Credit rating agency, CARE has reaffirmed ‘A+’ rating to Apar Industries’ long-term bank facilities worth Rs 600 crore. The rating agency has also reaffirmed ‘A+/ A1+’ rating to company’s Long/Short term Bank Facilities worth Rs 3375 crore. The ratings of the bank facilities of Apar Industries (AIL) continue to draw strength from the wise experience of the promoters, expected improvement in the order book position (especially in the conductors segment), established market position of the company in the product segments it operates in along with long-term relationship with customers and diversified revenue profile. However, the ratings are constrained by the inherent business risk on account of its exposure to the raw material price risk, foreign currency volatility and increasing competition in the industry.
AIL primarily operates in two segments i.e. transmission & distribution overhead conductors and transformer and specialty oils (TSO). It is the second-largest manufacturer of power conductors in India. The company is also engaged in the manufacture of electrical and telecom cables.
