CRISIL has assigned its 'AA+/Stable' rating to the Rs 20-billion retail bond issue of Indiabulls Housing Finance (IBHFL), and has reaffirmed its ratings on the company's existing debt instruments and bank facilities at 'AA+/Stable/A1+'.

For arriving at its ratings, CRISIL has combined the business and financial risk profiles of IBHFL and its wholly owned subsidiaries Indiabulls Infrastructure Credit (IICL), and Indiabulls Finance Company (IFCPL) because of their high degree of operational and managerial integration and the shared brand name.

CRISIL believes that IBHFL's financial risk profile will remain strong over the medium term, supported by its robust capitalisation and comfortable earnings profile. The company is also expected to maintain a stable business risk profile over this period, given its strong focus on the retail mortgage segment and its diversified resource base.

The outlook may be revised to 'Positive' if IBHFL significantly scales up its retail mortgage finance business through sustained growth over a period of time while maintaining strong profitability and healthy asset quality. Conversely, the outlook may be revised to 'Negative' in case of a lower-than-expected growth in the company's mortgage business, or significant deterioration in its asset quality or profitability.

Shares of the company gained Rs 4.30, or 0.93%, to trade at  Rs 463.15.  The total volume of shares traded  was  33,778 at the BSE (12.55 p.m., Thursday).