Moody's Investors Service (Moody's), a global credit rating agency, has downgraded the corporate family rating of Lodha Developers Private Ltd (LDPL) to B2 from B1.
The global credit rating agency has also downgraded the senior unsecured debt rating of US dollar denominated bonds issued by Lodha Developers International Ltd and guaranteed by LDPL to B2 from B1.
The outlook on the ratings is negative.
"The downgrade reflects our expectation that the operating environment for the Indian real estate sector will continue to remain weak post the demonetisation exercise that took place in November 2016," said Saranga Ranasinghe, a Moody's Assistant Vice-President and Analyst.
"As a result, LDPL's financial profile will no longer be consistent with the previous B1 corporate family rating."