Supreme Infrastructure surges on revision in ratings assigned to the bank facilities of the company by CARE

Supreme Infrastructure is currently trading at Rs. 210.15, up by 1.20 points or 0.57% from its previous closing of Rs. 208.95 on the BSE.
The scrip opened at Rs. 207.55 and has touched a high and low of Rs. 216.50 and Rs. 207.55 respectively. So far 5200 shares were traded on the counter.
The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 319.80 on 20-Aug-2010 and a 52 week low of Rs. 175.00 on 01-Apr-2010.
Last one week high and low of the scrip stood at Rs. 216.50 and Rs. 195.25 respectively. The current market cap of the company is Rs. 359.95 crore.
The promoters holding in the company stood at 56.61% while Institutions and Non-Institutions held 12.23% and 31.16% respectively.
Credit rating agency, CARE has revised the ratings of Rs 224.75 crore long term bank facilities of Supreme Infrastructure to ‘BBB-‘from ‘BB+’. The rating agency has also revised the ratings of Rs 300 crore short term bank facilities of the company to PR3 from PR4.
The rating revision takes into account the improved financial performance of the company in terms of sales, profitability during FY10 and 9M FY11 and improved leverage position and average collection period in 9M FY11. The ratings continue to factor in the promoters’ long experience in execution of construction contracts, qualified management team, revenue visibility in the medium term, comfortable profitability margins and growth prospects of the infrastructure sector in general.
Supreme Infrastructure is engaged in the construction of highways, roads and bridges and engineering works. It also manufactures crushed metals, ready-mix concrete, asphalt and wet mix macadam.