Icra Gives LAA(SO) To Tata Tele NCDs, LAA+ To Tata Power Debt

New Delhi, July 26 | Updated: Jul 28 2004, 04:53am hrs
Credit rating agency Icra on Monday assigned conditional high safety LAA(SO) rating to the Rs 2,000 crore non convertible debenture (NCD) of Tata Tele Services and gave high safety LAA+ to the Rs 1,000 crore long term debt of Tata Power Company.

Tata Tele has placed NCDs worth Rs 970 crore under the first tranche of the issue. The stand alone credit quality provides moderate support and the overall issue rating in credit is enhanced by the partial guarantees offered by Tata Sons and Barclays Bank, Icra said in a release.

The partial guarantee, offering an initial coverage of 60 per cent will be increased to 100 per cent by the 7th year and one interest payment will be guaranteed on a revolving basis.