Rating Rationale
May 27, 2024 | Mumbai
 
Bajaj Finance Limited
'CRISIL AAA/Stable' assigned to Non Convertible Debentures
 
Rating Action
Total Bank Loan Facilities Rated Rs.21000 Crore
Long Term Rating CRISIL AAA/Stable (Reaffirmed)
Short Term Rating CRISIL A1+ (Reaffirmed)
 
Rs.20000 Crore Non Convertible Debentures CRISIL AAA/Stable (Assigned)
Rs.164.2 Crore Lower Tier II Bonds CRISIL AAA/Stable (Reaffirmed)
Fixed Deposits CRISIL AAA/Stable (Reaffirmed)
Rs.30000 Crore Commercial Paper CRISIL A1+ (Reaffirmed)
Non Convertible Debentures Aggregating Rs.84132.3 Crore (Reduced from Rs.87282.3 Crore) CRISIL AAA/Stable (Reaffirmed)
Subordinated Debt Aggregating Rs.2321.3 Crore CRISIL AAA/Stable (Reaffirmed)
Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings.
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities

 

Detailed Rationale

CRISIL Ratings has assigned its ‘CRISIL AAA/Stable’ rating to Rs.20000 crore Non Convertible Debentures of Bajaj Finance Limited (BFL) and reaffirmed  its ‘CRISIL AAA/Stable/CRISIL A1+’ ratings on the existing debt instruments and bank facilities.

 

CRISIL Rating has also withdrawn its ratings on non-convertible debentures worth Rs 3,150 crore (see Annexure - Details of Rating Withdrawn for details) at the client’s request and on receipt of requisite documentation as these have been redeemed. The withdrawal is in line with the CRISIL Ratings policy on withdrawal of ratings.

 

The ratings continue to reflect the Bajaj group’s strong business risk profile, given its position as one of the largest retail asset financing non-banking financial companies (NBFCs) in the country and expectation of comfortable capitalisation metrics. Further, the healthy earnings profile underpins the ratings. The ratings also factor in the strategic importance of BFL to its ultimate holding company, Bajaj Holdings and Investments Ltd (BHIL), and parent, Bajaj Finserv Ltd (Bajaj Finserv). Moreover, CRISIL Ratings believes the group’s increased focus on risk management and data analytics will mitigate inherent asset quality challenges in the risky asset segments.

 

CRISIL Ratings has also taken note of the lifting of restrictions on sanctioning and disbursal of loans under company’s two lending products ‘eCOM’ and ‘Insta EMI Card’ by the Reserve Bank of India (RBI) with immediate effect from May 2, 2024. RBI had earlier directed the company to stop the sanction and disbursal of these two products w.e.f. November 15, 2023, because of the non-adherence to digital lending guidelines. Nevertheless, uplifting of restriction and resumption of issuances of EMI cards should further aid the business risk profile.

Analytical Approach

CRISIL Ratings has considered the consolidated business and financial risk profile of BFL and its wholly owned subsidiaries (Bajaj Housing Finance Limited and Bajaj Financial Securities Limited) together referred to as the Bajaj group. Further, CRISIL Ratings has factored in its strategic importance of BFL to its ultimate holding company Bajaj Holdings and Investments Ltd (BHIL), and parent, Bajaj Finserv Ltd (Bajaj Finserv).

 

Please refer Annexure - List of entities consolidated, which captures the list of entities considered and their analytical treatment of consolidation

Key Rating Drivers & Detailed Description

Strengths:

Large, well-diversified NBFC

The Bajaj group has emerged as one of the largest retail-focused NBFCs in India with its two-pronged strategy of building scale and maximising profit. Segments such as mortgage, small business loans and commercial lending are focused on building scale while consumer durable loans, personal loans, and two and three-wheeler financing are focused on ensuring profitability.

 

As on March 31, 2024, the assets under management (AUM) of BFL continued to grow and stood at Rs. 330,615 crore at consolidated level (Rs 310,968 crore as on December 31, 2023) and Rs 244,826 crore at standalone level (Rs 232,040 crore as on December 31, 2023).

 

As on March 31, 2024, on a consolidated basis, mortgages (including loans against property) and home loans accounted for 34% of AUM (of this, LRD being 5%), personal and consumer durables loans (26%), SME loans (13%), two and three-wheeler financing (8%), rural financing (8%), loan against securities (5%) and others (6%). Moreover, the secured book (excluding consumer durables)accounts for over 57% of the AUM as against 55% as on March 31, 2023, and sub-50% four fiscals earlier.

 

Strong capitalisation levels

Capitalisation is robust, with sizeable consolidated networth of Rs 76,695 crores as on March 31, 2024. As on the same date, the standalone networth stood at Rs 72,011 crore.

 

In November 2023, BFL raised Rs.8,800 crores and Rs.1,188 crores through a qualified institutions placement and preferential issue respectively. Of the preferential issue, 25% has been received.  As on March 31, 2024, the gearing levels stood at 3.1 times and 3.8 times on standalone and consolidated basis respectively.

 

The group has a conservative gearing policy. Despite strong growth in the past five fiscals, adjusted gearing was below 6 times. Each time gearing inched closer to 6 times, capital raising plans have been initiated and concluded. This is supported by timely and regular equity raise as well as strong internal accrual.

 

The healthy capitalisation enhances the ability to absorb potential losses on its portfolio; adjusted networth to net non-performing assets (NPAs) ratio was healthy at 63 times as on March 31, 2024 (65 times as on March 31, 2023), on consolidated basis and at similar level on standalone basis.  

 

CRISIL Ratings expects the capital profile to remain comfortable over the medium term supported by regular capital infusion, demonstrated ability to raise capital and healthy internal cash accrual, providing cushion against asset-side risks.

 

Healthy earnings profile

The earnings profile of the group is supported by a large proportion of high-yield businesses and competitive borrowing cost. Additionally, the company has increased efforts to diversify earnings by focusing on various fee-based income avenues, such as existing member identification cards, co-branded credit cards and third-party product distribution.

 

The earnings profile is also supported by controlled credit costs and operating expenses. The credit costs remained controlled at 1.4% in fiscal 2024 and 1.3% in fiscal 2023. Also, operating expenses improved to 3.7% in fiscal 2024 as against 4.1% in fiscal 2023. However, cost of borrowings of the company has increased to 7.3% in fiscal 2024 as against 6.6% in fiscal 2023.

 

At consolidated level, return on managed assets (RoMA) remained healthy, though moderated to 4.4% in fiscal 2024, as against 4.6% in fiscal 2023. At standalone level, RoMA remained healthy over 4.9% in fiscal 2024, as against 5.3% in fiscal 2023.

 

Nevertheless, earnings remain susceptible to high credit costs, especially during macroeconomic stress, despite the conservative provisioning policy. However, with CRISIL Ratings-adjusted provision coverage ratio at 57% as on March 31, 2024, it remains in line with that of peers. While the company has healthy earnings profile, the ability of the company to manage its credit costs remains to be seen and will remain a key monitorable.

 

Strategic importance to the ultimate holding company BHIL, and parent Bajaj Finserv

BFL is strategically important to the Bajaj group as the company gets significant financial, managerial and operational support from its parent, Bajaj Finserv. BFL is one of the crucial entities of the group's financial services business and its established track record of profitable growth enhances its strategic importance. CRISIL Ratings believes BFL will continue to benefit from synergies with the Bajaj group.

 

The financial flexibility of Bajaj Finserv has improved supported by the performance of its operating companies, including insurance ventures. In the unlikely event of BFL requiring group support in an extraordinary situation, BHIL has sufficientliquidity in the form of cash and bank balance and portfolio of quoted investments to address the requirements. In addition, CRISIL Ratings believes there is sufficient flexibility inherent in the market standing of the various listed and unlisted financial services entities in the group. CRISIL Ratings also believes that financial flexibility will be sufficient to support any material requirements of BFL even if the group were to step up its stake in the insurance ventures.

 

Weakness:

Sizeable exposure on risky asset classes

On a consolidated basis, gross non-performing assets (GNPAs) stood at 0.85% as on March 31, 2024, as against 0.94% as on March 31, 2023, and 1.73% as on March 31, 2022. At standalone level, GNPAs remained comfortable at 1.05% as on March 31, 2024. Furthermore, the write-offs in fiscal 2024 were Rs 4182 crore at consolidated level and Rs 4136 crore at standalone level.

 

The company has large exposure to asset segments such as personal loans and consumer durable loans (including lifestyle and digital loans), which accounted for around 43% of the consolidated loan portfolio as on March 31, 2024, which are vulnerable to economic cycles. Furthermore, BFL offers flexi-loans, which have moratorium on repayment of principal across segments, including consumer B2C, SME and Mortgages.

 

The company's ability to sustain healthier asset quality metrics going forward while continuing to scale up operations remains a key monitorable.

Liquidity: Superior

The liquidity profile of BFL on standalone basis is comfortable with positive cumulative mismatches across all short term ALM buckets (upto 1 year) in the asset liability statement as on March 31, 2024. As on March 31, 2024, BFL had total debt repayments of Rs 45,198 crore till June 30, 2024. Against this, they had liquidity (in the form of cash, equivalents and unutilised working capital lines) of Rs 39,225 crore excluding collections. Liquidity profile is also further supported by collections of

approximately Rs 20,000 crore for each month.

 

Key ESG highlights:

  • BFL has an executive ESG committee led by the Deputy-CEO for implementing and monitoring ESG-related aspects.
  • Through its lending practices, the company is largely retail-focused and has been enabling financing to new-to-credit customers and rural areas and strives to provide sustainable livelihood related financing products, including MSME financing.
  • It has been doing corporate social responsibility (CSR) activities on continuous basis, which include healthcare programmes, primary education initiatives, programmes to provide BFSI skills to fresh graduates, shelters for underprivileged and orphan children. 
  • Majority of the board members are independent directors, with segregation in chairman and executive position. BFL has a dedicated investor grievance redressal mechanism.

 

There is growing importance of ESG among investors and lenders. BFL’s commitment to ESG principles will play a key role in enhancing stakeholder confidence, given its high share of market borrowings in its overall debt and access to both domestic and foreign capital markets.

Outlook: Stable

CRISIL Ratings believes BFL will remain strategically important to, and continue to receive support from, the Bajaj group. The company will also sustain its healthy financial risk profile.

table

Rating Sensitivity factors

Downward factors:

  • With the current AUM mix, any significant deterioration in asset quality translating into pressure on earnings profile thereby leading return on assets to drop below 2.0% on a sustained basis. This excludes any significant change in AUM mix due to an increase in the secured portfolio that will inherently impact return on assets negatively.
  • Significant increase in consolidated leverage metrics.

About the Company

Set up in 1987, BFL is a subsidiary of Bajaj Finserv (51.34% ownership), the financial services arm of the Bajaj group. BFL has a diversified product suite comprising key businesses such as vehicle loans (two and three-wheelers manufactured by Bajaj Auto), consumer durable loans, personal loans, mortgage loans, small business loans, loans against securities, commercial finance and rural finance.

Key Financial Indicators (Standalone):

As on / for the period ended

Unit

Mar 31, 2024

Mar 31, 2023

Mar 31, 2022

Mar 31, 2021

Total Assets

Rs crore

296,614

216,525

168,016

138,339

Total income (net-off interest expenses)

Rs crore

33,103

26,401

20,298

16,100

Profit after tax

Rs crore

12,644

10,290

6,350

3,956

GNPAs

%

1.1

1.2

1.7

2.2

Gearing

Times

3.1

3.1

2.9

2.8

Return on managed assets

%

4.9

5.3

4.1

2.8

 

Key Financial Indicators (Consolidated):

As on / for the period ended

Unit

Mar 31, 2024

Mar 31, 2023

Mar 31, 2022

Mar 31, 2021

Total Assets

Rs crore

375,742

275,229

212,505

171527

Total income (net-off interest expenses)

Rs crore

36,258

28,846

21,892

17,269

Profit after tax

Rs crore

14,451

11,508

7,028

4,420

GNPAs

%

0.9

0.9

1.7

1.8

Gearing

Times

3.8

4.0

3.8

3.6

Return on managed assets

%

4.4

4.6

3.5

2.5

Any other information: Not Applicable

Note on complexity levels of the rated instrument:
CRISIL Ratings` complexity levels are assigned to various types of financial instruments and are included (where applicable) in the 'Annexure - Details of Instrument' in this Rating Rationale.

CRISIL Ratings will disclose complexity level for all securities - including those that are yet to be placed - based on available information. The complexity level for instruments may be updated, where required, in the rating rationale published subsequent to the issuance of the instrument when details on such features are available.

For more details on the CRISIL Ratings` complexity levels please visit www.crisilratings.com. Users may also call the Customer Service Helpdesk with queries on specific instruments.

Annexure - Details of Instrument(s)

ISIN

Name of instrument

Date of allotment

Coupon rate (%)

Maturity date

Issue size (Rs.Cr)

Complexity Level

Rating outstanding with outlook

NA

Debentures^

NA

NA

NA

20000

Simple

CRISIL AAA/Stable

NA

Debentures^

NA

NA

NA

11467.9

Simple

CRISIL AAA/Stable

INE296A07SQ1

Debentures

17-Oct-2023

8.00%

17-Oct-2028

2236

Simple

CRISIL AAA/Stable

INE296A07SL2

Debenture

16-May-2023

7.75%

16-May-2033

2075

Complex

CRISIL AAA/Stable

INE296A07SM0

Debenture

23-May-2023

7.72%

23-May-2033

500

Simple

CRISIL AAA/Stable

INE296A07SB3

Debenture

7-Jun-2023

7.38%

8-Aug-2025

375

Simple

CRISIL AAA/Stable

INE296A07SN8

Debenture

7-Jun-2023

7.73%

7-Jun-2028

500

Simple

CRISIL AAA/Stable

INE296A07SM0

Debenture

7-Jun-2023

7.72%

23-May-2033

575

Simple

CRISIL AAA/Stable

INE296A07SM0

Debenture

21-Aug-2023

7.72%

23-May-2033

300

Simple

CRISIL AAA/Stable

INE296A07SO6

Debenture

11-Sep-2023

7.85%

11-Sep-2028

1195

Simple

CRISIL AAA/Stable

INE296A07SP3

Debentures

21-Nov-2023

7.79%

20-Sep-2033

500

Simple

CRISIL AAA/Stable

INE296A07SP3

Debenture

20-Sep-2023

7.79%

20-Sep-2033

500

Simple

CRISIL AAA/Stable

INE296A07SI8

Debenture

13-Apr-2023

7.90%

13-Apr-2028

760

Simple

CRISIL AAA/Stable

INE296A07SI8

Debenture

3-May-2023

7.90%

13-Apr-2028

1095

Simple

CRISIL AAA/Stable

INE296A07SI8

Debenture

23-May-2023

7.90%

13-Apr-2028

1155

Simple

CRISIL AAA/Stable

INE296A07SJ6

Debentures

26-Dec-2023

8.00%

27-Feb-2026

600

Simple

CRISIL AAA/Stable

INE296A07SJ6

Debenture

13-Apr-2023

8%

27-Feb-2026

1195

Simple

CRISIL AAA/Stable

INE296A07SK4

Debenture

21-Apr-2023

7.89%

10-Jun-2025

1317

Simple

CRISIL AAA/Stable

INE296A07SH0

Debenture

21-Mar-2023

8.08%

21-Mar-2033

4960

Simple

CRISIL AAA/Stable

INE296A07RW1

Debentures

18-Feb-2022

7.15%

2-Dec-2031

220

Simple

CRISIL AAA/Stable

INE296A07RY7

Debentures

18-Feb-2022

Zero Coupon Bond

18-Feb-2026

406

Simple

CRISIL AAA/Stable

INE296A07RW1

Debentures

2-Dec-2021

7.15%

2-Dec-2031

750

Simple

CRISIL AAA/Stable

INE296A07RW1

Debentures

30-Dec-2021

7.15%

2-Dec-2031

180.5

Simple

CRISIL AAA/Stable

INE296A07RZ4

Debentures

7-Jun-2022

7.70%

7-Jun-2027

500

Simple

CRISIL AAA/Stable

INE296A07RZ4

Debentures

1-Jul-2022

7.70%

7-Jun-2027

1081

Simple

CRISIL AAA/Stable

INE296A07SA5

Debentures

13-Jul-2022

7.20%

12-Jul-2024

750

Simple

CRISIL AAA/Stable

INE296A07SB3

Debentures

8-Aug-2022

7.38%

8-Aug-2025

550

Simple

CRISIL AAA/Stable

INE296A07SB3

Debentures

19-Aug-2022

7.38%

8-Aug-2025

650

Simple

CRISIL AAA/Stable

INE296A07SC1

Debentures

25-Aug-2022

7.60%

25-Aug-2027

650

Simple

CRISIL AAA/Stable

INE296A07SC1

Debentures

8-Sep-2022

7.60%

25-Aug-2027

270

Simple

CRISIL AAA/Stable

INE296A07SD9

Debentures

8-Sep-2022

7.82%

8-Sep-2032

327

Simple

CRISIL AAA/Stable

INE296A07SE7

Debentures

25-Oct-2022

7.95%

25-Oct-2027

610

Simple

CRISIL AAA/Stable

INE296A07SF4

Debentures

16-Nov-2022

7.90%

17-Nov-2025

5100

Simple

CRISIL AAA/Stable

INE296A07SG2

Debentures

19-Jan-2023

7.88%

19-Jan-2028

856.5

Simple

CRISIL AAA/Stable

INE296A08979

Debentures

1-Jun-2022

7.99%

1-Jun-2035

1750

Simple

CRISIL AAA/Stable

INE296A07RY7

Debentures

7-Jun-2022

Zero Coupon Bond

18-Feb-2026

500

Simple

CRISIL AAA/Stable

INE296A07RV3

Debentures

26-Aug-2021

5.55%

10-Oct-2024

850

Simple

CRISIL AAA/Stable

INE296A07RV3

Debentures

11-Nov-2021

5.55%

10-Oct-2024

380

Simple

CRISIL AAA/Stable

INE296A07RS9

Debentures

19-Apr-2021

7.02%

18-Apr-2031

116

Simple

CRISIL AAA/Stable

NA

Commercial Paper

NA

NA

7-365 days

30000

Simple

CRISIL A1+

INE296A08714

Subordinated Debt

19-Sep-2014

10.15%

19-Sep-2024

452.5

Complex

CRISIL AAA/Stable

INE296A08755

Subordinated Debt

21-Oct-2015

8.94%

21-Oct-2025

40

Complex

CRISIL AAA/Stable

INE296A08763

Subordinated Debt

9-Nov-2015

8.94%

7-Nov-2025

250

Complex

CRISIL AAA/Stable

INE296A08821

Subordinated Debt

2-Dec-2016

8.05%

2-Dec-2026

105

Complex

CRISIL AAA/Stable

INE296A08847

Subordinated Debt

22-Jun-2017

8.15%

22-Jun-2027

600

Complex

CRISIL AAA/Stable

NA

Lower Tier II Bonds^

NA

NA

NA

164.2

Complex

CRISIL AAA/Stable

NA

Subordinated Debt^

NA

NA

NA

873.8

Complex

CRISIL AAA/Stable

INE296A07RS9

Debentures

16-Jun-2021

7.02%

18-Apr-2031

40

Simple

CRISIL AAA/Stable

INE296A07RS9

Debentures

23-Jul-2021

7.02%

18-Apr-2031

31

Simple

CRISIL AAA/Stable

INE296A07RS9

Debentures

13-Sep-2021

7.02%

18-Apr-2031

125

Simple

CRISIL AAA/Stable

INE296A07RS9

Debentures

24-Sep-2021

7.02%

18-Apr-2031

2171

Simple

CRISIL AAA/Stable

INE296A07FV8

Debentures

7-Apr-2015

9.05%

7-Apr-2025

170

Simple

CRISIL AAA/Stable

INE296A07HW2

Debentures

20-Aug-2015

8.90%

20-Aug-2025

90

Simple

CRISIL AAA/Stable

INE296A07EG2

Debentures

17-Nov-2014

9.36%

18-Nov-2024

100

Simple

CRISIL AAA/Stable

INE296A07IA6

Debentures

13-Oct-2015

8.70%

13-Oct-2025

5

Simple

CRISIL AAA/Stable

INE296A07KD6

Debentures

18-Mar-2016

8.90%

18-Mar-2026

28

Simple

CRISIL AAA/Stable

INE296A07KW6

Debentures

31-Mar-2016

8.80%

31-Mar-2026

3

Simple

CRISIL AAA/Stable

INE296A07PY1

Debentures

1-Jun-2017

8.05%

31-May-2024

1,000

Simple

CRISIL AAA/Stable

INE296A08938

Debentures

6-Jun-2017

8.10%

7-Jun-2032

1,000

Simple

CRISIL AAA/Stable

INE296A08961

Debentures

6-Nov-2018

9.11%

2-Nov-2033

4,575

Simple

CRISIL AAA/Stable

INE296A07QS1

Debentures

9-Jan-2019

8.95%

8-Jan-2026

1,495

Simple

CRISIL AAA/Stable

INE296A07QV5

Debentures

15-May-2019

8.55%

6-Jun-2024

75

Simple

CRISIL AAA/Stable

INE296A07QY9

Debentures

14-Nov-2019

7.66%

9-Dec-2024

235

Simple

CRISIL AAA/Stable

INE296A07QZ6

Debentures

28-Jan-2020

7.65%

7-Feb-2025

850

Simple

CRISIL AAA/Stable

INE296A07RA7

Debentures

28-Jan-2020

7.90%

10-Jan-2030

160

Simple

CRISIL AAA/Stable

INE296A07RC3

Debentures

20-Feb-2020

7.30%

10-Mar-2025

715

Simple

CRISIL AAA/Stable

INE296A07RC3

Debentures

1-Jul-2022

7.30%

10-Mar-2025

320

Simple

CRISIL AAA/Stable

INE296A07RD1

Debentures

28-Feb-2020

7.60%

11-Feb-2030

430

Simple

CRISIL AAA/Stable

INE296A07RJ8

Debentures

27-Aug-2020

7.25%

27-Aug-2030

50

Simple

CRISIL AAA/Stable

INE296A07RK6

Debentures

27-Aug-2020

6.00%

10-Sep-2024

85

Simple

CRISIL AAA/Stable

INE296A07RK6

Debentures

25-Aug-2022

6.00%

10-Sep-2024

500

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

24-Dec-2020

6.92%

24-Dec-2030

93

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

14-Jan-2021

6.92%

24-Dec-2030

97

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

22-Jan-2021

6.92%

24-Dec-2030

26

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

18-Feb-2021

6.92%

24-Dec-2030

36

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

12-Mar-2021

6.92%

24-Dec-2030

20

Simple

CRISIL AAA/Stable

INE296A07RN0

Debentures

30-Mar-2021

6.92%

24-Dec-2030

115

Simple

CRISIL AAA/Stable

INE296A07RO8

Debentures

24-Dec-2020

6.00%

24-Dec-2025

166

Simple

CRISIL AAA/Stable

INE296A07RO8

Debentures

14-Jan-2021

6.00%

24-Dec-2025

125

Simple

CRISIL AAA/Stable

INE296A07RO8

Debentures

22-Jan-2021

6.00%

24-Dec-2025

70

Simple

CRISIL AAA/Stable

INE296A07RO8

Debentures

12-Mar-2021

6.00%

24-Dec-2025

10

Simple

CRISIL AAA/Stable

INE296A07RO8

Debentures

19-Jan-2023

6.00%

24-Dec-2025

310

Simple

CRISIL AAA/Stable

INE296A07SR9

Debentures

26-Dec-2023

8.10%

8-Jan-2027

425

Simple

CRISIL AAA/Stable

INE296A07SR9

Debentures

15-Jan-2024

8.10%

8-Jan-2027

1200

Simple

CRISIL AAA/Stable

INE296A07SS7

Debentures

15-Jan-2024

8.20%

15-Jan-2026

300

Simple

CRISIL AAA/Stable

INE296A07ST5

Debentures

23-Jan-2024

8.10%

23-Jan-2029

857.6

Simple

CRISIL AAA/Stable

INE296A07SU3

Debentures

8-Feb-2024

7.87%

8-Feb-2034

1387.3

Simple

CRISIL AAA/Stable

INE296A07SU3

Debentures

18-Mar-2024

7.87%

8-Feb-2034

500

Simple

CRISIL AAA/Stable

INE296A07SV1

Debentures

8-Feb-2024

7.82%

31-Jan-2034

400

Complex

CRISIL AAA/Stable

INE296A07SW9

Debentures

20-Feb-2024

7.92%

18-Feb-2033

856

Simple

CRISIL AAA/Stable

INE296A07SW9

Debentures

20-Feb-2024

7.92%

20-Feb-2032

856

Simple

CRISIL AAA/Stable

INE296A07SW9

Debentures

20-Feb-2024

7.92%

20-Feb-2034

2568

Simple

CRISIL AAA/Stable

INE296A07SX7

Debentures

22-Mar-2024

8.12%

10-May-2027

395

Simple

CRISIL AAA/Stable

INE296A07SX7

Debentures

2-May-2024

8.12%

10-May-2027

1035

Simple

CRISIL AAA/Stable

INE296A07SY5

Debentures

2-May-2024

7.93%

2-May-2034

328.5

Simple

CRISIL AAA/Stable

INE296A07SV1

Debentures

8-May-2024

7.82%

31-Jan-2034

7595

Simple

CRISIL AAA/Stable

INE296A07SZ2

Debentures

15-May-2024

8.06%

15-May-2029

1305

Simple

CRISIL AAA/Stable

INE296A07SZ2

Debentures

22-May-2024

8.06%

15-May-2029

500

Simple

CRISIL AAA/Stable

INE296A07TA3

Debentures

22-May-2024

8.10%

22-May-2026

500

Simple

CRISIL AAA/Stable

NA

Cash Credit & Working Capital Demand Loan

NA

NA

NA

2580

NA

CRISIL AAA/Stable

NA

Long Term Bank Facility

NA

NA

NA

11200

NA

CRISIL AAA/Stable

NA

Proposed Long Term Bank Loan Facility

NA

NA

NA

6720

NA

CRISIL AAA/Stable

NA

Short Term Bank Facility

NA

NA

NA

500

NA

CRISIL A1+

NA

Fixed Deposits Programme

NA

NA

NA

0

Simple

CRISIL AAA/Stable

^Yet to be issued

 

Annexure - Details of Rating Withdrawn

ISIN

Name of instrument

Date of allotment

Coupon rate (%)

Maturity date

Issue size (Rs.Crore)

Complexity level

Rating outstanding with outlook

INE296A07RU5

Debentures

10-May-2021

5.65%

10-May-2024

1100

Simple

Withdrawn

INE296A07RU5

Debentures

16-Jun-2021

5.65%

10-May-2024

2050

Simple

Withdrawn

Annexure - List of Entities Consolidated

Names of Entities Consolidated

Extent of Consolidation

Rationale for Consolidation

Bajaj Finance Limited

Full

Parent

Bajaj Housing Finance Limited

Full

Subsidiary

Bajaj Financial Securities Limited

Full

Subsidiary

Annexure - Rating History for last 3 Years
  Current 2024 (History) 2023  2022  2021  Start of 2021
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT/ST 21000.0 CRISIL A1+ / CRISIL AAA/Stable 07-05-24 CRISIL A1+ / CRISIL AAA/Stable 22-12-23 CRISIL A1+ / CRISIL AAA/Stable 21-10-22 CRISIL A1+ / CRISIL AAA/Stable 22-09-21 CRISIL A1+ / CRISIL AAA/Stable CRISIL A1+ / CRISIL AAA/Stable
      -- 19-04-24 CRISIL A1+ / CRISIL AAA/Stable 23-11-23 CRISIL A1+ / CRISIL AAA/Stable 17-06-22 CRISIL A1+ / CRISIL AAA/Stable 13-07-21 CRISIL A1+ / CRISIL AAA/Stable --
      -- 28-03-24 CRISIL A1+ / CRISIL AAA/Stable 17-10-23 CRISIL A1+ / CRISIL AAA/Stable 06-04-22 CRISIL A1+ / CRISIL AAA/Stable 23-04-21 CRISIL A1+ / CRISIL AAA/Stable --
      --   -- 29-09-23 CRISIL A1+ / CRISIL AAA/Stable 01-03-22 CRISIL A1+ / CRISIL AAA/Stable 05-02-21 CRISIL A1+ / CRISIL AAA/Stable --
      --   -- 07-09-23 CRISIL A1+ / CRISIL AAA/Stable 15-02-22 CRISIL A1+ / CRISIL AAA/Stable   -- --
      --   -- 12-07-23 CRISIL A1+ / CRISIL AAA/Stable 12-01-22 CRISIL A1+ / CRISIL AAA/Stable   -- --
      --   -- 30-05-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
      --   -- 18-04-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
      --   -- 06-04-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
      --   -- 24-03-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
      --   -- 24-02-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
      --   -- 06-02-23 CRISIL A1+ / CRISIL AAA/Stable   --   -- --
Commercial Paper ST 30000.0 CRISIL A1+ 07-05-24 CRISIL A1+ 22-12-23 CRISIL A1+ 21-10-22 CRISIL A1+ 22-09-21 CRISIL A1+ CRISIL A1+
      -- 19-04-24 CRISIL A1+ 23-11-23 CRISIL A1+ 17-06-22 CRISIL A1+ 13-07-21 CRISIL A1+ --
      -- 28-03-24 CRISIL A1+ 17-10-23 CRISIL A1+ 06-04-22 CRISIL A1+ 23-04-21 CRISIL A1+ --
      --   -- 29-09-23 CRISIL A1+ 01-03-22 CRISIL A1+ 05-02-21 CRISIL A1+ --
      --   -- 07-09-23 CRISIL A1+ 15-02-22 CRISIL A1+   -- --
      --   -- 12-07-23 CRISIL A1+ 12-01-22 CRISIL A1+   -- --
      --   -- 30-05-23 CRISIL A1+   --   -- --
      --   -- 18-04-23 CRISIL A1+   --   -- --
      --   -- 06-04-23 CRISIL A1+   --   -- --
      --   -- 24-03-23 CRISIL A1+   --   -- --
      --   -- 24-02-23 CRISIL A1+   --   -- --
      --   -- 06-02-23 CRISIL A1+   --   -- --
Fixed Deposits LT 0.0 CRISIL AAA/Stable 07-05-24 CRISIL AAA/Stable 22-12-23 CRISIL AAA/Stable 21-10-22 CRISIL AAA/Stable 22-09-21 F AAA/Stable F AAA/Stable
      -- 19-04-24 CRISIL AAA/Stable 23-11-23 CRISIL AAA/Stable 17-06-22 CRISIL AAA/Stable 13-07-21 F AAA/Stable --
      -- 28-03-24 CRISIL AAA/Stable 17-10-23 CRISIL AAA/Stable 06-04-22 F AAA/Stable 23-04-21 F AAA/Stable --
      --   -- 29-09-23 CRISIL AAA/Stable 01-03-22 F AAA/Stable 05-02-21 F AAA/Stable --
      --   -- 07-09-23 CRISIL AAA/Stable 15-02-22 F AAA/Stable   -- --
      --   -- 12-07-23 CRISIL AAA/Stable 12-01-22 F AAA/Stable   -- --
      --   -- 30-05-23 CRISIL AAA/Stable   --   -- --
      --   -- 18-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-03-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-02-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-02-23 CRISIL AAA/Stable   --   -- --
Lower Tier II Bonds LT 164.2 CRISIL AAA/Stable 07-05-24 CRISIL AAA/Stable 22-12-23 CRISIL AAA/Stable 21-10-22 CRISIL AAA/Stable 22-09-21 CRISIL AAA/Stable CRISIL AAA/Stable
      -- 19-04-24 CRISIL AAA/Stable 23-11-23 CRISIL AAA/Stable 17-06-22 CRISIL AAA/Stable 13-07-21 CRISIL AAA/Stable --
      -- 28-03-24 CRISIL AAA/Stable 17-10-23 CRISIL AAA/Stable 06-04-22 CRISIL AAA/Stable 23-04-21 CRISIL AAA/Stable --
      --   -- 29-09-23 CRISIL AAA/Stable 01-03-22 CRISIL AAA/Stable 05-02-21 CRISIL AAA/Stable --
      --   -- 07-09-23 CRISIL AAA/Stable 15-02-22 CRISIL AAA/Stable   -- --
      --   -- 12-07-23 CRISIL AAA/Stable 12-01-22 CRISIL AAA/Stable   -- --
      --   -- 30-05-23 CRISIL AAA/Stable   --   -- --
      --   -- 18-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-03-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-02-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-02-23 CRISIL AAA/Stable   --   -- --
Non Convertible Debentures LT 104132.3 CRISIL AAA/Stable 07-05-24 CRISIL AAA/Stable 22-12-23 CRISIL AAA/Stable 21-10-22 CRISIL AAA/Stable 22-09-21 CRISIL AAA/Stable CRISIL AAA/Stable
      -- 19-04-24 CRISIL AAA/Stable 23-11-23 CRISIL AAA/Stable 17-06-22 CRISIL AAA/Stable 13-07-21 CRISIL AAA/Stable --
      -- 28-03-24 CRISIL AAA/Stable 17-10-23 CRISIL AAA/Stable 06-04-22 CRISIL AAA/Stable 23-04-21 CRISIL AAA/Stable --
      --   -- 29-09-23 CRISIL AAA/Stable 01-03-22 CRISIL AAA/Stable 05-02-21 CRISIL AAA/Stable --
      --   -- 07-09-23 CRISIL AAA/Stable 15-02-22 CRISIL AAA/Stable   -- --
      --   -- 12-07-23 CRISIL AAA/Stable 12-01-22 CRISIL AAA/Stable   -- --
      --   -- 30-05-23 CRISIL AAA/Stable   --   -- --
      --   -- 18-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-03-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-02-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-02-23 CRISIL AAA/Stable   --   -- --
Subordinated Debt LT 2321.3 CRISIL AAA/Stable 07-05-24 CRISIL AAA/Stable 22-12-23 CRISIL AAA/Stable 21-10-22 CRISIL AAA/Stable 22-09-21 CRISIL AAA/Stable CRISIL AAA/Stable
      -- 19-04-24 CRISIL AAA/Stable 23-11-23 CRISIL AAA/Stable 17-06-22 CRISIL AAA/Stable 13-07-21 CRISIL AAA/Stable --
      -- 28-03-24 CRISIL AAA/Stable 17-10-23 CRISIL AAA/Stable 06-04-22 CRISIL AAA/Stable 23-04-21 CRISIL AAA/Stable --
      --   -- 29-09-23 CRISIL AAA/Stable 01-03-22 CRISIL AAA/Stable 05-02-21 CRISIL AAA/Stable --
      --   -- 07-09-23 CRISIL AAA/Stable 15-02-22 CRISIL AAA/Stable   -- --
      --   -- 12-07-23 CRISIL AAA/Stable 12-01-22 CRISIL AAA/Stable   -- --
      --   -- 30-05-23 CRISIL AAA/Stable   --   -- --
      --   -- 18-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-04-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-03-23 CRISIL AAA/Stable   --   -- --
      --   -- 24-02-23 CRISIL AAA/Stable   --   -- --
      --   -- 06-02-23 CRISIL AAA/Stable   --   -- --
All amounts are in Rs.Cr.
Annexure - Details of Bank Lenders & Facilities
Facility Amount (Rs.Crore) Name of Lender Rating
Cash Credit & Working Capital Demand Loan 390 Bank of India CRISIL AAA/Stable
Cash Credit & Working Capital Demand Loan 350 IDBI Bank Limited CRISIL AAA/Stable
Cash Credit & Working Capital Demand Loan 1000 State Bank of India CRISIL AAA/Stable
Cash Credit & Working Capital Demand Loan 390 Canara Bank CRISIL AAA/Stable
Cash Credit & Working Capital Demand Loan 450 HDFC Bank Limited CRISIL AAA/Stable
Long Term Bank Facility 500 IDBI Bank Limited CRISIL AAA/Stable
Long Term Bank Facility 3000 HDFC Bank Limited CRISIL AAA/Stable
Long Term Bank Facility 500 HDFC Bank Limited CRISIL AAA/Stable
Long Term Bank Facility 700 HDFC Bank Limited CRISIL AAA/Stable
Long Term Bank Facility 6500 State Bank of India CRISIL AAA/Stable
Proposed Long Term Bank Loan Facility 6720 Not Applicable CRISIL AAA/Stable
Short Term Bank Facility 250 ICICI Bank Limited CRISIL A1+
Short Term Bank Facility 250 ICICI Bank Limited CRISIL A1+
Criteria Details
Links to related criteria
Rating Criteria for Finance Companies
CRISILs Bank Loan Ratings - process, scale and default recognition
CRISILs criteria for rating fixed deposit programmes
Rating criteria for hybrid debt instruments of NBFCs/HFCs
CRISILs Criteria for rating short term debt
Criteria for Notching up Stand Alone Ratings of Companies based on Parent Support
CRISILs Criteria for Consolidation

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