Rating Rationale
March 25, 2025 | Mumbai
Tata Power Solar Systems Limited
Ratings Withdrawn
 
Rating Action
Total Bank Loan Facilities RatedRs.10627 Crore
Long Term RatingWithdrawn (Crisil AA+/Stable)
Short Term RatingWithdrawn (Crisil A1+)
 
Rs.1200 Crore Commercial PaperWithdrawn (Crisil A1+)
Note: None of the Directors on Crisil Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings.
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities

Detailed Rationale

Crisil Ratings has withdrawn its ratings on the bank loan facilities and commercial paper of Tata Power Solar Systems Limited (TPSSL) owing to the merger of TPSSL with Tata Power Renewable Energy Ltd (TPREL) under the scheme of amalgamation with effect from 1th April 2023 as per the National Company Law Tribunal (NCLT) order passed in August 2024 and order filed with Registrar of Companies (ROC) in February 2024.

 

The rating action follows receipt of the required documentation in line with the Crisil Ratings withdrawal policy. Further, TPSSL has now ceased to exist and all its bank loan facilities are transferred to TPREL.

Analytical Approach

Crisil Ratings has applied its parent notch-up framework to factor in the extent of financial and managerial support available to TPSSL from TPREL.

About the Company

TPSSL was set up in 1989 as Tata BP Solar India Ltd, a 51:49 joint venture between the BP group and the Tata group. The company got its current name after Tata Power bought 51% equity stake from BP Alternative Energy Holdings Ltd in June 2012. Post structural changes due to Black Rock deal at TPREL level, 100% equity was transferred to TPREL from TPCL in fiscal 2023. It has a solar photovoltaic manufacturing unit in Bengaluru with capacity of ~1.1 GW.

About the Group

The renewable generation homogenous group under TPREL, has an operating capacity of ~5.4 GW, as of December 2024.  The group has a consolidated capacity of around 1 GW (wind) and nearly ~4.4 GW (solar) across 15 states. TPREL also has around 5.5 GW of capacities under construction.

Key Financial Indicators

Particulars

Unit

2024

2023

Operating income

Rs crore

11718

6906

Profit after tax (PAT)

Rs crore

391

222

PAT margin

%

3.3

3.2

Adjusted total debt/adjusted networth

Times

-*

0.68

Interest coverage

Times

5.7

3.7

*TPSSL had nil outstanding bank debt as on March 31, 2024.

Any other information: Not Applicable

Note on complexity levels of the rated instrument:
Crisil Ratings` 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.

Crisil Ratings will disclose complexity level for all securities - including those that are yet to be placed - based on available information. The complexity level for instruments may be updated, where required, in the rating rationale published subsequent to the issuance of the instrument when details on such features are available.

For more details on the Crisil Ratings` complexity levels please visit www.crisilratings.com. 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. Crore) Complexity Levels Rating Outstanding with Outlook
NA Commercial Paper NA NA 7-365 days 1200.00 Simple Withdrawn
NA Fund-Based Facilities& NA NA NA 3824.00 NA Withdrawn
NA Non-Fund Based Limit NA NA NA 6723.00 NA Withdrawn
NA Proposed Working Capital Facility NA NA NA 80.00 NA Withdrawn

& - Interchangeable with non-fund based facilities

Annexure - Rating History for last 3 Years
  Current 2025 (History) 2024  2023  2022  Start of 2022
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT/ST 3904.0 Withdrawn   -- 07-06-24 Crisil AA+/Stable / Crisil A1+ 21-11-23 Crisil AA/Positive 04-08-22 Crisil AA/Stable Crisil AA/Stable
      --   -- 19-04-24 Crisil AA+/Stable 28-03-23 Crisil AA/Stable 26-04-22 Crisil AA/Stable --
Non-Fund Based Facilities ST 6723.0 Withdrawn   -- 07-06-24 Crisil A1+ 21-11-23 Crisil A1+ 04-08-22 Crisil A1+ Crisil A1+
      --   -- 19-04-24 Crisil A1+ 28-03-23 Crisil A1+ 26-04-22 Crisil A1+ --
Commercial Paper ST 1200.0 Withdrawn   -- 07-06-24 Crisil A1+ 21-11-23 Crisil A1+ 04-08-22 Crisil A1+ Crisil A1+
      --   -- 19-04-24 Crisil A1+ 28-03-23 Crisil A1+ 26-04-22 Crisil A1+ --
All amounts are in Rs.Cr.
Annexure - Details of Bank Lenders & Facilities
Facility Amount (Rs.Crore) Name of Lender Rating
Fund-Based Facilities& 35 ICICI Bank Limited Withdrawn
Fund-Based Facilities& 230 IndusInd Bank Limited Withdrawn
Fund-Based Facilities& 200 Axis Bank Limited Withdrawn
Fund-Based Facilities& 50 Bank of Baroda Withdrawn
Fund-Based Facilities& 200 The Federal Bank Limited Withdrawn
Fund-Based Facilities& 380 RBL Bank Limited Withdrawn
Fund-Based Facilities& 100 YES Bank Limited Withdrawn
Fund-Based Facilities& 949 HDFC Bank Limited Withdrawn
Fund-Based Facilities& 30 Societe Generale Bank Withdrawn
Fund-Based Facilities& 500 State Bank of India Withdrawn
Fund-Based Facilities& 100 DBS Bank India Limited Withdrawn
Fund-Based Facilities& 350 State Bank of India Withdrawn
Fund-Based Facilities& 250 Kotak Mahindra Bank Limited Withdrawn
Fund-Based Facilities& 300 IDFC FIRST Bank Limited Withdrawn
Fund-Based Facilities& 100 Standard Chartered Bank Withdrawn
Fund-Based Facilities& 50 Punjab National Bank Withdrawn
Non-Fund Based Limit 940 IndusInd Bank Limited Withdrawn
Non-Fund Based Limit 650 Kotak Mahindra Bank Limited Withdrawn
Non-Fund Based Limit 350 IDFC FIRST Bank Limited Withdrawn
Non-Fund Based Limit 425 Standard Chartered Bank Withdrawn
Non-Fund Based Limit 200 ICICI Bank Limited Withdrawn
Non-Fund Based Limit 488 Bank of Baroda Withdrawn
Non-Fund Based Limit 270 Societe Generale Bank Withdrawn
Non-Fund Based Limit 350 Axis Bank Limited Withdrawn
Non-Fund Based Limit 150 DBS Bank India Limited Withdrawn
Non-Fund Based Limit 650 State Bank of India Withdrawn
Non-Fund Based Limit 400 Sumitomo Mitsui Banking Corporation Withdrawn
Non-Fund Based Limit 1000 State Bank of India Withdrawn
Non-Fund Based Limit 450 Punjab National Bank Withdrawn
Non-Fund Based Limit 400 YES Bank Limited Withdrawn
Proposed Working Capital Facility 80 Kotak Mahindra Bank Limited Withdrawn
& - Interchangeable with non-fund based facilities
Criteria Details
Links to related criteria
Basics of Ratings (including default recognition, assessing information adequacy)
Criteria for manufacturing, trading and corporate services sector (including approach for financial ratios)
Criteria for factoring parent, group and government linkages

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