Dalmia Bharat Sugar & Industries has received a significant boost to its short-term borrowing capabilities with ICRA Limited reaffirming its top-tier credit rating while doubling the commercial paper program amount. On December 12, 2025, ICRA reaffirmed the [ICRA]A1+ rating for the company's commercial paper program, enhancing the amount from ₹500.00 crore to ₹1000.00 crore.

Rating Enhancement Details

The rating action demonstrates ICRA's continued confidence in the company's financial strength:

ICRA's Rationale for Rating Reaffirmation

ICRA's rating reaffirmation takes into account several key strengths of Dalmia Bharat Sugar and Industries Limited. The rating agency highlighted the company's operationally-efficient sugar mill operations with healthy gross recovery rates reported over the years. This performance has been aided by high-yielding cane in the varietal mix and comprehensive cane developmental activities undertaken by the company.

Operational Strengths and Diversification

The company operates with a crushing capacity of 43,200.00 tonnes of cane per day (TCD) across Uttar Pradesh and Maharashtra, providing buffer against agro-climatic fluctuations. ICRA noted the scale-up in distillery operations over the past two years, coupled with cogeneration that provides alternative revenue streams and acts as a cushion against the cyclicality of the sugar business.

Financial Performance Metrics

The rating agency emphasized the company's strong financial profile with comfortable debt coverage metrics:

Capacity Expansion and Future Outlook

Dalmia Bharat Sugar is enhancing its distillery capacity to 950.00 KLPD from the current 850.00 KLPD, with completion expected in the current fiscal. The company also operates a co-generation capacity of 138.00 MW. ICRA expects sucrose diversion towards B-heavy molasses/juice-based ethanol and the resultant lower sugar inventory, along with the likely capacity expansion of the grain-based distillery, to keep leverage low.

Liquidity Position

ICRA assessed the company's liquidity position as strong, with cash and bank balance of around ₹662.98 crore and liquid investments of ₹328.45 crore as of September 30, 2025. The agency expects the company to comfortably meet its debt repayment obligations in the medium term with healthy cash flows from operations.

Regulatory Compliance

The disclosure was made in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, demonstrating the company's commitment to transparency in financial dealings. This rating enhancement provides Dalmia Bharat Sugar with greater financial flexibility and access to competitive short-term funding options.

Dalmia Bharat Sugar & Industries Limited, a prominent player in the Indian sugar industry, has announced a significant change in its senior management. Agha Asif Beig, the Unit Head of the company's Ramgarh facility, has tendered his resignation, citing personal reasons.

Resignation Details

The company disclosed this development in a regulatory filing to the Bombay Stock Exchange and the National Stock Exchange of India. Here are the key details of the resignation:

Company's Response

Dalmia Bharat Sugar & Industries Limited has accepted Beig's resignation. The company's disclosure, signed by Company Secretary Rachna Goria, states that the resignation will come into effect from November 25, 2025, providing a transition period of approximately three weeks.

Implications and Next Steps

While the company has not provided information about a successor, the advance notice of Beig's departure may allow Dalmia Bharat Sugar & Industries to ensure a smooth transition in the leadership of its Ramgarh unit. The impact of this change on the unit's operations and the company's overall performance remains to be seen.

As a key member of the senior management team, Beig's departure may bring about changes in the unit's management strategy. Stakeholders and industry observers will likely be watching closely to see how the company addresses this change and who will be appointed to fill this crucial role.

Dalmia Bharat Sugar & Industries Limited, part of the larger Dalmia Bharat Group, continues to be a significant player in the Indian sugar industry. The company's ability to manage such transitions effectively will be important for maintaining its market position and operational efficiency.