Rating Rationale
October 07, 2020 | Mumbai
Tata Capital Financial Services Limited
'CRISIL A1+' assigned to CP Programme(IPO Financing)
 
Rating Action
Rs.5000 Crore Commercial Paper Programme(IPO Financing) CRISIL A1+ (Assigned)
Rs.500 Crore Subordinated Debt CRISIL AAA/Stable (Reaffirmed)
Subordinated Debt Aggregating Rs.1500 Crore CRISIL AAA/Stable( Reaffirmed)
Rs.1000 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Rs.1500 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Rs.1000 Crore Non Convertible Debentures CRISIL AAA/Stable (Reaffirmed)
Non-Convertible Debentures Aggregating Rs.11240.50 Crore CRISIL AAA/Stable (Reaffirmed)
Rs.7500 Crore Retail Bonds* CRISIL AAA/Stable (Reaffirmed)
Rs.2500 Crore Long Term Principal Protected Market Linked Debentures CRISIL PP-MLD AAAr/Stable (Reaffirmed)
Perpetual Bonds Aggregating Rs.500 Crore CRISIL AA+/Stable (Reaffirmed)
Rs.15000 Crore Commercial Paper Programme   CRISIL A1+ (Reaffirmed)
1 crore = 10 million
Refer to annexure for Details of Instruments & Bank Facilities
*Includes Non-Convertible Debentures and Subordinated Debt
Detailed Rationale

CRISIL has assigned its 'CRISIL A1+' rating on commercial paper rogramme(IPO Financing) of Rs 5,000 crore of Tata Capital Financial Services Limited (TCFSL). CRISIL has also reaffirmed its ratings on the company's other debt instruments and bank facilities at 'CRISIL AAA/CRISIL AA+/CRISIL PP-MLD AAAr/Stable /CRISIL A1+.
 
The rating is driven by increased strategic importance of the financial services business to Tata Sons Private Limited (Tata Sons; rated 'CRISIL AAA/FAAA/Stable/CRISIL A1+'). This is in line with the Tata group's focus on domestic consumption as a key theme in their growth philosophy. The TCL group, as the principal vehicle for non-captive lending, plays a key role through which this strategy will be implemented.

CRISIL has also withdrawn its rating on the Long Term Principal Protected Market Linked Debentures of Rs. 325.6 crore and non-convertible debentures of Rs 315 crore (See Annexure 'Details of Rating Withdrawn' for details) in line with its withdrawal policy. CRISIL has received independent confirmation that these instruments are fully redeemed.
 
The nationwide lockdown imposed by the GoI to contain the spread of the Covid-19 pandemic has also impacted disbursements and collections of the financial institutions. The lockdown has been eased in a phased manner. However, certain states have implemented local lockdowns. CRISIL believes the eventual lifting of restrictions will continue to be in a phased manner. Any delay in return to normalcy will put further pressure on collections and asset quality metrics of financial institutions.
 
Tata Capital Limited, through its lending entities operates in diversified retail and corporate segments, wherein some segments may witness challenges with income streams being affected by the lockdown. In terms of liquidity, as on August 31, 2020, TCFSL had total cash equivalents and unutilised working capital lines of Rs 7,065 crore (Rs 1,292 crore of cash and equivalents and Rs 5,773 crore of unutilised working capital lines). The debt repayment cover for TCFSL for three months ending November 2020 was 1.42 times and TCFSL had debt repayments of Rs 4,963 crore over the next three months ending September 30, 2020. 
 
Tata Sons has infused of Rs 6,300 crore in Tata Capital since inception of which Rs 1,000 crore was infused in fiscal 2020 and Rs 2,500 crore was in fiscal 2019. This equity capital infusion is a strong indicator of the focus on the lending business.
 
TCL group's business performance has also improved, with significant scale-up and diversification in its portfolio over the past few years. Asset quality and earnings are also on an improving trend, with the group discontinuing businesses which have posed asset quality challenges in recent years. The TCL group is also further strengthening its risk function- both in people and in processes, which should hold it in good stead. Capital position will remain comfortable, with continued capital infusion from Tata Sons.
 
The prefix 'PP-MLD' indicates that the principal amount of the debentures is protected, while returns remain market-linked. The suffix 'r' shows that the returns on the debentures have significant risks other than credit risk. Also, payments to investors are not fixed and are linked to external variables such as government yield, commodity prices, equity indices, foreign exchange rates, or equity valuation of the company.

Analytical Approach

For arriving at its ratings, CRISIL has combined the business and financial risk profiles of TCL and its subsidiaries TCFSL, Tata Capital Housing Finance Limited (TCHFL), Tata Cleantech Capital Limited (TCCL), Tata Securities Ltd and Tata Capital Pte Ltd, Singapore. This is because they have significant operational and management linkages, and operate under the common Tata Capital brand. The ratings also factor in strong support from TCL's parent, Tata Sons given the strategic importance of TCL and its subsidiaries as the principal vehicle of non-captive lending in the group and the Tata Sons' strong articulation of support.

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
* Strategic importance to, and expectation of strong support from the ultimate parent, Tata Sons
CRISIL's ratings on debt instruments of TCL group continue to be based on the expectation of strong support that the group is expected to receive from the ultimate parent, Tata Sons. This is due to Tata Sons' majority ownership in the TCL group, coupled with the increasing importance of the financial services business to the Tata group.
 
Tata Sons directly owns 94.55% of TCL's equity shares and most of the remaining stake is held by the other Tata group companies and trusts. TCL in turn holds 100% stake in its two main subsidiaries- TCFSL and TCHFL. Tata Sons also has personnel from its senior management on TCL's board. Tata Sons has infused equity capital of around Rs. 5,300 crore in TCL since TCL's inception; Rs 2500 crore of this has been infused just in fiscal 2019 till date indicating the intent of the group to step up its focus on the lending business.
 
TCL group, as the Tata group's non-captive lending vehicle, is the primary financial services arm, and remains critical to the group, given the growth opportunities in this sector over the medium to long term. TCL group is also strategically important to the Tata group because it caters to the funding requirements of various entities associated with the group, such as its suppliers, vendors, and dealers. The shared brand and infrastructural synergies with various Tata group companies strengthen the integration of the TCL group with the overall Tata group. Business synergies are set to increase further as TCL taps into the Tata group ecosystem as part of its growth strategy. CRISIL believes that Tata Sons will continue to have majority ownership in, and management control of TCL and its subsidiaries, over the medium term. 
 
* Comfortable capitalization to support medium term growth plans, supported by regular infusion from parent
TCL group has comfortable capitalization, with consolidated networth (per IndAS on a consolidated basis) of Rs 8,822 crore as on March 31, 2020. As on March 31, 2020 both TCFSL and TCHFL remain adequately capitalized with overall capital adequacy ratio of 18.62% and 18.22% respectively (16.84% and 16.23% respectively as on March 31, 2019). The gearing of TCFSL and TCHFL (after adjusting for compulsorily convertible cumulative preference shares that is being treated as debt with the introduction of IND-AS) stood at 6.5 times and 9.7 times as on March 31, 2020 (6.9 times and 11.3 times respectively as on March 31, 2019). The gearing of TCCL was 5.3 times as on March 31, 2020 (5.0 times as on March 31, 2019).
 
TCL group's combined gearing stood at 8.0 times as on March 31, 2020. CRISIL believes that TCL group is adequately capitalized to absorb asset-side risks. CRISIL also believes that despite its significant growth plans, TCL group's capitalization is expected to remain comfortable, given Tata Sons' commitment to support growth in the financial services business.
 
* Diversified resource profile
TCL group also has access to funding from a diverse base of lenders; the funding profile is fairly balanced with a mix of non-convertible debentures, bank borrowings, and short-term debt. As on March 31, 2019, overall market borrowings stood at about half of total borrowings. TCL and its subsidiaries have the ability to mobilize debt at competitive costs, given their association with the Tata group. 

Weaknesses
* Average asset quality; expected to improve with strengthened risk management systems and processes
Asset quality is expected to improve going ahead with the group exiting segments such as infrastructure lending in which they have faced asset quality challenges in the past, as well as the strengthening of the risk management infrastructure.
 
On a consolidated basis, TCL group's gross non-performing assets (NPAs) and net NPAs stood at 1.9% and 0.6% respectively as on March 31, 2020 against 1.7% and 0.4% respectively as on March 31, 2019.
 
In case of TCFSL, the gross NPA was 2.4% as on March 31, 2020 against 2.5% as on March 31, 2019 (down from 3.3% in fiscal 2018 and 4.9% in fiscal 2017). The company's provision coverage ratio was 78% as on March 31, 2020 thereby translating into net NPA to 0.5% as on March 31, 2020.  The provisioning in TCFSL on account of impact of Covid-19 were Rs 180 crore. Of the total loan portfolio in TCFSL, approximately 30% was under moratorium as of June 30, 2020 and the collection efficiency has been on an improving trend in the past three months between April 2020 and June 2020.
 
TCHFL's reported gross NPA  of 1.4% as on March 31, 2020 against 0.9% end fiscal 2019 (1.2% in fiscal 2018 and 0.9% in fiscal 2017). The provision coverage ratio stood at 62% (58% as on March 31, 2019) leading to net NPA of 0.5% as on March 31, 2020. The provisioning in TCHFL on account of Covid-19 impact was Rs 110 crore. Of the total loan portfolio of TCHFL, approximately 43% was under moratorium as of June 30, 2020 and the collection efficiency has been on an improving trend in the past three months between April and June 2020.
 
TCCL had gross NPA of 1.1% and net NPA of 0.9% respectively as on March 31, 2020(nil as on March 31, 2019). The provisioning coverage ratio of TCCL was 23.1% as on March 31, 2020. CRISIL will monitor the ability of these companies to maintain low delinquency levels across asset classes over economic cycles. The provisioning expense of TCCL was Rs 48 crore in fiscal 2020 against Rs 8 crore in fiscal 2019. The provisioning in TCCL on account of Covid-19 impact was RS 25 crore. Of the total loan portfolio of TCCL, approximately 30% was under moratorium as on June 30, 2020
 
The impact of nationwide lockdown on the asset quality, especially in riskier segments such as unsecured lending and the wholesale lending remains a key monitorable.

* Moderate earnings profile
TCL group's profitability has been subdued in the past due to high credit costs.  The consolidated profit after tax (PAT) of TCL was Rs 155 crore in fiscal 2020 against Rs 1029 crore in fiscal 2019, primarily impacted by increase in provisioning towards COVID 19 of Rs.315 crore and fair value loss on investments Rs.361 crore.
 
For TCFSL, the net profit stood at Rs 114 crore for fiscal 2020, down 74% Y-o-Y, on total income (net of interest expenses) of Rs 2805 crore, up 14% Y-o-Y. TCFSL's return on average assets stood at 0.24% for fiscal 2020. The drop in profitability of TCFSL was primarily on account of provisioning towards COVID 19 of Rs.180 crore, fair value loss on investment Rs.157 crore and one time DTA impact due to tax rate revision of Rs.121 crore. In case of TCHFL, the net profit stood at Rs 152 crore for fiscal 2020 and has tripled from that fiscal 2019 (Rs 50 crore) on total income (net of interest expenses) of Rs 990 crore, +49% Y-o-Y. The increase in profitability of TCHFL was primarily associated with higher interest income (up 26% to Rs 2926.3 crore) because of re-pricing of loans in fiscal 2019. For TCCL, the net profit stood at Rs 123 crore for fiscal 2020 up 20% Y-o-Y, on a total income of Rs 616 crore, more than doubling from fiscal 2019. The increase in profitability of TCCL was primarily associated with higher interest income (up 41% to Rs 593.4 crore) because of re-pricing of loans in fiscal 2019.
 
The CRISIL adjusted provisioning coverage ratio (PCR) was 78% for TCFSL, 62% for TCHFL and 23% for TCCL as on March 31, 2020, which is expected to support profitability. However, the extent of impact on profitability and credit cost from the prevailing economic conditions because of Covid-19 remains monitorable.
Liquidity Superior

TCFSL's Asset Liability Management (ALM) as on June 30, 2020 shows cumulative positive mismatches in all the maturity buckets (the inflows include existing committed bank lines).In terms of liquidity, as on August 31, 2020, TCFSL had total cash equivalents and unutilised working capital lines of Rs 7,065 crore (Rs 1,292 crore of cash and equivalents and Rs 5,773 crore of unutilised working capital lines). The debt repayment cover for TCFSL for three months ending November 2020 was 1.42 times and TCFSL had debt repayments of Rs 4,963 crore over the next three months ending September 30, 2020.

Outlook: Stable

CRISIL believes that TCL group will remain highly strategically important to Tata Sons, and continue to benefit from the strong parent support over the medium term. The outlook may be revised to 'Negative' in case of a decline in Tata Sons' credit quality or in CRISIL's view, a diminution in expected support to TCL group. The outlook may also be revised to 'Negative' in case of significant pressure on the TCL group's asset quality, impacting the group's earnings.

Rating Sensitivity Factors
Downward factors
* Downward revision in the credit rating of Tata Sons Private Limited (Tata Sons)
* Any change in the support philosophy of Tata Sons resulting in reduced support to Tata Capital Group
* Sharp deterioration in consolidated asset quality with consolidated gross NPA remaining above 6% and in-turn impacting capital and earnings.

About the Company

TCFSL is a wholly subsidiary of TCL, registered with the Reserve Bank of India as a Systemically Important Non-Deposit Accepting Non-Banking Financial Company (NBFC) and offers fund and fee-based financial services to its customers. A trusted and customer- centric, one-stop financial services provider, TCFSL caters to the diverse needs of retail, corporate and institutional customers, across various areas of business namely the Commercial Finance, Wealth Management, Consumer Loans. It has a diversified product portfolio, with almost equal presence across both retail and wholesale finance segments. As on March 31, 2020, TCFSL had networth of Rs 6,213 crore.
 
TCL is the holding company for the financial services businesses of the Tata Capital group and is registered with the Reserve Bank of India as a systemically important, non-deposit-taking, Core Investment Company. Tata Capital has a diversified product portfolio with a presence in both the wholesale and retail finance segments. It had sizeable AUM of Rs 77,653 crore end fiscal 2020 as against 77,110 crore end fiscal. The fund-based products and services are primarily offered by TCFSL (both wholesale and retail finance segments), TCHFL (mortgage finance), and TCCL (infrastructure finance). The fee-based services distribution of mutual funds and insurance products, stock broking, and investment banking are offered through the wholly owned subsidiary, Tata Securities Ltd.

Key Financial Indicators - Tata Capital Limited (Consolidated)
As On/For the year ended March 31 Unit 2019 2019
Total Assets Rs. Crore 83,280 80,925
Total income (net of interest expenses) Rs. Crore 4,020 4,017
Profit after tax Rs. Crore 156 1,029
Gross NPA % 1.9 1.7
Return on assets % 0.2 0.8
Gearing  Times  6.7 7.1
 
Key Financial Indicators - Tata Capital Financial Services Limited (Standalone)
As On/For the year ended March 31 Unit 2020 2019
Total Assets Rs. Crore 46,807 47,838
Total income (net of interest expenses) Rs. Crore 2,805 2,461
Profit after tax Rs. Crore 114 437
Gross NPA % 2.39 2.45
Return on average assets % 0.2 1.00
Gearing  (adjusted for CCCPS) Times  5.67 6.39

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 the instrument Date of
issuance		 Coupon
rate (%)		 Maturity
Date		 Complexity Level Size of the
issue
(in.Cr)		 Rating assigned
with Outlook
NA Commercial Paper
Programme
(IPO Financing)		 NA NA 7-365 days Simple 5000 CRISIL A1+
NA Long Term Principal
Protected
Market Linked Debentures@		 NA NA NA Highly Complex 1602.4 CRISIL PP-MLD AAAr/Stable
NA Non convertible debentures@ NA NA NA Simple 2572.8 CRISIL AAA/Stable
INE306N07JH9 Non convertible debentures 30-May-16 8.70% 28-May-21 Simple 50 CRISIL AAA/Stable
INE306N07JY4 Non convertible debentures 30-May-16 8.70% 28-May-21 Simple 50 CRISIL AAA/Stable
INE306N07KT2 Long Term Principal Protected
Market Linked Debentures		 27-Feb-19 10 YR BENCHMARK
G-SEC LINKED		 14-Apr-21 Highly Complex 230.5 CRISIL PP-MLD AAAr/Stable
INE306N07KU0 Long Term Principal Protected
Market Linked Debentures		 27-Feb-19 10 YR BENCHMARK
G-SEC LINKED		 14-Apr-22 Highly Complex 57.1 CRISIL PP-MLD AAAr/Stable
INE306N07KV8 Long Term Principal Protected
Market Linked Debentures		 20-Mar-19 10 YR BENCHMARK
G-SEC LINKED		 05-Dec-22 Highly Complex 250 CRISIL PP-MLD AAAr/Stable
INE306N08318 Non convertible debentures 19-Mar-19 8.93% 17-Mar-34 Simple 45.2 CRISIL AAA/Stable
NA Retail Bond@ NA NA NA Simple 1972.99 CRISIL AAA/Stable
INE306N07KC8 Retail Bonds* 27-Sep-18 8.70% 27-Sep-21 Simple 50.29 CRISIL AAA/Stable
INE306N07KD6 Retail Bonds* 27-Sep-18 8.80% 27-Sep-21 Simple 1417.77 CRISIL AAA/Stable
INE306N07KE4 Retail Bonds* 27-Sep-18 8.80% 27-Sep-23 Simple 76.88 CRISIL AAA/Stable
INE306N07KF1 Retail Bonds* 27-Sep-18 8.90% 27-Sep-23 Simple 1457.07 CRISIL AAA/Stable
INE306N08284 Retail Bonds* 27-Sep-18 9.00% 27-Sep-28 Simple 29.55 CRISIL AAA/Stable
INE306N08292 Retail Bonds* 27-Sep-18 9.10% 27-Sep-28 Simple 341.85 CRISIL AAA/Stable
INE306N07KH7 Non convertible debentures 26-Oct-18 ZCB 26-Oct-21 Simple 326.2 CRISIL AAA/Stable
INE306N07KK1 Non convertible debentures 19-Dec-18 9.25% 19-Dec-23 Simple 194 CRISIL AAA/Stable
INE306N07KK1 Non convertible debentures 03-Jan-19 9.25% 19-Dec-23 Simple 97.5 CRISIL AAA/Stable
INE306N07KL9 Non convertible debentures 19-Dec-18 9.25% 19-Dec-28 Simple 112 CRISIL AAA/Stable
INE306N07KL9 Non convertible debentures 03-Jan-19 9.25% 19-Dec-28 Simple 23 CRISIL AAA/Stable
INE306N08318 Non convertible debentures 19-Mar-19 8.93% 17-Mar-34 Simple 544.8 CRISIL AAA/Stable
INE306N07DT7 Non convertible debentures 20-Nov-14 9.36% 20-Nov-24 Simple 95 CRISIL AAA/Stable
INE306N07EC1 Non convertible debentures 08-Dec-14 9.22% 06-Dec-24 Simple 75 CRISIL AAA/Stable
INE306N07HW2 Non convertible debentures 30-May-16 8.70% 28-May-21 Simple 50 CRISIL AAA/Stable
INE306N07IZ3 Non convertible debentures 28-Dec-16 7.58% 28-Dec-21 Simple 272 CRISIL AAA/Stable
INE306N08235 Perpetual debt 21-Jun-17 9.05% Perpetual Highly Complex 50 CRISIL AA+/Stable
INE306N08250 Perpetual debt 14-Jul-17 8.77% Perpetual Highly Complex 50 CRISIL AA+/Stable
INE306N08268 Perpetual debt 11-Sep-17 8.61% Perpetual Highly Complex 93 CRISIL AA+/Stable
INE306N08276 Perpetual debt 26-Mar-18 8.90% Perpetual Highly Complex 125 CRISIL AA+/Stable
NA Perpetual debt@ NA NA NA Highly Complex 175.55 CRISIL AA+/Stable
INE976I08128 Perpetual debt 15-Nov-10 10.00% Perpetual Highly Complex 0.75 CRISIL AA+/Stable
INE976I08136 Perpetual debt 14-Jan-11 10.00% Perpetual Highly Complex 0.9 CRISIL AA+/Stable
INE976I08144 Perpetual debt 05-May-11 10.00% Perpetual Highly Complex 1 CRISIL AA+/Stable
INE976I08151 Perpetual debt 08-Aug-11 11.25% Perpetual Highly Complex 3.05 CRISIL AA+/Stable
INE976I08169 Perpetual debt 28-Sep-11 10.75% Perpetual Highly Complex 0.5 CRISIL AA+/Stable
INE976I08177 Perpetual debt 07-Nov-11 10.75% Perpetual Highly Complex 0.25 CRISIL AA+/Stable
NA Subordinated debt@ NA NA NA Complex 630 CRISIL AAA/Stable
INE306N08326 Subordinated debt 16-Apr-19 8.95% 16-Apr-29 Complex 85 CRISIL AAA/Stable
INE306N08029 Subordinated debt 26-Sep-14 10.15% 26-Sep-24 Complex 100 CRISIL AAA/Stable
INE306N08037 Subordinated debt 07-Jan-15 9.35% 07-Jan-25 Complex 35 CRISIL AAA/Stable
INE306N08045 Subordinated debt 30-Jan-15 9.32% 30-Jan-25 Complex 75 CRISIL AAA/Stable
INE306N08052 Subordinated debt 31-Mar-15 9.37% 31-Mar-25 Complex 200 CRISIL AAA/Stable
INE306N08078 Subordinated debt 22-Jul-15 9.25% 22-Jul-25 Complex 90 CRISIL AAA/Stable
INE306N08151 Subordinated debt 30-Mar-16 9.17% 30-Mar-26 Complex 200 CRISIL AAA/Stable
INE306N08193 Subordinated debt 11-Aug-16 8.92% 11-Aug-26 Complex 200 CRISIL AAA/Stable
INE306N08201 Subordinated debt 26-Oct-16 8.45% 26-Oct-26 Complex 15 CRISIL AAA/Stable
INE306N08300 Subordinated debt 28-Dec-18 9.32% 28-Dec-28 Complex 200 CRISIL AAA/Stable
NA Commercial Paper NA NA 7-365 days Simple 15000 CRISIL A1+
INE306N07LB8 Non convertible debentures 27-May-19 8.82% 27-May-24 Simple 218 CRISIL AAA/Stable
INE306N07LC6 Non convertible debentures 04-Jun-19 8.67% 15-Jan-25 Simple 30 CRISIL AAA/Stable
INE306N07LE2 Non convertible debentures 20-Jun-19 8.65% 20-Jun-24 Simple 88.5 CRISIL AAA/Stable
INE306N07LF9 Non convertible debentures 20-Jun-19 8.70% 20-Jun-29 Simple 273 CRISIL AAA/Stable
INE306N07LG7 Long Term Principal
Protected
Market Linked Debentures		 02-Aug-19 LINKED TO 7.
17 GSEC 2028.		 02-Aug-21 Highly Complex 34.4 CRISIL PP-MLD AAAr/Stable
INE306N07LH5 Retail Bonds* 26-Aug-19 8.35% 26-Aug-22 Simple 96 CRISIL AAA/Stable
INE306N07LI3 Retail Bonds* 26-Aug-19 8.45% 26-Aug-22 Simple 752 CRISIL AAA/Stable
INE306N07LJ1 Retail Bonds* 26-Aug-19 8.40% 26-Aug-24 Simple 97 CRISIL AAA/Stable
INE306N07LK9 Retail Bonds* 26-Aug-19 8.50% 26-Aug-24 Simple 340 CRISIL AAA/Stable
INE306N07LL7 Retail Bonds* 26-Aug-19 8.55% 26-Aug-27 Simple 92 CRISIL AAA/Stable
INE306N07LM5 Retail Bonds* 26-Aug-19 8.65% 26-Aug-27 Simple 600 CRISIL AAA/Stable
INE306N08334 Retail Bonds* 26-Aug-19 8.75% 26-Aug-29 Simple 4.6 CRISIL AAA/Stable
INE306N08342 Retail Bonds* 26-Aug-19 8.85% 26-Aug-29 Simple 172 CRISIL AAA/Stable
INE306N07LO1 Non convertible debentures 06-Nov-19 8.50% 06-Nov-29 Simple 50 CRISIL AAA/Stable
INE306N08359 Subordinated debt 13-Nov-19 8.65% 13-Nov-29 Complex 170 CRISIL AAA/Stable
@rated but unutilized
*Includes Non-Convertible Debentures and Subordinated Debt
 
Annexure - Details of Rating Withdrawn
ISIN Name of the
instrument		 Date of
issuance		 Coupon
rate (%)		 Maturity
Date		 Complexity
level		 Size of the
issue
(in.Cr)
INE306N07KS4 Long Term Principal Protected
Market Linked Debentures		 27-Feb-19 10 YR BENCHMARK 14-Aug-20 Simple 325.6
INE306N07FY2 Non convertible debentures 05-May-15 8.88% 05-May-20 Simple 300
INE306N07IM1 Non convertible debentures 26-Aug-16 8.25% 01-Jul-20 Simple 15
 
Annexure - List of entities consolidated
Entity consolidated Extent of consolidation Rationale for consolidation
Tata Capital Limited Full Holding Company
Tata Capital Financial Services Limited Full Subsidiary
Tata Capital Housing Finance Limited Full Subsidiary
Tata Cleantech Capital Limited Full Subsidiary
Tata Securities Limited Full Subsidiary
Tata Capital Pte Ltd, Singapore Full 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  15000.00  CRISIL A1+  23-01-20  CRISIL A1+  27-06-19  CRISIL A1+  19-10-18  CRISIL A1+  21-11-17  CRISIL A1+  -- 
            18-02-19  CRISIL A1+  15-08-18  CRISIL A1+  04-09-17  CRISIL A1+   
            24-01-19  CRISIL A1+  28-05-18  CRISIL A1+       
            17-01-19  CRISIL A1+           
Commercial Paper Programme(IPO Financing)  ST  5000.00  CRISIL A1+    --    --    --    --  -- 
Long Term Principal Protected Market Linked Debentures  LT  2174.40
06-10-20  		CRISIL PP-MLD AAAr/Stable  23-01-20  CRISIL PP-MLD AAAr/Stable  27-06-19  CRISIL PP-MLD AAAr/Stable    --    --  -- 
            18-02-19  CRISIL PP-MLD AAAr/Stable           
Non Convertible Debentures  LT  5167.00
06-10-20  		CRISIL AAA/Stable  23-01-20  CRISIL AAA/Stable  27-06-19  CRISIL AAA/Stable  19-10-18  CRISIL AAA/Stable  21-11-17  CRISIL AA+/Stable  CRISIL AA+/Stable 
            18-02-19  CRISIL AAA/Stable  15-08-18  CRISIL AAA/Stable  04-09-17  CRISIL AA+/Stable   
            24-01-19  CRISIL AAA/Stable  28-05-18  CRISIL AA+/Stable  31-07-17  CRISIL AA+/Stable   
            17-01-19  CRISIL AAA/Stable      22-03-17  CRISIL AA+/Stable   
                    22-02-17  CRISIL AA+/Stable   
Perpetual Bonds  LT  500.00
06-10-20  		CRISIL AA+/Stable  23-01-20  CRISIL AA+/Stable  27-06-19  CRISIL AA+/Stable  19-10-18  CRISIL AA+/Stable  21-11-17  CRISIL AA/Stable  CRISIL AA-/Stable 
            18-02-19  CRISIL AA+/Stable  15-08-18  CRISIL AA+/Stable  04-09-17  CRISIL AA/Stable   
            24-01-19  CRISIL AA+/Stable  28-05-18  CRISIL AA/Stable  31-07-17  CRISIL AA/Stable   
            17-01-19  CRISIL AA+/Stable      22-03-17  CRISIL AA/Stable   
                    22-02-17  CRISIL AA/Stable   
Retail Bond  LT  7500.00
06-10-20  		CRISIL AAA/Stable  23-01-20  CRISIL AAA/Stable  27-06-19  CRISIL AAA/Stable  19-10-18  CRISIL AAA/Stable    --  -- 
            18-02-19  CRISIL AAA/Stable  15-08-18  CRISIL AAA/Stable       
            24-01-19  CRISIL AAA/Stable           
            17-01-19  CRISIL AAA/Stable           
Subordinated Debt  LT  2000.00
06-10-20  		CRISIL AAA/Stable  23-01-20  CRISIL AAA/Stable  27-06-19  CRISIL AAA/Stable  19-10-18  CRISIL AAA/Stable  21-11-17  CRISIL AA+/Stable  CRISIL AA+/Stable 
            18-02-19  CRISIL AAA/Stable  15-08-18  CRISIL AAA/Stable  04-09-17  CRISIL AA+/Stable   
            24-01-19  CRISIL AAA/Stable  28-05-18  CRISIL AA+/Stable  31-07-17  CRISIL AA+/Stable   
            17-01-19  CRISIL AAA/Stable      22-03-17  CRISIL AA+/Stable   
                    22-02-17  CRISIL AA+/Stable   
All amounts are in Rs.Cr.
Links to related criteria
CRISILs Approach to Financial Ratios
Rating Criteria for Banks and Financial Institutions
Rating Criteria for Finance Companies
CRISILs Criteria for Consolidation
CRISILs Criteria for rating short term debt
Criteria for Notching up Stand Alone Ratings of Companies based on Parent Support

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