times 5.2 5.5
Return on assets (standalone) % 2.0 2.1

Any other information:
Sundaram Finance's resource profile remains adequately diversified, with access to borrowings from mutual funds, scheduled commercial banks, insurance companies, retail deposits, and securitisation or assignment of assets. Sundaram Finance maintains a balanced asset-liability profile, with adequate access to bank lines.

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. Crore)		 Complexity Level Outstanding
Rating
NA Term Loan 1 30-Dec-17 NA 30-Nov-20 100 NA CRISIL AAA/Stable
NA Term Loan 2 18-June-20 NA 17-June-22 200 NA CRISIL AAA/Stable
NA Term Loan 3 21-Dec-18 NA 21-Dec-21 1000 NA CRISIL AAA/Stable
NA Term Loan 4 30-Sep-19 NA 29-Sep-22 500 NA CRISIL AAA/Stable
NA Term Loan 5 27-Dec-19 NA 26-Dec-22 350 NA CRISIL AAA/Stable
NA Term Loan 6 19-Mar-20 NA 17-Mar-23 750 NA CRISIL AAA/Stable
INE660A07NU1 Non-Convertible Debentures 20-Apr-16 8.60% 20-Apr-21 50 Simple CRISIL AAA/Stable
INE660A07PT8 Non-Convertible Debentures 06-Sep-18 8.75% 31-Aug-21 168.2 Simple CRISIL AAA/Stable
INE660A07PU6 Non-Convertible Debentures 06-Sep-18 8.75% 07-Sep-21 309 Simple CRISIL AAA/Stable
INE660A07PV4 Non-Convertible Debentures 14-Dec-18 8.95% 05-Apr-22 299.3 Simple CRISIL AAA/Stable
INE660A07PW2 Non-Convertible Debentures 28-Dec-18 8.78% 25-Mar-22 299.4 Simple CRISIL AAA/Stable
INE660A07PJ9 Non-Convertible Debentures 24-Jan-19 7.964% 29-Mar-21 25 Simple CRISIL AAA/Stable
INE660A07PZ5 Non-Convertible Debentures 31-May-19 8.35% 31-May-21 300 Simple CRISIL AAA/Stable
INE660A07PR2 Non-Convertible Debentures 31-May-19 8.30% 10-Jun-22 189.2 Simple CRISIL AAA/Stable
INE660A07PZ5 Non-Convertible Debentures 07-Jun-19 8.00% 31-May-21 235 Simple CRISIL AAA/Stable
INE660A07PZ5 Non-Convertible Debentures 13-Jun-19 8.00% 31-May-21 215 Simple CRISIL AAA/Stable
INE660A07PQ4 Non-Convertible Debentures 13-Jun-19 8.00% 21-Jul-21 235 Simple CRISIL AAA/Stable
INE660A07QA6 Non-Convertible Debentures 28-Jun-19 8.22% 28-Jun-22 300 Simple CRISIL AAA/Stable
INE660A07QB4 Non-Convertible Debentures 17-Jul-19 8.05% 15-Jul-22 150 Simple CRISIL AAA/Stable
INE660A07QC2 Non-Convertible Debentures 22-Jul-19 8.10% 22-Jul-21 500 Simple CRISIL AAA/Stable
INE660A07PZ5 Non-Convertible Debentures 29-Jul-19 8.35% 31-May-21 60 Simple CRISIL AAA/Stable
INE660A07PH3 Non-Convertible Debentures 14-Aug-19 7.4455% 15-Jan-21 60 Simple CRISIL AAA/Stable
INE660A07PR2 Non-Convertible Debentures 25-Sep-19 7.55% 10-Jun-22 200 Simple CRISIL AAA/Stable
INE660A07QD0 Non-Convertible Debentures 01-Nov-19 7.45% 27-Oct-22 216 Simple CRISIL AAA/Stable
INE660A07QE8 Non-Convertible Debentures 06-Nov-19 7.50% 07-Nov-22 580 Simple CRISIL AAA/Stable
INE660A08BH1 Tier II bonds 22-Dec-10 9.93% 22-Dec-20 45.1 Complex CRISIL AAA/Stable
INE660A08BI9 Tier II bonds 28-Jan-11 9.93% 28-Jan-21 30 Complex CRISIL AAA/Stable
INE660A08BJ7 Tier II bonds 07-Apr-11 9.93% 07-Apr-21 20 Complex CRISIL AAA/Stable
INE660A08BK5 Tier II bonds 29-Jul-11 10.15% 29-Jul-21 30 Complex CRISIL AAA/Stable
INE660A08BL3 Tier II bonds 09-Aug-11 10.02% 09-Aug-21 20 Complex CRISIL AAA/Stable
INE660A08BM1 Tier II bonds 30-Mar-12 9.90% 30-Mar-22 30 Complex CRISIL AAA/Stable
INE660A08BN9 Tier II bonds 27-Jul-12 10.30% 27-Jul-22 50 Complex CRISIL AAA/Stable
INE660A08BO7 Tier II bonds 28-Sep-12 10.30% 28-Sep-22 140 Complex CRISIL AAA/Stable
INE660A08BP4 Tier II bonds 31-Jan-13 9.75% 31-Jan-23 60 Complex CRISIL AAA/Stable
INE660A08BQ2 Tier II bonds 10-Nov-14 9.80% 10-Nov-24 25 Complex CRISIL AAA/Stable
INE660A08BR0 Tier II bonds 12-Nov-14 9.80% 12-Nov-24 100 Complex CRISIL AAA/Stable
INE660A08BS8 Tier II bonds 27-Nov-14 9.60% 27-Nov-24 50 Complex CRISIL AAA/Stable
INE660A08BT6 Tier II bonds 22-May-15 9.25% 22-May-25 40 Complex CRISIL AAA/Stable
INE660A08BU4 Tier II bonds 03-Aug-16 8.80% 03-Aug-26 150 Complex CRISIL AAA/Stable
INE660A08BV2 Tier II bonds 05-May-17 8.48% 05-May-27 150 Complex CRISIL AAA/Stable
INE660A08BW0 Tier II bonds 07-Jun-17 8.45% 07-Jun-27 150 Complex CRISIL AAA/Stable
INE660A08BX8 Tier II bonds 19-Jan-18 8.45% 19-Jan-28 250 Complex CRISIL AAA/Stable
INE660A08BY6 Tier II bonds 21-Feb-18 8.45% 21-Feb-28 125 Complex CRISIL AAA/Stable
INE660A08BZ3 Tier II bonds 26-Nov-18 9.75% 24-Nov-28 125 Complex CRISIL AAA/Stable
INE660A08CA4 Tier II bonds 13-Jun-19 8.90% 13-Jun-29 150 Complex CRISIL AAA/Stable
INE660A08CB2 Tier II bonds 25-Sep-19 8.60% 25-Sep-29 100 Complex CRISIL AAA/Stable
INE660A08CC0 Tier II Bonds 29-Jan-20 8.37% 29-Jan-30 150 Complex CRISIL AAA/Stable
INE660A07QF5 Non-convertible Debentures 3-Feb-20 7.42% 3-Apr-23 500 Simple CRISIL AAA/Stable
INE660A07QG3 Non-convertible Debentures 14-Feb-20 7.05% 14-Feb-23 300 Simple CRISIL AAA/Stable
INE660A07QH1 Non-convertible Debentures 14-Feb-20 7.05% 20-Feb-23 250 Simple CRISIL AAA/Stable
INE660A07QI9 Non-convertible Debentures 13-Apr-20 7.45% 13-Apr-23 500 Simple CRISIL AAA/Stable
INE660A07QJ7 Non-convertible Debentures 24-Apr-20 7.33% 22-Apr-22 500 Simple CRISIL AAA/Stable
INE660A07QJ7 Non-convertible Debentures 12-Jun-20 7.33% 22-Apr-22 450 Simple CRISIL AAA/Stable
INE660A07QK5 Non-convertible Debentures 12-Jun-20 6.92% 12-Jun-23 500 Simple CRISIL AAA/Stable
INE660A08CD8 Tier II Bonds 13-Jul-20 7.65% 12-Jul-30 100 Complex CRISIL AAA/Stable
INE660A08CE6 Tier II Bonds 20-Jul-20 7.65% 19-Jul-30 100 Complex CRISIL AAA/Stable
NA Commercial Paper NA NA 7 to 365 days 7000 Simple CRISIL A1+
NA Tier II bonds* NA NA NA 10 Complex CRISIL AAA/Stable
NA Subordinated Debt* NA NA NA 200 Complex CRISIL AAA/Stable
NA Non-Convertible Debentures* NA NA NA 1508.9 Simple CRISIL AAA/Stable
NA Fixed Deposit NA NA NA NA Simple FAAA/Stable 
NA Proposed Long Term
Bank Loan Facility		 NA NA NA 1100 NA CRISIL AAA/Stable
*Not yet issued
 
Annexure - Details of Rating Withdrawn
ISIN Name of Instrument Date of
Allotment		 Coupon
Rate (%)		 Maturity
Date		 Issue Size
(Rs. Crore)		 Complexity Level
INE660A07OY1 Non-Convertible Debentures 19-Jun-17 7.55% 20-Jul-20 100 Simple
INE660A07PS0 Non-Convertible Debentures 30-Aug-18 8.75% 28-Aug-20 600 Simple
 
Annexure - List of entities consolidated
Subsidiary / JVs/Associates Extent of Consolidation Rationale for Consolidation
Sundaram Asset Management Company Limited Full Subsidiary
Sundaram Asset Management Singapore Pte. Limited Full Subsidiary
Sundaram Alternate Assets Limited Full Subsidiary
Sundaram Trustee Company Limited Full Subsidiary
LGF Services Limited Full Subsidiary
Sundaram Finance Holdings Limited Full Subsidiary
Sundaram Business Services Limited Full Subsidiary
Sundaram Home Finance Limited Full Subsidiary
Sundaram Fund Services Limited Full Subsidiary
Royal Sundaram General Insurance Co Limited Partial Joint Venture
Flometallic India Private Limited Partial Associate
The Dunes Oman LLC (FZC) Partial Associate
Sundaram Hydraulics Limited Partial Associate
Axles India Limited Partial Associate
Turbo Energy Private Limited Partial Associate
Transenergy Limited Partial Associate
Sundaram Dynacast Private Limited Partial Associate
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  7000.00  CRISIL A1+  14-07-20  CRISIL A1+  11-12-19  CRISIL A1+  14-12-18  CRISIL A1+  19-12-17  CRISIL A1+  -- 
        26-02-20  CRISIL A1+  05-07-19  CRISIL A1+  05-10-18  CRISIL A1+       
        14-01-20  CRISIL A1+  01-07-19  CRISIL A1+  07-08-18  CRISIL A1+       
            07-06-19  CRISIL A1+  02-07-18  CRISIL A1+       
            12-03-19  CRISIL A1+  20-02-18  CRISIL A1+       
Fixed Deposits  FD  0.00  FAAA/Stable  14-07-20  FAAA/Stable  11-12-19  FAAA/Stable  14-12-18  FAAA/Stable  19-12-17  FAAA/Stable  FAAA/Stable 
        26-02-20  FAAA/Stable  05-07-19  FAAA/Stable  05-10-18  FAAA/Stable  03-10-17  FAAA/Stable   
        14-01-20  FAAA/Stable  01-07-19  FAAA/Stable  07-08-18  FAAA/Stable  06-06-17  FAAA/Stable   
            07-06-19  FAAA/Stable  02-07-18  FAAA/Stable  22-03-17  FAAA/Stable   
            12-03-19  FAAA/Stable  25-05-18  FAAA/Stable       
                20-02-18  FAAA/Stable       
Non Convertible Debentures  LT  7391.10
14-09-20  		CRISIL AAA/Stable  14-07-20  CRISIL AAA/Stable  11-12-19  CRISIL AAA/Stable  14-12-18  CRISIL AAA/Stable  19-12-17  CRISIL AAA/Stable  CRISIL AA+/Stable 
        26-02-20  CRISIL AAA/Stable  05-07-19  CRISIL AAA/Stable  05-10-18  CRISIL AAA/Stable  03-10-17  CRISIL AA+/Stable   
        14-01-20  CRISIL AAA/Stable  01-07-19  CRISIL AAA/Stable  07-08-18  CRISIL AAA/Stable  06-06-17  CRISIL AA+/Stable   
            07-06-19  CRISIL AAA/Stable  02-07-18  CRISIL AAA/Stable  22-03-17  CRISIL AA+/Stable   
            12-03-19  CRISIL AAA/Stable  25-05-18  CRISIL AAA/Stable       
                20-02-18  CRISIL AAA/Stable       
Short Term Debt (Including Commercial Paper)  ST                  03-10-17  CRISIL A1+  CRISIL A1+ 
                    06-06-17  CRISIL A1+   
                    22-03-17  CRISIL A1+   
Subordinated Debt  LT  0.00
14-09-20  		CRISIL AAA/Stable  14-07-20  CRISIL AAA/Stable      25-05-18  CRISIL AAA/Stable  22-03-17  CRISIL AA+/Stable  CRISIL AA+/Stable 
                20-02-18  CRISIL AAA/Stable       
Tier II Bond  LT  2190.10
14-09-20  		CRISIL AAA/Stable  14-07-20  CRISIL AAA/Stable  11-12-19  CRISIL AAA/Stable  14-12-18  CRISIL AAA/Stable  19-12-17  CRISIL AAA/Stable  CRISIL AA+/Stable 
        26-02-20  CRISIL AAA/Stable  05-07-19  CRISIL AAA/Stable  05-10-18  CRISIL AAA/Stable  03-10-17  CRISIL AA+/Stable   
        14-01-20  CRISIL AAA/Stable  01-07-19  CRISIL AAA/Stable  07-08-18  CRISIL AAA/Stable  06-06-17  CRISIL AA+/Stable   
            07-06-19  CRISIL AAA/Stable  02-07-18  CRISIL AAA/Stable  22-03-17  CRISIL AA+/Stable   
            12-03-19  CRISIL AAA/Stable  25-05-18  CRISIL AAA/Stable       
                20-02-18  CRISIL AAA/Stable       
Fund-based Bank Facilities  LT/ST  4000.00  CRISIL AAA/Stable  14-07-20  CRISIL AAA/Stable  11-12-19  CRISIL AAA/Stable  14-12-18  CRISIL AAA/Stable  19-12-17  CRISIL AAA/Stable  -- 
        26-02-20  CRISIL AAA/Stable  05-07-19  CRISIL AAA/Stable  05-10-18  CRISIL AAA/Stable  03-10-17  CRISIL AA+/Stable   
        14-01-20  CRISIL AAA/Stable  01-07-19  CRISIL AAA/Stable  07-08-18  CRISIL AAA/Stable       
            07-06-19  CRISIL AAA/Stable  02-07-18  CRISIL AAA/Stable       
            12-03-19  CRISIL AAA/Stable  25-05-18  CRISIL AAA/Stable       
                20-02-18  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
Proposed Long Term Bank Loan Facility 1100 CRISIL AAA/Stable Proposed Long Term Bank Loan Facility 1100 CRISIL AAA/Stable
Term Loan 2900 CRISIL AAA/Stable Term Loan 2900 CRISIL AAA/Stable
Total 4000 -- Total 4000 --
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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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.

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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.CRISIL or its associates may have other commercial transactions with the company/entity.

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.

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