/raid1/www/Hosts/bankrupt/TCRAP_Public/210402.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

          Friday, April 2, 2021, Vol. 24, No. 61

                           Headlines



A U S T R A L I A

CANBERRA CAVALRY: First Creditors' Meeting Set for April 13
GABRIEL FAMILY: Second Creditors' Meeting Set for April 13
LIBERTY FUNDING 2021-1: Moody's Assigns B2 Rating on Class F Notes
MARSC INVESTMENT: First Creditors' Meeting Set for April 13
MCLOWD PTY: Second Creditors' Meeting Set for April 13

REDZED TRUST 2017-2: Moody's Raises Class E Notes From Ba1
REDZED TRUST 2021-1: Moody's Assigns Ba3 Rating to Class F Notes
SUPERWATT AUSTRALIA: First Creditors' Meeting Set for April 14
T&L PRODUCE: First Creditors' Meeting Set for April 14
WHITE CITY: Second Creditors' Meeting Set for April 12



C H I N A

CAR INC: S&P Raises LongTerm Issuer Credit Rating to B-
CHINA HONGQIAO: Moody's Hikes CFR to Ba3, Outlook Stable
LOGAN GROUP: Fitch Assigns BB Rating on Proposed USD Senior Notes
LOGAN GROUP: Moody's Gives Ba3 Rating on New Unsecured USD Notes
SEAZEN GROUP: S&P Raises ICR to 'BB+', Outlook Stable

SUNAC CHINA: Fitch Alters Outlook on 'BB' IDR to Positive
XIANNING URBAN: Fitch Affirms First-Time 'BB+' LongTerm IDRs


I N D I A

ALIVELU RICE: ICRA Keeps D Debt Rating in Not Cooperating
AMBIKA TIMBER: CARE Lowers Rating on INR7.0cr LT Loan to B-
APPOLLO DISTILLERIES: ICRA Keeps D Debt Rating in Not Cooperating
B K RICE: CARE Lowers Rating on INR12.97cr LT Loan to B
B.K. EXPORTS: ICRA Keeps B- Debt Rating in Not Cooperating

CHANDRI PAPER: ICRA Keeps D Debt Ratings in Not Cooperating
DATT REALINFRA: CARE Lowers Rating on INR8.60cr LT Loan to B+
EUPHORIA TECHNOLOGIES: Insolvency Resolution Process Case Summary
INDIAN PULP: ICRA Reaffirms D Ratings on INR54cr Loans
JANA SMALL: ICRA Reaffirms PP-MLD B+ Rating on INR658cr NCD

JSW STEEL: Moody's Alters Outlook on Ba2 CFR to Stable
KTC FOODS: ICRA Keeps D Debt Ratings in Not Cooperating
LAKSHMI SATYANARAYANA: ICRA Keeps D Ratings in Not Cooperating
MORGAN CREDITS: CARE Reaffirms D Rating on INR106.30cr NCD
NUCON PNEUMATICS: ICRA Keeps C+ Debt Ratings in Not Cooperating

PUNJ LLOYD: Faces Liquidation as Lenders Reject Resolution
PURPLE CREATIONS: CARE Lowers Rating on Bank Debts to B+
RAJENDRA ISPAT: CARE Lowers Rating on INR26.50cr Loan to B
RAMANI ICE: CARE Reaffirms D Rating on INR68.79cr LT Loan
SAIKRUPA COTGIN: ICRA Lowers Rating on INR15cr LT Loan to D

TATA STEEL: Moody's Affirms Ba2 CFR & Alters Outlook to Stable
UNIVERSAL EXTRUSIONS: CARE Moves D Rating to Not Cooperating


S I N G A P O R E

SEMBCORP MARINE: Files Notice of 3 Consecutive Years of Losses


S O U T H   K O R E A

ASIANA AIRLINES: Korean Air to Launch Asiana-Merged Entity in 2024


V I E T N A M

SAIGON THUONG: Moody's Hikes Long Term Bank Deposit Ratings to B3

                           - - - - -


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A U S T R A L I A
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CANBERRA CAVALRY: First Creditors' Meeting Set for April 13
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of Canberra
Cavalry (ACT) Pty Ltd will be held on April 13, 2021, at 10:00 a.m.
via Virtual Meeting via Zoom.

Ezio Senatore of Eddie Senatore Advisory was appointed as
administrator of Canberra Cavalry on March 30, 2021.


GABRIEL FAMILY: Second Creditors' Meeting Set for April 13
----------------------------------------------------------
A second meeting of creditors in the proceedings of Gabriel Family
Holdings Pty Ltd, trading as Slash N Snip, has been set for April
13, 2021, at 11:00 p.m. at the offices of Cor Cordis Level 19,
Waterfront Place, 1 Eagle Street, in Brisbane, Queensland.

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 April 12, 2021, at 5:00 p.m.

Stephen Earel and Darryl Kirk of Cor Cordis were appointed as
administrators of Gabriel Family on Feb. 26, 2021.


LIBERTY FUNDING 2021-1: Moody's Assigns B2 Rating on Class F Notes
------------------------------------------------------------------
Moody's Investors Service has assigned the following definitive
ratings to the notes issued by Liberty Funding Pty Ltd in respect
of Liberty Series 2021-1.

Issuer: Liberty Series 2021-1

AUD520.00 million Class A1 Notes, Assigned Aaa (sf)

AUD68.25 million Class A2 Notes, Assigned Aaa (sf)

AUD17.55 million Class B Notes, Assigned Aa2 (sf)

AUD13.00 million Class C Notes, Assigned A2 (sf)

AUD6.50 million Class D Notes, Assigned Baa2 (sf)

AUD9.10 million Class E Notes, Assigned Ba2 (sf)

AUD1.95 million Class F Notes, Assigned B2 (sf)

The AUD13.65 million Class G Notes are not rated by Moody's.

The transaction is a securitisation of Australian residential
mortgages loans. All mortgages were originated and are serviced by
Liberty Financial Pty Ltd (Liberty, unrated). The transaction
features a two-year substitution period, whereby additional loans
can be sold into the portfolio on a monthly basis, subject to
substitution parameters and portfolio performance triggers being
met.

The transaction also includes a two month prefunding period,
whereby Liberty Funding Pty Ltd will issue notes up to AUD650
million, based on the initial pool of AUD490.0 million. During the
pre-funding period, additional loans may be sold into the trust, up
to the pre-funding amount of AUD147.0 million, subject to certain
portfolio parameters and the eligibility criteria.

Liberty is an Australian non-bank lender. It started originating
non-conforming residential mortgages in 1997. It subsequently
expanded into prime residential mortgage origination, as well as,
among others, auto loans, small commercial mortgage loans and
personal loans. Residential mortgages remain Liberty's predominant
business. As of December 2020, it had a portfolio of Australian
mortgage assets over AUD8.4 billion.

RATINGS RATIONALE

The provisional ratings take into account, among other factors,
evaluation of the underlying receivables, the prefunding period,
the two-year substitution period together with the substitution
parameters, the evaluation of the capital structure and credit
enhancement provided to the notes, the availability of excess
spread over the life of the transaction, the liquidity reserve in
the amount of 2.00% of the notes balance, the legal structure, and
the credit strength and experience of Liberty as Servicer.

Moody's MILAN credit enhancement (MILAN CE) for the collateral pool
is 8.2%, while the expected loss is 1.30%.

MILAN CE represents the loss Moody's expect the portfolio to suffer
in a severe recessionary scenario, and does not take into account
structural features of the transaction. The expected loss
represents a stressed, through-the-cycle loss relative to
Australian historical data.

Substitution parameters in this deal significantly reduce the risk
of material deterioration in the collateral quality due to addition
of new loans to the pool during the two-year substitution period.
This is because these parameters, applicable to monthly
substitutions, are closely aligned with the parameters of the pool
as of closing date. Substitution parameters limit, among other,
proportions of loans with adverse credit, alt-doc verification, and
scheduled loan-to-value (LTV) ratios above 80% and 90%.

Moody's have considered the limited risk posed by the substitutions
at the MILAN CE and expected loss levels.

Furthermore, substitution of new loans will stop while there are
any unreimbursed carryover charge-offs or if proportion of loans in
arrears greater than 60 days - on a three-month average basis -
exceeds 4%.

The coronavirus pandemic has had a significant impact on economic
activity. Although global economies have shown a remarkable degree
of resilience to date and are returning to growth, the uneven
effects on individual businesses, sectors and regions will continue
throughout 2021 and will endure as a challenge to the world's
economies well beyond the end of the year. While persistent virus
fears remain the main risk for a recovery in demand, the economy
will recover faster if vaccines and further fiscal and monetary
policy responses bring forward a normalization of activity. As a
result, there is a heightened degree of uncertainty around Moody's
forecasts. Moody's analysis has considered the effect on the
performance of consumer assets from a gradual and unbalanced
recovery in Australian economic activity.

Moody's regards the coronavirus outbreak as a social risk under its
ESG framework, given the substantial implications for public health
and safety.

The key transactional features are as follows:

Class A1 Notes and Class A2 Notes benefit from 20.0% and 9.5% note
subordination respectively.

Following the end of the substitution period, the notes will
initially be repaid sequentially. Once stepdown conditions are met,
all Notes, excluding Class G Notes, will receive a pro-rata share
of principal payments. The stepdown conditions which include, among
others, the payment date falling at least one year after the most
recent mortgage acquisition and absence of charge offs. Principal
pay-down will revert to sequential once the aggregate loan amount
is at 20% or less of the aggregate loan amount at closing, or on or
following the payment date in March 2025.

The guarantee fee reserve account, which is unfunded at closing
and will build up to a limit of 0.30% of the issued notional from
the bottom of the interest waterfall prior to interest paid to the
Class G Notes noteholders. The reserve account will firstly be
available to meet losses on the loans and charge-offs against the
notes. Secondly, it can be used to cover any required payment
shortfalls that remain after drawing on principal and the liquidity
facility. Any reserve account balance used can be reimbursed to its
limit from future excess income.

The key features of the mortgage loan pool are as follows:

-- The portfolio has a scheduled LTV ratio of 68.3%, with a
relatively high proportion of loans with a scheduled LTV ratio
above 80.0% (14.2%) and above 90% (7.6%).

-- Around 24.8% of the loans in the portfolio were extended to
self-employed borrowers.

-- 6.4% of the loans in the portfolio were extended on an
alternative documentation basis.

-- The portfolio contains 3.8% exposure with respect to borrowers
with prior credit impairment (default, judgment or bankruptcy).
Moody's assesses these borrowers as having a significantly higher
default probability.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
December 2020.

Factors that would lead to an upgrade or downgrade of the ratings:

Levels of credit protection that are greater than necessary to
protect investors against current expectations of loss could lead
to an upgrade of the ratings. Moody's current expectations of loss
could be better than its original expectations because of fewer
defaults by underlying obligors or higher recoveries on defaulted
loans. The Australian job market and the housing market are primary
drivers of performance.

A factor that could lead to a downgrade of the notes is
worse-than-expected collateral performance. Other reasons for
performance worse than Moody's expects include poor servicing,
error on the part of transaction parties, a deterioration in credit
quality of transaction counterparties, fraud and lack of
transactional governance.

MARSC INVESTMENT: First Creditors' Meeting Set for April 13
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of MARSC
Investment Pty Ltd will be held on April 13, 2021, at 11:00 a.m. at
the offices of SM Solvency Accountants, 10/144 Edward Street, in
Brisbane, Queensland.

Brendan Nixon of SM Solvency Accountants was appointed as
administrator of MARSC Investment on March 31, 2021.


MCLOWD PTY: Second Creditors' Meeting Set for April 13
------------------------------------------------------
A second meeting of creditors in the proceedings of Mclowd Pty Ltd
has been set for April 13, 2021, at 10:30 a.m. via Microsoft teams.


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 April 12, 2021, at 4:00 p.m.

Christopher Damien Darin of Worrells Solvency & Forensic
Accountants was appointed as administrators of Mclowd Pty on March
5, 2021.


REDZED TRUST 2017-2: Moody's Raises Class E Notes From Ba1
----------------------------------------------------------
Moody's Investors Service has upgraded the ratings on four classes
of notes issued by RedZed Trust Series 2017-2.

The affected ratings are as follows:

Issuer: RedZed Trust Series 2017-2

Class B Notes, Upgraded to Aaa (sf); previously on Sep 26, 2018
Upgraded to Aa1 (sf)

Class C Notes, Upgraded to Aa1 (sf); previously on Jun 17, 2019
Upgraded to Aa3 (sf)

Class D Notes, Upgraded to A1 (sf); previously on Jun 17, 2019
Upgraded to A3 (sf)

Class E Notes, Upgraded to Baa3 (sf); previously on Dec 6, 2017
Definitive Rating Assigned Ba1 (sf)

RATINGS RATIONALE

The upgrades were prompted by an increase in the credit enhancement
available to the affected notes.

Following the March 2021 payment date, note subordination available
for the Class B Notes has increased to 15.6% from 10.7% at the time
of the last rating action for these notes in September 2018. For
Class C and Class D Notes, note subordination has increased to
11.7% and 7.8%, respectively from 9.5% and 6.4% at the time of the
last rating action for these notes in June 2019. For Class E Notes,
note subordination has increased to 4.4% from 2.4% at closing.

As of February 2021, 7.5% of the outstanding pool was 30-plus day
delinquent, 3.4% was 90-plus day delinquent, and 1.1% was under
COVID-19-related hardship assistance. The portfolio has incurred
loss of AUD183,200 since closing, which has been covered by excess
spread.

Based on the observed performance to date, loan attributes,
COVID-19-related hardship assistance and considering the gradual
and uneven recovery, Moody's has revised its expected loss
assumption to 2.9% of the outstanding pool compared to 3.45% as of
the last rating action in June 2020.

Moody's has decreased its MILAN CE assumption to 16.5% from 18.7%
at the time of the last rating action in June 2020, based on the
current portfolio characteristics.

The coronavirus pandemic has had a significant impact on economic
activity. Although global economies have shown a remarkable degree
of resilience to date and are returning to growth, the uneven
effects on individual businesses, sectors and regions will continue
throughout 2021 and will endure as a challenge to the world's
economies well beyond the end of the year. While persistent virus
fears remain the main risk for a recovery in demand, the economy
will recover faster if vaccines and further fiscal and monetary
policy responses bring forward a normalization of activity. As a
result, there is a heightened degree of uncertainty around Moody's
forecasts. Moody's analysis has considered the effect on the
performance of mortgage loans from a gradual and unbalanced
recovery in Australian economic activity.

Moody's regards the coronavirus outbreak as a social risk under its
ESG framework, given the substantial implications for public health
and safety.

The transaction is a securitisation of first ranking mortgage loans
secured over residential properties located in Australia. The loans
were originated and are serviced by RedZed Lending Solutions Pty
Limited. A portion of the portfolio consists of loans extended to
borrowers with adverse credit history or made on a limited
documentation basis.

The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
December 2020.

Factors that would lead to an upgrade or downgrade of the ratings:

Factors that could lead to an upgrade of the ratings include (1)
performance of the underlying collateral that is better than
Moody's expectations and (2) an increase in credit enhancement
available for the notes.

Factors that could lead to a downgrade of the ratings include (1)
performance of the underlying collateral that is worse than Moody's
expectations, (2) a decrease in the credit enhancement available
for the notes and (3) a deterioration in the credit quality of the
transaction counterparties.

REDZED TRUST 2021-1: Moody's Assigns Ba3 Rating to Class F Notes
----------------------------------------------------------------
Moody's Investors Service has assigned the following definitive
ratings to the notes issued by Perpetual Trustee Company Limited as
trustee of RedZed Trust Series 2021-1.

Issuer: Perpetual Trustee Company Limited as trustee of RedZed
Trust Series 2021-1

AUD412.5 million Class A-1 Notes, Assigned Aaa (sf)

AUD64.9 million Class A-2 Notes, Assigned Aaa (sf)

AUD40.7 million Class B Notes, Assigned Aa2 (sf)

AUD5.5 million Class C Notes, Assigned A2 (sf)

AUD9.9 million Class D Notes, Assigned Baa1 (sf)

AUD6.6 million Class E Notes, Assigned Ba1 (sf)

AUD3.3 million Class F Notes, Assigned Ba3 (sf)

The AUD6.6 million of Class G1 and Class G2 Notes (together, the
Class G Notes) are not rated by Moody's.

The transaction is a securitisation of first-ranking mortgage loans
secured over residential properties located in Australia. The loans
were originated and are serviced by RedZed Lending Solutions Pty
Limited (RedZed, unrated).

The portfolio includes 96.5% of loans to self-employed borrowers.
91.4% were extended on alternative income documentation
verification ('alt doc') basis; and, based on our classifications,
5.1% are to borrowers with adverse credit histories.

RATINGS RATIONALE

The definitive ratings take into account, among other factors, an
evaluation of the underlying receivables and their expected
performance, evaluation of the capital structure and credit
enhancement provided to the notes, availability of excess spread
over the life of the transaction, the liquidity facility in the
amount of 1.5% of the notes balance, the legal structure, and the
experience of RedZed as servicer.

Moody's MILAN CE — representing the loss that Moody's expects the
portfolio to suffer in the event of a severe recession scenario —
is 13.2%. Moody's expected loss for this transaction is 2.0%.

The coronavirus pandemic has had a significant impact on economic
activity. Although global economies have shown a remarkable degree
of resilience to date and are returning to growth, the uneven
effects on individual businesses, sectors and regions will continue
throughout 2021 and will endure as a challenge to the world's
economies well beyond the end of the year. While persistent virus
fears remain the main risk for a recovery in demand, the economy
will recover faster if vaccines and further fiscal and monetary
policy responses bring forward a normalization of activity. As a
result, there is a heightened degree of uncertainty around Moody's
forecasts. Moody's analysis has considered the effect on the
performance of consumer assets from a gradual and unbalanced
recovery in Australian economic activity.

Moody's regards the coronavirus outbreak as a social risk under its
ESG framework, given the substantial implications for public health
and safety.

Key transactional features are as follows:

While the Class A-2 Notes are subordinate to Class A-1 Notes in
relation to charge-offs, Class A-2 and Class A-1 Notes rank pari
passu in relation to principal payments, on the basis of their
stated amounts, before the call option date. This feature reduces
the absolute amount of credit enhancement available to the Class
A-1 Notes.

The servicer is required to maintain the weighted average interest
rates on the mortgage loans at least at 4.0% above one month BBSW,
which is within the current portfolio yield of 4.7% as at cut off
date. This generates a high level of excess spread available to
cover losses in the pool.

Under the retention mechanism, excess spread is used to repay
principal on the Class F Notes, up to AUD750,000, thereby limiting
their exposure to losses. At the same time, the retention amount
ledger ensures that the level of credit enhancement available to
the more senior ranking notes is preserved.

The Class B to Class F Notes will start receiving their pro-rata
share of principal if certain step-down conditions are met.
Pro-rata allocation is effectively limited to a maximum of one
years.

While the Class G Notes do not receive principal payments until
the other notes are repaid, once step-down conditions are met,
their pro-rata share of principal will be allocated in a reverse
sequential order, starting from the Class F Notes.

Key pool features are as follows:

The pool has a weighted-average scheduled loan-to-value (LTV) of
69.9%, and 14.5% of the loans have scheduled LTVs over 80%. There
are no loans with a scheduled LTV over 85%.

Around 96.5% of the borrowers are self-employed. This is in line
with RedZed's business model and strategy to focus on the
self-employed market. The income of these borrowers is subject to
higher volatility than employed borrowers, and they may experience
higher default rates.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was Moody's
Approach to Rating RMBS Using the MILAN Framework published in
December 2020.

Factors that would lead to an upgrade or downgrade of the ratings:

Factors that could lead to an upgrade of the notes include a rapid
build-up of credit enhancement, due to sequential amortization, or
better-than-expected collateral performance. The Australian jobs
market and the housing market are primary drivers of performance.

A factor that could lead to a downgrade of the notes is
worse-than-expected collateral performance. Other reasons that
could lead to a downgrade include poor servicing, error on the part
of transaction parties, a deterioration in the credit quality of
transaction counterparties, or lack of transactional governance,
and fraud.

SUPERWATT AUSTRALIA: First Creditors' Meeting Set for April 14
--------------------------------------------------------------
A first meeting of the creditors in the proceedings of Superwatt
Australia Pty Ltd will be held on April 14, 2021, at 11:30 a.m.  

Creditors wanting to attend in person, may attend this meeting by
telephone. To attend the meeting by telephone, please call the
appropriate number below, based on the State you are calling from,
and then enter the 8-digit Dial-in Access Number (including the #
key).

Dial in details:

    02 6217 0433 - ACT, 9105627# (Dial-in Access Number)
    03 9286 8333 - VIC, 9105627# (Dial-in Access Number)
    08 9261 9499 - WA, 9105627# (Dial-in Access Number)
    02 8226 4933 - NSW, 9105627# (Dial-in Access Number)
    07 3225 7883 - QLD, 9105627# (Dial-in Access Number)
    08 8214 7999 - SA, 9105627# (Dial-in Access Number)

Travis Kukura and Greg Dudley of RSM Australia Partners were
appointed as administrators of Superwatt Australia on March 31,
2021.


T&L PRODUCE: First Creditors' Meeting Set for April 14
------------------------------------------------------
A first meeting of the creditors in the proceedings of T&L Produce
Marketing Pty Ltd will be held on April 14, 2021, at 10:30 a.m. at
the offices of Worrells Solvency & Forensic Accountants, Level 4,
15 Ogilvie Road, in Mount Pleasant, WA.

Mervyn Jonathan Kitay of Worrells Solvency was appointed as
administrator of T&L Produce on March 15, 2021.


WHITE CITY: Second Creditors' Meeting Set for April 12
------------------------------------------------------
A second meeting of creditors in the proceedings of White City
Investments Pty Ltd has been set for April 12, 2021, at 10:30 a.m.
via Microsoft Teams.

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 April 11, 2021, at 5:00 p.m.

Mervyn Jonathan Kitay of Worrells Solvency & Forensic Accountants
was appointed as administrator of White City on Feb. 26, 2021.




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C H I N A
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CAR INC: S&P Raises LongTerm Issuer Credit Rating to B-
-------------------------------------------------------
S&P Global Ratings raised its long-term issuer credit rating on
China-based car rental company CAR Inc. and long-term issue rating
on the company's existing notes to 'B-' from 'CCC+'. At the same
time, S&P has removed the ratings from CreditWatch with positive
implications, where it had placed them on March 23, 2021.

S&P said, "In addition, we are assigning our 'B-' long-term issue
rating to the US$250 million three-year senior unsecured notes due
in 2024 that CAR issued.

"The stable outlook reflects our expectation that CAR will
normalize its operations and improve its EBIT interest coverage
ratio to above 1.0x by 2022.

CAR's bond issuance at a reasonable yield confirms it has regained
access to capital markets. Funding access is crucial for
asset-heavy business models such as car rental. CAR's new issuance
has provided additional liquidity to help stabilize its operations,
ending a year of vehicle sales to deal with the credit squeeze. In
2020, the company obtained Chinese renminbi (RMB) 2 billion from
selling a net 38,378 units of vehicles. With the new notes and
limited short-term maturities in the rest of the year, CAR should
have enough funds to finance RMB2 billion-RMB2.7 billion in net
capital expenditure (capex) to allow for a net addition of
5,000-10,000 vehicles in 2021. CAR priced its US$250 million 9.75%
senior notes due 2024 at 99.366% of their principal amount on March
26, 2021, equivalent to a 10% yield.

S&P expects the company's funding channels to further recover as it
continues to rebuild relationships with lenders, especially with
onshore banks. Onshore bank loans, albeit typically of short tenor,
are important sources of funding with low cost and no currency
risk.

CAR's leverage will remain elevated through 2021 and improve from
2022. S&P estimates CAR's adjusted leverage, as measured by EBIT
interest coverage, will recover from hard-hit 2020 but remain below
1.0x in 2021. The company recorded negative RMB280 million EBIT in
2020 due to COVID disruptions. CAR is working with private equity
firm MBK Partners (MBK) on various initiatives to improve
operations and optimize its fleet. However, its cost base will take
time to improve and car rental demand has not yet recovered to
pre-pandemic levels. S&P believes EBIT recovery and disciplined
growth could put CAR's credit metrics on a more sustainable footing
from 2022.

Though MBK could help turn around CAR's operations and support a
recovery in its credit metrics in the coming two years, MBK, as a
financial sponsor, could constrain CAR's financial risk profile
over the longer term. S&P said, "We generally believe that
financial sponsors will exercise aggressive financial policies to
maximize their own returns. We will assess the financial sponsor's
financial policy toward CAR after MBK takes control in July."

CAR faces an uphill battle to defend its leading market position in
China's car rental industry. CAR's fleet contraction and fluid
operating strategies have weakened its competitiveness relative to
its closest competitor, eHi Car Services Ltd. CAR's brand equity
enabled some pricing premium in the past, which diminished in 2020
possibly due to a less attractive fleet amid COVID hit and rattled
operations. That said, CAR will likely remain one of the leading
players in China's under-penetrated car rental market over the next
two years. CAR has a fleet size of 109,688 as of end-2020, compared
with over 75,000 for eHi.

The company will need to invest to achieve a larger, younger, and
more brand-diversified fleet. S&P said, "Therefore, we expect CAR's
free operating cash flow to turn negative over the next two years
to refresh and replenish its fleet. We view a moderate level of
free operating cash outflow, backed by prudent fleet growth, as
healthy and important to company sustaining its business position
in the competitive car rental market in China."

S&P said, "We expect a more sustainable travel recovery from Q2
this year. We expect CAR to see largely flat revenue in the first
quarter of 2021 compared with the same period last year, due to
travel weakness during the Lunar New Year period as well as its
smaller fleet size. Domestic travel was on track for a strong
recovery in the second half of 2020 until it was dampened again in
the first quarter of 2021 on tighter travel restrictions by Chinese
authorities to prevent a spike in COVID cases during the Lunar New
Year period. However, we think this should be a temporary
disruption and travel activities and car rental demand appear to be
on a more sustainable recovery path from March 2021.

"The stable outlook reflects our expectation that CAR will
stabilize and improve its operations and regain access to onshore
financings, especially low-cost bank loans. It also reflects our
expectation that CAR's leverage will remain elevated through 2021
before improving to above 1.0x by 2022.

"We could lower the rating if we believe CAR is unlikely to improve
its EBIT interest coverage to above 1.0x by 2022. This could happen
if the recovery from COVID-19 disruptions takes longer than we
expect, or the company fails to follow a more prudent fleet growth
strategy. We could also lower the rating if the company fails to
fully recover its access to onshore funding.

"We may raise the rating if we believe the recovery in CAR's credit
metrics is sustainable. We will also assess the financial sponsor's
financial policy toward CAR after MBK takes control in July."


CHINA HONGQIAO: Moody's Hikes CFR to Ba3, Outlook Stable
--------------------------------------------------------
Moody's Investors Service has upgraded the corporate family rating
of China Hongqiao Group Limited to Ba3 from B1.

At the same time, Moody's has upgraded Hongqiao's senior unsecured
rating to B1 from B2.

The outlook on the ratings remains stable.

"The upgrade reflects Hongqiao's better-than-expected operating
results, prudent financial management through equity financing and
improved capital structure," says Roy Zhang, a Moody's Vice
President and Senior Analyst.

RATINGS RATIONALE

Hongqiao's Ba3 CFR reflects its leading position in the aluminum
industry, long operating history and advanced low-cost production
facilities. The rating also reflects Hongqiao's vertically
integrated business model, which has resulted in strong
profitability and high utilization compared with those of its
domestic peers.

On the other hand, Hongqiao's rating is constrained by the
cyclicality of the aluminum industry, regulatory risks and its
concentrated ownership, historically aggressive expansion and
frequent change of auditors.

Hongqiao's business has been resilient in 2020 despite tough
operating conditions due to the pandemic. Revenue rose 2.3% in 2020
to RMB86.1 billion, adjusted gross profit margin increased to 31.2%
in 2020 from 28.4% in 2019, and leverage, measured by adjusted debt
to EBITDA, declined to 3.2x in 2020, compared with 3.7x in 2019.

The company has also managed its refinancing through an equity
placement, convertible bond issuance and redemption of its onshore
bond using internal resources.

Moody's believes that Hongqiao has structurally improved its
capital structure through bond redemptions and debt reduction. As a
result, Moody's estimates that the company's leverage will reduce
to 2.5x in 2021, which is strong for its rating level.

Aluminum prices have risen to over RMB17,000 per ton in March 2021,
a record high compared with the past five years. Moody's expects
supply-side reforms to support aluminum prices in China despite
some volatility. This level of aluminum prices will provide
additional benefit to Hongqiao's cash flow generation and
deleveraging.

Hongqiao's liquidity is good. The company has cash and cash-like
sources of about RMB45.5 billion as of the end 2020. This, together
with its projected strong operating cash flow, is sufficient to
cover its short-term debt and other financial obligations over the
next 12 to 18 months.

The B1 senior unsecured bond rating is one notch lower than it
would otherwise be due to structural subordination risk. This risk
reflects the fact that the majority of Hongqiao's claims are at its
operating subsidiaries and have priority over its senior unsecured
claims at the holding company in a bankruptcy scenario.

Hongqiao's rating also takes into account the following
environmental, social and governance (ESG) considerations.

The company's bauxite mining, power generation, alumina refinery
and aluminum smelting operations are exposed to high environmental
and safety risks. However, these risks are mitigated by its good
operational track record and continued investment in related
processes and facilities to meet higher standards.

On the governance front, the company has a record of aggressive
expansion and changing auditors historically, while its ownership
is concentrated in its key shareholder, Mr. Zhang's family, who
together held a 68.5% stake in the company as of the end of 2020.
These risks are partially tempered by stronger board oversight
exercised through the presence of a strategic minority shareholder,
CITIC Group Corporation (A3 stable). At the same time, company has
also demonstrated prudent financial management with absolute debt
reduction, cautious management and cost control.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

The stable rating outlook reflects our expectation that Hongqiao
will (1) maintain its strong market position; (2) generate
sufficient cash flow from operations to meet its payment
obligations, and (3) adopt a prudent financial policy in pursuing
its growth over the next 12-18 months.

Moody's could upgrade the rating if Hongqiao (1) continues to
maintain sound corporate governance standards, (2) demonstrates a
longer track record of maintaining its strong financial profile
through the industry cycle and the use of free cash flow or equity
to fund its growth and debt repayment; and (2) maintains its solid
liquidity profile such as cash/short-term debt above 1.2x.

Moody's could downgrade the rating if (1) its operations weaken as
a result of an industry downturn or adverse regulatory change; (2)
the company fails to adhere to prudent financial management and
sound corporate governance standards; (3) its cost competitiveness
and market position deteriorate; (4) there is a material weakening
in its credit metrics, with its adjusted debt/EBITDA rising above
4.0x; or (5) its liquidity deteriorates.

The principal methodology used in these ratings was Steel Industry
published in September 2017.

Founded in 1994 and headquartered in Zouping, Shandong Province,
China Hongqiao Group Limited is one of the largest aluminum
manufacturers in China and globally by production volume. The
company listed on the Hong Kong Stock Exchange in March 2011.

At the end of 2020, China Hongqiao Group Limited was 68.5% owned by
Mr. Zhang's family, 9.9% by CITIC Group Corporation. The company
posted revenue of RMB86.1 billion in 2020.

LOGAN GROUP: Fitch Assigns BB Rating on Proposed USD Senior Notes
-----------------------------------------------------------------
Fitch Ratings has assigned China-based property developer Logan
Group Company Limited's (BB/Stable) proposed US dollar senior notes
a rating of 'BB'.

The proposed notes are rated at the same level as Logan's senior
unsecured rating, as they represent its direct, unconditional,
unsecured and unsubordinated obligations. Logan plans to use the
proceeds from the proposed notes for refinancing purposes.

Fitch expects the company's leverage to be around 35% in the next
12-18 months, and remain at this level because the company has
sufficient land bank to support growth. Logan has shown financial
discipline during its business expansion - evident in the decline
in leverage - and maintained high profitability with the EBITDA
margin at above 30%.

Logan has made some progress in diversification, but the majority
of its land bank and contracted sales remain in the Greater Bay
Area, which constrains its rating. Logan's market position is
strong in the Greater Bay Area and the company is ramping up its
investment properties. Further enhancement in Logan's market
position in its core market, or a material improvement in its
geographical or business diversification, are key considerations
for higher rating levels, in Fitch's view.

KEY RATING DRIVERS

Stable Leverage: Logan's leverage - measured by net debt/adjusted
inventory that proportionately consolidates joint ventures (JVs)
and associates - was around 35% at end-2020, similar to 35% at
end-2019 (2018: 41%). Fitch's leverage calculation treats the
liabilities under the cross-border guarantee arrangement as debt.
However, Fitch gives full cash credit to the assets pledged for the
liabilities, as the assets pledged are all cash. The company spent
CNY47.6 billion on replenishing its land bank in 2020, or a steady
pace of around 40% of its contracted sales during the period (2019:
42%).

The company had a total land reserve of 72 million square metres
(sq m) at end-2020, which was sufficient for development in the
next five years. Fitch expects the company to spend 40%-50% of its
consolidated contracted sales on land replenishment in 2021-2022
and to maintain a land bank sufficient for four to five years of
development.

Sustained High Margins: Logan's EBITDA margin, excluding
capitalised interest from cost of sales, stayed high at 31% in 2020
(2019: 32%, 2018: 32%). Fitch expects the company's EBITDA margin
to remain at 30%-32% in the next one to two years. Logan had
unrecognised contracted sales of CNY120 billion at end-2020, which
have gross profit margin of about 30% and will be recognised as
revenue over the next 18-24 months.

High-margin primary land development income will continue to
contribute to total revenue in the next three to five years, which
also supports the EBITDA margin. However, Fitch expects the high
margins of this segment to decrease over time.

Growing Sales Scale: Logan's attributable contracted sales rose by
32% to CNY120.7 billion in 2020. The contracted floor space sold
rose by 9% to 7.5 million sqm, and the contracted average selling
price (ASP) increased to CNY15,637/sqm due to higher sales from the
Greater Bay Area, where prices are higher. It has saleable
resources of CNY240 billion for launch in 2021. Fitch expects
Logan's annual contracted sales to increase to CNY140 billion in
2021 and CNY155 billion in 2022.

Expansion into New Markets: Fitch believes Logan's expansion into
new cities, including the Yangtze River Delta, Guangxi, Hong Kong
and Singapore, in the past 24 months has helped mitigate
concentration risks. Presales for the Yangtze River Delta and
Singapore projects continued in 2020 and they contributed 8% and
3%, respectively, to Logan's total contracted sales, versus 3% and
7%, respectively, in 2019.

Concentration Risks Remain: Fitch expects Logan's sales from the
Greater Bay Area to remain high at around 55% of total sales in
2021, despite the expansion into new markets. The Greater Bay Area
(including Shenzhen) accounted for most of Logan's attributable
sales and land bank, at around 59% and 80%, respectively in 2020
(2019: 56% and 71%). Nevertheless, Logan has a strong market
position in the competitive Greater Bay Area market and Fitch
expects it to solidify its market position in the region.

Investment Properties' Contribution Rising: Logan's investment
properties, which consist mainly of offices and shopping malls, are
increasing their contribution to earnings. There are inherent
execution risks in ramping up these projects, but Fitch believes
Logan will control the pace of investment, which will be covered by
the sale of the residential projects. The investment property
portfolio will offer significant diversification from the
more-risky property development business once these projects are
fully ramped-up and the portfolio achieves meaningful scale.

DERIVATION SUMMARY

Logan's contracted sales are comparable with those of 'BB' rated
Chinese homebuilders, such as CIFI Holdings (Group) Co. Ltd.'s
(BB/Stable) CNY100 billion, and are higher than those of 'BB-'
rated peers, which have contracted sales of CNY50 billion-80
billion, including KWG Group Holdings Limited (BB-/Stable) and
Yuzhou Group Holdings Company Limited (BB-/Stable).

Logan's leverage of around 35% at end-2020 is also lower than the
40%-45% of other 'BB' rated peers, such as CIFI. Similar to Logan,
CIFI's non-property development revenue generated EBITDA that
covered interest by less than 0.1x in 2020. Logan continued its
geographical focus on Tier 1 and 2 cities, while CIFI increased its
focus on Tier 2 and 3 cities in 2019-2020.

Logan has similar contracted sales compared with 'BB+' standalone
rated Chinese homebuilders, such as China Jinmao Holdings Group
Limited (BBB-/Stable, Standalone Credit Profile: bb+) and
Sino-Ocean Group Holding Limited (BBB-/Stable, Standalone Credit
Profile: bb+). However, Jinmao and Sino-Ocean have stronger
non-development property EBITDA coverage of around 0.3x-0.4x. Logan
has a stronger market position in the Greater Bay Area than these
peers, but its geographical concentration is also higher.

KEY ASSUMPTIONS

Fitch's key assumptions within its rating case for the issuer
include:

-- Contracted sales of CNY130 billion in 2021 and CNY140 billion
    in 2022 (2020: CNY121 billion);

-- EBITDA margin, with capitalised interest excluded from cost of
    sales, of 30%-32% in 2021-2022 (2020: 31%);

-- About 40%-50% of contracted sales proceeds to be spent on land
    acquisitions in 2020-2021 to maintain a land bank sufficient
    for around five years of development.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Enhancement of its market position in its core market, or
    material improvement in its business or geographic
    diversification.

-- Leverage, as measured by net debt/adjusted inventory that
    proportionately consolidates joint ventures and associates,
    sustained below 35%.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- Leverage, as measured by net debt/adjusted inventory that
    proportionately consolidates joint ventures and associates,
    sustained above 45%.

-- EBITDA margin, excluding capitalised interests from cost of
    goods sold, sustained below 25%.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Sufficient Liquidity: Logan had total cash on hand of CNY41.0
billion as of end-2020, sufficient to cover short-term debt of
CNY28.7 billion maturing within one year and short-term liabilities
under cross-border guarantee arrangements of CNY5.4 billion.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


LOGAN GROUP: Moody's Gives Ba3 Rating on New Unsecured USD Notes
----------------------------------------------------------------
Moody's Investors Service has assigned a Ba3 rating to Logan Group
Company Limited's (Ba2 stable) proposed senior unsecured USD
notes.

Logan plans to use the proceeds from the proposed notes to
refinance its offshore debt.

RATINGS RATIONALE

"Logan's Ba2 corporate family rating reflects its 1) strong brand
and proven track record in the Guangdong-Hong Kong-Macao Bay Area
(Greater Bay Area), (2) focus on mass-market products, which
supports its sales growth and operating cash flow while reducing
its reliance on debt funding, and (3) good liquidity," says Cedric
Lai, a Moody's Vice President and Senior Analyst.

"On the other hand, the Ba2 CFR is constrained by Logan's high
geographic concentration in southern China, which exposes the
company's sales performance to local regulatory and economic
changes," adds Lai.

The proposed issuance will improve Logan's liquidity profile and
not materially affect its credit metrics because the company will
use the proceeds to refinance existing debt.

Moody's expects Logan's debt leverage -- as measured by
revenue/adjusted debt -- to improve to 83%-87% over the next 12-18
months from 80% in 2020, driven by the expected robust revenue
recognition and its disciplined approach to pursuing growth and
controlling debt increase.

Meanwhile, its interest coverage -- as measured by EBIT/interest --
will remain solid at around 4.2x over the same period compared with
4.1x in 2020, because the revenue growth will likely be balanced by
lower profit margins.

Logan's attributable contracted sales grew strongly year on year at
32% to RMB120.7 billion in 2020. Moody's expects Logan's sizable
salable resources and strong sales execution will enable further
growth in its contracted sales to RMB135 biliion-RMB145 billion in
2021. The company had contracted sales of RMB28.1 billion in the
first two months of 2021. Logan's strong contracted sales
performance would support its future revenue recognition and
liquidity.

Logan's liquidity position is good. The company's cash balance of
RMB42.0 billion covered 1.80x of its short-term debt as of the end
of 2020. Moody's expects the company's cash holdings, together with
expected operating cash inflow, will be able to cover its maturing
short-term debt, committed land purchases, dividend payments, as
well as capital spending and payables for its previous
acquisitions, over the next 12-18 months.

The Ba3 senior unsecured debt rating is one notch lower than the
CFR due to structural subordination risk. The majority of Logan's
claims are at its operating subsidiaries and have priority over
claims at the holding company in a liquidation scenario. In
addition, the holding company lacks significant mitigating factors
for structural subordination. Consequently, the expected recovery
rate for claims at the holding company will be lower.

In terms of environmental, social and governance (ESG) factors,
Moody's has considered the company's concentrated ownership in its
controlling shareholder, Mr. Kei Hoi Pang, who held a 61.63% stake
as of June 30, 2020. The concern on concentrated ownership is
partly tempered by (1) the fact that the audit and remuneration
committees all comprise independent non-executive directors; (2)
Logan's stable 40% dividend payout ratio over the past three years;
and (3) the application of the Listing Rules of the Hong Kong Stock
Exchange and the Securities and Futures Ordinance in Hong Kong to
oversee related-party transactions.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING

Logan's stable outlook reflects Moody's expectation that the
company will maintain its financial discipline and good liquidity
while growing its contracted sales over the next 12-18 months.

Moody's could upgrade Logan's CFR if it diversifies the operations
geographically and executes its sales plan through the cycles,
while maintaining strong financial and liquidity profiles.

Specifically, Moody's could upgrade the rating if Logan's (1)
revenue/adjusted debt exceeds 85%; and (2) EBIT/interest coverage
rises above 4.5x-5.0x, both on a sustained basis.

On the other hand, Moody's could downgrade the rating if Logan's
contracted sales decline or it pursues aggressive expansion, such
that its credit metrics weaken, with EBIT/interest coverage falling
below 3.5x and revenue/adjusted debt dropping below 65%-70% on a
sustained basis; or its liquidity weakens, as reflected by
cash/short-term debt decreasing below 125%.

The principal methodology used in this rating was Homebuilding And
Property Development Industry published in January 2018.

Established in 1996, Logan Group Company Limited is a property
developer based in Shenzhen. The company's principal focus is on
residential projects in Shenzhen, Shantou, Nanning and Huizhou.

The company listed on the Hong Kong Stock Exchange in December
2013. At the end of year 2020, the company's land bank totaled 72.0
million square meters in gross floor area in different cities
across China, including Shenzhen, Shantou Nanning, Hong Kong and
other cities in the Greater Bay Area, as well as Singapore.

SEAZEN GROUP: S&P Raises ICR to 'BB+', Outlook Stable
-----------------------------------------------------
S&P Global Ratings, on March 31, 2021, raised its long-term issuer
credit ratings on Seazen Group and its subsidiary Seazen Holdings
to 'BB+' from 'BB'. S&P affirmed its 'BB' long-term issue rating on
Seazen Holdings' outstanding guaranteed senior unsecured notes.

The stable outlook on Seazen reflects S&P's view that the group
will be disciplined in spending and grow its rental income to
ensure stable earnings and leverage.

S&P said, "We expect the stability in Seazen's earnings to improve
due to its sizable recurring income, controlled growth, and
recovering sales. Leverage will also likely be stable thanks to
strong revenue growth and moderate debt expansion. We continue to
see Seazen Holdings as a core subsidiary of the group because it
holds all the group's development projects and investment
properties.

"Seazen's ability to expand its recurring rental income will help
to improve its debt-servicing. We forecast rental income and
bundled contracted management fees from "Wuyue Plazas" retail malls
will grow to more than Chinese renminbi (RMB) 8 billion in 2021,
from RMB5.3 billion in 2020. This will be supported by full-year
contributions from 30 malls that opened in the last quarter of 2020
and the opening of 26 new malls in 2021. Correspondingly, we expect
Seazen's rental income interest coverage to improve to 100%-110% in
2021, from 81% in 2020. We reflect the strength of stable rental
income in the positive comparable rating analysis."

The continuing stability of rental income from Wuyue Plazas will
hinge on execution in lower-tier cities. These malls have had high
margin of 65%-75% and high occupancy rates of 98.5%. However, of
the 100 malls in operation at end-2020, only 22 have been operating
for more than three years and 59 have been operating for less than
two years. Furthermore, the positioning of Wuyue Plazas as mid-end
retail malls in lower-tier cities may provide less income stability
because tenants could be more vulnerable to economic cycles. S&P
believes such risk is somewhat offset by the strong 20% growth in
tenants' sales in 2020 despite the COVID-19 pandemic.

Seazen's growth in revenue recognition from property development
will likely be stable, with strong visibility. S&P believes the
group has sizable contract liabilities and strong execution
abilities. Despite the pandemic, Seazen has delivered projects
worth close to RMB138 billion in revenue for 2020, a robust 71%
growth. Its sold but unrecognized contracted sales, represented by
contract liabilities, exceeded RMB202 billion at end-2020. This
should support revenue growth of 5%-8% to RMB140 billion–RMB160
billion each in 2021 and 2022.

Significant declines in margin are less likely, in our view. We
expect the gross margin to mildly drop to 18%-20% in 2021 and 2022,
after a significant drop of almost 9 percentage points to 21.6% in
2020. The decline in margins in 2020 was due to the delivery of
high-cost projects acquired during the aggressive expansion in 2017
and 2018. Moreover, the company had to lower prices to secure cash
inflows at the time when its former chairman was arrested.

Seazen is likely to continue to lower its land costs. The company
is looking to source about a third of its new land from mixed-used
commercial projects. These are through direct government deals and
help evade competition from other developers. As of Dec. 31, 2020,
Seazen's average land banking cost is low at RMB3,031 per square
meter, only 25% its average selling price.

Seazen should maintain stable leverage, thanks to recovery in
contracted sales and reduced land acquisitions. S&P said, "We
estimate sales will grow 3%-4% to close to RMB260 billion in 2021,
supported by saleable sources of more than RMB430 billion. In our
view, the 7% decline in contracted sales in 2020 was one-off,
caused by limited land acquisitions in 2019 due to the incident
involving the former chairman. We expect Seazen to trim its land
spending to about 40% of cash receipts from contracted sales in
2021, from 50% in 2020. As a result, Seazen should be able to
maintain stable leverage, with the ratio of consolidated debt to
EBITDA at 4.0x-4.5x in 2021 and 2022." On a look-through basis
(after proportionally consolidating joint venture projects) the
ratio should be slightly lower at 3.5x–4.0x, given only
construction loans are at the joint venture level.

S&P said, "We expect Seazen to continue to improve its debt
maturity profile and strengthen its funding channels. The company's
funding access has fully recovered after the incident involving the
former chairman in mid-2019. This is demonstrated by Seazen's full
resumption of its banking relationships, with bank loans increasing
41% in 2020 after a flat 2019. The company also issued RMB5.1
billion in commercial mortgage-backed securities in 2020. These had
a low cost of 4.8%-5.5%, with a three-year tenor and an option to
extend at the company's discretion. Seazen's large and unpledged
investment property portfolio of RMB53 billion as of Dec. 31, 2020,
could provide further firepower for it to optimize its debt
profile. The weighted average maturity of the company's debt
increased to 2.4 years in 2020 from just under 2.0 years in 2019.

"The stable outlook on Seazen reflects our view that the group will
balance growth and spending between its property development and
investment properties operations over the next 12-24 months. We
therefore forecast continuing stable leverage over the period. We
also expect Seazen to continue to grow its portfolio of retail
malls such that its recurring income adds further earnings
stability."

The ratings and outlook on Seazen Holdings will move in tandem with
that on Seazen Group.

S&P said, "We may lower the rating on Seazen Group if Seazen's
sales performance weakens given its material exposure in
lower-tiered cities, or if the company undertakes more aggressive
debt-funded expansion. A debt-to-EBITDA ratio staying well above
5.0x over a sustained period could trigger a downgrade.

"We could also downgrade the company if the rental growth from its
investment property portfolio falls short of our expectations such
that its rental income, including the contracted management fee,
cannot cover its interest expenses. In this case, our tolerance for
weaker sales and rental income or higher debt growth would reduce.
The ratio of debt to EBITDA staying higher than 4.5x over a
sustained period would point to such a deterioration.

"The rating upside is limited over the next 12 months. However, we
may raise the rating if: (1) Seazen can continue strengthening its
market position in property development such that its business
scale and profitability are in line with that of peers at a higher
rating level; (2) Seazen's investment property portfolio expands,
with rental income fully covering interest expense; and (3) the
company maintains financial discipline such that its debt-to-EBITDA
ratio stays consistently below 4x."


SUNAC CHINA: Fitch Alters Outlook on 'BB' IDR to Positive
---------------------------------------------------------
Fitch Ratings has revised homebuilder Sunac China Holdings
Limited's Outlook to Positive from Stable and affirmed its
Long-Term Foreign-Currency Issuer Default Rating (IDR), senior
unsecured rating and the ratings on its outstanding senior notes at
'BB'.

The Positive Outlook reflects Fitch's view that leverage, measured
by net debt/adjusted inventory adjusted for proportional
consolidation of joint ventures (JV) and associates, may be
sustained below 30%, the level at which Fitch may upgrade the
rating. Sunac has reduced leverage below this level by slowing land
acquisitions, maintaining contracted sales and lowering stakes in
projects, although trade payables have increased. However, the
company would have to sustain leverage below the threshold for a
longer period before Fitch would consider further positive rating
action.

Sunac has decreased its proportion of non-bank financial
institution (NBFI) loans, although it remains higher than that of
similarly rated peers. Fitch expects Sunac to continue decreasing
its reliance on NBFI loans and improve its short-term liquidity
ratio.

KEY RATING DRIVERS

Leverage Decrease: Sunac's leverage, adjusted for proportional
consolidation of JVs and associates, fell from 38% in 2019 to 29%
in 2020. Fitch's leverage calculation assigned 40% cash credit to
Sunac's listed equity investments, such as its KE Holdings Inc.
stake. Sunac has deleveraged by significantly reducing its land
acquisitions and investments, while maintaining its attributable
contracted sales. Fitch expects leverage to continue falling in
2021 although a longer record of low leverage will be considered
before additional positive action.

Sunac's total and attributable contracted sales rose slightly to
CNY575 billion and CNY389 billion, respectively, in 2020 from 2019.
The reduction in land acquisition lowered land premiums from around
CNY135 billion to CNY80 billion. Nevertheless, Sunac has a total
land bank gross floor area (GFA) of 258 million sq m. Fitch
estimates it has around four years of land-bank life in unsold
attributable GFA, which is longer than that of similarly rated
peers. Fitch believes Sunac can sustain its contracted sales growth
without pressure on land replenishment.

NBFI Loans to Fall: Sunac's proportion of NBFI loans fell in 2020
from 2019, although it remained high compared with that of peers.
The reliance on NBFI financing was the result of Sunac increasing
land acquisitions in higher-tier cities. However, as it slows land
purchases, Fitch expects the company to significantly reduce the
proportion of NBFI loans, some of which it repaid in 2020.

Its average funding costs rose to around 8%-8.5% in 2019 and 2020
from around 6% in 2018 due to rising interest rates and the
increased use of NBFI loans. Fitch expects funding costs to
decrease as it lowers the proportion of NBFI loans. Interest rates
for Sunac's bank borrowings and capital-market debt are in line
with that of similarly rated peers.

Strong Sales: Fitch forecasts an average selling price (ASP) of
CNY14,000/sq m for Sunac in the next few years. The company
maintained its ASP at around CNY14,020/sq m in 2020 and increased
it to around CNY15,500/sq m in 2M21. This reflects Sunac's focus on
higher-tier cities and its geographical diversity. Sunac's
attributable contracted sales are comparable with that of other
large Chinese homebuilders, including China Vanke Co., Ltd.
(BBB+/Stable) and Poly Developments and Holdings Group Co., Ltd.
(BBB+/Stable).

Steady Margin: Sunac's consolidated EBITDA margin, excluding
capitalised interest in costs of goods sold (COGS), remained at
around 26% in 2020. If valuation gains from acquired projects were
removed from COGS, the EBITDA margin would have been 32%. Fitch
expects a slight drop in EBITDA margins, in line with the industry.
Fitch forecasts EBITDA margins, including valuation gains but
excluding capitalised interest in COGS, of around 20%-25% in the
medium term.

Meaningful JV Exposure: Sunac's implied cash collection (defined as
change in customer deposits plus revenue booked during the year) in
2020 was CNY252 billion, or 44% of reported total sales. This
suggests around half of Sunac's total contracted sales came from
its JVs and associates. Sunac has kept consolidated sales/total
sales largely constant in the past few years, although lower than
that of higher-rated peers. Fitch thinks the high proportion of JV
projects means their performance is not fully reflected in the
company's audited financials.

Increase in Trade Payables: Sunac's operating cash flow, including
interest received and paid, amounted to around CNY30.5 billion.
Trade and note payables increased to CNY106 billion in 2020 from
CNY66 billion in 2019. Nevertheless, Sunac's total trade and note
payables are low, at around 17% of inventory, relative to that of
peers. Fitch therefore believes Sunac has room to deleverage
through the sale of development properties and decreasing land
acquisitions, without a significant increase in the proportion of
payables.

Diversified Land Bank: Sunac's land bank is diversified across
northern, south-western and south-eastern China, the Beijing area
and the Yangtze River Delta. It also has a presence in central
China, the Greater Bay Area and Hainan province. Around 78% of
Sunac's land bank by saleable value is in Tier 1 and 2 cities,
where pent-up demand is more robust than in lower-tier cities. The
remaining land bank is in strong third-tier cities. Geographical
diversification helps mitigate local policy restrictions, as each
government has differing home-purchase limits.

DERIVATION SUMMARY

Sunac's homebuilding attributable sales scale and geographical
diversification are comparable with that of large investment-grade
homebuilders, such as Vanke and Poly, and also comparable with or
superior to that of Longfor Group Holdings Limited (BBB/Positive)
and Shimao Group Holdings Limited (BBB- /Stable).

Country Garden Holdings Company Limited (BBB-/Stable) has larger
attributable scale and geographical coverage than Sunac. However,
Country Garden's land bank is more concentrated in low-tier cities,
where demand is susceptible to negative sentiment, while the
majority of Sunac's land bank is situated in Tier 1 and 2 cities.

Sunac's scale is significantly larger than that of Seazen Group
Limited (BB+/Stable) and its subsidiary, Seazen Holdings Co., Ltd.
(BB+/Stable), while Seazen has higher recurring EBITDA/interest
because of its portfolio of shopping malls.

Sunac's leverage, adjusted for proportional consolidation of JV
projects, of around 29% is higher than that of investment-grade
peers, and similar to that of 'BB+' rated issuers, such as
Sino-Ocean Group Holding Limited (BBB-/Stable; Standalone Credit
Profile: bb+), Seazen Group and Seazen Holdings. Sunac's leverage
is lower than those of CIFI Holdings (Group) Co. Ltd. (BB/Stable)
and China Aoyuan Group Limited (BB/Stable). However, Sunac's higher
proportion of NBFI loans in its balance sheet also contributes to
its higher funding costs.

KEY ASSUMPTIONS

Fitch's key assumptions within its rating case for the issuer
include:

-- 5% growth in attributable sales in 2021, with slower growth
    thereafter. This is aligned with Fitch's view of the sector's
    sales growth;

-- Contracted sales ASP of around CNY14,000/sq m;

-- Gradual decrease in land-bank life;

-- Capex on investment properties and property, plant and
    equipment of CNY12.5 billion-17.5 billion per year;

-- EBITDA margin, excluding capitalised interest and including
    the effect of revaluation of acquired projects in COGS, of
    around 20%-25%.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- Net debt/adjusted inventory below 30% for a sustained period
    (2020: 29%);

-- Decreased reliance on NBFI financing.

Factor that could, individually or collectively, lead to negative
rating action/downgrade:

-- Outlook will be revised to Stable if company does not meet the
    upgrade triggers in the next 12-18 months

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Sufficient Liquidity: Sunac's available cash/total short-term debt
improved to above 1x in 2020, after being below 1x in the past few
years. Sunac has available cash balance of CNY98.7 billion, which
is enough to cover short-term debt of CNY 91.6 billion.

Sunac issued a total of USD1.65 billion in offshore bonds in 2021,
which covers most of the US dollar bond maturities due in the next
12 months.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.


XIANNING URBAN: Fitch Affirms First-Time 'BB+' LongTerm IDRs
------------------------------------------------------------
Fitch Ratings has assigned Xianning Urban Development (Group) Co.,
Ltd. (XNUD) Long-Term Foreign- and Local-Currency Issuer Default
Ratings (IDRs) of 'BB+'. The Outlook is Stable.

XNUD is a state-owned urban development entity and the largest
government-related entity (GRE) in the city of Xianning, in China's
southeastern Hubei province. The company is engaged mainly in land
development, infrastructure construction and property development
although there are other businesses, including a taxi service,
outdoor advertising and car parks.

KEY RATING DRIVERS

'Very Strong' Status, Ownership and Control: XNUD is wholly owned
by the Xianning State-owned Assets Supervision and Administration
Commission (SASAC). The Xianning SASAC maintains strong control and
oversight of XNUD, appointing the company's top management,
approving the annual budget and monitoring operational performance.
Fitch assesses this factor as 'Very Strong' based on the Xianning
municipal government's controlling power.

'Strong' Support Record: XUND has various public mandates and
therefore receives significant government support in the form of
subsidies, asset and capital injections, and government debt swaps.
This support totalled CNY8.5 billion during 2015-2020. The support
is essential to maintain the company's profitability and a healthy
capital structure.

'Moderate' Socio-political Implications of Default: A default by
the company would cause a temporary short- or medium-term
disruption to various public projects, although a replacement
entity could take over the company's mandates, in Fitch's view.
XNUD is the only primary land developer and public infrastructure
contractor, as well as the only affordable housing developer, in
the urban region of the Xianning municipality.

'Very Strong' Financial Implications of Default: Fitch believes a
company default would largely affect the reputation of local
government and the funding ability of other peer GREs. The company
has strong access to diversified funding channels, including
banking relationships and access to bond markets. XNUD was the
city's largest GRE by consolidated total assets and
interest-bearing debts at end-2019.

Standalone Credit Profile (SCP) of 'b+': XNUD's revenue
defensibility and operating risk are assessed as 'Midrange',
reflecting the monopolistic position in local urban development and
thus a stable revenue stream. The current system compensates the
full costs incurred on government projects with the overall margin
maintained at a positive level. The financial profile is assessed
as 'Weaker' with the adjusted net debt/EBITDA to reach around 45.0x
by end-2024.

The company funds capex mainly by incremental debt because of low
profitability. That said, an ample unused bank facility, long-term
debt profile and Fitch's expectations of continuing government
support mitigate the high leverage and refinancing risk.

DERIVATION SUMMARY

XNUD's ratings are assessed under Fitch's Government-Related
Entities Rating Criteria, reflecting the municipal government's
strong control and historical support. Fitch also factors in the
importance of XNUD to the city as a major urban developer. XNUD's
SCP is assessed as 'b+' under Fitch's Public Sector,
Revenue-Supported Entities Rating Criteria.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

-- An upward revision in Fitch's credit view of the government's
    ability and willingness to provide support to XNUD with
    allowable resources under China's policies and regulations
    would lead to positive rating action;

-- A stronger assessment of the socio-political implications of a
    XNUD default, which increases the government's incentive to
    provide support, would also lead to a rating upgrade;

-- An improvement in the SCP would also trigger a rating upgrade.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

-- A downward revision in Fitch's credit view of the government's
    ability and willingness to provide support to XNUD with
    allowable resources under China's policies and regulations
    would lead to negative rating action;

-- A significant weakening of socio-political and financial
    implications of a XNUD default, and a view of significant
    dilution of the government's control would cause a rating
    downgrade.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Sovereigns, Public Finance
and Infrastructure issuers have a best-case rating upgrade scenario
(defined as the 99th percentile of rating transitions, measured in
a positive direction) of three notches over a three-year rating
horizon; and a worst-case rating downgrade scenario (defined as the
99th percentile of rating transitions, measured in a negative
direction) of three notches over three years. The complete span of
best- and worst-case scenario credit ratings for all rating
categories ranges from 'AAA' to 'D'. Best- and worst-case scenario
credit ratings are based on historical performance.




=========
I N D I A
=========

ALIVELU RICE: ICRA Keeps D Debt Rating in Not Cooperating
---------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Alivelu
Rice Products (ARP) in the 'Issuer Not Cooperating' category. The
rating is denoted as [ICRA]D ISSUER NOT COOPERATING".

                     Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long Term-        10.00       [ICRA]D ISSUER NOT COOPERATING;
   Fund Based-                   Rating continues to remain under
   Cash Credit                   '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.

Alivelu Rice Products was established as a partnership firm in 1997
by Mr. A. Ramakrishna and other family members, who have more than
5 years of experience in trading of agricultural commodities. The
firm is located in Tanuku Mandal situated in west Godavari district
of Andhra Pradesh. The firm has started as a rice mill to produce
raw and boiled rice. However, in 2012, the firm shifted its line of
business to trading of agricultural commodities. The firm derives
its revenue primarily from trading in maize and other agricultural
commodities.

AMBIKA TIMBER: CARE Lowers Rating on INR7.0cr LT Loan to B-
-----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Ambika Timber Depot (ATD), as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term Bank       7.00       CARE B-; Stable; ISSUER NOT
   Facilities                      COOPERATING; Revised from
                                   CARE B; Stable and moved to
                                   ISSUER NOT COOPERATING category

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from ATD to monitor the rating
vide e-mail communications dated March 8, 2021 and numerous phone
calls. However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
the absence of minimum information required for the purpose of
rating, CARE is unable to express opinion on the rating. In line
with the extant SEBI guidelines, CARE has reviewed the rating on
the basis of best available information which however, in CARE's
opinion is not sufficient to arrive at fair rating. The rating on
ATD's bank facilities will now be denoted as CARE B-; Stable ISSUER
NOT COOPERATING.

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating.

The revision in rating takes into account the non-availability of
requisite information due to non- cooperation by Ambika Timber
Depot with CARE's efforts to undertake a review of the outstanding
ratings as CARE views information availability risk as key factor
in its assessment of credit risk profile.

Detailed description of the key rating drivers

At the time of last rating on April 3, 2020 the following were the
rating strengths and weaknesses:

Key Rating Weaknesses

* Small scale of operation: The scale of operation on a combined
base stood modest marked by TOI of INR41.32 crore with net worth
base of INR6.19 crore as on March 31, 2019.

* Working capital intensive nature of operation: Being in whole
sale trading business, the firm's is to working capital intensive
nature of operation, indicated by its higher inventory and creditor
period of 305 days and 240 days respectively in FY19 on combined
basis. Although the purchases are backed by a letter of credit (LC)
with a usage period of 180 days. The inventory period generally
stays high due to seasonality nature of business and the peak
season of sale is achieved during January- June. Apart from this
considering the transit time taken while the goods are imported and
shipped to stock yard. On sale, the firm's collection period
extends up to 60-70 days.

* Leveraged capital structure and weak debt coverage indicators:
The capital structure marked by overall gearing of the firm stood
leveraged at 4.64 as on March 31, 2019 deteriorated as against 3.44
as on March 31, 2018 at the back of higher utilisation of working
capital borrowing and unsecured loan brought in by the promoter
during the year.

The debt coverage indicators marked by interest coverage ratio
stood 1.25x in FY19 with nominal difference as against 1.26 in FY18
led by increase in operating profit. Further, TD/GCA stood weak at
54.00x in FY19 declined as against 49.13x in FY18 on account lower
cash accrual and increase in quantum debt level.

* Foreign currency fluctuation risk and government regulations on
industry: The firm is mainly importing raw material from countries
like Myanmar, Malaysia and Indonesia etc. Its import procurements
constitute 100% of its total purchases. All the sales however are
concentrated to the domestic market, particularly Tamil Nadu. As a
result of foreign procurements and there is no natural hedging
mechanism and the firm is exposed to foreign exchange fluctuation
risk. Revenue is further susceptible to government regulatory
policies in relation to import-export duties, custom duties,
restriction on volume of imports, freight rates, port charges etc.

* Highly fragmented industry with low entry barriers: The timber
industry has many unorganized players who mainly cater to local
demands. Most of these players have limited value addition to their
products and subsequently, the industry is classified by having
stiff competition and low entry barriers. Although the volume of
trade may be high, the profitability margins are generally low.

Key rating strength

* Experienced promoters with established relationship clientele
base: Mr. P. Ramesh Kumar has business experience of more than
three decades in timber trading business through its concerns i.e.
Thrisul Timbers Traders and Ambika Timber Depot which is engaged
into trading of timber. Further, the promoters have established
relationship with their customers and suppliers which help them
getting repeat orders.

* Increase in total operating income: On consolidated base, the
ATD&TTT has reported growth by 9.98% during the year. In FY19, TTT
had better flow of order as compared to ATD and as result reflected
in its TOI from INR19.02 crore in FY18 to INR21.72 crore in FY19.
Moreover, the TOI of ATD stood at INR18.54 crore in FY18 and
increased to INR19.60 crore due to regular order received from
existing customers.

* Satisfactory profitability margins considering trading nature of
business: On Consolidated basis, the PBILDT margin of the firm has
increased by 40 bps to 7.70% in FY19 (P.Y.7.30%) and Stable PAT
margin at 1.02% in FY19, on account of overall reduction in direct
and indirect expenses at the back reflected in increase in scale of
operation. The PBILDT margin of ATD has improved from 6.90% in FY18
to 7.29% in FY19 with decrease in maintenance expense, salary
expenses and oter indirect expenses related to operation. However,
with increase in interest expenses, the PAT margin of ATD
marginally declined from 0.76% in FY18 to to 0.51% in FY19.
Further, the PBILDT margin of TTT has improved from 7.20% in FY18
to 7.60% in FY19 on account of better margin in achieved along with
nominal curtailed indirect expenses during the year. With
aforementioned reason the PAT margin of TTT improved from 1.37% in
FY18 to 1.47% in FY19.

Analytical approach: For the purpose of analysis, CARE has combined
financials of two entities of the Ambika Timber Depot and Thrisul
Timber Traders since these entities are engaged in similar industry
and have common management along with having common customers and
suppliers.

Coimbatore (Tamil Nadu) based, Ambika Timber Depot (ATD) was
established in the year 1982 as a partnership firm by Mr. P Ramesh
Kumar. The partners has experience of over three decades in timber
trading business. The firm is engaged in trading of timber logs.

APPOLLO DISTILLERIES: ICRA Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Appollo
Distilleries 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        75.00       [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.

ADPL owns and operates a brewery plant having an installed capacity
of 50,000 KLPA (kilo liter per annum) at Billakuppam, Gummidipundi,
Tamil Nadu (TN). The commercial operation of ADPL's manufacturing
facility commenced in May 2012. ADPL is a subsidiary of Empee
Distilleries Limited (part of Empee group of companies).


B K RICE: CARE Lowers Rating on INR12.97cr LT Loan to B
-------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of B K
Rice Industries, as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term Bank      12.97       CARE B; Stable; ISSUER NOT
   Facilities                      COOPERATING; Revised from
                                   CARE B+; Stable and moved to
                                   ISSUER NOT COOPERATING category

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from of B K Rice Industries to
monitor the rating(s) vide e-mail communications December 17, 2020,
December 23, 2020 and January 27, 2021 and February 12, 2021 and
numerous phone calls. However, despite our repeated requests, the
company has not provided the requisite information for monitoring
the ratings. In line with the extant SEBI guidelines, CARE has
reviewed the rating on the basis of best available information
which however, in CARE's opinion is not sufficient to arrive at
fair rating. The rating on B K Rice Industries bank facilities will
now be denoted as CARE B; Stable; ISSUER NOT COOPERATING and will
indicate that the rating is "BASED ON BEST AVAILABLE INFORMATION".

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating.

Detailed description of the key rating drivers

At the time of last press release dated January 28, 2020 the
following were the rating strengths and weaknesses:

Key Rating Weaknesses

* Small scale and nascent stage of operations and partnership
nature of entity: The firm was established in 2017 and started its
commercial operations from April 2018, hence it has a short track
record. The firm had recorded a total operating income of INR32.15
crore and profit of INR0.07 crore during FY19. Further, during
9MFY20, the firm had achieved a total operating income of ~INR20
crore. Partnership nature of business has an inherent risk of
withdrawal of capital by the partners at the time of their personal
contingencies. It also has the inherent risk of business being
discontinued upon the death/insolvency of a partner. The ability to
raise funds is also very low as partnership concerns have
restricted access to external borrowings. In FY20, the partners had
infused capital of up-to INR0.16 crore.

* Leveraged capital structure and weak debt coverage indicators:
The capital structure of the firm was leveraged and the overall
gearing stood at 4.12x as on March 31, 2019 due to increase in the
total debt on back of increase in the working capital bank
borrowing for the day-to-day activities. The debt profile of the
firm consisted mainly of working capital borrowing of INR3.99 crore
and rupee term loan of INR5.87 crore. The debt coverage indicators
marked by total debt/GCA had improved from 24.89x in FY15 to 13.89x
in FY17 due to increase in cash accruals. The PBILDT interest
coverage ratio had improved from 1.40x in FY15 to 1.91x in FY17 due
to increase in PBILDT in absolute terms.

* Working capital intensive nature of operations due to seasonal
availability of paddy resulting in high inventory holding Period:
Paddy in India is harvested mainly at the end of two major
agricultural seasons: Kharif (June to September) and Rabi (November
to April). The millers have to stock enough paddy by the end of
each season as the price and quality of paddy is better during the
harvesting season. During this time, the working capital
requirements of the rice millers are generally on the higher side.
On account of the same, working capital limits had been utilized up
to 90-95% over the last 12 months ended April 30, 2019. The average
collection period for the firm was 20 days while the average
creditor period was 9 days. The working capital cycle of the firm
had stood at 34 days with an average inventory period of 23 days
during the first full year of operations.

* Monsoon dependent operations and high-level of government
regulations: BKRM's operations are dependent on agro-climatic
conditions and may get adversely impacted in case of weak monsoon
or poor crop quality. The rice industry is highly regulated by the
government as it is seen as an important sector which could affect
the food security of the country. The sale of rice in the open
market is also regulated by the government through levy quota and
fixed prices. Hence, the firm is exposed to the risk associated
with fluctuation in price of rice.

* Fragmented nature of industry and low entry barriers: The rice
milling business requires limited quantum of investment in
machinery, however, it has high working capital needs. Further,
rice milling is not very technology intensive and as a consequence,
the industry is highly fragmented with large number of players
operating in the organized and unorganized segments. The high level
of competition has ensured limiting bargaining power, as a
consequence of which rice mills are operating at low to moderate
profitability margins.

Key Rating Strengths

* Experienced partners in rice industry: Mr. Nagaraj S, aged 35,
has been in the business of rice milling and processing for a
period of about 8 years before commencing operations in the B.K.
Rice Industries. Ms. Visalakshi is also experienced in the same
industry for about 6 years. The firm is likely to be benefited by
its qualified and experienced partners, due to their presence in
the industry and have established good relations with the suppliers
for raw material.

* Successful commissioning of the project: The construction of the
manufacturing unit was completed in April 2018 and the commercial
operations of the firm commenced from May 2018 and had recorded a
total operating income of INR32.15 crore and profit of INR0.0.7
crore during FY19. Further, during 9MFY20, the firm achieved a
total operating income of ~INR20 crore.

* Satisfactory profitability margins: The PBILDT margin had stood
satisfactory in FY19 at 10.08% during FY19 on back of increase in
number of orders executed and absorption of overheads. The PAT
margin, however, had stood thin at 0.20% in FY19 due to high
interest and finance expense and depreciation cost.

* High demand outlook for rice: Rice is consumed in large quantity
in India which provides favorable opportunity for the rice millers
and thus the demand is expected to remain healthy over medium to
long term. India is the second largest producer of rice in the
world after China and the largest producer and exporter of basmati
rice in the world. With growing consumer class and increasing
disposable incomes, demand for premium rice products is on the rise
in the domestic market. Demand for non-basmati segment is primarily
domestic market driven in India. Initiatives taken by government to
increase paddy and better monsoon conditions will be the key
factors which will boost the supply of rice to the rice processing
units. Rice being the staple food for almost 65% of the population
in India, it has a stable domestic demand outlook.

Karnataka-based B K Rice Industries was established as a
partnership concern, in 2017, by Mr. Nagaraj and Ms. S Vishalakshi
for doing the business of rice milling and processing. The
construction of the manufacturing unit was completed in March 2018
and the commercial operations commenced in May 2018. The firm
sources its raw material, paddy, from local farmers in and around
Karnataka and sells mostly to Tamil Nadu, Maharashtra and Karnataka
their finished product i.e; rice, broken rice and rice bran. The
rice mill has an installed capacity of 08 tons per hour.


B.K. EXPORTS: ICRA Keeps B- Debt Rating in Not Cooperating
----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of B.K.
Exports in the 'Issuer Not Cooperating' category. The rating is
denoted as [ICRA]B- (Stable) ISSUER NOT COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term-          25.00       [ICRA]B- (Stable) ISSUER NOT
   Fund based-                     COOPERATING; Rating continues
   Cash Credit                     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.

B. K. Exports was incorporated in 2008 as a proprietorship concern
by Mr. Bellam Kotaiah. The firm is involved in trading of tobacco
comprising FCV (Flue Cured Virginia) tobacco and burley tobacco.
The firm procures FCV tobacco from Tobacco Board of Guntur and
Karnataka through auction, while burley tobacco is purchased from
farmers.

CHANDRI PAPER: ICRA Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Chandri
Paper & Allied Products Private Limited 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         12.50       [ICRA]D ISSUER NOT COOPERATING;
   Fund based                    Rating continues to remain under
                                 'Issuer Not Cooperating'
                                 Category

   Short Term        21.25       [ICRA]D ISSUER NOT COOPERATING;
   Non Fund                      Rating continues to remain under
   Based                         '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.

CPAPPL was incorporated in the year 2003 with an objective of
manufacturing and trading paraffin wax from slack wax and had
established its manufacturing facilities at Tarapur (Maharashtra)
with a capacity to produce 3,600 MT of paraffin wax annually. Since
inception, CPAPPL has been supplying paraffin wax primarily to the
local customers engaged in the manufacture of candles. In 2008, the
company forayed into the business of trading base oil, wherein it
imported base oil from oil refining companies based in Iran,
Hongkong, and Singapore and sold them in the domestic market to
companies involved in manufacturing of oil related products such as
vaseline, grease, engine oil, and transformer oil.

DATT REALINFRA: CARE Lowers Rating on INR8.60cr LT Loan to B+
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of Datt
RealInfra Private Limited (DRPL), as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term Bank       8.60       CARE B+; Stable; ISSUER NOT
   Facilities                      COOPERATING; Revised from
                                   CARE BB-; Stable and moved to
                                   ISSUER NOT COOPERATING category

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from DRPL to monitor the rating
vide email communications dated February 25, 2021, March 1, 2021,
March 9, 2021, March 10, 2021, March 11, 2021, March 12, 2021,
March 13, 2021, March 15, 2021 and numerous phone calls. However,
despite CARE's repeated requests, the company has not provided the
requisite information for monitoring the ratings. In line with the
extant SEBI guidelines, CARE has reviewed the ratings on the basis
of the best available information which, however, in CARE's opinion
is not sufficient to arrive at a fair rating. The rating on DRPL's
bank facilities will now be denoted as CARE B+; Stable; ISSUER NOT
COOPERATING.

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating.

The ratings assigned to the bank facilities of DRPL has been
revised on account of non-availability of requisite information for
carrying out rating exercise.

Detail description of the key rating drivers

At the time of last rating on September 30, 2020, the following
were the rating strengths and weaknesses (updated from information
available from RERA).

Key rating weaknesses

* Moderate booking status and customer advance received: For
project 'Datt Garden View (Block G & H)', booking status and
subsequently booking receipt remained moderate till September 14,
2020 as against advance stage of completion of project; thereby
risk associated with timely receipt of remaining booking advances
remains crucial. However, as per RERA website, Till December 31,
2020, DRPL has received booking of 103 units out of total 168 units
for 'Datt Garden View'. Moreover, it has also availed moratorium
for deferment of interest and principle of its term loan of INR6.00
crore for period from March 2020 to September 2020.

* Subdued outlook for the cyclical real estate sector: The risks
associated with real estate industry are cyclical nature of
business (linked to economic cycle), interest rate risk, roll back
of income tax benefits etc. Further, in light of the on-going
economic downturn, the sector is facing issues on many fronts.
These include subdued demand, curtailed funding options, rising
costs, restricted supply due to delays in approvals etc. thereby
resulting in stress on cash flows.

Key Rating Strengths

* Experienced management: The directors are actively involved in
day-day affairs of the company. Mr. Sudhir Chandra Datt, Director
having more than 40 years of experience and looks after the overall
affairs of the company. Further, he is supported by other
directors, Mr. Vishal Datt and Mr. Nishant Datt having 15 years of
experience. The company has more than 45 qualified and experienced
staff which helps in smooth functioning of the DRIPL.

* Established brand name in Madhya Pradesh with location advantage:
The directors have established a sports club under the name
"Sports Club of Jabalpur" in same area since 2000 which is
well-known sports club in the region. Further, the company also has
its presence in Jabalpur by its Hotel since long period of time
which is operated by OYO Rooms. The location of the residential
project is in the well-known region of Jabalpur which is easily
accessible to Airport, railway station and bus stand. It is
strategically located close to school, hospital, supermarket,
places of worship and a well-known Mall (Forum Value Mall and
Gopalan Innovation Mall).

* Advance stage of completion of project 'Datt Garden View': The
real estate project 'Datt Garden View (Block G & H)' is at advance
stage of completion marked by 84% of total expected cost has
already been incurred till March 31, 2020. The construction site of
the project was shut from March 20, 2020 till May 20, 2020 on
account of lock down declared by government due to COVID-19.
However, DRPL is expected to complete the project by the end of
March 2022.

Jabalpur (Madhya Pradesh) based Datt Real Infra Private Limited
(DRPL) was incorporated in August 2012 by Mr. Vishal Datt and Mr.
Sudhir Chandra Datt. DRPL is formed with a purpose of developing
residential projects. DRPL is currently executing a residential
project named 'Datt Garden View' - Block G & H (RERA Registration
No.: P-JBP-17-1363) with 168 residential units (2&3BHK) at Jabalpur
consisting total saleable area under development of 1.44 lakh
square feet. The implementation of 'Datt Garden View' for its Block
G & H commenced from June 2017 and till March 31, 2020, DRPL has
incurred cost of INR24.50 crore (84% of total expected project
cost) and rest is expected to be incurred till March 2022. Till
September 14, 2020, out of 168 units, DRPL got booking of 138
units. Moreover, it has also successfully completed Block E & F and
sold entire units of the same (as per initial rating note). Further
the company also run a hotel with restaurant under the name "Hotel
Datt Residency" which comprises of 64 rooms.

EUPHORIA TECHNOLOGIES: Insolvency Resolution Process Case Summary
-----------------------------------------------------------------
Debtor: Euphoria Technologies Private Limited
        Office No. 403, 4th Floor
        Nishal Arcade Shopping
        Nr. Vaishali Row House
        Green City Road, Pal Surat
        Gujarat 395009
        India

Insolvency Commencement Date: March 17, 2021

Court: National Company Law Tribunal, Vadodara Bench

Estimated date of closure of
insolvency resolution process: September 12, 2021

Insolvency professional: Mr. Pradeep Srivastava

Interim Resolution
Professional:            Mr. Pradeep Srivastava
                         Mullberry 401, Vicenza Highdeck
                         Opposite CM Patel Farm
                         Kalali Village
                         Vadodara 390012
                         E-mail: shaktipradeep@yahoo.com
                                 cirp.euphoria@gmail.com

Last date for
submission of claims:    April 4, 2021


INDIAN PULP: ICRA Reaffirms D Ratings on INR54cr Loans
------------------------------------------------------
ICRA has reaffirmed ratings on certain bank facilities of Indian
Pulp & Paper Private Limited (IPPL), as:

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Fund-based–
   Cash Credit          15.93      [ICRA]D; Reaffirmed

   Fund-based–
   Term Loans           24.47      [ICRA]D; Reaffirmed

   Unallocated
   Limit                13.60      [ICRA]D; Reaffirmed

Rationale

The rating reaffirmation primarily considers the continuing
irregularity in debt servicing by IPPL due to its poor liquidity
position. The company's financial profile remains stretched due to
its depressed profitability.

Substantial accumulated losses, over the years, led to erosion of
its tangible net worth, which remained negative in the recent
years. The rating also considers the stiff competition in the
fragmented paper industry, which exerts pressure on the pricing
flexibility of the players. Its profitability is vulnerable to
volatility in raw material prices. The rating is also constrained
by IPPL's exposure to geographical concentration risks with a major
portion of sales confined to West Bengal. ICRA, however, notes the
promoters' long experience spanning over 30 years in the paper
industry.

Key rating drivers and their description

Credit strengths

* Experience of the promoters in the paper industry: IPPL's
promoters have over three decades of experience in trading and
manufacturing of paper. Before entering the paper manufacturing
business in 2006, the promoters were involved in trading of paper.

Credit challenges

* Continuing irregularity in debt servicing due to poor liquidity
position: The company's sizeable debt service obligation (due to
high interest expense and significant term loan repayment)
adversely impacted its liquidity position. In FY2020, IPPL's fund
flow from operations (FFO) remained negative due to a sharp decline
in turnover. Its FFO is likely to remain negative in the current
fiscal owing to low turnover on account of the pandemic. The
company's poor liquidity position has led to a continuous
irregularity in debt servicing.

* Stretched financial profile due to depressed profitability;
substantial accumulated losses leading to negative net worth: The
company's financial profile continues to remain stretched. Its
capacity utilization declined significantly to 56% in FY2020 from
77% in FY2019, adversely impacting the turnover and profits. IPPL's
operating margin dipped to 5.50% in FY2020 from 15.66% in FY2019,
translating into a net loss of INR8.86 crore in FY2020 vis-a-vis a
net profit of INR1.89 crore in the previous year. IPPL's tangible
net worth remained negative over the last five years due to
significant accumulated losses.

* Highly fragmented and competitive industry exerts pressure on
pricing flexibility: The company faces stiff competition from other
kraft paper manufacturers as the industry is highly fragmented.
This limits IPPL's pricing flexibility, thereby putting pressure on
margins. It has limited product diversification with kraft paper
being its sole product line.

* Vulnerable to volatility in raw material prices: The company
produces kraft paper by recycling of waste paper, which is mainly
procured from domestic sources and a small portion is imported.
IPPL's profitability is likely to remain susceptible to volatility
in prices of waste paper, given its limited ability to pass on the
price hike owing to an intense competition.

* Limited geographical diversification: IPPL derives a major
portion of its sales of kraft paper from West Bengal, exposing it
to geographical concentration risks. In FY2020, the proportion of
sales generated from West Bengal increased further to 82% from 78%
in FY2019.

Liquidity position: Poor

The company's liquidity position is poor, as reflected by
continuing irregularity in debt servicing. It has a sizeable debt
repayment obligation (around INR6 crore for FY2021). However, its
free cash flows before debt repayment was negative in FY2020 and is
likely to remain depressed in the near to medium term, keeping the
liquidity under pressure.

Rating sensitivities

Positive factors – Regularization of debt servicing, on a
sustained basis, supported by improvement in liquidity position may
lead to a rating upgrade.

Negative factors – Not applicable.

The company was incorporated in 2004 by the Kolkata-based Agarwal
family in the name of Balaji Kagaz Private Limited. In 2006, it
acquired Indian Paper Pulp Company Limited (IPPCL) from the
Government of West Bengal and subsequently its name was changed to
Indian Pulp & Paper Private Limited (IPPL). IPPL, at present,
manufactures kraft paper (with 16-30 burst factor) by recycling of
waste paper. Its manufacturing facility is located in Naihati, West
Bengal with a capacity of 45,000 metric tons (MT) per annum.

JANA SMALL: ICRA Reaffirms PP-MLD B+ Rating on INR658cr NCD
-----------------------------------------------------------
ICRA has reaffirmed ratings on certain bank facilities of Jana
Small Finance Bank, as:

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Non-convertible       658.0      PP-MLD [ICRA]B+ (Negative);
   Debentures                       Reaffirmed

ICRA has reviewed Jana Small Finance Bank's performance and carried
out the rating exercise based on September 2020 audited
financials/December 2020 unaudited financials and other data up to
January 2021 shared by the Bank. However, the rationale discloses
the information pertaining only to the period up to September 2020,
in view of the expected DRHP filing by the Bank.

Rationale

The rating factors in Jana Holdings Limited's (JHL) weak financial
risk profile, its significant dependence on Jana Small Finance Bank
Limited's (JSFB) performance and the sensitivity of the rated
instrument to any adverse changes in JSFB's valuation. The rating,
however, draws comfort from the flexible structure of the rated
instrument with no committed annual coupons during the tenure of
the instrument. JHL's earnings profile remains weak with net losses
of INR111.9 crore in H1 FY2021 (net loss of Rs. 199.6 crore in
FY2020). Consequently, its gearing increased to 2.4x as on
September 30, 2020 (1.9x as on March 31, 2020). ICRA also notes
that JHL is not meeting the minimum consolidated capital adequacy
ratio (CAR) of 15% and the standalone leverage ratio of 1.25x as
per the regulatory requirements for a non-operative financial
holding company (NOFHC). JHL's consolidated CAR stood at -4.34% as
on September 30, 2020 (-4.06% as on March 31, 2020 and -8.52% as on
March 31, 2019). The company is also not meeting the minimum net
owned funds requirement.

The Negative outlook factors in the continued expected weakness in
JHL's earnings and capital profile, which could continue to impact
its ability to meet the key prudential and regulatory requirements
unless it raises commensurate capital. Jana Capital Limited (JCL;
holding 100% in JHL) is in the process of raising capital and is
considering various structures for securing the same.  This would
be used to infuse equity into JSFB via JHL. JSFB is also planning
to open an initial public offer (IPO) for raising equity and for
listing on the exchanges in the near term.

Key rating drivers and their description

Credit strengths

* Holding company of JSFB: JHL holds a 42.08% stake in JSFB (rated
[ICRA]BBB (Stable)). JSFB with a portfolio of Rs.11,263.0 crore as
on September 30, 2020 and spread over 22 states and UTs in India.
JSFB commenced operations as a small finance bank from March 28,
2018. The bank has steadily scaled-up its exposure to micro, small,
and medium enterprises, housing finance and gold loan portfolio,
which has increased to 30% of the overall portfolio as on September
2020 as compared to 25% as on March 2020. As of September 30, 2020,
microfinance/ unsecured loans constituted 70% of its portfolio with
the balance being secured business loans (2.9%), MSE loans (12.5%),
Affordable Housing (7.5%), Gold loans (4.9%) and others (1.8%).
Also, its deposit base witnessed a healthy traction in FY2021 with
a steady improvement in the tenor profile and granularity. JSFB's
liquidity is also supported by its access to refinance facilities
in the recent past.

JSFB, like other peers, is faced with increased asset quality
pressures on account of Covid-19 disruptions leading to
restructuring of some of its exposures and increase in 90+dpd vis a
vis 2.7% in September 2020. This is expected to impact its
near-term earnings performance. JSFB reported a profit of INR30.1
crore in FY2020 (return on assets (RoA) of 0.2%) and INR82.4 crore
in H1 FY2021 (RoA of 1.0%). Given JSFB's current high leverage
(12.3x as of September 2020) and asset quality pressures, its
ability to support JHL is minimal. JSFB is in the process of
raising capital via an IPO, apart from the infusion expected from
JHL.

Credit challenges

* Weak financial risk profile: JHL's earnings profile remains weak
with net losses of INR111.9 crore in H1 FY2021 (net loss of
INR199.6 crore in FY2020). Consequently, its gearing increased to
2.4x as on September 30, 2020 (1.9x as on March 31, 2020). ICRA
also notes that JHL is not meeting the minimum consolidated CAR of
15% and the standalone leverage ratio of 1.25x as per the
regulatory requirements for an NOFHC. JHL's consolidated CAR stood
at -4.34% as on September 30, 2020 (-4.06% as on March 31, 2020 and
-8.52% as on March 31, 2019). The company is also not meeting the
minimum net owned funds requirement. JHL is in the process of
merging into JCL, which is a core investment company (CIC). Thus,
post the merger, the regulatory requirements of an NOFHC would not
be applicable. However, the merged entity's ability to meet the
adjusted leverage requirement for a CIC (at or below 2.5x times)
remains to be seen in view of its weak earnings profile and the
high debt level and would depend on the capital raised by JCL and
JSFB's valuation post the IPO and listing.

JHL has limited financial flexibility as JSFB is not yet listed and
the income expectation (dividend income) from JSFB during the
tenure of the non-convertible debentures (NCDs) is low. The
proceeds of the NCDs (Rs. 958 crore of which INR658 crore is rated
by ICRA) issued to TPG Asia VI SF Pte. Ltd (TPG), Government of
Singapore Investment Co. (GIC), ECL Finance Limited (ECL), Manipal
Health Systems Private Limited (Manipal), and Centrum Group
(Centrum) were infused as compulsorily convertible preference
shares (CCPS) into JSFB (later converted into equity). Out of
INR958 crore, INR943.9 crore was infused as equity into JSFB (the
balance was retained in JHL for meeting corporate operating and
statutory expenses). Some of the NCDs are secured by a) JSFB's
shares held by JHL over and above the 40% regulatory requirement to
be held by an NOFHC in an SFB for five years (till March 2023), and
b) the shares of JCL. The debt covenants agreed with the existing
investors require approval from all investors for raising any
additional debt in JHL. Thus, considering the various restrictions,
including the majority domestic shareholding requirement at JCL and
JSFB, the ability to offload the shares in a timely manner and at a
reasonable valuation would be crucial. Of the two entities, JSFB is
expected to be listed before the maturity of the NCDs while JCL is
expected to remain unlisted. ICRA notes that TPG has subordinated
its NCDs to ECL, Centrum and GIC and is at par with Manipal. The
NCDs issued to TPG, GIC and ECL are rated by ICRA.

* Risks related to adverse movement in JSFB's valuation: Some of
the NCDs issued are to be redeemed at the base IRR of 16.5% with a
cap of 25%, depending on JSFB's valuation at the time of redemption
over the current valuation. This makes the instrument highly
sensitive to any adverse movement in JSFB's valuation as the NCDs
are expected to be redeemed primarily from the sale of shares of
JSFB on listing. Also, some of JHL's NCDs, which are maturing in
FY2022, have to be refinanced. JSFB will remain exposed to the
risks related to adverse share price movements post the listing
event, which may impact JCL's valuation. ICRA also notes that JSFB
is planning an IPO in Q1/Q2 FY2022, the successful conclusion of
which would enhance JHL's financial flexibility.

Liquidity position: Poor

JHL's liquidity position remains weak with the entire funds raised
at JHL downstreamed as equity capital into JSFB. JHL has limited
financial flexibility as JSFB is not listed and the dividend
expectation from JSFB during the tenure of the NCDs is low. Some of
JHL's NCDs (not rated by ICRA) are maturing in FY2022 and would
have to refinanced. The flexible structure of the rated instrument
with no committed annual coupons during the tenure of the
instrument provides some comfort.

Rating sensitivities

Positive factors – Given the Negative outlook, a rating upgrade
is less likely in the near term. ICRA could revise the outlook to
Stable if there is a significant improvement in the credit profile
of JSFB or if there is a significant improvement in the
capitalization and liquidity profile of JHL.

Negative factors – Pressure on JHL's rating could arise if there
is a material deterioration in the credit profile of JSFB or a
weakening in the refinancing ability/liquidity profile of JHL.

Incorporated on March 10, 2016, Jana Holdings Limited (JHL) is a
non-banking financial company – non-operative financial holding
company (NBFC-NOFHC) with a 42.08% stake in Jana Small Finance Bank
as on September 30, 2020. The company received its certificate of
registration from the Reserve Bank of India (RBI) on January 27,
2017. JHL is a wholly-owned subsidiary of Jana Capital Limited
(JCL), which is a non-deposit taking systemically important core
investment company registered with the RBI. Jana Urban Foundation
holds a 43.9% stake in JCL while foreign investors hold a 48.7%
stake and domestic investors the rest.

In H1 FY2021, JHL reported a net loss of INR111.9 crore and had a
total asset base of INR2,032.2 crore as on September 30, 2020. It
reported a net loss of INR199.6 crore for FY2020 and had a total
asset base of INR2,033.1 crore as on March 31, 2020.


JSW STEEL: Moody's Alters Outlook on Ba2 CFR to Stable
------------------------------------------------------
Moody's Investors Service has affirmed JSW Steel Limited's Ba2
corporate family rating and the Ba2 rating on the senior unsecured
notes issued by JSW. At the same time, Moody's also affirmed the
Ba2 rating on the senior unsecured notes guaranteed by JSW and
issued by its wholly owned indirect subsidiary, Periama Holdings
LLC.

The outlook on all ratings was changed to stable from negative.

"The rating affirmation and outlook change to stable are driven by
a solid recovery in JSW's operating performance in the third
quarter of fiscal year ending March 2021. We believe JSW will
sustain the improvement over the next 12-18 months, enabling a
recovery in its financial metrics to levels more appropriate for
its Ba2 CFR," said Kaustubh Chaubal, a Moody's Vice President and
Senior Credit Officer.

"The rating action also reflects JSW's acquisition of Bhushan Power
and Steel Limited (BPSL), which we view as strategic to the
business. BPSL's value-added product offering and proximity to
JSW's iron ore mines will further strengthen the company's business
profile while adding scale," adds Chaubal, who is also Moody's lead
analyst on JSW.

RATINGS RATIONALE

On March 26, JSW announced that it has implemented the resolution
plan to acquire BPSL for $2.6 billion from the distressed steel
company's operational creditors. JSW will have an effective 49%
stake in BPSL, whereas the balance 51% shareholding will be owned
by a JSW promoter-owned company, JSW Shipping & Logistics Private
Limited (JSLPL). The acquisition is being funded via $1.1 billion
from the partners (JSW: $678 million; JSLPL along with other
promoter entities: $470 million) and the balance $1.5 billion
through a short-term bridge loan.

BPSL's 2.75 million tons per annum capacity will enhance JSW's
scale. And its diverse value-added product offering, strong market
presence in eastern India and proximity to JSW's captive iron ore
mines in Odisha will further strengthen JSW's business profile.

As such, notwithstanding the minority stake, Moody's views the
acquisition as large, strategic and a good fit for JSW. Moody's
therefore expects JSW to provide operational and financial support
to BPSL should the need arise. Moody's leverage calculations for
JSW consider an entirely debt-financed acquisition, increasing
debt/EBITDA leverage to at most, by 0.5x to 4.5x as of March 2021,
from 4.0x without the acquisition. These estimates do not consider
BPSL's EBITDA.

The acquisition comes at a favorable time, with India's (Baa3
negative) steel industry having recovered from pandemic-related
shocks at the beginning of the fiscal year. Since the opening up of
the economy in June 2020, pent-up demand from end-user industries
-- in particular automotive, white goods manufacturing,
construction and infrastructure -- have boosted steel consumption,
containing the steel consumption decline to only about 11% during
fiscal 2021.

That said, there is a widening gap between the industry's
performance and that of the country's leading steel producers such
as JSW. Moody's estimates JSW's steel shipments during fiscal 2021
will decline by a modest 1%. Even so, a benign industry
environment, supportive government policies in the form of large
infrastructure investments and markedly better prospects in the
automotive industry have supported steel prices. JSW's operating
performance mirrors this buoyant environment, with its fiscal 2021
EBITDA likely to expand by over 40% during the worst pandemic-hit
year.

JSW's profitability has steadily increased to an all-time high of
INR14,689/ton (US$196) during Q3 fiscal 2021, from a sharp fall in
Q1 fiscal 2021, when EBITDA/ton declined to INR5,654 (US$75). This
record profitability has enabled debt/EBITDA leverage to steadily
improve to an estimated 4.5x as of December 2020, from 5.8x as of
September 2020 and 7.0x as of June 2020. Moody's estimates JSW's
leverage will further improve to less than 4.0x by March 2022 after
a temporary spike to 4.5x as of March 2021, following the BPSL
acquisition.

Moody's forecasts for JSW are based on a long-term sustainable
EBITDA/ton of INR10,500 (US$140) for fiscal 2022 for the company's
Indian operations. This is a substantial 28% buffer over its US$196
EBITDA/ton in the quarter ending December 2020, especially given
the favorable operating environment.

Furthermore, the company has improved backward linkages with almost
45% of its iron ore needs (up from 15%-20% earlier), likely to be
met from captive sources upon successful commissioning of its
mines. This should provide some resilience to profitability even in
a scenario of declining steel prices.

Moreover, an increase in production following the successful
ramp-up of its just completed Dolvi expansion should help to boost
steel shipments by at least 20% during fiscal 2022 to 18.4 million
tons. Even with Moody's sustainable EBITDA/ton assumption of
US$140, JSW's leverage should track comfortably lower than 4.0x
over the next 12-18 months.

The Ba2 CFR continues to reflect JSW's large scale and strong
position in its key markets, competitive conversion costs --
resulting from its efficient operations and use of the latest
furnace technology -- as well as good product and end-market
diversification, given its increasing focus on value-added products
and retail sales.

The CFR also considers JSW's exposure to the inherently cyclical
steel industry; its limited, although improving, raw material
integration; its large capital expenditure needs in India; and its
loss-making international operations, which will limit free cash
flow generation over the next two years.

LIQUIDITY

JSW's balance-sheet liquidity is weak.

The company had cash and cash equivalents of about $1.9 billion as
of December 2020. Cash sources over the next 18 months until June
2022 include an INR bond issuance of $160 million in Q4 fiscal
2021, undrawn term loans towards capital expenditure (capex) of
$550 million, and likely cash flow from operations of about $2.4
billion. Absent any further fund raising, JSW's liquidity could
fall substantially by June 2022, with cash sources equally matching
its cash needs totaling $5.0 billion towards debt maturities
(including short-term debt), capex and dividend payments.

While funding for the BPSL acquisition has been arranged, the $1.5
billion bridge loan has a 12-month maturity. The company's ability
to refinance the bridge loan in a timely manner will be critical;
failing which, the liquidity profile would weaken even further.

JSW's strong relationships with Indian and multinational banks for
raising INR debt, continued access to the domestic and
international capital markets, and annual issuances of external
commercial borrowings will help to manage its liquidity and
refinancing needs. This strong funding access should aid in a
timely refinancing of the company's $500 million unsecured bond,
maturing in April 2022.

OUTLOOK

The stable outlook reflects Moody's view that a benign operating
environment and the company's enhanced capacity following the
completion of its brownfield expansion will sustain an improvement
in its performance such that leverage will trend below 4.0x over
the next 12 months, indicating levels supportive of a Ba2 CFR.

Moody's does not expect JSW to undertake any further large
acquisitions, at least until the BPSL acquisition has been
integrated. The stable outlook also reflects our expectation that
JSW will remain selective in its acquisitions, funding them with a
prudent mix of debt and equity. In addition, Moody's expects any
such acquisitions to be immediately earnings accretive and help in
rapid deleveraging, leading to at most only a temporary spike in
leverage.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

Upward ratings pressure could build if JSW continues to strengthen
its position in each of its operating markets, makes further
progress in its backward integration initiatives, and successfully
taps business synergies from its acquisitions. Financial metrics
supportive of a higher CFR include leverage lower than 3.0x and
EBIT/interest coverage greater than 4.0x; both on a sustained
basis.

A strong liquidity profile with a reduced reliance on short-term
funding will be necessary for a Ba1 rating.

A downgrade is unlikely in the near term, given the recent
performance recovery. But downgrade pressure could arise in case of
a sharp shift in industry conditions, resulting in declining sales
volumes and lower pricing and profitability. Metrics indicative of
a downgrade include leverage above 4.5x, EBIT/interest coverage
below 2.0x and EBIT margin below 12%.

Execution risks related to the timely and smooth integration of
BPSL could also pressure the ratings. Downward ratings pressure
could also build if JSW undertakes any further large debt-financed
acquisition without an immediate and meaningful counterbalancing
effect on earnings, sustaining higher leverage.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Steel Industry
published in September 2017.

JSW Steel Limited is one of India's largest steel producers with an
installed steelmaking capacity of 18 million tons per annum (mtpa).
Its international operations comprise (1) 1.2 mtpa plates and 0.5
mtpa pipes mills in Texas; (2) a 3.0 mtpa hot rolling mill and a
1.5 mtpa electric arc furnace in Ohio; and (3) a 1.3 mtpa long
steel rolling facility in Piombino, Italy.

JSW generated revenues of INR616 billion (USD8.2 billion) and
EBITDA of INR151 billion (USD2.0) billion during the 12 months
ended December 2020.

KTC FOODS: ICRA Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------
ICRA has retained the ratings for the bank facilities of KTC Foods
Private Limited in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]D ISSUER NOT COOPERATING".

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Fund Based         110.00      [ICRA]D ISSUER NOT COOPERATING;
   Limits                         Rating continues to remain
                                  under 'Issuer Not Cooperating'
                                  category

   Term Loan            9.01      [ICRA]D ISSUER NOT COOPERATING;
                                  Rating continues to remain
                                  under 'Issuer Not Cooperating'
                                  category   

   Non-fund             5.00      [ICRA]D ISSUER NOT COOPERATING;
   Based Limits                   Rating continues to remain
                                  under 'Issuer Not Cooperating'
                                  category

   Unallocated          0.99      [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.

Established in 2010, KTC is primarily involved in the rice -milling
business. The company has an installed production capacity of 24
tons per hour. It sells rice in Punjab, Haryana, Uttar Pradesh,
Rajasthan, Delhi and many southern and eastern states. KTC sells
broken rice under the brand name, 'Barfi', in the southern states.

LAKSHMI SATYANARAYANA: ICRA Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Sri
Lakshmi Satyanarayana Raw & Boiled Rice Mill in the 'Issuer Not
Cooperating' category. The rating is denoted as "[ICRA] D ISSUER
NOT COOPERATING".

                     Amount
   Facilities     (INR crore)   Ratings
   ----------     -----------   -------
   Long Term–         25.00     [ICRA] D; ISSUER NOT
COOPERATING;
   Fund based–CC                Rating continues to remain under

                                'Issuer Not Cooperating' category

   Long Term–          5.00     [ICRA] D; ISSUER NOT COOPERATING;

   Unallocated                  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.

Sai Lakshmi Satyanarayana Raw & Boiled Rice Mill (SLSRBRM) was
established in the year 1985 by Mr. N. Surya Narayana Reddy and is
engaged in the milling of paddy and produces raw and boiled rice.
The firm has a milling unit in Penuguduru village of East Godavari
district of Andhra Pradesh with an installed capacity of 350MTPD.
The firm sells rice, broken rice and bran. Boiled rice is sold in
the open markets of Kerala and exports through agents.

MORGAN CREDITS: CARE Reaffirms D Rating on INR106.30cr NCD
----------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Morgan Credits Pvt. Ltd. (MCPL), as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Non-Convertible
   Debenture Issue      106.30     CARE D Reaffirmed

Detailed description of the key rating drivers

The rating of MCPL takes into account the continued delays in
servicing of debt obligations post exercise of the put option by an
investor.

Rating Sensitivities:

Positive Factors: Factors that could lead to positive rating
action/upgrade:

* Regularization of existing delays/default along with regular debt
servicing track record for at least 3 months.

Detailed description of the key rating drivers

Key Rating Weaknesses

* Delay in the monetization of the investments:  MCPL had
identified unlisted investments for divestment for the repayment of
the balance outstanding debt. Additionally, MCPL had created a
pledge on the unlisted shares of these identified investments in
favor of the debenture trustee. However, there have been continuous
delays in the timelines for the disinvestments. On account of the
same, the company witnessed liquidity stretch.  The strain on
liquidity continues on account of put option exercised by the
investor, even though the maturity of the rated instrument is April
21, 2021. The investor exercised the put option through the notice
dated June 12, 2020, with the repayment date being July 19, 2020.
As July 19, 2020 fell on a non-business day, the re-payment had to
be made on July 17, 2020. However, the company has failed to make
the re-payment.

Liquidity Profile: Weak

The company continues to be in default.

Morgan Credits Pvt Ltd (MCPL) is a holding company having
investments in various non-financial businesses. The Directors of
the Company are Ms. Radha K Khanna, Mrs Raakhe K Tandon and Ms
Roshini Kapoor; they collectively hold 100% equity stake (split
equally between the three) in MCPL. The Company has applied for
Core Investment Company (CIC) to RBI as on September 26, 2016. The
approval of RBI is awaited.


NUCON PNEUMATICS: ICRA Keeps C+ Debt Ratings in Not Cooperating
---------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Nucon
Pneumatics Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA] C+/[ICRA]A4 ISSUER NOT
COOPERATING".

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Fund-based           15.26      [ICRA] C+; ISSUER NOT
   Facilities                      COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Non-Fund              5.97      [ICRA] A4; ISSUER NOT
   based                           COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated           4.77      [ICRA] C+/[ICRA]A4 ISSUER NOT
   Limits                          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.

Nucon Pneumatics Private Limited was incorporated in the year 1972
under the name Nucon Industries Private Limited as a provider of
pneumatic solutions and compressed air treatment solutions.
Subsequently in the year 2010 the company diversified into
manufacturing of aerospace applications (missile guidance systems)
and later in the year 2012 both the divisions were demerged into
two different entities. The company is managed by Mr. Hemant Jalan
and his family. NPPL is currently engaged in providing pneumatic
solutions and the plant is located in Patancheru Hyderabad.

PUNJ LLOYD: Faces Liquidation as Lenders Reject Resolution
----------------------------------------------------------
The Times of India reports that Punj Lloyd is heading towards
liquidation as the company's lenders have rejected a resolution
plan.

The company is undergoing resolution process under the Insolvency
and Bankruptcy Code (IBC).

During its last meeting held on March 30, the lenders did not
approve the resolution plan, the company said in a regulatory
filing on March 31, TOI relates.

According to the report, the company's Committee of Creditors (CoC)
failed to select a bidder for the company within the mandated time
frame under the IBC.

"In the meeting of CoC, the Resolution Professional (RP) informed
that Resolution Plan which was put to e-vote under Corporate
Insolvency Resolution Process of the company has not been approved
by the CoC members.

"Accordingly, the company is headed towards liquidation, and the
CoC members have recommended liquidation of the company as a going
concern, and that they will also simultaneously consider a scheme
of arrangement under Section 230 of Companies Act, 2013, if any is
presented," the filing said, TOI relays.

Accordingly, the RP will file the necessary application for
liquidation with the NCLT, it added. However, the company did not
share details of the resolution plan, which was rejected by the
lenders.

Punj Lloyd Ltd (PLL), promoted by Mr Atul Punj in 1988, is an
engineering & construction company in India, providing integrated
design, engineering, procurement, construction (EPC) and project
management services for oil & gas, process industry and
infrastructure sector projects. PLL has various subsidiaries
operating in multiple geographies and engaged in EPC in the field
of oil and gas and infrastructure sector.

In March 2019, the Principal Bench of the National Company Law
Tribunal (NCLT) had admitted an insolvency plea against the company
filed by ICICI Bank.


PURPLE CREATIONS: CARE Lowers Rating on Bank Debts to B+
--------------------------------------------------------
CARE has revised the rating assigned to the bank facilities of
Purple Creations Private Limited (PCPL) from CARE BB-;
Negative/CARE A4 to CARE B+; Negative/CARE A4 and has
simultaneously withdrawn it, with immediate effect.

The revision in the rating factors in decline in scale of
operations with marginal deterioration in the capital structure and
debt coverage indicators and highly stretched working capital
cycle. The rating withdrawal is at the request of Purple Creations
Private Limited (PCPL) and 'No Objection Certificate' received from
the banks that have extended the facilities rated by CARE.

Outlook: Negative

The outlook is 'Negative' due to expected decrease in the scale of
operations with lower profitability during FY21 which may further
lead to deterioration in the liquidity position of the company
amongst tightly matched debt servicing obligations.

Detailed description of Key rating drivers

Key Rating Weaknesses

* Modest and declining scale of operations: The scale of operations
remained modest and same has been declining over past three years
ended FY20, with total operating income (TOI) of INR17.43 crore in
FY20 (vis-à-vis INR22.28 crore in FY19) owing to lower execution
of orders for other brand retail chain stores along with lower
sales in the month of March 2020 due to countrywide lockdown
imposed by the government. Further, during 9MFY20, the company has
achieved total sales of INR9.21 crore. The tangible net worth of
the company remained moderate despite treatment of unsecured as
quasi equity thus limiting the financial flexibility of the
company.

* Low net profitability with weak debt coverage indicators: PCPL
operates on moderate PBILDT margins which remained fluctuating and
in the range of 16.93%-21.58% during past three years ended FY20.
While the PAT margins stood very low at 0.86% in FY20 as against
1.26% in FY19. Furthermore, with moderate level of debt and meager
cash accruals, the debt coverage indicators also remained weak and
the same have slightly deteriorated with interest coverage and
total debt to GCA stood at 1.58x and 13.85x respectively in FY20
(vis-à-vis 1.60x and 13.17x respectively in FY19).

* Highly working capital-intensive nature of operations with
stretched operating cycle: The operations of PCPL are working
capital intensive in nature on account of funds being blocked in
receivables and inventory as the company gives liberal credit
period to its customers and also maintain high level of inventory
for processing and to meet regular demand from customers. The
operating cycle remained stretched and significantly elongated to
506 days in FY20 (vis-à-vis 320 days in FY19) due to deterioration
in the collection and inventory period which further resulting in
high level of utilization in working capital limits.

* Highly fragmented nature of industry characterized by intense
competition: PCPL operates in a highly competitive & fragmented
industry environment with a large number of players engaged into
the manufacturing and trading of fabrics and other textile
materials. The said competitiveness can be reflected in the
moderate low profit margins of the company.

* Susceptibility of margins to volatility of raw material prices:
Prices of raw material i.e. cotton yarn remained volatile in nature
as the same dependent on availability of cotton during the year.
Considering the highly fragmented nature of textile industry and
limited bargaining power with the customers and suppliers; any
adverse volatility in the raw material prices may hamper the firm's
profit margins.

Key rating Strengths

* Experienced and resourceful promoters: PCPL is managed by Vira
family who possesses an average experience of more than two decades
in textile industry. The extensive experience of the promoters
enables them to establish strong marketing connects and production
process excellence for PCPL. Moreover, the promoters are
continuously supporting the company through funding operations by
the way of unsecured loans.

* Long track record of operations with association with reputed
customer base: PCPL is in existence for more than 2 decades and
carry out its activity in manufacturing of readymade Knitwear
garments. Over the years of existence, the company has developed
strong business relations with reputed customers and garnering
repeated orders from them.

* Comfortable capital structure and weak debt coverage indicators:
PCPLs capital structure remained comfortable on account of moderate
dependence on external debt and subordinated unsecured loans
considered as quasi equity. Hence, the overall gearing remained
below unity as on March 31, 2020.

Liquidity analysis: Stretched

The liquidity position remained stretched marked by tightly matched
accruals to repayment obligations. Its fund-based working capital
limits are remained highly utilized with average utilization
remained at 94.50% during past twelve months ended December 2020.
Further, the current ratio stood moderate at 1.55 times while quick
ratio stood weak at 0.57 times as on March 31, 2020 (vis-à-vis
1.68 times and 0.70 times respectively as on March 31, 2019). The
free cash balance stood low at INR0.06 crore as on March 2020
(vis-à-vis INR0.21 crore as on March 31, 2019).

Purple Creations Private Limited (PCPL) was incorporated in the
year 1995 as a private limited company and engaged in manufacturing
of kids knitted readymade garments and selling to distributors and
retailers across India. PCPL primarily manufactures readymade
garments for kids, teens and youth and sell its garments under
brand names of 'Giraffe', 'Archies' and 'Purple Kid' along with
licensed products of Disney, Marvel, Lucas films and Angry Birds
across India. The company also does manufacture for various retail
chain outlets across the country.

RAJENDRA ISPAT: CARE Lowers Rating on INR26.50cr Loan to B
----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Rajendra Ispat Private Limited (RIPL), as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term Bank      26.50       CARE B; Stable; ISSUER NOT
   Facilities                      COOPERATING; Revised from
                                   CARE B+; Stable and moved to
                                   ISSUER NOT COOPERATING category

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from RIPL to monitor the rating
vide e-mail communications/letters dated September 30, 2020,
November 5, 2020, November 26, 2020, December 18, 2020, January 7,
2021 and  March 18, 2021 and numerous phone calls. However, despite
CARE's repeated requests, the company has not provided the
requisite information for monitoring the ratings. In line with the
extant SEBI guidelines, CARE has reviewed the rating on the basis
of the publicly available information which however, in CARE's
opinion is not sufficient to arrive at a fair rating. Further,
Rajendra Ispat Private limited has not paid the surveillance fees
for the rating exercise as agreed to in its Rating Agreement. The
rating on RIPL's bank facilities will now be denoted as CARE B;
Stable; ISSUER NOT COOPERATING.

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above ratings.

Detailed description of the key rating drivers

At the time of last rating in March 20, 2020 the following were the
rating weaknesses and strengths: (Updated the information available
from the annual audited report for FY20).

Key Rating Weaknesses

* Small scale of operation with low profitability margin: The scale
of operation remained small marked by TOI of INR76.30 crore with
PAT of INR0.23 crore in FY20. Further the profitability margin
remained low marked by PBILDT margin of 3.92% and PAT margin of
0.30% during FY20.

* Lack of backward integration vis-à-vis volatility in raw
material prices: The company does not have backward integration for
its basic raw-materials (iron and steel alloys) and it procures the
same from open market at spot prices. Since the raw-material is the
major cost driver and the prices of which are volatile in nature,
the profitability of the company is susceptible to fluctuation in
raw-material prices.

* Weak debt coverage indicators: The debt coverage indicator of the
company remained weak marked by interest coverage of 1.19x and
TDGCA of 74.97 during FY20.

* Highly competitive and fragmented industry: The spectrum of the
steel industry in which the company operates is highly fragmented
and competitive marked by the presence of numerous players in
northern and eastern India. Hence the players in the industry do
not have pricing power and are exposed to competition induced
pressures on profitability. This apart, RIPL's products being steel
related, it is subjected to the risks associated with the industry
like cyclicality and price volatility.

Key Rating Strengths

* Experienced promoters: Mr. Rajendra Kr Modi, has more than a
five-decade of experience in same industry, looks after the overall
operations of the company. He is supported by another director Mrs.
Rajeshwari Modi who also has more than two decades of experience in
similar type of industry.

* Comfortable capital structure: The capital structure of the
remained comfortable marked by overall gearing ratio at 0.93x as on
March 31, 2020.

Rajendra Ispat Private Limited (RIPL) was incorporated in December
2004 and currently, the company is managed by Mr. Rajendra Kr. Modi
and Mr. Badri Narayan Modi. Since its inception, the company has
been engaged in dismantling of abundant plants and trading of scrap
metal; however, from December 2017 onwards, the company has also
started manufacturing of mild steel round bars. The manufacturing
unit of the company is located at Belur, Howrah, West Bengal with
an installed capacity of 31200 metric tons per annum.

RAMANI ICE: CARE Reaffirms D Rating on INR68.79cr LT Loan
---------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Ramani Ice Cream Company Limited (RICL), as:

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term Bank  
   Facilities           68.79      CARE D Reaffirmed

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of RICL continues to
take into account irregularities in servicing of its debt
obligations on the back of its poor liquidity.

Rating Sensitivities

Positive Factors

* Establishing a track record of timely servicing of debt
obligations for a period of at least 90 days

Detailed description of the key rating drivers

Key Rating Weaknesses

* Irregularities in debt servicing: Debt servicing of RICL stood
irregular as reflected by delay in servicing of its debt
obligations till November 30, 2020 due to its poor liquidity which
got cleared by end December 2020. The company had availed
moratorium on servicing of its term loan & working capital limits
during March 2020 to August 2020, in line with the moratorium
available under RBI's Covid-relief package. Establishing a track
record of timely debt servicing for at least 90 days would be the
key rating sensitivity for RICL.

Liquidity: Poor

Liquidity of RICL stands poor with full utilization of its fund
based working capital limits. The liquidity of RICL had gradually
turned poor from FY19 mainly on the back of large amount of income
tax payout of INR7.03 crore in December 2018 towards settlement of
an old case w.r.to survey conducted by Income tax department in
FY17, its elevated inventory levels and on account of lower sales
of ice-cream during the monsoon season due to heavy rains. Further,
the sales and profitability of RICL were significantly impacted
during 9MFY21 on the back of coinciding of Covid-19 pandemic
induced lockdown with its peak summer season sale of ice-cream in
Q1FY21 leading to further pressure on its liquidity. The poor
liquidity constrained RICL's ability to repay its debt obligations
in a timely manner.

Ramani Icecream Company Limited (RICL), a closely-held unlisted
company, was established by Bhopal-based Ramani group. Initially
constituted as Ramani Ice Cream Company Pvt. Ltd. in 1991, it was
later on converted into a public limited company in 2011. Founded
by Late Mr. Balchand Kukreja, Ramani group is engaged in
manufacturing of ice cream since 1970. RICL sells ice-cream under
the brand name of 'Top 'N Town' which has dominant presence in
Madhya Pradesh and good presence in nearby states like Maharashtra,
Chhattisgarh, Orissa and Uttar Pradesh. As on March 31, 2020, RICL
had an annual capacity of 27 million litres per annum (MLPA) for
manufacturing of ice cream at its two plants located in Bhopal,
Madhya Pradesh and Durg, Chhattisgarh.

SAIKRUPA COTGIN: ICRA Lowers Rating on INR15cr LT Loan to D
-----------------------------------------------------------
ICRA has revised the ratings on certain bank facilities of Saikrupa
Cotgin Private Limited (SCPL), as:

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term            15.00      [ICRA]D; Downgraded from
   fund based                      [ICRA]C
   limit               
                                   
   Unallocated          35.00      [ICRA]D/[ICRA]D; Downgraded
   amount                          from [ICRA]C/[ICRA]A4

Rationale

The rating downgrade considers the recent instances of delay in
debt servicing by SCPL, owing to the company's poor liquidity
position. The liquidity was strained due to elongated receivables
and the impact of the ongoing Covid-19 pandemic, which led to
inadequate cash accruals. The ratings are further constrained by
the company's weak coverage indicators. The ratings also remain
affected by the vulnerability of the company's profitability to
fluctuations in raw material prices (raw cotton), considering the
inherently low value-added ginning business and the stiff
competition in the cotton ginning industry. Further, it is also
exposed to regulatory risks with regard to the minimum support
price (MSP), which is set by the Government.

It may be noted that the company had been sharing No Default
Statements with ICRA, indicating a regular track record of debt
servicing. However, based on the communication received from the
lender, it has come to notice that there were instances of
overutilization of the Cash Credit limits (of more than 30 days) in
the recent past.

The ratings, however, draw comfort from the extensive experience of
the promoters in the cotton ginning industry and the proximity of
the company's manufacturing unit to raw material sources.

Key rating drivers and their description

Credit strengths

* Extensive experience of promoters in the cotton ginning business:
The operations of the company are managed by Mr. Sunil Katkade, who
has over a decade's experience in the cotton ginning industry,
which has resulted in an established relationship with customer
base.

* Strategic location of the plant in the cotton-producing belt of
India giving it easy access to raw cotton: The manufacturing unit
of SCPL is based in Yavatmal district (Maharashtra), an area of
high cotton acreage and quality cotton crop. The company benefits
from low transportation cost and easy access to quality raw
material (raw cotton) because of its proximity to sources.

Credit Challenges

* Delays in debt servicing due to liquidity issues: Tight liquidity
position due to inadequate cash accruals and high working capital
intensity emanating from sluggish receivables led to
overutilization of the Cash Credit limit (by more than 30 days) in
the last three-month period ended February 2021. The operations of
SCPL were also affected by the Covid-19 induced lockdown
restrictions and ensuing operational disruptions, resulting in
unfavorable demand prospects for cotton.

* Weak financial profile characterized by low profitability, weak
coverage indicators and high working capital intensity: The
operating profit margins (OPM) have remained weak over the past
fiscals with majority of revenues being generated from the low
value-added ginning business, while the net profit margin (NPM) was
subdued further by high-interest cost. The OPM and NPM stood at
3.66% and 1.28%, respectively, in FY2020 (3.84% and 1.29%,
respectively, in FY2019). Low profitability and high debt levels
resulted in weak coverage indicators with the Total Debt/OPBDITA of
4.52 times and NCA/Total Debt of 11% in FY2020 (4.45 times and 11%
respectively in FY2019). The working capital intensity also
remained stretched at 24% in FY2020 due to high receivables, and it
increased from 22% in FY2019.

* Profitability susceptible to volatile raw material prices due to
agro-climatic conditions and regulatory changes: The agroclimatic
conditions and regulatory environment have a direct bearing on
SCPL's capacity utilization and profitability.
Regulations like MSP and export bans closely influence the price
dynamics of cotton.

* Highly fragmented industry structure due to a large number of
processors and traders; low-entry barriers result in intense
Competition: The cotton ginning and cottonseed crushing industry is
fragmented, given the low entry barriers and limited complexity of
work involved. The company faces stiff competition from numerous
players operating in the cotton-growing regions of Maharashtra,
which impacts its pricing power. Moreover, the value addition in
the ginning and yarn trading business is low, which coupled with
strong competition and the commoditized nature of its products,
limits its ability to achieve high-profit margins.

Liquidity position: Poor

SCPL's liquidity is poor as evident from SCPL's recent instances of
delays in debt servicing. The cash credit account has remained
overdrawn for more than 30 days during the past three months. The
liquidity position continues to remain poor due to weak cash
accruals and highly working capital-intensive nature of operations
emanating from its high receivables.

Rating sensitivities

Positive factors – ICRA could upgrade the rating in case of
regularisation in debt servicing on a sustained basis.

Negative factors – Not applicable.

Saikrupa Cotgin Private Limited was incorporated in 2009. It is
entirely a family-owned company engaged in ginning and pressing raw
cotton. The company also crushes cottonseed for extracting
cottonseed oil and cottonseed cake. The factory, located at Wani in
Yavatmal district of Maharashtra, is equipped with an annual
installed production capacity of 97,500 metric tonne (MT) of cotton
bales and 8,000 MT of cottonseeds. Its annual production capacity
for cottonseed oil and cakes are 5,054 MT and 34,830 MT,
respectively. SCPL procures raw cotton from local farmers and sells
the cotton bales and seeds to end users like spinning mills and
local ginners, through brokers. As per FY2020, the company
registered a net profit of INR1.66 crore on an operating income
(OI) of INR130.05 crore, against a net profit of INR1.60 crore on
an OI of INR123.74 crore in FY2019.

TATA STEEL: Moody's Affirms Ba2 CFR & Alters Outlook to Stable
--------------------------------------------------------------
Moody's Investors Service has changed the outlook on Tata Steel
Ltd. to stable from negative. At the same time, Moody's has
affirmed the company's Ba2 corporate family rating.

"The rating affirmation and outlook change to stable are driven by
a solid recovery in Tata Steel's operations in the third quarter of
fiscal year ending March 2021. We believe the company will sustain
the improvement over the next 12-18 months, enabling its
consolidated financial metrics to recover to levels more
appropriate for its Ba2 CFR," said Kaustubh Chaubal, a Moody's Vice
President and Senior Credit Officer.

"The rating action also reflects the company's proactive financial
management amid the pandemic and its publicly stated target of
reducing gross debt by at least US$1 billion each year and
prioritizing deleveraging over capital expenditure," adds Chaubal
who is also Moody's lead analyst on Tata Steel.

RATINGS RATIONALE

India's (Baa3 negative) steel consumption declined by 55% during
the first quarter of fiscal 2021 (Q1 fiscal 2021) following a
nationwide lockdown during the COVID pandemic. However, since the
opening up of the economy in June 2020, pent-up demand from
end-user industries -- in particular automotive, white goods
manufacturing, construction and infrastructure -- have boosted
steel consumption, containing the annual steel consumption decline
to only about 11%.

Moody's estimates shipments for Tata Steel Indian operations (TSI)
during fiscal 2021 will stay largely flat. A benign industry
environment, supportive government policies in the form of large
infrastructure investments and markedly better prospects in the
automotive industry have supported steel prices in India.

These conditions have propelled TSI's record profitability in
recent quarters. TSI's profitability has steadily improved to its
10-year high of INR18,948 EBITDA/ton (US$253) during Q3, from
INR4,969 (US$66) in Q1 fiscal 2021. Moody's forecasts a long-term
sustainable EBITDA/ton of INR13,200 (US$176) for fiscal 2022 for
TSI, constituting a 30% gap compared with Q3. The company,
therefore, has a substantial buffer especially given the benign
operating environment.

Moreover, the company's backward linkages with entire iron ore
needs met from captive sources provide resilience to profitability
even if steel prices were to severely fall.

In contrast, Moody's estimates shipments at Tata Steel's European
operations (TSE) will decline by about 10% during fiscal 2021 and
for profitability to gradually recover. Europe's economic activity
was affected by further lockdowns and a seasonally weak winter
quarter, although it has improved since the early months of the
pandemic.

Moody's estimates TSE generated an EBITDA/ton (adjusted for unusual
items) of INR2,370 (US$32) in Q3, compared with consistent losses
in the preceding three quarters of fiscal 2021. Given the volatile
trajectory in TSE's historical profitability, Moody's remains
cautious in its forecasts and assumes TSE will just about break
even in fiscal 2022. In addition, TSE's sizable 10.0 million ton
(mt) capacity causes major swings to Tata Steel's consolidated
metrics.

Tata Steel's consolidated financial metrics remain vulnerable to
its volatile and fragile European operations, which have weighed on
the company's credit profile and rating for a sustained period.
That said, the highly profitable TSI, now comprises two-thirds of
Tata Steel's group shipments, up from 61% in fiscal 2019 and 48% in
fiscal 2018, somewhat reducing the drag on consolidated credit
metrics.

Tata Steel's public stance in reducing gross debt by at least $1
billion each year supports its credit quality. By March 2021, Tata
Steel's Moody's adjusted consolidated gross debt (including
interest bearing customer advances which are considered debt) would
reduce by at least $2.7 billion from a year prior. In this regard,
the company's equity raising of $480 million following its first
and final call in February on its partly paid equity shares will
help to reduce debt.

Moody's estimates Tata Steel's consolidated debt/EBITDA leverage
should track comfortably below 4.0x as of March 2021 due to the
EBITDA expansion and gross debt reduction, and continue improving
further. More importantly, Moody's regards the leverage improvement
through gross debt reduction as a structural shift in the company's
financial policy and a credit positive, especially with its stated
goal of prioritizing debt reduction over capital expenditure.

Tata Steel's Ba2 CFR continues to reflect the company's large
global scale with operations spread across India and Europe; its
strong market position in India; and its globally cost-competitive
steel operations in India, a function of its vertical integration
with in-house production of key raw materials. The CFR continues to
incorporate a one-notch uplift reflecting Moody's expectation of
extraordinary distress support from its parent Tata Sons Ltd.,
should the need arise.

The CFR also takes into consideration the weak performing TSE that
will remain a drag for a while on consolidated metrics, as well as
the company's exposure to the cyclical steel industry.

OUTLOOK

The stable outlook reflects Moody's view that a benign operating
environment will help to sustain its improving performance such
that debt/EBITDA leverage trends below 4.0x over the next 12
months, indicating levels supportive of a Ba2 CFR.

The stable outlook also incorporates the expectation that Tata
Steel will prioritize debt reduction over capex with an annual
gross debt reduction of at least $1 billion.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING

Upward ratings pressure could build if Tata Steel further
strengthens its position in key operating markets and successfully
reduces the drag of its loss-making European operations on
consolidated credit metrics.

A reduction in gross debt levels, aligned with the company's stated
objectives of prioritizing deleveraging over capex, would support a
positive bias to the rating. Financial metrics supportive of a
higher CFR include leverage lower than 4.0x and EBIT/interest
coverage greater than 3.5x; both on a sustained basis.

A downgrade is unlikely in the near term, given the recent
improvement in performance. However, Moody's would consider
downgrading the ratings in case of a sharp shift in industry
conditions, resulting in declining sales volumes and lower pricing
and profitability.

Metrics indicative of a downgrade include leverage above 5.5x,
EBIT/interest coverage below 2.0x and EBIT margins below 10%.

Downward ratings pressure could also build if the company
undertakes large debt-financed acquisitions without an immediate
and meaningful counterbalancing effect on earnings, sustaining
higher leverage.

Execution risks related to the timely and seamless integration of
the acquired business could also pressure the ratings.

UNIVERSAL EXTRUSIONS: CARE Moves D Rating to Not Cooperating
------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of
Universal Extrusions (UE) to Issuer Not Cooperating category.

                       Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long Term Bank        4.23      CARE D; ISSUER NOT COOPERATING;
   Facilities                      Rating moved to ISSUER NOT
                                   COOPERATING category

Detailed Rationale, Key Rating Drivers and Detailed description of
the key rating drivers

CARE has been seeking information from UE to monitor the rating
vide e-mail communications dated October 6, 2020, October 13, 2020,
October 27, 2020, December 3, 2020, February 1, 2021, February 26,
2021, March 4, 2021, March 10, 2021, March 16, 2021 and numerous
phone calls. However, despite CARE's repeated requests, the firm
has not provided the requisite information for monitoring the
ratings. In line with the extant SEBI guidelines, CARE has reviewed
the rating on the basis of the best available information which
however, in CARE's opinion is not sufficient to arrive at a fair
rating. The rating on UE's bank facilities will now be CARE D;
ISSUER NOT COOPERATING.

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above ratings.

The rating takes into account delays in repayment of debt
obligation.

Detailed description of the key rating drivers

At the time of last rating on March 20, 2020 the following were the
rating weaknesses:

Key Rating Weaknesses

* Delays in servicing of debt obligation: During the last review,
as per discussion with the banker and as reflected in term loan
statements, there were ongoing delays in the repayment of principal
component of term loan. The delays were on account of reported
losses and lower accruals generation from business.

UE was established in 2012 and is engaged in manufacturing of
aluminum extrusions, which are used in different industries as
construction, solar, greenhouse and engineering. The firm has a
capacity to manufacture 200 tonnes per month (TPM) of aluminum
extrusions.




=================
S I N G A P O R E
=================

SEMBCORP MARINE: Files Notice of 3 Consecutive Years of Losses
--------------------------------------------------------------
The Business Times reports that Sembcorp Marine on March 31 gave
notice of recording three consecutive years of pre-tax losses based
on its audited full-year consolidated accounts.

According to BT, the marine and offshore engineering group's
six-month average daily market cap as at March 30 was S$1.89
billion, which means the group still meets the financial entry
criteria to avoid being placed on the Singapore Exchange's (SGX)
watch list.

Firms are placed on the SGX watch list if they record losses for
the three latest consecutive financial years and have an average
daily market cap of under SGD40 million over the last six months,
BT notes.

Prior to its announcement, Sembmarine had ended March 30 at a
two-month high of 17.1 Singapore cents, up a cent or 6.2 per cent
the day after it said it clinched a GBP600 million (SGD1.12
billion) UK wind farm contract together with GE Renewable Energy's
Grid Solutions, BT relates.

For the full year ended Dec 31, 2020, the group's net loss had
widened to SGD582.5 million from SGD137.2 million a year ago, BT
discloses. This brings its loss per share (LPS) for FY2020 to 10.88
cents, from a restated FY2019 LPS of 6.32 cents.

BT says the group attributes its FY2020 loss mainly to Covid-19,
which contributed to delays in projects execution and securing of
new projects; higher overall costs incurred for all projects; as
well as S$144 million of asset impairments and provisions.

No dividend was proposed for the financial year.

Last year, Sembmarine also issued notice that it had recorded
pre-tax losses for three consecutive years, BT notes. Its
six-monthly average daily market capitalisation at the time was
SGD2.46 billion as at April 2, 2020.

Headquartered in Singapore, Sembcorp Marine Ltd --
https://www.sembmarine.com/ -- an investment holding company,
provides offshore and marine engineering solutions worldwide.
Sembcorp Marine Ltd. is a subsidiary of Sembcorp Industries Ltd.




=====================
S O U T H   K O R E A
=====================

ASIANA AIRLINES: Korean Air to Launch Asiana-Merged Entity in 2024
------------------------------------------------------------------
Yonhap News Agency reports that Korean Air Lines Co., South Korea's
largest airline, said on March 31 it plans to launch a merged
entity with its smaller rival Asiana Airlines Inc. in 2024 after
completing a takeover process next year.

Yonhap relates that Korean Air, which announced plans to acquire
the debt-ridden Asiana for KRW1.8 trillion (US$1.6 billion) in
November, has submitted a post-merger integration plan to the
state-run Korea Development Bank (KDB), Asiana's main creditor.

Although Korean Air initially planned to finalize the deal within
this year, it delayed the schedule due to regulatory review
processes, Yonhap says. It has received the first approval from
Turkey and still needs nods from eight other countries, including
South Korea, the United States, China and Japan.

"We are working closely with consulting companies in each country
to complete the approval process by the end of the year," Yonhap
quotes Korean Air President Woo Kee-hong as saying in an online
press briefing. "Korean Air plans to fully integrate with Asiana
Airlines about two years after (the acquisition)."

Once the merger is finalized, Hanjin KAL will serve as a holding
company for Korean Air, which in turn controls Asiana Airlines, Mr.
Woo said.

According to Yonhap, Korean Air and Asiana account for a combined
40 percent of passenger and cargo slots at Incheon International
Airport, South Korea's main gateway, below the level that
constitutes a monopoly.

"As the aviation market provides customers with a wide range of
options, I do not think the integration will cause monopoly issues
in the Korean or global market," the report quotes Mr. Woo as
saying.

Earlier this month, Korean Air raised KRW3.3 trillion in a share
sale to finance the acquisition, which about halved its debt ratio
to over 300 percent.  Of the proceeds, it plans to spend KRW1.5
trillion to buy Asiana and use the remaining KRW1.8 trillion to pay
back its debts.

Yonhap relates that Korean Air said it will sell up to KRW300
billion worth of debt next month for the first time since the
COVID-19 outbreak.

Although Korean Air does not plan to lay off Asiana employees
following the acquisition, Mr. Woo said the company will reorganize
redundant subsidiaries and their workforces, streamline flight
schedule and mull ways to combine the two airlines' low-cost
carriers, Yonhap relays.

Yonhap adds that the CEO said the global airline industry is
expected to show a full recovery after 2022, noting the company
will sell non-core assets and continue cost-cutting efforts to tide
over the industry slump triggered by the COVID-19 pandemic.

"After we integrate and are fully recovered from the impact of
COVID-19, we estimate a synergy effect of around 300 to 400 billion
won per year," Mr. Woo, as cited by Yonhap, said. "However, as
integration requires considerable costs, we expect it to take about
two years to reach a break-even point."

As a result, Korean Air's net losses narrowed to KRW291.45 billion
in 2020 from KRW622.76 billion a year earlier, Yonhap discloses.
Asiana's net losses also narrowed to KRW404.51 billion from
KRW817.89 billion during the same period.

                       About Asiana Airlines

Headquartered in Osoe-Dong Kangseo-Gu, South Korea, Asiana Airlines
Incorporated is engaged in air transportation, engineering,
construction, facilities, electricity, ground handling, catering,
communication, logo products and e-business.  Asiana Airlines is a
unit of the Kumho Asiana Group, a South Korean conglomerate whose
business portfolio includes tire manufacturing and chemical
production.

Asiana Airlines' net losses deepened for the January-March quarter
to KRW683.26 billion from KRW89.18 billion a year earlier.  The
airline has suspended most of its flights on international routes
as more than 180 countries have strengthened entry restrictions
amid coronavirus fears this year, according to Yonhap News Agency.

State lenders Korea Development Bank and the Export-Import Bank of
Korea planned to inject a combined KRW1.7 trillion into Asiana to
help the airline stay afloat.  In self-help measures, Asiana has
had all of its 10,500 employees take unpaid leave for 15 days a
month since April until business circumstances normalize, Yonhap
noted.  Asiana's executives have also agreed to forgo 60% of their
wages, though no specific time frame was given for how long the pay
cuts will remain in effect.

In November 2020, Korean Air said it will acquire Asiana Airlines
in a deal valued at KRW1.8 trillion that could create the world's
10th-biggest airline by fleets, Yonhap said.




=============
V I E T N A M
=============

SAIGON THUONG: Moody's Hikes Long Term Bank Deposit Ratings to B3
-----------------------------------------------------------------
Moody's Investors Service has upgraded the long-term local and
foreign currency bank deposits ratings of Saigon Thuong Tin
Commercial Joint-Stock Bank (Sacombank) to B3 from Caa1. The
outlook on the ratings remains stable.

At the same time, Moody's upgraded the bank's baseline credit
assessment and adjusted BCA to caa1 from caa2.

RATINGS RATIONALE

The upgrade of Sacombank's BCA and deposit ratings considers the
improvements made by the bank in resolving a large part of its
legacy problem assets through recoveries. Funding and liquidity are
moderate, but have also improved after deteriorating in 2015
following the merger with Southern Bank.

As of year-end 2020, Sacombank's total stock of problem assets was
VND57 trillion, or 12% of its total assets, lower compared with
VND95 trillion as of year-end 2017 and VND97 trillion as of
year-end 2016. The bank's balance sheet buffers, while thin,
improved modestly. These included credit provisions of VND13
trillion and tangible common equity (TCE) of VND25 trillion as of
year-end 2020. Problem assets as a percentage of credit provisions
and TCE was 151% as of year-end 2020, lower compared with 384% as
of year-end 2017 and 415% as of year-end 2016.

Moody's expects Sacombank's core capital, as measured by TCE as a
percentage of risk weighted assets, to remain lower than the
average for other rated banks in Vietnam. This is because under
Sacombank's financial rehabilitation programme as structured by the
State Bank of Vietnam, the bank can only raise new capital after it
clears up a material part of the remaining problem assets and exits
from the programme. Profitability will also remain weak over the
next 12 to 18 months because of increasing loan loss provisions.

Moody's has removed the negative adjustment for opacity and
complexity, because improved disclosures provide greater clarity
into the bank's ownership structure and corporate governance.

Sacombank's deposit ratings benefit from one notch of government
support, based on Moody's expectation of a moderate probability of
support from the Vietnamese Government (Ba3 positive). Our support
assumption is underpinned by Sacombank's market share of 5% in
system deposits as of 30 September 2020.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

Sacombank's ratings could be upgraded if its BCA is upgraded. The
bank's BCA could be upgraded if there is a significant resolution
of its problem assets through recoveries or write-offs, coupled
with an increase in core capital.

Sacombank's ratings and BCA could be downgraded if progress in
cleaning its balance sheet through collateral disposals in the next
12-18 months is poor or if there is a material deterioration in its
liquidity.

The principal methodology used in these ratings was Banks
Methodology published in March 2021.

Saigon Thuong Tin Commercial Joint-Stock Bank, headquartered in Ho
Chi Minh City, Vietnam, had consolidated assets of VND493 trillion
at the end of December 2020.

LIST OF AFFECTED RATINGS

Adjusted Baseline Credit Assessment, Upgraded to caa1 from caa2

Baseline Credit Assessment, Upgraded to caa1 from caa2

Long-term Counterparty Risk Assessment, Upgraded to B2(cr) from
B3(cr)

Short-term Counterparty Risk Assessment, Affirmed NP(cr)

Long-term Counterparty Risk Rating (Foreign and Local Currency),
Upgraded to B2 from B3

Short-term Counterparty Risk Rating (Foreign and Local Currency),
Affirmed NP

Long-term Issuer Rating (Foreign and Local Currency), Upgraded to
B3 from Caa1; Outlook remains Stable

Short-term Issuer Rating (Foreign and Local Currency), Affirmed
NP

Long-term Deposit Rating (Foreign and Local Currency), Upgraded to
B3 from Caa1; Outlook remains Stable

Short-term Deposit Rating (Foreign and Local Currency), Affirmed
NP

Outlook, Remains Stable


                           *********


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
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Information contained herein is obtained from sources believed
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