Shares in Indiabulls Housing Finance traded higher by up to 2% in Wednesday's session (September 16, 2020) to day's high of Rs. 189.5 after the company on Tuesday said Brickwork Ratings has assigned short-term rating of A1 plus. This new rating is refletive of adequate safety as well as low credit risk.
Long term rating for the firm has been moved higher to AA plus which suggests of high safety as well as low credit risk.
The rating committee of Brickwork Ratings has assigned short term rating at 'BWR A1+'. The long term rating has been reaffirmed at 'BWR AA+', the company said in the regulatory filing.
The long term rating reaffirmation was on account of long-term liquidity position of the company, comfortable capitalisation, established market positions as one of the largest housing finance companies among others, it added.
The company's total CRAR (capital to risk weighted assets) comfortably stood at 27.94 per cent with Tier 1 CRAR of 21.08 per cent, it said.
Also the company's standing in terms of professional management, experienced promoters as well as improvement on its corporate governance has also helped the rating firm to up the company's rating.
The company via the recent QIP offer and stake sale in OakNorth Bank amassed a fortune of Rs. 1205 crore.