Nexus Select Trust has secured an [ICRA]AAA (Stable) rating for its debt instruments, covering a total exposure of Rs 3,300 crore. This includes the reaffirmation of existing non-convertible debentures and a new rating for proposed debt. An AAA rating reflects the highest level of safety for timely interest and principal payments, offering investors confidence in the REIT’s financial health and debt-servicing stability.
Nexus Select Trust Secures [ICRA]AAA Rating for Rs 3,300 Crore Debt
Total Rated Amount: Rs 3,300 crore
Instrument Rating: [ICRA]AAA (Stable)
Reader Takeaway: The AAA rating confirms the highest financial safety for investors, underscoring stable debt repayment capabilities.
What just happened
Nexus Select Trust announced that credit rating agency ICRA Limited has reaffirmed the [ICRA]AAA (Stable) rating for the REIT's issuer profile and its existing non-convertible debentures (NCDs) worth Rs 2,550 crore. Additionally, ICRA has assigned an [ICRA]AAA (Stable) rating to the trust’s proposed NCDs amounting to Rs 750 crore.
Why this matters
An [ICRA]AAA rating is the highest credit quality assigned by the agency, indicating the lowest level of credit risk. For unitholders and debt investors, this serves as a strong endorsement of the REIT’s robust financial structure and its ability to consistently meet debt obligations under stable economic conditions.
What changes now
With the ratings firmly in place, Nexus Select Trust maintains its high-grade status in the capital markets. The trust is now obligated to ensure ongoing surveillance by ICRA and must promptly report any material changes, delays in payments, or financial developments that could influence its credit standing.
Context metrics
The Rs 3,300 crore total debt is spread across various ISINs, ranging from individual tranches of Rs 200 crore to Rs 600 crore. This rating action adheres to the regulatory requirements stipulated under SEBI’s REIT Regulations, 2014, and ensures transparency for investors regarding the trust's leverage profile.