CARE upgrades Magma Fincorp’s rating

KOLKATA: CARE has upgraded the ratings of Magma Fincorp for all its debt obligations.

For bank facilities, the rating has been upgraded to AA + from AA, that for subordinated debt has also been upgraded AA from AA -. For perpetual debt instrument, CARE has upgraded the ratings from CARE A + to CARE AA -, while that for secured long term debt has been upgraded from CARE AA to CARE AA +.

Commenting on the upgrade, Magma Fincorp CFO V Lakshmi Narasimhan said: “The upgrade is a reflection of Magma’s all round performance over several years on various aspects like portfolio quality, robust growth in disbursements, Consistent profitability and leveraging. This upgrade should reduce our cost of funds”.