Gayatri Projects (GPL), an infrastructure company on Wednesday said the rating agency Care Ratings has upgraded company's credit rating for bank facilities.

The long term bank facilities rating has been revised to CARE B / Stable (Single B, Outlook: Stable) from CARE D (Single D).

The short term bank facilities rating has been revised from CARE D to CARE B /Stable /CARE A4.

The revision in the rating assigned to the bank facilities of the Gayatri Projects (GPL) is on account of regularization of delays in debt servicing and subsequent improvement in liquidity.

The ratings are constrained by leveraged capital structure, stable operating income with decline in margins, moderate operating cycle, high exposure in group companies/subsidiaries in form of loans & advances and corporate guarantees.

The ratings also factor significant experience and track record of promoters in execution of construction contracts, healthy and geographically diversified order book position with long term revenue visibility, gradual increase in asset base with low reliance on sub-contracting and stable industry outlook.

Shares of the company gained Rs 1.5, or 3.59%, to trade at  Rs 43.25.  The total volume of shares traded  was  251,446 at the BSE (12.52 p.m., Wednesday).