Credit Analysis & Research (CARE) reaffirmed 'A' ratings to Rolta India's long-term bank facilities of Rs 25.46 billion.
CARE reaffirmed 'A1' ratings to the company's short-term bank facilities of Rs 3.68 billion.
The reaffirmation of ratings assigned to bank facilities of Rolta India (ROIL) factors in successful integration of AT Solutions Group which supplements company’s established track in providing solutions in niche Information Technology (IT) segment, higher contribution of Intellectual Property (IP) led business and healthy order book position providing medium to long-term revenue visibility.
However, the rating strengths continue to be tempered by moderate financial risk profile on account of large debt funded acquisitions and exposure to foreign exchange risk.
Ability to improve overall financial risk profile and any large debt funded acquisition are key rating sensitivities.
