Shriram Finance Limited has informed the Exchange about Credit Rating- Revision
SHRIRAMFIN · price
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Moody's Ratings has upgraded Shriram Finance's long-term corporate family rating to Baa3 (investment grade) from Ba1, with the outlook changed to stable from positive. This upgrade follows MUFG Bank's strategic investment in April 2026, acquiring a 20% stake for INR 396 billion (approximately US$4.4 billion). The capital infusion has strengthened the company's tangible common equity ratio to approximately 29% from around 20% as of March 2026. Asset quality has improved with the problem loan ratio declining to 4.6% as of March 2026 from 6.2% in March 2023. The company reported consolidated assets of INR 3.0 trillion as of March 31, 2026.
This investment-grade rating upgrade with MUFG Bank backing is a strong positive signal for shareholders, indicating improved creditworthiness, lower borrowing costs, and enhanced financial flexibility for Shriram Finance.