The credit rating agency, ICRA has revised JSW Steel’s Long Term (Bank facilities, Non-Convertible Debentures) rating to ‘AA-’ Outlook (Negative) from ‘AA’ Outlook (Negative). ICRA has maintained ‘A1+’ rating for Short Term (Bank facilities, Commercial Paper).
The change in the rating takes into account weaker than anticipated financial performance due to moderation in domestic demand and weak steel prices and expected increase in leverage in the near to medium term owing to the proposed acquisition of Bhushan Power and Steel (BPSL).
JSW Steel is one of the largest steel manufacturing companies in India having units in Karnataka and Maharashtra producing crude steel, long steel and flat steel products.
