TVS Holdings' ₹1,000 crore NCDs reaffirmed at CRISIL AA+/Stable
- Credit rating
- Holding company (investments in TVS Motor Company and Home Credit India Finance)
Reviewed byKeshav SehgalBlacklitt Research
TVS Holdings (NSE: TVSHLTD) had its non-convertible debentures of ₹1,000 crore reaffirmed at CRISIL AA+/Stable, it said in a filing on 06 Nov 2026. The rating rationale is dated the same day. The company's debt stood at ₹1,600 crore as on 30 Sep 2026.
Key highlights
- Rated NCDs: ₹1,000 crore, CRISIL AA+/Stable reaffirmed
- Outstanding NCDs: ₹650 crore; yet to be issued: ₹350 crore
- Debt as on 30 Sep 2026: ₹1,600 crore, against ₹950 crore on 31 Mar 2025
- Estimated debt cover: about 12 times
The rating action in numbers
| Item | Detail |
|---|---|
| Instrument | Non-convertible debentures (NCDs) |
| Amount | ₹1,000 crore: ₹650 crore outstanding and ₹350 crore yet to be issued |
| Rating | CRISIL AA+/Stable, reaffirmed |
| Rated NCD | ISIN INE105A08022, 8.65% coupon, matures 7 Jun 2029, classed as Complex |
| Debt as on 30 Sep 2026 | ₹1,600 crore |
| Debt cover | About 12 times, per CRISIL |
The rating rests on the TVS Motor holding
The rationale puts the market value of that holding at about ₹1 lakh crore as on 2 Nov 2026, which it translates into debt cover of about 12 times.
CRISIL sets a downward sensitivity at debt cover falling materially, for instance below 10 times, and says the outlook is Stable. The debt figure rose from ₹950 crore on 31 Mar 2025 to ₹1,600 crore on 30 Sep 2026, and CRISIL says it was similar to the figure on 31 Mar 2026.
Debt maturities and the Home Credit exposure
The company has debt obligations of ₹1,300 crore in fiscal 2029 and ₹300 crore in fiscal 2030. CRISIL expects these to be funded mainly through internal accruals, including dividend income from TVS Motor and royalty income, and partly through refinancing.
CRISIL also notes increasing exposure to Home Credit India Finance Pvt Ltd. The company put about ₹484 crore into that subsidiary's rights issue on 2 Nov 2026 and kept its stake at 74.45%. CRISIL expects the exposure to rise further after the proposed demerger of consumer finance business from TVS Motor.
What the rating means for TVS Holdings' shareholders
The reaffirmation leaves the rated instrument at AA+/Stable and keeps the outlook at Stable, according to CRISIL. The filing does not say when the ₹350 crore of NCDs yet to be issued will be issued, or whether CRISIL expects to act on the rating before then. It also does not say what effect the proposed demerger and scheme will have on the company's rating or debt.
The next dated step in the filing is the rated NCD's maturity on 7 Jun 2029, the first of the debt obligations.
Filed with BSE on . Reference: Original filing (PDF)
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