India Ratings and Research has downgraded the rating of the Shree Renuka Sugar's Rs 250 crore non-convertible debentures programme and given a negative outlook.
"India Ratings has downgraded the company's Long Term Issuer Rating to 'IND D' from 'IND BB-' with Negative outlook. It has also downgraded the company's Rs 250 crore non- convertible debenture programme to 'IND D' with negative outlook," Shree Renuka Sugar (SRS) said in a BSE filing.
The downgrading of ratings come in the wake of delay in debt servicing by the company, whose Brazilian subsidiary had filed for bankruptcy protection due to depreciating currency and drought in Brazil.
Mumbai-based Renuka Sugars had in 2010 forayed into Brazil, the worlds largest sugar producer, by investing Rs 1,765.10 crore to acquire stakes in Renuka do Brasil and Renuka Vale do Ivai.
SRS is one of the largest sugar producers in the world.
