CRISIL has assigned 'BBB+/Stable/A2' ratings on the bank facilities of Shilpi Cable Technologies. The ratings continues to  reflect Shilpi group's established market position, marked by its diverse product portfolio and reputed clientele.

The ratings also factor in the group's comfortable financial risk profile, supported by its average capital structure and comfortable debt protection metrics. These rating strengths are partially offset by the Shilpi group's large working capital requirements and exposure to risks related to intense competition.

CRISIL believes that the Shilpi group will maintain a stable credit risk profile over the medium term, on the back of its diversified product portfolio and healthy customer relationships.

The outlook may be revised to 'Positive' in case of improvement in working capital management along with improvement in profitability leading to improvement in financial risk profile.

Conversely, the outlook may be revised to 'Negative' if the group's financial risk profile weakens because of considerable pressure on its operating profitability and revenue, or substantial debt-funded capital expenditure, or higher than expected increase in working capital management.

Shares of the company gained Rs 3.85, or 4.5%, to trade at Rs 89.40. The total volume of shares traded was 36,285 at the BSE (11.09 a.m., Thursday).