Rating Rationale
September 17, 2018 | Mumbai
Trident Limited
Ratings reaffirmed and Withdrawn
Rating Action
Total Bank Loan Facilities Rated Rs.3367.71 Crore
Long Term Rating CRISIL A+/Stable (Rating Reaffirmed and Withdrawn) 
Short Term Rating CRISIL A1+ (Rating Reaffirmed and Withdrawn) 
1 crore = 10 million
Refer to annexure for Details of Instruments & Bank Facilities
Detailed Rationale

CRISIL has reaffirmed its ratings on the bank facilities of Trident Limited (Trident) and subsequently withdrawn the ratings at the company's request and on receipt of no-objection certificates from the bankers. The withdrawal is in line with CRISIL's policy on withdrawal of its ratings on bank facilities.

Analytical Approach

For arriving at the ratings, CRISIL has combined the business and financial risk profiles of Trident and its two wholly owned subsidiaries, Trident Global Corp Ltd and Trident Europe Ltd, due to business and financial linkages. In line with its analytical treatment, CRISIL has reduced revaluation reserves (Rs 758 crore as on March 31, 2018) while computing the adjusted networth. The company has revalued its property, plant and equipment, and certain other assets as per Ind AS norms and created a revaluation reserve which has been reduced from networth and assets.

About the Company

Trident was incorporated in 1990 as Abhishek Industries Ltd, promoted by Mr Rajinder Gupta, and got its present name in 2011. The company, headquartered in Ludhiana (Punjab), manufactures cotton yarn, terry towels, bed linen, and paper. It is one of the leading manufacturers and exporters of terry towels in India. It also manufactures WPP using wheat straw as primary fibre source and distributes copier paper under the Trident brand in the domestic market. Its manufacturing facilities are in Barnala and Budhni (Madhya Pradesh). In the textile business, it has 5.5 lakh spindles, 6464 rotors, 672 looms for terry towels, and 500 looms for bed linen. In paper, it has capacity to produce 175,000 TPA.

Trident's promoters hold 67.8% stake in the company through various holding entities, and the rest is held by institutional players, bodies corporate, and public.

Key Financial Indicators
Particulars Unit 2018 2017
Revenue Rs crore 4652 4693
Profit After Tax Rs crore 264 325
PAT Margin % 5.7 6.9
Adjusted debt/adjusted networth Times 1.37 1.57
Interest coverage Times 7.73 6.98

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
Rating assigned with outlook
NA Cash Credit NA NA NA 1200 Withdrawn
NA Long-Term Loan NA NA 30- Jun-23 239.17 Withdrawn
NA Long-Term Loan NA NA 31-Dec-24 173.97 Withdrawn
NA Long-Term Loan NA NA 30-Jun-23 166.63 Withdrawn
NA Long-Term Loan NA NA 31-Dec-24 182.71 Withdrawn
NA Long-Term Loan NA NA 31-Dec-24 137.41 Withdrawn
NA Long-Term Loan NA NA 31-Dec-24 113.78 Withdrawn
NA Long-Term Loan NA NA 30-Jun-23 95.76 Withdrawn
NA Long-Term Loan NA NA 30- Sep-24 133.48 Withdrawn
NA Long-Term Loan NA NA 30-Jun-23 47.84 Withdrawn
NA Long-Term Loan NA NA 30-Jun-23 85.33 Withdrawn
NA Long-Term Loan NA NA 30-June-23 87.91 Withdrawn
NA Long-Term Loan NA NA 30-Sep-21 27.77 Withdrawn
NA Long-Term Loan NA NA 1-Aug-21 57.25 Withdrawn
NA Long-Term Loan NA NA 30- Sep-21 18.05 Withdrawn
NA Long-Term Loan NA NA 29-Jun-21 27.36 Withdrawn
NA Long-Term Loan NA NA 30-Sep-21 36.05 Withdrawn
NA Long-Term Loan NA NA 30-Jun-22 137.24 Withdrawn
NA Long-Term Loan NA NA 23-Mar-19 50.00 Withdrawn
NA Letter of Credit NA NA NA 350.0 Withdrawn
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
Fund-based Bank Facilities  LT/ST  3017.71  Withdrawn  26-06-18  CRISIL A+/Stable  09-11-17  CRISIL A+/Stable  27-10-16  CRISIL A/Stable  09-11-15  CRISIL A-/Stable  -- 
            08-05-17  CRISIL A+/Stable  13-10-16  CRISIL A/Stable       
Non Fund-based Bank Facilities  LT/ST  350.00  Withdrawn  26-06-18  CRISIL A1+  09-11-17  CRISIL A1  27-10-16  CRISIL A1  09-11-15  CRISIL A2+  -- 
            08-05-17  CRISIL A1  13-10-16  CRISIL A1       
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
Cash Credit 1200 Withdrawn Cash Credit 1200 CRISIL A+/Stable
Letter of Credit 350 Withdrawn Letter of Credit 350 CRISIL A1+
Long Term Loan 1817.71 Withdrawn Long Term Loan 1817.71 CRISIL A+/Stable
Total 3367.71 -- Total 3367.71 --
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 Cotton Textile Industry
CRISILs Criteria for Consolidation

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