Credit rating received from CARE Ltd
Awaiting price reaction for this filing.
CARE Ratings has assigned Aban Offshore a 'CARE D; Issuer Not Cooperating' rating to its Long Term Bank Facilities of Rs. 387.47 crore and Cumulative Redeemable Preference Shares totaling Rs. 281 crore. CARE D is the lowest/default rating, reflecting instances of delays in debt servicing. The 'Issuer Not Cooperating' tag was added because Aban failed to share required information despite multiple requests in January 2026. The company is currently under the Corporate Insolvency Resolution Process (CIRP) following an NCLAT order dated September 1, 2025, with total admitted financial creditor claims of Rs. 1,191 crore led by Punjab National Bank at Rs. 1,077 crore. A Resolution Professional has been appointed and three Committee of Creditors meetings have already taken place.
This rating action confirms the company is in financial distress and unable to service its debts on time. For shareholders, this is very negative — equity holders typically face significant dilution or total loss in a CIRP, as lenders and creditors are prioritized. The stock remains a high-risk situation with limited near-term recovery prospects.