Crisil Ratings has upgraded its ratings on Adani Power’s Rs 38,000 crore of bank loan facilities to ‘AA-‘, saying the business and financial risk profile of the company has seen “strong improvement”.
The loan facilities were rated ‘A’ with a stable outlook earlier. “The rating upgrade follows the strong improvement in the business and financial risk profiles of APL,” Crisil Ratings said in a report.
The upgradation is driven by better-than-expected operating performance backed by timely commissioning and ramp-up of the Godda power plant (1.6 GW), Mahan power plant (1.2 GW), full recovery of pending regulatory dues related to claims for fuel costs as pass-through under change in law clauses of existing power purchase agreements (PPAs) and continued improvement in receivables, it said.
