Inox Wind on Friday said that CRISIL has upgraded its ratings on the long-term and short-term bank facilities and has revised its outlook from stable to positive.
CRISIL has upgraded its ratings from Crisil BBB to Crisil BBB+ (long-term rating), Crisil A3+ to Crisil A2 (short-term ratings) and outlook has been revised from stable to positive in relation to ratings of its banking facilities, Inox Wind Ltd said in a statement.
The rationale for upgrading Inox Wind's outlook reflects CRISIL's expectation of an improvement in business risk profile to be driven by higher revenue and cash accrual from execution of auction-based orders and steps taken by the promoters during fiscal 2023 to reduce debt which has led to improvement in financial profile, it stated.
Wind business has successfully raised Rs 740 crore through an initial public offering and offer-for-sale of Inox Green Energy Services Ltd, it stated.
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The proceeds of the fundraise were largely used to pare down debt.
Financial profile was further supported by fund infusion of Rs 623 crore from promoters to repay capital advances due to Gujarat Fluorochemicals Ltd.
The upgrade in outlook of ratings reflects Inox Wind's market position in the auction regime, focus on cost efficiencies, healthy auction-based order book and robust execution capabilities, it stated.
Inox Wind's manufacturing capacity stands at 1,600 MW per annum.
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