ICRA Reaffirms Tanfac Industries Ratings and Lifts Rated Bank Facilities to ₹225 Crore

Tanfac Industries Limited said ICRA Limited reaffirmed its long-term credit rating at [ICRA]A+ (Stable) and its short-term rating at [ICRA]A1+, while raising the overall rated credit facility framework from ₹195.0 crore to ₹225.0 crore. The rating action was issued by ICRA on October 16, 2026, according to the EIN Presswire report.

ICRA's Rated Facilities and the R-32 Expansion

ICRA reaffirmed fund-based working capital facilities at [ICRA]A+ (Stable) for an unchanged rated amount of ₹50.0 crore, and non-fund based working capital facilities at [ICRA]A1+ for an unchanged ₹105.0 crore. Long-term term loans were assigned and reaffirmed at [ICRA]A+ (Stable) for an enhanced rated amount of ₹70.0 crore, up from zero in previous evaluations and replacing ₹40.0 crore of unallocated short-term limits.

The company said the reaffirmation reflects a three-decade track record in fluorochemicals, a healthy financial risk profile, a strong capital structure and net debt-free status. Tanfac operates as a joint sector entity between Tamil Nadu Industrial Development Corporation and Anupam Rasayan India Limited, which holds a 24.99% equity stake and exercises management control. Tanfac is setting up a 20,000 MTPA R-32 refrigerant gas manufacturing facility with estimated capex of approximately ₹390 crore, with around 65% of the proposed capacity already contracted and commissioning targeted for Q3 FY2027. Equity funding for the expansion includes a ₹250 crore Qualified Institutions Placement completed in June 2026 and a preferential issue of ₹99.41 crore.

Tanfac's Operating Profit and Balance Sheet

According to akta.pro company records, ICRA reported full year FY2026 revenue of ₹599.5 crore, up 20.4% from the previous year, and PAT of ₹182.53 crore, up 6.62% year-on-year. The same records show a final dividend of ₹105 per share, including a ₹35 special dividend for the 35th year of operations. In FY2026, Tanfac reported operating income of ₹711.1 crore and PAT of ₹70.1 crore, and for Q1 FY2027 operating income stood at ₹187.2 crore with PAT of ₹16.8 crore and an operating margin of 15.3%.

Tanfac's Dividend and Preferential Issue

Tanfac approved a final dividend of ₹4.50 per share for FY26 at its AGM on September 23, 2026, where the meeting also adopted audited financial statements and reappointed statutory auditors for five years, ScanX reported. On September 1, 2026, Tanfac received in-principle approval from BSE for a preferential issue of 4,24,647 equity shares at ₹2,341 per share, totaling approximately ₹9.94 crore, according to ScanX.

What Comes Next for Tanfac

ICRA said the R-32 facility's commissioning is targeted for Q3 FY2027, with a gradual commercial ramp-up through February 2028. The company has zero term debt repayment obligations in FY2027.