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India Ratings & Research upgrades rating of Gailantt Ispat’s Credit Facilities

28 Oct 2013 Evaluate

India Ratings & Research (Ind-Ra) has upgraded Gailantt Ispat’s (GIL) Long-Term Issuer Rating to 'BB-' from 'B'. The Outlook is Stable. The rating agency has also upgraded the rating of the company’s Fund-based working capital worth Rs 48.00 crore to 'BB-' from 'B'.

Non-fund-based limits worth Rs 22.50 crore, which were increased from Rs 6.62 crore have been upgraded to A4+ from A4 and Long Term Loans worth Rs 70.43 crore to 'BB-' from 'B', which were reduced from Rs 93.67 crore.

The upgrade reflects the likelihood of a substantial improvement in GIL's financial profile in FY14 and FY15 after the recent announcement of its merger with an associate company,

Gailantt Udyog (GUL). The merger is likely to be effective retrospectively from 1 April 2013. Ind-Ra expects GIL to leverage GUL's business for improvements in the credit profile. Gallantt Ispat is engaged in the manufacturing and marketing of Sponge Iron, Mild steel billets, Re-Rolled products (TMT bars and Mild Steel Structural) and wheat flour products.

Gallantt Ispat-Amalg Share Price

63.80 0.00 (0.00%)
03-Jun-2022 18:01 View Price Chart
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