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Bhel slips after CRISIL downgrades rating

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Capital Market
Last Updated : Nov 22 2019 | 10:31 AM IST

Bharat Heavy Electricals (Bhel) slipped 0.9% to Rs 54.90 after credit rating agency downgraded company's ratings.

Bhel in an exchange filing said that credit rating agency, CRISIL, has downgraded the rating on the long-term bank facilities of the company to 'CRISIL AA' from 'CRISIL AA+' while revising the outlook from 'Negative' to 'Stable'. The rating on the short-term bank facilities have been reaffirmed at 'CRISIL A1+'.

The revision in rating reflects Bhel's weaker than expected operating performance and the continued decline in net cash levels of the company during the first half fiscal of 2020.

Meanwhile, the NSE Nifty 50 index was trading 15.25 points lower at 11,953.15.

Bhel is the largest engineering and manufacturing enterprise in India in the energy and the infrastructure sector with the capability to manufacture the entire range of power plant equipment. The Government of India holds 63.17% in the company as of September 2019.

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First Published: Nov 22 2019 | 9:33 AM IST

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