Gulf Oil Lubricants India Ltd has informed in a filing to BSE that the company's credit rating has been upgraded by ICRA.
ICRA has upgraded the long-term rating from [ICRA]A (pronounced ICRA A) to [ICRA]A+ (pronounced ICRAA plus) and the short-term rating from [ICRA]A1 (pronounced ICRAA one) to [ICRA]A1+ (pronounced ICRAA one plus) assigned to the fund based limits and non-fund based limits of Gulf Oil Lubricants India Limited (GOLIL) aggregating to Rs. 392.00 crore (enhanced from Rs. 345.00 crore).
The outlook on the long-term rating is Stable. ICRA has also withdrawn the long-term rating assigned to the Rs. 15.00 crore term loans of GOLIL, as there is no amount outstanding against the same.
As per Rating Rational released by ICRA, this up gradation in the long term and short term ratings reflects the company's consistent healthy cash accruals generated in the business which has led to strong debt coverage metrics and comfortable capital structure and liquidity position for the company.
Meanwhile, shares of the company were trading at Rs 496.40 a piece, down 1.26 per cent from the previous close on BSE.