Mumbai, Sept 20:
India Ratings has downgraded Kalyanpur Cement Ltd’s Rs 117.3 crore zero-coupon non-convertible debentures (NCDs) to national long-term ‘IND D’ from ‘IND C’.
The downgrade reflects the cement company's delays in the repayment of the June 2012 instalments of the NCDs. The delays are as a result of the company’s weak operating performance as indicated by EBITDA losses of around Rs 45.41 crore in FY12 (FY11 losses were Rs 1.53 crore).
As to what could trigger a rating action, the rating agency has said future developments that may lead to positive rating action include regular repayment of installments for at least two quarters.
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