Ind-Ra assigns credit rating to Rossell India's facilities worth Rs225.90 crore; stock soars ~5%

12 Jul 2022 , 02:51 PM

Rossell India Limited informed that its credit rating, in respect of various Credit facilities provided by Banks worth Rs225.90 crore, has been completed by India Rating and Research.

India Rating and Research is a Fitch group company and has reviewed various financial instruments of Rossell to assign a suitable rating.

The Rating Agency assigned ‘IND A-/Stable/IND A2+’ rating to the company’s fund-based facilities worth Rs187 crore.

Further, it has assigned an ‘IND A2+’ rating to the company’s non-fund based facilities worth Rs4 crore.

Company’s term loan worth Rs34.90 crore has been given an ‘IND A-’ rating along with a Stable Outlook for the same.

Key Rating drivers include Established Position in Tea Business, Revenue Diversification Reduces Susceptibility to Cyclicality in the Tea Business, Higher Volumes to Cushion the Impact of Lower Tea Prices on EBITDA in FY23, Volatility in Techsys Division’s Profitability, and Comfortable Credit Metrics.

Rossell India is currently trading at Rs188 up by Rs8.05 or 4.47% from its previous closing of Rs179.95 on the BSE. The scrip touched intraday high and low of Rs192.65 and Rs180 respectively.