Reliance Power Thursday said it disagrees with the revision in its long-term rating by ICRA to 'C issuer not cooperating', adding that it continues to show strong operational performance.
ICRA cited deterioration in the company's financial position coupled with its stretched liquidity profile for the rating revision. The short-term rating remains unchanged at 'A4 issuer not cooperating'.
"We inform that ICRA Limited (ICRA) has revised the long-term rating on rated instruments of the company to 'C issuer not cooperating'," Reliance Power said in a regulatory filing.
However, the company said it believes that ICRA has not appropriately factored in facts while revising the rating.
"The company respectfully disagrees with the revision in the rating," Reliance Power said, adding that it continues to show strong operational performance.
"Sasan UMPP recorded highest PLF in the country at 95 per cent in FY'19. Rosa Power Project has been operating at high availability of 89 per cent," Reliance Power said.
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With EBITDA of Rs 4,263 Crore, EBITDA margin is around 50 per cent, which is one of the best in the industry. Excluding one-time exceptional items, the company's PAT for the year stands at Rs 197 crore, Reliance Power added.
In addition, operating projects are close to achieving regulatory outcomes aggregating to Rs 5,000 crore, it said.
The company further said it continues to pursue its other monetisation initiatives in terms of enforcement of arbitration award and sale of coal concessions in Indonesia and transfer of SPV for Krishnapatnam UMPP to PFC or an entity identified by PFC.
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