14,000

PROFILE
AA A1 + 12,000

10,000

BBB 70B
60B
50B
40B
30B
20B
10B
 Intellectual Leadership across Products
ICRA Limited, was setup in 1991 by leading financial/investment institutions, commercial banks and financial services companies
as an independent and professional investment information and credit rating agency.
Today ICRA & its subsidiaries together form the ICRA Group of Companies.

Moody’s Listing on NSE

Launch of
Credit Rating
1999 increases stake
to become largest
2006 & BSE Moody’s
increases stake
2011-12 Moody’s
increases stake to
2018
Services shareholder to 28.51% 50.06%

Moody’s invests Acquires ICTEAS, ICRA makes foray Moody’s

in ICRA ICRA Online & into international increases stake
1991 2001 Demerges 2007 market 2014 to 51.87%
IMaCS

RATING
• Credit Rating
• Bank Loan Rating GRADING
• Structured Finance Rating
• Issuer Rating • Real Estate Developers &
• Issuer Profile
•
Projects
MFI Grading
RESEARCH
•
•
Rating of SSIs/SMEs
Rating of Securitized Pools
• Construction Entities • Industry Research ICRA
• Loss estimation of ABS/MBS Pools
•
•
IREDA Grading
Education Institutes
• Economy Research GROUP
• Corporate Governance Rating • Customized Research
• Project Finance Rating • Credit Perspectives • Information Services/KPO
ICRA LIMITED

• EL rating for Infra Projects • Management Consulting

• Invit & REIT • Subsidiaries in Nepal & Sri
Lanka providing
• MF Rating
Rating/Grading services
• Insurance Claim Paying Ability
• Public Finance Rating

02
 Low Default Rates with Robust Rating Stability

Strong one-year rating stability

depicted across all investment grade
1 Year Transition Matrix for Long Term Ratings rating categories
for FY 2019

FY 2019 AAA AA A BBB BB B & Lower A high rating stability suggests that
AAA 97.80% 1.10% 0.00% 0.00% 0.00% 1.10%
ICRA’s rating decisions do not get
influenced by the stage of the
AA 2.80% 93.70% 3.20% 0.30% 0.00% 0.00% economic or the business cycle, but
A 0.00% 3.60% 91.10% 4.80% 0.00% 0.40% remain strongly focused on assessing
the credit worthiness of entities
BBB 0.00% 0.00% 4.50% 90.30% 3.90% 1.40%
through the cycle

Trend in the One-Year Default Rate in the Investment

Grade and Non-Investment Grade Rating Categories
25%
1 Year Transition Matrix for Long Term Ratings Avg.
for Past 10 Years 20%

Avg. of AAA AA A BBB BB B & Lower 15%

AAA 97.90% 1.90% 0.00% 0.00% 0.00% 0.20%

10%
AA 1.90% 95.30% 2.50% 0.20% 0.00% 0.10%
5%
A 0.00% 4.40% 90.20% 4.90% 0.20% 0.30%
0%
ICRA LIMITED

BBB 0.00% 0.00% 4.40% 88.20% 5.30% 2.10% FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019

Non-Investment Grade
*Rating stability is calculated by excluding the entities whose ratings were either Investment Grade
withdrawn or were moved to the “issuer Not Coopering”category during the year; The Above estimates are after adjusting for rating withdraw as and to the
N OT E

The figure includes medium-term ratings after mapping these to ratings on "Issuer Not Cooperating" category (as applicable) during the given time
horizons
the long-term scale.

03
 Finer Pricing for ICRA Rated Papers
AAA Category Spread
450

400

350

300
Spread over G-Sec

250

200

150

100

50

-
Jan-14 Jun-14 Dec-14 Jun-15 Nov-15 May-16 Oct-16 Apr-17 Oct-17 Mar-18 Sep-18 Mar-19

Issuance Month
ICRA LIMITED

Icra Spread Non Icra Spread Avg AAA Spread

No. of Icra rated issuances-323 No. of Non Icra rated issuances- 677
Avg. Spread (Icra) - 119 bps Avg. Spread (Non Icra) - 130 bps

04 Source: Fixed Coupon Primary Issuances from Bloomberg for the period Jan2014 to Mar2019
 Finer Pricing for ICRA Rated Papers
AA Category Spread
600

525

450
Spread over G-Sec

375

300

225

150

75

0
Jan-14 Jun-14 Dec-14 Jun-15 Nov-15 May-16 Oct-16 Apr-17 Oct-17 Mar-18 Sep-18 Mar-19

Issuance Month
ICRA LIMITED

Icra Spread Non Icra Spread Avg AA Spread

No. of Icra rated issuances- 450 No. of Non Icra rated issuances- 487
Avg. Spread (Icra) - 185 bps Avg. Spread (Non Icra) - 213 bps

 Source: Fixed Coupon Primary Issuances from Bloomberg for the period Jan2014 to Mar2019
05
 Leading Position in Bond Issuances
ICRA's Coverage in Rated Issuances

43%
CY 2015

148,640
347,757

46%
CY 2016

265,991
584,492

48%
CY 2017

306,554
636,310

44%
CY 2018

219,870
499,136

- 100,000 200,000 300,000 400,000 500,000 600,000 700,000

Icra Rated Issuances (Rs. Cr)

Source: Prime Database.
Total Issuances (Rs Cr)
ICRA LIMITED

06
 Leading Position in Bond Issuances
ICRA's Coverage in Top 10 Issuers
(in terms of value of debt issued)

300,000

73% 61%

266,813

199,750
250,000

200,000

66%

195,955

122,040
188,761
150,000

61% 124,207
118,887

100,000
Issuances by Top 10
72,763

50,000 Issuers (Rs. Cr)

- ICRA Rated Issuances in

CY 2015 CY 2016 CY 2017 CY 2018 Top 10 Issuers (Rs. Cr)

Source: Prime Database.

ICRA's Coverage in BFSI Sector

CY 2015 CY 2016 CY 2017 CY 2018

Share of BFSI in Total Issuance 65% 66% 69% 74%

ICRA LIMITED

ICRA’s coverage in
Total BFSI Issuance 49% 50% 50% 45%
07 Source: Prime Database.
 Leadership in Capital Markets Innovation

InvITs REIT PCE

• Rated 4 Invits • Rated the First REIT – • Credit Enhancement

including the First Blackstone Embassy given by an NBFC
Privately Placed Invit • Alternative long term • Exclusive charge on
(L&T IDPL) source of capital for identified pool of
• Underlying commercial RE receivables as
operational roads / sponsors additional security
transmission assets • Allows retail investors • Allows lower rated
• Gave Infra sponsors to invest in Issuers to access
access to long term commercial asset capital markets
institutional capital
including from
Insurance Cos.
ICRA LIMITED

08
 Leadership in Capital Markets Innovation

Lease Rental Replenishing Covered

Securitization Structure Bond

• Rated PTC issuance • India’s first • India’s first Covered

backed by lease securitization Bond transaction
rental receivables transaction with • Issued by a NBFC
from a highly rated replenishing structure with underlying
corporate • Issued by a NBFC vehicle loans
• Allowed Issuer to with vehicle loans exposure
raise off balance exposure • NCD investors have
sheet funding • PTCs backed by unlimited recourse on
underlying vehicle the issuer & recourse
loans on the bankruptcy
remote cover pool
assets if the issuer
defaults
ICRA LIMITED

09
 Recent Bond Market Transactions Rated

Reliance Air India Assets REIT Indus Towers Ltd

Industries Ltd Holding Ltd AAA AA+
AAA AAA 5,000 cr. 2,500 cr.
8,000 cr. 7,000 cr.

2019 2019 2018 2018

APSEZ RMZ Buildcon Pvt Ltd. Grasim Rainbow Devices Trust

AA+ BBB+(SO) AAA (OPC – Reliance Retail)
1666 cr. 1645 cr. 1500 cr. AAA (SO)
ICRA LIMITED

1500 cr.

2017 2018 2019 2018

10
 Recent Bond Market Transactions Rated

Kudgi Transmission Haldia Hero Fincorp Ltd Godrej Properties

Limited Petrochemicals AA+ Ltd
AAA (SO) AA- 800 cr. AA
1,500 cr. 1000 cr. 500 cr.

2017 2018 2018 2017

Tata Power Jaipur Mahua TRIL IT4 Pvt Ltd KRIBHCO Fertilizers
Renewable Tollway (Tata Reality) Ltd
AA- AAA(SO) A+(SO) AA(SO)
ICRA LIMITED

500 cr. 415 cr. 400 cr. 200 cr.

2019 2017 2017 2019

11
 Significant Rating Coverage Across Sectors

Auto & Auto Aviation &

Ancillary Allied Services BANK Banks & FIs Construction
51 Issuers 338 Issuers
210 Issuers 19 Issuers

Cement Chemical Engineering HFC

12 Issuers 157 Issuers 268 Issuers 35 Issuers

Insurance Logistics MFI Metals

Cos
12 Issuers 83 Issuers 40 Issuers 266 Issuers

Pharma &
NBFCs Oil & Gas Power
Healthcare
163 Issuers 40 Issuers 217 Issuers
204 Issuers
ICRA LIMITED

Public Road
Real Estate Textile
Finance
406 Issuers 80 Issuers 581 Issuers
75 Issuers

12
 Corporate Sector Coverage
ICRA LIMITED

13
 Infra Sector Coverage
ICRA LIMITED

14
 BFSI Coverage
ICRA LIMITED

15
 Financial Sponsors Coverage
ICRA LIMITED

16
 Key Sector Reports
Indian Road Sector
Bharatmala Pariyojana: Opportunities galore, but targets
Housing Finance Market
ambitious; Succuess of the programme critically hinges on
Indian Power Sector Performance Update & Industry Outlook
timely land acquisition and adequate funding

Real Estate Sector Indian Corporate Sector

Steady demand supports industry growth prospects
Indian Securitization Market

Indian Auto Components

Industry Indian Microfinance Industry
ICRA LIMITED

17
 Why ICRA?
ICRA ADVANTAGE

RIGOROUS RESEARCH &

ACCURACY & RATING INVESTOR
ACCEPTABILITY
STABILITY APPROACH OUTREACH

• Strong market • High rating stability • Robust rating • Sector-focused

acceptance with with low default methodology and analyst teams
issuers, ratios provide transparent rating
• Detailed coverage
intermediaries, greater confidence rationales with clear
of 60 sectors with
lenders and to investors description of key
outlook
investors rating drivers
• Better pricing of
• Extensive outreach
• Track record of 27 bonds with lower • Comprehensive
program covering
years with ratings spreads in rating coverage of
lenders & investors
on 5701 issuers categories with corporate, financial
(March 2018) most issuances services, public
finance and
• Rated debt value of • Avg. default rates
structured finance
Rs. 21.76 lakh crores exhibit ordinality –
sectors
(March 2018) lower rating has
higher default rates
ICRA LIMITED

1 2 3 4
18
 ICRA in Numbers

27
Years of
experience

08
Locations
across India

21.76
Lakh Crores
of Debt rated

60
Industries
covered by ICRA
Research
ICRA LIMITED

04
Subsidiaries with
presence in Nepal
and Sri Lanka
19
Contact Us
Head Office Mumbai Office
Building No. 8, 2nd Floor, 3rd Floor, Electric Mansion Appasaheb Marathe
Tower A, DLF Cyber City, Phase II, Gurgaon - 122 002 Marg Prabhadevi, Mumbai - 400 025
Tel: +91 124 4545 300 (B) Tel: +91 22 6169 3300 (B)

Relationship Contacts
Mr. L. Shivakumar Mr. Jayanta Chatterjee
shivakumar@icraindia.com jayantac@icraindia.com 
Tel: +91 22 6169 3304 (D) / 98210 86490 Tel: +91 80 4432 6401 / 98450 22459

Regional Offices
Ahmedabad Bengaluru Chennai
th
1809-1811, Shapath V, Opposite 'The Millenia', Tower B Unit No. 1004  5 Floor, Karumuttu Centre 634 
Karnavati Club S. G. 10th Floor, 1 & 2 Murphy Road Anna Salai, Nandanam
Highway, Ahmedabad - 380 015  Bengaluru - 560 008 Chennai - 600 035
Phone No. 079- 40271500 Tel: +91 80 4332 6400 Tel: +91 44 4596 4300

Hyderabad Kolkata Pune

rd rd th
No. 7-1-58, 301, 3 Floor A-10 & 11, 3 Floor, FMC Fortuna 5A, 5 Floor, Symphony, S. No. 210
'Concourse', Above SBI-HPS 234/3A, A.J.C. Bose Road  CTS 3202 Range Hills Road
Branch, Ameerpet  Kolkata -700 0202 Shivajinagar, Pune - 411 020
Hyderabad - 500 016 Tel: +91 33 7150 1100/01 Tel: +91 20 2556 1194
Tel: +91 40 4920 0200

© Copyright, 2019 ICRA Limited. All Rights Reserved.

All information contained herein has been obtained by ICRA from sources believed by it to be accurate and reliable. Although reasonable care has been
taken to ensure that the information herein is true, such information is provided 'as is' without any warranty of any kind, and ICRA in particular, makes no
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