/raid1/www/Hosts/bankrupt/TCRAP_Public/160614.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Tuesday, June 14, 2016, Vol. 19, No. 116
Headlines
A U S T R A L I A
ARRIUM LTD: Administrator Still Seeking Another AUD100 Million
LARRAKIA NATION: Goes Into Special Administration
NEWCASTLE COAL: Moody's Cuts Sr. Sec. Rating to Ba1; Outlook Neg.
OAKVILLE PRODUCE: Potato Growers Out of Pocket After Receivership
PALMER PETROLEUM: Faces Wind Up Bid Over AUD22-Mil. Debt
C H I N A
AGILE PROPERTY: S&P Affirms 'BB-' CCR; Outlook Stable
GEELY AUTOMOBILE: Moody's Retains Ba2 CFR on Proposed Acquisition
HENGDELI HOLDINGS: Buyback Offer Does Not Affect Moody's Ba3 CFR
HUA HAN: S&P Assigns BB- Rating to Proposed US$ Sr. Unsec. Notes
KU6 MEDIA: Extraordinary General Meeting Set for July 8
I N D I A
ACE KUDALE: CRISIL Reaffirms 'B' Rating on INR267.5MM Loan
AMRUT BUILDERS: ICRA Lowers Rating on INR20cr Term Loan to D
ANIL CORNER: CRISIL Reaffirms B+ Rating on INR55MM Cash Loan
BHUVANESWARI SAKTHI: CRISIL Suspends B Rating on INR15MM Loan
DEEPAK COTTON: CRISIL Reaffirms B Rating on INR120MM Cash Loan
DHIRENDRA NARAYAN: ICRA Assigns 'B' Rating to INR1.25cr Loan
FENIX PROCESS: CRISIL Reaffirms 'D' Rating on INR80MM Bank Loan
FLORESSENCE PERFUMES: CRISIL Suspends B+ Rating on INR4MM Loan
GAJANAN REFRACTORY: CRISIL Suspends D Rating on INR48.6MM Loan
GEMUS ENGINEERING: CRISIL Reaffirms B+ Rating on INR85MM Loan
GEPDEC INFRATECH: CRISIL Suspends 'B' Rating on INR37MM Loan
HARISONS AND HARLAJ: ICRA Assigns B+/A4 Rating to INR15cr Loan
HEMRAJ DEVKARANDAS: ICRA Reaffirms 'B' Rating on INR8.5cr Loan
INDUS MOTORS: CRISIL Reaffirms 'B' Rating on INR70MM Loan
INTEMO SYSTEMS: CRISIL Suspends 'D' Rating on INR60MM Cash Loan
JAWAHAR MEDICAL: CRISIL Reaffirms B+ Rating on INR10MM Loan
JINDAL RAYONS: ICRA Suspends 'B+' Rating on INR3.0cr LT Loan
KAIRASONS JEMS: CRISIL Reaffirms B+ Rating on INR55MM Cash Loan
KAVED STEEL: CRISIL Suspends 'B' Rating on INR30MM Cash Loan
M. S. WOOD: CRISIL Suspends 'B' Rating on INR90MM Cash Loan
MAA BAMESWARI: ICRA Assigns 'B' Rating to INR2.0cr Term Loan
MAHESHWARA COTTON: CRISIL Suspends B+ Rating on INR50MM Loan
MAX PROPERTIES: ICRA Lowers Rating on INR7.7cr LT Loan to 'D'
METAGUARD ENGINEERS: CRISIL Assigns B+ to INR185MM Overdraft Loan
MURANO TILES: ICRA Suspends B/A4 Rating on INR8.8cr Loan
NATIONAL SOLVENTS: CRISIL Suspends 'B' Rating on INR75MM Loan
NIK-SAN ENGINEERING: ICRA Reaffirms 'D' Rating on INR16cr Loan
OM COTTON: ICRA Reaffirms B+ Rating on INR5cr Cash Loan
PREMIUM EXPORTS: ICRA Suspends 'B+/A4' Rating on INR8cr Loan
REALLIANCE CONSTRUCTIONS: CRISIL Suspends 'D' INR120M Loan Rating
SAGAR AUTO: CRISIL Assigns 'B+' Rating to INR20MM Cash Loan
SHIPRA AGRICHEM: CRISIL Suspends 'D' Rating on INR80MM Loan
SHREE BALAJI: CRISIL Assigns 'D' Rating to INR207.5MM Cash Loan
SHREEJI COTTON: ICRA Assigns 'B+' Rating to INR10.50cr Loan
SHRI HARDAYAL: CRISIL Reaffirms B+ Rating on INR57MM Cash Loan
SRI DURGASHREE: CRISIL Assigns 'B' Rating to INR52.2MM LT Loan
SRI LAKSHMI: ICRA Reaffirms 'B' Rating on INR27.43cr Loan
SRI SHAMBHAVI: CRISIL Suspends 'B' Rating on INR45MM Term Loan
SUNRAJ CYCLE: ICRA Suspends B/A4 Rating on INR9.22cr Loan
TNR ESTATES: ICRA Lowers Rating on INR15cr Term Loan to 'D'
VIDYA PRASARINI: ICRA Lowers Rating on INR13.45cr Loan to 'D'
VINOTH DISTRIBUTORS: CRISIL Reaffirms B+ Rating on INR100MM Loan
WORTH ENGINEERING: CRISIL Suspends 'B' Rating on INR37.5MM Loan
N E W Z E A L A N D
BAYCOM CONSTRUCTION: Leaky School Dispute Prompts Liquidation
FISHER & PAYKEL: S&P Affirms 'BB' ICR & Removed from Watch Dev.
PYNE GOULD: NZX Suspension Lifted After First-Half Results Filed
STONEWOOD HOMES: Owes NZ$20MM to Almost 400 Companies
S I N G A P O R E
GOLDEN LEGACY: Moody's Assigns B1 Rating to $350MM Sr. Notes
S R I L A N K A
DFCC BANK: S&P Affirms 'B' LT ICR; Outlook Negative
NATIONAL SAVINGS: S&P Affirms 'B+' ICR; Outlook Negative
T H A I L A N D
CIMB THAI: Moody's Affirms ba2 Baseline Credit Assessment
X X X X X X X X
* BOND PRICING: For the Week June 6 to June 10, 2016
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A U S T R A L I A
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ARRIUM LTD: Administrator Still Seeking Another AUD100 Million
--------------------------------------------------------------
Australia Associated Press reports that Arrium Ltd's
administrator is still seeking another $100 million to make the
Whyalla steelworks attractive to potential investors despite
Prime Minister Malcolm Turnbull having ruled out an immediate
bailout.
AAP relates that Mr Turnbull has refused to add to a $50 million
contribution by the South Australian government until the
completion of a government-commissioned review, but administrator
Mark Mentha said he is still working to secure the funds.
According to the news agency, Mr Mentha said the sale or
recapitalisation of Arrium is expected to begin next month, with
bailouts by state and federal governments crucial to make Arrium
"a much more attractive and sustainable proposition for potential
investors".
About Arrium
Arrium Limited (ASX:ARI) -- http://www.arrium.com/-- is an
Australia-based mining and materials company. The Company is
engaged in mining and supply of iron ore and steelmaking raw
materials; manufacture and supply of mining consumable products;
manufacture and distribution of steel products, and recycling of
ferrous and non-ferrous scrap metal. Its segments include Mining,
Mining Consumables, Steel and Recycling. Its Mining segment
exports hematite iron ore and supplies both pelletized magnetite
iron ore and hematite lump iron ore. Its Mining Consumables
segment consists of Moly-Cop grinding media business, Waratah
steel mill and Altasteel steel mill. Its Mining Consumables
segment supplies various mining consumables, such as grinding
media, wire ropes and rail wheels. Its Steel segment manufactures
billet and distributes steel and metal products, including
structural steel selections, steel plate, angels, channels,
reinforcing steel and carbon products. Its Recycling segment
supplies steelmaking raw materials.
Pursuant to orders made by the Federal Court of Australia on
April 12, 2016, Mark Mentha, Bryan Webster, Martin Madden and
Cassandra Mathews of KordaMentha have been appointed Joint and
Several Voluntary Administrators of the Company and its 93
Australian subsidiaries replacing Said Jahani, Paul Billingham,
Michael McCann and Matthew Byrnes of Grant Thornton, who were
appointed on earlier in April.
LARRAKIA NATION: Goes Into Special Administration
-------------------------------------------------
ABC News reports that Darwin's Larrakia Nation Aboriginal
Corporation has gone into special administration amid internal
strife.
According to ABC News, the Office of the Register of Aboriginal
and Torres Strait Islander Corporations (ORIC) said Larrakia
Nation's directors had requested the appointment of a special
administrator.
Special administration is the appointment of an independent
qualified person to run the corporation while finding ways to
resolve its problems, ABC News relates.
It follows internal strife at Larrakia Nation, which runs
outreach, ranger and homelessness services throughout Darwin, the
report says.
It was hit by several managerial resignations and climaxed in a
fight between some members on the board and the departing
chairperson Lisa Siebert, who left in March about the same time
as former chief executive Bob Savage, according to ABC News.
ABC News relates that in a statement the Larrakia Nation board
said recent events had led it to request special administration.
"We wish to make it clear that despite recent mainstream and
social media speculation there has been no investigation by ORIC
for any alleged financial irregularities . . . as far as the
outgoing directors are aware, our current situation is not the
result of any criminal activity by anyone," Larrakia, as cited by
ABC News, said.
According to the report, Australian Services Union NT branch
organiser Paul Morris said he was relieved by the move and that
staff had been very "distressed and upset" about the uncertainty
surrounding their future.
"We think it's the best thing for this troubled organisation,"
the report quotes Mr Morris as saying. "There's certainly been
an open secret in the broader community that Larrakia Nation has
been struggling for some time.
"I think the source of a lot of the distress out there (for
staff) comes from simply not knowing and management seemingly
unwilling to communicate with staff about the reality of their
current situation."
He said the unions involved would now be able to plot a course of
action for the 80 or so staff working for the corporation, adds
ABC News.
NEWCASTLE COAL: Moody's Cuts Sr. Sec. Rating to Ba1; Outlook Neg.
-----------------------------------------------------------------
Moody's Investors Service has downgraded the senior secured
ratings of Newcastle Coal Infrastructure Group Pty Ltd (NCIG) to
Ba1 from Baa3.
Moody's has also downgraded the senior unsecured rating of NCIG's
parent, NCIG Holdings Pty Ltd (NCIGH) to Ba3 from Ba2.
The outlook on all the ratings is negative.
The rating actions conclude Moody's review for downgrade
initiated on Dec. 21, 2015. Moody's review was triggered by the
sustained weakness in coal prices; the uncertain duration of the
downturn had increased the likelihood of counterparty failure and
the consequent volatility in NCIG's cash flows.
RATINGS RATIONALE
Moody's rating actions follow NCIG's announcement of the deferral
of its proposed refinancing and capital simplification
transaction. This proposed simplification transaction centered
on the refinancing of NCIG's existing S-class loan by a new
A-class loan, and the removal of the current ring-fencing of S-
class shippers, resulting in all NCIG's shippers sharing in
counterparty risk across the shipper group.
Implementation of the simplification transaction would have
resulted in NCIG retaining its investment-grade senior secured
rating, because it would have increased the resilience of NCIG's
shipper base and the likelihood of NCIG successfully socializing
lost revenue, following default of an existing shipper.
As such, following the deferral of the transaction, Moody's
considers that the risk of NCIG experiencing cash flow volatility
due to counterparty default is more reflective of a Ba1 rating,
given the weakening position of its coal mining counterparties,
the sole source of such cash flows.
Moody's notes that over the past three months, Peabody Energy
Corporation (unrated) has voluntarily filed for relief under the
United States Bankruptcy Code, although its Australian
subsidiaries have to date been unaffected. As for the rating of
Yanzhou Coal Mining Co. Ltd. -- which owns Yancoal Australia Ltd
-- the rating has been downgraded to B2 with a negative outlook
from Ba3. Mines owned by Yancoal and Peabody collectively account
for around 49% of NCIG's A&T class contracted capacity (around
35% of total capacity when including S Class shippers).
Moody's points out that NCIG's ratings and negative outlook also
consider the company's debt maturity profile and associated
refinancing risk, with around AUD775 million of debt --
representing around 30% of total debt -- maturing in March 2018.
Moody's recognizes management's proactive approach to
refinancing, most recently illustrated by the extension of its
bank facilities in December 2015. That said, the rating also
incorporates Moody's view that investor concerns around the
sector will continue over the foreseeable future, increasing the
importance of measures to manage its refinancing risk.
In assessing counterparty risk, the rating considers NCIG's
contractual mitigants to counterparty default. Such protections
include NCIG's right to: (1) draw immediately on third-party
provided security covering 12 months of ship-or-pay obligations,
(2) recover shortfalls in revenue by increasing tariffs to the
remaining users up to a finance charge cap, and (3) sell or
assign such default capacity.
The value of such protections -- particularly the ability to
recover shortfalls in revenue -- is however weakened by the
capacity of counterparties to pay such increases.
NCIG's ratings consider its financial leverage and debt coverage
metrics, which position it better than other coal terminals in
Australia, including Adani Abbot Point Terminal Pty Ltd (Ba2
negative) and DBCT Finance Pty Ltd. (Ba2 negative).
NCIG's ratings also consider the take-or-pay nature of its
contracts with users over the entire terminal capacity, the
terminal's essential role in the coal logistics chain serving the
high quality New South Wales thermal coalfields, its solid
operating track record, and the absence of a requirement for a
material expansion programme with associated execution risk.
NCIG's ratings also benefit from its right to pass through all
operating costs and financing costs -- up to a predetermined cap
-- onto shippers, and the alignment of interest between most of
its shippers (around 82%) who are also the group's shareholders,
in particular the benefits of NCIG's business model, which is
based on cost recovery as opposed to profit maximization.
The negative outlook on NCIG's ratings reflects the increasing
uncertainty associated with the rising likelihood of counterparty
default, particularly whether the remaining shippers can fully
bear the increased tariffs, as well as the escalating refinancing
risk.
The ratings could be downgraded if it becomes evident that a
major counterparty will default -- particularly if NCIG is unable
to source replacement tonnage -- or if there are difficulties in
achieving refinancing. A failure by NCIG to maintain its solid
operating track record -- particularly if such failure has
environmental implications -- could also lead to negative ratings
pressure.
The outlook could return to stable if there is a sustained
improvement in coal market conditions, including a stabilization
in the financial position and/or ownership of NCIG's key
counterparties.
The most likely cause of a ratings upgrade would be NCIG
executing its proposed capital structure.
RATINGS AFFECTED
These ratings have been downgraded:
Issuer: Newcastle Coal Infrastructure Group Pty Ltd
Foreign Currency Backed Senior Secured Rating, Downgraded to
Ba1
from Baa3
Foreign Currency and Local Currency Backed Senior Secured Bank
Credit Facility Rating, Downgraded to Ba1 from Baa3
Issuer: NCIG Holdings Pty Ltd
Foreign Currency Senior Unsecured Rating, Downgraded to Ba3
from
Ba2
Outlook Actions:
Issuer: Newcastle Coal Infrastructure Group Pty Ltd
Outlook, Changed to Negative from Rating Under Review
Issuer: NCIG Holdings Pty Ltd
Outlook, Changed to Negative from Rating Under Review
The principal methodology used in these ratings was Generic
Project Finance Methodology published in December 2010.
NCIGH -- which is owned by six coal companies (shipper
shareholders or counterparties) -- is NCIG's holding company.
NCIG has economic ownership of and operates the NCIG Coal Export
Terminal under a long-term lease with Port of Newcastle
(unrated).
The terminal is located on a 173-hectare site on Kooragang Island
at the Port of Newcastle in New South Wales. It has a coal
handling capacity of 66 million tonnes per annum.
OAKVILLE PRODUCE: Potato Growers Out of Pocket After Receivership
-----------------------------------------------------------------
Shannon Twomey at The Weekly Times reports that potato growers
have been left unpaid after Australia's biggest potato supplier
went into receivership.
The Weekly Times relates that Oakville Produce, which supplied
about three quarters of the potatoes sold in Woolworths and had
about a quarter share of the entire fresh potato market in
Australia, went into voluntary receivership on May 11 and growers
said they are owed hundreds of thousands of dollars.
Oakville Produce, a mainly Chinese-owned company, is now
controlled by administrators McGrath Nicol and receivers at
Deloitte Australia, the report discloses.
According to the report, Victorian Farmers Federation Potatoes
Victoria chairman Frank Rover said growers across Australia would
be affected.
"I have heard that some growers had supplied almost 100 per cent
of their crop to Oakville and haven't received payment," the
report quotes Mr. Rover as saying.
The Weekly Times relates that AusVeg spokesman Jordan Brooke-
Barnett said the national peak body was calling for support from
the Australian Competition and Consumer Commission, the
Australian Securities and Investments Commission and receiver and
manager Deloitte to ensure that small farmers were not
disadvantaged in the repayment of creditors.
"We'd like to see more protections to ensure that our hardworking
growers are fully compensated for any debts that exist in this
sort of situation, and we've made representations to the ACCC
asking for their support in ensuring that growers have their
debts fully serviced," The Weekly Times quotes Mr Brooke-Barnett
as saying.
"We also want to see further scrutiny of potential buyers who are
looking to take ownership of Oakville to ensure that they have a
long-term plan for the ongoing success of the company, and that
they understand the trading environment of the Australian potato
industry and the dominant market forces at play."
Deloitte Australia said it was not in a position to comment on
suppliers' claims, adds The Weekly Times.
PALMER PETROLEUM: Faces Wind Up Bid Over AUD22-Mil. Debt
--------------------------------------------------------
Kay Dibben at The Courier-Mail reports that Clive Palmer's
financial troubles have just got a lot worse, with an exploration
company filing a Federal Court application to wind up his
petroleum company over an unpaid $22 million debt.
The Courier-Mail relates that Singapore-based BGP Geoexplorer
filed the application on June 8, a day after Palmer Petroleum's
appeal over a Supreme Court decision that left it owing the debt
was dismissed.
"BGP Geoexplorer will pursue the debt owing," the report quotes
BGP's lawyer Glenn Vassallo, managing director of GRT Lawyers, as
saying.
In March, Supreme Court Justice David Boddice dismissed Palmer
Petroleum's application to set aside BGP's statutory demand for
it to pay US$16,726,573, the report recalls.
It was owed to Singapore-based BGP Geoexplorer for survey work
the company had done for Mr Palmer's company.
According to the report, Justice Boddice described Palmer
Petroleum's court bid as a "cynical attempt'' to deflect
responsibility for the debt.
But Palmer Petroleum appealed, accusing BGP of misleading conduct
or misrepresentations over its survey report on the company's
Papua New Guinea petroleum leases, the report states.
The Courier-Mail relates that in the Court of Appeal on June 8,
counsel for Palmer Petroleum acknowledged the company had failed
to comply with the statutory demand to pay the debt to BGP
Geoexplorer.
It had also failed to apply for an extension of time in which to
pay the debt, the report says.
The Courier-Mail notes the Court of Appeal dismissed Palmer
Petroleum's appeal over Justice Boddice's decision.
The report says Palmer Petroleum was due to seek a permanent
injunction restraining BGP from taking steps to apply to wind up
the company for failing to comply with the statutory demand. But
it filed a discontinuance of the whole proceeding after the
appeal dismissal.
"Following the Queensland Court of Appeal dismissing Palmer
Petroleum's appeal, BGP filed a winding-up application in the
Federal Court of Australia,'' the report quotes Mr Vassallo as
saying. "The matter will go before the Federal Court as to
whether Palmer Petroleum can establish solvency and therefore
whether BGP can have a liquidator appointed to the company. The
debt sum remains unpaid.''
A Federal Court hearing is listed for July 22, the report notes.
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C H I N A
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AGILE PROPERTY: S&P Affirms 'BB-' CCR; Outlook Stable
-----------------------------------------------------
S&P Global Ratings affirmed its 'BB-' long-term corporate credit
rating on China-based developer Agile Property Holdings Ltd. The
outlook is stable. At the same time, S&P affirmed its 'cnBB+'
long-term Greater China regional scale rating on the company.
S&P also affirmed its 'B+' long-term issue rating and 'cnBB'
long-term Greater China regional scale rating on Agile's
outstanding senior unsecured notes.
S&P affirmed the ratings on Agile because the company's financial
management has been prudent, thus lowering its total borrowings
last year. The affirmation also reflects Agile's improved
liquidity position, given completed refinancing and gradually re-
established investor confidence. However, these factors are
tempered by the company's continual decline in profitability and
weakened competitive position in some markets.
S&P believes Agile's refinancing risk has declined, because the
company has secured a sizable three-year term loan of Hong Kong
dollars (HK$) 6.7 billion in May, with a greenshoe option of
another HK$2 billion. This term loan will be primarily used for
refinancing Agile's borrowings, including the recently proposed
early redemption of its US$650 million senior unsecured notes.
Although the company still faces a heavy refinancing schedule,
with over Chinese renminbi (RMB) 4 billion due in the second half
of 2016 and RMB12.8 billion in 2017, its short-term liquidity
position has notably strengthened.
"In our view, Agile's competitive position has somewhat weakened,
which has partly caused significant deterioration in its
profitability," said S&P Global Ratings analyst Brian Huang.
Its EBITDA margin declined to 29.6% in 2014 and 23.5% in 2015,
from 32.6% in 2013. Although Agile has expanded its presence
outside Guangdong and Hainan, it has not established solid market
positions in new markets such as Yunnan and Nantong. At the same
time, its sales growth has been tepid compared to the sector,
increasing to only RMB44 billion in 2015 from RMB40.3 billion in
2013. In S&P's view, Agile's competitive advantage has been
outpaced over this period by other peers such as Country Garden
and Gemdale.
Agile's sales target of RMB46 billion in 2016 looks achievable.
In the first five months, its sales were up 43% year on year to
RMB21.6 billion.
"We expect its profitability to continue to fall slightly this
year, given Agile's strategy to clear inventory, especially in
some lower-tier markets in East China. Our base case forecasts
EBITDA margin at 20%-22% in 2016, compared with 23.5% in 2015,"
Mr. Huang said.
Given the thinning margin, Agile's leverage will likely increase
somewhat this year, because the company intends to ramp up its
land replenishment. It budgeted RMB10 billion for land
acquisitions in 2016, significantly up from RMB1.5 billion in
2015. Agile has so far this year acquired land in Suzhou for
RMB2.7 billion, and in Zhengzhou for RMB1.8 billion.
In S&P's view, Agile has proven its operational stability and
gradually regained investor confidence in the past two years
after its chairman's assistance with government investigations.
Over this period, its management has demonstrated effective
control of its corporate strategy and gradually rebuilt the
company's funding stability and reputation. S&P therefore assess
Agile's management and governance as fair, compared with weak
previously.
The stable outlook on Agile Property Holdings Ltd. reflects S&P's
expectation that the company will maintain stable sales in 2016.
Although Agile will increase its land replenishment, S&P expects
it to manage its leverage such that the debt-to-EBITDA ratio
remains at 4.5x-5.0x over the next 12 months.
S&P could lower the rating if Agile's profitability weakens
significantly or its debt-funded expansion is faster than S&P's
expectation, such that its debt-to-EBITDA ratio rises to more
than 5x on a sustained basis. A fall in gross margin to less
than 24% in 2016 could indicate such deterioration.
S&P could raise the rating if Agile's contracted sales or gross
margins are meaningfully higher than S&P's expectation, such that
the debt-to-EBITDA ratio falls to less than 4.0x on a sustained
basis.
GEELY AUTOMOBILE: Moody's Retains Ba2 CFR on Proposed Acquisition
-----------------------------------------------------------------
Moody's Investors Service says that Geely Automobile Holdings
Limited's (Ba2 stable) proposed acquisition of two new factories
in Baoji and Jinzhong from parent Zhejiang Geely Holding Group
Company Limited (unrated) is -- once it completes -- credit
positive, but will have no immediate impact on its Ba2 corporate
family and senior unsecured bond ratings.
The ratings outlook remains stable.
The proposed acquisition is credit positive for Geely because it
demonstrates the level of parental support available from
Zhejiang Geely. It is also in line with Geely's history of
acquiring capacity from its parent.
On June 1, 2016, Geely announced that it had agreed to buy the
factory in Baoji -- in the province of Shaanxi -- for RMB702
million and that in Jinzhong -- in the neighboring province of
Shanxi -- for RMB720 million.
The considerations are based on the net asset values of the two
as of May 31, 2016.
The Baoji factory has a designed production capacity of around
200,000 units per annum. Production is expected to begin during
3Q 2016. It will primarily manufacture new high-end sedans and
SUVs.
The Jinzhong factory has a designed capacity of around 100,000
units per annum. Production is expected to begin during 3Q 2016.
It will primarily manufacture new high-end sedans and mid-to-
high-end electric vehicles.
"The Baoji and Jinzhong acquisitions will enhance Geely's ability
to make new higher-end sedans, SUVs and mid-end to high-end
electric vehicles. This will expand its product offering and
addressable market, a development which is positive for Geely,"
says Gerwin Ho, a Moody's Vice President and Senior Analyst.
The acquisition requires the approval of Geely's minority
shareholders and is expected to complete in the second half of
2016.
Geely's cash holdings of around RMB9.2 billion at end-2015 and
operating cash flow will be sufficient to cover its short-term
debt and estimated capex, including the two acquisitions, over
the next 12 months.
Moody's expects Geely will record about 15% year-on-year growth
in sales volumes during 2016. The projected growth is due to
China's growing auto sales and the company's launch of new
models.
The principal methodology used in these ratings was Global
Automobile Manufacturer Industry published in June 2011.
Geely Automobile Holdings Limited is one of the largest privately
owned, local brand automakers in China. Geely develops,
manufactures and sells passenger vehicles that are sold in China
and globally. Its chairman and founder Mr. Li Shufu and his
family held a 42.98% stake at end-2015. The company is
incorporated in the Cayman Islands and listed on the Hong Kong
Stock Exchange.
HENGDELI HOLDINGS: Buyback Offer Does Not Affect Moody's Ba3 CFR
----------------------------------------------------------------
Moody's Investors Service says that Hengdeli Holdings Limited's
offer to buy back up to half of its US dollar notes does not
immediately affect its Ba3 corporate family and senior unsecured
bond ratings, or the negative ratings outlook.
On 8 June 2016, Hengdeli announced a tender offer to buy back for
cash up to $175 million of its 6.25% senior notes due in 2018.
The offer will be funded with internal cash resources and bank
loans.
Moody's believes the company's total cash holdings of RMB1.9
billion as of end-2015 are sufficient to cover the around RMB1.2
billion needed for the tender offer.
"In our view, Hengdeli through the tender offer is essentially
refinancing its notes to lower the costs of its borrowing," says
Lina Choi, a Moody's Vice President and Senior Credit Officer.
Under the offer, holders of the notes will receive $1,012.5 per
$1,000 in principal amount of the notes.
The bank loans could shorten Hengdeli's debt maturity profile,
however, the impact on its liquidity over the next 12 months will
be manageable, as the company's operating cash flow will remain
positive.
HUA HAN: S&P Assigns BB- Rating to Proposed US$ Sr. Unsec. Notes
----------------------------------------------------------------
S&P Global Ratings assigned its 'BB-' long-term issue rating and
'cnBB+' long-term Greater China regional scale rating to a
proposed issue of U.S.-dollar-denominated senior unsecured notes
by Hua Han Health Industry Holdings Ltd. (BB-/Stable/--;
cnBB+/--). The rating on the notes is subject to S&P's review of
the final issuance documentation.
S&P expects Hua Han's leverage (ratio of debt to EBITDA) to
improve to below 3x by the end of fiscal 2017 (ending June 30),
from a higher level over the next six months due to the debt
issuance to partly fund capital spending. The company intends to
use the net proceeds for general corporate purposes.
S&P projects the company's debt leverage will improve to below 3x
at the end of fiscal 2017, driven by the company's fast
expansion, growing EBITDA generation in the hospital services
segment, and use of cash to partially fund capital expenditure.
S&P continues to see high event risks from Hua Han's aggressive
expansion in hospital services, which may result in the company's
financial metrics deteriorating well beyond our forecast.
KU6 MEDIA: Extraordinary General Meeting Set for July 8
-------------------------------------------------------
Ku6 Media Co., Ltd. has called an extraordinary general meeting
of shareholders to be held on July 8, 2016, at 10:00 a.m.
(Hong Kong time). The meeting will be held at the offices of
Davis Polk & Wardwell, The Hong Kong Club Building, 3A Chater
Road, Central, Hong Kong, to consider and vote on, among other
things, the proposal to authorize and approve the previously
announced Agreement and Plan of Merger dated as of April 5, 2016,
among the Company, Shanda Investment Holdings Limited and Ku6
Acquisition Company Limited, a wholly owned subsidiary of Parent,
the plan of merger required to be filed with the Registrar of
Companies of the Cayman Islands, substantially in the form
attached as Annex A to the Merger Agreement, and the transactions
contemplated thereby, including the Merger.
Pursuant to the Merger Agreement, Merger Sub will be merged with
and into the Company, with the Company continuing as the
surviving company after the merger. If completed, the Company
will continue its operations as a privately held company and, as
a result of the Merger, the American depositary shares, each
representing 100 ordinary Shares, will no longer be listed on the
NASDAQ Global Market and the American depositary shares program
for the ADSs will terminate. The Company's board of directors,
acting upon the unanimous recommendation of the special committee
of the board of directors, authorized and approved the Merger
Agreement, the Plan of Merger and the transactions contemplated
thereby, and resolved to recommend that the Company's
shareholders and ADS holders vote for, among other things, the
proposal to authorize and approve the Merger Agreement, the Plan
of Merger and the transactions contemplated thereby.
Shareholders of record as of the close of business in the Cayman
Islands on June 27, 2016, will be entitled to vote at the EGM.
The record date for ADS holders entitled to instruct Citibank,
N.A., the ADS depositary, to vote the shares represented by the
ADSs is the close of business in New York City on June 9, 2016.
Additional information regarding the EGM and the Merger Agreement
can be found in the transaction statement on Schedule 13E-3, and
the proxy statement attached as Exhibit (A)-(1) thereto, filed
with the Securities and Exchange Commission , which can be
obtained from the SEC's website (http://www.sec.gov). INVESTORS
AND SHAREHOLDERS ARE URGED TO READ CAREFULLY AND IN THEIR
ENTIRETY THESE PROXY MATERIALS AND OTHER MATERIALS FILED WITH OR
FURNISHED TO THE SEC, AS THEY CONTAIN IMPORTANT INFORMATION ABOUT
THE COMPANY, THE MERGER AND RELATED MATTERS.
About Ku6 Media
Ku6 Media Co., Ltd. -- http://ir.ku6.com/-- is an Internet video
company in China focused on User-Generated Content. Through its
premier online brand and online video Web site --
http://www.ku6.com/-- Ku6 Media provides online video uploading
and sharing service, video reports, information and entertainment
in China.
Ku6 Media reported a net loss of $2.05 million on $10.90 million
of total net revenues for the year ended Dec. 31, 2015, compared
to a net loss of $10.72 million on $8.58 million of total net
revenues for the year ended Dec. 31, 2014.
As of Dec. 31, 2015, KU6 Media had $9.01 million in total assets,
$14.49 million in total liabilities and a total shareholders'
deficit of $5.48 million.
PricewaterhouseCoopers Zhong Tian LLP, in Shanghai, the People's
Republic of China, issued a "going concern" qualification on the
consolidated financial statements for the year ended Dec. 31,
2015, citing that facts and circumstances including recurring
losses, negative working capital, net cash outflows, and
uncertainties associated with significant changes made, or
planned to be made, in respect of the Company's business model
raise substantial doubt about the Company's ability to continue
as a going concern.
=========
I N D I A
=========
ACE KUDALE: CRISIL Reaffirms 'B' Rating on INR267.5MM Loan
----------------------------------------------------------
CRISIL's ratings on the bank facilities of Ace Kudale Car Private
Limited (AKCPL) continue to reflect a weak financial risk profile
because of accumulated losses and sub-par debt protection
metrics. The ratings also factor in the company's low bargaining
power with its principal, Maruti Suzuki India Ltd (MSIL), and
competitive pressures from other four-wheel vehicle dealers.
These weaknesses are partially offset by funding support from
promoters.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 10 CRISIL A4 (Reaffirmed)
Cash Credit 35 CRISIL B/Stable (Reaffirmed)
Inventory Funding
Facility 267.5 CRISIL B/Stable (Reaffirmed)
Loan Against Property 19.4 CRISIL B/Stable (Reaffirmed)
Proposed Long Term
Bank Loan Facility 62.8 CRISIL B/Stable (Reaffirmed)
Term Loan 35.3 CRISIL B/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes AKCPL will continue to benefit over the medium
term from its established relationship with its principal and
continued funding support from promoters. The outlook may be
revised to 'Positive' in case of an improvement in the financial
risk profile with sustained improvement in the company's capital
structure and debt protection metrics. Conversely, the outlook
may be revised to 'Negative' in case of deterioration in its
financial risk profile, most likely because of large working
capital requirement or low cash accrual.
Incorporated in 2007 by the Kudale family, AKCPL began operations
in 2010 with a dealership for MSIL's vehicles. The company has
one owned showroom-cum-workshop at Manjri on the Pune-Solapur
highway, and a workshop on rented premises at Bhosari, on the
Pune-Nashik highway.
AMRUT BUILDERS: ICRA Lowers Rating on INR20cr Term Loan to D
------------------------------------------------------------
ICRA has downgraded the long term rating to [ICRA]D from [ICRA]B+
for the INR20.0 crore (Reduced from INR25.0 crore rated earlier)
term loan facility of Amrut Builders.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based limits
Term Loan 20.0 [ICRA]D downgraded from
[ICRA]B+
The ratings downgraded reflect the delays in meeting the debt
servicing obligations by the firm.
The rating is constrained by funding risk since part funding for
remaining part of the project is to be met through customer
advances which is contingent on timing of booking and healthy
collection efficiency. The rating also takes into account
execution risk with 2 out of 6 towers in nascent stage of
development.
Mumbai based Amrut Builders was incorporated by Mr. Ramesh Mehta
along with his two sons Mr. Ketan Mehta and Mr. Deepak Mehta for
undertaking real estate development. The firm is a part of the
Mehta Group, consisting of 4 partnership firms - Amrut Builders,
Jayashree Builders, Shree Ram Builders and Deep Construction
Company, which is engaged in the business of real estate
development in Thane and Kalyan since 1978. It is a family run
business with promoters exercising direct supervision and control
over all operational and financial aspects of the firm.
M/s Amrut Builders is currently undertaking the development of
Amrut Pearl at Gauripada, Kalyan consisting of 2 towers of G+21
storeys, 2 towers of G+13 storeys and 2 towers of G+7 storeys.
The firm has already completed construction of 2 towers of G+13
storeys for which OC (occupation certificate) has also been
received, while the construction for 2 towers of G+21 storeys is
in nascent stage and for 2 towers of G+7 storeys, 6 slabs are
complete.
Recent Results:
Amrut builders follows project completion method of accounting
and has not recorded any sales for the year ending March 31, 2015
(audited) and has reported a profit before tax of INR2.92 crore
on an operating income of INR21.5 crore as on March 31, 2016
(Provisional statement).
ANIL CORNER: CRISIL Reaffirms B+ Rating on INR55MM Cash Loan
------------------------------------------------------------
CRISIL's rating on the long-term bank facility of Anil Corner
(AC) continues to reflect AC's modest scale of operations in a
competitive and fragmented industry, large working capital
requirement, and subdued financial risk profile because of small
networth and average debt protection metrics. These weaknesses
are partially offset by its promoter's extensive experience in
trading of hardware, bathroom, and modular kitchen fittings, and
his established relationships with customers and suppliers.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 55 CRISIL B+/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes AC will continue to benefit over the medium term
from the extensive industry experience of its promoter. The
outlook may be revised to 'Positive' in case of substantial
increase in cash accrual, or fund infusion, leading to a better
financial risk profile. Conversely, the outlook may be revised to
'Negative' in case of decline in revenue and profitability, or
stretch in working capital cycle, weakening financial risk
profile.
Update
AC's business risk profile remained average in 2015-16 (refers to
financial year, April 1 to March 31) with stagnant revenue, low
operating profitability, and large working capital requirement
driven by sizeable inventory. Revenue remained in line with
historical levels at INR300 million on account of comparatively
lower sale to builders, which was offset by increasing sales from
new retail showroom. Revenue is expected to improve with
increasing retail sales over the medium term. As a result,
operating margin will improve from 4 percent currently. The firm
has large inventory as it trades in a range of fittings.
Financial risk profile remained below average because of small
networth of INR21 million and high total outside liabilities to
tangible networth ratio of more than5 times as on March 31, 2016,
and subdued interest coverage ratio of 1.6 times for 2015-16.
Liquidity is supported by unsecured loans carrying minimal
interest from the promoter of INR18.1 million as on March 31,
2016. Liquidity will remain adequate with expected accrual of
INR4 million against nil term debt obligations, though
constrained by high bank limit utilisation to meet large working
capital requirement.
AC, set up in 1990, is a sole proprietorship firm of Mr. Dinesh
G. Bhojwani. The firm trades in hardware fittings, bathroom
fittings, and modular kitchen fittings, and has three showrooms
in Nagpur, Maharashtra.
BHUVANESWARI SAKTHI: CRISIL Suspends B Rating on INR15MM Loan
-------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Bhuvaneswari Sakthi Saw Mill & Timber Depot (BSSMTD).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 15 CRISIL B/Stable
Letter of Credit 40 CRISIL A4
Proposed Working
Capital Facility 15 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by
BSSMTD with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, BSSMTD is yet
to provide adequate information to enable CRISIL to assess
BSSMTD's ability to service its debt. The suspension reflects
CRISIL's inability to maintain a valid rating in the absence of
adequate information. CRISIL considers information availability
risk as a key factor in its rating process as outlined in its
criteria 'Information Availability - a key risk factor in credit
ratings'
BSSMTD, set up in 1980 and based in Chennai, trades in timber. It
is promoted and managed by Mr. Jayanthilal Patel and Mr. Dinesh
Patel.
DEEPAK COTTON: CRISIL Reaffirms B Rating on INR120MM Cash Loan
--------------------------------------------------------------
CRISIL's rating on the long-term bank facility of Deepak Cotton
Mills (DCM) continues to reflect the firm's modest scale of
operations and low operating profitability, and susceptibility to
intense competition in the cotton ginning industry. These
weaknesses are partially offset by extensive industry experience
of its partners.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 120 CRISIL B/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes DCM will continue to benefit over the medium term
from its partners' extensive industry experience. The outlook may
be revised to 'Positive' if significant increase in revenue and
profitability, and efficient working capital management lead to
higher-than-expected accrual. The outlook may be revised to
'Negative' if financial risk profile or liquidity weakens because
of sharp decline in revenue or profitability, or if working
capital cycle lengthens, or if the firm undertakes large debt-
funded capital expenditure.
Update
Operating income is estimated to have declined by around 24.0
percent in 2015-16 (refers to financial year, April 1 to March
31) compared with the previous year, driven by lower realisation
and subdued demand for guar gums. However, business risk profile
will remain stable and will benefit from partners' extensive
industry experience. Operating margin is low because of low value
addition and fragmentation in the cotton ginning industry. The
margin is expected at 2.0-2.3 percent over the medium term.
Financial risk profile is comfortable because of adequate
estimated networth of INR52 million as on March 31, 2016. Gearing
is expected to remain low, around 1 time, on account of moderate
working capital requirement and nil term debt.
Liquidity is healthy on account of moderate bank limit
utilisation, absence of significant capex, and moderate working
capital requirement, but is constrained by low cash accrual.
DCM was set up in 1990 as a partnership firm with Mr. Krishan
Kumar, Mr. Anjani Kumar, Mr. Ghisa Ram, and Ms. Saroj Bala as
partners. The firm gins and presses raw cotton (kapas), and
crushes cotton seeds to extract cotton seed oil. In 2012-13, it
diversified its product range to guar gum, with commercial
production commencing in November 2012.
DHIRENDRA NARAYAN: ICRA Assigns 'B' Rating to INR1.25cr Loan
------------------------------------------------------------
ICRA has assigned the long term rating of [ICRA]B to INR0.55
crore1 (INR 1.25 crore revised from INR0.70 crore) working
capital loan, INR0.20 crore bank guarantee and INR0.15 crore
unallocated limit of Dhirendra Narayan Cold Storage Private
Limited. ICRA has also assigned the short term rating of [ICRA]A4
to the INR1.64 crore (INR6.00 crore revised from INR4.36 crore)
seasonal cash credit facility of DNCS. The unallocated limit has
also been rated on short-term scale for which ICRA has assigned
the short term rating of [ICRA]A4. ICRA also has long term rating
of [ICRA]B outstanding for INR0.70 crore working capital loan and
short term rating of [ICRA] A4 outstanding for INR4.36 crore
seasonal cash credit facility of the company.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Seasonal Cash Credit 6.00 [ICRA]A4 assigned/
outstanding
Working Capital Loan 1.25 [ICRA]B assigned/
outstanding
Bank Guarantee 0.20 [ICRA]B assigned
Unallocated Limit 0.15 [ICRA]B/[ICRA]A4 assigned
The reaffirmation of the ratings primarily take into account
DNCS's weak financial risk profile as reflected by an adverse
capital structure and depressed coverage indicators, high working
capital intensive nature of operations on account of upfront
advances to be extended to the farmers at the time of loading of
potatoes, which in turn keeps the gearing at a high level. The
ratings are further constrained by the regulated nature of the
industry, making it difficult to pass on increase in operating
costs in a timely manner, leading, in turn, to downward pressures
on profitability and DNCS's exposure to agro-climatic risks, with
its business performance being entirely dependent upon a single
agro commodity, i.e. potato. Further, ICRA notes that the loans
extended to farmers by DNCS may lead to delinquency, if potato
prices fall to a low level.
The ratings, however, derive support from the long track record
of the promoters in the management of cold storages, and the
locational advantage of DNCS by way of presence of its cold
storage units in West Bengal, a state with large potato
production and the recent increase in rental by the State
Government which is likely to provide cushion to the
profitability of the company in the near to medium term.
Incorporated in 1971, DNCS is promoted by the Saha and the Shaw
family. It is located in the Hooghly district of West Bengal and
is primarily engaged in the business of storage and preservation
of potatoes. Currently, DNCS has an annual storage capacity of
20,800 tonne.
Recent Results
In FY2015, DNCS reported profit after tax (PAT) INR0.03 crore on
an operating income (OI) of INR2.76 crore, as compared to PAT of
INR0.06 crore on an OI of INR2.51 crore in FY2014.
FENIX PROCESS: CRISIL Reaffirms 'D' Rating on INR80MM Bank Loan
---------------------------------------------------------------
CRISIL's ratings on the bank facilities of Fenix Process
Technologies Private Limited (FPTPL) continue to reflect
instances of delay by the company in servicing its term debt. The
delays have been caused by weak liquidity, driven by large
working capital requirement along with slow ramp-up of operations
at expanded capacities.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 80 CRISIL D (Reaffirmed)
Cash Credit 65 CRISIL D (Reaffirmed)
Export Packing Credit 80 CRISIL D (Reaffirmed)
Proposed Long Term
Bank Loan Facility 10.2 CRISIL D (Reaffirmed)
Term Loan 64.8 CRISIL D (Reaffirmed)
The company is also susceptible to the capital expenditure
pattern in its end-user industry, and has a weak capital
structure because of high gearing. It also has large working
capital requirement owning to a long production cycle for complex
machines. However, the company benefits from the extensive
experience of its promoters in the industrial products
manufacturing industry
Incorporated in 2006 and based in Pune, FPTPL is promoted by Mr.
M V Rao. The company undertakes process engineering and
manufacturing, involving the provision of complete design,
engineering, and equipment solutions for distillation and other
mass-transfer operations.
FLORESSENCE PERFUMES: CRISIL Suspends B+ Rating on INR4MM Loan
--------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Floressence Perfumes Private Limited (FPPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Packing Credit 35 CRISIL A4
Proposed Packing Credit 31 CRISIL A4
Term Loan 4 CRISIL B+/Stable
The suspension of ratings is on account of non-cooperation by
FPPL with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, FPPL is yet to
provide adequate information to enable CRISIL to assess FPPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
FPPL was established in 2005 by the Dubai-based Sayani family.
The company started commercially manufacturing perfumes in May
2007. It is engaged in blending and packaging perfumes, and
exporting them mainly to Dubai. FPPL undertakes only third-party
manufacturing for its customers. The customers specify the
fragrance, blending-mix, and packing. Its plant is in Pune
(Maharashtra). Mr. Yasin Sayani, FPPL's promoter, has been in the
perfume manufacturing and trading business through Natural
Fragrance LLC in Dubai for 15 years.
The company is presently setting up in-house capacity for
packaging materials and printing along with shifting of a part of
its manufacturing activity to itself from NF. The project will
entail a total outlay of INR250 million, funded by debt of about
INR130 million.
GAJANAN REFRACTORY: CRISIL Suspends D Rating on INR48.6MM Loan
--------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Gajanan Refractory Private Limited (GRPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 20 CRISIL D
Proposed Long Term
Bank Loan Facility 11.4 CRISIL D
Term Loan 48.6 CRISIL D
The suspension of rating is on account of non-cooperation by GRPL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, GRPL is yet to
provide adequate information to enable CRISIL to assess GRPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
Established in 2008, GRPL manufactures calcined bauxite and fire
bricks at Jamnagar (Gujarat). Its day-to-day operations are
managed by Mr. Jignesh Takodara who has experience of over 15
years in the refractory industry.
GEMUS ENGINEERING: CRISIL Reaffirms B+ Rating on INR85MM Loan
-------------------------------------------------------------
CRISIL's ratings on the bank facilities of Gemus Engineering
Limited (GEL) continues to reflect GEL's modest scale of
operations, large working capital requirement, and vulnerability
of operating margin to fluctuations in raw material prices. These
weaknesses are partially offset by promoters' considerable
experience in the ductile iron castings industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 85 CRISIL B+/Stable (Reaffirmed)
Letter Of Guarantee 40 CRISIL A4 (Reaffirmed)
Term Loan 36 CRISIL B+/Stable (Reaffirmed)
CRISIL had earlier on January 28, 2016, downgraded its ratings on
the bank facilities of GEL to 'CRISIL B+/Stable/CRISIL A4' from
'CRISIL BB-/Stable/CRISIL A4+'.
The downgrade reflects CRISIL's belief that GEL's liquidity will
remain constrained on account of low cash accrual against debt
obligation. The company plans capital expenditure (capex) of
INR35 million in 2015-16 (refers to financial year, April 1 to
March 31) to expand manufacturing capacity, which will be funded
through term loan of INR29 million and internal accrual. Increase
in debt and low cash accrual will result in deterioration in debt
protection metrics. Interest coverage ratio weakened to 1.9 times
in 2014-15 from 2.2 times a year earlier on account of decline in
profitability, and is expected to deteriorate in 2015-16 of
account of increase in debt and stable cash accrual. Substantial
and sustained improvement in revenue and profitability, along
with steady working capital management, will remain a key
sensitivity factor.
Outlook: Stable
CRISIL believes GEL will continue to benefit over the medium term
from its promoters' extensive industry experience and established
relationships with customers. The outlook may be revised to
'Positive' in case of substantial and sustained improvement in
revenue and profitability, or in working capital management, or
in capital structure because of sizeable equity infusion.
Conversely, the outlook may be revised to 'Negative' if
profitability declines steeply, or if capital structure
deteriorates significantly because of large debt-funded capex or
stretch in working capital cycle.
GEL, set up in August 1996 by Kolkata-based Sharma family,
manufactures products cast in ductile iron as per customers'
specifications. Its products are primarily used in the railways
and water works industries. It commenced commercial production in
2001 and operations are managed by director Mr. Rajeev Sharma.
GEPDEC INFRATECH: CRISIL Suspends 'B' Rating on INR37MM Loan
------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Gepdec Infratech Limited (GIL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 63 CRISIL A4
Cash Credit 20 CRISIL B/Stable
Proposed Long Term
Bank Loan Facility 37 CRISIL B/Stable
The suspension of ratings is on account of non-cooperation by GIL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, GIL is yet to
provide adequate information to enable CRISIL to assess GIL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
GIL, incorporated in 2009, is a Noida-based civil contractor that
provides turnkey solutions for power and civil projects. Its
operations are managed by Mr. Santosh Sharma.
HARISONS AND HARLAJ: ICRA Assigns B+/A4 Rating to INR15cr Loan
--------------------------------------------------------------
ICRA has assigned its long-term rating of [ICRA]B+ and short term
rating of [ICRA]A4 to the bank lines of INR15.00 crore1 of
Harisons And Harlaj Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term/Short
term fund based
limit 15.00 [ICRA]B+/[ICRA]A4; Assigned
ICRA's ratings take into account the intensely competitive nature
of carpet, and rugs manufacturing industry owing to low entry
barriers which leads to pricing pressure on the players. The
domestic carpet and rug manufacturing industry is highly
fragmented wherein majority of the production is concentrated in
the small scale units in the unorganized sector. Further, ICRA
has also noted the contraction in operating income of the company
owing to weak demand from its key customers. HHL is also exposed
to high geographical and customer concentration risk with top
customer contributing ~25% and top five customers contributing
~50% in the revenue. ICRA's rating also factors in the modest
financial profile of HHL with leveraged capital structure, high
working capital intensity, and thin net cash accruals which has
affected the liquidity leading to higher utilization of working
capital borrowings.
However, the ratings favourably factors in the extensive
experience of the promoters in the similar line of business and
their established relations with customers as well as suppliers.
The company has recently monetised its non-core immovable asset
and its proceeds have been partly utilized working capital and
remaining for the investment in the associate concern for setting
up spinning and weaving plant.
The company's ability to grow its revenues while maintaining
adequate liquidity with efficient working capital management will
be the key rating sensitivities. Any large debt funded capex will
be a key monitorable.
HHL is a closely held public limited company owned and managed by
Panipat based-Vij Family. HHL is engaged in the manufacturing of
hand tufted carpet, bath mattress, door mattress, rugs, bed
spread, curtains, cushion covers and other such items. The
company has three manufacturing units situated at Panipat,
Haryana. The company is driving ~90% revenue from exports while
rest is from domestic sales. HHL is recognized as a 'Star Export
House' by the Government and certified as ISO 9001:2008.
HHL has an associate concern i.e. Harihar Textile which was
incorporated in 2009. HHL has controlling stake of 75% in Harihar
Textile, a partnership firm. It was floated primarily to carry on
the backward value chain activities for HHL. The management has
its plans to manufacture cotton yarn, and undertake weaving and
knitting of fabric in this Harihar Textile. The plant has already
commenced operation in FY2015.
Recent Results
HHL registered an operating income (OI) of INR53.67 crore and
profit after tax (PAT) of INR0.27crore in FY2015 compared to OI
of INR55.89 crore and PAT of INR0.45 crore in the previous year.
HEMRAJ DEVKARANDAS: ICRA Reaffirms 'B' Rating on INR8.5cr Loan
--------------------------------------------------------------
ICRA has reaffirmed the long term rating for INR8.2 crore long
term bank facilities of Hemraj Devkarandas Metals and Minerals
Limited to [ICRA]B. ICRA has also reaffirmed the short term
rating for INR6.3 crore short term bank facilities of HDMML to
[ICRA]A4.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based limits
Cash Credit 8.5 [ICRA]B reaffirmed
Non Fund based
limits Letter
of Credit 6.0 [ICRA]A4 reaffirmed
Forward contract
limit 0.3 [ICRA]A4 reaffirmed
Unallocated limits 0.2 [ICRA]B reaffirmed
The ratings reaffirmation take into account the long experience
of Hemraj Devkarandas Metals and Minerals Limited's (HDMML)
promoters in steel trading business for over a decade.
The ratings, however, remain constrained by the company's modest
scale of operations which has witnessed further degrowth in
FY2016 owing to sluggish steel industry scenario. The ratings
also take into account low profitability of the firm which
remains susceptible to volatility in steel prices. The ratings
also factor in the elongated receivables of the company resulting
in stretched liquidity position as reflected by high working
capital intensity of operations, leveraged capital structure and
modest debt coverage indicators. ICRA also take note of the
cyclicality inherent in steel industry and also low entry
barriers for steel trading business.
ICRA expects HDMML's growth in operating income to remain muted
in FY2017 given the sluggish demand scenario; however any uptick
in domestic demand may augur well for industry. Any further
correction and sharp volatility in steel prices as witnessed
during recent past may adversely impact profitability levels.
ICRA expects improvement in liquidity position of the company
with management adopting a stricter credit policy to check the
elongated receivables. The company's ability to ramp up the scale
of operations in muted industry scenario and any further
deterioration of profitability and receivables remain key rating
sensitivities.
Hemraj Devkarandas Metals and Minerals Limited (HDMML)
incorporated as private limited company in October 2012 was
converted into Limited corporate entity in FY2016. The company is
engaged in trading of flat steel products namely CR sheets and
plates, HR sheets and plates, re-bars, angles, T-Angles,
channels, MS plates, etc. Though the company commenced operations
in FY2014, the promoters have experience of over a decade in
steel trading. The products are used in various industrial
sectors like construction, automobile, engineering, etc.
Recent Results:
HDMML reported a profit of INR0.3 crore on an operating income of
INR68.9 crore for the year ending March 31, 2015 (audited) and
profit before tax of INR0.2 crore on an operating income of
INR44.9 crore as on March 31, 2016 (provisional statement).
INDUS MOTORS: CRISIL Reaffirms 'B' Rating on INR70MM Loan
---------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Indus Motors
Light Commercial Vehicles Private Limited (IMLCVPL) continues to
reflect the company's modest scale of operations, and below-
average financial risk profile because of weak capital structure
and debt protection metrics. These weaknesses are partially
offset by extensive experience of its promoters in the automobile
dealership business and its established relationship with
principal Ashok Leyland Ltd (ALL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 7.5 CRISIL B/Stable (Reaffirmed)
Inventory Funding
Facility 50 CRISIL B/Stable (Reaffirmed)
Long Term Loan 12.5 CRISIL B/Stable (Reaffirmed)
Overdraft Facility 70 CRISIL B/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes IMLCVPL will continue to benefit over the medium
term from its established position as a dealer of ALL in Kerala,
and the extensive industry experience of its promoters. The
outlook may be revised to 'Positive' in case of significant
improvement in financial risk profile, driven by higher cash
accrual or equity infusion. Conversely, the outlook may be
revised to 'Negative' if liquidity and financial risk profile
weaken because of sharp decline in cash accrual or sizeable debt-
funded capital expenditure.
Update:
Revenue remained muted in 2015-16 (refers to financial year,
April 1 to March 31), estimated at INR733 million, as against
INR726 million in the previous year, because of sluggish demand
for light commercial vehicles (LCVs). Operating profitability,
however, improved to 2.2 percent from 0.5 per cent in 2014-15,
because of better management of overhead expenses. Operating
income is likely to grow moderately over the medium term with
stable profitability, supported by improved demand for LCVs.
Financial risk profile is below average because of a negative
networth of INR55 million estimated as on March 31, 2016. Low
profitability and extensive short-term bank borrowing led to weak
debt protection metrics, with interest coverage ratio below 1
time estimated in 2015-16. The financial risk profile is expected
to remain below average over the medium term in the absence of
equity infusion and with low accretion to reserves.
Liquidity is stretched. Bank limit utilisation averaged 90
percent over the six months through February 2016. Expected
annual cash accrual of INR2-4 million will be inadequate to meet
annual debt obligation of INR7-6 million, over the medium term.
However, liquidity is supported by need-based unsecured loans
extended by promoters; this is expected to continue over the
medium term.
IMLCVPL, set up in 2011, is an authorised dealer of ALL's LCVs in
Kerala. The company is promoted by Mr. Ali Mubarak and Mr. Ali
Muneer.
INTEMO SYSTEMS: CRISIL Suspends 'D' Rating on INR60MM Cash Loan
---------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Intemo Systems Limited (ISL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 25 CRISIL D
Cash Credit 60 CRISIL D
Term Loan 40 CRISIL D
The suspension of ratings is on account of non-cooperation by ISL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, ISL is yet to
provide adequate information to enable CRISIL to assess ISL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
ISL was incorporated in 1993 by Mr. K Satyanarayana and his
business associates. The company manufactures power-saving and
power-management equipments. The company is based in Hyderabad
(Telangana).
JAWAHAR MEDICAL: CRISIL Reaffirms B+ Rating on INR10MM Loan
-----------------------------------------------------------
CRISIL's ratings on the bank facilities of Jawahar Medical
Foundation (JMF) continue to reflect a small scale of operations,
high overheads leading to losses, geographic concentration in
revenue profile, and vulnerability to regulatory risks associated
with educational institutions.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 121 CRISIL A4 (Reaffirmed)
Overdraft Facility 10 CRISIL B+/Stable (Reaffirmed)
These rating weaknesses are partially offset by a comfortable
capital structure, high occupancy rates, and benefits expected
from healthy demand prospects for the education sector.
Outlook: Stable
CRISIL believes JMF will continue to benefit over the medium term
from its long track record in the medical education sector. The
outlook may be revised to 'Positive' in case of a substantial
increase in operating income and cash accrual, along with healthy
occupancy. Conversely, the outlook may be revised to 'Negative'
if the financial risk profile, particularly liquidity, weakens,
most likely because of low cash accrual or large debt-funded
capital expenditure.
JMF, established in I987, has a campus in Dhule, Maharashtra. In
1989, the trust set up ACPM Hospital in Dhule. JMF operates three
educational institutes-ACPM Medical College, ACPM Dental College,
and ACPM College of Nursing-offering graduation, post-graduation,
and diploma courses; it also operates a medical store.
JINDAL RAYONS: ICRA Suspends 'B+' Rating on INR3.0cr LT Loan
------------------------------------------------------------
ICRA has suspended the [ICRA]B+ rating assigned to the INR2.50
crore term loans and INR3.00 crore long term fund based and the
[ICRA]A4 rating assigned to the INR0.12 crore short term non fund
based bank facilities of Jindal Rayons Private Limited. The
suspension follows ICRA's inability to carry out a rating
surveillance in the absence of the requisite information from the
company.
KAIRASONS JEMS: CRISIL Reaffirms B+ Rating on INR55MM Cash Loan
---------------------------------------------------------------
CRISIL's rating on the long-term bank facility of Kairasons Jems
& Jewels LLP (KJJL) continues to reflect its early stage of
operations in the intensely competitive gold jewellery retailing
market. The rating also factors in average financial risk
profile. These rating weaknesses are partially offset by
association with the Tribhovandas Bhimji Zaveri Ltd (TBZ) brand,
which has a strong presence in India.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 55 CRISIL B+/Stable (Reaffirmed)
Proposed Long Term
Bank Loan Facility 35 CRISIL B+/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes KJJL will continue to benefit over the medium
term from the strong brand presence of its franchisor TBZ in the
gold jewellery business. The outlook may be revised to 'Positive'
if capital structure and debt-protection metrics improve driven
by higher revenue and profitability, and large cash accrual.
Conversely, the outlook may be revised to 'Negative' if financial
risk profile weakens because of low growth in revenue and
profitability, stretch in working capital cycle, or any large
capital expenditure.
KJJL, based in Dhanbad (Jharkhand) was incorporated in September
2015. The firm retails in gold and diamond studded jewellery
including necklaces, earrings, rings, bracelets, and pendants
through its outlets at Dhanbad under a franchise agreement with
TBZ. The partners are business associates and have experience in
the real estate, coal trading, and sand mining sectors. However,
this is their first venture in the gold jewellery segment. The
operations are managed by Rahul Vyas and Sumit Singh.
KAVED STEEL: CRISIL Suspends 'B' Rating on INR30MM Cash Loan
------------------------------------------------------------
CRISIL has suspended its ratings on the bank facilities of
Kaved Steel Products Private Limited (KSPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 30 CRISIL B/Stable
Letter of Credit 50 CRISIL A4
The suspension of ratings is on account of non-cooperation by
KSPL with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, KSPL is yet to
provide adequate information to enable CRISIL to assess KSPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
KSPL (formerly, Omnicorn Steel Products Pvt Ltd), was
incorporated in 2010-11 (refers to financial year, April 1 to
March 31), promoted by Mr. Yogesh Saraswate and his brother Mr.
Shailesh Saraswate. The company trades in iron scrap and steel
articles such as hot-rolled and cold-rolled pipes.
M. S. WOOD: CRISIL Suspends 'B' Rating on INR90MM Cash Loan
-----------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
M. S. Wood Products (MSWP).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 90 CRISIL B/Stable
Proposed Long Term
Bank Loan Facility 10 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by MSWP
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, MSWP is yet to
provide adequate information to enable CRISIL to assess MSWP's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
MSWP was established as a proprietorship firm in 2007 by Mr.
WasimMaklai. In 2008, it was reconstituted as a partnership firm
by incorporating Mr. Salim Ibrahim Maklai and Mr. Abdulaziz
Dudhwala as partners. The Mumbai-based firm trades in veneer
faced plywood.
MAA BAMESWARI: ICRA Assigns 'B' Rating to INR2.0cr Term Loan
------------------------------------------------------------
ICRA has assigned the long term rating of [ICRA]B to INR0.40
crore (INR0.94 crore revised from INR0.54 crore) working capital
loan, INR0.69 crore (INR2.00 crore revised from INR1.31 crore)
term loan, INR0.25 crore (INR0.25 crore revised) bank guarantee
and INR0.08 crore (INR0.08 crore) unallocated limit of Maa
Bameswari Cold Storage Private Limited.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Seasonal Cash Credit 6.50 [ICRA]A4 assigned/
outstanding
Working Capital Loan 0.94 [ICRA]B assigned/
outstanding
Term Loan 2.00 [ICRA]B assigned/
Outstanding
Bank Guarantee 0.25 [ICRA]B assigned
Unallocated Limit 0.08 [ICRA]B/[ICRA]A4 assigned
ICRA has also assigned the short term rating of [ICRA]A4 to the
INR2.78 crore (INR6.50 crore revised from INR3.72 crore) seasonal
cash credit facility of MBCS. The unallocated limit has also been
rated on short-term scale for which ICRA has assigned the short
term rating of [ICRA]A4. ICRA also has long term rating of
[ICRA]B outstanding for INR0.54 crore working capital loan and
INR1.31 crore term loan and short term rating of [ICRA] A4
outstanding for INR3.72 crore seasonal cash credit facility of
the company.
The reaffirmation of the ratings primarily take into account
MBCS's weak financial risk profile as reflected by an adverse
capital structure and weak coverage indicators, high working
capital intensive nature of operations on account of upfront
advances to be extended to the farmers at the time of loading of
potatoes, which in turn keeps the gearing at a high level. The
ratings are further constrained by the regulated nature of the
industry, making it difficult to pass on increase in operating
costs in a timely manner, leading, in turn, to downward pressures
on profitability and MBCS's exposure to agro-climatic risks, with
its business performance being entirely dependent upon a single
agro commodity, i.e. potato. Further, ICRA notes that the loans
extended to farmers by MBCS may lead to delinquency, if potato
prices fall to a low level. The ratings also take cognizance of
the debt funded capacity expansion of MBCS which might lead to
stretched liquidity position in the short term due to high debt-
servicing obligations relative to expected net cash accruals from
operations.
The ratings, however, derive support from the long track record
of the promoters in the management of cold storages, the
locational advantage of MBCS by way of presence of its cold
storage units in West Bengal, a state with large potato
production and the significant increase in revenue during FY2015
primarily owing to increased storage capacity.
Incorporated in 2005, MBCS is promoted by the Saha and the Shaw
family. It is located in the Hooghly district of West Bengal and
is primarily engaged in the business of storage and preservation
of potatoes. Currently, MBCS has an annual storage capacity of
19,300 tonne.
Recent Results
In FY2015, MBCS reported net loss of INR0.16 crore on an
operating income (OI) of INR2.68 crore, as compared to a net loss
of INR0.02 crore on an OI of INR1.88 crore in FY2014.
MAHESHWARA COTTON: CRISIL Suspends B+ Rating on INR50MM Loan
------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Maheshwara Cotton Industries (MCI).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 50 CRISIL B+/Stable
Long Term Loan 10 CRISIL B+/Stable
Proposed Long Term
Bank Loan Facility 2.5 CRISIL B+/Stable
SME Credit 2.5 CRISIL B+/Stable
The suspension of rating is on account of non-cooperation by MCI
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, MCI is yet to
provide adequate information to enable CRISIL to assess MCI's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
Set up in 2009 as a partnership entity, in Adilabad (Andhra
Pradesh), MCI is a cotton ginning and trading firm promoted by
Mr. Dindigala Malliah and family.
MAX PROPERTIES: ICRA Lowers Rating on INR7.7cr LT Loan to 'D'
-------------------------------------------------------------
ICRA has revised the long-term rating assigned to the INR7.70
crore term loans (enhanced from INR7.41 crore), and to the
INR1.80 crore (reduced from INR2.09 crore) proposed facilities of
Max Properties Private Limited from [ICRA]B- to [ICRA]D.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long term, Fund
Based Facilities 7.70 [ICRA]D/Downgraded
Long term, Proposed
Facilities 1.80 [ICRA]D/Downgraded
The rating revision considers the delays witnessed in servicing
the debt obligations by the company, owing to its stressed
liquidity position. The company has been witnessing weakness in
the Madurai and Theni real estate segment leading to weak sales
with limited incremental bookings since the last rating exercise,
leading to a large quantum of unsold units among the ongoing and
recently completed projects of MPPL. The ratings also consider
the competitive pressures in the Madurai real estate segment and
the heavy dependence of the company on the same given the
geographical concentration of its projects. The company has been
depending on customer advances for funding of most projects
exposes the company to funding risks in times of market slowdown.
The ratings also factor in the stretched cash flow position of
the company and the vulnerability of the margins to fluctuation
in raw material and labour costs.
ICRA takes note of the strong experience and established track
record of the promoters for over two decades; and the execution
of premium projects in prime areas in Madurai (Tamil Nadu).
Max Properties Private Limited is a Madurai-based real estate
developer / construction company. It was established in 2009 by
Mr. Elango Packiaraj who was earlier executing several government
contracts in his personal capacity. Such executed projects
include construction of staff quarters in Tier II and Tier III
cities for Tamil Nadu Electricity Board, BSNL Telephones, TWAD
Board and Tamil Nadu Police Housing Corporation. MPPL undertakes
developing or co-developing on joint venture (JV) basis real
estate projects for residential or commercial-cum-residential,
multi-storied projects in Madurai and Theni. The company also
undertakes civil construction for the projects it develops and
has the necessary labor and plant & machinery for the same. The
company has so far executed projects with a total saleable area
of ~8 lakh sq.ft. The company is closely held by the family of
the company's promoter, Mr. Elango Packiaraj. The company has not
disclosed any other associate/group companies.
Recent Results
MPPL reported a net profit of INR0.76 crore on an operating
income of INR14.12 crore in FY 2014-15, as against a net profit
of INR0.71 crore on an operating income of INR10.98 crore in FY
2013-14.
METAGUARD ENGINEERS: CRISIL Assigns B+ to INR185MM Overdraft Loan
-----------------------------------------------------------------
CRISIL has assigned the 'CRISIL B+/Stable/CRISIL A4' rating on
the short-term bank loan facilities of Metaguard Engineers &
Contractors (MEC).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 165 CRISIL A4
Overdraft Facility 185 CRISIL B+/Stable
The ratings reflects the small scale of operations in the
intensely competitive civil construction industry, the large
working capital requirement and weak financial risk profile,
marked by high gearing. These weaknesses are partially offset by
the extensive industry experience of the promoter.
Outlook: Stable
CRISIL believes MEC will benefit over the medium term from the
extensive industry experience of the promoter. The outlook may be
revised to 'Positive' if increase in scale of operations and
sustained profitability improve cash accrual and liquidity. The
outlook may be revised to 'Negative' if low revenue or
profitability, deterioration in working capital management, or
any large debt-funded capital expenditure weakens the financial
risk profile, particularly liquidity.
Set up in 1990, the Kerala-based firm executes road construction
projects for government undertakings. Operations are managed by
the proprietor, Mr. Sasidharan Kuttan Pillai. It is a registered
'A' class contractor in the state.
MURANO TILES: ICRA Suspends B/A4 Rating on INR8.8cr Loan
--------------------------------------------------------
ICRA has suspended the [ICRA]B/[ICRA]A4 ratings assigned to the
INR8.80 crore limits of Murano Tiles Private Limited. The
suspension follows ICRAs inability to carry out a rating
surveillance due to non cooperation from the company.
Incorporated in 2010, Murano Tiles Private Limited (MTPL)
commenced commercial production of ceramic wall tiles on 19th
August 2011. The sole plant of the company is located at Morbi in
Rajkot district of Gujarat and operates with an installed
capacity of 36,000 MTPA. MTPL is promoted by Mr. Prakash Aghara
along with his family members having an experience of around a
decade in the ceramic tile industry. The company currently
manufactures wall tiles of sizes 12"x12", 18"x12" and 24"x12".
NATIONAL SOLVENTS: CRISIL Suspends 'B' Rating on INR75MM Loan
-------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
National Solvents & Chemical Industries (NSCI).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 50 CRISIL B/Stable
Proposed Long Term
Bank Loan Facility 75 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by NSCI
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, NSCI is yet to
provide adequate information to enable CRISIL to assess NSCI's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
Established in 2006 as a proprietorship firm of Mr. Manish
Bhansali, NSCI trades agrochemicals. The firm operates through
its base in Mumbai.
NIK-SAN ENGINEERING: ICRA Reaffirms 'D' Rating on INR16cr Loan
--------------------------------------------------------------
ICRA has reaffirmed the long-term rating of [ICRA]D to the
INR16.84 crore fund based facilities of Nik-San Engineering
Company Limited. ICRA has also reaffirmed the short-term rating
of [ICRA]D to the INR30.00 crore non-fund based bank facilities
of the company. ICRA has also reaffirmed the rating of [ICRA]D to
the INR5.00 crore non fund based sub-limit of the company.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based Limits
Term Loan 8.64 [ICRA]D; reaffirmed
Cash Credit 8.20 [ICRA]D; reaffirmed
Non Fund Based
Limits Bank Guarantee 16.00 [ICRA]D; reaffirmed
LC/DP/DA 12.00 [ICRA]D; reaffirmed
Buyers Credit (5.00) [ICRA]D; reaffirmed
Forward contract 2.00 [ICRA]D; reaffirmed
The rating reaffirmation takes into account the delays in timely
servicing of debt obligations despite restructuring of bank
limits due to its stretched liquidity position, leading to
multiple instances of devolvement in non fund-based limits and
consistent over utilisation of fund based limits. ICRA notes that
the significant debt repayment obligations in the near future are
likely to keep cash flows under stress, given the long overdue
receivables from major customers. The rating also takes note of
the weak financial health of State Electricity Boards (SEBs),
leading to high receivable levels for the company, affecting the
liquidity position. The ratings are further constrained by the
limited bargaining power of the company as a result of intense
competition from other domestic established players and L1 based
tender award system, both of which exert pressure on
profitability.
The rating factors in the strong technical experience of the
management in the transformer manufacturing business as well as
the pre qualification status met by NECL from distribution
companies of states like Gujarat, Rajasthan, Maharashtra, Tamil
Nadu, Madhya Pradesh, Bihar and Uttar Pradesh which gives them an
edge over other players. The rating also factors in the healthy
growth in revenues as a result of increase in the number of
orders executed.
The company's ability to service its debt obligations in a timely
manner amidst its stretched liquidity position will be the key
rating sensitivities.
Nik-San Engineering Company Limited (NECL) was acquired by Mr.
Suresh Kumar Choudhary and Mr. Naresh Kumar Choudhary in 1993.
The company is involved in the manufacturing of distribution
transformers, low tension current transformers (LTCT) and current
and potential transformers, with its manufacturing facility being
located at Vadodara, Gujarat. These products find application in
the distribution of electrical power and measuring instruments.
OM COTTON: ICRA Reaffirms B+ Rating on INR5cr Cash Loan
-------------------------------------------------------
ICRA has reaffirmed the [ICRA]B+ rating to the INR1.03 crore term
loans facility and INR5.00 crore cash credit facility of Om
Cotton & Oil Industries.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based Term
Loan 1.03 [ICRA]B+ reaffirmed
Fund Based Cash
Credit 5.00 [ICRA]B+ reaffirmed
The reaffirmation of rating continues to be constrained by OCOI's
modest scale of operations, the low value additive nature of
operations, and the intense competition on account of the
fragmented industry structure leading to thin profit margins. The
rating also takes into account weak financial profile as
reflected by low profitability, leveraged capital structure with
high gearing level and weak coverage indicators.
ICRA also notes the vulnerability of profitability, to the
adverse movements in raw cotton prices, which are subject to
seasonality and crop harvest and government regulations changes
in terms of MSP for procurement of raw cotton and exports.
The ratings, however, favorably take into account the experience
of the partners in the cotton industry and location advantage
enjoyed by OCOI, giving it easy access to high quality raw
cotton.
The turnover and margins are expected to remain in line with the
previous fiscal given the stable outlook on prices and
availability for raw cotton. However, the firm's ability to scale
up the operations will be largely contingent on an improvement in
international demand, given the seasonality in the business,
volatility in prices of cotton, high competitive intensity and
uncertain regulatory scenario. Further the firm's ability to
infuse funds to support its capital structure and manage its
working capital efficiently would be a key rating monitor.
Established in 2012, Om Cotton & Oil Industries (OCOI) is a
partnership firm. The firm has eight partners; while it is
actively managed by six partners namely Mr. Govindbhai Loh, Mr.
Pravinkumar Loh, Mr. Sanjaybhai Jivani, Mr. Mitulbhai Jivani, Mr.
Nileshbhai Virsodiaya and Mr. Arvindbhai Bhalodiya. The firm was
engaged in ginning and pressing of raw cotton and crushing of
cottonseeds. In FY2016, the firm has continued with ginning
operation while discontinuing crushing operation. OCOI's
manufacturing facility is located at Hirapar, Rajkot District in
Gujarat and is currently equipped with 24 ginning machines and
one pressing machine to produce cotton bales and cottonseeds.
OCOI has an installed capacity to produce 235 cotton bales per
day (24 hours operation).
Recent Results
In FY2015, OCOI reported an operating income of INR24.62 crore
and net loss of INR0.30 crore. Further, in FY2016 (unaudited
provisional financials), the firm has reported an operating
income of INR25.26 crore and net profit of INR0.05 crore.
PREMIUM EXPORTS: ICRA Suspends 'B+/A4' Rating on INR8cr Loan
------------------------------------------------------------
ICRA has suspended the [ICRA]B+ and [ICRA]A4 ratings assigned to
the INR8 crore line of credit of Premium Exports. The suspension
follows ICRA's inability to carry out a rating surveillance in
the absence of the requisite information from the company.
Established as a partnership firm in 1989, Premium Exports is
primarily engaged in export of various agricultural commodities.
It's a government recognized star export house. The company has
two group concerns Sugar Supply Company and Premium Sugars which
are engaged in similar lines of business. PE has its registered
office in Mumbai and a warehouse at Navi Mumbai, Maharashtra.
REALLIANCE CONSTRUCTIONS: CRISIL Suspends 'D' INR120M Loan Rating
-----------------------------------------------------------------
CRISIL has suspended its rating on the bank facility of
Realliance Constructions (RC).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Term Loan 120 CRISIL D
The suspension of rating is on account of non-cooperation by RC
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, RC is yet to
provide adequate information to enable CRISIL to assess RC's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
RC, a proprietorship firm, was established in 2009 by Mrs. Kavita
Kadam. Its day-to-day operations are managed by Mr. Aanand Kadam,
husband of Mrs. Kavita Kadam. The firm undertakes residential
real estate development. RC is currently developing three
residential projects in Karjat (Maharashtra): Coral Lake,
comprising 240 units; Mohili Meadows, comprising 263 units; and
Ten Square, comprising 258 units.
SAGAR AUTO: CRISIL Assigns 'B+' Rating to INR20MM Cash Loan
-----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Sagar Auto Parts Private Limited (SAPPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Rupee Term Loan 19.2 CRISIL B+/Stable
Proposed Term Loan 20 CRISIL B+/Stable
Cash Credit 20 CRISIL B+/Stable
Proposed Letter of
Credit & Bank Guarantee 40.8 CRISIL A4
The ratings reflect the company's small scale of operations,
customer concentration in revenue profile, average profitability,
and exposure to risks related to implementation of a new unit.
These weaknesses are partially offset by the extensive experience
of its promoter in manufacturing automotive (auto) components,
established relationship with Greaves Cotton Ltd (GCL), and a
moderate capital structure despite a small networth.
Outlook: Stable
CRISIL believes SAPPL will continue to benefit over the medium
term from the extensive industry experience of its promoters and
established association with GCL. The outlook may be revised to
'Positive' in case of a significant increase in revenue and cash
accrual, backed by quick ramp up of production at the new unit.
Conversely, the outlook may be revised to 'Negative' if the ramp
up in production is slower than expected and working capital
cycle is stretched, leading to weakening of the company's
financial risk profile, particularly liquidity.
Incorporated in 1995 and promoted by Mr. Bharat Pandey, SAPPL
manufactures different auto components used in silencers and
engines, mainly for three-wheelers. Its manufacturing facility is
in Shirur near Pune.
SHIPRA AGRICHEM: CRISIL Suspends 'D' Rating on INR80MM Loan
-----------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Shipra Agrichem Private Limited (SAPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 80 CRISIL D
Letter of Credit 13 CRISIL D
Term Loan 32 CRISIL D
The suspension of rating is on account of non-cooperation by SAPL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, SAPL is yet to
provide adequate information to enable CRISIL to assess SAPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
SAPL is a Vododara (Gujarat)-based company incorporated in 2008.
It manufactures castor oil derivatives such as sebacic acid, 2-
octanol, glycerine, sodium sulphate, and fatty acid. Its daily
operations are managed by Mr. Pradeep B Nair.
SHREE BALAJI: CRISIL Assigns 'D' Rating to INR207.5MM Cash Loan
---------------------------------------------------------------
CRISIL has revoked the suspension of its rating on the long-term
bank facilities of Shree Balaji Pigments Private Limited (SBPPL)
and assigned its 'CRISIL D' rating to the facilities. CRISIL had
suspended the rating on April 27, 2016, as the company had not
provided adequate information for a rating review. It has now
shared the requisite information, enabling CRISIL to assign a
rating to its bank facilities.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 207.5 CRISIL D (Assigned;
Suspension Revoked)
The rating reflects instances of delay by SBPPL in meeting its
debt obligation because of weak liquidity. SBPPL also has a weak
financial risk profile because of high gearing, small scale of
operations with geographic concentration in revenue profile, and
large working capital requirement. However, the company benefits
from the extensive experience of its promoters in the metal
industry.
SBPPL, promoted by Mr. Khem Chand Jain and Mr. Sunil Kumar
Agarwal, manufactures TMT (thermo-mechanically treated) bars. The
company, incorporated in 2007, has a manufacturing plant with
capacity of 105,000 tonne per annum, at Kathua in Jammu &
Kashmir.
SHREEJI COTTON: ICRA Assigns 'B+' Rating to INR10.50cr Loan
-----------------------------------------------------------
ICRA has assigned the [ICRA]B+ rating to the INR10.50 crore1
enhanced cash credit facility (enhanced from INR7.00 crore) of
Shreeji Cotton Industries.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based Cash
Credit 10.50 [ICRA]B+; assigned/outstanding
The reaffirmation of rating continues to be constrained by SCI's
modest scale of operations; low value additive nature of
operations and intense competition on account of fragmented
industry structure leading to thin profit margins. The rating
also takes into account weak financial profile as reflected by
low profitability, leveraged capital structure and weak coverage
indicators.
ICRA also notes the vulnerability of profitability, to the
adverse movements in raw cotton prices, which are subject to
seasonality and crop harvest and Government regulations changes
in terms of MSP for procurement of raw cotton and exports.
The ratings, however, favorably take into account the experience
of the promoters in the cotton industry and location advantage
enjoyed by SCI giving it easy access to high quality raw cotton.
The turnover and margins are expected to remain in line with the
previous fiscal given the stable outlook on prices and
availability for raw cotton. However, the company's ability to
scale up the operations would be largely contingent to
improvement in international demand, given the seasonality in the
business, volatility in prices of cotton, high competitive
intensity and uncertain regulatory scenario. Further the
company's ability to infuse funds to support its capital
structure and manage its working capital efficiently would be a
key rating monitor.
Established in 2006, Shreeji Cotton Industries (SCI) is a
partnership concern managed by Mr. Ravji Ramani and Mr. Jiva
Ramani. The company is engaged in ginning and pressing of raw
cotton to produce cotton bales and cottonseeds. SCI's
manufacturing facility is located at Jasdan, Rajkot District,
Gujarat and is currently equipped with 24 ginning machines and 1
pressing machine having an installed capacity to produce 220
cotton bales per day (24 hours operation).
Recent Results
During FY15, SCI reported an operating income of INR41.36 crore
with net profit of INR0.07 crore against operating income of
INR36.47 crore with net profit of INR0.06 crore. In FY16, till
the end of February 2016, the company reported an operating
income of INR47.77 crores with an operating profit (OPBDITA) of
INR0.84 crore.
SHRI HARDAYAL: CRISIL Reaffirms B+ Rating on INR57MM Cash Loan
--------------------------------------------------------------
CRISIL's rating on the long-term bank facility of Shri Hardayal
Singh Sheetgrah Private Limited (SHSS) continues to reflect the
small scale of operations in the intensely competitive and
fragmented cold storage industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 57 CRISIL B+/Stable (Reaffirmed)
The rating also factors in susceptibility to delay in realisation
of loans and advances from farmers. These rating weaknesses are
mitigated by above-average financial risk profile and the
benefits derived from the extensive experience of promoters.
Outlook: Stable
CRISIL believes SHSS will continue to benefit over the medium
term from its promoter's extensive industry experience. The
outlook may be revised to 'Positive' if significant improvement
in scale of operations and operating profitability strengthens
SHSS's business and financial risk profiles. Conversely, the
outlook may be revised to 'Negative' if decline in sales or
profitability, or delay in realisation of advances from farmers
weakens financial risk profile.
SHSS is a private limited company providing cold-storage facility
for potato farmers, through its units in Tundla and Jaswant Nagar
in Uttar Pradesh with capacities of 170,000 and 48,000 quintals
respectively.
SRI DURGASHREE: CRISIL Assigns 'B' Rating to INR52.2MM LT Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Sri Durgashree Cashews (SDC).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Proposed Long Term
Bank Loan Facility 52.2 CRISIL B/Stable
Cash Credit 40 CRISIL B/Stable
Long Term Loan 7.8 CRISIL B/Stable
The rating reflects the firm's modest scale of operations in the
intensely competitive cashew industry, large working capital
requirement, and below-average financial risk profile because of
small networth and high gearing. These weaknesses are partially
offset by extensive experience of its partners in the cashew
processing industry.
Outlook: Stable
CRISIL believes SDC will continue to benefit from its partners'
extensive industry experience. The outlook may be revised to
'Positive' in case of higher-than-expected growth in revenue and
profitability, and improvement in working capital management,
resulting in a better financial risk profile. The outlook may be
revised to 'Negative' if cash accrual is lower than expected, or
if the firm undertakes significant, debt-funded capital
expenditure, or if working capital requirement increases, leading
to deterioration in liquidity.
SDC, set up in 2012, is a partnership firm that processes raw
cashew nuts and sells cashew kernels. It has a facility in Udupi,
Karnataka. Operations are managed by Mr. Adarsh Hedge and Mr.
Pramod Hedge.
SRI LAKSHMI: ICRA Reaffirms 'B' Rating on INR27.43cr Loan
---------------------------------------------------------
ICRA has reaffirmed a long-term rating of [ICRA]B to INR27.43
crore1(enhanced from INR16.43 crore) fund based limits and
INR4.57 crore (enhanced from 3.57 crore) unallocated limits of
Sri Lakshmi Venkateswara Hygienic Foods.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based limits 27.43 [ICRA]B re-affirmed
Unallocated limits 4.57 [ICRA]B re-affirmed
The ratings are constrained by the weak financial profile of the
company characterised by low profitability, highly geared capital
structure, low coverage indicators, and stretched liquidity
position given high repayment obligations in the near term. The
ratings are further constrained by limited value additive nature
of the business and highly fragmented industry structure
resulting in low profitability levels and the susceptibility of
profitability and revenues to agro-climatic risks which can
impact the availability of the paddy in adverse weather
conditions. ICRA notes that the reduction in levy has resulted in
greater supplies to the open market, which has resulted in
improved average realizations for the industry. However, the
sustainability of the prices in a competitive environment is yet
to be seen. The rating continues to be constrained by the
vulnerability to any other regulatory changes, especially those
pertaining to minimum support price and export restrictions.
The ratings, however, take comfort from the long track record of
the promoters in the rice mill business, the easy availability of
paddy with proximity of the plant to the major paddy cultivating
region of Andhra Pradesh and benefit from the group entities (Sri
Veera Venkata Satyanarayana Rice Mill) which have established
relationships with several customers. Further, favourable demand
prospects for the industry, with India being the second largest
consumer and producer of rice internationally, augurs well for
the firm.
Going forward, ability of the firm to improve its scale of
operations, margins, and accruals with effective management of
working capital requirements amidst significant repayment
obligations in the near term is the key rating sensitivity.
Sri Lakshmi Venkateswara Hygienic Foods Private Limited (SLVHFPL)
was incorporated as a private limited company in February
2014.The Company commenced its operations in March 2015 and is
engaged in milling of paddy to produce raw and boiled rice. The
company is promoted by Mr. S Srinivasa Reddy and other family
members. The installed capacity of the plant is 16 tons per hour
and is located at Balabhadrapuram village in the East Godavari
District of Andhra Pradesh.
Recent Results
According to unaudited financials, SLVHFPL has reported an
operating income of INR54.68 crore and operating profit (before
depreciation, interest and tax) of INR2.60 crore in FY2016.
SRI SHAMBHAVI: CRISIL Suspends 'B' Rating on INR45MM Term Loan
--------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Sri Shambhavi Cotton Ginning & Pressing (SSCGP).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 25 CRISIL B/Stable
Term Loan 45 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by
SSCGP with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, SSCGP is yet to
provide adequate information to enable CRISIL to assess SSCGP's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
SSCGP was setup in 2014, by Mr. Siddesh Angadi, Mrs. Poornima and
Mrs.Drakshayani. The firm is setting up a cotton ginning unit in
Koppal (Karnataka) and operations are expected to commence from
January 2015 onwards.
SUNRAJ CYCLE: ICRA Suspends B/A4 Rating on INR9.22cr Loan
---------------------------------------------------------
ICRA has suspended the [ICRA]B/[ICRA]A4 ratings assigned to the
INR9.22 crore limits of Sunraj Cycle Industries. The suspension
follows ICRAs inability to carry out a rating surveillance in the
absence of the requisite information from the company.
Sunraj Cycle Industries (SCI), promoted by Mr. Mitesh Khunt, Mr.
Pritesh Khunt, Mr. Vishal Khunt, Mr. Bhragav Khunt and Mr. Ankit
Khunt was established as a partnership firm in December 2011. The
firm commenced commercial operations in August 2014 and is
engaged in manufacturing standard segment bicycles targeted at
children in the age group of 2-13 years. The bicycles are sold
under the brand name of 'Sunraj'.
TNR ESTATES: ICRA Lowers Rating on INR15cr Term Loan to 'D'
-----------------------------------------------------------
ICRA has revised the long term rating assigned to INR15.00 crore
term loan limits of TNR Estates Private Limited to ICRA]D from
[ICRA]BB-.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Term Loan 15.00 Revised to [ICRA]D from
[ICRA]BB-(stable)
The rating revision primarily factors in ongoing delays in
servicing of term loan repayments owing to pending receivables
for the completed residential project with the company yet to
receive ~32% of receivables from the sold space due to pending
flat registrations. The rating is further constrained by delay of
more than six months in completion of mall cum multiplex project
while the term loan repayments for the multiplex project loan has
commenced from April 2016 with company servicing the repayments
from advances received from tenants.
The rating continues to be constrained by location risk as it is
the first large mall cum multiplex project in Suchitra Junction,
Hyderabad; ability of the mall to attract footfalls resulting in
good sales performance of the retailers which is critical to
ensure their continuity at mall and leasing risk for the
remaining area given that the rentals are at par with other well
developed commercial areas in Hyderabad. The rating however
positively factors in the experience of promoters in the
Hyderabad real estate market; advanced stage of construction of
mall cum multiplex project with operations expected to begin from
October 2016 and modest market risk in residential project with
only 12% of flats to be sold.
Going forward, the ability of the company to timely service the
debt obligations, complete the commercial project and leasing of
remaining area will remain the key rating sensitivities from
credit perspective.
TNR Estates Private Limited (TEPL) was incorporated in 2005 with
the main objective of building and developing housing projects.
The company is led by Mr. T.Ravinder Rao, Mr. M.Naveenkanth Reddy
and Mr. S.Vikranth Reddy who have prior experience in real estate
and building activities. The company is currently working on two
projects: 1) "TNR North City Residences", a residential project
at suchitra junction, jeedimetla, Hyderabad with a total build up
area of 2,55,847 sft in 153 flats and 2) " TNR North City Mall &
Multiplex", a commercial project at same location with a total
build up area of 3,34,728 sq. ft.
Recent Results
The company reported an operating income and net profit of
INR26.70 crore and 0.61 crore respectively in FY2015 as against
an operating income and net profit of INR10.00 crore and INR0.73
crore respectively in FY2014.
VIDYA PRASARINI: ICRA Lowers Rating on INR13.45cr Loan to 'D'
-------------------------------------------------------------
ICRA has downgraded the long-term rating from [ICRA]BB- with a
stable outlook to [ICRA]D and the short-term rating from [ICRA]A4
to [ICRA]D for the fund based and unallocated limits aggregating
to INR13.75 crore of Vidya Prasarini Sabha.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based Limits
Term Loans 13.45 [ICRA]D downgraded
Unallocated Limits 0.30 [ICRA]D downgraded
The ratings downgrade takes into account the delays in meeting
its debt obligations.
Vidya Prasarini Sabha (VPS) was established in 1923 with an aim
to provide education to various verticals of society. At present,
VPS runs around twenty-two education institutes in Pune and
Lonavala which includes Engineering college, BSC College, BCA
College, Jr. Colleges, high schools and Institutes for computer
courses with total strength of around 11,800 students of which
around 7400 students come under government sponsored schools
while remaining 4400 students came under private schools, Jr.
Colleges and other institutes.
VINOTH DISTRIBUTORS: CRISIL Reaffirms B+ Rating on INR100MM Loan
----------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Vinoth
Distributors (VD) continues to reflect VD's modest scale of
operations and modest financial risk profile, marked by small net
worth, high total outside liability to tangible networth ratio,
and weak debt protection metrics. These rating weaknesses are
partially offset by the extensive experience of VD's promoters in
the agricultural commodities industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 100 CRISIL B+/Stable (Reaffirmed)
Proposed Long Term
Bank Loan Facility 30 CRISIL B+/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes that VD will benefit from its promoters'
extensive industry experience. The outlook may be revised to
'Positive' if the firm reports substantial revenue and margins,
while improving its capital structure. Conversely, the outlook
may be revised to 'Negative' if the firm reports low revenue and
margins or if its working capital cycle lengthens, leading to
deterioration in its financial risk profile.
Set up in 2009 as a partnership firm and promoted by Mr. K R
Padmanabhan and his family members, VD trades in rice. The day to
day operations of the firm are managed by Mr. Kumar.
WORTH ENGINEERING: CRISIL Suspends 'B' Rating on INR37.5MM Loan
---------------------------------------------------------------
CRISIL has suspended its rating on the bank facilities of
Worth Engineering Private Limited (WEPL).
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 37.5 CRISIL B/Stable
Proposed Long Term
Bank Loan Facility 12.5 CRISIL B/Stable
The suspension of rating is on account of non-cooperation by WEPL
with CRISIL's efforts to undertake a review of the ratings
outstanding. Despite repeated requests by CRISIL, WEPL is yet to
provide adequate information to enable CRISIL to assess WEPL's
ability to service its debt. The suspension reflects CRISIL's
inability to maintain a valid rating in the absence of adequate
information. CRISIL considers information availability risk as a
key factor in its rating process as outlined in its criteria
'Information Availability - a key risk factor in credit ratings'
WEPL is promoted by Mr. Yogesh Saraswate and his brother Mr.
Shailesh Saraswate. The company manufactures construction
equipment, mainly scaffoldings (80 per cent) and other equipment
such as concrete mixers and small cranes. Its manufacturing unit
is located at Pune (Maharashtra) with installed capacity of 1500
tonnes of scaffoldings per month.
The company is a part of the Maruti group, which also comprises
Maruti Strips and Ferro Alloys Pvt Ltd and Kaved Steel Products
Pvt Ltd that trade in steel products.
====================
N E W Z E A L A N D
====================
BAYCOM CONSTRUCTION: Leaky School Dispute Prompts Liquidation
-------------------------------------------------------------
Anne Gibson at The New Zealand Herald reports that a dispute
between a Tauranga builder and the Ministry of Education over
school building weathertightness issues prompted liquidation, an
official report says.
BDO Tauranga's Paul Clark is a joint liquidator of BayCom
Construction and he indicated an impasse between the ministry and
builder resulted in the company's fall, the report discloses.
"The director of the company advises that issues arose out of
previous projects for the Ministry of Education. Settlement of
the claim at an affordable level seemed probable right up until a
meeting on 9 May 2016 when negotiations took a new turn and broke
down," the Herald quotes Mr. Clark as saying.
The Herald relates that Jerome Sheppard, head of the ministry's
education infrastructure service, could say little in response to
the liquidator's report.
"This matter is being handled by the company-appointed
administrator. We're not able to provide details until the
liquidation process is completed," the Herald quotes Mr. Sheppard
as saying.
According to the Herald, Robin Whiting, BayCom's director and 85%
shareholder, expressed frustration but said there was no option
other than liquidation and he now plans to sell his Tauranga
house.
"These are existing school buildings that have perhaps been
altered or work has been done of them and they purportedly
leaked. We had agreed to do some targeted repairs. But then they
wanted roofs re-pitched and cavity walls. We believe that's a
design issue. We believed that the ministry wanted significant
portions of betterment which is unrealistic," the report quotes
Mr. Whiting as saying.
Mr. Whiting said the schools had been built by other construction
companies which were no longer operating in the area, the report
relays.
A 10-year timeframe for claims over those buildings was drawing
near, hence the pressure was on to resolve issues, he said.
Some of the buildings BayCom lists on its web site as having
worked on include Tauranga's Brookfield School, St Josephs's
Catholic School at Opotiki, painting at Maungatapu School,
Tauranga Boys College technical block, Waiariki Institute of
Technology, John Paul College administration building and Aquinas
College Tauranga, the Herald notes.
The Herald adds that the ministry spokesman said not all the
schools were state-owned as some which had been worked on were
owned by the Catholic church.
FISHER & PAYKEL: S&P Affirms 'BB' ICR & Removed from Watch Dev.
---------------------------------------------------------------
S&P Global Ratings said it has affirmed its 'BB' long-term and
'B' short-term issuer credit ratings on New Zealand-based Fisher
& Paykel Finance Ltd. (FPFL). At the same time, S&P removed the
ratings from CreditWatch, where it had initially placed them with
developing implications on Oct. 27, 2015. The outlook on the
long-term rating is stable.
The rating affirmation and removal from CreditWatch follow S&P's
review of FPFL's creditworthiness in the context of the purchase
of FPFL by Australia-based FlexiGroup Ltd. (FXL; not rated). S&P
considers FPFL to be a core subsidiary of FXL, which takes into
account S&P's belief that the newly acquired subsidiary forms an
integral part of the FXL group. S&P believes the FXL group would
provide timely financial support for FPFL--if needed--under any
foreseeable circumstances. Consequently, in S&P's view, FPFL's
creditworthiness is equivalent to its assessment of the group
credit profile of the FXL group.
S&P considers that the FXL group has a good market position as a
lender across a number of business lines. These include
consumer, small and midsize enterprise, and business lending and
leasing throughout Australia and New Zealand -- the group's
operations in New Zealand are primarily through FPFL and its
affiliates within the Fisher & Paykel Finance Holdings Ltd.
subgroup.
S&P believes risk-adjusted capital for the consolidated FXL group
is a relative weakness when compared with rated peers.
Nevertheless, S&P believes FXL's capital strength is supported by
the quality of capital and earnings, as well as capital
flexibility, underpinned by a combination of high margins, good
cost control, and reasonably low credit costs.
Similar to higher-rated peers such as Liberty and New Zealand-
based UDC Finance Ltd. (AA-/Watch Neg/A-1+), the consolidated FXL
group is exposed to a higher degree of credit risk relative to
mainstream commercial banks, given its focus on consumer credit
and both consumer and business leasing.
In S&P's opinion, use of securitization vehicles and committed
warehouse facilities should help the FXL group manage and
mitigate funding and liquidity risks, although the company's
inability to find alternative funding sources in a stress
scenario would pose risks to business sustainability.
Despite the very short duration of ownership, S&P's expectation
of group support takes into account our opinion that the FXL
group is highly unlikely to sell FPFL, as S&P believes its
customers, products, and market presence in New Zealand will
represent an integral part of FXL's strategy.
The stable outlook reflects S&P's expectation that the FXL group
will remain committed to providing timely financial support to
FPFL -- if needed -- under any foreseeable situation. FPFL will
remain an integral subsidiary of FXL. As such, S&P expects any
changes in its rating on FPFL to be influenced primarily by
changes in S&P's view of the FXL group's credit profile, or the
strategic importance of FPFL to the FXL group. S&P expects that
the FXL group will maintain a path of gradual reduction in
financial leverage over the next two years, that the group will
retain its good business position in its target business segments
across Australia and New Zealand, and that credit losses will not
rise materially above S&P's expected credit losses through the
cycle credit (long-term average). S&P also expects that
Australian businesses will continue to form most of the FXL
group.
Although S&P do not expect to lower our rating on FPFL in the
next year, the rating would come under pressure under these
scenarios:
-- S&P believed capitalization at the consolidated level was
likely to structurally deteriorate rather than the group
maintaining a trend of gradual reduction in the leverage.
S&P formed a view that FPFL's strategic importance to the
FXL group has reduced. The proportion of the FXL group's
New Zealand assets started to increase closer to half of
the total compared with about 40% currently.
-- The FXL group faced any significant funding or liquidity
challenges whether triggered by a deterioration in
operating environment or FXL specific issues.
-- The FXL group's credit losses started trending to levels
materially greater than S&P's expected credit losses
through the cycle credit (long-term average).
S&P do not foresee any upward rating potential for FPFL within
the next 12 months. S&P believes upward rating prospects rest
mainly on a step-change in capitalization at the consolidated
level.
PYNE GOULD: NZX Suspension Lifted After First-Half Results Filed
----------------------------------------------------------------
Paul McBeth at BusinessDesk reports that Pyne Gould Corp shares
are allowed to trade again, ending a seven-month suspension,
after the asset manager controlled by George Kerr filed its
first-half results.
BusinessDesk relates that the Guernsey-based long-term investor's
portfolio held net assets worth GBP50.81 million, or 23.49 pence
per share, as at December, down from GBP55.1 million, or 26.61
pence, a year earlier.
According to BusinessDesk, Pyne Gould reported a net loss of
GBP1.5 million in the six months from a loss of GBP5.3 million a
year earlier, due to foreign exchange losses.
BusinessDesk say says the first-half accounts follow last month's
filing of the firm's long-delayed 2015 annual report, which was
held up because of a change of auditors, followed by
consolidation of its Torchlight Fund LP unit into its accounts.
That delay meant Pyne Gould missed NZX's deadline to file its
2015 accounts, resulting in the suspension of trading in its
shares, the second year in a row it was censured, and while the
annual report was filed last month, the halt stayed in place
because the first half results were overdue, according to
BusinessDesk.
Before the October suspension, the company's shares last traded
at 24.5c, valuing the firm at NZ$50.8 million.
BusinessDesk notes that the results show Pyne Gould lifted its
cash balance by GBP20.6 million to GBP31.6 million, due to strong
property sales in Victoria for its 100% owned developer RCL, and
the sale of Local World to Trinity Mirror, at four times the
firm's initial investment.
Pyne Gould's current liabilities more than doubled to GBP56.5
million, of which GBP11.2 million was bank debt and GBP41.1
million was a third party corporate debt facility, BusinessDesk
discloses.
"This marks the end of the restructuring period of RCL and means
RCL has the financial capacity to internally fund working capital
and consider both internal and external funding options for
growth," the report quotes Pyne Gould as saying. "This allows
greater reinvestment in the land bank and consequently greater
long-run value for investors."
BusinessDesk adds that the latest accounts disclose contingent
liabilities relating to several legal disputes, with an
application to wind up the Torchlight fund in the Cayman Islands,
a disputed penalty fee on a AUD37 million loan from Australian
businessman John Grill, and claims over Pyne Gould's sale of
Perpetual Trust to Bath Street Capital.
Pyne Gould Corporation Limited is a Guernsey-based wealth
management company. The Company is engaged in providing wealth
management, trustee and financial services. The Company is
focused on investments in Australia and the United Kingdom,
through Torchlight Group Limited. Torchlight Group Limited
manages and co-invests in funds focused on non-traditional
investment opportunities. Torchlight Fund LP is a subsidiary of
the Company.
PGC's focus is on investments in Australia and the United Kingdom
through its Torchlight business following the sale of its New
Zealand-based investments.
STONEWOOD HOMES: Owes NZ$20MM to Almost 400 Companies
-----------------------------------------------------
Georgina Stylianou and Nick Truebridg at Stuff.co.nz reports that
almost 400 companies and contractors are owed nearly NZ$20
million by the failed Stonewood Homes companies.
Stuff.co.nz says the extent of the fallout created by the
liquidation of Brent Mettrick's founding franchise has been
revealed in the first liquidator's report.
According to the report, major engineering firms, small
contractors and the Christchurch City Council are among the
unsecured creditors left out of pocket by the Stonewood collapse.
Liquidator Rhys Cain said at least 30 creditors are owed more
than NZ$100,000, Stuff.co.nz relays.
Stonewood Homes Limited and Stonewood Homes New Zealand Limited
went into liquidation, unchallenged, on April 21, after a High
Court order.
The report, by EY liquidators Cain and Rees Logan, said creditors
could attend a meeting on June 17 to receive an update about the
liquidation, Stuff.co.nz relays.
Among the unsecured creditors listed for the companies are
hospitality firms Simply Catering and Hummingbird Coffee, law
firms Buddle Findlay and Chapman Tripp, four Stonewood franchises
around the country and Christchurch PR firm Chambers, according
to Stuff.co.nz.
Stuff.co.nz notes that Stonewood Homes and Stonewood Homes New
Zealand owed unsecured creditors a total of NZ$17,709,827 and
NZ$1,662,089, respectively.
The two companies entered liquidation after the Inland Revenue
Department filed proceedings.
IRD were owed NZ$667,196 by Stonewood Homes and NZ$239,163 by
Stonewood Homes New Zealand, the report discloses.
Employees, listed as preferential creditors, were owed NZ$247,000
by Stonewood Homes and NZ$288,000 by Stonewood New Zealand.
Those figures were taken from a report produced by receivers
KordaMentha, Stuff.co.nz says.
It was not practicable to give a date for the completion of the
liquidation as an investigation into potential insolvent
transactions, the conduct of current and former directors and the
management of the two companies would take some time, EY's
report, as cited by Stuff.co.nz, said.
The only possible recovery of losses for unsecured creditors
would be through successful liquidation actions, the report
notes.
It was too soon to determine what actions there could be, amounts
relating to those actions and the likelihood of those liquidation
actions being successful, EY's report stated, according to
Stuff.co.nz.
Messrs. Cain and Logan were previously charged with the
liquidation of Stonewood's shareholder company Holmfirth Group
Ltd, says Stuff.co.nz.
KordaMentha sold the business and assets of the company to Inno
Capital, owned by Michael and John Chow, for an undisclosed sum,
the report adds.
=================
S I N G A P O R E
=================
GOLDEN LEGACY: Moody's Assigns B1 Rating to $350MM Sr. Notes
------------------------------------------------------------
Moody's Investors Service ("Moody's") has assigned a definitive
B1 rating to the $350 million 8.25% senior unsecured notes due
2021, issued by Golden Legacy Pte. Ltd. and unconditionally and
irrevocably guaranteed by P.T. Sri Rejeki Isman Tbk (Sritex).
Sritex's corporate family rating (CFR) is B1. The rating outlook
is positive.
Proceeds from the $350 million notes were primarily used to repay
existing debt, including $180.7 million of the existing $270
million senior unsecured notes due 2019 (B1) and roughly $142
million of working capital loans, and the balance is available
for transaction costs or general corporate purposes.
RATINGS RATIONALE
"The successful completion of Sritex tender offer and notes
issuance extends its maturity profile and bolsters its liquidity
profile without having a material adverse impact on its leverage
profile," says Brian Grieser, a Moody's Vice President and Senior
Analyst.
Sritex's B1 CFR reflects its relatively small scale in the highly
competitive global textile industry, its geographic concentration
of assets in Indonesia's central Java region, and manageable
debt-to-EBITDA leverage of approximately 3.85x at 31 March 2016,
proforma for the issuance of the 2021 notes and related debt
repayments.
The rating also reflects Sritex's (1) solid EBITDA margins,
ranging between 17% and 20%; (2) strong trends in earnings
growth; (3) track record of executing on its large, debt-funded
capital spending program, which is now near completion (4) both
customer and geographic sales diversification and (5) a solid
liquidity profile.
Moody's said, "the positive outlook reflects Moody's expectation
that Sritex will successfully complete its capex program in 2016
and that spending levels will decline materially by end-2016 and
into 2017. Accordingly, we expect EBITDA growth and improved cash
generation to result in a significant improvement in Sritex's
credit profile over the next 18 months."
The ratings could be upgraded if Sritex maintains a stable
financial profile over the next 18 months, with cash flows
exceeding capital spending. In particular, debt-to-EBITDA levels
below 3.5x and EBITA/interest expense above 3.5x on a sustained
basis would be supportive of an upgrade.
In addition, the company would also need to maintain its good
liquidity profile, supported by high cash balances and committed
bank facilities to be upgraded.
A near-term downgrade is unlikely, given the positive outlook.
However, the outlook could return to stable if: (1) rising wages
and other input costs reduce Sritex's cost competitiveness, such
that EBITDA margins fall below 15% on a sustained basis, or (2)
Sritex expands its business through debt-funded acquisitions or
capital expenditures, such that debt-to-EBITDA exceeds 4.0x on a
sustained basis, or (3) liquidity deteriorates due to either
falling cash balances or a loss of access to its credit
facilities.
A shift in Sritex's articulated financial policy -- such that the
company expands its debt-funded capex program -- would most
likely also result in a return to a stable outlook.
P.T. Sri Rejeki Isman Tbk, located in central Java, Indonesia, is
a vertically integrated manufacturer of textiles and textile
products. Its operations are spread across 22 factories,
consisting of 9 spinning plants, 3 weaving plants, 3 finishing
plants and 8 garment plants. Net revenues generated by its four
divisions were approximately $622 million for calendar 2015.
================
S R I L A N K A
================
DFCC BANK: S&P Affirms 'B' LT ICR; Outlook Negative
---------------------------------------------------
S&P Global Ratings said that it had affirmed its 'B' long-term
issuer credit rating on DFCC Bank. The outlook is negative. S&P
also affirmed its 'B' short-term issuer credit rating on the Sri
Lanka-based bank. S&P also affirmed its 'B' long-term issue
ratings on DFCC's senior unsecured debt.
"We affirmed the ratings because we expect DFCC to maintain its
satisfactory business position and earnings over the next 12
months," said S&P Global Ratings credit analyst Amit Pandey.
S&P considers it unlikely that DFCC would be immune to increasing
sovereign credit pressures on Sri Lanka (B+/Negative/B) and the
broader operating environment. S&P reflects these risks in its
view that the economic risk trend and industry risk trend for Sri
Lanka's banking sector have become negative.
DFCC's business position reflects the bank's satisfactory
business stability, diversification, management, and strategy,
compared with that of peers in emerging markets.
S&P expects DFCC's pre-diversification risk-adjusted capital
(RAC) ratio to be 5%-5.5% for next 12-18 months. S&P estimates
the bank's loan growth to be 13%-15% and dividend payout ratio to
be about 35% over the next couple of years. S&P anticipates that
the bank's net interest margin will improve marginally because
the interest rate cycle in Sri Lanka has turned, with higher
policy and market rates. At the same time, S&P forecasts higher
credit costs due to economic headwinds in Sri Lanka.
DFCC's risk position reflects the bank's higher exposure to the
small and midsize and project finance sectors, which are
susceptible to economic downturns and execution risks. The bank
also has some single name concentration risk. However, S&P notes
that the bank has limited exposure to riskier segments, such as
pawning, and has taken steps to improve risk management
processes.
"Our negative outlook on DFCC reflects our view that the bank
faces increasing risks stemming from Sri Lanka's weakening
external and fiscal performance," said Mr. Pandey.
S&P could lower its ratings on DFCC if S&P downgrades Sri Lanka.
S&P could lower its ratings on Sri Lanka in the next 12 months if
S&P sees no tangible signs of a substantial and sustained
reversal of the weakening of external and fiscal credit metrics
S&P currently projects. In this scenario, S&P believes that the
systemic risks facing Sri Lankan banks would also have increased.
And consequently, S&P would expect to revise the assessment of
the banking sector's anchor stand-alone credit profile to 'b+'
from 'bb-', resulting in DFCC's downgrade.
S&P could also lower the ratings on DFCC if the bank's
capitalization weakens, such that the pre-diversification RAC
ratio falls below 5%, even if the systemic risks facing Sri
Lanka's banking sector remain unchanged, in S&P's view. DFCC's
capitalization may deteriorate if the bank is not able to
replenish its capital to support growth and dividend payouts or
its profitability is weaker than our expectations.
S&P could revise the outlook on DFCC to stable if the risks to
the sovereign credit ratings subside while DFCC maintains its
pre-diversification RAC ratio above 5%.
NATIONAL SAVINGS: S&P Affirms 'B+' ICR; Outlook Negative
--------------------------------------------------------
S&P Global Ratings said that it had affirmed its 'B+' long-term
issuer credit rating on National Savings Bank (NSB). The outlook
is negative. S&P also affirmed its 'B' short-term issuer credit
rating on the Sri Lanka-based bank. At the same time, S&P
affirmed its 'B+' long-term issue ratings on NSB's senior
unsecured debt.
S&P affirmed the ratings on NSB because S&P equalizes them with
the sovereign credit rating on Sri Lanka (B+/Negative/B).
The government fully owns NSB. S&P considers the bank to be a
key public policy institution, benefiting from ongoing and
potential extraordinary support from the government. This
approach is based on S&P's methodology of rating government-
related entities. However, S&P's rating on NSB incorporates no
uplift because of this factor, given that the bank's 'b+' stand-
alone credit profile (SACP) is already equal to the sovereign
rating.
"We believe the Sri Lankan government is almost certain to
provide extraordinary support to NSB, if needed," said S&P Global
Ratings credit analyst Amit Pandey.
S&P's view is based on its assessment of the critical importance
of NSB's policy role and its integral link with the government.
This support is legalized through an act of parliament (the
National Savings Bank Act), through which the bank was
established in 1972.
NSB is integrally linked to the sovereign through the
government's sole ownership. The government maintains full
control over the bank's management by appointing its chairman and
board of directors. It also exercises a high degree of control
over the bank's strategic and budgetary decisions. The
government guarantees all NSB's deposits and savings
certificates.
In S&P's opinion, the bank's critical role stems from its
function as a pseudo-funding vehicle for the government. The
National Savings Bank Act requires the bank to invest at least
60% of its deposits in government securities. Four entities of
national significance in the savings movement were combined to
form NSB. The bank's key objective is to mobilize retail savings
to obtain a higher investment rate and sustain Sri Lanka's GDP
growth.
NSB's SACP reflects the bank's challenging operating environment,
very weak capitalization, and volatile earnings. NSB's
satisfactory business position and robust funding and liquidity
temper these weaknesses.
"The negative outlook on NSB reflects the outlook on the
sovereign credit rating on Sri Lanka and our expectation that the
bank's role for, and link to, the government will remain
unchanged over the next few years," said Mr. Pandey.
S&P do not rate financial institutions in Sri Lanka above the
sovereign because of the direct and indirect influence that the
sovereign in distress would have on their operations, including
their ability to service foreign-currency obligations.
In S&P's view, the sovereign credit factors are relevant for NSB
because: (1) the bank is subject to government policy and
regulation; (2) it invests a sizable portion of its assets in
government securities or credit; (3) a high proportion of its
revenue comes from domestic operations that are susceptible to
deterioration in macroeconomic environment typically associated
with sovereign stress; and (4) it relies on the government to
derive foreign currency to repay or hedge its foreign currency
liabilities.
S&P could downgrade NSB if S&P lowers the sovereign credit
rating. S&P could lower its ratings on Sri Lanka in the next 12
months if S&P sees no tangible signs of a substantial and
sustained reversal of the weakening of external and fiscal credit
metrics S&P currently projects.
S&P could revise the outlook back to stable if it do the same for
the sovereign credit rating.
===============
T H A I L A N D
===============
CIMB THAI: Moody's Affirms ba2 Baseline Credit Assessment
---------------------------------------------------------
Moody's Investors Service has affirmed CIMB Thai Bank Public
Company Limited's (CIMBT) local and foreign currency bank deposit
ratings and issuer ratings at Baa2/P-2.
Moody's has also affirmed the bank's baseline credit assessment
(BCA) and adjusted BCA at ba2 and baa2 respectively.
The outlook on all the long term ratings is stable.
The full list of affected ratings is provided at the end of this
press release.
RATINGS RATIONALE:
Moody's rating actions consider the provisioning and capital
buffers that CIMBT demonstrates to offset its weaker asset
quality metrics relative to domestic peers.
The bank's higher gross non-performing loan (NPL) formation rate
when compared with average industry levels -- with its retail
segment representing the largest contributor -- shows that CIMBT
is under asset quality pressure, even though its NPL ratio
improved to 3.1% at 1Q 2016 from 3.2% at end-2015.
In addition, the bank's special mention loans rose 1.5x across
most of its business segments during 2014 and 2015, indicating
broad-based stresses in its loan book.
Moody's notes that CIMBT's credit risk concentration to single
large borrowers is higher when compared with the average for its
domestic peers; a situation which creates greater vulnerability
to event risks.
The bank increased its write-offs and sold more retail segment
NPLs in recent quarters, thereby lowering overall NPLs and
improving its NPL ratios. However, its charge-off rates remain
less aggressive than that of its other retail-focused peers.
Moody's points out that CIMBT maintains buffers to offset its
weak asset quality, with NPLs as a percentage of loan loss
reserves and shareholders' equity standing at 18% at end-March
2016, in-line with its mid-sized peers in Thailand.
Moody's says that CIMBT's buffers improved, after a capital
injection from its parent, CIMB Bank Berhad (A3 stable, baa2) in
November 2015. As a result, Moody's has affirmed the bank's BCA
at ba2, despite the pressure on its asset quality.
At the same time, CIMBT's BCA of ba2 is positioned at the upper
end of the scorecard range of ba2-b1, indicating downward
pressure on its BCA. Nevertheless, a stable outlook is maintained
on the expectation that parental support would serve to offset
the impact on the bank's long term ratings from a potential
lowering of the BCA.
The bank's Baa2 deposit and issuer ratings are derived from its
BCA of ba2, plus three notches of uplift to reflect Moody's
assessment that CIMBT will receive very high levels of support
from its parent in times of need.
WHAT COULD CHANGE THE RATINGS UP
A material improvement in the bank's standalone creditworthiness,
supported by a stable and predictable operating environment,
could prompt Moody's to raise CIMBT's BCA.
Specifically, Moody's could raise the bank's BCA if it: (1)
lowers its credit risk concentration to single borrowers and
industry sectors; (2) improves its risk-adjusted profitability
and capital levels; and/or (3) shows substantial improvement in
its asset quality and reserve levels.
WHAT COULD CHANGE THE RATING DOWN
Downward pressure on CIMBT's standalone rating could develop if
the bank demonstrates: (1) a greater than expected deterioration
in its asset quality; and (2) a material decline in its loss-
absorption buffers, as a result of aggressive credit growth or
rising credit costs.
The long-term ratings could be downgraded as a result of a
lowering of the standalone rating and/or a change in Moody's
assumptions on parental support for CIMBT.
CIMB Thai Bank Public Company Limited, headquartered in Bangkok,
reported total assets of THB300 billion ($US8.5 billion) at 31
March 2016.
Following this action, CIMBT's ratings are as follows:
-- Long-term local and foreign currency issuer rating affirmed
at Baa2, outlook stable
-- Short-term local and foreign currency issuer rating affirmed
at P-2
-- Long-term local and foreign currency bank deposit rating
affirmed at Baa2, outlook stable
-- Short-term local and foreign currency bank deposit rating
affirmed at P-2
-- BCA and adjusted BCA affirmed at ba2 and baa2
-- Counterparty Risk Assessment affirmed at Baa1(cr)/P-2(cr)
===============
X X X X X X X X
===============
* BOND PRICING: For the Week June 6 to June 10, 2016
----------------------------------------------------
Issuer Coupon Maturity Currency Price
------ ------ -------- -------- -----
AUSTRALIA
---------
BARMINCO FINANCE PTY 9.00 6/1/2018 USD 73.75
BARMINCO FINANCE PTY 9.00 6/1/2018 USD 76.83
BARMINCO FINANCE PTY 9.00 6/1/2018 USD 71.00
BOART LONGYEAR MANAG 7.00 4/1/2021 USD 36.75
BOART LONGYEAR MANAG 7.00 4/1/2021 USD 36.75
CBL CORP LTD 8.25 4/17/2019 AUD 70.00
CML GROUP LTD 9.00 1/29/2020 AUD 1.00
CML GROUP LTD 7.49 5/18/2021 AUD 70.90
CRATER GOLD MINING L 10.00 8/18/2017 AUD 35.00
CROWN RESORTS LTD 6.33 4/23/2075 AUD 69.89
EMECO PTY LTD 9.88 3/15/2019 USD 48.50
EMECO PTY LTD 9.88 3/15/2019 USD 47.75
IMF BENTHAM LTD 6.48 6/30/2019 AUD 62.25
KBL MINING LTD 12.00 2/16/2017 AUD 0.25
KEYBRIDGE CAPITAL LT 7.00 7/31/2020 AUD 0.70
MCPHERSON'S LTD 7.10 3/31/2021 AUD 74.00
MIDWEST VANADIUM PTY 11.50 2/15/2018 USD 6.50
MIDWEST VANADIUM PTY 11.50 2/15/2018 USD 6.00
STOKES LTD 10.00 6/30/2017 AUD 0.35
TREASURY CORP OF VIC 0.50 11/12/2030 AUD 68.84
CHINA
-----
ANSHAN CITY CONSTRUC 8.25 3/5/2019 CNY 64.50
ANSHAN CITY CONSTRUC 8.25 3/5/2019 CNY 64.82
ANYANG INVESTMENT GR 8.00 4/17/2019 CNY 64.86
BAICHENG ZHONGXING U 7.00 12/18/2019 CNY 72.75
BANGBU CITY INVESTME 5.78 8/10/2017 CNY 55.92
BEIJING ECONOMIC TEC 5.29 3/6/2018 CNY 72.00
CHANGSHA COUNTY XING 8.35 4/6/2019 CNY 85.46
CHANGSHA COUNTY XING 8.35 4/6/2019 CNY 64.16
CHANGSHA HIGH TECHNO 7.30 11/22/2017 CNY 74.60
CHANGSHU CITY OPERAT 8.00 1/16/2019 CNY 64.78
CHANGSHU CITY OPERAT 8.00 1/16/2019 CNY 64.37
CHANGZHOU INVESTMENT 5.80 7/1/2016 CNY 40.18
CHANGZHOU INVESTMENT 5.80 7/1/2016 CNY 40.16
CHANGZHOU WUJIN CITY 5.42 6/9/2016 CNY 49.70
CHANGZHOU WUJIN CITY 5.42 6/9/2016 CNY 50.13
CHENGDU XINCHENG XIC 8.35 3/19/2019 CNY 65.55
CHENGDU XINCHENG XIC 8.35 3/19/2019 CNY 66.82
CHONGQING HECHUAN RU 8.28 4/10/2018 CNY 52.40
CHONGQING HECHUAN RU 8.28 4/10/2018 CNY 51.01
CHONGQING HECHUAN UR 6.95 1/6/2018 CNY 73.15
CHONGQING HECHUAN UR 6.95 1/6/2018 CNY 72.70
CHONGQING JIANGJIN H 6.95 1/6/2018 CNY 72.16
CHONGQING JIANGJIN H 6.95 1/6/2018 CNY 72.55
CHONGQING NAN'AN DIS 8.20 4/9/2019 CNY 64.95
CHONGQING NAN'AN DIS 6.29 12/24/2017 CNY 61.88
CHONGQING NAN'AN DIS 6.29 12/24/2017 CNY 62.00
CHONGQING YONGCHUAN 7.49 3/14/2018 CNY 73.41
CHONGQING YONGCHUAN 7.49 3/14/2018 CNY 73.58
CHONGQING YUXING CON 7.29 12/8/2017 CNY 72.63
DANDONG CITY DEVELOP 6.21 9/6/2017 CNY 70.61
DANYANG INVESTMENT G 8.10 3/6/2019 CNY 85.38
DANYANG INVESTMENT G 8.10 3/6/2019 CNY 64.47
DANYANG INVESTMENT G 6.30 6/3/2016 CNY 40.11
DATONG ECONOMIC CONS 6.50 6/1/2017 CNY 71.43
DATONG ECONOMIC CONS 6.50 6/1/2017 CNY 71.20
DONGBEI SPECIAL STEE 5.88 5/5/2016 CNY 33.23
DRILL RIGS HOLDINGS 6.50 10/1/2017 USD 60.00
DRILL RIGS HOLDINGS 6.50 10/1/2017 USD 60.38
ERDOS DONGSHENG CITY 8.40 2/28/2018 CNY 47.82
ERDOS DONGSHENG CITY 8.40 2/28/2018 CNY 50.11
GRANDBLUE ENVIRONMEN 6.40 7/7/2016 CNY 70.41
GUIYANG ECO&TECH DEV 8.42 3/27/2019 CNY 64.72
GUOAO INVESTMENT DEV 6.89 10/29/2018 CNY 68.11
HAIAN COUNTY CITY CO 8.35 3/28/2018 CNY 53.45
HAIAN COUNTY CITY CO 8.35 3/28/2018 CNY 52.97
HAIMEN CITY DEVELOPM 8.35 3/20/2019 CNY 65.25
HAIMEN CITY DEVELOPM 8.35 3/20/2019 CNY 64.63
HANGZHOU XIAOSHAN ST 6.90 11/22/2016 CNY 39.00
HANGZHOU XIAOSHAN ST 6.90 11/22/2016 CNY 40.93
HANGZHOU YUHANG CITY 7.55 3/29/2019 CNY 65.50
HANGZHOU YUHANG CITY 7.55 3/29/2019 CNY 64.16
HANZHONG CITY CONSTR 7.48 3/14/2018 CNY 73.76
HEFEI TAOHUA INDUSTR 8.79 3/27/2019 CNY 65.76
HEFEI TAOHUA INDUSTR 8.79 3/27/2019 CNY 64.64
HEILONGJIANG HECHENG 7.78 11/17/2016 CNY 40.95
HEILONGJIANG HECHENG 7.78 11/17/2016 CNY 40.67
HUAIAN CITY URBAN AS 7.15 12/21/2016 CNY 40.80
HUAIAN CITY WATER AS 8.25 3/8/2019 CNY 65.13
HUAIAN CITY WATER AS 8.25 3/8/2019 CNY 64.70
HUAIAN DEVELOPMENT H 6.80 3/24/2017 CNY 42.93
HUAIAN QINGHE NEW AR 6.79 4/29/2017 CNY 72.03
HUAIHUA CITY CONSTRU 8.00 3/22/2018 CNY 52.21
HUAIHUA CITY CONSTRU 8.00 3/22/2018 CNY 52.76
HUZHOU MUNICIPAL CON 7.02 12/21/2017 CNY 72.95
HUZHOU NANXUN STATE- 8.15 3/31/2019 CNY 64.44
HUZHOU WUXING NANTAI 7.71 2/17/2018 CNY 73.57
JIAMUSI NEW ERA INFR 8.25 3/22/2019 CNY 62.71
JIAMUSI NEW ERA INFR 8.25 3/22/2019 CNY 63.78
JIANGDONG HOLDING GR 6.90 3/27/2019 CNY 62.53
JIANGDU XINYUAN INDU 8.10 3/23/2019 CNY 63.80
JIANGDU XINYUAN INDU 8.10 3/23/2019 CNY 64.33
JIANGSU HUAJING ASSE 5.68 9/28/2017 CNY 50.78
JIANGSU HUAJING ASSE 5.68 9/28/2017 CNY 50.50
JIAXING CULTURE FAMO 8.16 3/8/2019 CNY 66.16
JINAN CITY CONSTRUCT 6.98 3/26/2018 CNY 52.00
JINAN CITY CONSTRUCT 6.98 3/26/2018 CNY 52.44
JINGJIANG BINJIANG X 6.80 10/23/2018 CNY 66.03
JINING CITY CONSTRUC 8.30 12/31/2018 CNY 64.99
JINTAN CONSTRUCTION 8.30 3/14/2019 CNY 65.00
JINTAN CONSTRUCTION 8.30 3/14/2019 CNY 65.34
JIUJIANG CITY CONSTR 8.49 2/23/2019 CNY 65.22
JIUJIANG CITY CONSTR 8.49 2/23/2019 CNY 61.01
KUNMING CITY CONSTRU 7.60 4/13/2018 CNY 52.00
KUNMING CITY CONSTRU 7.60 4/13/2018 CNY 52.58
KUNMING WUHUA DISTRI 8.60 3/15/2018 CNY 53.41
KUNMING WUHUA DISTRI 8.60 3/15/2018 CNY 53.32
LAIWU CITY ECONOMIC 6.50 3/1/2018 CNY 62.64
LESHAN STATE-OWNED A 6.99 3/18/2018 CNY 73.76
LESHAN STATE-OWNED A 6.99 3/18/2018 CNY 73.74
LIAOYUAN STATE-OWNED 7.80 1/26/2017 CNY 41.00
LIAOYUAN STATE-OWNED 8.17 3/13/2019 CNY 63.00
LIAOYUAN STATE-OWNED 7.80 1/26/2017 CNY 41.02
LIAOYUAN STATE-OWNED 8.17 3/13/2019 CNY 64.01
LINAN CITY CONSTRUCT 8.15 3/9/2018 CNY 48.00
LINAN CITY CONSTRUCT 8.15 3/9/2018 CNY 53.27
LINHAI CITY INFRASTR 7.98 11/6/2016 CNY 51.12
LINHAI CITY INFRASTR 7.98 11/6/2016 CNY 51.40
LINYI INVESTMENT DEV 8.10 3/27/2018 CNY 52.69
LIUZHOU DONGCHENG IN 8.30 2/15/2019 CNY 60.00
LIUZHOU DONGCHENG IN 8.30 2/15/2019 CNY 65.09
LONGHAI STATE-OWNED 8.25 12/2/2017 CNY 73.32
LONGHAI STATE-OWNED 8.25 12/2/2017 CNY 73.20
LUOHE CITY CONSTRUCT 6.81 3/30/2017 CNY 30.98
LUOHE CITY CONSTRUCT 6.81 3/30/2017 CNY 30.77
NANJING HEXI NEW TOW 6.40 2/3/2017 CNY 61.58
NANTONG STATE-OWNED 6.72 11/13/2016 CNY 33.36
NANTONG STATE-OWNED 6.72 11/13/2016 CNY 40.86
NEIMENGGU XINLINGOL 7.62 2/25/2018 CNY 72.86
NINGBO CITY ZHENHAI 6.48 4/12/2017 CNY 41.03
NINGBO URBAN CONSTRU 7.39 3/1/2018 CNY 51.08
NINGBO URBAN CONSTRU 7.39 3/1/2018 CNY 52.73
NINGDE CITY STATE-OW 6.25 10/21/2017 CNY 40.94
NINGHAI COUNTY CITY 8.60 12/31/2017 CNY 74.00
NINGHAI COUNTY CITY 8.60 12/31/2017 CNY 74.30
NONGGONGSHANG REAL E 6.29 10/11/2017 CNY 72.00
PANJIN CONSTRUCTION 7.70 12/16/2016 CNY 41.04
PANJIN CONSTRUCTION 7.70 12/16/2016 CNY 40.80
PUTIAN STATE-OWNED A 8.10 3/21/2019 CNY 60.00
PUTIAN STATE-OWNED A 8.10 3/21/2019 CNY 64.80
QINGDAO CITY CONSTRU 6.89 2/16/2019 CNY 63.45
QINGDAO CITY CONSTRU 6.19 2/16/2017 CNY 40.89
QINGDAO CITY CONSTRU 6.19 2/16/2017 CNY 40.32
QINGDAO CITY CONSTRU 6.89 2/16/2019 CNY 62.97
QINGDAO HUATONG STAT 7.30 4/18/2019 CNY 84.44
QINGZHOU HONGYUAN PU 6.50 5/22/2019 CNY 41.08
QINGZHOU HONGYUAN PU 6.50 5/22/2019 CNY 40.10
QUANZHOU QUANGANG PE 8.40 4/16/2019 CNY 83.11
QUNSHAN HUAQIAO INTE 7.98 12/30/2018 CNY 64.25
SHANDONG SHANSHUI CE 6.10 2/27/2017 CNY 35.01
SHANDONG TAIFENG MIN 5.80 3/12/2020 CNY 73.25
SHANDONG TAIFENG MIN 5.80 3/12/2020 CNY 72.49
SHANGHAI REAL ESTATE 6.12 5/17/2017 CNY 71.24
SICHUAN DEVELOPMENT 5.40 11/10/2017 CNY 71.69
SUQIAN ECONOMIC DEVE 7.50 3/26/2019 CNY 64.71
SUQIAN ECONOMIC DEVE 7.50 3/26/2019 CNY 60.10
SUZHOU CONSTRUCTION 7.45 3/12/2019 CNY 64.51
TAIAN CITY TAISHAN I 5.79 3/2/2018 CNY 72.29
TAIXING ZHONGXING ST 8.29 3/27/2018 CNY 53.02
TAIXING ZHONGXING ST 8.29 3/27/2018 CNY 53.15
TAIZHOU CITY CONSTRU 6.90 1/25/2017 CNY 41.00
TAIZHOU HAILING ASSE 8.52 3/21/2019 CNY 64.60
TAIZHOU HAILING ASSE 8.52 3/21/2019 CNY 64.76
TIANJIN BINHAI NEW A 5.00 3/13/2018 CNY 92.20
TIANJIN BINHAI NEW A 5.00 3/13/2018 CNY 71.89
TIANJIN ECONOMIC TEC 6.20 12/3/2019 CNY 73.93
TIANJIN HI-TECH INDU 7.80 3/27/2019 CNY 64.37
TIANJIN HI-TECH INDU 7.80 3/27/2019 CNY 64.27
TIANJING HANBIN INVE 8.39 3/22/2019 CNY 64.91
TIGER FOREST & PAPER 5.38 6/14/2017 CNY 73.38
TONGLIAO CITY INVEST 5.98 9/1/2017 CNY 72.02
TONGLIAO CITY INVEST 5.98 9/1/2017 CNY 68.00
TRI-CONTROL AUTOMATI 8.75 12/11/2018 USD 53.50
VANZIP INVESTMENT GR 7.92 2/4/2019 CNY 67.14
WUHAI CITY CONSTRUCT 8.20 3/31/2019 CNY 64.75
WUHAI CITY CONSTRUCT 8.20 3/31/2019 CNY 64.00
WUXI COMMUNICATIONS 5.58 7/8/2016 CNY 50.05
WUXI COMMUNICATIONS 5.58 7/8/2016 CNY 50.18
XIANGTAN CITY CONSTR 8.00 3/16/2019 CNY 64.50
XIANGTAN CITY CONSTR 8.00 3/16/2019 CNY 64.61
XIANGTAN JIUHUA ECON 6.93 12/16/2016 CNY 40.99
XIANGTAN JIUHUA ECON 6.93 12/16/2016 CNY 41.05
XIANGYANG CITY CONST 8.12 1/12/2019 CNY 64.36
XIANGYANG CITY CONST 8.12 1/12/2019 CNY 63.93
XIAOGAN URBAN CONSTR 8.12 3/26/2019 CNY 65.39
XINXIANG INVESTMENT 6.80 1/18/2018 CNY 73.16
XUZHOU ECONOMIC TECH 8.20 3/7/2019 CNY 64.70
XUZHOU ECONOMIC TECH 8.20 3/7/2019 CNY 64.60
YANGZHONG URBAN CONS 7.10 3/26/2018 CNY 73.07
YANGZHOU ECONOMIC DE 6.10 7/7/2016 CNY 50.29
YANGZHOU ECONOMIC DE 5.80 5/12/2016 CNY 50.04
YANGZHOU ECONOMIC DE 6.10 7/7/2016 CNY 50.13
YANGZHOU URBAN CONST 5.94 7/23/2016 CNY 40.12
YANGZHOU URBAN CONST 5.94 7/23/2016 CNY 40.25
YANZHOU HUIMIN URBAN 8.50 12/28/2017 CNY 53.15
YIJINHUOLUOQI HONGTA 8.35 3/19/2019 CNY 56.30
YIJINHUOLUOQI HONGTA 8.35 3/19/2019 CNY 60.01
YINCHUAN URBAN CONST 6.28 3/9/2017 CNY 25.54
YINGTAN INVESTMENT F 8.15 2/23/2017 CNY 52.65
YIYANG CITY CONSTRUC 8.20 11/19/2016 CNY 41.01
YUNNAN PROVINCIAL IN 5.25 8/24/2017 CNY 70.60
YUNNAN PROVINCIAL IN 5.25 8/24/2017 CNY 71.10
ZHANGJIAGANG JINCHEN 6.23 1/6/2018 CNY 61.90
ZHEJIANG PROVINCE DE 6.90 4/12/2018 CNY 72.96
ZHENJIANG NEW AREA E 8.16 3/1/2019 CNY 60.00
ZHENJIANG NEW AREA E 8.16 3/1/2019 CNY 63.82
ZHUCHENG ECONOMIC DE 6.40 4/26/2018 CNY 62.03
ZHUCHENG ECONOMIC DE 7.50 8/25/2018 CNY 42.14
ZHUCHENG ECONOMIC DE 6.40 4/26/2018 CNY 63.25
ZHUHAI HUAFA GROUP C 8.43 2/16/2018 CNY 53.50
ZHUHAI HUAFA GROUP C 8.43 2/16/2018 CNY 53.03
ZIBO CITY PROPERTY C 5.45 4/27/2019 CNY 49.05
ZOUCHENG CITY ASSET 7.02 1/12/2018 CNY 41.85
ZUNYI CITY INVESTMEN 8.53 3/13/2019 CNY 63.13
ZUNYI CITY INVESTMEN 8.53 3/13/2019 CNY 66.50
INDIA
-----
3I INFOTECH LTD 5.00 4/26/2017 USD 11.00
BLUE DART EXPRESS LT 9.30 11/20/2017 INR 10.17
BLUE DART EXPRESS LT 9.40 11/20/2018 INR 10.26
BLUE DART EXPRESS LT 9.50 11/20/2019 INR 10.33
COROMANDEL INTERNATI 9.00 7/23/2016 INR 16.03
GTL INFRASTRUCTURE L 4.03 11/9/2017 USD 30.88
JAIPRAKASH ASSOCIATE 5.75 9/8/2017 USD 65.19
JAIPRAKASH POWER VEN 7.00 5/26/2016 USD 71.50
JCT LTD 2.50 4/8/2011 USD 22.50
PRAKASH INDUSTRIES L 5.25 4/30/2015 USD 20.38
PYRAMID SAIMIRA THEA 1.75 7/4/2012 USD 1.00
REI AGRO LTD 5.50 11/13/2014 USD 1.69
REI AGRO LTD 5.50 11/13/2014 USD 1.69
SVOGL OIL GAS & ENER 5.00 8/17/2015 USD 19.88
INDONESIA
---------
BERAU COAL ENERGY TB 7.25 3/13/2017 USD 20.00
BERAU COAL ENERGY TB 7.25 3/13/2017 USD 20.24
PERUSAHAAN PENERBIT 6.75 4/15/2043 IDR 73.40
PERUSAHAAN PENERBIT 6.10 2/15/2037 IDR 73.00
JAPAN
-----
AVANSTRATE INC 5.55 10/31/2017 JPY 33.25
AVANSTRATE INC 5.55 10/31/2017 JPY 37.00
ELPIDA MEMORY INC 0.70 8/1/2016 JPY 8.63
ELPIDA MEMORY INC 0.50 10/26/2015 JPY 8.75
ELPIDA MEMORY INC 2.03 3/22/2012 JPY 8.63
ELPIDA MEMORY INC 2.29 12/7/2012 JPY 8.63
ELPIDA MEMORY INC 2.10 11/29/2012 JPY 8.63
TAKATA CORP 0.58 3/26/2021 JPY 72.75
KOREA
-----
2014 KODIT CREATIVE 5.00 12/25/2017 KRW 31.79
2014 KODIT CREATIVE 5.00 12/25/2017 KRW 31.79
DOOSAN CAPITAL SECUR 20.00 4/22/2019 KRW 42.48
HYUNDAI MERCHANT MAR 5.80 7/7/2016 KRW 84.49
HYUNDAI MERCHANT MAR 6.20 3/28/2017 KRW 68.51
HYUNDAI MERCHANT MAR 5.30 7/3/2017 KRW 66.56
KIBO ABS SPECIALTY C 5.00 1/31/2017 KRW 33.43
KIBO ABS SPECIALTY C 5.00 3/29/2018 KRW 30.70
KIBO ABS SPECIALTY C 10.00 2/19/2017 KRW 38.54
KIBO ABS SPECIALTY C 5.00 12/25/2017 KRW 30.41
KIBO ABS SPECIALTY C 10.00 8/22/2017 KRW 26.03
KIBO ABS SPECIALTY C 10.00 9/4/2016 KRW 44.97
LSMTRON DONGBANGSEON 4.53 11/22/2017 KRW 31.31
PULMUONE CO LTD 2.50 8/6/2045 KRW 57.03
PULMUONE CO LTD 2.50 8/6/2045 KRW 56.99
SINBO SECURITIZATION 5.00 6/25/2019 KRW 26.53
SINBO SECURITIZATION 5.00 6/25/2018 KRW 28.67
SINBO SECURITIZATION 5.00 5/27/2016 KRW 58.49
SINBO SECURITIZATION 5.00 6/29/2016 KRW 49.34
SINBO SECURITIZATION 5.00 12/13/2016 KRW 35.12
SINBO SECURITIZATION 5.00 6/7/2017 KRW 21.06
SINBO SECURITIZATION 5.00 6/7/2017 KRW 21.06
SINBO SECURITIZATION 5.00 5/27/2016 KRW 58.49
SINBO SECURITIZATION 5.00 1/29/2017 KRW 34.60
SINBO SECURITIZATION 5.00 1/30/2019 KRW 27.92
SINBO SECURITIZATION 5.00 1/30/2019 KRW 27.92
SINBO SECURITIZATION 5.00 10/30/2019 KRW 19.55
SINBO SECURITIZATION 5.00 7/26/2016 KRW 44.46
SINBO SECURITIZATION 5.00 7/26/2016 KRW 44.46
SINBO SECURITIZATION 5.00 7/8/2017 KRW 33.27
SINBO SECURITIZATION 5.00 7/8/2017 KRW 33.27
SINBO SECURITIZATION 5.00 2/11/2018 KRW 31.09
SINBO SECURITIZATION 5.00 2/11/2018 KRW 31.09
SINBO SECURITIZATION 5.00 3/12/2018 KRW 30.85
SINBO SECURITIZATION 5.00 3/12/2018 KRW 30.85
SINBO SECURITIZATION 5.00 12/25/2016 KRW 33.89
SINBO SECURITIZATION 5.00 9/26/2018 KRW 29.22
SINBO SECURITIZATION 5.00 9/26/2018 KRW 29.22
SINBO SECURITIZATION 5.00 9/26/2018 KRW 29.22
SINBO SECURITIZATION 5.00 10/1/2017 KRW 32.31
SINBO SECURITIZATION 5.00 10/1/2017 KRW 32.31
SINBO SECURITIZATION 5.00 3/13/2017 KRW 34.11
SINBO SECURITIZATION 5.00 3/13/2017 KRW 34.11
SINBO SECURITIZATION 5.00 2/21/2017 KRW 34.34
SINBO SECURITIZATION 5.00 2/21/2017 KRW 34.34
SINBO SECURITIZATION 5.00 1/15/2018 KRW 31.59
SINBO SECURITIZATION 5.00 1/15/2018 KRW 31.59
SINBO SECURITIZATION 5.00 12/23/2018 KRW 28.26
SINBO SECURITIZATION 5.00 12/23/2018 KRW 28.26
SINBO SECURITIZATION 5.00 12/23/2017 KRW 30.43
SINBO SECURITIZATION 5.00 5/26/2018 KRW 28.94
SINBO SECURITIZATION 5.00 2/27/2019 KRW 27.72
SINBO SECURITIZATION 5.00 2/27/2019 KRW 27.72
SINBO SECURITIZATION 5.00 8/29/2018 KRW 29.45
SINBO SECURITIZATION 5.00 8/29/2018 KRW 29.45
SINBO SECURITIZATION 5.00 10/1/2017 KRW 32.31
SINBO SECURITIZATION 5.00 3/18/2019 KRW 27.49
SINBO SECURITIZATION 5.00 3/18/2019 KRW 27.49
SINBO SECURITIZATION 5.00 6/27/2018 KRW 30.18
SINBO SECURITIZATION 5.00 6/27/2018 KRW 30.18
SINBO SECURITIZATION 5.00 8/16/2016 KRW 39.80
SINBO SECURITIZATION 5.00 8/16/2017 KRW 32.85
SINBO SECURITIZATION 5.00 8/16/2017 KRW 32.85
SINBO SECURITIZATION 5.00 10/5/2016 KRW 36.64
SINBO SECURITIZATION 5.00 10/5/2016 KRW 36.64
SINBO SECURITIZATION 5.00 8/31/2016 KRW 39.87
SINBO SECURITIZATION 5.00 8/31/2016 KRW 39.87
SINBO SECURITIZATION 5.00 7/24/2017 KRW 32.00
SINBO SECURITIZATION 5.00 7/24/2018 KRW 29.96
SINBO SECURITIZATION 5.00 7/24/2018 KRW 29.96
TONGYANG CEMENT & EN 7.50 4/20/2014 KRW 70.00
TONGYANG CEMENT & EN 7.50 7/20/2014 KRW 70.00
TONGYANG CEMENT & EN 7.30 6/26/2015 KRW 70.00
TONGYANG CEMENT & EN 7.30 4/12/2015 KRW 70.00
TONGYANG CEMENT & EN 7.50 9/10/2014 KRW 70.00
U-BEST SECURITIZATIO 5.50 11/16/2017 KRW 32.61
WOONGJIN ENERGY CO L 3.00 12/19/2019 KRW 72.89
WOORI BANK 5.21 12/12/2044 KRW 67.37
SRI LANKA
---------
SRI LANKA GOVERNMENT 5.35 3/1/2026 LKR 58.07
SRI LANKA GOVERNMENT 9.00 6/1/2043 LKR 68.64
SRI LANKA GOVERNMENT 9.00 10/1/2032 LKR 71.58
SRI LANKA GOVERNMENT 6.00 12/1/2024 LKR 64.96
SRI LANKA GOVERNMENT 7.00 10/1/2023 LKR 73.00
SRI LANKA GOVERNMENT 9.00 11/1/2033 LKR 70.58
SRI LANKA GOVERNMENT 8.00 1/1/2032 LKR 65.62
SRI LANKA GOVERNMENT 9.00 6/1/2033 LKR 71.06
MALAYSIA
--------
BANDAR MALAYSIA SDN 0.35 2/20/2024 MYR 72.74
BANDAR MALAYSIA SDN 0.35 12/29/2023 MYR 73.21
BIMB HOLDINGS BHD 1.50 12/12/2023 MYR 72.28
BRIGHT FOCUS BHD 2.50 1/24/2030 MYR 72.89
BRIGHT FOCUS BHD 2.50 1/22/2031 MYR 69.60
LAND & GENERAL BHD 1.00 9/24/2018 MYR 0.22
SENAI-DESARU EXPRESS 0.50 12/31/2038 MYR 66.99
SENAI-DESARU EXPRESS 0.50 12/31/2040 MYR 69.95
SENAI-DESARU EXPRESS 0.50 12/30/2039 MYR 68.71
SENAI-DESARU EXPRESS 0.50 12/31/2041 MYR 71.09
SENAI-DESARU EXPRESS 0.50 12/31/2042 MYR 72.41
SENAI-DESARU EXPRESS 0.50 12/31/2043 MYR 73.56
SENAI-DESARU EXPRESS 0.50 12/30/2044 MYR 74.45
SENAI-DESARU EXPRESS 1.35 6/30/2028 MYR 59.77
SENAI-DESARU EXPRESS 1.35 12/31/2026 MYR 63.47
SENAI-DESARU EXPRESS 1.35 12/29/2028 MYR 58.54
SENAI-DESARU EXPRESS 1.15 12/29/2023 MYR 70.66
SENAI-DESARU EXPRESS 1.35 6/30/2027 MYR 62.21
SENAI-DESARU EXPRESS 1.15 12/30/2022 MYR 73.80
SENAI-DESARU EXPRESS 1.35 12/31/2029 MYR 56.21
SENAI-DESARU EXPRESS 1.35 6/30/2031 MYR 52.91
SENAI-DESARU EXPRESS 1.15 12/31/2024 MYR 67.60
SENAI-DESARU EXPRESS 1.35 12/31/2025 MYR 66.09
SENAI-DESARU EXPRESS 1.35 12/31/2030 MYR 54.01
SENAI-DESARU EXPRESS 1.15 6/28/2024 MYR 69.14
SENAI-DESARU EXPRESS 1.35 12/31/2027 MYR 60.99
SENAI-DESARU EXPRESS 1.35 6/28/2030 MYR 55.11
SENAI-DESARU EXPRESS 1.35 6/30/2026 MYR 64.73
SENAI-DESARU EXPRESS 1.35 6/29/2029 MYR 57.36
SENAI-DESARU EXPRESS 1.15 6/30/2023 MYR 72.21
SENAI-DESARU EXPRESS 1.15 6/30/2025 MYR 66.11
UNIMECH GROUP BHD 5.00 9/18/2018 MYR 1.12
PHILIPPINES
-----------
BAYAN TELECOMMUNICAT 13.50 7/15/2006 USD 22.75
BAYAN TELECOMMUNICAT 13.50 7/15/2006 USD 22.75
SINGAPORE
---------
AXIS OFFSHORE PTE LT 7.89 5/18/2018 USD 60.86
BAKRIE TELECOM PTE L 11.50 5/7/2015 USD 3.02
BAKRIE TELECOM PTE L 11.50 5/7/2015 USD 1.00
BERAU CAPITAL RESOUR 12.50 7/8/2015 USD 20.40
BERAU CAPITAL RESOUR 12.50 7/8/2015 USD 20.50
BLD INVESTMENTS PTE 8.63 3/23/2015 USD 8.25
BUMI CAPITAL PTE LTD 12.00 11/10/2016 USD 17.38
BUMI CAPITAL PTE LTD 12.00 11/10/2016 USD 16.61
BUMI INVESTMENT PTE 10.75 10/6/2017 USD 15.90
BUMI INVESTMENT PTE 10.75 10/6/2017 USD 16.36
ENERCOAL RESOURCES P 6.00 4/7/2018 USD 10.13
GOLIATH OFFSHORE HOL 12.00 6/11/2017 USD 5.04
INDO INFRASTRUCTURE 2.00 7/30/2010 USD 1.88
NEPTUNE ORIENT LINES 4.40 6/22/2021 SGD 71.05
ORO NEGRO DRILLING P 7.50 1/24/2019 USD 45.00
OSA GOLIATH PTE LTD 12.00 10/9/2018 USD 62.00
OTTAWA HOLDINGS PTE 5.88 5/16/2018 USD 70.00
OTTAWA HOLDINGS PTE 5.88 5/16/2018 USD 48.00
PACIFIC RADIANCE LTD 4.30 8/29/2018 SGD 72.88
SWIBER CAPITAL PTE L 6.50 8/2/2018 SGD 45.25
SWIBER CAPITAL PTE L 6.25 10/30/2017 SGD 58.00
SWIBER HOLDINGS LTD 7.13 4/18/2017 SGD 64.33
TRIKOMSEL PTE LTD 5.25 5/10/2016 SGD 20.00
TRIKOMSEL PTE LTD 7.88 6/5/2017 SGD 20.00
THAILAND
--------
G STEEL PCL 3.00 10/4/2015 USD 3.74
MDX PCL 4.75 9/17/2003 USD 37.75
VIETNAM
-------
DEBT AND ASSET TRADI 1.00 10/10/2025 USD 50.50
DEBT AND ASSET TRADI 1.00 10/10/2025 USD 50.50
*********
Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication. Prices reported are not intended to reflect actual
trades. Prices for actual trades are probably different. Our
objective is to share information, not make markets in publicly
traded securities. Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind. It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.
A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets. A company may establish reserves on its balance
sheet for liabilities that may never materialize. The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, and Peter A. Chapman,
Editors.
Copyright 2016. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
TCR-AP subscription rate is US$775 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each. For subscription information, contact
Peter Chapman at 215-945-7000 or Nina Novak at 202-362-8552.
*** End of Transmission ***