Credit rating agency, ICRA has assigned a long-term rating of ‘AA+’ to the proposed Rs 300 crore non-convertible debenture (NCD) programmes of Godrej Consumer Products (GCPL). The rating agency has also upgraded the long-term rating for the Rs 250 crore non-convertible debenture programme of the company to ‘AA+’ from ‘AA’. The outlook on the long-term ratings is stable.
ICRA has also upgraded the long-term rating to’AA+’ and reaffirmed the short-term rating of ‘A1+’ to the Rs 30.00 crore secured, fund based bank limits, Rs 170.00 crore secured, non-fund based bank limits, and Rs 1,025.00 crore unsecured, fund based and non-fund based bank limits of GCPL. The outlook on the long-term rating is stable.
Further, ICRA has reaffirmed the short-term rating of ‘A1+’ to the Rs 50.00 crore short-term debt/ Commercial Paper programme of the company.
The upgrade in the long-term rating takes into account the strong financial profile of the company as reflected in its healthy cash accruals on the back of its strong presence across the three core categories (personal care, home care and hair care) and across the three geographies of focus (Asia, Africa and Latin America); comfortable consolidated profitability, capital structure and debt coverage indicators despite the recent large scale acquisitions; and healthy liquidity in the form of sizeable cash and bank balances.
GCPL is a leader among India's Fast Moving Consumer Goods companies, with leading Household and Personal Care Products. Its brands include Good Knight, Cinthol, Godrej No. 1, Expert, Hit, Jet, Fairglow, Ezee, Protekt and Snuggy, among others, which are household names across the country.
| Company Name | CMP |
|---|---|
| Hindustan Unilever | 2241.10 |
| Godrej Consumer Prod | 1108.20 |
| Dabur India | 442.10 |
| Colgate Palmol. (I) | 2106.20 |
| P&G Hygiene | 10006.55 |
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