CARE reaffirms 'BBB+/stable' rating on Makers Laboratories' long term bank facilities

The bank facilities of the Company continues to derive comfort from the promoter’s association with IPCA Laboratories and long-standing experience of promoters in the Pharmaceutical industry.

Mar 23, 2021 10:03 IST India Infoline News Service

CARE Ratings has reaffirmed the ratings on long term bank facilities worth Rs12cr to CARE BBB+ with Stable outlook of Makers Laboratories Limited.

The Rationale report states that rating assigned to the bank facilities of Makers Laboratories Limited (MLL) continues to derive comfort from the promoter’s association with IPCA Laboratories Limited (IPCA) and long-standing experience of promoters in the Pharmaceutical industry.

The ratings also take account of acquisition of Resonance Specialties Limited by MLL in September, 2020 and its impact on MLL’s financial and business risk profile. 

For arriving at the ratings, CARE has considered the standalone financial of MLL and deriving support from its linkages with IPCA Laboratories Limited. Both the entities have sizable common shareholding pattern.

Makers Laboratories was currently trading at Rs266.50 per piece up by Rs1.7 or 0.64% from its previous closing of Rs264.80 per piece on the BSE, at around 10:55 AM.

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