Two information technology majors -- TCS and Infosys -- are rated two notches above the sovereign
Genpact (Baa3 stable) and UPL Corporation (Baa3 stable) will not be impacted by the potential downgrade in India’s rating to “Ba1” and their present rating may be retained, according to Moody’s.
The rating agency said in a statement that five Indian firms meet the criteria for being rated ‘above the sovereign’. They are financially strong, with significant global earnings. The others are Tata Consultancy Services (Baa1 negative), Infosys (Baa1 negative), and Reliance Industries (Baa2 negative), all rated above the sovereign.
TCS, Infosys, and RIL will retain their investment-grade status even at lower ratings. However, government-owned or government-linked firms will lose their investment-grade ratings.
First Published: Jul 03 2020 | 8:50 PM IST