NEW DELHI: Standard & Poor’s has downgraded its long-term credit rating, reflecting increased liquidity risk from the downgrade of Indian parent Amtek Auto. Standard & Poor’s Ratings Services said in a statement that it believes Amtek Auto may not have sufficient liquidity to meet its interest or debt obligations, which could lead to a default or debt restructuring of Amtek Auto. Amtek Auto, a parts maker under financial pressure, said the current market situation “has led to a decline in the company’s sales and profitability.

Amtek’s Singapore-based Global Technologies Pte LTD’s long-term corporate credit rating was downgraded from ‘B’ to ‘CCC’, indicating increased credit risk.

In addition, Standard & Poor’s has lowered its rating on Amtek Global’s €2.35 billion senior note secured term loan, €30,000 million revolving credit facility (RCF) issue.

” The rating agency noted that Amtek Global’s 2015 debt levels have been high for many years since 2015 and losses as of June 2015 year. have been recorded. It increased in the three months ended March 30th.

Amtek Global has higher than expected debt and lower than expected leverage. Standard & Poor’s said, “Cash flow was also much weaker, with free operating cash flow (FOCF) of around €29 million in the nine in month to March 31, 2015.”

Amtek Global added that at the end of March this year, Amtek Global had a cash balance of approximately 4200 Short-term debt maturities of €49,000 million.

While Amtek Auto is looking for funding, growing concerns over its financial position are triggering a chain reaction in the mutual fund industry.

Amtek Auto is also under scrutiny for allegedly manipulating the share price of its subsidiary Castex Technologies Sebi under the influence of Sebi.

Amtek Auto is also under scrutiny by Sebi for alleged manipulation of the share price of its subsidiary Castex Technologies Sebi. pAmtek Auto today closed at 49.85 shares per share on the Bombay Stock Exchange, with the rupee down 5.23%.