ADD ANI AS A TRUSTED SOURCE
googleads
ANI Logo
Menu
Business

Fitch assigns Future Retail's final rating at CCC+ on liquidity pressures

Mumbai (Maharashtra) [India], May 8 (ANI): Fitch Ratings has assigned Future Retail Ltd (FRL) a final long-term issuer default rating (IDR) of CCC-plus.

ANI May 08, 2020 12:17 IST googleads

FRL's ratings may be downgraded further if liquidity risks increase.

Mumbai (Maharashtra) [India], May 8 (ANI): Fitch Ratings has assigned Future Retail Ltd (FRL) a final long-term issuer default rating (IDR) of CCC-plus.
At the same time, FRL's 500 million dollars 5.6 per cent senior secured notes due in 2025 have been assigned a rating of CCC-plus with a recovery rating of RR4.
"The final IDR and rating on the notes are one notch below our expected ratings of B-(EXP) assigned on April 2 due to the impact of coronavirus-related shutdowns on FRL's liquidity," it said in a statement.
"We have also removed the rating watch negative placed on the expected IDR on the same date. The final rating reflects that the majority of the cross-guarantees with fellow promoter group entity, Future Enterprises Ltd, have been extinguished."
The final rating reflects the continued risks relating to FRL's liquidity position as its business has been significantly affected by coronavirus-related shutdowns across India.
Fitch believes that FRL's liquidity remains reliant on the early release of working capital facilities by relationship banks and various government emergency measures, including the Reserve Bank of India moratorium on interest and principal payments -- due to expire on May 31 -- and the COVID-19 Emergency Line of Credit.
Currently, FRL is only able to sell its lower-margin essential items which have led to monthly sales declining by around 75 per cent in March and April from normal levels and continues to limit FRL's ability to generate cash to meet working capital requirements.
"However, we believe that expected future releases of working capital facilities and emergency lines are required to sustain the ongoing business and meet the payment of the coupon due on FRL's 500 million dollars senior secured bond on July 22," said Fitch. (ANI)

Get the App

What to Read Next

Business

Adani Foundation to connect 10 lakh women nationwide

Adani Foundation to connect 10 lakh women nationwide

The Adani Foundation, today, declared that in the next one year, it will connect one lakh women in Maharashtra with the Swabhimaan initiative. For the future, Adani Foundation has announced to connect 10 lakh women in India with the same initiative and make them strong.

Read More
Business

Govt Urges Citizens to Avoid Panic Booking

Govt Urges Citizens to Avoid Panic Booking

Amid global energy disruptions following the closure of the Strait of Hormuz, the government has assured that the domestic supply of LPG, petrol, diesel, kerosene, and natural gas remains stable, while citizens are urged to avoid panic booking and conserve fuel, said Sujata Sharma, Joint Secretary of the Ministry of Petroleum and Natural Gas, today.

Read More
Business

India Emerging as Stable Investment Anchor in Turbulent Global

India Emerging as Stable Investment Anchor in Turbulent Global

Mumbai (Maharashtra) [India], March 12: As military conflict in West Asia disrupts energy supplies through the Strait of Hormuz and global liquidity tightens, leading investors, policymakers and capital markets leaders gathered at IGF Mumbai 2026: Catalysing Capital to assess India's position in an increasingly fragmented global economy.

Read More
Business

Sarbabharatiya Sangeet O Sanskriti Parishad Convenes 48th Annual

Sarbabharatiya Sangeet O Sanskriti Parishad Convenes 48th Annual

Kolkata (West Bengal) [India], March 12: Sarbabharatiya Sangeet O Sanskriti Parishad officially commenced its 48th Annual Convocation yesterday, March 11, at the historic Mahajati Sadan, Kolkata. The three-day event, running from March 11 to 13, celebrates the institution's legacy of cultural service and its mission to bridge traditional heritage with a modernized future.

Read More
Business

Kody Technolab Ltd. Launches Medigo Robot

Kody Technolab Ltd. Launches Medigo Robot

Ahmedabad (Gujarat) [India], March 12: Kody Technolab Limited today announced the launch of Medigo Robot, a health screening robot developed to enable rapid preventive health assessments and expand access to routine screening across healthcare, public, and institutional environments.

Read More
Business

Finkurve Financial Services Limited (Arvog)

Finkurve Financial Services Limited (Arvog)

Mumbai (Maharashtra) [India], March 12: Finkurve Financial Services Limited (BSE: 508954), among leading Tech-first Gold Loan NBFC, announced that the Company has crossed Rs. 1,035 crore+ in Assets Under Management (AUM) surged by nearly 10x compared to FY23, marking a significant milestone in the company's growth trajectory within India's secured lending ecosystem.

Read More
Business

India: CPI inflation rises to 3.21% in February 2026

India: CPI inflation rises to 3.21% in February 2026

India's Consumer Price Index or retail inflation in February was recorded at 3.21 per cent, official data showed on Thursday.

Read More
Business

Faculty of Planning at CEPT University Invites Applications

Faculty of Planning at CEPT University Invites Applications

New Delhi [India], March 12: India is undergoing an intense phase of urban transformation, placing immense pressure on essential infrastructure, mobility, and public spaces across its cities. The scale and speed of this change demand urgent, informed, and future-ready responses that balance growth with environmental responsibility and social equity.

Read More
Business

Academic Leaders and VCs Explore AI's Impact on Higher Education

Academic Leaders and VCs Explore AI's Impact on Higher Education

New Delhi [India], March 12: As Artificial Intelligence reshapes industries, economies, and societies at unprecedented speed, Vice Chancellors across India are proactively preparing their institutions for the future. At I4IC 2026, a high octane Senior Leadership Workshop brought together top academic decision-makers to deliberate on AI's transformative impact on higher education.

Read More
Business

Authenticity, Adaptability, and the Future of Brand Communication

Authenticity, Adaptability, and the Future of Brand Communication

New Delhi [India], March 12: The essence of communication in an industry that is constantly evolving is surprisingly timeless. Whether it is about building a brand, creating trust, or navigating disruption, clarity of thought and authenticity of action remain fundamental. With rapid shifts in technology, evolving consumer expectations, and changing regulatory environments, today's business leaders are no longer just marketers or communicators. They are storytellers, strategists, and guardians of credibility. The true measure of sustainable brand growth lies in the ability to remain creative yet accountable, while imagining ideas that create meaningful impact.

Read More
Home About Us Our Products Advertise Contact Us Terms & Condition Privacy Policy

Copyright © aninews.in | All Rights Reserved.