Credit rating agency, CARE has reaffirmed ‘BBB-’ rating to Shiva Texyarn’s long term bank facilities worth Rs 309.63 crore and ‘A3’ rating to company’s Short term Bank Facilities worth Rs 72.10 crore. The rating agency has also reaffirmed ‘BBB-/ A3’ rating to company’s Long/Short term Bank Facilities worth Rs 30.00 crore.
The company has received the said rating on the back of its improvement in the operational and financial performance in FY13 (refers to the period April 1 to March 31) marked by a growth in the operating income and improvement in profitability metrics.
Shiva Texyarn is primarily engaged in the manufacture and marketing of yarn to both the domestic and export markets with an aggregate spinning capacity of 89,472 spindles. Until FY08, STL was purely into spinning; however, in the last five years, STL has established a knitting unit with 41 knitting machines and garments unit with 120 sewing machines.