Adani Capital, the lending arm of business conglomerate Adani Group, has been assigned a AA-/Stable Long Term rating by CRISIL for its proposed long-term bank facilities of Rs 600 crore.
The rating factors in the expectation of strong support from the Adani Group, both on an ongoing basis and in case of distress. The rating also factors in Adani Capital’s comfortable capitalisation and experienced management, it said in a statement.
The latest CRISIL rating adds to the existing CRISIL A1+ rating for Adani Capital’s short-term bank facilities and debt instruments, it said.
The company intends to provide amounts ranging from Rs 1 lakh to Rs 25 to micro and small entrepreneurs. With 22 branches across 4 cities in Gujarat and Maharashtra, Adani Capital is also looking to add another 25-30 branches, the company said in a statement.
As of August 31, 2018, Adani Capital has a loan book of Rs 334 crore with its MSME and Corporate Finance portfolios contributing Rs 112 crore and Rs 222crore, respectively.
The company has also raised Rs 35 crore through its maiden Commercial Paper (CP) issuance in August 2018.