Fitch: IVRCL outlook negative

Fitch Ratings said it revised IVRCL Infrastructure Projects Ltd.'s outlook to negative from stable and affirmed its national long-term rating and Rs. 2 billion non-convertible debenture program at AA-(ind).

The agency said the negative outlook reflects its concerns about possible higher leverage due to execution risks with respect to IVRCL's build-operate-transfer projects, which are experiencing time and cost overruns, and lower profitability in the construction business.

IVRCL's ratings continue to reflect its strong competitive market position, long operating track record and presence in the infrastructure sector, which Fitch said is likely to display strong continued growth.

As of March 31, the debt-to-EBITDA ratio was 3.3 times.

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