India Ratings takes 3 finance firms off rating watch negative list

MMFSL maintained sufficient liquidity buffers to make timely debt repayments, even when collections declined

India Ratings took three finance companies — Shriram City Union Finance (SCUF), Shriram Housing Finance, and Magma Fincorp — off the rating watch negative (RWN) status and affirmed rating on improvement in their financial profile. It also affirmed rating for Mahindra & Mahindra Financial Services (MMFSL).

For SCUF (AA), the agency said the rating affirmation and the resolution of the RWN reflect the improving trend in its collections over April-October. The ratings have been affirmed due to an overall improvement in the macro-economic and funding situation as well as a significant pick-up in its collections, it said. Shriram Housing Finance (AA)