Fitch ups Kutch Railway loans to BBB+(ind)

Fitch Ratings said it upgraded Kutch Railway Co. Ltd.'s national long-term project bank loans to BBB+(ind) from BB+(ind).

The outlook is positive.

The upgrade reflects the company's better-than-anticipated financial and operating performance in the last year and the significant reduction in project debt, according to the agency.

Concerns center around the lack of working capital lines, which may strain liquidity, should there be delays in realizing revenue payments, the agency said.

Risks are somewhat mitigated by the reduction in debt load brought about by the improvement in performance over the past 15 months or so, Fitch noted.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.