Credit rating agency, CARE has reaffirmed ‘AA+’ rating to Capital First’s long term bank facilities worth Rs 7970 crore. The rating agency has also reaffirmed ‘AA+’ rating to the company’s short term bank facilities worth Rs 275 crore.
The ratings factors in the strengths that the company derives from its majority shareholder, Warburg Pincus Plc, the company’s experienced management, comfortable capitalization levels, comfortable asset quality parameters and liquidity position. The rating is constrained by the moderate seasoning of the company’s retail portfolio given that it is relatively newly originated and concentration risk in its wholesale portfolio.
Capital First is an MSME and consumer financing company which provides debt financing to these segments and also offers home loans, two wheeler loans and durable loans to entry and mid-level salaried employees of corporates.
