Credit rating agency, CARE has revised ‘BBB+’ rating to GVK Power & Infrastructure’s Long-term Bank Facilities worth Rs 425 crore from ‘A-‘ and ‘BBB+/ A3+’ rating to Long-term/Short-term Bank Facilities worth Rs 120 crore which reduced from 200 crore from ‘A-/A2’.
The revision in the ratings of GVKPIL takes into consideration deterioration in financial performance of the company during FY13 and H1FY14; decline in operating performance of gas based power plants of the group, deterioration in capital structure of the company and delay in execution of projects under implementation in the hydro and thermal energy segments.
GVK Power & Infrastructure is engaged in infrastructure development in areas of power, airports and roads. Incorporated in 1994, the company till date has invested over Rs 5,000 crore in infrastructure projects.
