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S&P downgrades DIAL's rating to 'B-' over heightened liquidity risk

S&P has kept the ratings on CreditWatch where they were first placed with negative implications on March 20, 2020

DIAL, Delhi Airport
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DIAL's high dependence on CPD income results in higher volatility in cash flow than it would expect for a regulated airport asset

Abhijit Lele Mumbai
Rating agency Standard and Poor’s (S&P) on Thursday downgraded the long term issuer rating for Delhi International Airport Ltd (DIAL) from “B+” to “B-” due to heightened liquidity risk.

The rating agency said it no longer considers the receipt of commercial property development (CPD) cash flows due to material delays. The company is considering a few options to preserve cash in the absence of CPD money. The options include lease financing.

S&P has kept the ratings on CreditWatch where they were first placed with negative implications on March 20, 2020. The CreditWatch reflects the view that DIAL's capital structure could

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First Published: Nov 26 2020 | 1:17 PM IST

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