Credit rating agency, CARE has revised rating of Shalimar Paints’ long term bank facilities worth Rs 134 crore to ‘BBB+’ from ‘A’. The rating agency has revised rating of company’s short term bank facilities worth Rs 20.75 crore to ‘A3+’ from ‘A1’. Meanwhile, the rating agency has also revised rating of company’s Long/Short-term bank facilities worth Rs 76.25 crore to ‘BBB+/A3+’ from ‘A/A1’.
The revision in the ratings of Shalimar Paints (SPL) takes into account the deterioration in financial performance in FY14 and Q1FY15 marked by decline in profitability and interest coverage and deterioration in overall gearing and debt protection metrics.
Shalimar Paints is one of the leading paints manufacturing companies in India. The company has three manufacturing facilities located Howrah, Nasik and Sikandrabad.
