MUMBAI:
L&T Finance Holdings Limited (LTFH), India’s leading Non-Banking Finance Company (NBFC), and its subsidiaries, L&T Finance Ltd (LTF), L&T Infrastructure Finance Company Ltd (LTIF) and L&T Housing Finance Ltd (LTHF) have received an upgrade in credit rating from AA+ (Stable) to AAA (Stable) from ICRA Limited (A Moody’s Investors Service Company) for its long term debt instruments.
ICRA AAA rating is considered to have the highest degree of safety regarding timely servicing of financial obligations. Such instruments carry lowest credit risk. ICRA Ratings has considered credit strengths like strong management team, diversified operations with consolidated entities, strong financial flexibility in raising funds at competitive rates and strong parentage, as few of the key rating drivers for this upgrade.
Earlier this year, India Ratings & Research Private Ltd assigned, and CARE Ratings Ltd upgraded the ratings on the long term debt instruments to ‘AAA’ of LTFH and its subsidiaries, LTF, LTIF and LTHF. This upgrade by credit rating agencies is an endorsement to the credibility that the Company has earned based on its performance in the past 9 quarters, and a strong risk framework that has been put in place.
Speaking on the upgrade Dinanath Dubhashi (Managing Director and CEO, LTFH) said, “This rating upgrade is a very positive development and an acknowledgement to the management’s clear intent and focus on delivery. We will continue to maintain steady growth, and minimize sigma by tightly managing all the families of risk.”
