ICRA Limited has assigned ‘ICRA AA-/Stable’ credit rating for ACME Solar Holdings Limited (ACME Solar) Long-Term Non-Fund based bank facilities.
This is the highest credit rating received by Acme Solar till date from any credit rating agency, and this shall potentially enable reduction in cost of debt in the Company and its subsidiaries.
ICRA attributes the rating to ACME Solar’s diversified portfolio across multiple locations and off takers (primarily Central), revenue visibility from long term PPAs, optimal generation performance and comfortable debt coverage metrics.
The rating also reflects the company’s satisfactory track record in developing and stabilising renewable power projects over the years. In addition, ICRA notes the strengthening of company’s financial profile post-IPO and the availability of equity funding to support its under construction projects.