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CARE revises ratings of Bhushan Steel’s bank facilities

27 Dec 2013 Evaluate

Credit rating agency, CARE has revised ‘A’ rating to Bhushan Steel’s long term bank facilities worth Rs 29676.02 crore from A+, ‘A1’ rating to company’s Short term Bank Facilities (Working Capital) worth Rs 5,184 crore from A1+, ‘A2+’ rating to company’s Short term Bank Facilities (Short-term Loans) worth Rs 1000 crore from A1 and ‘A-’ rating to company’s Subordinate Debt worth Rs 1000 crore from A.

The revision in the ratings of the bank facilities of BSL takes into account the moderation in the company’s credit risk profile characterized by lower than envisaged gross cash accruals during H1FY14 aggravated by slower than expected ramping-up of operations of Orissa phase-III expansion project.

Bhushan Steel, formerly known as Bhushan Steel & Strips, is one of the leading players in the steel industry with steel making capacity of 2.2 Million Tonnes Per Annum (MTPA).

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