VIS Credit Rating Company reaffirms ER of Soorty Enterprises

KARACHI: VIS Credit Rating Company Limited has reaffirmed entity ratings of double A Minus/A-One to Soorty Enterprises Limited .

Long-term rating of ‘AA-‘ reflects high credit quality, strong protection factors, and moderate risk but may vary slightly because of economic conditions. Short-Term rating of ‘A-1’ indicates high certainty of timely payment, excellent liquidity factors supported by good fundamental protection factors and minor risk factors. Outlook on the assigned ratings is stable. Previous rating action was announced on Dec. 31, 2018, said release here on Wednesday.

Assigned ratings take into account SEL’s position as one of the leading denim fabric and garment manufacturers in the country with vertically integrated operations, and international presence. Ratings also incorporate the company’s satisfactory operating track record, moderate business risk and strong financial risk profile. Reaffirmation of ratings incorporates SEL remaining compliant with all communicated financial benchmarks.

Over the last few years, SEL has continued to enhance its capacity in spinning, denim fabric and garment segment with increased focus on sustainability initiatives.