ICRA revises Triveni Engineering's long-term ratings outlook to 'Positive', ratings reaffirmed

Commercial Paper Programme worth Rs50cr has been reaffirmed to [ICRA] A1+.

Apr 09, 2021 09:04 IST India Infoline News Service

Triveni Engineering & Industries Ltd has informed the Exchange that ICRA has revised/reaffirmed the credit ratings for bank facilities & commercial paper programme of the Company.

The long term bank facilities has been reaffirmed to [ICRA] AA-. The outlook has been revised to Positive from Stable.

Commercial Paper Programme worth Rs50cr has been reaffirmed to [ICRA] A1+.

The rating outlook revision to Positive reflects the expected improvement in Triveni Engineering & Industries Ltd.’s (TEIL’s) revenues and debt coverage metrics. Further, the company recorded healthy profitability in FY2021 and is expected to maintain a strong credit profile in FY2022 as well.

The ratings continue to factor in TEIL’s forward integration into distillery and cogeneration, which would provide alternate revenue streams and cushion against the cyclicality from sugar business, to some extent.

On Friday morning trading session, Triveni Engineering and Industries was trading at Rs92.40 per piece up by Rs2.75 or 3.07% from its previous closing of Rs89.65 per piece on the BSE.

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