Anupam Rasayan's Credit Ratings Continued on Watch Developing by Crisil
Anupam Rasayan's credit ratings on ₹1620 Crore bank facilities and ₹160 Crore NCDs remain on Crisil A+/Watch Developing. This follows the acquisition of Bliss GVS Pharma, expected to be funded by debt and equity. The acquisition is anticipated to conclude in September 2026. Revenue rose to ₹2,365 Crore in FY26.
The 'Watch Developing' status on credit ratings indicates potential for rating changes based on future developments related to the acquisition and its funding. This can influence borrowing costs and investor confidence, making the impact medium.
The credit ratings have been continued on 'Watch Developing' due to the ongoing acquisition and its funding structure. While the company's business and financial profiles are strong, the uncertainty surrounding the acquisition's financing and approvals warrants a neutral sentiment.
Anupam Rasayan India Limited (ARIL) announced that Crisil Ratings Limited has continued its ratings on the company's bank facilities and non-convertible debentures. The total bank loan facilities rated amount to ₹1620 Crore. The long-term rating remains Crisil A+/Watch Developing, and the short-term rating is Crisil A1/Watch Developing. Additionally, the ₹160 Crore Non-Convertible Debentures also continue to hold a Crisil A+/Watch Developing rating. These ratings were placed on 'Watch Developing' following ARIL's announcement of acquiring a 43.3–48.2% equity stake in Bliss GVS Pharma Ltd. The acquisition, expected to be funded through a mix of debt and equity, is slated for completion in September 2026. Crisil Ratings will continue to monitor the funding and approval process to resolve the watch.
The rating rationale highlights ARIL's stable business risk profile, with revenue increasing to ₹2,365 Crore in fiscal 2026 from ₹1,439 Crore in fiscal 2025, driven by improvements in the agrochemical segment and ramp-up of pharma and polymer divisions. However, the operating margin declined to 22.19% in fiscal 2026 from 27.67% in fiscal 2025 due to increased costs. The working capital cycle saw improvement, with inventory days reducing and receivables falling. The company has a strong market position in custom synthesis and specialty chemicals, diversified revenue streams, and backward integration through the acquisition of Tanfac Industries Ltd. The financial risk profile remains healthy, supported by a strong capital structure and robust debt protection metrics.
Key weaknesses include working capital-intensive operations and susceptibility to forex rate volatility and competition. Liquidity is strong, supported by expected net cash accrual and existing cash reserves.
A plain-language summary of a public exchange filing by Anupam Rasayan India Limited. Read the original for the full detail.