ICRA reaffirms AA+ rating to fund based working capital limits of Hindustan Copper

Credit rating agency, ICRA has reaffirmed the AA+ rating to Rs 92.50 crore fund based working capital limits of Hindustan Copper. The outlook on rating is ‘stable’. The rating agency has also reaffirmed A1+ rating to Rs 100 crore non-fund based working capital limits of the company.

The reaffirmation of the ratings take into account the status of the company as the only integrated copper producer in India, with access to large reserves of copper ore in the country, the healthy financial position of the company characterized by healthy profitability and cash accruals, its debt free status and financial flexibility on account of a substantial cash and bank balance and liquid investments.

Hindustan Copper’s principal activities include mining of copper ore, concentration of copper ore into copper concentrate through a beneficiation process and also smelting, refining and extruding of the copper concentrate into refined copper in downstream saleable products.