CARE Ratings has reaffirmed JK Tyre’s credit ratings at CARE AA- / CARE A1+ following the merger of Cavendish Industries Limited (CIL) into JK Tyre. The ratings apply to long-term and short-term bank facilities and instruments. The reaffirmation reflects the consolidated entity’s credit profile and the seamless integration of CIL’s assets and liabilities into JK Tyre, effective December 22, 2025.
Ratings Reaffirmed Post-Merger
Following the merger of Cavendish Industries Limited (CIL) into JK Tyre & Industries Ltd., CARE Ratings Limited has reaffirmed the credit ratings for the company. This decision acknowledges the successful completion of the merger, approved by the National Company Law Tribunal (NCLT) order dated November 20, 2025.
Impact of Cavendish Industries Merger
With the merger effective from December 22, 2025, all of CIL’s assets, liabilities, rights, and obligations have been transferred to and vested in JK Tyre. CARE’s rating action considers the consolidated financial position of the merged entity, and the impact of CIL has already been assessed.
Detailed Rating Actions
The following ratings have been reaffirmed:
- Long Term Bank Facilities: CARE AA-; Stable
- Long Term / Short Term Bank Facilities: CARE AA-; Stable/ CARE A1+
- Short Term Bank Facilities: CARE A1+
- Commercial Paper (Carved out): CARE A1+
- Long Term / Short Term Instrument: CARE AA-; Stable / CARE A1+
Source: BSE
