Salem Erode Investments Limited has been assigned a CRISIL BB/Stable rating for its Rs 50 crore bank loan facilities and non-convertible debentures.

The rating reflects strong expected support from its parent, ICL Fincorp Limited, which holds a 75% stake and provides operational and financial backing.

SEIL’s capital position is adequate with a net worth of Rs 19.38 crore and gearing of 0.7 times.

The company’s loan book, focused entirely on gold loans, declined to Rs 13.5 crore, and it reported losses of Rs 4.95 crore due to modest scale and high operating expenses.

Liquidity is supported by credit lines from the parent.