/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/210303.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 Wednesday, March 3, 2021, Vol. 24, No. 39 Headlines A U S T R A L I A ALLIED RURAL: First Creditors' Meeting Set for March 12 APPSTER: Creditors Support Liquidator's Efforts to Sue Directors FORUM PRODUCTIONS: Second Creditors' Meeting Set for March 11 FP TURBO 2021-1: Moody's Gives (P)B1 (sf) Rating to Class F Notes ORZORA PTY: First Creditors' Meeting Set for March 10 PROJECT NOAH: First Creditors' Meeting Set for March 11 TICKET ROCKET: Capital City Comic Con Sues to Recover Customer Data C H I N A CHINA: Expected to Cut Local Government Bond Quota to Reduce Debt JIANGSU FC: Ceases Operations as Beleaguered Sponsor Pulls Support SUNING.COM CO: Sells Stake to State-Owned Investors I N D I A AAI KRUPA: ICRA Keeps D Debt Ratings in Not Cooperating ADITI FOODS: ICRA Lowers Rating on INR12.50cr Loans to B+ ADVANTAGE OVERSEAS: Ind-Ra Keeps 'D' Rating in Non-Cooperating ARTEDZ FABS: Insolvency Resolution Process Case Summary ASSOCIATED ENGINEERING: Ind-Ra Affirms 'B+' Long-Term Issuer Rating BEKO DIMON: ICRA Keeps D Debt Ratings in Not Cooperating C I FINLEASE: ICRA Keeps B+ Debt Rating in Not Cooperating DEVESH ENGINEERING: Insolvency Resolution Process Case Summary DOABA KHALSA: Ind-Ra Keeps 'D' Term Loan Rating in Non-Cooperating EARTH WATER: Insolvency Resolution Process Case Summary GAYATRI DEVELOPWELL: ICRA Keeps D Debt Rating in Not Cooperating GEMINI DEVELOPERS: ICRA Keeps B+ Debt Rating in Not Cooperating GOODWEAR FASHIONS: Ind-Ra Moves BB Issuer Rating to Non-Cooperating H.R. EDUCATIONAL: ICRA Moves D Debt Rating to Not Cooperating HARIKRUSHNA COTTON: ICRA Keeps B Debt Ratings in Not Cooperating HARISH TEXTILE: Insolvency Resolution Process Case Summary INDIAN CROP: ICRA Keeps B+ Debt Ratings in Not Cooperating INDUSTRIAL METALS: Ind-Ra Assigns 'B+' Long Term Issuer Rating JMT AUTO: ICRA Reaffirms D Rating on INR87cr Cash Loan JOT IMPEX: ICRA Keeps D Debt Rating in Not Cooperating Category L.A. HOTELS: ICRA Keeps B+ Debt Rating in Not Cooperating LOHIYA DEVELOPERS: ICRA Keeps B Debt Ratings in Not Cooperating M.D. AGRO: ICRA Keeps B+ Debt Rating in Not Cooperating MELANGE DEVELOPERS: ICRA Keeps B+ Debt Rating in Not Cooperating MY CAR: ICRA Keeps B Debt Rating in Not Cooperating Category NAV BHARAT: ICRA Keeps B Debt Rating in Not Cooperating NIKHIL UDYOG: ICRA Keeps D Debt Ratings in Not Cooperating PCP INTERNATIONAL: Ind-Ra Lowers Long-Term Issuer Rating to 'D' PERMALI WALLACE: ICRA Keeps D Debt Ratings in Not Cooperating PROTHOM INDUSTRIES: ICRA Keeps D Debt Rating in Not Cooperating PURANMAL PHOOLA: ICRA Keeps B+ Debt Rating in Not Cooperating RAMA PAPER: ICRA Keeps D Debt Ratings in Not Cooperating RAMESHWAR INDUSTRIES: ICRA Keeps D Ratings in Not Cooperating RIDDHI SIDDHI: ICRA Keeps B Debt Ratings in Not Cooperating RIDDHI SIDDHI: ICRA Reaffirms B+ Rating on INR15.85cr Loans S R TRANZCARS: ICRA Reaffirms D Rating on INR19.35cr ST Loan SESA MINERALS: ICRA Keeps D Debt Ratings in Not Cooperating SH INFRATECH: ICRA Keeps D Debt Ratings in Not Cooperating SKYLINE MILLARS: ICRA Withdraws D Ratings on INR6.00cr Loans STAR SCHOOL: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating SUBADRA TEXTILE: ICRA Keeps B Debt Rating in Not Cooperating SUSEE TRUCKS: ICRA Reaffirms B Rating on INR6.0cr Cash Loan VICHITRA PRESTRESSED: ICRA Keeps C+ Debt Rating in Not Cooperating VIKAS COTEX: ICRA Keeps B Debt Ratings in Not Cooperating VISHWASRAO NAIK: ICRA Keeps B+ Debt Ratings in Not Cooperating J A P A N ANA HOLDINGS: To Cut Capital of Travel Unit to Lessen Tax Burden M A L A Y S I A AMMB HOLDINGS: Stock Halted on Surprise $699MM 1MDB Settlement S I N G A P O R E BELSHIPS SUPRAMAX: Members' Final Meeting Set for March 26 MP & SILVA: Creditors' Meeting Set for March 4 XIHE HOLDINGS: Third of About 150 Ships Sold to Repay Debt S O U T H K O R E A SSANGYONG MOTOR: Resumes Plant Operation After Suspension T H A I L A N D THAI AIRWAYS: Seeks $1.65BB Infusion Under Debt Restructuring Plan - - - - - ================= A U S T R A L I A ================= ALLIED RURAL: First Creditors' Meeting Set for March 12 ------------------------------------------------------- A first meeting of the creditors in the proceedings of Allied Rural Pty Ltd will be held on March 12, 2021, at 10:00 a.m. at the offices of SV Partners, 22 Market Street, in Brisbane, Queensland. David Michael Stimpson of SV Partners was appointed as administrator of Allied Rural on March 2, 2021. APPSTER: Creditors Support Liquidator's Efforts to Sue Directors ---------------------------------------------------------------- The Sydney Morning Herald reports that directors of collapsed tech darling Appster have been accused of funnelling millions of dollars offshore and breaching directors duties, prompting the federal government to bankroll legal action against the former Melbourne rich listers. An investigation by The Age and Sydney Morning Herald in 2018 revealed small business owners paid large sums of money to Appster to build new mobile apps in the weeks and days before the company went into liquidation. Soon after, liquidators BK and Taylor started probing "red flags" around the technology startup's demise and more than two years later, its final report has now been delivered to creditors. "I have formed the view that the directors placed their interests over and above those of the company's creditors," the report, obtained by this masthead, said. At the heart of the report are allegations of insolvent trading, unfair preference payments and breaches of the Corporations Act, initially flagged in a statutory report filed with the Australian Securities and Investments Commission in 2019, SMH says. But after public examinations held mid-way through last year that revealed troves of new evidence, the liquidators have now secured government funding to pursue litigation against former director Mark McDonald for alleged breaches of the Corporations Act. It is an offence to trade while insolvent unless a defence can be shown. The company's other director, Josiah Humphrey, is employed in California's start-up industry, according to his LinkedIn profile, SMH discloses. Liquidator Paul Vartelas said it would be difficult to compel Mr. Humphrey to return to Australia for legal proceedings, but added: "It's not an option which is off the table." According to SMH, Mr. McDonald said he had not received the liquidator's report but denied all wrongdoing. "In respect of the allegations that I had acted in breach of my director's duties, these allegations are untrue and are vigorously denied." The report found Appster's directors transferred more than AUD9.9 million to related offshore entities in the US and India in the two years before the company went under, SMH relates. Of these payments, more than AUD900,000 was transferred to the offshore entities with the same directors - Mr. McDonald and Mr. Humphrey - in the six weeks before Appster went under, in transactions the report described as "very concerning". SMH relates that Mr. Vartelas said initial requests for access to the books and records for these offshore entities were rejected, but later he was provided access for a "short period of time", adding the available information was "very limited indeed". The information obtained was inconsistent with other records and one entity was voluntarily dissolved in January 2019 - two months after the directors transferred AUD150,000 to that account, according to the report cited by SMH. According to SMH, Mr. McDonald said the international payments were "very clearly" for expenses related to running Appster Australia projects, including payroll and rent, adding he had complied with all the liquidator's requests. "These are uncontroversial expenses incurred in the course of running a business and were the outcome of high-level advice the company obtained from reputable, qualified advisers," SMH quotes Mr. McDonald as saying. "At the time the payments were made, we believed the business would keep trading and was at the time solvent." SMH adds that the liquidator also suggested the Appster directors had broken the law by using customers' money to reduce the company's NAB overdraft and tax bill to put themselves in a better position after the company was placed into administration. The directors paid over AUD590,000 to the ATO, half of which was retrieved by legal action undertaken by the creditors who called it unfair preferential treatment, and a further AUD220,000 to NAB to reduce its overdraft, according to the report. Mr McDonald said these payments were accumulated expenses and denied wrongdoing. "It is also not true that we prioritised our financial position over creditors." BK& Taylor received over AUD70,000 in funding from the Attorney-General's department last year to hold public examinations, in which Appster's former auditor KPMG and Mr. McDonald provided additional financial material. According to SMH, Mr. Vartelas enlisted Melbourne barrister Stephen Waldren, who has previous experience working at the Australian Securities and Investments Commission's insolvency unit, to review the documents and provide advice on the prospects of successful prosecution. "He formed the view there is a very strong case against the directors primarily for breaking directors duties and also insolvent trading," Mr. Vartelas said. He added that the Attorney-General's office had now committed to funding legal action against the directors, SMH relays. "The Attorney-General wants to provide the funding because they came up with AUD400,000 to pay employee entitlements so the government department is a major creditor in the winding up as well," he said. "So they have a common interest." Appster's creditors met on Feb. 23 and unanimously voted to support the liquidator's efforts to sue the directors, SMH adds. About Appster Appster was founded in 2011 by young founders Josiah Humphrey and Mark McDonald, who quickly grew the company into a major player in the app development space. On Dec. 7, 2018, the company was placed into liquidation, appointing administrator Paul Vartelas of BK Taylor & Co liquidators to manage the process. FORUM PRODUCTIONS: Second Creditors' Meeting Set for March 11 ------------------------------------------------------------- A second meeting of creditors in the proceedings of Forum Productions Pty Ltd, formerly Trading as Paladarr and Shythaichef, has been set for March 11, 2021, at 11:00 a.m. via teleconference. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by March 10, 2021, at 4:00 p.m. Shelley-Maree Brooks of Rodgers Reidy (Tas) Pty Ltd was appointed as administrator of Forum Productions on Feb. 2, 2021. FP TURBO 2021-1: Moody's Gives (P)B1 (sf) Rating to Class F Notes ----------------------------------------------------------------- Moody's Investors Service has assigned provisional ratings to notes to be issued by Perpetual Trustee Company Limited in its capacity as trustee of the FP Turbo Series 2021-1 Trust. Issuer: FP Turbo Series 2021-1 Trust AUD240.0 million Class A Notes, Assigned (P)Aaa (sf); AUD14.1 million Class B Notes, Assigned (P)Aa2 (sf); AUD10.5 million Class C Notes, Assigned (P)A2 (sf); AUD4.8 million Class D Notes, Assigned (P)Baa2 (sf); AUD11.7 million Class E Notes, Assigned (P)Ba2 (sf); AUD3.9 million Class F Notes, Assigned (P)B1 (sf). The AUD15.0 million Seller Notes are not rated by Moody's. The transaction is a securitisation of operating, novated and finance leases extended to Australian government and statutory corporations, corporates, small and medium-sized businesses and their employees. The leases are secured by passenger cars and commercial vehicles. The collateral pool composition is static and no pre-funding or substitution of receivables will take place during the life of the transaction. The securitised portfolio comprises lease instalment cash flows and residual value cash flows. The present value of the outstanding lease receivables balance is approximately AUD300.0 million and the nominal value of estimated operating lease residual value (RV) cash flows amounts to around AUD95.1 million. Due to the right of the lessees to return the vehicle at contract maturity in order to cover the final lease balance outstanding under an operating lease, the notes are exposed to both default and market or residual value risk of the related vehicles. RATINGS RATIONALE The provisional ratings take into account, among other factors: (i) the evaluation of the underlying portfolio of lease obligors; (ii) an evaluation of the underlying RV exposure; (iii) back-up maintenance and servicer solutions; (iv) the credit enhancement provided by subordination; (v) the liquidity support available in the transaction by way of principal draw and the liquidity facility. The notes will be repaid on a sequential basis in the initial stages, until the subordination percentage increases from the initial 20.0% to 35.0% for the Class A Notes, at which point Class A to Class F Notes will be repaid on a pro-rata basis (but senior to the Seller Notes). When the outstanding balance of the pool falls below 20% of the initial pool balance at closing the notes will once again be repaid on a sequential basis. There are other portfolio performance triggers which must be met for the notes to be paid pro-rata. MODELLING APPROACH Moody's applies a two-stage approach to modelling transactions with RV risk. In the first step, Moody's models the expected loss on the notes due to defaults. In the second step, additional losses resulting from RV risk are modelled based on the RV haircuts applied at contract maturity. For the assessment of lessee default risk Moody's has determined the lessee default distribution of the portfolio using CDOROM, which simulates lessee defaults based on asset correlations and default probabilities assumptions. Moody's assumed a mean lessee default rate of 2.74%. For cash flow modeling Moody's assumed a recovery rate following lessee default of 45.0%. To account for RV risk in the portfolio Moody's assumes a Aaa haircut of 38.5%, a Aa2 haircut of 29.4%, a A2 haircut of 24.5%, a Baa2 haircut of 21.2%, a Ba2 haircut of 15.4% and a B1 haircut of 10.6% on RV cash flows. The coronavirus outbreak, the government measures put in place to contain it, and the weak global economic outlook continue to disrupt economies and credit markets across sectors and regions. Moody's analysis has considered the effect on the performance of small businesses from the current weak Australian economic activity and a gradual recovery for the coming months. Although an economic recovery is underway, it is tenuous and its continuation will be closely tied to containment of the virus. As a result, the degree of uncertainty around Moody's forecasts is unusually high. Moody's regards the coronavirus outbreak as a social risk under its ESG framework, given the substantial implications for public health and safety. Methodology Underlying the Rating Action: The principal methodology used in these ratings was "Moody's Global Approach to Rating Auto Loan- and Lease-Backed ABS" published in December 2020. Factors That Would Lead to an Upgrade or Downgrade of the Ratings Factors that could lead to an upgrade or downgrade of the note ratings include (1) an improvement or deterioration in the credit quality and performance of the collateral pool, and (2) higher or lower than expected recoveries on defaulted loans. The Australian economy and the market for used vehicles are primary drivers of performance. Other reasons for worse performance than what Moody's expects include poor servicing, error on the part of transaction parties, a deterioration in credit quality of transaction counterparties, lack of transactional governance and fraud. ORZORA PTY: First Creditors' Meeting Set for March 10 ----------------------------------------------------- A first meeting of the creditors in the proceedings of Orzora Pty Ltd, trading as Signarama Pakenham, will be held on March 10, 2021, at 10:00 a.m. via teleconference. Brendan Nixon of SM Solvency Accountants was appointed as administrator of Orzora Pty on March 1, 2021. PROJECT NOAH: First Creditors' Meeting Set for March 11 ------------------------------------------------------- A first meeting of the creditors in the proceedings of Project Noah Holdings Pty Ltd will be held on March 11, 2021, at 11:00 a.m. via virtual meeting technology. Christopher John Baskerville of Jirsch Sutherland was appointed as administrator of Project Noah on March 1, 2021. TICKET ROCKET: Capital City Comic Con Sues to Recover Customer Data ------------------------------------------------------------------- Mike Devlin at Times Colonist reports that the organizers of Capital City Comic Con have sued Ticket Rocket Enterprises in the provincial small claims court to recover data that would allow organizers to refund tickets to the cancelled event. Times Colonist relates that organizing partners Cherry Bomb Toys, Downtown Victoria Business Association and Destination Greater Victoria - who make up Capital Comic Enthusiasts Society, which runs the annual movie, television, and comic book convention - said they are owed money from Ticket Rocket Enterprises from tickets sold to their event. Ticket Rocket in Victoria, an affiliate of Ticket Rocket in New Zealand, was the official ticket seller for Comic Con. Comic Con was set for March 20-22, 2020, at the Victoria Conference Centre and Crystal Garden, the report notes. The event was postponed due to mass-gathering restrictions put in place to combat COVID-19. A claim was filed in court on Feb. 24 for AUD11,000, which represents a portion of the ticket sales held back by the Victoria ticket seller, Times Colonist says. Ticket agencies will often hold back a percentage of sales revenue in order to recoup expenses covered by the agency in advance, on behalf of the event producer. Day passes for the event were priced between $25 and $30 per person. Roughly 80% of revenue from tickets sold to the event has been paid to Comic Con organizers by Ticket Rocket Victoria, according to the claim. According to Times Colonist, Jeff Bray, executive director of the Downtown Victoria Business Association, said in an interview that the society has received the ticket revenue, but does not know how to go about issuing refunds without the customer data. Times Colonist relates that the court claim alleges that a representative for Ticket Rocket Victoria said, in a letter dated May 27, 2020, it would not issue any further refunds until the ticket revenue previously advanced to Comic Con was returned. Court fees, interest and the contact information of ticket purchasers, so that refunds can be administered, are also being sought in the claim, which names Ticket Rocket directors Chris Noel and Sean Toohey of Victoria and Matthew Robert Davey of New Zealand as defendants, Times Colonist says. Mr. Davey's other Ticket Rocket company, a Ticket Rocket company located in New Zealand, was put into receivership in August with debts of more than $8 million, Times Colonist notes citing a story in New Zealand newspaper Otago Daily Times. Ticket Rocket's Victoria office is not in possession of the sales data the claim is looking to recover, a representative for the company, who spoke on the condition of anonymity, said in an interview with the Times Colonist. The data was controlled by software licensed through the New Zealand Ticket Rocket company. "A third party service provider that provided the ticketing software and was storing the requested data had a receiver appointed and access to all data was, without notice to Ticket Rocket, terminated," Times Colonist quotes the representative as saying. Without the data, a lawsuit was "the only alternative," Mr. Bray, as cited by Times Colonist, said. "That's not what we want to do. But we don't know who has bought and sold tickets, so it's the only recourse we have left." Ticket Rocket is one of several ticketing companies to dissolve under the "devastating impact" of the pandemic, the Ticket Rocket representative said. Without any revenue, Ticket Rocket was unable to pay employees and operating expenses, relays Times Colonist. ========= C H I N A ========= CHINA: Expected to Cut Local Government Bond Quota to Reduce Debt ----------------------------------------------------------------- Bloomberg News reports that China is set to reduce local government bond sales and rein in its budget deficit this year, scaling back the pandemic stimulus measures that fueled debt while helping the economy recover. The government is likely to reduce its quota for special local bonds -- mostly used for infrastructure spending -- to CNY3.5 trillion (US$541 billion) from CNY3.75 trillion last year, according to the median estimate of 10 economists surveyed by Bloomberg. The fiscal deficit target is forecast to be cut to 3% of gross domestic product from 3.6% in 2020, Bloomberg says. Beijing is set to unveil its major economic goals on March 5, when the National People's Congress, China's rubber-stamp parliament, convenes for its yearly meeting, according to Bloomberg. Officials have already signaled they would withdraw some of the stimulus rolled out last year that contributed to the economy's rapid V-shaped recovery. "Curbing debt risks and capping the leverage ratio will be among policy makers' top priorities this year after the economy rebounded," Bloomberg quotes Bruce Pang, head of macro research at China Renaissance Securities Hong Kong, as saying. Based on Bloomberg calculations, local government debt rose to 90% of combined fiscal revenue last year, from 83% in 2019, assuming that local governments met their revenue targets in 2020. A decline in the quota for local special bonds would be the first since they were introduced in 2015 to fund infrastructure, Bloomberg notes. Unlike general bonds that are paid back with fiscal revenue, the special bonds are repaid with income generated from specific projects. Bloomberg relates that the surveyed analysts also expect no issuance of special anti-virus bonds this year, after the government sold CNY1 trillion worth of them last year. Total government bond net issuance could plunge by 20%, or CNY1.7 trillion, this year based on the forecasts for the deficit and bond quota, and assuming the economy will expand by 8% to 10%, according to Bloomberg calculations. China's official government debt soared to 45.8% of GDP by the end of last year from 38.5% in the year before, Bloomberg discloses. The actual debt level is likely to be higher since the government doesn't include borrowing by entities such as local government financing vehicles. Taking into account the implicit debt, the real leverage ratio has already reached 60% of GDP, a threshold regarded internationally as the prudent limit, according to Ding Shuang, chief economist for Greater China at Standard Chartered Plc in Hong Kong, Bloomberg relays. "If large-scale bond issuance continues, the debt ratio will break through the benchmark threshold," he said. JIANGSU FC: Ceases Operations as Beleaguered Sponsor Pulls Support ------------------------------------------------------------------ Flynn Murphy and Guan Cong at Caixin Global report that reigning Chinese Super League champion Jiangsu FC has ceased operations and is poised to collapse after its heavily indebted title sponsor Suning.com pulled back, leaving fans mourning a dark day for China's sponsor-reliant soccer scene. Caixin relates that the club said Feb. 28 it would "cease operations" without giving further details, just as Suning.com Co. Ltd. announced a $2.3 billion state-led bailout that will hand over nearly a quarter of the company to financing vehicles controlled by the government of the Guangdong province metropolis of Shenzhen. Suning.com's billionaire founder Zhang Jindong, who once spoke of his firm nurturing the hometown team as a first class Asian club, signaled a wind change at Suning's annual conference in December where he plugged the debt-saddled firm's renewed "focus on retail," according to Caixin. SUNING.COM CO: Sells Stake to State-Owned Investors --------------------------------------------------- Anniek Bao and Yuan Ruiyang at Caixin Global report that Suning.com announced a $2.3 billion share sale that will hand over nearly a quarter of the company to state-controlled entities, amounting to a state-led bailout for a former retail pioneer that has fallen on hard times. Caixin relates that investors enthusiastically greeted the ownership transfer, which was first announced last week with no names given, by bidding up shares of the Nanjing-based company by the daily 10% limit in March 1 trade. The reshuffle will see four of the five largest shareholders in publicly listed Suning.com Co. Ltd. sell a combined 23% of the company's shares to two state-owned investment bodies in Shenzhen for CNY14.8 billion ($2.3 billion), according to a filing to Shenzhen Stock Exchange on Feb. 28, Caixin relays. Suning.Com Co., Ltd., operates consumer electronic products and appliances sales stores. The Company sells telecommunication equipment, telecommunication components, household appliances, digital equipment, refrigerators, washing machines, and other products. Suning.Com also provides equipment installation and repairing services. ========= I N D I A ========= AAI KRUPA: ICRA Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------- ICRA has continued the ratings for the INR6.70 crore bank facilities of Aai Krupa Cotton Industries to the 'ISSUER NOT COOPERATING' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund based- 1.70 [ICRA]D ISSUER NOT COOPERATING; Term Loan Rating continues to remain under 'Issuer Not Cooperating' Category Fund based- 5.00 [ICRA]D ISSUER NOT COOPERATING; Cash Credit Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Established as a partnership firm in 2013, Aai Krupa Cotton Industries (AKCI) is engaged in cotton ginning and pressing operations. The promoters of the firm have moderate experience in cotton ginning and pressing industry by virtue of their earlier association with other firms as partners or as key operating personnel in past. The firm commenced its commercial operations from November 2013 at its manufacturing unit at Tankara, Dist. Rajkot with 20 ginning machines and 1 pressing machine. It has an installed processing capacity of ~37 MT raw cotton daily (assuming 24 hours of operation per day). ADITI FOODS: ICRA Lowers Rating on INR12.50cr Loans to B+ --------------------------------------------------------- ICRA has revised the ratings on certain bank facilities of Aditi Foods (India) Private Limited, as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 9.50 [ICRA]B+(Stable) ISSUER NOT Term Loan COOPERATING; Rating downgraded from [ICRA]BB+ (Stable) and continues to remain under 'Issuer Not Cooperating' category Fund Based 3.00 [ICRA]B+(Stable) ISSUER NOT Cash Credit COOPERATING; Rating downgraded from [ICRA]BB+ (Stable) and continues to remain under 'Issuer Not Cooperating' category Rationale The rating downgrade is because of lack of adequate information regarding Aditi Foods (India) Private limited performance and hence the uncertainty around its credit risk. ICRA assesses whether the information available about the entity is commensurate with its rating and reviews the same as per its "Policy in respect of non-cooperation by a rated entity" available at www.icra.in. The lenders, investors and other market participants are thus advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity, despite the downgrade. As part of its process and in accordance with its rating agreement with Aditi Foods (India) Private limited, ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, a rating view has been taken on the entity based on the best available information. Incorporated in 1992, Aditi Foods (India) Private Limited is engaged in processing fruits and vegetables, primarily mango and tomato, among others. The Islampur, Sangli-based company in Maharashtra has an installed processing capacity of 50 Metric Tonnes (MT) of mango per day and 20 MT of tomatoes per day. The promoter, Patil family, has also promoted Aditi Packaging Industries, Vaishali Packaging Industries and Omgurudev Packers, along with the cooperative society, Walwa Taluka Shetkari Bhaajipaala Kharedi Vikri va Prakriya Sanstha Limited. AFIPL is ISO 220005 certified as well as BRC Global Standards and US FDA certified. AFIPL markets its products under the brands, 'Aditi', 'Halo' and 'Pruthvi', in the domestic and overseas markets. In FY2017, the company reported a net profit of INR3.26 crore on an operating income of INR34.57 crore, as compared to a net profit of INR2.99 crore on an operating income of INR31.58 crore in the previous year. In FY2018, the company has reported an operating income of INR37.70 crore (provisional) and profit before tax of INR5.02 crore. ADVANTAGE OVERSEAS: Ind-Ra Keeps 'D' Rating in Non-Cooperating -------------------------------------------------------------- India Ratings and Research (Ind-Ra) has maintained Advantage Overseas Private Limited's Long-Term Issuer Rating in the non-cooperating category. The issuer did not participate in the rating exercise despite continuous requests and follow-ups by the agency. Therefore, investors and other users are advised to take appropriate caution while using the rating. The rating will continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the agency's website. The instrument-wise rating actions are: -- INR0.285 mil. Fund-based working capital limits (Long-term) maintained in the non-cooperating category with IND D (ISSUER NOT COOPERATING) rating; and -- INR70 mil. Non-fund-based working capital limits (Short-term) maintained in the non-cooperating category with IND D (ISSUER NOT COOPERATING) rating. Note: ISSUER NOT COOPERATING: The ratings were last reviewed on December 2, 2019. Ind-Ra is unable to provide an update, as the agency does not have adequate information to review the ratings. COMPANY PROFILE Incorporated in 2004, Advantage Overseas is engaged in the bulk trading of agri commodities. ARTEDZ FABS: Insolvency Resolution Process Case Summary ------------------------------------------------------- Debtor: Artedz Fabs Limited H.No. 1125, Bldg T-1 Shree Rajlaxmi Hi-Tech Park Sonale Village Bhiwandi Mumbai, Thane MH 421302 Insolvency Commencement Date: February 22, 2021 Court: National Company Law Tribunal, Mumbai Bench Estimated date of closure of insolvency resolution process: August 21, 2021 Insolvency professional: Mr. Jignesh Ajit Ganatra Interim Resolution Professional: Mr. Jignesh Ajit Ganatra 701, Sai Heritage CHS Opposite Ebenezer Society Ashok Nagar, Nahur Road Mulund West, Mumbai 400080 E-mail: ganatraj@gmail.com artedzcirp@gmail.com Last date for submission of claims: March 8, 2021 ASSOCIATED ENGINEERING: Ind-Ra Affirms 'B+' Long-Term Issuer Rating ------------------------------------------------------------------- India Ratings and Research (Ind-Ra) has affirmed Associated Engineering Enterprises' (AEE) Long-Term Issuer Rating at 'IND B+'. The Outlook is Stable. The instrument-wise rating actions are: -- INR45 mil. Fund-based working capital limits affirmed with IND B+/Stable/ IND A4 rating; and -- INR95 mil. Non-fund-based working capital limits affirmed with IND A4 rating. KEY RATING DRIVERS The affirmation reflects AEE's continued small scale of operations with a 67% yoy decline in the revenue to INR117.61 million in FY20, due to a slowdown in the construction industry as a result of the COVID-19 outbreak. At end-9MFY21, the firm booked revenues of INR27 million and had an unexecuted order book of around INR78.5 million (0.67x of FY20 revenues), likely to be executed by 31 March 2021. Ind-Ra expects AEE's operating performance to be impacted in FY21 due to the absence of new orders. However, the performance is likely to improve in FY22 on the back of the revenue visibility from the tenders participated in February 2021 , to the tune of INR970 million, likely to be finalized by March 2021. The ratings also factor in the company's modest and volatile EBITDA margins due to the variations in operational expenses, which depend upon the size of each project executed. In FY20, the margins decline to 9.74% (FY19: 12.13%), as the existing projects entered into during FY18-19 were at the verge of completion. The return on capital employed was 2% FY20 (FY19: 23%). Ind-Ra expects the margin to remain modest in FY21 too, on the back of reduced revenue. The firm's already weak credit metrics deteriorated further with the net leverage (net adjusted debt/operating EBITDAR) of 5.85x in FY20 (FY19: 1.73x) and interest coverage (operating EBITDA/gross interest expense) of 1.23x (4.7x). The deterioration in the credit metrics was due to a 73% yoy decline in the absolute operating EBITDA to INR11.45 million and an increase in the working capital utilization. However, Ind-Ra expects the credit metrics to improve on the back of no major debt-led capex plans over the near term and the prepayment of all the unsecured loans in FY21. Liquidity Indicator – Stretched: AEE's average maximum overdraft limit utilization stood at 95% and that of the non-fund-based limit stood at an average of 26% over the 12 months ended January 2021. The cash flow from operations declined to INR9.01 million in FY20 (FY19: INR32.10 million), due to a decline in the absolute operating EBITDA and an elongated net cash conversion cycle of 90 days (FY19: one day), on the back of a stretch in both debtor days and inventory days to 71 (34) and 46 (one) respectively. Consequently, the free cash flow also declined to INR7.27 million in FY20 (FY19: INR29.10 million). Nevertheless, AEE's cash and cash equivalents improved at INR19.19 million at FYE20 (INR8.40 million) and firm has sufficient non-fund-based limits to enter into new tenders. Ind-Ra expects the debt service coverage ratio to remain comfortable at above 2x with a lower dependency on long-term debts over the near term. Ind-Ra expects cash flow from operations to turn negative in FY21 due to low operating EBITDA. AEE's free cash flows are likely to improve in FY21 on the back sale of an immovable property, leading to improved liquidity profile. The firm did not avail the Reserve Bank of India-prescribed moratorium or any COVID-19 loan. The ratings remain constrained by the partnership structure of the organization. However, the ratings continue to be supported by AEE's partners' experience of over three decades in the engineering, procurement and construction business. RATING SENSITIVITIES Negative: Continued weak order book position, resulting in a decline in the revenues and/or EBITDA margin, leading to substantial deterioration in the credit metrics and liquidity could lead to a negative rating action. Positive: Stable revenue growth from a strong order book and stable operating profitability, leading to an improvement in the overall credit metrics and liquidity could lead to a positive rating action. COMPANY PROFILE Established in 1985 and located in Hyderabad, AEE is an engineering, procurement and construction firm. The firm is registered with roads & buildings department as a special Class Civil Contractors in Andhra Pradesh and Telangana. BEKO DIMON: ICRA Keeps D Debt Ratings in Not Cooperating -------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Beko Dimon Fishing Co in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D/D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Unallocated 12.00 [ICRA]D ISSUER NOT COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' Category Fund Based 15.00 [ICRA]D ISSUER NOT COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Beko Dimon Fishing Company was established in the year 2003. It is registered as a 100% Export Oriented Unit (EOU). The firm is into manufacturing of fishing hooks, snoods, lines, swivels, monofilament lines and rubber tubing for the long line fishing industry and for other commercial and non-commercial fishing purposes. The firm has its manufacturing 2 facility in Nilgiris with a built up area of approximately 1830 sq m. in 1.0 acre of land. It has a capacity to manufacture 20,000 to 25,000 hooks per day which would increase to ~200,000 hooks per day with the installation of the new machinery. C I FINLEASE: ICRA Keeps B+ Debt Rating in Not Cooperating ---------------------------------------------------------- ICRA has retained the ratings for the bank facilities of C I Finlease Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 10.00 [ICRA]B+ (Stable) ISSUER NOT Working Capital COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. CIFL is promoted by Mr. Rakesh Malik, Chairman, of the C.I. Group of companies, and has experience in trading of over two decades, and total industry experience of over three decades. CIFL is an authorized dealer of HMIL cars, its spare parts and accessories and also offers servicing of HMIL vehicles. The company has two showrooms and one service center in Bhopal, Madhya Pradesh. DEVESH ENGINEERING: Insolvency Resolution Process Case Summary -------------------------------------------------------------- Debtor: M/s. Devesh Engineering Enterprises Private Limited Plot No. 48, 1st Floor Nagarjuna Hills Punjagutta, Hyderabad Telangana 500082 Insolvency Commencement Date: February 19, 2021 Court: National Company Law Tribunal, Coimbatore Bench Estimated date of closure of insolvency resolution process: August 18, 2021 (180 days from commencement) Insolvency professional: CS Bhaskar. B Interim Resolution Professional: CS Bhaskar. B 4/447A, 7th Street, Aruna Nagar K. Vadamadurai, PO Coimbatore 641017 E-mail: bhasja@gmail.com Last date for submission of claims: March 10, 2021 DOABA KHALSA: Ind-Ra Keeps 'D' Term Loan Rating in Non-Cooperating ------------------------------------------------------------------ India Ratings and Research (Ind-Ra) has maintained Doaba Khalsa Trust's term loan facility in the non-cooperating category. The issuer did not participate in the rating exercise despite continuous requests and follow-ups by the agency. Therefore, investors and other users are advised to take appropriate caution while using the rating. The rating will continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the agency's website. The detailed rating action is: -- INR336 mil. Term loans (long-term) due on February 2023 maintained in non-cooperating category with IND D (ISSUER NOT COOPERATING) rating. Note: ISSUER NOT COOPERATING: The ratings were last reviewed on February 23, 2016. Ind-Ra is unable to provide an update, as the agency does not have adequate information to review the ratings. COMPANY PROFILE Doaba Khalsa Trust is a charitable educational trust registered under the Indian Trust Act. It was established in 1997-1998 by S. Khushia Singh Bath. EARTH WATER: Insolvency Resolution Process Case Summary ------------------------------------------------------- Debtor: Earth Water Limited Registered office: A-1/152, IGNOU Road Neb Sarai New Delhi 110068 Corporate office: Eros City Square, 7th floor Sec-49 & 50, Rosewood City Near Golf Course Extn. Road Gurugram, Haryana 122018 Insolvency Commencement Date: February 15, 2021 Court: National Company Law Tribunal, Bench-III, New Delhi Estimated date of closure of insolvency resolution process: August 14, 2021 (180 days from commencement) Insolvency professional: Akhil Ahuja Interim Resolution Professional: Akhil Ahuja D-65, Ground Floor ZBC-001, Defence Colony New Delhi 110024 E-mail: akhil@ahujainsolvency.com - and - Immaculate Resolution Professionals Private Limited Unit No. 112, First Floor, Tower-A Spazede Commercial Complex Sector-47, Sohna Road Gurgaon 122018 E-mail: cirp.ewl@gmail.com Last date for submission of claims: March 4, 2021 GAYATRI DEVELOPWELL: ICRA Keeps D Debt Rating in Not Cooperating ---------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Gayatri Developwell Pvt. Ltd in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 13.50 [ICRA]D ISSUER NOT COOPERATING; Fund Based/ Rating continues to remain under Term Loan 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. GDPL is part of the Agra based Gayatri group. Promoted by Mr. Hari Om Dixit and Mr. Devendra Dixit, the group has executed row houses and multi-storey apartment projects in Agra and Mathura over the six to seven years. The company is executing a multi-storey apartments project called Gayatri Manhar Gardens on Sikandra Bodla road in Agra. Launched in end of 2012, the project consists of 168 two and three BHK flats. The project cost of INR37.25 crore is being funded by term loan of INR13.5 crore, promoter contribution of INR8.5 crore and balance customer advances. Apart from this, the group has various another ongoing project included Gayatri Aura which is large residential project in Greater Noida West, UP. GEMINI DEVELOPERS: ICRA Keeps B+ Debt Rating in Not Cooperating --------------------------------------------------------------- ICRA said the ratings for the INR9.50 crore bank facilities of Gemini Developers continue to remain under 'Issuer Not Cooperating' category'. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 9.50 [ICRA]B+ (Stable) ISSUER NOT Unallocated COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Set up in April 2008, Gemini Developers (GDX) is a partnership firm involved in the construction of a housing complex having 352 flats and commercial complex of 25000 sq ft. The firm was reconstituted at the beginning of April 2012 when M/s Bal Krishna Saraf (HUF) expressed their inability and unwillingness to continue in the partnership. At the time of M/s Bal Krishna Saraf (HUF)'s retirement, a new partner was inducted in the firm, M/s Lime Lite Tradecom (P) Limited. Further, the firm was reconstituted when other members who were partners in the capacity of their HUF became partners in their individual capacity. The same happened w.e.f April 1, 2013. GOODWEAR FASHIONS: Ind-Ra Moves BB Issuer Rating to Non-Cooperating ------------------------------------------------------------------- India Ratings and Research (Ind-Ra) has migrated Goodwear Fashions Pvt. Ltd.'s Long-Term Issuer Rating to the non-cooperating category. The issuer did not participate in the rating exercise despite continuous requests and follow-ups by the agency. Therefore, investors and other users are advised to take appropriate caution while using these ratings. The rating will now appear as 'IND BB (ISSUER NOT COOPERATING)' on the agency's website. The instrument-wise rating actions are: -- INR88 mil. Fund-based working capital limit migrated to non- cooperating category with IND BB (ISSUER NOT COOPERATING)/IND A4+ (ISSUER NOT COOPERATING) rating; -- INR4.53 mil. Term loan due on October 2022 migrated to non- cooperating category with IND BB (ISSUER NOT COOPERATING) rating; and -- INR11 mil. Non-fund-based working capital limit migrated to non-cooperating category with IND A4+ (ISSUER NOT COOPERATING) rating. Note: ISSUER NOT COOPERATING: The ratings were last reviewed on February 27, 2020. Ind-Ra is unable to provide an update, as the agency does not have adequate information to review the ratings. COMPANY PROFILE Incorporated in 1988, Goodwear Fashions manufactures high-end woven and knitted interlinings, with an installed capacity of around 800,000 meters per month. It is owned and managed by Ved Paul Kapoor and Vishal Kapoor. H.R. EDUCATIONAL: ICRA Moves D Debt Rating to Not Cooperating ------------------------------------------------------------- ICRA has moved the ratings for the INR10.00 crore bank facilities H.R. Educational Foundation Trust to 'Issuer Not Cooperating' category'. The ratings are denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term– 10.00 [ICRA]D ISSUER NOT COOPERATING; Fund based- Rating moved to Issuer not Term loan cooperating category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Established in 2006, HREFT is a single-school entity operating the Prestige International School in Mangalore. The trust is a part of the Presidency Homes and Infrastructure Group, promoted by Mr. Hyder Ali, the Chairman of the school. The school is affiliated to Central Board of Secondary Education Board (CBSE) and follows the curriculum based on the continuous and comprehensive evaluation assessment. It offers education from pre-primary to pre-university levels. In FY2019, on provisional basis, the trust reported a net profit of INR0.3 crore on an operating income (OI) of INR8.1 crore compared to a net loss of INR0.2 crore on an OI of INR7.1 crore in the previous year. HARIKRUSHNA COTTON: ICRA Keeps B Debt Ratings in Not Cooperating ---------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Shree Harikrushna Cotton Industries in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING." Amount Facilities (INR crore) Ratings ---------- ----------- ------- Cash Credit 8.00 [ICRA]B (Stable) ISSUER NOT COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Term Loan 1.76 [ICRA]B (Stable) ISSUER NOT COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Shree Harikrushna Cotton Industries (SHCI) is a partnership firm engaged in cotton ginning and pressing activity at its facility located at Kadi, Mehsana in Gujarat. The commercial operations started in May 2013 and the plant is equipped with 30 ginning machines, 1 pressing machine and 6 crushing machines with production capacity of 182 bales per day and 36 MT Oil per day. The promoters of the firm have an experience of 5-7 years in the cotton industry. HARISH TEXTILE: Insolvency Resolution Process Case Summary ---------------------------------------------------------- Debtor: Harish Textile Engineers Ltd. Registered office: 2nd Floor, 19 Parsi Panchayat Road Andheri (East), Mumbai 400069 Works at: Shed B to H, Plot 103/1 Umbergaon Sanjan Road Umbergaon, Valsad Gujarat 396170 Insolvency Commencement Date: February 3, 2021 Court: National Company Law Tribunal, Mumbai Bench Estimated date of closure of insolvency resolution process: August 2, 2021 (180 days from commencement) Insolvency professional: Devendra Singh Interim Resolution Professional: Devendra Singh ATS Greens Paradiso Flat No. 02054, Tower-2 Plot No. GH-03 Sector-CHI-04 Greater Noida Uttar Pradesh 201308 E-mail: dev_singh2006@yahoo.com - and - D-54, First Floor Defence Colony New Delhi 110024 E-mail: cirp.htel@gmail.com Last date for submission of claims: March 9, 2021 INDIAN CROP: ICRA Keeps B+ Debt Ratings in Not Cooperating ---------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Indian Crop Science Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 5.00 [ICRA]B+ (Stable) ISSUER NOT Working Capital COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Fund Based 0.50 [ICRA]B+ (Stable) ISSUER NOT Term Loan COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Unallocated 1.00 [ICRA]B+ (Stable) ISSUER NOT COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Indian Crop Science Private Limited (ICSPL) was incorporated in February 2011 by Mr. Bijendra Lohia and Mr. Praveen Kumar as its directors. The company commenced operations in April 2012 from its manufacturing facility based at Meerut in Uttar Pradesh. The company is engaged in manufacturing of fertilizers and pesticides. The product profile of the company includes products with nutrients like Zinc, iron, copper, sulphur, calcium, magnesium, and boron in varying proportions, as specified by the state government, pesticides and organic fertilizers. Around 30% of sales are from sale of organic fertilizers, 10% from sales of pesticides and balance from sales of other products. INDUSTRIAL METALS: Ind-Ra Assigns 'B+' Long Term Issuer Rating -------------------------------------------------------------- India Ratings and Research (Ind-Ra) has assigned Industrial Metals (IM) a Long-Term Issuer Rating of 'IND B+'. The Outlook is Stable. The instrument-wise rating actions are as follows: -- INR40 mil. Fund-based facilities assigned with IND B+/Stable/ IND A4 rating; and -- INR210 mi. Non-fund-based facilities assigned with IND A4 rating. KEY RATING DRIVERS The ratings reflect IM's small scale of operations as indicated by revenue of INR399 million in FY20 (FY19: INR543 million). The decline in revenue was on account of the global economic slowdown in 4QFY20 due to the COVID-19 pandemic as well as correction in steel prices, which led to reduced transactions of IM's low-margin products, resulting in lower sales volume. In 9MFY21, IM booked revenue of INR235.7 million. As on 19 January 2021, it had an order book of around INR90 million, which the management expects to be executed by end-February 2021. Ind-Ra expects the revenue to decline further in FY21 on account of the continued slowdown in the global market. The ratings are constrained by IM's weak credit metrics as reflected by the interest coverage (operating EBITDA/gross interest expense) of 1.05x in FY20 (FY19: 2.96x) and the net leverage excluding subordinated debt (total adjusted net debt/operating EBITDAR) of 7.40x (4.01x). The deterioration in the credit metrics was on account of a fall in the absolute EBITDA to INR11.19 million in FY20 (FY19: INR25.10 million). The firm had unsecured subordinated debt of about INR30 million at FY20. The management expects no increase in the unsecured debt over the next two to three years and no major debt-led capex plan in the medium term. Ind-Ra expects the credit metrics to remain weak in FY21 on account of the low absolute EBITDA. The ratings also factor in the firm's modest EBITDA margins due to the trading nature of the business. The EBITDA margins declined to 2.8% in FY20 (FY19: 4.6%) on account of intense competition in the steel industry and correction in the commodity prices. Its return on capital employed was 9.6% in FY20 (FY19: 18.7%). During 1HFY21, the EBITDA margins expanded to 6.1%, due to an increase in steel prices resulting in higher margin on sale of stock in hand. Ind-Ra expect the EBITDA margins to improve in FY21 from FY20, due to lower competition owing to the elimination of several small players due to COVID-19, increase in steel prices and reduction in the operating expenses. Liquidity Indicator - Stretched: In FY20, the net cash conversion cycle marginally improved to 42 days (FY19: 46 days) on account of an increase in the creditor period to 92 days (67 days), since 65% of the creditors are backed by letters of credit with a credit period of 90 days, 120 days or 180 days. The average maximum utilization of the fund-based and the non-fund-based limits was 2.8% and 32.5%, respectively, over the 12 months ended November 2020. The cash flow from operations declined to INR25.7 million in FY20 (FY19: INR66.7 million) on account of the fall in the absolute EBITDA. The cash and cash equivalents were INR24.0 million at FYE20 (FYE19: INR30.4 million). IM did not avail the Reserve Bank of India-prescribed moratorium under the COVID-19 relief package scheme. Furthermore, the firm did not avail any COVID-19 loan. However, the ratings are supported by the firm's partner Fenil K Timbadia experience of more than four decades in importing and trading of various steel products, which has enabled the firm to establish longstanding relationships with its customers and suppliers. RATING SENSITIVITIES Positive: A rise in the revenue and operating profitability, leading to the interest coverage increasing above 1.5x on a sustained basis, could be positive for the ratings. Negative: Any decline in the revenue or operating profitability, leading to a sustained deterioration in the credit metrics could be negative for the ratings. COMPANY PROFILE Incorporated in 1979, Mumbai-based IM is a partnership firm engaged in the importing and trading of boiler quality plates, high tensile steel plates/coils, mild steel products, hot-rolled and galvanized coils/sheets, and construction and structural items. The firm is owned by the Timbadia and Cyclewala families. JMT AUTO: ICRA Reaffirms D Rating on INR87cr Cash Loan ------------------------------------------------------ ICRA has reaffirmed ratings on certain bank facilities of JMT Auto Limited (JMT), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund-based– Cash Credit 87.00 [ICRA]D; Reaffirmed Fund-based– Term Loans 39.57 [ICRA]D; Reaffirmed Short-term- Fund-based Facility 1.00 [ICRA]D; Reaffirmed Short term- Non-fund based facility 36.00 [ICRA]D; Reaffirmed Long term- Unallocated 4.27 [ICRA]D; Reaffirmed Long term/ Short term- Unallocated 3.16 [ICRA]D/[ICRA]D; Reaffirmed Rationale The reaffirmation of JMT's rating considers the continued irregularity in debt servicing by the company because of a poor liquidity position. The rating also factors in the stretched financial profile of JMT. Moreover, the company's performance has been significantly impacted by the Covid-19 pandemic in the current fiscal, which is likely to result in a significant decline in sales and a sizeable net loss. The rating is also constrained by the company's high sales concentration in the cyclical automobile sector and the significant client concentration risk with the major portion of its sales made to Tata Motors Ltd. (TML) and its subsidiaries. Nonetheless, ICRA continues to note the company's established relationships with reputed clients and its integrated nature of operations with in-house casting and forging facilities. Key rating drivers and their description Credit strengths * Established relationships with reputed clients both in domestic and export markets: JMT's long relationships with a reputed clientele helped it in establishing its credentials as a machined component manufacturer for automobiles and other equipment. This aided it in securing orders from both the domestic and the export markets. * Vertically integrated nature of operations with in-house casting and forging facilities: JMT commenced operations in 1987 primarily as an ancillary to the erstwhile Telco, supplying various machined components for its medium and heavy commercial vehicle (M&HCV) segment. The company has eight manufacturing plants located in Jamshedpur, Dharwad and Lucknow. JMT's existing operations are vertically integrated with in-house casting and forging facilities, which allow better control on quality. Credit challenges * Continuing irregularity in debt servicing due to poor liquidity position: The company's sizeable debt service obligation vis-avis the cash accrual adversely impacted its liquidity. This led to a continuous irregularity in debt servicing by the company. * Stretched financial profile; a significant decline in sales and sizeable net loss due to the pandemic in the current fiscal: The company's financial profile continues to remain stretched. Its revenue declined significantly to INR38.66 crore in H1 FY2021 from INR108.92 crore in H1 FY2020 because of a disruption in operations due to the Covid-19 pandemic and ongoing sluggishness in the automotive segment as well as a decline in demand from customers in other segments. As a result, the company incurred a net loss of INR21.52 crore in H1 FY2021 vis-a-vis a net loss of INR16.14 crore in H1 FY2020. * Exposure to cyclicality in the automotive industry: As the major portion of the company's total revenue is generated from sales to the automotive segment (commercial vehicle and farm segment), the company is exposed to the cyclicality associated with the industry, which is likely to keep the profitability and cash flows volatile. * Significant client concentration risks: The company faces significant client concentration risks, with Tata Motors Ltd. and its subsidiaries accounting for 35% of its turnover in H1 FY2021. Such high client concentration also limits JMT's bargaining power. Liquidity position: Poor The liquidity position of the company remains poor, as reflected by continuing irregularity in debt servicing. The company's sizeable debt repayment obligation (around INR21 crore for FY2021) vis-a-vis its free cash flows before debt repayment (which stood at around INR8 crore in FY2020) are likely to keep its liquidity under pressure in the near to medium term. JMT's fund based working capital limit remained continuously over-utilised in the recent months. Rating sensitivities Positive factors - Regularisation of debt servicing for a continuous period of three months following improvement in the liquidity profile of the company may lead to a rating upgrade. Negative factors - Not applicable. JMT Auto Limited (JMT) is a 66.77% subsidiary of Amtek Auto Ltd. (AAL) and manufactures machined components for automobile, tractor and farm equipment, oil and natural gas and construction equipment sectors. The company was incorporated in 1987 as Jamshedpur Metal Treat Private Ltd. and operated as a dedicated ancillary to the erstwhile Tata Engineering and Locomotive Company Ltd. (Telco), supplying various machined components. The company's shares were listed in 1994 and are traded on both the Bombay Stock Exchange and the National Stock Exchange. Over the years, JMT has enhanced its manufacturing capabilities by backward integrating into forging and casting components. JMT has eight production units, located in Jamshedpur, Dharwad and Lucknow. JOT IMPEX: ICRA Keeps D Debt Rating in Not Cooperating Category --------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Jot Impex Pvt Ltd in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 20.00 [ICRA]D ISSUER NOT COOPERATING; Fund Based/ Rating continues to remain Cash Credit under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Jot Impex Private Limited (JIPL) was incorporated in 1998 by first generation entrepreneur Mr. Gurinder Sahni to carry out distribution & marketing of various international brands like Baume & Mercier, Gucci, S.T. Dupont, Harry Winston and Jaeger LeCoulture in India. The company carries out marketing of the above mentioned international brands in India. The company is a distributor as well as retailer for the mentioned brands. JIPL is exclusive dealer for the above stated brands in India. The product portfolio of the company includes watches, men accessories, writing instruments, belts, wallets, travel bags etc. L.A. HOTELS: ICRA Keeps B+ Debt Rating in Not Cooperating --------------------------------------------------------- ICRA has retained the ratings for the bank facilities of L.A. Hotels & Retreats Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 15.00 [ICRA]B+(Stable) ISSUER NOT Fund Based COOPERATING; Rating Term Loan continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 1996, LHRPL is a private limited company, and is a part of the LAHAG group of companies. It operates various bars and restaurants in Bareilly and has an under-construction hotel in Mangolpuri Industrial Area, Delhi which is expected to start operations in December 2016. The project cost estimated at INR91 crores is being funded by term loan of INR15 crore and balance through promoters' funds. LOHIYA DEVELOPERS: ICRA Keeps B Debt Ratings in Not Cooperating --------------------------------------------------------------- ICRA said the ratings for the INR5.50 crore bank facilities Lohiya Developers continue to remain under 'Issuer Not Cooperating' category'. The ratings are denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 5.00 [ICRA]B (Stable) ISSUER NOT Cash Credit COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Long-Term 0.50 [ICRA]B (Stable) ISSUER NOT Fund based/ COOPERATING; Rating continues Bank Guarantee to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Lohiya Developers was incorporated in 2008 by Mr. Munendra Singh Lohiya. The company is engaged in the field of civil construction in government, public and private sector. The company has its head office in Meerut (Uttar Pradesh). Over the past few years the company has been executing work for PWD and other state government departments in the state of UP, mostly in the city of Meerut. In FY2016, Mr. Manuj Kumar, son of Mr. Munendra Lohiya became partner of the firm with 40% stake. M.D. AGRO: ICRA Keeps B+ Debt Rating in Not Cooperating ------------------------------------------------------- ICRA has retained the ratings for the bank facilities of M/S. M.D. Agro Foods in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term–Fund 30.00 [ICRA]B+ (Stable) ISSUER NOT Base COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. MDAF was established in Nissing, Karnal (Haryana) in 2009 and undertakes milling and processing of basmati rice. MDAF commenced commercial operations in January 2010 and is owned and managed by Mr. Ajay Kumar and Mr. Praveen Kumar. MELANGE DEVELOPERS: ICRA Keeps B+ Debt Rating in Not Cooperating ---------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Melange Developers in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 10.00 [ICRA]B+ (Stable) ISSUER NOT Fund Based TL COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Melange Developers is a real estate residential projects development firm. The firm's residential project "Pristine Pacific (Phase-II)" is situated in Ambegaon, Pune. The promoters of Melange Developers are also the promoters of Pristine Group and Ceratec Group which are present in real estate business in Pune, Maharashtra. MY CAR: ICRA Keeps B Debt Rating in Not Cooperating Category ------------------------------------------------------------ ICRA has retained the ratings for the bank facilities of My Car Nexa Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based 22.48 [ICRA]B (Stable) ISSUER NOT Working Capital COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 2015, MCNPL is an authorized dealer in Kanpur, Uttar Pradesh for passenger cars manufactured by Maruti Suzuki India Limited (MSIL) under the brand NEXA. The showroom became operational in January 2016 and at present, the cars sold through NEXA are- premium cross-over, S-Cross, premium hatchback, Baleno and Ciaz. NAV BHARAT: ICRA Keeps B Debt Rating in Not Cooperating ------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Nav Bharat Rice & General Mills in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term-Fund 6.00 [ICRA]B(Stable) ISSUER NOT Based/CC COOPERATING; Rating continues to remain under 'Issuer Not cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. NRGM is a partnership firm, was set up in 1987 by Mr. Subhash Chand and Mr Rajinder Kumar. NRGM is engaged in trading and milling of basmati rice. It has a plant at Cheeka (Haryana) having milling capacity of 4 tonnes per hour and sortex capacity of 3 tonnes per hour. The firm has a fully automated plant. The by-products of basmati rice viz husk, rice bran and 'phak' are sold in the domestic market. NIKHIL UDYOG: ICRA Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Nikhil Udyog in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA] D/[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term 7.27 [ICRA]D ISSUER NOT COOPERATING; Fund based-CC Rating continues to remain under 'Issuer Not Cooperating' Category Long term – 6.23 [ICRA]D ISSUER NOT COOPERATING; Unallocated Rating continues to remain under 'Issuer Not Cooperating' Category Short Term 10.00 [ICRA]D ISSUER NOT COOPERATING; Unallocated Rating continues to remain under 'Issuer Not Cooperating' Category Short Term- 1.00 [ICRA]D ISSUER NOT COOPERATING; Non Fund based Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Nikhil Udyog is a proprietorship firm established in 1985. It is a part of the Mr. Anil Aggarwal group within the larger Action Group, that has been in the footwear business for more than three decades. Nikhil Udyog has its manufacturing facilities located in Delhi, Baddi (Himachal Pradesh), Haridwar (Uttarakhand) and is setting up another unit at Bahadurgarh (Haryana). The firm manufactures and sells sport shoes under the brand name Synergy. PCP INTERNATIONAL: Ind-Ra Lowers Long-Term Issuer Rating to 'D' --------------------------------------------------------------- India Ratings and Research (Ind-Ra) has downgraded PCP International Limited's (PCP) Long-Term Issuer Rating to 'IND D' from 'IND BB'. The Outlook was Stable. The instrument-wise rating actions are: -- INR150 mil. Fund-based limits (long-term/short term) downgraded with IND D rating; -- INR370 mil. Non-fund-based limits (long-term/short term) downgraded with IND D rating; and -- INR42.28 mil. Term loans (long-term) due on August 2023 assigned with IND D rating. KEY RATING DRIVERS The downgrade reflects PCP's delays in debt servicing for December 2020 and January 2021, due to its stretched liquidity position, resulting from delayed receivables. COMPANY PROFILE PCP was incorporated in 1969 as Punjab Chemi-Plants (P) Ltd. The company mainly erects, fabricates and commissions boilers turbines for power plants under a boiler, turbine, and generator package. PERMALI WALLACE: ICRA Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- ICRA said the ratings for the INR66.48 crore bank facilities Permali Wallace Private Limited continue to remain under 'Issuer Not Cooperating' category'. The ratings are denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based– 12.00 [ICRA]D ISSUER NOT COOPERATING; Cash Credit Rating continues to remain under 'Issuer Not Cooperating' Category Fund Based– 41.23 [ICRA]D ISSUER NOT COOPERATING; Term Loan Rating continues to remain under 'Issuer Not Cooperating' Category Non-Fund- 10.00 [ICRA]D ISSUER NOT COOPERATING; based limit/ Rating continues to remain under Letter of Credit 'Issuer Not Cooperating' Category Non-Fund- 3.25 [ICRA]D ISSUER NOT COOPERATING; based/Bank Rating continues to remain under Guarantee 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Permali Wallace Private Limited (PWPL) was established in 1961 in technical and financial collaboration with Permali Limited, Gloucester, U.K. and Chase Lowe & Co., Manchester, U.K. The company started as a manufacturer of wood based densified impregnated laminates for industrial and engineering applications and expanded its products range to include veneer based components, glass reinforced composites, sheet moulding compounds (SMC), dough moulding compounds (DMC), moulded components, epoxy resin castings, etc. PROTHOM INDUSTRIES: ICRA Keeps D Debt Rating in Not Cooperating --------------------------------------------------------------- ICRA has retained the ratings for the NCD of Prothom Industries India Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 15.00 [ICRA]D ISSUER NOT COOPERATING; Bonds/NCD/LTD Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Prothom Industries (India) Private Limited (PIPL) is a contract manufacturer of toys for the global toy industry. Its plant is situated at Dighi (Pune), and was commissioned in October 2014. The company primarily engages in assembling of toys at its plant, while activities such as moulding and painting are outsourced to vendors certified by the customers. PURANMAL PHOOLA: ICRA Keeps B+ Debt Rating in Not Cooperating ------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Puranmal Phoola Devi Memorial Trust in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Fund 10.00 [ICRA]B+ (Stable) ISSUER NOT Based-Term Loan COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. PPDMT, a charitable trust formed in 1980, is managed by Dr. S.S. Agarwal. The trust owns and operates "Swasthya Kalyan group of Institutions" in Rajasthan and offers courses in Homoeopathy (BHMS), MD in Homeopathy, Nursing (B.Sc. Nursing, G.N.M, Post Basic B.Sc. Nursing), Physiotherapy (BPT), Polytechnic Diploma, Engineering (B. Tech.) and Paramedical courses. In addition, the trust also operates blood banks in Jaipur (Rajasthan). RAMA PAPER: ICRA Keeps D Debt Ratings in Not Cooperating -------------------------------------------------------- ICRA has retained the long-term ratings for the bank facilities of Rama Paper Mills Limited (RPML) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term-Fund 18.00 [ICRA] D ISSUER NOT COOPERATING; Based-CC Limit Rating continues to remain under 'Issuer Not Cooperating' Category Long term-Fund 53.81 [ICRA] D ISSUER NOT COOPERATING; Based–Term Loan Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Rama Paper Mills Limited (RPML), which is in the business of manufacturing and selling of paper and board related products was established in December 1985 at Kiratpur, (District Bijnor, Uttar Pradesh). The company has been promoted by Mr. Pramod Agarwal and his brother Mr. Arun Goel, who are professionally qualified. While RPML started off with an initial installed capacity of 61000 Metric Ton (MT). With four production lines, RPML has a presence in product segments such as Newsprint, cream woven paper, duplex board and poster paper. RAMESHWAR INDUSTRIES: ICRA Keeps D Ratings in Not Cooperating ------------------------------------------------------------- ICRA has continued the ratings for the INR8.75 crore bank facilities of Rameshwar Industries to the 'ISSUER NOT COOPERATING' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based– 7.00 [ICRA]D ISSUER NOT COOPERATING; Cash Credit Rating continues to remain under 'Issuer Not Cooperating' Category Fund Based– 0.67 [ICRA]D ISSUER NOT COOPERATING; Term Loan Rating continues to remain under 'Issuer Not Cooperating' Category Unallocated 1.08 [ICRA]D ISSUER NOT COOPERATING; Limits Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Established in May 2013 as a partnership firm, Rameshwar Industries ('RI' or 'the firm') is in the business of ginning and pressing of raw cotton and cotton seed crushing. The firm commenced its commercial operations in January 2014. Its manufacturing facility is located at Tankara in Rajkot, Gujarat and is equipped with 24 ginning machines, 1 pressing machine and 5 crushing machines with processing capacity of ~17,740 Metric Tonnes Per Annum (MTPA) of cotton bales and ~13,140 MTPA of cotton seed oil. The promoters of the firm have extensive experience in the cotton industry. RIDDHI SIDDHI: ICRA Keeps B Debt Ratings in Not Cooperating ----------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Riddhi Siddhi Jewellers Pvt. Ltd. (RSJ) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term-Fund 6.50 [ICRA]B(Stable) ISSUER NOT Based/CC COOPERATING; Rating continues to remain under 'Issuer Not cooperating' category Long Term– 3.50 [ICRA]B(Stable) ISSUER NOT Unallocated COOPERATING; Rating continues to remain under 'Issuer Not cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Riddhi Siddhi Jewellers Pvt Ltd. (RSJ) was established as a private limited company in the year 2010 by Patel family. The company is mainly engaged in trading of gold jewellery. The company deals only in BIS certified gold jewellery to ensure purity of the product it sells. The company is primarily managed by Mr. Prashant Patel. RIDDHI SIDDHI: ICRA Reaffirms B+ Rating on INR15.85cr Loans ----------------------------------------------------------- ICRA has reaffirmed ratings on certain bank facilities of Riddhi Siddhi Cotfiber Private Limited (RSCPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term Fund- 13.00 [ICRA]B+(Stable); reaffirmed based–Cash Credit cum ODBD Unallocated Limits 2.85 [ICRA]B+(Stable); reaffirmed Rationale The rating reaffirmation continues to be constrained by the weak financial risk profile, characterised by low-profit margins, stretched capital structure, weak coverage indicators and stretched liquidity position. The rating also factors in the vulnerability of the company's profitability to fluctuations in raw material prices (raw cotton), considering the inherently low value-added ginning and crushing business and the stiff competition in the cotton ginning industry. Further, it is also exposed to various regulatory risks such as the minimum support price (MSP), which is set by the Government. The rating reaffirmation, however, continues to favourably factor in the extensive experience of the promoters in the cotton ginning industry and the proximity of the company's manufacturing unit to raw material sources. The Stable outlook on the [ICRA]B+ rating reflects ICRA's opinion that Riddhi Siddhi Cotfiber Private Limited (RSCPL) will continue to maintain its business positioning in the cotton ginning industry. Key rating drivers and their description Credit strengths * Extensive experience of promoters in cotton ginning industry: The promoters of RSCPL have over a decade-long experience in the cotton ginning industry, resulting in established relationship with customers. * Location-specific advantages: The company is based in Rajkot (Gujarat), an area of high cotton acreage and quality cotton crop. Hence, the company benefits in terms of lower transportation cost and easy access to quality raw material because of its proximity to raw material suppliers. Credit challenges * Weak financial risk profile: The company's operating income increased by 7% to INR82.13 crore in FY2020 from INR77.11 crore in FY2019 because of highersales volume; however, the operating profitability remained low at 2.24% in FY2020 because of low value-added operations and high industry competition. Consequently, the net profit margin also remained low at 0.15% in FY2020 due to high interest expense. The capital structure remained leveraged, with gearing at 2.62 times as on March 31, 2020. Low profitability and high debt level resulted in weak debt protection metrics, as evident from TD/OPBITDA of 8.26 times, TOL/TNW of 2.72 times and an NCA/TD of 5% as on March 31, 2020. * Profitability remains vulnerable to fluctuations in raw material prices and regulatory changes: The profit margins are exposed to fluctuations in raw cotton prices, which depend on various factors such as seasonality, climatic conditions, global demand and supply situation, and export policy. The company also remains exposed to regulatory risks with regard to the minimum support price (MSP) set by the Government. * Intense competition and fragmented industry structure: The cotton ginning and crushing industry is highly fragmented with presence of numerous small to mid-sized players. Thus, the company faces stiff competition, which limits its bargaining power and exerts pressure on its margins. Liquidity position: Stretched The overall liquidity position remains stretched with high working capital requirement, impending debt repayment and absence of cushion in the cash credit limits. Hence, timely support from promoters through equity infusion/ unsecured loans remains crucial in case of any cash flow mismatch. Rating sensitivities Positive factors - ICRA could upgrade RSCPL's rating if the company significantly scales up its operations and profitability and infuses adequate equity, leading to improvement in the capital structure and liquidity position. Negative factors - Negative pressure on RSCPL's rating could arise if a substantial decline in revenues and profitability, along with any major debt-funded capital expenditure or stretch in working capital cycle, further deteriorates the capital structure and liquidity. Incorporated in 2013, Riddhi Siddhi Cotfiber Private Limited is in the business of ginning and pressing of raw cotton for production of cotton bales and cotton seeds. It also crushes cotton seeds to produce cotton seed oil and cotton seed oil cake. The company's manufacturing facility is in Rajkot district, Gujarat, and is equipped with 48 ginning machines and 18 crushing machines. In FY2020, the company reported a net profit of INR0.12 crore on an operating income (OI) of INR82.13 crore compared to a PAT of INR0.12 crore on an OI of INR77.11 crore in FY2019. The company reported an OI of INR86.54 crore in 10MFY2021 (provisional financial statement). S R TRANZCARS: ICRA Reaffirms D Rating on INR19.35cr ST Loan ------------------------------------------------------------ ICRA has reaffirmed ratings on certain bank facilities of S R Tranzcars Private Limited (SRTPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term Fund-based– Term Loan 7.03 [ICRA]D; Reaffirmed Long-term Fund-based– Cash Credit 4.00 [ICRA]D; Reaffirmed Short-term Fund based facilities 19.35 [ICRA]D; Reaffirmed Rationale The rating reaffirmation factors in the delays in timely servicing of some of the debt obligations (principal/interest repayment) by SRTPL in the recent past. Further, ICRA also notes the weak financial profile of the company as characterised by net losses and weak coverage indicators, with interest coverage at 0.5 times in FY2020, caused by subdued profitability and sizeable debt levels of the entity. ICRA also notes the subdued demand outlook of the passenger vehicle segment in the near term and the expected decline in the operating income (OI) in FY2021, on account of the pandemic-induced lockdown. ICRA, however, notes the established position of SRTPL as an authorised dealer of Tata Motors Limited's (TML) passenger vehicles and FCA India Automobiles Private Limited (FCAPL) for Fiat, Jeep and Abarth cars in the Western region of Tamil Nadu, which has helped the company to scale up its operations in a short time. Going forward, the company's ability to service the debt obligations in a timely manner on a sustained basis, by managing its working capital requirement efficiently and improving the profitability, would be a key rating sensitivity. Key rating drivers and their description Credit strengths * Authorised dealer of TML passenger vehicles: SRTPL is an authorised dealer of TML's passenger vehicles in Tamil Nadu and operates showrooms and service centres in Coimbatore, Tirupur and Pollachi. SRTPL has established itself as one of the major TML dealers in the Coimbatore region and faces limited competition in the region, which shields the operational profile of the entity. SRTPL is also an authorised dealer of FCAPL, with showrooms and service centres for Jeep, Fiat and Abarth cars, in the Coimbatore region. Credit challenges * Delays in servicing debt obligations in the recent past: The company had delayed payment in some of the debt obligations in the recent past because of its stretched liquidity position. Further, in the near term, subdued demand outlook for the industry, due to the pandemic, may affect the company's revenue growth and profitability. The company has considerable debt servicing obligations in the near to medium term, which are likely to keep its cash flows under pressure. * Financial profile characterised by net losses and weak coverage indicators: SRTPL's financial profile remains weak with net losses incurred in the last few fiscal years. The coverage indicators remain weak, with interest coverage at 0.5 times in FY2020, although it marginally improved from 0.3 times in FY2019. Going forward, the coverage indicators are likely to be under pressure unless the profitability of the entity witnesses healthy improvement. Liquidity position: Poor The company's liquidity continues to be poor, characterised by high average utilisation of working capital facilities and modest cash balances. The average utilisations of the inventory funding facilities and the cash credit facility were high, at 75% and 100% of the sanctioned limits respectively, from January 2020 to November 2020. Rating sensitivities Positive factors - Sustained regularisation of repayment of external borrowings may lead to a rating upgrade. Negative factors - Not Applicable SRTPL was incorporated in May 2014 by Mr. S. Sakthivel and Ms. C. Ramya. SRTPL offers a wide range of sales and services of TML passenger cars in Coimbatore, Tirupur and Pollachi. SRTPL also is an authorised dealer for FCAPL selling Jeep, Fiat and Abarth cars and provides their repair services. SESA MINERALS: ICRA Keeps D Debt Ratings in Not Cooperating ----------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Sesa Minerals Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based– 35.00 [ICRA]D ISSUER NOT COOPERATING; Cash Credit Rating continues to remain under 'Issuer Not Cooperating' Category Fund-based– 20.00 [ICRA]D ISSUER NOT COOPERATING; FDBP/FUDBP Rating continues to remain under 'Issuer Not Cooperating' Category Fund-based– (15.80) [ICRA]D ISSUER NOT COOPERATING; Packing credit# Rating continues to remain under 'Issuer Not Cooperating' Category Non-Fund (20.00) [ICRA]D ISSUER NOT COOPERATING; based–Letter Rating continues to remain under 'Issuer Not Cooperating' Category of Credit #sub-limit of FDBP/FUDBP ^sub-limit of cash credit ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 2007, SML trades in steel products such as iron ore pellets, steel scrap, sponge iron, steel billets, wire rods, angle, channel, round and TMT bars. The company mainly operates in West Bengal, however, it has commenced exports to Nepal, Bangladesh etc. in FY2019. SH INFRATECH: ICRA Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------- ICRA has retained the long-term ratings for the bank facilities of SH Infratech Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Non-Fund Based- 20.00 [ICRA] D ISSUER NOT COOPERATING; Bank Guarantee Rating continues to remain under 'Issuer Not Cooperating' Category Long Term Fund 1.00 [ICRA] D ISSUER NOT COOPERATING; Based-Cash Rating continues to remain under Credit Limit 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. SHIL was incorporated in December 2009 and is engaged in civil construction projects comprising mainly of road construction activities in Uttar Pradesh. The clients of the firm are mostly government organizations such as Public Works Departments (PWD). The directors of the company have been engaged in the civil construction business for past twenty years through their proprietorship concern Shakeel haider Engineers and Contractors (SHEC), rated [ICRA]D. However, all the projects in SHEC are now complete and the new contracts are bid in the company SHIL. SKYLINE MILLARS: ICRA Withdraws D Ratings on INR6.00cr Loans ------------------------------------------------------------ ICRA has withdrawn the ratings assigned to the bank facilities of Skyline Millars Limited at the request of the company and based on the No Due Certificate received from its banker. However, ICRA does not have information to suggest that the credit risk has changed since the time the rating was last reviewed. The Key Rating Drivers, Liquidity Position, Rating Sensitivities, Key financial indicators have not been captured as the rated instruments are being withdrawn. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund Based- 2.50 [ICRA]D; ISSUER NOT COOPERATING; Cash Credit Withdrawn Fund Based- 3.50 [ICRA]D; ISSUER NOT COOPERATING; Term Loan Withdrawn SML was incorporated on 28th November 1919 by the Walchand Group in the name of ACME Manufacturing Company Limited. Mr. Ashok Patel acquired the shares from Walchand Group and took over the management of the company in 1972. Its name was changed to Millars India Limited on Jan. 4, 2002 and later on changed to Skyline Millars Limited on Oct. 23, 2007, after sale of 43% stake to the Skyline Group. The company is currently operating out of three business segments viz: construction equipment realty and pipes. The manufacturing facility of the construction equipment unit is in Umreth Gujarat wherein the company manufactures transit mixers, high speed pan mixers and batching and mixing plants. However, the company is currently engaged in servicing of Old cranes and supplying spare parts for the Construction Equipments supplied by it earlier. SML is currently developing a residential unit in Ghatkopar, Mumbai and a residential complex in Karjat. The company is also into the manufacturing of concrete pipes and manholes and has its manufacturing unit at Wada, Maharashtra which is operational from December 2013. STAR SCHOOL: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating ----------------------------------------------------------------- India Ratings and Research (Ind-Ra) has maintained Star School Samiti's bank loan ratings in the non-cooperating category. The issuer did not participate in the rating exercise despite continuous requests and follow-ups by the agency. Therefore, investors and other users are advised to take appropriate caution while using these ratings. The rating will continue to appear as 'IND D (ISSUER NOT COOPERATING)' in the agency's website. The instrument-wise rating actions are: -- INR89.5 mil. Term loan (long-term) due on December 2021 maintained in non-cooperating category with IND D (ISSUER NOT COOPERATING) rating; and -- INR20 mil. Fund-based working capital facility (long-term) maintained in non-cooperating category with IND D (ISSUER NOT COOPERATING) rating. Note: ISSUER NOT COOPERATING: The ratings were last reviewed on January 19, 2016. Ind-Ra is unable to provide an update, as the agency does not have adequate information to review the ratings. COMPANY PROFILE Star School Samiti was established in 1980 to provide technical and allied education services. It manages two institutes (Shiv Kumar Singh Institute of Technology and Science and Shiv Kumar Singh College of Professional Studies) and two schools (SKS International School and Star Public School) in the Indore. SUBADRA TEXTILE: ICRA Keeps B Debt Rating in Not Cooperating ------------------------------------------------------------ ICRA said the ratings for the INR9.00-crore bank facilities Subadra Textile Private Limited continue to remain under 'Issuer Not Cooperating' category'. The ratings are denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term-Fund 6.00 [ICRA]B(Stable) ISSUER NOT Based/CC COOPERATING; Rating continues to remain under 'Issuer Not cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 1972, Subadra Textile Private Limited (erstwhile Bhadra Spinning Mills Private Limited (1963-1971)) has been functioning under the directorship of Mr. V.S. Rajagopal since 1975. It is engaged in the business of manufacturing cotton yarn of counts ranging from 27s–100s for domestic as well as international markets. The company operates from Bangalore, with its manufacturing unit spread over 4.7 acres on Magadi Main Road, which has an installed capacity of 18,720 spindles with combed and auto-coned capacity. It also outsources manufacturing of polyester yarn on job-work basis to its subsidiary, Subadra Spinning Mills Private Limited, which was taken over by the company in December 2014. SUSEE TRUCKS: ICRA Reaffirms B Rating on INR6.0cr Cash Loan ----------------------------------------------------------- ICRA has reaffirmed ratings on certain bank facilities of Susee Trucks Private Limited's (STPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Fund-based– 6.0 [ICRA]B (Stable); reaffirmed Cash Credit and removed from Issuer not cooperating category Rationale The rating reaffirmation takes into account STPL modest scale of operations and the 6% decline in truck sales volume in FY2020. Further, truck sales revenue declined YoY by 28% in 9M FY2021 due to loss of sale during lockdown (because of the pandemic). The rating is constrained by the company's financial profile, characterised by a high gearing of 2.3 times as on March 31, 2020 and low debt coverage indicators. The ratings are also constrained by the cyclicality inherent in the commercial vehicle (CV) industry, coupled with the intense competition from dealers of other OEMs. The rating, however, favourably factors in the extensive experience of STPL's promoters in the auto dealership business and the established brand presence of Susee in its areas of operation in Tamil Nadu. The rating positively factors in the benefit derived from being the sole authorised dealer of Tata Motors Limited's (TML) small commercial vehicles (SCV) across three districts in Tamil Nadu. The Stable outlook reflects ICRA's expectation that STPL will continue to benefit from the extensive experience of its promoters in the automobile dealership space and the continued benefit derived from TML's strong position in the SCV segment. Key rating drivers and their description Credit strengths * Extensive experience of promoters in automobile industry: The promoters have over a decade of experience in the automobile space. STPL is a part of the Susee Group, which has an established brand name in the automobile dealership segment in Tamil Nadu since 1969. * Authorised dealer of TML in CV segment: STPL is the authorised dealer of TML's SCVs across six districts in Tamil Nadu, namely, Vellore, Kanchipuram, Thiruvannamalai, Tirupattur, Vandavasi and Sriperumbudur. The company was made the authorised dealer of the SCV segment from 2006. In 2020, it was also made the authorised dealer for the light commercial vehicles (LCV). It has three 3S (sales, spares, and service) showrooms and three 1S (sales) showrooms. Credit challenges * Modest scale of operations with high geographical concentration: The company has a modest scale of operations with revenue of INR45.1 crore in FY2020. This, coupled with a modest net worth, restricts its operational and financial flexibility to some extent. STPL has three 3S showrooms and three 1S sales offices. However, all its showrooms and sales/service centres are in Tamil Nadu, which exposes the company to geographical concentration risk. * Leveraged capital structure and weak debt coverage indicators: The company's gearing was high at 2.3 times on March 31, 2020, although it improved from 6.0 times on March 31, 2019. The coverage indicators remain weak, as depicted by interest coverage, DSCR and TD/OPBITDA of 1.2 times, 1.6 times and 4.6 times in FY2020. * Exposure to inherent cyclicality in CV segment: The slowdown witnessed across the automobile sector during FY2020 and the loss of sales during H1 FY2021 (due to lockdown) eroded the sales volume of STPL during the period; however, sales have improved from September 2020 onwards, supported by revival in demand. The company faces stiff competition from dealers of other OEMs and also from other dealers of TML in LCV segment. Liquidity position: Stretched STPL has INR1.0 crore of external term-loan outstanding as on December 31, 2020, of which INR0.3 crore is to be repaid by FY2022. The company's liquidity position is stretched as indicated by high average working capital utilisation of 68% of sanctioned limits and 80% of DP during the 12-month period that ended in October 2020, owing to high inventory days and low creditor days. STPL gets inventory funding extended by TML and banking and nonbanking companies, which are generally repaid within 30 days. It had a low unencumbered cash balance of INR0.58 crore as on March 31, 2020. Rating sensitivities Positive factors - The rating may be upgraded if there is an improvement in the company's scale of operations and profitability. Specific credit metrics that could lead to an upward revision in rating is interest coverage of above 1.5 times on a sustained basis. Negative factors - Pressure on the company's rating could arise if there is a decline in revenues and profitability or deterioration in liquidity position. Incorporated in 2004, Susee Trucks Private Limited (STPL) is the sole authorised dealer for TML's SCVs across six districts in Tamil Nadu. The company was an authorised dealer for TML's commercial vehicles (CVs) including light commercial vehicles (LCV), medium and heavy commercial vehicles (M&HCV) and SCVs till 2006 along with another dealer, post which STPL was made the sole authorised dealer for SCVs only. In 2020, it was again made the authorised dealer for LCVs. The company has three 3S showrooms in Vellore, Kanchipuram, Thiruvannamalai, and three 1S showrooms in Tirupathur, Vandavasi and Sriperumpudur. VICHITRA PRESTRESSED: ICRA Keeps C+ Debt Rating in Not Cooperating ------------------------------------------------------------------ ICRA has retained the ratings for the bank facilities of Vichitra Prestressed Concrete Udyog (P) Ltd. in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]C+/A4 ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 5.00 [ICRA]C+ ISSUER NOT Cash Credit COOPERATING; Rating continues to remain under 'Issuer Not cooperating' category Bank Guarantee 15.00 [ICRA]A4 ISSUER NOT COOPERATING; Rating continues To remain under 'Issuer Not Cooperating' category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Based in Delhi, Vichitra Prestressed Concrete Udyog (P) Ltd. (VPC) was incorporated on 27th March 1989. The company is closely held by promoters. The company undertakes contracts for manufacture and lying and water and sewerage pipes for various government agencies like Haryana Urban Development Authority (HUDA), U.P. Jal Nigam, Rajasthan Urban Sector Development Investment Program (RUSDIP), etc. VPC undertakes manufacturing of different types of pipes like Prestressed Concrete Pipes, RCC Pipes and MS Pipes. The main manufacturing facility of the firm is located in Gurgaon,Haryana. Apart from this, the company also has two other manufacturing units -located at Nashik (Maharashtra) and Unnav (U.P.). VIKAS COTEX: ICRA Keeps B Debt Ratings in Not Cooperating --------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Vikas Cotex (VC) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 12.35 [ICRA]B(Stable) ISSUER NOT Fund Based COOPERATING; Rating Cash credit continues to remain under 'Issuer Not Cooperating' Category Long Term- 1.75 [ICRA]B(Stable) ISSUER NOT Fund Based COOPERATING; Rating Term Loan continues to remain under 'Issuer Not Cooperating' Category Long Term– 5.90 [ICRA]B(Stable) ISSUER NOT Unallocated COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in the year August 2013, Vikas Cotex (VC) is engaged in the business of cotton ginning. The firm commenced commercial production from February 2014 from its manufacturing facility located at Wankaner, Dist. Rajkot in Gujarat. The unit is equipped with 48 ginning machines, 1 pressing machine, having processing capacity of approx. 31000 MTPA of raw cotton. VC is a partnership firm with the promoters having an extensive experience in the cotton industry. VISHWASRAO NAIK: ICRA Keeps B+ Debt Ratings in Not Cooperating -------------------------------------------------------------- ICRA has retained the ratings for the bank facilities of Vishwasrao Naik Sahakari Sakhar Karkhana Ltd in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 12.35 [ICRA]B+(Stable) ISSUER NOT Fund Based/CC COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' Category Long Term- 2.50 [ICRA]B+(Stable) ISSUER NOT Unallocated COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance, but despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/ limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Based in Sangli, Maharashtra, Vishwasrao Naik Sahakari Sakhar Karkhana Ltd, was incorporated in 1972 and is engaged in sugar crushing operations with a capacity of 2500 ton of cane per day (TCD). The sugar operations are integrated with bagasse-based power co-generation 15 MW plant (established in 2012) and distillery operations of installed capacity of 30 KLPD (established in 2001). The company also operates a molasses waste based microbial digestion unit in the factory premises which generates carbon dioxide which is sold to industrial buyers. ========= J A P A N ========= ANA HOLDINGS: To Cut Capital of Travel Unit to Lessen Tax Burden ---------------------------------------------------------------- Nikkei Asia reports that the coronavirus-hit travel unit of Japanese airline group ANA Holdings will cut its capital JPY900 million ($8.4 million) to JPY100 million in yet another move by a company in the travel sector to downsize for tax purposes. Nikkei Asia relates that the decision comes as the industry continues to struggle due to the coronavirus pandemic. The capital reduction of ANA Sales will lessen its tax burden, as it will then be classified as a small or midsize company under Japanese tax law. Shareholders approved the action on Jan. 12, with the reduction to take effect on March 31, Nikkei Asia notes. According to the report, ANA Holdings has also decided to transfer ANA Sales in April to ANA X, which oversees mileage management, as part of the group's structural reform. The group hopes to strengthen its travel business by utilizing customer data obtained through airline tickets and mileage programs in the hope of spurring online sales of travel services. Other Japanese travel companies, including JTB, have also decided to reduce their capital, the report says. Nikkei Asia relates that JTB will cut its capital to JPY100 million from around JPY2.3 billion-- a drastic move that transforms the Japanese industry leader into a small business. Shareholders approved the reduction on Feb. 12, which like ANA's, takes effect on March 31. The freed-up capital will help absorb a large net loss forecast for the current fiscal year, the report states. ANA Sales, an unlisted seller of tour packages, becomes the latest Japanese company to shrink in response to the collapse in travel demand and restaurant dining, Nikkei Asia notes. Nikkei Asia says several coronavirus-hit companies have pursued a similar strategy to reduce taxes. Restaurant operators Kappa Create and Chimney announced capital reductions to 100 million yen while budget carrier Skymark Airlines plans to reduce capital from its current JPY9 billion. About ANA Holdings Headquartered in Tokyo, Japan, Ana Holdings Incorporated provides a variety of air transportation-related services. As reported in the Troubled Company Reporter-Asia Pacific on Feb. 11, 2021, Egan-Jones Ratings Company, on Feb. 5, 2021, downgraded the foreign currency and local currency senior unsecured ratings on debt issued by Ana Holdings Inc. to B- from B+. EJR also downgraded the rating on commercial paper issued by the Company to B from A3. =============== M A L A Y S I A =============== AMMB HOLDINGS: Stock Halted on Surprise $699MM 1MDB Settlement -------------------------------------------------------------- Tien Hin Chan at Bloomberg News reports that AMMB Holdings Bhd. asked for its shares to be suspended for two days after the Malaysian bank said it will suffer losses following a MYR2.83 billion (US$699 million) settlement to the government over the 1MDB scandal. Bloomberg relates that the lender that held former Prime Minister Najib Razak's bank accounts, said the settlement will hurt its earnings for the year ending March 2021. It will set aside provisions in the final quarter of the fiscal year, which will translate to a proforma loss of 93.89 sen a share, and will skip the final dividend, according to a filing cited by Bloomberg. The payment is a "sucker punch" and a "huge negative surprise especially when we thought AMMB has laid the past behind them when they settled the 54 million ringgit fine by Bank Negara Malaysia back in 2015," Chan Jit Hoong, an analyst at Hong Leong Investment Bank Bhd., said in a report March 1, Bloomberg relays. Bloomberg says the unexpected move sparked analyst downgrades on AMMB. Chan cut the stock to hold from buy and slashed his target price to MYR2.95 from MYR4.05. Maybank Kim Eng analyst Desmond Chng also cut his rating to hold from buy. CGS-CIMB Research lowered the stock, saying the company would be clouded by the negative sentiment in the near term. The shares slid more than 2% on Feb. 26 and are down 13% so far this year, Bloomberg relays. According to Bloomberg, the 1MDB scandal set off investigations in Asia, the U.S. and Europe, and led to the ouster of Najib in 2018. Authorities spent years tracking funds that allegedly flowed from 1MDB into ornaments of wealth. Goldman Sachs Group Inc. last year admitted its role in the biggest foreign bribery case in U.S. enforcement history, reaching multiple international settlements in the billions of dollars to end probes into its fund-raising for 1MDB. The payment is for "all outstanding claims and actions in relation to the AmBank Group's involvement in the 1MDB matter," Malaysia's finance ministry said in a statement on Feb. 26, referring to a unit of AMMB, Bloomberg relates. The statement didn't specify AMMB's wrongdoing in the 1MDB scandal that it was penalized for. There are adequate capital buffers to absorb this settlement without an immediate need to raise additional equity capital, AMMB said. While it is highly liquid, it will seek to raise tier 2 debt capital to fund working capital. "While the recent settlement will resolve AmBank Group's financial liabilities to the Malaysian government because of its previous involvement in 1MDB-related transactions, the large settlement amount of MYR2.8 billion will materially erode its capital," Bloomberg quotes Tengfu Li, an analyst at Moody's Investors Service, as saying. "According to the group, its proforma common equity tier 1 ratio will fall significantly to 11% from 13.5% previously." AMMB Holdings Berhad is an investment holding company. The Company, through its subsidiaries, provides merchant and commercial banking, retail financing, stock and futures broking, and investment advisory. AMMB also underwrites general insurance, provides asset and unit trust management, and nominees services. ================= S I N G A P O R E ================= BELSHIPS SUPRAMAX: Members' Final Meeting Set for March 26 ---------------------------------------------------------- Members of Belships Supramax Singapore Pte Ltd will hold their final meeting on March 26, 2021, at 10:30 a.m., at 600 North Bridge Road, #05-01 Parkview Square, in Singapore. At the meeting, Victor Goh -- victor.goh@bakertilly.sg -- and Khor Boon Hong -- boonhong@bakertilly.sg -- of Baker Tilly TFW LLP, the company's liquidators, will give a report on the company's wind-up proceedings and property disposal. MP & SILVA: Creditors' Meeting Set for March 4 ---------------------------------------------- MP & Silva Pte Ltd, which is in compulsory liquidation, will hold a meeting for its creditors on March 4, 2021, at 12:00 p.m., by way of a video conference. Agenda of the meeting includes: a. to receive an update on the affairs of the Company and status of winding up; b. to approve the remuneration and disbursements of the Liquidators; c. to approve the remuneration and disbursements of the solicitors for the Liquidators; and c. discuss other business. The company's liquidator is: Chan Kheng Tek PricewaterhouseCoopers Advisory Services Pte Ltd 7 Straits View, Marina One East Tower, Level 12 Singapore 018936 XIHE HOLDINGS: Third of About 150 Ships Sold to Repay Debt ---------------------------------------------------------- Reuters reports that about one third of the roughly 150 ships owned by companies controlled by Singapore tycoon Lim Oon Kuin and his family have been sold as part of efforts to repay billions of dollars of debt owed to creditors, two sources told Reuters. Accounting firm Grant Thornton, court-appointed supervisor of Xihe Holdings, put up several vessels for sale through shipbrokers in September last year, Reuters recalls. Xihe Holdings is owned by the Lim family and held the bulk of their fleet. Reuters relates that the rest of the ships are majority-owned by Xihe Capital - currently under liquidation according to Singapore business registry records - and 10 single purpose companies. The ships owned by the Xihe group have been sold at prices of $2 million to $3 million each for coastal barges and around $30 million each for very large crude carriers (VLCCs), said the two sources. Buyers include Greek ship owners, one of the sources said. Further details, including the total sum of money raised so far, were not available, Reuters says. It is expected the rest of the ships will be sold by late this year, although some of them are tied up in various lawsuits as counterparties try to lay claim to the cargoes on the ships, the source, as cited by Reuters, said. The sources declined to be named as they were not authorised to speak with media. A Lim family representative, their lawyer and Grant Thornton did not immediately reply to a Reuters request for comment on the sale of the vessels. Lim Oon Kuin, also known as O.K. Lim, with his son Evan Lim Chee Meng and daughter Lim Huey Ching, had owned just over 150 ships before their flagship trading company Hin Leong Trading, fleet manager Ocean Tankers (Pte) Ltd and Xihe Holdings were placed under judicial management last year, according to Reuters. The bulk of the Lims' fleet remains idled in the South China Sea, off the east of peninsular Malaysia, Reuters relates citing shipping data on Refinitiv Eikon. Other assets being sold include the family's stake in Universal Terminal and a lubricant plant in Singapore, adds Reuters. Xihe Holdings is a Singapore-based tanker shipowner. The exempt private company owned by Hin Leong founder OK Lim and his son, has been placed under interim judical managers (IJMs), after more creditors threw their support behind OCBC Bank's application to take control over Xihe's restructuring out of the Lim family's hands, according to The Business Times. A Singapore High Court appointed Grant Thornton Singapore as IJMs for Xihe Holdings during a chambers hearing on Aug. 13, 2020. ===================== S O U T H K O R E A ===================== SSANGYONG MOTOR: Resumes Plant Operation After Suspension --------------------------------------------------------- Yonhap News Agency reports that financially troubled carmaker SsangYong Motor Co. said March 2 it has resumed the operation of its local plant after a weekslong suspension due to a glitch in its parts supply. According to Yonhap, SsangYong Motor halted its plant in Pyeongtaek, 70 kilometers south of Seoul, for two days in December and 16 days last month as its subcontractors refused to supply parts due to outstanding payments. Yonhap says the SUV-focused carmaker filed for court receivership on Dec. 21 after it failed to obtain approval for the rollover of existing loans from its creditors. The company received a two-month suspension of its obligation to pay its debts until Feb. 28 as it aims to find a new investor. "The debt payment grace period has been extended as the talks with potential investors are under way," a SsangYong spokesman said over the phone, Yonhap relays. SsangYong's Indian parent firm Mahindra & Mahindra Ltd. is in the process of selling its controlling stake in the Korean unit but reportedly faced difficulty in narrowing terms of the deal with a potential buyer, the report notes. About Ssangyong Motor Headquartered in Kyeonggi-Do, South Korea, Ssangyong Motor Co. Ltd. engages in the manufacture and sale of automobiles. The Company mainly manufactures and sells recreational vehicles (RVs), sports utility vehicles (SUVs), multi-purpose vehicles (CDVs) and passenger cars under the brand name of rexton sports, korando, korando sports, korando turismo, tivoli, tivoli air and others. The Company also provides automobile parts. The Company distributes its products within domestic market and to overseas markets. SsangYong Motor Co. on Dec. 21, 2020, filed for court receivership as it struggles with snowballing debts amid the COVID-19 pandemic, according to Yonhap News Agency. The decision comes after SsangYong Motor, the South Korean unit of Indian carmaker Mahindra & Mahindra Ltd., failed to pay KRW60 billion (US$54.8 million) worth of debts to its three creditor banks. The company received a three-month suspension of its obligation to pay its debts, as it aims to find a new investor during the period before the court-led restructuring begins on Feb. 28, Yonhap said. =============== T H A I L A N D =============== THAI AIRWAYS: Seeks $1.65BB Infusion Under Debt Restructuring Plan ------------------------------------------------------------------ Anuchit Nguyen and Suttinee Yuvejwattana at Bloomberg News report that Thai Airways International Pcl is seeking a capital infusion of as much as THB50 billion ($1.65 billion) under a debt restructuring plan set to be submitted to a bankruptcy court to keep the flag carrier operational, according to people familiar with the matter. Bloomberg relates that the fund may be raised through equity, loans or convertible securities, said the people, who asked to not be identified before the debt plan is submitted to the court in Bangkok on March 2. The capital infusion plan will need to be backed by the airline's hundreds of credit-holders and approved by the court, they said. Under the debt rehabilitation plan discussed by the court-appointed planners, banks and bondholders will have to take minimum haircut on their exposure, the people said, Bloomberg relays. According to Bloomberg, Thai Airways, which posted a record loss of $4.7 billion last year, is seeking to reduce its liabilities from THB336.7 billion and return to profit once the Covid-19 pandemic ends. The airline has sold stakes in some units, cut staff and opened its flight simulators to the public to generate additional revenue and cushion the blow from an unprecedented hit to the global tourism and travel industry. The bankruptcy court had in September approved Thai Airways' request to appoint EY Corporate Advisory Services Ltd. and the carrier's board members as debt revamp planners, Bloomberg recalls. Bloomberg says Thailand's Ministry of Finance, the largest shareholder of Thai Airways, will look at the restructuring plan in detail once it's submitted to the court to see if it's in line with government rules and can support it, the State Enterprise Policy Office said. The office will also consult the Public Debt Management Office before advising the government on its stance, it said. The airline's losses last year included one-time expenses of almost THB92 billion from an employee separation plan and impairment losses on aircraft, right-of-use assets and aircraft spare parts, it said last week, Bloomberg discloses. The widening losses sent Thai Airways equity to a negative THB127 billion at the end of last year, it said. Thai Airways shares, up 29% this year, were suspended last week as the Stock Exchange of Thailand considered whether the company is subject to delisting because of its equity turning negative. The bourse will decide on delisting by March 7, Bloomberg notes. About Thai Airways Thai Airways International PCL (BAK:THAI) -- http://www.thaiairways.co.th/-- is the national carrier of Thailand. The company provides air transportation, freight and mail services on domestic and international routes including Asia, Europe, North America, Africa and South West Pacific. The Company is a state enterprise which is controlled by the government and partly owned by the public. As reported in Troubled Company Reporter-Asia Pacific on May 21, 2020, Thailand's cabinet approved a plan to restructure troubled Thai Airways International Pcl's finances through a bankruptcy court, the Southeast Asian country's prime minister said on May 19, 2020. The plan for a court-led restructuring of the national carrier replaces a previous proposal of a government-backed rescue package that was heavily criticised in the country. Thai Airways on May 27, 2020 said it appointed board members as rehabilitation planners in a bankruptcy court submission. On Sept. 14, 2020, Thailand's Central Bankruptcy Court approved Thai Airways debt restructuring. Thai Airways posted losses every year after 2012, except in 2016. In 2019, it reported losses of THB12.04 billion. The company's shareholders' equity turned negative at minus THB18.1 billion ($580 million) as of June. While its total liabilities ballooned to THB332.1 billion, a 36.7% increase from the end of 2019, its cash and cash equivalents fell by 35.5% to THB13.9 billion, according to the Nikkei Asian Review. ********* 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. Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman, Editors. Copyright 2021. 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. *** End of Transmission ***