CRISIL LTD Upgrades Muthoot FinCorp’s Rating Scale to A+
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  • CRISIL upgrades Muthoot FinCorp’s rating to A+

    CRISIL upgrades Muthoot FinCorp’s rating to A+

    CRISIL has upgraded its rating of Muthoot FinCorp Ltd from ‘ A’ (Stable) to ‘A+ (Stable)’.

    The CRISIL rating upgrade underscores a high degree of safety regarding the timely servicing of the company’s NCDs (non-convertible debentures) — they carry very low credit risk, a statement issued here said.

    Thomas John Muthoot, Chairman and Managing Director, said: “The rating upgrade by CRISIL is very significant in strengthening the confidence of our lenders and retail investors. The upgrade will also enable the company to widen its retail and corporate investor base.”

    The rating signals that Muthoot FinCorp’s business profile will continue to be supported by its established market position in the gold loan segment, strengthened by the promoters’ extensive experience in the gold loan industry, healthy asset quality, and improving earnings profile in the gold loan portfolio, he said.

    During the financial year, the company, through three public issues, has raised NCDs to the tune of ₹1,138.59 crore. In addition, the company issued NCDs via private placement to banks amounting to ₹1,750 crore and raised market-linked debentures (MLD) of ₹997 crore.

    The company’s gold loan business AUM (assets under management) grew 24 per cent during the last three-quarters of the current fiscal. It is expected to grow by 28 per cent for FY2020-21. The company has maintained healthy asset quality over the years, as reflected in its gross non-performing assets of 1.0-1.8 per cent under the gold loan portfolio being maintained during the past five fiscals.

    In the current financial year, MFL has disbursed about ₹38,000 crore to 75 lak customers, of which 45 lakh are nano, micro or small enterprises.

    The rating upgrade is the reflection of the company’s healthy performance in its core gold loan portfolio, its established position in the country’s gold loan business, its strong fundamentals, its healthy performance manifested by steady growth in assets under management, sound asset quality and increased earnings profile, the company claimed.

    Originally Posted on: thehindubusinessline.com - Muthoot FinCorp CRISIL Rating

    Harshit Agrawal 11-Apr-2021 498 Views

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Harshit Agrawal -
Harshit Agrawal heads digital marketing for Muthoot Pappachan Group from its head quarter based in Kochi, India. He has managed digital marketing & activations for brands such as Maruti Suzuki, Hero MotoCorp, Bharti Airtel, Google, Mankind Pharma...read more

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It has been brought to our notice that certain individuals are receiving fraudulent emails, phone calls, and messages, etc, about job vacancies with Muthoot FinCorp and they are also being asked to deposit money in certain bank accounts.

Please be informed that such communications and practices are completely mala fide and sent with an intent to defraud the public and bring disrepute to the goodwill of our Company. Our Company does not ever demand any fee/money against recruitment nor for the application/interview process.

The public at large is hereby cautioned not to be misled by any such communications received through emails, message or any other communication mode.

Please contact us for further information about the genuineness or otherwise of such communications at:

Muthoot FinCorp Ltd.

MG Road, Near Spencer's, Trivandrum - 695 039

Phone: 0471 4911550 / 0471 4911430

Email: [email protected]

172.70.34.240