Mahindra & Mahindra (M&M) has been assigned 'Baa3' foreign currency and local currency issuer rating with stable outlook by Moody's Investors Service, a leading international credit rating agency.

With this, the company is now amongst a very few select Indian corporates who enjoy investment grade rating. India's sovereign rating also stands at 'Baa3'.

The rating reflects the company's diversified business profile, leading market position in India, long track record of successful operations, strong corporate governance practices, financial flexibility and conservative financial policies.

Shares of the company declined Rs 5.75, or 0.45%, to trade at Rs 1,279.60. The total volume of shares traded was 6,520 at the BSE (10.26 a.m., Thursday).