Ind-Ra upgrades Torrent Pharma's long-term rating to ‘Ind AA+/Stable'

29 Apr 2022 , 10:36 AM

Torrent Pharmaceuticals Limited informed that India Ratings ·and Research Private Limited has upgraded the long-term credit rating of Term Loan and Non-Convertible Debentures of the Company to ‘IND AA+/Stable’ from ‘IND AA/Positive’.

The total instruments reviewed by the rating agency are worth Rs12.42 billion, which has been reduced from the existing Rs14.09 crore.

The agency continues to take a consolidated view of Torrent and its subsidiaries while arriving at the ratings, because of the strong legal, operational, and strategic linkages between them.

The upgrade reflects Torrent’s improving business mix towards the higher return on capital employed (RoCE) India business, led by the above-average industry growth in key therapy areas.

Continued strong market growth in the India business coupled with an improvement in the scale and profitability of the other businesses (Germany, Brazil, US), on a sustained and consolidated basis, will lead to positive rating action. 

Torrent Pharma is currently trading at Rs2,797.30 up by Rs13.05 or 0.47% from its previous closing of Rs2,784.25 on the BSE. The scrip opened at Rs2,783.30 and has touched intraday high and low of Rs2,828.35 and Rs2,767 respectively.