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Inox Wind Limited (IWL), a leading wind energy solutions provider in India, has received an upgrade in its banking facility ratings from CARE Ratings (CARE). The rating agency has assigned a ‘CARE A1+’ rating to the company’s short-term bank facilities, up from the previous ‘CARE A1’ rating. This upgrade highlights IWL’s strong financial position, as it makes substantial use of its banking facilities, primarily through letters of credit (LC) and bank guarantees (BG).
Additionally, IWL’s long-term bank facilities have been upgraded to a ‘CARE A+ / STABLE’ rating from the earlier ‘CARE A / Stable’ rating. The long-term facilities are rarely used for cash management, as the company’s balance sheet is already net cash positive. The upgrade marks the second time within a fortnight that a rating agency has recognized IWL’s strong financial standing by assigning the highest rating for its short-term banking facilities.
The rating upgrade reflects the improvement in IWL’s business risk profile, which is driven by significant progress in its operating and financial performance. The company’s business is expanding rapidly, supported by a strong growth outlook, particularly in its order execution and profitability. IWL’s robust order book, which stands at approximately 3.5 GW, is bolstered by a large order pipeline, positioning the company well as India continues to ramp up renewable energy capacity in the coming years. The upgrade reinforces IWL’s strong financial position and its role in India’s renewable energy sector.
