CRISIL secures board approval for new step down subsidiary, shares see marginal dip

CRISIL, a subsidiary of S&P Global, is an Indian analytical company providing ratings, research, and risk and policy advisory services

Shares of CRISIL opened 0.5 percent higher on the NSE, a day after it received approval from the board of directors to incorporate a step down subsidiary to carry out the business of an ESG Ratings provider. At open, the stock was trading at Rs 3,879.25, against yesterday's closing of Rs 3,856. However, as of 10 am, the shares fell to Rs 3849.35, down from yesterday’s close.

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The incorporation of CRISIL's proposed subsidiary, CRISIL ESG Ratings & Analytics Limited, according to a filing is subject to approvals from "SEBI and other authorities." The analytical ratings company will transfer the ESG Scores business of the company by way of business transfer agreement.

Additionally, the subsidiary CRISIL Irevna UK has approved the incorporation of a wholly owned subsidiary - Crisil Irevna Information Technology Colombia SAS in Colombia.

On September 12, CRISIL also received approval from its board for acquisition of 100 percent equity in Bridge to India Energy Private Limited at Rs 6 crore. Bridge to India provides clients 360-degree insights into the renewable energy market founded on deep domain expertise and a comprehensive set of databases and tools.

For the quarter ending June 2023, CRISIL reported 15.33 percent year-on-year increase in net sales to Rs 771.02 crore in June 2023 from the previous fiscal. Net Profit also grew 9.99 percent year-on-year  Rs. 150.58 crore for the same period. For the June 2023 quarter. the Indian rating agency reported earnings before interest, depreciation and amortisation (EBIDTA) at Rs. 221.90 crore, up from Rs. 204.43 crore in June 2022.

Also read: Indian pharma industry to log in 8-10% revenue growth this fiscal: Crisil

CRISIL, a subsidiary of S&P Global, is an Indian analytical company providing ratings, research, and risk and policy advisory services.