Icra downgrades ratings of Future group holding company over debt pile-up

Furthermore, despite monetisation of investments across various group entities, the total group debt has increased as of December 31, 2019, as against March 31, 2019, ICRA said in a statement

ICRA has downgraded the rating for term loans of Future Group’s holding company Future Corporate Resources (FCRPL) to non-investment grade on high debt levels of the Kishore Biyani-led group.
 
The rating was lowered from “BBB” to “BB+” and factors in a substantial increase in the pledged shareholding of the promoter across listed entities owing to a continued decline in share prices.
 
FCRPL’s external debt reduced to Rs 1,430 crore (excluding the impact of Ind-AS) as of December 31, 2019, from Rs 2,758 crore (excluding the impact of Ind-AS) as of March 31, 2019. Yet, the debt (including debt