Fitch rates Indian Oiltanking loans AA-(ind)

Fitch Ratings said it assigned a national long-term issuer rating of AA-(ind) with a stable outlook to Indian Oiltanking Ltd., along with an AA-(ind) rating to its outstanding long-term bank loans aggregating Rs. 1,425.9 million, as well as to its Rs. 300 million cash credit facility. Fitch also said it assigned a short-term rating of F1+(ind) to its Rs. 500 million letter of credit facility and a AA-(ind) /F1+(ind) to the company's bank guarantee facilities aggregating Rs. 3,450 million and to other working capital facilities aggregating Rs. 5,900 million. Fitch also affirmed the company's outstanding short-term debt/commercial paper program of Rs. 300 million carved out of its fund-based limits.

The ratings factor in the technical capabilities of the company in its engineering procurement and construction division, Fitch said. The rating also factors in its proven ability to manage the rapid increase in scale over the past year, the agency said.

The ratings are constrained by the company's aggressive expansion plans, Fitch added.

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