Indiabulls Housing Finance gains after rating upgradation by ICRA

Indiabulls Housing Finance rose 1.31% to Rs 358.70 at 12:17 IST on BSE after the company said that the rating committee of ICRA has upgraded the long term rating to the non-convertible debentures programme of the company.

The announcement was made before market hours today, 23 June 2014.

Meanwhile, the S&P BSE Sensex was down 115.52 points or 0.46% at 24,989.99.

On BSE, so far 12,000 shares were traded in the counter as against average daily volume of 2.37 lakh shares in the past one quarter.

The stock hit a high of Rs 363.65 and a low of Rs 355 so far during the day. The stock had hit a record high of Rs 406.90 on 26 May 2014. The stock had hit a record low of Rs 166 on 25 September 2013.

The stock had underperformed the market over the past one month till 20 June 2014, sliding 2.4% compared with the Sensex's 2.99% rise. The scrip had, however, outperformed the market in past one quarter, surging 63.5% as against Sensex's 15.48% rise.

The large-cap company has equity capital of Rs 66.87 crore. Face value per share is Re 2.

Indiabulls Housing Finance (IBHFL) said that the rating committee of ICRA, an associate of Moody's Investor Service, has upgraded the long term rating from [ICRA] AA (Stable) (pronounced ICRA double A on stable outlook) to [ICRA] AA+ (Stable) (pronounced ICRA double A plus on stable outlook), to the non-convertible debentures programme of the company.

With this IBHFL enjoys a AA+ from three rating agencies and joins a group of select few HFCs and NBFCs to be rated AA+ by ICRA.

ICRA commented that the rating upgrade reflects 'steady improvement in IBHFL's operational and financial indicators over the past few years amidst tight control over asset quality indicators, IBHFL said. The rating also factors in the comfortable capitalization as well as demonstrated ability to raise capital, well diversified resource profile, and sound liquidity position with policy of maintaining adequate liquid funds in the company, IBHFL said in a statement.

IBHFL's consolidated net profit rose 21.8% to Rs 451.45 crore on 17.6% growth in total income to Rs 1568.63 crore in Q4 March 2014 over Q4 March 2013.

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