Authum Investment & Infrastructure Limited (Authum) has received a significant boost to its credit profile as CRISIL Ratings upgraded its long-term bank loan facilities rating to 'Crisil A/Stable' from 'Crisil A-/Stable'. This upgrade applies to facilities worth Rs. 1000 crore, reflecting the company's strengthened financial position and diversified business strategy.

Key Highlights

• Credit Rating Upgrade: CRISIL Ratings has upgraded Authum's long-term bank loan facilities rating to 'Crisil A/Stable' from 'Crisil A-/Stable'.
• Strengthened Capital Position: The company's networth increased to Rs 14,690 crore as of March 31, 2025, and further to Rs 16,670 crore by June 30, 2025.
• Diversified Business Strategy: Authum is expanding into lending, asset reconstruction, and collections services.
• Profitable Performance: Consolidated profit after tax for fiscal 2025 stood at Rs 4,241 crore.

Financial Performance

Authum's financial performance has shown remarkable strength, as evidenced by its latest financial indicators:

All figures in Rs. crore, except Gearing which is in times

Business Diversification

The company is actively diversifying its business model:

• Investment Portfolio: Constitutes 79% of total assets as of March 31, 2025.
• Lending Business: Growing steadily, with a loan book of Rs 2,168 crore as of March 31, 2025.
• Asset Reconstruction: Recently acquired an ~88% stake in India SME Asset Reconstruction Company Limited (ISARC).

Asset Quality

Authum maintains a focus on asset quality:

• Gross Non-Performing Assets (GNPA): 10.5% (including PTC) and 3.8% (excluding PTC) as of June 30, 2025.
• Net Non-Performing Assets (NNPA): 0.9% (including PTC) and 1.1% (excluding PTC) as of June 30, 2025.

Future Outlook

CRISIL Ratings maintains a 'Stable' outlook for Authum, expecting the company's capitalization to remain healthy. The rating agency anticipates continued diversification in Authum's business risk profile through sustained and profitable scale-up in non-investment businesses.

However, the company's performance remains susceptible to macroeconomic factors and volatility in capital markets, given its significant investment portfolio. Authum's ability to maintain asset quality and profitability while scaling its non-investment businesses will be crucial for its future growth and stability.

The credit rating upgrade reflects Authum's strengthened financial position and its strategic moves towards business diversification. As the company continues to expand its lending and asset reconstruction services, it will be important to monitor its ability to maintain strong asset quality and profitability in these new ventures.

Authum Investment & Infrastructure Limited has announced significant corporate actions, including a major preference share issuance and changes to its board composition. The company's Board of Directors approved these decisions in a meeting held on October 16, 2025.

Preference Share Issuance

The Board has approved issuing up to 2.45 crore Non-Cumulative Non-Convertible Redeemable Preference Shares (NCRPS) to its promoter, Mentor Capital Limited, through private placement. This move is subject to shareholder approval.

Key details of the NCRPS issuance:

Board Changes

Ms. Alpana Dangi has resigned from her position as Non-Executive Director, effective from the close of business hours on October 16, 2025. The resignation is attributed to personal commitments.

Additional Approvals

The Board has also approved seeking shareholder approval through postal ballot for:

1. Appointing Mr. Rajeev RA as an Independent Director
2. Approving material related party transactions with Mentor Capital Limited
3. The issuance of the Non-Cumulative Non-Convertible Redeemable Preference Shares

Postal Ballot Details

• Notice circulation date: On or before October 18, 2025
• E-voting period: October 19, 2025 (9:00 A.M. IST) to November 17, 2025 (5:00 P.M. IST)
• Cut-off date for eligible voters: October 10, 2025

These corporate actions, particularly the substantial preference share issuance, may have significant implications for Authum Investment & Infrastructure's capital structure and future financial strategies. Shareholders and market observers will be closely watching the outcome of the postal ballot and the subsequent implementation of these decisions.