Rating Rationale
December 18, 2023 | Mumbai

Edelweiss Financial Services Limited

Long-term rating downgraded to 'CRISIL A+/CRISIL PPMLD A+'; outlook revised to 'Stable'

 

Rating Action

Rs.1500 Crore Non Convertible Debentures^

CRISIL A+/Stable (Downgraded from CRISIL AA-/Negative)

Rs.850 Crore Non Convertible Debentures (Reduced from Rs.1500 Crore)

CRISIL A+/Stable (Downgraded from CRISIL AA-/Negative)

Rs.1000 Crore Retail Bond^

CRISIL A+/Stable (Downgraded from CRISIL AA-/Negative)

Rs.300 Crore Long Term Principal Protected Market Linked Debentures

CRISIL PPMLD A+/Stable (Downgraded from CRISIL PPMLD AA-/Negative)

Non Convertible Debentures Aggregating Rs.2500 Crore^

CRISIL A+/Stable (Downgraded from CRISIL AA-/Negative)

Rs.500 Crore Commercial Paper

CRISIL A1+ (Reaffirmed)

^public issue

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 downgraded its long-term rating on the debt instruments of Edelweiss Financial Services Limited (EFSL) to ‘CRISIL A+ from CRISIL AA- while revising the outlook to ‘Stable’ from ‘Negative’. The short-term rating has been reaffirmed at ‘CRISIL A1+’.

 

The rating action is driven by lower-than-expected revival in core profitability, relatively slower growth in retail (including MSME) lending and continued high level of unprovided monitorable[1] portfolio. However, the group’s overall credit profile is supported by adequate capitalization, and a diversified business profile with good market position in asset reconstruction and asset management businesses.

 

Despite improving from earlier levels, Edelweiss Group’s profitability continues to remain subdued, with revival being slower than anticipated. The main reason for muted profitability in recent years has been the stress in its wholesale lending book, in turn leading to higher credit costs; the retail book was also impacted and required higher provisioning in the aftermath of the Covid-19 pandemic. After reporting a loss of Rs 2,044 crore in fiscal 2020, the group reported a profit of Rs 254 crore and Rs 212 crore in fiscal 2021 and fiscal 2022 respectively. However, profitability has been supported by one off item such as capital gains on stake sale of Rs 1,406 crore in fiscal 2021 and Rs 306 crore in fiscal 2022 respectively. In fiscal 2023, the group reported a profit after tax (PAT) of Rs 406 crore; however, excluding the one-off items such as revaluation etc. (and also accelerated provisions made basis the one-off gain), the profit would have been Rs 248 crore. In the first half of fiscal 2024, the group reported an improved PAT of Rs 173 crore, however, the quantum and pace of improvement in profitability remains lower than earlier envisaged. Return on average assets (ROA) was 0.8% (annualised) for the first half of fiscal 2024 against 0.9% for fiscal 2023 and 0.5% for fiscal 2023 and fiscal 2022.

 

Of the various businesses, the asset reconstruction business and asset management business, mainly alternate assets, remain the largest contributors to overall profitability. The profitability of the credit business has improved from the past levels with credit costs reducing, however remains muted with retail lending yet to gather pace.  Further, any challenges in effecting recoveries from the monitorable book as per plan could necessitate higher provisioning and put pressure on profitability and hence, this remains a key monitorable for the rating.  The insurance businesses are expected to breakeven only over the next 2-3 years. While the asset reconstruction and alternate assets businesses should continue to support profitability, the group’s ability to scale up the retail lending business while managing credit costs will be important and this remains a key monitorable.

 

In retail lending, the group focuses primarily on mortgages and MSME financing. As on September 30, 2023, this AUM stood at Rs 4,869 crore. This has come down significantly from Rs 11,339 crore as on as at March 2020 and has marginally grown as on September 2023 from Rs 4,271 crore as on June 30, 2023. The decline is owing to the group pivoting to an asset light model with a focus on co-lending as well as for liquidity management. Even from product segment perspective, the group has shifted to mid-size ticket segments. The group has tied up with four partners for the mortgage business and three partners for MSME lending. However, the growth in the co-lending portfolio has been relatively slow, with a delay in operationalising the onboarding and underwriting process with the partners. CRISIL Ratings understands that the operational issues have been steadily resolved and consequently, disbursement has picked up in the first half of fiscal 2024 to Rs 862 crore  from Rs 1,176 crore in full year fiscal 2023. However, the ability to significantly scale up hereon and demonstrate higher profitability in a sustained manner is to be seen.

 

While the asset light model on the credit side reduces the need for on-balance sheet funding compared to past levels, CRISIL Ratings notes that the major source of incremental funding has been through public issue of NCDs, structured NCDs. In this context, it will also be important for the group to demonstrate its ability to diversify its funding sources at optimal costs.

 

While retail lending is a focus area, the group has been consciously running down the wholesale portfolio through various modes. Hence, the wholesale credit on-book has run down to Rs 2,493 crore as on September 30, 2023, from Rs 11,514 crore as on March 31, 2020. While recoveries have contributed to this, the reduction has been primarily due to sell down to ARCs (both internal and external) and AIFs. However, Edelweiss group has retained risks and rewards on a large portion of this and hence, CRISIL Ratings tracks the monitorable portfolio. Gross Stage III of loan book reduced to Rs 758 crore from Rs 1,222 crore as on March 31, 2020. But the overall monitorable portfolio stood at Rs 11,234 crore as on September 30, 2023, on a gross basis.  This comprises gross stage III of Rs 758 crore, loans sold down to external and internal ARCs of Rs 8,628 crore and sold down to AIFs of Rs 1,848 crore. While the monitorable portfolio has reduced from Rs 12,097 crore as on March 31, 2022(Rs 11,383 crore as on March 31, 2021), it remains elevated. However, the group has made provisions against this portfolio, and therefore, the net monitorable portfolio stood at Rs 7,084 core as on September 30, 2023. Further, there are  also recoveries expected against these assets over time which would reduce the monitorable portfolio. Basis management estimates, there is a reasonable level of collateral cover on most of this portfolio.  Going ahead, any challenges in effecting recoveries as per plan could necessitate higher provisioning and put pressure on profitability and hence, this remains a key monitorable for the rating.

 

The group’s capital position, with its demonstrated ability to raise capital even in challenging times, remains a strength for the rating. Networth stood at Rs 6,282 crore as on September 30, 2023. While it has reduced compared to Rs 8,581 crore as on March 31, 2023, this is because the stake of ~30% in Nuvama Wealth Management Ltd (Nuvama) was distributed to the shareholders of EFSL, as part of the demerger. Resultantly, gearing inched up to 3.2 times (excluding CBLO gearing was 2.94 times) as on September 30, 2023, from 2.5 times (2.26 times) as on March 31, 2023. Nevertheless, this remains lower than 4.3 times (3.95 times) as on March 30, 2020, with the group having made conscious efforts to reduce external debt. Total borrowings have reduced to Rs 20,189 crore (excluding CBLO Rs 18,520 crore) as on September 30, 2023, from Rs 27,492 crore (Rs 25,695 crore) as on March 31, 2021, and Rs 35,553 crore (33,754 crore) as on March 31, 2020. CRISIL Ratings notes that as at September 30, 23, the group has financial flexibility on account of the 15.3% stake in Nuvama (market value of ~Rs 1990 crore as on date).

 

The Edelweiss group has also been able to build competitive presence in multiple businesses- it is one of the leading players in the alternate assets business and asset reconstruction business and had also established competitive position (now exited) in wealth and institutional businesses. However, with the rundown of wholesale credit, divestment of the wealth management business, and planned stake sale of the housing finance and general insurance businesses, the diversity in the business risk profile is a monitorable.


[1] Gross Stage 3 accounts in the lending book, security receipts held by the group (including in EARC) pertaining to stressed assets in lending book, and loans sold to AIFs where the external investors have a put option

Analytical Approach

CRISIL Ratings has combined the business and financial risk profiles of EFSL and its subsidiaries.  This is because these entities, collectively referred to as the Edelweiss group, have significant operational, financial and managerial linkages.

 

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:

  • Adequate capitalisation, supported by multiple capital raises

Edelweiss group has demonstrated its ability to raise capital from global investors across businesses, despite the tough macroeconomic environment. The group has raised Rs 4,400 crore since 2016 across lending, wealth management and asset management businesses. This has helped maintain the capital position, despite elevated credit costs and absorb the asset-side risks. The group’s networth stood at Rs 6282 crore as on September 30, 2023, as against Rs 8581 crore as on March 31, 2023 (Rs 8,537 crore as on March 31, 2022). The networth reduced as ~30% Nuvama’s networth was distributed to the shareholders of Edelweiss Financial Services Limited as part of the demerger.

 

Resultantly, gearing inched up to 3.2 times (2.94 times excluding CBLO borrowings) as on September 30, 2023, from 2.5 times (2.26 times) as on March 31, 2023 (2.6 times as on March 31, 2022, and 3.2 times as on March 31, 2021). With increased focus on fee-based businesses, and strategy to grow in credit business through an asset-light model, the incremental debt requirement will be low.  The group has plans to divest its remaining stake in Nuvama group, and fully or partly exit housing and general insurance businesses, which will further aid in unlocking capital and debt reduction.

 

  • Demonstrated ability to build significant competitive position across businesses

The Edelweiss group is a diversified financial services player, with presence in four verticals i.e. credit (wholesale and retail), insurance (life and general), asset management, and asset reconstruction. The group has attained leading positions in the alternate asset and asset reconstruction businesses and is focusing on building market position in other businesses too, which should lend greater stability to earnings over a period of time.

 

The asset management business comprises mutual fund and alternate asset businesses. The group is a leading player in the alternate asset segment and its mutual fund AUM has been growing steadily. The asset management AUM grew to Rs 1,64,000 crore as on September 30, 2023, from Rs 1,51,500 crore as on March 31, 2023.

 

In the distressed assets segment, Edelweiss Asset Reconstruction Company Limited (Edelweiss ARC) is the largest ARC in India, with total securities receipts managed at Rs 37,650 crore as on September 30, 2023 (Rs 37,100 crore and Rs 40,200 crore as on March 31, 2023, and March 31, 2022). From being largely corporate focused, the ARC has, in the recent past, started focusing on retail and micro, small and medium enterprises (MSME) segments. The share of retail is expected to grow over the medium term.

 

In the lending business, while the wholesale book is under run down, the group is focusing on growth in retail through the asset-light model. The group has entered into agreements with various co-lending partners, which are large domestic and foreign banks, for both the priority and non-priority sector portfolios. The key product offerings in the retail credit book would be mortgage and MSME loans.

 

The group also houses the life and general insurance businesses, which are gaining scale and are expected to break even over the medium term.

 

However, with the rundown of wholesale credit, divestment of the wealth management business, and planned stake sale of the housing finance and general insurance businesses, the diversity in the business risk profile is a monitorable.

 

Weaknesses:

  • Subdued profitability for current size and scale considering presence in multiple businesses

Edelweiss Group’s profitability has been lower compared to other large, financial sector groups. However, most of the businesses have been reporting profit since the last quarter of fiscal 2021.

 

The group reported a PAT of Rs 406 crore in fiscal 2023 against Rs 212 crore and Rs 254 crore in fiscal 2022 and fiscal 2021 (loss of Rs 2,044 crore in fiscal 2020); However, profitability has been supported by a one-off item of revaluation gains (and also accelerated provisions made basis the one-off gain), excluding which the profit would have been Rs 248 crore for fiscal 2023. Similarly, profitability for fiscal 2022 and fiscal 2021 was supported by capital gains on stake sale of Rs 306 crore in fiscal 2022 and Rs 1,406 crore in fiscal 2021 respectively.

 

Although in the first half of fiscal 2024, the group reported an improved PAT of Rs 173 crore excluding any one-off items, the quantum and pace of improvement in profitability remains lower than earlier envisaged. Return on average assets (ROA) was 0.8% for the first half of fiscal 2024 against 0.9% for fiscal 2023 and 0.5% for fiscal 2023 and fiscal 2022. The group’s overall profitability is weighted down by losses in insurance businesses, however, ex insurance profit stood at Rs 331 crore for the first half of fiscal 2024 against Rs 730 crore for fiscal 2023 and Rs 523 crore fiscal 2022.

 

Of the various businesses, the asset reconstruction and asset management businesses, mainly alternate assets, remain the largest contributors to overall profitability forming 74% of overall PAT (ex-insurance) for first half of fiscal 2024. The profitability of the credit business has improved from the past levels with credit costs reducing, however remains muted with retail lending yet to gather pace However, additional provisioning is likely to be required on the monitorable book based on the pace and extent of recovery from underlying assets. The insurance businesses are expected to breakeven only over the next 2-3 years. While the asset reconstruction and alternate assets businesses should continue to support profitability, the group’s ability to scale up the retail lending business while managing overall credit costs will be important and this remains a key monitorable.

 

  • Asset quality monitorable with elevated level of monitorable portfolio

The group’s overall gross loan book (excluding monitorable portfolio net off on-book gross stage III assets) stood at Rs 6,250 crore as on September 30, 2023, against Rs 7,548 crore as on March 31, 2023, and Rs 10,502 crore as on March 31, 2022. Of this, retail on book stood at Rs 3,853 crore (Rs 3,795 crore and Rs 6,749 crore) and remaining was wholesale book.

 

The group has been consciously running down the wholesale portfolio through various modes. While recoveries have contributed to this, the reduction has been primarily due to sell down to ARCs (both internal and external) and AIFs.

 

Edelweiss group has retained risks and rewards on a large portion of this and hence, CRISIL Ratings tracks the monitorable portfolio to assess asset quality of the group. This includes gross stage III accounts in the lending book (Rs 758 crore), security receipts held by the group (including in EARC) pertaining to sell down (Rs 8,628 crore) and loans sold down to AIFs (Rs 1,848 crore). Overall monitorable portfolio stood at Rs 11,234 crore. While the monitorable portfolio has reduced from Rs 12,097 crore as on March 31, 2022(Rs 11,383 crore as on March 31, 2021), it remains elevated. CRISIL Ratings notes that although the majority of this monitorable portfolio is on-book exposure of Edelweiss group, some part pertains to exposure of external ARC or AIF wherein the group has extended a put option.

 

The group has made provisions against the monitorable portfolio, and therefore, the net monitorable portfolio stood at Rs 7,084 core as on September 30, 2023. Basis management estimates, there is a reasonable level of collateral cover on most of this portfolio.

 

The overall gross stage III assets in the lending business stood at Rs 758 crore (12.1% of loans) as on September 30, 2023, against Rs 794 crore (10.5%) as on March 31, 2023 (Rs 930 crore ( 8.9%) as on March 31, 2022, and Rs  1,601 crore ( 10.9%) as on March 31, 2021).Retail book gross stage III was Rs 102 crore (2.6%) as on September 30, 2023, against Rs 124 crore (3.3%) and Rs 182 crore (2.7%) as on March 31, 2023, and March 31, 2022.

 

However, any challenges in effecting recoveries as per plan could necessitate higher provisioning and put pressure on profitability and hence, this remains a key monitorable for the rating.

Liquidity: Adequate

The group maintains adequate liquidity. As of the end of November 30, 2023, the group had overnight liquidable assets of Rs 2,812 crore, undrawn bank lines of Rs 179 crore and other liquidable assets (includes short term loans and treasury assets) of Rs 658 crore.  This is adequate to cover upcoming debt repayments till May 2024.

 

ESG:

CRISIL Ratings believes that EFSL’s Environment, Social, and Governance (ESG) profile supports its credit risk profile.

 

The ESG profile of financial institutions typically factors in governance as a key differentiator between them. The sector has reasonable social impact because of its substantial employee and customer base, and it can play a key role in promoting financial inclusion. While the sector does not have a direct adverse environmental impact, the lending decisions may have a bearing on the environment and other sustainability related factors.

 

EFSL group has an evolving focus on strengthening various aspects of its ESG profile.

 

EFSL group’s key ESG highlights:

  • The group has an ESG Council in place since FY20 to provide effective governance on ESG parameters. The council is women led and comprises heads of various units including HR, admin, compliance and governance, marketing, and investor relations.
  • EFSL’s Total water consumption reduced by 55% in fiscal 2023 and green house gases by 45% in comparison to the pre pandemic year FY 20.
  • The company has been doing CSR activities on a continuous basis to reach out to remote parts of rural India to build resilience among communities. In partnership with its philanthropic arm, EdelGive Foundation, it addresses developmental challenges in areas of gender equality, healthcare, education, livelihoods, and climate action.
  • 50% of the board members are independent directors as on March 31, 2023. A dedicated investor grievance redressal mechanism is in place and the disclosures put out by it are extensive.

 

There is growing importance of ESG among investors and lenders. EFSL group’s commitment to ESG will play a key role in enhancing stakeholder confidence, given the presence of foreign investors. 

Outlook: Stable

The ‘Stable’ outlook factors in the group’s adequate capitalisation and flexibility to raise additional capital if needed.

Rating Sensitivity factors

Upward factors

  • Substantial improvement in overall profitability of the group
  • Significant scale up in the retail lending business with sustained return on managed assets of around 2.5%
  • Sharp organic reduction in the monitorable portfolio

 

Downward factors

  • Continued pressure on profitability, with profits going below 2023 levels i.e. lower than Rs 406 crore.
  • Funding access challenges with limited fundraising at optimal costs by the group
  • Slower traction in resolution of monitorable portfolio

About the Company

EFSL was incorporated in 1995 as Edelweiss Capital Ltd. The company, on standalone basis, is primarily engaged in investment banking services and provides development, managerial and financial support to group entities.

 

On standalone basis, EFSL’s networth stood at Rs 4,919 crore as on September 30, 2023. The company reported PAT of Rs 2,388 crore on total income (net off interest exp) of Rs 2,786 crore in fiscal 2023, as against PAT of Rs 933 crore on total income of Rs 1,158 crore in fiscal 2022.

 

The company reported PAT of Rs 159 crore on total income (net off interest exp) of Rs 197.5 crore for first half of fiscal 2024 against PAT of Rs 147 crore on total income of Rs 407.8 crore.

About the Group

The Edelweiss group comprised 28 subsidiaries and associates as on September 30, 2023. The number of companies has come down from 74 as on March 31, 2016, because of multiple factors such as sale, windup and merger among others. The group had 293 offices (including 10 international offices in 6 locations) in around 136 cities as on March 31, 2022. Furthermore, as part of streamlining its operating structure, the group has restructured the businesses into four verticals namely credit, insurance, asset management and asset reconstruction.

 

The group is present across various financial services businesses, including loans to individuals, mortgage finance - loans against property and small-ticket housing loans, MSME finance, alternative and domestic asset management, and life and general insurance. In addition, the Balance sheet Management Unit (BMU) focuses on liquidity and asset-liability management.

 

On a consolidated basis, the group reported PAT of Rs 406 crore on a total income of Rs 6,058 crore for fiscal 2023, as against PAT of Rs 212 crore on a total income of Rs 4,228 crore for fiscal 2022. 

 

For the first half of fiscal 2024, the group reported PAT of Rs 173 crore on a total income of Rs 2,819 crore as against PAT of Rs 112 crore on a total income of Rs 2,121 crore during similar period in previous fiscal.

Key Financial Indicators: EFSL (consolidated)

As on/for the period ended

 

March 2023

March 2022

Total assets

Rs crore

44,064

43,279

Total income net off interest expense

Rs crore

6,058

4,320

PAT

Rs crore

406

212

Gross stage III assets^

Rs crore

794

930

Gross stage III assets

%

10.5

7.4

Net stage III assets

Rs crore

156

201

Net stage III assets

%

2.1

1.1

Gearing

Times

2.4

2.5

Return on assets

%

0.9

0.5

 

As on/for the period ended

 

Sept 2023

Sept 2022

Total assets

Rs crore

41,130

42,521

Total income net off interest expense

Rs crore

2,819

2121

PAT

Rs crore

173

112

Gross stage III assets

Rs crore

758

944

Gross stage III assets

%

12.1

10.0

Net stage III assets

Rs crore

96

336

Net stage III assets

%

1.8

4.0

Gearing

Times

3.2

2.4

Return on assets

%

0.8

0.5

^refers to gross stage III of the on balance sheet loan book. The reported gross stage III assets as per annual report is Rs 13,155 crore as on March 31, 2023, and Rs 12,368 crore as on March 31, 2022. Net Stage III was Rs 8313 crore and Rs 8681 crore respectively. These include stage III assets in EARC on monitorable book sold down by ECL Finance, interest accrued on non-performing assets and stage III assets held by group entities other than NBFCs on trade and general-purpose advances.

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 (INR.Crs)

Complexity Level

Rating with Outlook

INE532F07BK7

Non-Convertible Debentures*

8-Jan-21

9.35%

8-Jan-24

58.4

Simple

CRISIL A+/Stable

INE532F07BL5

Non-Convertible Debentures*

8-Jan-21

Zero Coupon

8-Jan-24

15.49

Simple

CRISIL A+/Stable

INE532F07BM3

Non-Convertible Debentures*

8-Jan-21

9.39%

8-Jan-26

55.9

Simple

CRISIL A+/Stable

INE532F07BN1

Non-Convertible Debentures*

8-Jan-21

9.80%

8-Jan-26

34.21

Simple

CRISIL A+/Stable

INE532F07BO9

Non-Convertible Debentures*

8-Jan-21

Zero Coupon

8-Jan-26

10.8

Simple

CRISIL A+/Stable

INE532F07BP6

Non-Convertible Debentures*

8-Jan-21

9.53%

8-Jan-31

18.07

Simple

CRISIL A+/Stable

INE532F07BQ4

Non-Convertible Debentures*

8-Jan-21

9.95%

8-Jan-31

7.13

Simple

CRISIL A+/Stable

INE532F07BV4

Non-Convertible Debentures*

29-Apr-21

9.10%

29-Apr-24

50.02

Simple

CRISIL A+/Stable

INE532F07BW2

Non-Convertible Debentures*

29-Apr-21

Zero Coupon

29-Apr-24

12.5

Simple

CRISIL A+/Stable

INE532F07BX0

Non-Convertible Debentures*

29-Apr-21

9.16%

29-Apr-26

81.92

Simple

CRISIL A+/Stable

INE532F07BY8

Non-Convertible Debentures*

29-Apr-21

9.55%

29-Apr-26

30.11

Simple

CRISIL A+/Stable

INE532F07BZ5

Non-Convertible Debentures*

29-Apr-21

Zero Coupon

29-Apr-26

9.3

Simple

CRISIL A+/Stable

INE532F07CA6

Non-Convertible Debentures*

29-Apr-21

9.30%

29-Apr-31

19.13

Simple

CRISIL A+/Stable

INE532F07CB4

Non-Convertible Debentures*

29-Apr-21

9.70%

29-Apr-31

15.72

Simple

CRISIL A+/Stable

NA

Non-Convertible Debentures*^

NA

NA

NA

81.3

Simple

CRISIL A+/Stable

INE532F07CL3

Retail Bonds*

28-Dec-21

8.75%

28-Dec-23

73.7

Simple

CRISIL A+/Stable

INE532F07CM1

Retail Bonds*

28-Dec-21

zero interest

28-Dec-23

11.94

Simple

CRISIL A+/Stable

INE532F07CN9

Retail Bonds*

28-Dec-21

8.75%

28-Dec-24

83.39

Simple

CRISIL A+/Stable

INE532F07CO7

Retail Bonds*

28-Dec-21

9.10%

28-Dec-24

60.56

Simple

CRISIL A+/Stable

INE532F07CP4

Retail Bonds*

28-Dec-21

Zero Interest

28-Dec-24

16.61

Simple

CRISIL A+/Stable

INE532F07CQ2

Retail Bonds*

28-Dec-21

9.15%

28-Dec-26

77.76

Simple

CRISIL A+/Stable

INE532F07CR0

Retail Bonds*

28-Dec-21

9.55%

28-Dec-26

75.8

Simple

CRISIL A+/Stable

INE532F07CS8

Retail Bonds*

28-Dec-21

Zero Interest

28-Dec-26

12.17

Simple

CRISIL A+/Stable

INE532F07CT6

Retail Bonds*

28-Dec-21

9.30%

28-Dec-31

31.1

Simple

CRISIL A+/Stable

INE532F07CU4

Retail Bonds*

28-Dec-21

9.70%

28-Dec-31

13.22

Simple

CRISIL A+/Stable

INE532F07CV2

Retail Bonds*

20-Oct-22

8.85%

20-Oct-24

22

Simple

CRISIL A+/Stable

INE532F07CW0

Retail Bonds*

20-Oct-22

Zero Interest

20-Oct-24

11

Simple

CRISIL A+/Stable

INE532F07CX8

Retail Bonds*

20-Oct-22

8.90%

20-Oct-25

58

Simple

CRISIL A+/Stable

INE532F07CY6

Retail Bonds*

20-Oct-22

9.25%

20-Oct-25

42

Simple

CRISIL A+/Stable

INE532F07CZ3

Retail Bonds*

20-Oct-22

Zero Interest

20-Oct-25

23

Simple

CRISIL A+/Stable

INE532F07DB2

Retail Bonds*

20-Oct-22

9.35%

20-Oct-27

122

Simple

CRISIL A+/Stable

INE532F07DC0

Retail Bonds*

20-Oct-22

9.75%

20-Oct-27

32

Simple

CRISIL A+/Stable

INE532F07DA4

Retail Bonds*

20-Oct-22

Zero Interest

20-Oct-27

10

Simple

CRISIL A+/Stable

INE532F07DD8

Retail Bonds*

20-Oct-22

9.65%

20-Oct-32

26

Simple

CRISIL A+/Stable

INE532F07DE6

Retail Bonds*

20-Oct-22

10.10%

20-Oct-32

19

Simple

CRISIL A+/Stable

INE532F07EJ3

Retail Bonds*

26-Oct-23

8.95%

26-Oct-26

9.77

Simple

CRISIL A+/Stable

INE532F07EQ8

Retail Bonds*

26-Oct-23

9.20%

26-Oct-26

28.75

Simple

CRISIL A+/Stable

INE532F07EP0

Retail Bonds*

26-Oct-23

9.60%

26-Oct-26

33.86

Simple

CRISIL A+/Stable

INE532F07EO3

Retail Bonds*

26-Oct-23

9.67%

26-Oct-28

40.35

Simple

CRISIL A+/Stable

INE532F07EM7

Retail Bonds*

26-Oct-23

10.10%

26- Oct-28

17.95

Simple

CRISIL A+/Stable

INE532F07EL9

Retail Bonds*

26-Oct-23

10.00%

26- Oct-33

18.73

Simple

CRISIL A+/Stable

INE532F07EK1

Retail Bonds*

26-Oct-23

10.45%

26- Oct-33

8.48

Simple

CRISIL A+/Stable

INE532F07ER6

Retail Bonds*

26-Oct-23

Zero Coupon

26- Oct-25

3.31

Simple

CRISIL A+/Stable

INE532F07ES4

Retail Bonds*

26-Oct-23

Zero Coupon

26-Oct-26

8.72

Simple

CRISIL A+/Stable

INE532F07EN5

Retail Bonds*

26-Oct-23

Zero Coupon

26-Oct-28

6.21

Simple

CRISIL A+/Stable

NA

Retail Bond^*

NA

NA

NA

2.62

Simple

CRISIL A+/Stable

NA

Non-Convertible Debentures^

NA

NA

NA

850

Simple

CRISIL A+/Stable

NA

Non-Convertible Debentures*^

NA

NA

NA

1500

Simple

CRISIL A+/Stable

INE532F07EA2

Non-Convertible Debentures*

21-Jul-23

8.95%

21-Jul-25

10.02

Simple

CRISIL A+/Stable

INE532F07EB0

Non-Convertible Debentures*

21-Jul-23

Zero Coupon

21-Jul-25

5.71

Simple

CRISIL A+/Stable

INE532F07EC8

Non-Convertible Debentures*

21-Jul-23

9.20%

21-Jul-26

36.61

Simple

CRISIL A+/Stable

INE532F07ED6

Non-Convertible Debentures*

21-Jul-23

9.60%

21-Jul-26

29.71

Simple

CRISIL A+/Stable

INE532F07EE4

Non-Convertible Debentures*

21-Jul-23

Zero Coupon

21-Jul-26

15.15

Simple

CRISIL A+/Stable

INE532F07EG9

Non-Convertible Debentures*

21-Jul-23

9.67%

21-Jul-28

78.51

Simple

CRISIL A+/Stable

INE532F07EH7

Non-Convertible Debentures*

21-Jul-23

10.10%

21-Jul-28

28.06

Simple

CRISIL A+/Stable

INE532F07EF1

Non-Convertible Debentures*

21-Jul-23

Zero Coupon

21-Jul-28

8.63

Simple

CRISIL A+/Stable

INE532F07EI5

Non-Convertible Debentures*

21-Jul-23

10.00%

21-Jul-33

34.43

Simple

CRISIL A+/Stable

INE532F07DZ1

Non-Convertible Debentures*

21-Jul-23

10.45%

21-Jul-33

11.17

Simple

CRISIL A+/Stable

NA

Non-Convertible Debentures*^

NA

NA

NA

91.4

Simple

CRISIL A+/Stable

INE532F07DQ0

Non-Convertible Debentures*

27-Apr-23

8.95%

27-Apr-25

13.3

Simple

CRISIL A+/Stable

INE532F07DR8

Non-Convertible Debentures*

27-Apr-23

Zero Coupon

27-Apr-25

7.8

Simple

CRISIL A+/Stable

INE532F07DP2

Non-Convertible Debentures*

27-Apr-23

9.20%

27-Apr-26

38.1

Simple

CRISIL A+/Stable

INE532F07DS6

Non-Convertible Debentures*

27-Apr-23

9.60%

27-Apr-26

28.1

Simple

CRISIL A+/Stable

INE532F07DU2

Non-Convertible Debentures*

27-Apr-23

Zero Coupon

27-Apr-26

10.7

Simple

CRISIL A+/Stable

INE532F07DT4

Non-Convertible Debentures*

27-Apr-23

9.67%

27-Apr-28

68.7

Simple

CRISIL A+/Stable

INE532F07DV0

Non-Convertible Debentures*

27-Apr-23

10.10%

27-Apr-28

29.8

Simple

CRISIL A+/Stable

INE532F07DW8

Non-Convertible Debentures*

27-Apr-23

Zero Coupon

27-Apr-28

9.9

Simple

CRISIL A+/Stable

INE532F07DX6

Non-Convertible Debentures*

27-Apr-23

10.00%

27-Apr-33

34.6

Simple

CRISIL A+/Stable

INE532F07DY4

Non-Convertible Debentures*

27-Apr-23

10.45%

27-Apr-33

12.2

Simple

CRISIL A+/Stable

INE532F07DF3

Non-Convertible Debentures*

20-Jan-23

9.00%

20-Jan-25

20

Simple

CRISIL A+/Stable

INE532F07DO5

Non-Convertible Debentures*

20-Jan-23

Zero Interest

20-Jan-25

9.9

Simple

CRISIL A+/Stable

INE532F07DM9

Non-Convertible Debentures*

20-Jan-23

9.20%

20-Jan-26

54.5

Simple

CRISIL A+/Stable

INE532F07DN7

Non-Convertible Debentures*

20-Jan-23

9.60%

20-Jan-26

49.8

Simple

CRISIL A+/Stable

INE532F07DL1

Non-Convertible Debentures*

20-Jan-23

Zero Interest

20-Jan-26

20.2

Simple

CRISIL A+/Stable

INE532F07DK3

Non-Convertible Debentures*

20-Jan-23

9.67%

20-Jan-28

119.8

Simple

CRISIL A+/Stable

INE532F07DJ5

Non-Convertible Debentures*

20-Jan-23

10.10%

20-Jan-28

36.7

Simple

CRISIL A+/Stable

INE532F07DG1

Non-Convertible Debentures*

20-Jan-23

Zero Interest

20-Jan-28

15.5

Simple

CRISIL A+/Stable

INE532F07DH9

Non-Convertible Debentures*

20-Jan-23

10.00%

20-Jan-33

47.2

Simple

CRISIL A+/Stable

INE532F07DI7

Non-Convertible Debentures*

20-Jan-23

10.45%

20-Jan-33

23.8

Simple

CRISIL A+/Stable

NA

Commercial Paper Programme

NA

NA

7-365 days

500

Simple

CRISIL A1+

NA

Long Term Principal Protected Market Linked Debentures^

NA

NA

NA

300

Highly Complex

CRISIL PPMLD A+/Stable

NA

Non-Convertible Debentures*^

NA

NA

NA

1000

Simple

CRISIL A+/Stable

^yet to be issue

*public issue

Annexure – List of entities consolidated

Names of Entities Consolidated

Extent of Consolidation

Rationale for Consolidation

ECL Finance Ltd

Full

Subsidiary

Edelcap Securities Ltd

Full

Subsidiary

Edelweiss Asset Management Ltd

Full

Subsidiary

ECap Securities and Investments Limited

(Formerly known as ECap Equities Limited)

Full

Subsidiary

Edelweiss Trusteeship Company Ltd

Full

Subsidiary

Nido Home Finance Limited (formerly known

as Edelweiss Housing Finance Ltd)

Full

Subsidiary

Edelweiss Investment Adviser Ltd

Full

Subsidiary

ECap Equities Limited (formerly known as Edel Land Limited)

Full

Subsidiary

Edelweiss Investment Advisors Ltd

Full

Subsidiary

Edelweiss Rural & Corporate Services Ltd

Full

Subsidiary

Comtrade Commodities Services Limited (Formerly known as Edelweiss Comtrade Ltd)

Full

Subsidiary

Edel Finance Company Ltd

Full

Subsidiary

Edelweiss Retail Finance Ltd

Full

Subsidiary

Edelweiss Multi Strategy Fund Advisors LLP

Full

Subsidiary

Zuno General Insurance Limited (formerly

known as Edelweiss General Insurance Company Ltd)

Full

Subsidiary

Edelweiss Securities and Investment Pvt Ltd

Full

Subsidiary

EC International Ltd

Full

Subsidiary

Nuvama Investment Advisors LLC (formerly

known as EAAA LLC)

Full

Subsidiary

Edelweiss Alternative Asset Advisors Pte. Ltd

Full

Subsidiary

Edelweiss International (Singapore) Pte Ltd

Full

Subsidiary

EdelGive Foundation

Full

Subsidiary

Edelweiss Alternative Asset Advisors Ltd

Full

Subsidiary

Edelweiss Private Equity Tech Fund

Full

Subsidiary

Edelweiss Value and Growth Fund

Full

Subsidiary

Edelweiss Asset Reconstruction Company Ltd

Full

Subsidiary

Edelweiss Tokio Life Insurance Company Ltd

Full

Subsidiary

Allium Finance Private Ltd

Full

Subsidiary

Edelweiss Global Wealth Management Limited

Full

Subsidiary

Edelweiss Capital Services Ltd

Full

Subsidiary

India Credit Investment Fund II

Full

Subsidiary

Sekura India Management Ltd

Full

Subsidiary

Edelweiss Retail Assets Managers Ltd

Full

Subsidiary

 

Annexure - Rating History for last 3 Years
  Current 2023 (History) 2022  2021  2020  Start of 2020
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Commercial Paper ST 500.0 CRISIL A1+ 31-08-23 CRISIL A1+ 01-12-22 CRISIL A1+ 22-10-21 CRISIL A1+ 07-09-20 CRISIL A1+ CRISIL A1+
      -- 22-06-23 CRISIL A1+ 21-10-22 CRISIL A1+ 09-09-21 CRISIL A1+ 25-05-20 CRISIL A1+ --
      -- 03-02-23 CRISIL A1+ 04-03-22 CRISIL A1+ 27-08-21 CRISIL A1+   -- --
      --   --   -- 02-08-21 CRISIL A1+   -- --
Non Convertible Debentures LT 4850.0 CRISIL A+/Stable 31-08-23 CRISIL AA-/Negative 01-12-22 CRISIL AA-/Negative 22-10-21 CRISIL AA-/Negative   -- --
      -- 22-06-23 CRISIL AA-/Negative 21-10-22 CRISIL AA-/Negative 09-09-21 CRISIL AA-/Negative   -- --
      -- 03-02-23 CRISIL AA-/Negative 04-03-22 CRISIL AA-/Negative   --   -- --
Retail Bond LT 1000.0 CRISIL A+/Stable 31-08-23 CRISIL AA-/Negative 01-12-22 CRISIL AA-/Negative 22-10-21 CRISIL AA-/Negative   -- --
      -- 22-06-23 CRISIL AA-/Negative 21-10-22 CRISIL AA-/Negative 09-09-21 Withdrawn   -- --
      -- 03-02-23 CRISIL AA-/Negative 04-03-22 CRISIL AA-/Negative 27-08-21 CRISIL AA-/Negative   -- --
      --   --   -- 02-08-21 CRISIL AA-/Negative   -- --
Long Term Principal Protected Market Linked Debentures LT 300.0 CRISIL PPMLD A+/Stable 31-08-23 CRISIL PPMLD AA-/Negative 01-12-22 CRISIL PPMLD AA- r /Negative 22-10-21 CRISIL PPMLD AA- r /Negative   -- --
      -- 22-06-23 CRISIL PPMLD AA-/Negative 21-10-22 CRISIL PPMLD AA- r /Negative 09-09-21 CRISIL PPMLD AA- r /Negative   -- --
      -- 03-02-23 CRISIL PPMLD AA-/Negative 04-03-22 CRISIL PPMLD AA- r /Negative 27-08-21 CRISIL PPMLD AA- r /Negative   -- --
All amounts are in Rs.Cr.

                                            

Criteria Details
Links to related criteria
Rating Criteria for Finance Companies
CRISILs Criteria for rating short term debt
CRISILs Criteria for Consolidation

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