CRISIL Ratings has downgraded Kalpataru Limited's long-term bank facilities to 'Crisil BBB/Stable' from 'Crisil BBB+/Stable' and enhanced the rated amount.

The downgrade reflects slower-than-anticipated improvement in the company's financial risk profile due to delayed scaling up of collections and cash accruals, caused by approval delays and weaker demand in certain projects.

The stable outlook reflects expectations of healthy medium-term operations supported by an established market position.