Last Reviewed On: 13 June, 2022 (Version 1)

Acuite has noted that certain bank borrowers execute mandates for rating only a part of their overall sanctioned bank facility(s). Such a practice is highly discouraged by Acuité, as this may create unwarranted conflicts in the rating process.

In case a bank loan rating mandate is reported that doesn’t include 100% of the total existing bank facilities, the following guidelines shall apply:

1. Acuite will accept such a mandate only if the quantum covered in the mandate is:
   1. at least 25% of the overall sanctioned bank facility OR
   2. at least Rs. 25 cr OR
   3. complete exposure to at least one specific sanctioned bank facility in its entirety, whichever is higher.
2. A cooling-off period of clear 45 calendar days (from the date of rating communication on the partial quantum of bank facilities) will be observed by Acuite before accepting an enhancement mandate.