India's largest and fastest growing private sector company, Reliance Industries Limited (RIL), with total sales of Rs 20,301 crore and a net profit of Rs 2,403 crore for the year ending March 2000, has become the first Indian company to find a place among the top ten most creditworthy companies in Asia.
In the annual benchmark survey of best credits in Asia, carried out by the Asset magazine in its latest issue, Reliance is ranked as the fifth best creditworthy company in the region.
Reliance, which has the best credit ratings among Indian companies, with a AAA local currency credit rating, is currently rated by Standard & Poor as "BB Stable Outlook" and by Moody's as "Ba2 Positive Outlook", constrained by the sovereign rating.
In the annual benchmark survey, 103 international investors were asked to name Asian companies that, in their opinion, have been the most impressive in terms of overall strategy and management ability.
The results for this year's benchmark survey included, for the first time, weightings based on respondents' funds under management. The weighted results show a strong bias among the bigger funds to invest only in issues of the most creditworthy names.
The evaluation was also done on such factors as cash flow positions from annual reports and other publicly available records, liquidity, the volumes traded and the risk/return profile, excellence in management, transparency and accessibility.