Credit rating agency, CARE has reaffirmed ‘AA-’ rating to Welspun India’s long term bank facilities worth Rs 3552.45 crore and ‘A1+’ rating to short term bank facilities worth Rs 393.82 crore. Further, the rating agency has also reaffirmed ‘A1+’ rating to the company’s Commercial Paper worth Rs 300 crore.
The reaffirmation of ratings factors in sustained growth in revenue, improvement in the profitability as well as capital structure in FY16 (refers to period April 01to March 31), increasing level of vertical integration and timely progress made on its expansion-cum-backward integration project. Moreover, the ratings also take into consideration the reduction in geographical and customer concentration risk to the overall business of the company.
Welspun India is one of the largest manufacturers and exporters of bed & bath textile products globally. The company’s portfolio comprises wide range of home textile products such as terry towels, bed linen (basic bedding and decorative bedding) rugs and bathrobes.
