Infomerics Rating reaffirms 'BBB+' rating of Sterling and Wilson Renewable
The agency has assigned 'IVR A2 rating to the short-term facilities of the company.
Infomerics Valuation and Rating stated that the its ratings reaffirmed on the bank facilities of Sterling and Wilson Renewable Energy (SWREL) as it derives comfort from the improvement in operating performance, strong order book, reputed counterparties, moderate capital structure and satisfactory debt protection metrics, indemnification against legacy claims/non-recovery of receivables, established presence in the solar segment and part of strong promoter group.
However, these rating strengths are partially offset by the overhang of contingent liabilities, susceptibility to price volatility and project execution risks.
The agency further said that an improvement in the revenue and profitability while maintaining comfortable order book visibility, leading to improved liquidity and credit profile could lead to a rating upgrade.
However, delays in execution of orders resulting in decline in scale and profitability and elongation in the working capital cycle; crystallisation of any material contingent liability other than liabilities under the purview of indemnity agreement and/or BG invocation, impacting the liquidity profile; and weakening of linkages with Reliance Group could result in adverse rating action.
Sterling and Wilson Renewable Energy (SWREL) is engaged in EPC and O&M for solar power plants. The company has a presence over 25 countries including India, Africa, USA, Australia, Latin America and the Middle East among other countries.
The scrip fell 2.79% to currently trade at Rs 320 on the BSE.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
18 minutes ago
- Time of India
Dressed to chill: EQT, Bain Capital emerge as final bidders for 31% controlling stake in Whirlpool India
Tired of too many ads? Remove Ads Parental Rejig Tired of too many ads? Remove Ads Popular in Cons. Products 1. Daikin sets up GCC in India in association with EY Tired of too many ads? Remove Ads Cool Positioning Buyout groups EQT and Bain Capital are in a two-horse race for 31% controlling interest in Whirlpool of India, listed local arm of the US appliances giant, three senior industry executives said. Private equity peers TPG and KKR, as well as potential rival contenders Havells and Reliance Industries , have fallen back, they and Bain Capital are conducting detailed due diligence ahead of the deadline for a binding offer, said to be in didn't respond to queries sent to its US and India and Bain declined to parent Whirlpool Corp has been looking to sell a 31% stake in the India unit, which generates the bulk of its Asia revenue, while retaining 20%. The equity in India is held through Whirlpool was the first to report June 20 on the interest of Reliance and Havells in the stake. Whirlpool India 's market cap was Rs 18,116 crore as of Tuesday's close on the India business monetisation exercise is part of a global reorganisation initiated at the end of 2022, when the company, known in the US for the Whirlpool, KitchenAid and Maytag brands, posted a $1.5 billion company has said it's keen to raise net cash proceeds of $550-600 million (Rs 4,684-5,110 crore) from the 31% stake sale transaction by this calendar year. A formal stake sale process was launched in April by advisor Goldman Sachs A transaction will also trigger an open offer for an additional 26% stake in the company. As with several deal negotiations, Whirlpool's punchy valuations have been a deal spoiler for most potential suitors. Another bone of contention is said to be the royalty payout to the parent in the end of January, the stock plunged an exchange-allowed maximum of 20% to a near 10-month low when the company first announced its intent to pare ownership in India. It has rebounded since then. In April alone, the stock soared 33% after the sale process was launched. Since April, the stock has appreciated 29.39%, ending Tuesday at Rs 1,427.90 on the BSE, marginally down from fully subscribed, the incoming investor could end up owning 57% of the company. Public shareholders now own 49%. At current prices, this would translate into a deal worth Rs 10,354.62 crore, a slight premium to expectations, said the people the US parent isn't happy with the final offers, it may once again divest through the open market route, analysts said. The parent sold a 24.7% stake in its Indian arm in February last year through block deals worth Rs 4,039 crore to institutional investors, led by five mutual funds including SBI Mutual Fund and Aditya Birla Sunlife Mutual Fund, besides foreign institutional investor Societe is among the top four brands in refrigerators and washing machines in India, with revenue of Rs 7,421 crore and net profit of Rs 313 crore in FY25. Whirlpool's presence in the premium end, currently dominated by LG, Samsung and Haier, is negligible. Havells India had evaluated the Whirlpool stake to expand its presence in refrigerators and washing machines, given its strong presence in air-conditioners through the Lloyd brand. But it was dissuaded by the high valuation as well as the decision to focus on the Lloyd business, which broke even in FY25, said the executives Monday, Havells chairman and managing director Anil Rai Gupta told analysts that while the company is open to acquisitions, it is currently focused on building the business Industries, too, has backed out, at least for now, due to the same bid-ask gap, said the people cited. Reliance last week announced the acquisition of the Kelvinator brand for the Indian market from Swedish appliance manufacturer Electrolux for Rs 160 crore. The company intends to build Kelvinator into a full-fledged appliance the first MNC consumer electronic brands to enter India in the late 1980s, Whirlpool hasn't been able to scale up as much as rivals LG, Samsung and Haier, which came in much later, or even homegrown brands such as executives are of the view Whirlpool still has sizeable brand equity, a substantial manufacturing base and a robust presence in smaller cities and towns through distributors.'The company does not have a massively differentiated portfolio,' said the chief executive of a consumer company who was approached for a possible stake purchase. 'The industry margins are also shrinking in the mass segment.'Whirlpool Corp's chief financial and administrative officer James W Peters told analysts recently that the India transaction has 'generated significant interest from large third-party investors.'The parent intends to repay or refinance debt with this money as it had done the last had said the reduction of the parent shareholding will result in 'increased autonomy' at the Indian unit.'While Whirlpool operates in a similar pricing range to Voltas Becko and Godrej, its customers are sticky,' said Arshia Khosla of Nirmal Bang. 'In order of preference, it stands out with high brand recall, higher number of SKUs (stock keeping units) and leadership in the product category. But heightened competitive intensity is expected to keep Whirlpool's growth under check in the near term.'
Time of India
28 minutes ago
- Time of India
Dressed to Chill: EQT, Bain Race for Whirlpool India
Buyout groups EQT and Bain Capital are in a two-horse race for 31% controlling interest in Whirlpool of India, listed local arm of the US appliances giant, three senior industry executives said. Private equity peers TPG and KKR, as well as potential rival contenders Havells and Reliance Industries, have fallen back, they said. EQT and Bain Capital are conducting detailed due diligence ahead of the deadline for a binding offer, said to be in August. Explore courses from Top Institutes in Please select course: Select a Course Category Data Science Degree healthcare Finance MBA Cybersecurity Healthcare Data Analytics Product Management PGDM Operations Management Design Thinking others Project Management Digital Marketing Management Technology Public Policy Leadership Data Science MCA Artificial Intelligence Others CXO Skills you'll gain: Duration: 11 Months IIT Madras CERT-IITM Advanced Cert Prog in AI and ML India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months IIM Kozhikode CERT-IIMK DABS India Starts on undefined Get Details Skills you'll gain: Duration: 30 Weeks IIM Kozhikode SEPO - IIMK-AI for Senior Executives India Starts on undefined Get Details Skills you'll gain: Duration: 11 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Postgraduate Cert in AI and ML India Starts on undefined Get Details Skills you'll gain: Duration: 10 Months E&ICT Academy, Indian Institute of Technology Guwahati CERT-IITG Prof Cert in DS & BA with GenAI India Starts on undefined Get Details Whirlpool didn't respond to queries sent to its US and India offices. EQT and Bain declined to comment. US parent Whirlpool Corp has been looking to sell a 31% stake in the India unit, which generates the bulk of its Asia revenue, while retaining 20%. The equity in India is held through Whirlpool Mauritius. ET was the first to report June 20 on the interest of Reliance and Havells in the stake. Whirlpool India's market cap was Rs 18,116 crore as of Tuesday's close on the BSE. The India business monetisation exercise is part of a global reorganisation initiated at the end of 2022, when the company, known in the US for the Whirlpool, KitchenAid and Maytag brands, posted a $1.5 billion loss. The company has said it's keen to raise net cash proceeds of $550-600 million (Rs 4,684-5,110 crore) from the 31% stake sale transaction by this calendar year. A formal stake sale process was launched in April by advisor Goldman Sachs. A transaction will also trigger an open offer for an additional 26% stake in the company. As with several deal negotiations, Whirlpool's punchy valuations have been a deal spoiler for most potential suitors. Another bone of contention is said to be the royalty payout to the parent in future. At the end of January, the stock plunged an exchange-allowed maximum of 20% to a near 10-month low when the company first announced its intent to pare ownership in India. It has rebounded since then. In April alone, the stock soared 33% after the sale process was launched. Since April, the stock has appreciated 29.39%, ending Tuesday at Rs 1,427.90 on the BSE, marginally down from Monday. If fully subscribed, the incoming investor could end up owning 57% of the company. Public shareholders now own 49%. At current prices, this would translate into a deal worth Rs 10,354.62 crore, a slight premium to expectations, said the people cited. If the US parent isn't happy with the final offers, it may once again divest through the open market route, analysts said. The parent sold a 24.7% stake in its Indian arm in February last year through block deals worth Rs 4,039 crore to institutional investors, led by five mutual funds including SBI Mutual Fund and Aditya Birla Sunlife Mutual Fund, besides foreign institutional investor Societe Generale. Whirlpool is among the top four brands in refrigerators and washing machines in India, with revenue of Rs 7,421 crore and net profit of Rs 313 crore in FY25. Whirlpool's presence in the premium end, currently dominated by LG, Samsung and Haier, is negligible. Havells India had evaluated the Whirlpool stake to expand its presence in refrigerators and washing machines, given its strong presence in air-conditioners through the Lloyd brand. But it was dissuaded by the high valuation as well as the decision to focus on the Lloyd business, which broke even in FY25, said the executives cited. On Monday, Havells chairman and managing director Anil Rai Gupta told analysts that while the company is open to acquisitions, it is currently focused on building the business organically. Reliance Industries, too, has backed out, at least for now, due to the same bid-ask gap, said the people cited. Reliance last week announced the acquisition of the Kelvinator brand for the Indian market from Swedish appliance manufacturer Electrolux for Rs 160 crore. The company intends to build Kelvinator into a full-fledged appliance business.
Mint
4 hours ago
- Mint
Small-cap stock under ₹100 to be in focus on Wednesday; here's why
Small-cap stock under ₹100: MIC Electronics will be in focus of the stock market investors after the company announced its plans to consider an acquisition and sign a preliminary MoU in its board meeting on Friday, 25 July 2025, according to an exchange filing on Tuesday, 22 July 2025. Advertisement Also Read | Stocks to buy under ₹100: Experts recommend two shares to buy tomorrow The company plans to consider and approve a proposal to acquire a Singapore-based company and consider signing a preliminary Memorandum of Understanding (MoU). 'To discuss and approve the Proposal for the acquisition of Singapore-based Company and to consider preliminary Memorandum of Understanding, agreements and related documentation,' the company informed the BSE through the filing. The firm also informed investors that the trading window for the stock will be closed for all designated persons and their immediate relatives until 48 hours after the declaration of the outcome of the board meeting to the stock exchanges. MIC Electronics Share Price Trend MIC Electronics' share price closed 1.37% lower at ₹52.46 after Tuesday's stock market session, compared to ₹53.19 at the previous market close. The company announced the board meeting update after market operating hours on 22 July 2025. Advertisement Also Read | Defence PSU Mazagon Dock board to meet on THIS date to consider Q1 results Shares of the industrial products maker have given stock market investors more than 335% returns on their investment in the last five years. However, the stock has lost 41.49% in the last one-year period. On a year-to-date (YTD) basis, MIC Electronics shares are down 38.53% in 2025, and are trading 2.48% lower in the last five market sessions on the Indian stock market. MIC Electronics shares hit their 52-week high level at ₹114.74 on 19 September 2024, while the 52-week low level was at ₹49.50 on 7 April 2025, according to the BSE data. The company's market capitalisation (M-Cap) is at ₹1,264.35 as of the stock market close on Tuesday, 22 July 2025. Advertisement Read all stories by Anubhav Mukherjee Disclaimer: This story is for educational purposes only. The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
