Credit rating agency, CARE has revised rating of Era Infra Engineering’s long-term bank facilities worth Rs 3048.93 crore to A- from BBB. The rating agency has also revised rating of the company’s short term bank facilities to A3 from A1.
The company got the said rating on the back of fall in cash accruals in FY12, leading to weakening of the coverage indicators as well as delays in completion of the existing Build Operate Transfer (BOT) road projects necessitating higher commitments from the company which has increased the working capital intensity of the operations.
Era Infra Engineering, incorporated in September 1990, is the flagship company of the Era Group. The company is a growing construction company with a pan-India presence and has experience in various kinds of construction projects such as power, housing, road, industrial and aviation.
