Product Quantum (Rs. Cr) (SEBI) Quantum (Rs. Cr) (Other FSR) Long Term Rating Short Term Rating Regulated By
Commercial Paper (CP) 0.00 50.00 - ACUITE A2+ | Assigned RBI
Total Outstanding 0.00 50.00 - - -
Total Withdrawn 0.00 0.00 - - -
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
 

Rating Rationale

­Acuité has assigned the short-term rating of ‘ACUITE A2+’ (read as ACUITE A two plus) on the Rs. 50.00 Cr. Proposed Commercial Paper Facility of Epimoney Private Limited (EPL).

Rationale for Rating


The rating assigned factors in the strong growth in AUM and disbursements, adequate capitalization, and strong promoter and institutional investor backing. The company’s disbursements increased to Rs 3,783.52 Cr. in FY26(Provisional) from Rs 1,756.21 Cr. in FY23, while AUM grew from Rs 1,064.47 Cr. to Rs 2,920.93 Cr. over the same period. Since inception, EPL has raised Rs 824.31 Cr. from reputed investors, including Maj Invest Financial Inclusion Fund, Accion Digital Transformation Fund, Nuveen Climate Inclusion Fund II, The Fundamentum Partnership Fund, and British International Investment PLC. However, the rating is constrained by modest profitability, moderate asset quality, and a concentrated resource profile. The company has shown steady earnings improvement, with PAT which stood at Rs 4.18 Cr. in FY25 on a consolidated basis, and Rs 17.54 Cr. on a standalone basis for FY26 (Provisional).  The Gross NPA saw an increase from 1.44% in FY23 to 5.79% in FY25 (on book) before moderating to 4.72% in FY26. However, the rating is constrained by a concentrate borrowing profile, moderate asset quality and modest earning profile albeit improving. The borrowing profile is dominated by term loans (~71%), while PTCs account for ~26.6% and the remaining being NCDs.
Going forward, EPL’s ability to reduce operating expenses and credit costs, while maintaining healthy profitability and asset quality while it scales its loan portfolio, will remain key monitorables.

Analytical Approach

Key Rating Drivers

Rating Sensitivity

Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
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