ICRA migrates credit rating of Titan Company's bank facilities; stock marginally low

3 Jun 2022 , 10:13 AM

Titan Company Limited informed that ICRA Limited has assigned various credit ratings to the company’s debt instrument.

The rating agency has migrated the rating of the company’s fixed deposit programme worth Rs3,500 crore, from ‘MAAA’ to ‘ICRA AAA’. It has given a Stable Outlook for the fixed deposit programme.

ICRA mentioned that “the change is consequent upon the migration of the rating outstanding on the medium-term rating scale to the long-term rating scale which is as required under the SEBI Circular referred to in the Rating Rationale forming part of the Credit Rating Letter annexed herewith.”

The medium-term rating scale of ICRA was a 14-point scale, while the long-term rating scale is a 20-point scale.

ICRA has reaffirmed the rating for fund-based limits of the company at ‘ICRA AAA/Stable’. For non-fund-based limits, the rating was reaffirmed at ‘ICRA A1+’. The two facilities together are worth Rs1,700 crore.

Company’s commercial paper programme worth Rs1,500 crore was rated as ‘ICRA A1+’.

Titan Company is currently trading at Rs2,208.65 down by Rs12.7 or 0.57% from its previous closing of Rs2,221.35 on the BSE. The scrip opened at Rs2,240 and has touched a high and low of Rs2,245 and Rs2,208 respectively.