CRISIL updated Mahindra & Mahindra Credit Rating Upgraded to AAA

Good news for the home grown manufacturer as seeing the company’s recent growth, the rating agency CRISIL has upgraded Mahindra’s rating to AAA. The rating agency has assigned its highest AAA/Stable level of rating for the long-term bank facilities and Non-Convertible Debenture (NCD) programme of M&M. The agency also acknowledged the rating on M&M’s short-term facilities and debt programme at CRISIL as A1+.

The upgrade in the rating is in accordance with M&M’s market share, unique capability of developing new products and constantly maintaining and improving revenue diversity in the auto and farm equipment businesses. In a long run, the upgrade will reflects M&M’s healthy business profile coupled with CRISIL’s belief.  The agency believes that M&M will maintain a strong financial risk profile, backed by positive free cash flows and flexible financial arising from the significant market value of its holdings.

Mr. Anand Mahindra, Chairman, Mahindra Group on the upgradation of rating from CRISIL said, “This rating upgrade by CRISIL is of special significance, completing as it does the quick succession of recent upgrades by other rating agencies. For the first time in M&M’s history, four rating agencies have assigned us an AAA rating at the same point in time. It is truly a Rise moment for the Mahindra Group and is a key plank in the drive to achieve our 2021 brand aspiration.”

Mr. V.S. Parthasarathy, Chief Financial Officer, Group CIO & Member of the Group Executive Board, Mahindra & Mahindra Ltd., "M&M has always been a consistent performer and the rating upgrades by ratings agencies including CRISIL this year is a recognition of the Group’s outperformance and resilience in a challenging environment. We shall continue to strive to guard this highest rating and vindicate the faith that the stakeholders have shown in us over time.”