/raid1/www/Hosts/bankrupt/TCRAP_Public/220303.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
Thursday, March 3, 2022, Vol. 25, No. 39
Headlines
A U S T R A L I A
LENTIL AS ANYTHING: First Creditors' Meeting Set for March 10
M ADVERTISING: Second Creditors' Meeting Set for March 10
PALLA PHARMA: Second Creditors' Meeting Set for March 7
XCELLERATOR PTY: First Creditors' Meeting Set for March 10
C H I N A
ZHONGLIANG HOLDINGS: Fitch Lowers LT IDR to 'B-', Outlook Negative
I N D I A
AJSG MOTORS: CRISIL Moves B+ Debt Ratings to Not Cooperating
AKSHAR POLYPACK: CRISIL Keeps B Debt Ratings in Not Cooperating
ANANT RAM: CRISIL Keeps D Debt Ratings in Not Cooperating
ANUGRAH STOCK: CARE Keeps D Debt Ratings in Not Cooperating
AVIS INDIA: CRISIL Keeps B+ Debt Ratings in Not Cooperating
BAJAJ BASMATI: CRISIL Keeps D Debt Ratings in Not Cooperating
BALAJI RAW: CRISIL Keeps D Debt Ratings in Not Cooperating
BATANAGAR EDUCATION: CRISIL Keeps D Ratings in Not Cooperating
BHASKAR SILK: CRISIL Keeps B Debt Ratings in Not Cooperating
BLUEBERRY AGRO: CRISIL Keeps B Debt Ratings in Not Cooperating
BPL TECHNO: CRISIL Keeps D Debt Rating in Not Cooperating
BRAND ALLOYS: CARE Moves D Debt Ratings to Not Cooperating
DEVI ENGINEERING: CARE Lowers Rating on INR67cr Loans to D
ENTRACK OVERSEAS: CRISIL Keeps D Debt Ratings in Not Cooperating
GANESH AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
HALDIA STEELS: CARE Moves D Debt Ratings to Not Cooperating
HIND ALUMINIUM: CARE Lowers Rating on INR129.65cr LT Loan to B+
JAYPEE INFRATECH: CARE Reaffirms D Rating on INR6,550cr Loan
JJ INTERNATIONAL: CRISIL Keeps D Debt Ratings in Not Cooperating
MAXVEL REALTECH: CRISIL Keeps D Debt Ratings in Not Cooperating
MRJV CONSTRUCTION: CARE Moves D Debt Rating to Not Cooperating
NARBADA DAIRY: CRISIL Keeps D Debt Ratings in Not Cooperating
NEXTCELL LIMITED: Insolvency Resolution Process Case Summary
PATWA MARKETING: CRISIL Keeps D Debt Rating in Not Cooperating
PAVANI POLYMERS: CRISIL Keeps D Debt Ratings in Not Cooperating
PEREGRINE INDIA: Insolvency Resolution Process Case Summary
QRT LABS PRIVATE: Insolvency Resolution Process Case Summary
RADHARAMAN COTGIN: CARE Moves D Debt Rating to Not Cooperating
SAYA HOMES: CARE Hikes Rating on INR371.26cr LT Loan to B
SEA BLUE: CARE Reaffirms CARE C(IS) Issuer Rating
SGM PACKAGING: CRISIL Keeps D Debt Ratings in Not Cooperating
SHIVAM AUTOTECH: CARE Assigns D Rating to INR59.83cr LT Loan
SINTRA LIMITED: Insolvency Resolution Process Case Summary
SOLO METALS: CRISIL Keeps D Debt Ratings in Not Cooperating
SREI GROUP: 'Connected Entities' Baffle KPMG Forensics Team
ST CONSTRUCTIONS PVT: Insolvency Resolution Process Case Summary
STELLAR INVESTMENTS: Insolvency Resolution Process Case Summary
VIBRANT BUILDWELL: Insolvency Resolution Process Case Summary
VIKRAM STRUCTURES: Insolvency Resolution Process Case Summary
J A P A N
MARELLI HOLDINGS: To File for Debt Reorganization in Japan
M A L A Y S I A
1MDB: Jho Low Discussed Probe with Trump Allies, Leissner Says
EA TECHNIQUE: Classified as PN17 Company
IREKA CORP: Classified as PN17 Company
N E W Z E A L A N D
BC AVIATION: Creditors' Proofs of Debt Due March 28
HEALTH WEALTH: Creditors' Proofs of Debt Due March 29
NAIKER ENTERPRISES: Court to Hear Wind-Up Petition on March 10
REDCURRENT LIMITED: To Shut Down Dunedin Store This Week
SAMRATH HOLDING: Creditors' Proofs of Debt Due April 11
TARANAKI ENGINEERING: Court to Hear Wind-Up Petition on April 8
S I N G A P O R E
G8 JAPAN: Creditors' Proofs of Debt Due April 2
PRECISION SPINE: Nexia TS Appointed as Provisional Liquidator
RAFFLES EDUCATION: Says Not Replacing 5 Directors Now on Bail
SWISSCO HOLDINGS: Court to Hear Wind-Up Petition on March 22
TRADERS GEMS: Court to Hear Wind-Up Petition on March 18
- - - - -
=================
A U S T R A L I A
=================
LENTIL AS ANYTHING: First Creditors' Meeting Set for March 10
-------------------------------------------------------------
A first meeting of the creditors in the proceedings of Lentil As
Anything Limited will be held on March 10, 2022, at 10:30 a.m. via
virtual meeting.
Matthew Kucianski & Con Kokkinos of Worrells Solvency & Forensic
Accountants were appointed as administrators of Lentil As Anything
on Feb. 28, 2022.
M ADVERTISING: Second Creditors' Meeting Set for March 10
---------------------------------------------------------
A second meeting of creditors in the proceedings of M Advertising
Pty Limited has been set for March 10, 2022, at 10:00 a.m. at the
offices of Jirsch Sutherland, at Level 7, 28 O'Connell Street, in
Sydney, NSW.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 9, 2022, at 4:00 p.m.
Andrew John Spring of Jirsch Sutherland was appointed as
administrator of M Advertising on Feb. 3, 2022.
PALLA PHARMA: Second Creditors' Meeting Set for March 7
-------------------------------------------------------
A second meeting of creditors in the proceedings of Palla Pharma
Limited has been set for March 7, 2022, at 4:00 p.m. via virtual
meeting only.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 7, 2022, at 4:00 p.m.
Craig Peter Shepard and Bryan Webster of KordaMentha were appointed
as administrators of Palla Pharma on Dec. 17, 2021.
XCELLERATOR PTY: First Creditors' Meeting Set for March 10
----------------------------------------------------------
A first meeting of the creditors in the proceedings of Xcellerator
Pty Ltd, trading as MeStudent, will be held on March 10, 2022, at
11:00 a.m. via virtual meeting.
Glen Kanevsky and Sal Algeri of Deloite were appointed as
administrators of Xcellerator Pty on Feb. 28, 2022.
=========
C H I N A
=========
ZHONGLIANG HOLDINGS: Fitch Lowers LT IDR to 'B-', Outlook Negative
------------------------------------------------------------------
Fitch Ratings has downgraded China-based homebuilder Zhongliang
Holdings Group Company Limited's Long-Term Issuer Default Rating
(IDR) to 'B-', from 'B+', and senior unsecured rating to 'B-', from
'B+', with a Recovery Rating of 'RR4'. The Outlook is Negative.
The rating action reflects increasing uncertainty over the
refinancing of its capital market debt maturing over the next few
months, as well as a worse contracted sales trend for the sector
than Fitch expected over the past few months. The capital market
remains inaccessible to Zhongliang, and Fitch believes it may have
to rely on cash generation from contracted sales to repay its 2022
maturities.
KEY RATING DRIVERS
Increasing Refinancing Risks: Zhongliang is faces increasing
refinancing pressure on its maturing capital-market debt.
Zhongliang has USD891 million (CNY5.8 billion) in offshore bonds
due in the next six months, including USD293 million in May, USD448
million in July and USD150 million in August.
However, Fitch believes the capital market is largely inaccessible
for Zhongliang and that the company is dependent on internal cash
resources to address its remaining debt maturities. Zhongliang may
have to rely on contracted sales proceeds to address its onshore
and offshore capital-market maturities if markets remain shut to
the company. Property sales are weakening across the sector.
Refinancing Dependent on Contracted Sales: Zhongliang's reported
contracted sales declined by 24% yoy in 2H21 and by 39% yoy in
January 2022. This was largely in line with the sector. Total
contracted sales rose by 2% to CNY168.8 billion in 2021, but are
likely to decline in 2022 amid weakening property market sentiment,
coupled with the company's high land-bank concentration in tier
three and four cities.
Business Profile to Deteriorate: Prolonged weakness in capital
market access and the possibility of repaying capital market debt
with cash on hand may affect Zhongliang's ability to replenish its
land bank, leading to a deterioration in its business profile.
Fitch expects the company's land bank life to drop below 2.5 years
in 2022 and to below two years in 2023 if it continues to
prioritise debt repayment over land replenishment. Land bank
quality could also deteriorate if Zhongliang significantly cuts its
land premium.
High Non-Bank Borrowings: Zhongliang relied on bank loans (50% of
total borrowings), trust loans (30%) and US-dollar bonds (19%) for
financing in 1H21. All its non-bank borrowings have maturities of
less than two years. Any tightening in trust-loan regulations would
further limit Zhongliang's financial flexibility. The company says
that it has reduced its non-bank onshore loan exposure due to slow
land-banking activity in 2H21.
Rising Non-Controlling Interests: Zhongliang's non-controlling
interests (NCI)/equity increased slightly to 66% in 1H21, from 64%
in 2020, while NCI net claims/net development-property assets rose
to 25%, from 22%. This creates potential cash leakage and
uncertainty about the company's ability to upstream cash from the
project level to the holding-company level.
DERIVATION SUMMARY
Zhongliang's ratings are constrained by the rising refinancing risk
of its upcoming capital-market maturities amid negative
capital-market sentiment. Fitch believes the company may have to
rely on cash generation from contracted sales to address its
capital-market maturities. The ability to address its
capital-market maturities is subject to the restoration of market
confidence in the company and the sector, and is comparable with
Ronshine China Holdings Limited (B-/Negative).
KEY ASSUMPTIONS
Fitch's key assumptions within its rating case for the issuer
include:
-- Attributable contracted sales of around CNY84 billion-90
billion a year in 2022-2024 (2021: CNY103 billion);
-- Land bank life of around 2.5 years in 2022, falling to two
years in 2023-2024 (2021: 2.8 years);
-- Gross floor area acquired at 0.4x-0.5x of gross floor area
sold in 2022-2024 (2021: 0.6x);
-- Gross profit margin of 16%-17% in 2021-2024 (2020: 21%).
RATING SENSITIVITIES
Factor that could, individually or collectively, lead to positive
rating action/upgrade:
-- Greater clarity on the repayment plans for capital-market
maturities for the remainder of 2022.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- Evidence of tight liquidity or a funding gap to address bond
maturities for the rest of 2022;
-- Continued decline in contracted sales.
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
High Refinancing Needs: Zhongliang had reported unrestricted cash
of CNY28.2 billion at end-1H21, which covered short-term debt by
1.2x (2020: 1.0x). The company plans to address its capital market
maturities through cash on hand and cash from operations.
ISSUER PROFILE
Zhongliang is a large-scale national property developer focused in
the Yangtze River Delta region (46% of total saleable resources at
end-1H21). It has diversified into other economic zones, including
midwest China (27%), Pan-Bohai (12%), Western Taiwan Straits (9%)
and Pearl River Delta (6%).
SUMMARY OF FINANCIAL ADJUSTMENTS
Fitch excludes deposits in designated accounts from cash in Fitch's
leverage calculation and include this as inventory. Restricted bank
deposits are included in cash to calculate net debt, as these are
mainly pledged for obtaining bank loans.
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.
=========
I N D I A
=========
AJSG MOTORS: CRISIL Moves B+ Debt Ratings to Not Cooperating
------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of AJSG
Motors Private Limited (AJSG) to 'CRISIL B+/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4.8 CRISIL B+/Stable (ISSUER NOT
COOPERATING; Rating Migrated))
Term Loan 0.42 CRISIL B+/Stable (ISSUER NOT
COOPERATING; Rating Migrated))
CRISIL Ratings has been consistently following up with AJSG for
obtaining information through letters and emails dated December 31,
2021 and January 26, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of AJSG, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AJSG
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of AJSG to 'CRISIL B+/Stable Issuer not
cooperating'.
AJSG, is an authorised dealer for all the commercial vehicles of
BharatBenz (Daimler India Commercial Vehicles) for the city of
Bareilly in Uttar Pradesh. AJSG was incorporated in January 2018 by
Mr. Jitendra Pal Singh Gujral and his wife Mrs Kamaljeet Kaur
Gujral.
AKSHAR POLYPACK: CRISIL Keeps B Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Akshar
Polypack LLP (AKPOLL) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Cash 3 CRISIL B/Stable (Issuer Not
Credit Limit Cooperating)
Proposed Term Loan 7 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AKPOLL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of AKPOLL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
AKPOLL is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of AKPOLL continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
AKPOL was set up in May 2019, and is setting up a plant to
manufacture polypropylene (PP) woven sack fabric and sack bags in
Morbi, Gujarat. The plant is expected to be commissioned by
December 2019. The firm is owned and managed by Mr. Rupesh
Harjivanbhai Vithalapara, Mr. Bimal Chandrakant Chandibhamar, Mr.
Krupal Hemanshu Chandibhamar, and Mr. Lakki Mohanbhai Kansagra.
ANANT RAM: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Anant Ram
Bhatia Oils Private Limited (ABPL) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 2 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with ABPL for
obtaining information through letters and emails dated December 21,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of ABPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ABPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ABPL continues to be 'CRISIL D Issuer Not Cooperating'.
ABPL was originally established by Mr. Anant Ram as a proprietary
firm in 1950; the firm was reconstituted as a private limited
company in 2012. ABPL trades in rice, edible oil, Vanaspati, ghee,
sugar, and other commodities. It is planning to set up an oil
refinery in Khandsa, Haryana, in the near term, to produce refined
oil.
ANUGRAH STOCK: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Anugrah
Stock & Broking Limited continues to remain in the 'Issuer Not
Cooperating ' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 20.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 25.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE had, vide its press release dated March 30, 2020 placed the
ratings of Anugrah under the 'issuer non-cooperating' category as
Anugrah had failed to provide information for monitoring of the
rating and had not paid the surveillance fees for the rating
exercise as agreed to in its rating agreement. Anugrah continues to
be non-cooperative despite repeated requests for submission of
information through e-mails dated November 8, 2021, October 29,
2021 and October 19, 2021. 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.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Care reaffirmed the ratings of the long term and short-term
instruments of the company.
As of November 27, 2020, NSE declared Anugrah as a defaulter and
expelled the brokerage house from memberships and March 9, 2021
SEBI has imposed a fine of INR90 lakh for misusing client funds and
making incorrect reporting to stock exchanges. Further, SEBI
cancelled the registration of Anugrah stock & Broking private
limited on February 14, 2022.
Anugrah was incorporated in 1996, is primarily in business of
retail equity broking. The company is Mumbai based and has network
of 6 branches in states of Maharashtra, Gujarat, Rajasthan and
Andhra Pradesh. The margin financing business is also carried out
through a promoter-related company and not under Anugrah. Anugrah
has a network of over 409 franchisee providing services to more
than 20207 number of clients across the country.
AVIS INDIA: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Avis India
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with Avis for
obtaining information through letters and emails dated December 21,
2021 and January 20, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of Avis, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on Avis
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
Avis continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Avis, based in Pune (Maharashtra), was established as a
proprietorship concern in 1997 by Mr. Vijay Kulkarni. It undertakes
civil construction works such as setting up of sugar factories,
power projects for sugar factories, and water treatment plants
largely in Maharashtra. Its day-to-day operations are managed by
Mr. Vijay Kulkarni.
BAJAJ BASMATI: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bajaj Basmati
Private Limited (BBPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 38 CRISIL D (Issuer Not
Cooperating)
Term Loan 19 CRISIL D (Issuer Not
Cooperating)
Warehouse Financing 10 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BBPL for
obtaining information through letters and emails dated December 21,
2021 and January 20, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BBPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BBPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BBPL continue to be 'CRISIL D Issuer Not Cooperating'.
BBPL was incorporated in April 2010 by Mr. Krishan Bajaj and Mr.
Sahil Bajaj. It mills and processes paddy into rice, rice bran,
broken rice, and husk. Its two rice mills, in Jalalabad and Muktsar
(both in Punjab), have combined installed paddy milling capacity of
17 tonnes per hour.
BALAJI RAW: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sri Balaji
Raw And Parboiled Rice Mills Private Limited (SBRPRM) continue to
be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 3 CRISIL D (Issuer Not Cooperating)
Bank Guarantee 5 CRISIL D (Issuer Not Cooperating)
Cash Credit 10 CRISIL D (Issuer Not Cooperating)
Cash Credit 5 CRISIL D (Issuer Not Cooperating)
Warehouse
Financing 15 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with SBRPRM for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SBRPRM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
SBRPRM is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of SBRPRM continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Set up in June 2013 by Mr. Viswanadham and his family, SBRPRM mills
and processes paddy into rice; it also generates by-products, such
as broken rice, bran, and husk. The mill is in Vijayawada.
BATANAGAR EDUCATION: CRISIL Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Batanagar
Education and Research Trust (BERT) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 11 CRISIL D (Issuer Not Cooperating)
Term Loan 2 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with BERT for
obtaining information through letters and emails dated December 21,
2021 and January 20, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BERT, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BERT
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BERT continue to be 'CRISIL D Issuer Not Cooperating'.
BERT was registered in February 2007 as a public, non-profit,
charitable trust. It has set up an engineering college, Batanagar
Institute of Engineering Management and Science, at Maheshtala in
Kolkata.
BHASKAR SILK: CRISIL Keeps B Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bhaskar Silk
Mills Private Limited (BSMPL) continue to be 'CRISIL B/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4.95 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 6.05 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BSMPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BSMPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BSMPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BSMPL continue to be 'CRISIL B/Stable Issuer Not Cooperating'.
Incorporated in 2004 in Surat and promoted by Mr. Ashok Kumar
Tibrewal and Mr. Rakesh Aggarwal, BSMPL prints and dyes cloth.
BLUEBERRY AGRO: CRISIL Keeps B Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Blueberry
Agro Products Private Limited (BAPL) continue to be 'CRISIL
B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2 CRISIL B/Stable (Issuer Not
Cooperating)
Long Term Loan 6 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 0.5 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with BAPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BAPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BAPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
BAPL was incorporated in November 2011; operations are managed by
Mr. Suraj Kumar Daga and his son, Mr. Gaurav Daga. The company
manufactures tea extracts and tea pre-mixes at its facility in
Wada, Maharashtra.
BPL TECHNO: CRISIL Keeps D Debt Rating in Not Cooperating
---------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of BPL Techno
Vision Private Limited (BTVPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Credit Limit 5 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with BTVPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BTVPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BTVPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BTVPL continue to be 'CRISIL D Issuer Not Cooperating'.
BTVPL, established in 1983 in Bengaluru (Karnataka), manufactures
lanterns and home automation equipment.
BRAND ALLOYS: CARE Moves D Debt Ratings to Not Cooperating
----------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Brand
Alloys Private Limited (BAPL) to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 22.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Short Term Bank 5.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. has been seeking information from BAPL to monitor
the rating(s) vide e-mail communications/letters dated November 25,
2021, February 4, 2022 among others 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 Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating. Further, Brand Alloys Private Limited has
not paid the surveillance fees for the rating exercise as agreed to
in its Rating Agreement. The rating on BAPL's bank facilities will
now be denoted as CARE D; ISSUER NOT COOPERATING/ 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 rating(s).
The ratings have been revised on account of lack of information and
uncertainty around the credit risk profile of the company.
Detailed description of the key rating drivers
At the time of last rating on June 22, 2021 the following were the
rating strengths and weaknesses:
Key Rating Weaknesses
* Delay in debt servicing: There has been delay in the servicing of
term debt for the month of May 2021 due to liquidity mismatch. The
liquidity mismatch is primarily due to delay in collection from the
debtors.
Incorporated in 1994, BAPL, is a Kolkata based company having its
manufacturing unit in Serampore, West Bengal. The company is
engaged in manufacturing of TMT bars, railway components and bogies
with the installed capacity of 60,000 MTPA for TMT bars and 10,000
MTPA for railways components. Further, BAPL is into an agreement
with Tata Steels Limited for conversion of billets into TMT bar
from last 11 years. HSPL, incorporated in 1996 is also a Kolkata
based company having its manufacturing unit in Durgapur, West
Bengal. The company is engaged in manufacturing of ferroalloys,
sponge iron and billets with the installed capacity of 120,000 MTPA
for Sponge Iron, 60,000 MTPA for Steel Billets and 12,000 MTPA for
Ferro alloys. Further, the company has captive power plant with an
installed capacity of 8MW. This apart, promoters' are engaged in
the iron & steel products through other group entities, namely
Ispat Damodar Private Limited, Brand Steel and Power Pvt. Ltd. &
Sonic Thermal Private Limited as they are engaged in the same line
of business.
DEVI ENGINEERING: CARE Lowers Rating on INR67cr Loans to D
----------------------------------------------------------
CARE Ratings has revised the rating on bank facilities of Devi
Engineering And Constructions Private Limited (DECPL) to Issuer Not
Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 27.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE BB; Stable
Short Term Bank 40.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE BB; Stable
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated December 14,
2021, placed the rating(s) of DECPL under the 'issuer
non-cooperating' category as DECPL had failed to provide
information for monitoring of the rating and had not paid the
surveillance fees for the rating exercise as agreed to in its
Rating Agreement.
DECPL continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated February 3, 2022, February 7, 2022, February 15,
2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned to the bank facilities of DECPL have been
revised on account of delays in interest and debt servicing
recognized from publicly available information.
Devi Engineering and Constructions Private Limited (DECPL) was
incorporated in the year 2014 by Mr. J.V. Gangadhar and his wife,
Mrs. J.V. Laxmi. The company is engaged in providing 2D & 3D
seismic survey, data acquisition services, gas compression services
and Engineering, Procurement & Construction (EPC) projects on a
turnkey basis. The company has its presence in the state of Andhra
Pradesh, Telangana, Assam, Tripura, Gujarat and Karnataka. The
company has clients viz. Oil and Natural Gas
Corporation (ONGC), TATA Projects Limited, GAIL (India) Limited
(GAIL), Ramagundam Fertilizers and Chemicals Limited, etc. and
projects are spread across the states of Andhra Pradesh, Telangana,
Assam, Tripura, Gujarat and Karnataka.
ENTRACK OVERSEAS: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Entrack
Overseas Private Limited (EOPL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Export Packing 15 CRISIL D (Issuer Not
Credit Cooperating)
Export Packing 10 CRISIL D (Issuer Not
Credit Cooperating)
Proposed Long Term 55 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with EOPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of EOPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EOPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
EOPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Incorporated in 2012, EOPL exports agricultural commodities to
Asian, European, and West Asian countries. The company, based is
Mangalore (Karnataka), is promoted by Ms. Sudha S Nayak and Mr. U
Aditya Nayak.
GANESH AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shri Ganesh
Agro Industries - Parbhani (SGAI) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 1 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with SGAI for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SGAI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SGAI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SGAI continue to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2007 by Daga family, SGAI gins and presses raw
cotton, and extracts oil from cotton seeds.
HALDIA STEELS: CARE Moves D Debt Ratings to Not Cooperating
-----------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Haldia
Steels Private Limited (HSPL) to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 48.62 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Short Term Bank 30.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. has been seeking information from HSPL to monitor
the rating(s) vide e-mail communications/letters dated November 25,
2021, February 4, 2022 among others 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 Ratings Ltd. 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. Further, HSPL has not paid the surveillance fees for
the rating exercise as agreed to in its Rating Agreement. The
rating on HSPL's bank facilities will now be denoted as CARE D;
ISSUER NOT COOPERATING/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 rating(s).
The ratings have been revised on account of lack of information and
uncertainty around the credit risk profile of the company.
Detailed description of the key rating drivers
At the time of last rating on June 22, 2021 the following were the
rating weaknesses and strengths:
Key Rating Weaknesses
* Delay in debt servicing: There has been delay in the servicing of
term debt for the month of May 2021 due to liquidity mismatch. The
liquidity mismatch is primarily due to delay in collection from the
debtors.
Incorporated in 1996, Haldia Steels Private Limited is a Kolkata
based company having its manufacturing unit in Durgapur, West
Bengal. The company is engaged in manufacturing of ferroalloys,
sponge iron and billets with the installed capacity of 120,000 MTPA
for Sponge Iron, 60,000 MTPA for Steel Billets and 12,000 MTPA for
Ferro alloys. Further, the company has captive power plant with an
installed capacity of 8MW. Currently, the company is managed by Mr.
Vikas Bansal and Mr. Satpal Bansal. The company procures manganese
ore, iron ore pallets, dolomite and coal locally.
HIND ALUMINIUM: CARE Lowers Rating on INR129.65cr LT Loan to B+
---------------------------------------------------------------
CARE Ratings has revised the ratings on certain bank facilities of
Hind Aluminium Industries Limited (HAIL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 129.65 CARE B+; Stable Revised from
Facilities CARE BB+; Negative
Short Term Bank
Facilities 51.92 CARE A4 Reaffirmed
Detailed Rationale & Key Rating Drivers
The revision in ratings assigned to the bank facilities of HAIL
factors in continuous and sharp decline in scale of operations,
continuous dampening of profitability, lack of new orders, and
ongoing project delays and impact of COVID. CARE notes that the
company has no major orders in hand and is surrendering majority of
its facilities.
The ratings derive strength from the vast experience of promoters
in the industry and timely infusion of funds by the promoters
resulting in adequate liquidity.
The ratings are however constrained by exposure to volatility in
commodity prices/ foreign exchange rates, supplier concentration
risk as well as cyclical nature of the industry.
Rating Sensitivities
Positive Factors
* Sustained increase in scale of operations with sales above INR100
crores on account of receipt of new and large orders
* Timely collection of receivables leading to lower dependency on
working capital borrowings
* Improvement in PBILDT margins above 5% on a sustained basis, on
the back of higher margin orders
* Improvement in overall gearing below 1x on a sustained basis,
based on reduction in working capital utilization.
Negative Factors
* Inability to get new orders
* Inability to tie up with lenders for availing required working
capital
* Continued incurring of losses by the company
Detailed description of the key rating drivers
Key Rating Strengths
* Extensive experience of the promoters and other key management
personnel: Mr. Lalit Kumar Daga, Chairman and his sons Mr. Shailesh
Daga, Managing Director and Mr. Raghav Daga have an extensive
experience in the aluminium and aluminium alloys industry,
supported by professional staff, who handles the day to day
functioning. Owing to their presence in the same industry for more
than three decades, they have developed end-to-end understanding
about the functioning of the conductors and aluminium wire rods
industry.
Key Rating Weaknesses
* Continuous decline in scale of operations and profitability: The
scale of operations on consolidated basis continue to decline. The
Total Operating Income declined from INR392.76 crore in FY20 to
INR96.94 crore in FY21. Further, during 9MFY22, the total revenue
reported was INR23.71 crore as against INR88.37 crore reported
during 9MFY21. The reasons being unavailability of new orders,
sluggishness in demand for the aluminium conductors since past few
quarters, existing project delays, impact of COVID and anti-China
sentiment which have further delayed various large tenders by few
months. The company reported losses in FY21 owing to lower margin
orders, also higher operating expenses on account of employee
costs and wire rod division. The losses were funded by infusing
funds through unsecured loans and receipt of advances given to
other group companies.
* Decline in order book position: The company successfully
implemented cables and transmission line installation project for
MP Govt in H1FY22. The management has indicated that the company
does not have any major projects in pipeline as of February, 2022
as a result the financial performance in FY22 is expected to
deteriorate compared to previous year.
* Profitability highly sensitive to economic cycle and volatility
in commodity prices: Aluminium being the key raw material used in
the manufacturing process, the aluminium wire rods and conductor
prices also move in tandem with aluminium metal prices. While
HAIL's raw material cost changes according to changes in aluminium
prices, the company will have to pass on the decline/ rise in
prices to its customers, thereby having no significant impact on
its profitability. Further HAIL also hedges its raw material prices
in case of fixed price contract thus insulating itself to
volatility in prices. However, any abnormal volatility in aluminium
prices has to be borne by the company in the short run.
* Industry Outlook: The conductor industry is facing extreme
sluggishness in demand for the past two quarters majorly due to
impact of COVID, project delays and anti-China sentiment. Various
companies have asked for extension of tenders' deadline by 2-3
months as they need time to evaluate and find source to replace
Chinese products. Some very large tenders which were to be issued
in the month of September have been extended by 3-4 months which is
causing delay for conductor industry. Although, there is no Chinese
product required to manufacture conductor but due to other
electrical equipments the tender process is getting delayed. Also,
the industry is heavily dependent on bank limits (BG) but banks are
now renegotiating the limits with the company which is further
affecting company's operations.
Liquidity: Stretched – The Company as of September 30, 2021 has
cash and cash equivalents of INR1.23 crore. The company does not
have any scheduled repayments in H2FY22. The company has closed
working capital limits with SBI and Axis Bank. The liquidity
position is expected to remain stretched until the company is able
to bag new orders and tie up for working capital facilities with
new/existing lenders. Analytical approach: CARE has adopted
consolidated approach. The financials consolidated are standalone
HAIL, Hind Power Products Pvt. Ltd., Hind Aluminium Industries
(Kenya) Ltd.
Established in 1973 by Mr. Lalit Daga, the Associated Group
manufactures aluminium wire rods, which are used to make conductors
and cables. The business is carried out by its two companies, the
flagship company Hind Aluminium Industries Limited (HAIL),
incorporated in 1987 and Associated Aluminium Industries Private
Limited (AAIPL – rated CARE BBB+; Stable/ CARE A2), incorporated
in 1972. The first manufacturing unit (an aluminium rolling mill)
under AAIPL was set up in Taloja, Maharashtra. HAIL, currently has
an installed capacity to manufacture 60,000 tonnes per annum (TPA)
of aluminium conductors. Further, the company also has an aluminium
rod manufacturing facility with an installed capacity of 29,000 TPA
(AAIPL 30,800 TPA). HAIL has two Wind Turbine Generators (WTG) of
total 2.75 Mega Watts (MW) at Nandurbar & Sangli in Maharashtra and
four Solar Power plants of 1.43 MW at Pune – Maharashtra,
Bengaluru –Karnataka, Rewari – Haryana and Alwar – Rajasthan.
For its wind turbine power generation, HAIL has a Power Purchase
Agreement (PPA) with MSEDCL for complete purchase of its
generation.
JAYPEE INFRATECH: CARE Reaffirms D Rating on INR6,550cr Loan
------------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Jaypee Infratech Limited (JIL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank
Facilities 6,550 CARE D Reaffirmed
Detailed Rationale & Key Rating Drivers
The ratings assigned to the bank facilities and instruments of JIL
continue to factor in delays in debt servicing by the company due
to its weak financial performance and stretched liquidity
position.
Rating Sensitivities
Positive Factors - Factors that could lead to positive rating
action/upgrade:
* Timely repayment of its debt on timely basis.
Detailed description of the key rating drivers
Key Rating Weaknesses
* Weak financial performance and stretched liquidity position: The
liquidity position of the company continues to remain weak on
account of weak financial performance, leading to ongoing delays in
debt servicing.
JIL is a special purpose vehicle promoted by Jaiprakash Associates
Ltd (JAL, rated 'CARE D'), holding 60.98% stake as on December 31,
2019, to develop and operate a 165-km six-lane (extendable to eight
lanes) access-controlled toll expressway between Noida and Agra in
Uttar Pradesh (E'way project). The E'way project achieved
Commercial Operations Date (COD) and commenced toll collection in
August 2012, post receipt of substantial completion certificate.
Also, JIL has been granted rights by Yamuna Expressway Development
Authority (YEDA), a state government undertaking, for the
development of approximately 6,175 acres of land (443.30 mn sq ft
of real estate) along expressway in five different parcels in Uttar
Pradesh for residential, commercial, amusement, industrial and
institutional development. The land for real estate development is
provided on 90-year lease.
On account slowdown in real estate sales and high debt levels, the
company's financial performance in FY19 (refers to the period April
1 to March 31) was weak, resulting in weak liquidity position and
ongoing delays in debt servicing as discussed with the company and
confirmed with bankers. The company is currently under the
Corporate Insolvency Resolution Process by virtue of the order
dated August 9, 2017 of National Company Law Tribunal (NCLT),
Allahabad Bench Mr. Anuj Jain as Interim Resolution Professional
(IRP). Suraksha group got the approval of the Committee of
Creditors (CoC) to acquire the JIL, however the same is yet
approved by NCLT.
JJ INTERNATIONAL: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of J. J.
International (JJI) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3.5 CRISIL D (Issuer Not Cooperating)
Term Loan 2.5 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with JJI for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of JJI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on JJI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
JJI continue to be 'CRISIL D Issuer Not Cooperating'.
Established in October 2017, JJI commenced rice milling operations
in January 2018. The firm is based in Pehowa, Haryana, and is
managed by Mrs Kamalpreet Kaur and Mrs Lakhwinder Kaur.
MAXVEL REALTECH: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Maxvel
Realtech Private Limited (MRPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 6 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 14 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MRPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of MRPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MRPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
MRPL continue to be 'CRISIL D Issuer Not Cooperating'.
MRPL, formerly known as Sanjay Cements Pvt Ltd, was incorporated in
1989, promoted by Mr. Rajinder Khurana, Mr. Rajender Saluja, Mr.
Siddharth Agarwal, and Mr. Amarjeet Singh. The company had not
undertaken any activity until October 2013. It is engaged in real
estate development.
MRJV CONSTRUCTION: CARE Moves D Debt Rating to Not Cooperating
--------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of MRJV
Construction Company to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 35.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE has been seeking information from MRJV Construction Company to
monitor the rating vide e-mail communications dated February 4,
2022, January 25, 2022, January 17, 2022, 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 best available information which however, in
CARE's opinion is not sufficient to arrive at a fair rating. The
rating on MRJV Construction Company bank facilities will now be
denoted as 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 rating(s).
The rating assigned to the bank facilities of MRJV Construction
Company takes into consideration ongoing delays in debt servicing
by the firm on account of weak liquidity position and subdued real
estate scenario.
Rating Sensitivities
Positive Factors- Factors that could lead to positive rating
action/upgrade
* Ability to achieve increased sales velocity and strong collection
efficiency with monthly collection of INR5 cr
* Timely repayment of its debt on timely basis
Detailed description of the key rating drivers
Key Rating Weaknesses
* Delays in servicing of debt obligations: On account of overall
subdued demand scenario in the real estate market, the firm has
been able to garner lower amount of project collections in its
ongoing residential project named Plam resorts based in Rajnagar
Ext, Gaziabad. This has led to a mismatch between project receipts
vis a vis the debt repayment obligations, leading to delays in debt
servicing. The firm has applied for the restructuring of the bank
loan in October 2020, however the said proposal is yet to be
approved. As per the banker, the firm has availed moratorium period
of 6 months as provided by bank in lines with RBI guidelines.
* Subdued real estate scenario: With the ongoing economic
conditions, the real estate industry is currently facing issues on
many fronts, including subdued demand, curtailed funding options,
rising costs, restricted supply due to delays in approvals, etc.
thereby resulting in stress on cash flows of developers. The
industry has seen low demand in the recent past, primarily due to
factors like sustained high level of inflation leading to high
interest rates and adverse impact on the buying power and
affordability for the consumers.
Liquidity: Weak
The liquidity profile of MRJV Construction firm remains weak. Due
to mismatch between project receipts vis a vis the debt repayment
obligations the liquidity of MRJV remains constrained.
Constituted in 2011, MRJV Construction Firm is a partnership firm,
engaged in development of real estate projects, mainly in NCR
region. It belongs to MRJV group. Till March 31, 2019, the group
has executed one residential project over an area of more than 13
lacs square feet (lsf). Further, the group is currently executing 4
residential and 1 commercial project with total saleable area of
40.53 lsf in Ghaziabad. The partners of the firm have vast
experience in the real estate industry.
NARBADA DAIRY: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Narbada Dairy
Foods And Farms Private Limited continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 6.5 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 7.94 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with Narbada for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of Narbada, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
Narbada is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of Narbada continue to be 'CRISIL D Issuer Not
Cooperating'.
Narbada was incorporated in September 2012 by Mr. Shashanka Pandey
and his brother, Mr. Sujeet Pandey. The company operates a fully
mechanized dairy farm in Potiya (Durg; Chhattisgarh) and sells
unprocessed milk.
NEXTCELL LIMITED: Insolvency Resolution Process Case Summary
------------------------------------------------------------
Debtor: Nextcell Limited
Block-D, 4th Floor
Wing-1 Cyber Gateway
Hi-Tech City, Madhapur
Hyderbad, Telangana 500081
Insolvency Commencement Date: February 14, 2022
Court: National Company Law Tribunal, Hyderabad Bench
Estimated date of closure of
insolvency resolution process: August 6, 2022
(180 days from commencement)
Insolvency professional: Sreenivasa Rao Somisetty
Interim Resolution
Professional: Sreenivasa Rao Somisetty
Villa 54, Srinidhi Oakland
Renuka Yellamma Colony
Bachupally, Hyderabad 500090
E-mail: ssraocacs@gmail.com
- and -
503, SS Residency
Shanti Nagar, Masab Tank
Hyderabad 500028
E-mail: cirp.nextcell@gmail.com
Last date for
submission of claims: March 2, 2022
PATWA MARKETING: CRISIL Keeps D Debt Rating in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Patwa
Marketing Private Limited (PMPL; part of the Patwa group) continues
to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 8 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with PMPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of PMPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on PMPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
PMPL continue to be 'CRISIL D Issuer Not Cooperating'.
For arriving at the rating, CRISIL Ratings has combined the
business and financial risk profiles of PMPL and Urvarak Abhikaran
Neemuch Pvt Ltd (UANPL). This is because the two companies,
together referred to as the Patwa group, have common promoter and
management, and are in the same business.
UANPL and PMPL were incorporated in 1989 and 1995, respectively,
and are promoted by Mr. Surendra Patwa. The companies are del
credere agent (DCAs) for RIL's polymer products. PMPL is also a
carry and forwarding agent for Torrent Pharma Limited (TPL).
Registered office is in Indore. The promoter is also engaged in
automobile dealership through other entities.
PAVANI POLYMERS: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Pavani
Polymers Private Limited (PPPL; previously known as Bogeashavara
Polymers Private Limited) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 12.5 CRISIL D (Issuer Not Cooperating)
Long Term Loan 7 CRISIL D (Issuer Not Cooperating)
Proposed Cash
Credit Limit 3.6 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with PPPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of PPPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on PPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
PPPL continue to be 'CRISIL D Issuer Not Cooperating'.
BPPL was set up in 2013 by Mr. Mr.Balaji Reddy and his family
members. The company manufactures polypropylene woven sacks, which
are used for packaging in various industries. Its manufacturing
unit is located in Hyderabad (Telangana).
PEREGRINE INDIA: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Peregrine India Logix Private Limited
310, T/F Sachdeva Corporate Tower
Commercial Centre, Karkardooma
Delhi 110092
Insolvency Commencement Date: February 21, 2022
Court: National Company Law Tribunal, New Delhi Bench-V
Estimated date of closure of
insolvency resolution process: August 20, 2022
Insolvency professional: Shiv Nandan Sharma
Interim Resolution
Professional: Shiv Nandan Sharma
129 Navjeevan Vihar
Near Aurobindo College
New Delhi 110017
E-mail: sharmasn@gmail.com
peregrine.cirp@gmail.com
Last date for
submission of claims: March 7, 2022
QRT LABS PRIVATE: Insolvency Resolution Process Case Summary
------------------------------------------------------------
Debtor: QRT Labs Private Limited
Mahavir Lane
Chakaram Link Road
Budha Colony
East Boring Canal Road
Patna BR 800001
IN
Insolvency Commencement Date: February 24, 2022
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: August 23, 2022
(180 days from commencement)
Insolvency professional: Rajendra Kumar Agarwal
Interim Resolution
Professional: Rajendra Kumar Agarwal
Diamond Arcade
3rd Floor, Suite No. 301A
68, Jessore Road
Kolkata 700055
E-mail: rkaco93@yahoo.co.in
carkagarwal90@gmail.com
Last date for
submission of claims: March 10, 2022
RADHARAMAN COTGIN: CARE Moves D Debt Rating to Not Cooperating
--------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of
Radharaman Cotgin Private Limited (RCPL) to Issuer Not Cooperating
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating moved to ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE has been seeking information from RCPL to monitor the
rating(s) vide e-mail communications/letters dated February 9,
2022, January 31, 2022 and January 25, 2022 among others and
numerous phone calls. However, despite CARE's repeated requests,
the company has not provided the requisite information for
monitoring the ratings. Further, RCPL has not paid the surveillance
fees for the rating exercise as agreed to in its Rating Agreement.
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. Further, RCPL has not paid the surveillance fees for the
rating exercise as agreed to in its Rating Agreement. The rating on
RCPL's bank facilities will now be denoted as 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 rating(s).
The rating assigned to the bank facilities of RCPL continues to
take into account the delays in debt servicing of the company
within a period of last 90 days as on December 3, 2020.
Detailed description of the key rating drivers
At the time of last rating on December 4, 2020 the following were
the rating weaknesses and strengths.
Key Rating Weaknesses
* Instances of past delays in debt servicing: As per the bank
statement received, there are instances of past delays in the cash
credit account as observed through continuous overdrawals in the
cash credit account from September 30, 2020 to November 17, 2020
which was regularized on November 18, 2020 with the cash credit
account remaining overdrawn for more than 30 days.
Liquidity: Poor - Poor liquidity marked by fully utilized bank
limits and modest cash balance. This could constrain the ability of
the company to repay is debt obligations on a timely basis. The
company has not availed any moratorium from its lender in terms of
COVID-19 Regulatory Package announced by the Reserve Bank of India.
Moreover, they have applied for ECL COVID loan INR1.76 crore from
its lender for funding raw material required for the company. There
are instances of continuous overdrawals in the cash credit account
for more than 30 days.
Incorporated in December 2012, Radharaman Cotgin Private Limited
(RCPL) was promoted by Mr. Monoj Kumar Biswal and Mr. Adarsh
Agrawal. The company has been engaged in manufacturing of ginning
and pressing of cotton bales. The manufacturing facility of the
company is located at Belpada, Odisha with installed capacity of
2000 quintals per day. RCPL procures cotton from local farmers and
agents and sells its products through the wholesalers and
distributors located in Punjab, Haryana, Rajasthan, Delhi and
Kolkata.
SAYA HOMES: CARE Hikes Rating on INR371.26cr LT Loan to B
---------------------------------------------------------
CARE Ratings has revised the rating on bank facilities of Saya
Homes Private Limited (SHPL) to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 371.26 CARE B; Stable Revised from
Facilities CARE D; Stable outlook assigned
Detailed Rationale & Key Rating Drivers
The rating assigned to the bank facilities of SHPL have been
revised on account of timely servicing of its debt obligations,
satisfactory project execution & sale of projects and healthy sales
momentum and collections from the project. The rating, however,
continues to be constrained by High dependence on customer advances
for debt repayments and subdued industry outlook.
Rating Sensitivities
Positive Factors - Factors that could lead to positive rating
action/upgrade:
* Timely sales of remaining area with timely collection of
receivables
* Regular and timely realization of customer advances
Negative Factors- Factors that could lead to negative rating
action/downgrade:
* Reduction in sales velocity or collection efficiency
Detailed description of the key rating drivers
Key Rating Weakness
* High dependence on customer advances for debt repayments: Till
December 31, 2021, out of total saleable area of project Saya Gold
Avenue of 25.96 lsf, the company has sold 19.43 lsf i.e. ~75% of
total saleable area at a total sale value of INR1110cr. With
balance 25% of area yet to be sold, the project remains exposed to
salability risk. Further, the total receivables stood at INR83.82
cr from sold inventory as on December 31, 2021. Thus, debt
repayments are dependent on fresh sales and timely realization of
customer advances. In respect of this project, total debt of
INR411.26.41cr is outstanding consisting of term loan of
INR371.26cr and WCTL of INR40cr.
* Subdued industry scenario: With the ongoing economic conditions,
the real estate industry is currently facing issues on many fronts,
including subdued demand, curtailed funding options, rising costs,
restricted supply due to delays in approvals, etc., thereby
resulting in stress on cash flows of developers. The industry has
seen low demand in the recent past, primarily due to factors like
sustained high level of inflation leading to high interest rates
and adverse impact on the buying power and affordability for the
consumers.
Key Rating Strength
* Experienced promoters and management: Saya Homes Private Limited
(SHPL) was incorporated on Dec. 3, 2010, for the development of
residential/group housing project namely, Saya Zion. SHPL is a part
of Saya Group which has been engaged in real estate developments
since 2006. The group has delivered 2 projects (total saleable area
of 9.74 lsf) in the past in North India. The promoter of the
company, Mr. Vikas Bhasin has more than two decades of experience
in the field of construction and marketing. Apart from the
promoter, the management team consists of Mr. Manoj Jain, who has
more than 20 years of experience in finance and Mr. Shivendra Nath,
who has more than 15 years of expertise in architecture. Currently,
the company is developing a residential housing project namely,
'Saya Gold Avenue' in Indirapuram with a saleable area of 25.95
lsf.
* Satisfactory project execution & sale of projects: The company is
currently engaged in execution of one ongoing project based at
Ghaziabad, Indirapuram. The company has incurred total cost of
INR1345 crore out of the total projected cost of INR1529 crore
i.e.~ 88% of the total project cost till December 31, 2021.
Construction cost is remaining ~Rs, 50 Crore which majorly includes
finishing cost.
* Healthy sales momentum and collections from the project: The
sales momentum and collections remained satisfactory owing to the
affordability of the units, location of the project, large channel
partners and confidence among the customers for the group due to
timely delivery in the past. The company has sold 19.43 lsf of area
out of the total saleable area of 25.96 lsf that is around 75% of
the total saleable area. During the last twelve months i.e.
Jan-2021 to Dec-2021 company has sold 57 units.
Liquidity: Stretched
The liquidity profile of Saya Homes Private Limited remains
stretched marked by ballooning quarterly repayments of the company.
The company has to increase its sales velocity to generate
sufficient cash flows to fulfill the ballooning quarterly
obligation. As the company has received OC for both the phases of
the project from the authority on Jan 2022 management is expecting
healthy sales and collections going forward.
Saya Homes Private Limited (SHPL) was incorporated on Dec. 3, 2010
for the development of residential/group housing project. SHPL is a
part of Saya Group which has been engaged in real estate
developments since 2006. The company has delivered 2 projects
(total saleable area of 9.74 lsf) in the past in North India. The
promoter of the company, Mr. Vikas Bhasin has more than two decades
of experience in the field of construction and marketing. Apart
from the promoter, the management team consists of Mr. Manoj Jain,
who has more than 20 years of experience in finance and Mr.
Shivendra Nath, who has more than 15 years of expertise in
architecture.
SEA BLUE: CARE Reaffirms CARE C(IS) Issuer Rating
-------------------------------------------------
CARE has reviewed and reaffirmed the issuer rating of CARE C (IS)
assigned to Sea Blue Shipyard Limited (SBS) and placed the same
under notice of withdrawal for 90 days. The withdrawal of issuer
rating is at the request of SBS.
The reaffirmation in ratings factors in modest scale of operations
amidst stiff competition, moderate order book position and past
delays in debt servicing. The rating continues to derive benefits
from experienced promoter in shipbuilding industry, locational
advantage and reputed clientele, and comfortable capital structure
and debt coverage indicators.
Detailed description of the key rating drivers
Key Rating Weaknesses;
* Past Delays in Debt Servicing: The company had defaulted in its
debt repayment obligations with SBI and the account was classified
as NPA on 04.07.2020. The company continued to repay its debt
obligations through the receivables from its debtors, however due
to cash losses reported during FY18 & FY19, there were continuous
delays and irregularities. During FY20, the company turned around
to cash profit of INR6.10 Crore and with the support of equity and
unsecured loan from promoters, the company closed all its entire
liabilities with SBI on 30.12.2020 through one-time settlement
scheme. Notably, the company does not have any debts as on date and
running the business through its internal accruals. The company is
currently securing mostly short term work orders wherein the
collection period remains within 120 days, and thereby the
liquidity is expected to improve in future term.
* Modest scale of operations amidst stiff competition: The company
continues to operate in modest scale measured by its total
operating income of INR12.87 Crore in FY21 which declined from
INR15.66 Crore in FY20 on account of lesser execution of orders.
Further, SBS faces huge competition from strong industry major like
Cochin Shipyard Limited located at Cochin port with strong
technical prowess and other small unorganized players for afloat
repairs. During 7MFY22, the company has reported total income of
INR7.65 crore and net profit of INR2.00 crore.
* Moderate order book position: SBS has modest order book of
INR3.46 crore as of December 08, 2021 with average execution tenure
from 1 to 3 months and 3 years (AMC).
Key Rating Strengths;
* Experienced promoter in ship building industry: Mr. OC John,
Promoter and Managing Director, is a post graduate in commerce and
a graduate in law. He joined a ship building and repairing firm in
Kochi in 1983 and resigned from the firm in 2002 as Chief Executive
Officer and promoted SBS in 2003 along with four other technocrats.
Mr. E Tojen, promoter and director, is a marine engineer by
profession, has 21 years of experience in shipping industry and
merchant navy. Some of the key management personal of SBS are Mr.
Jilish G Kanippilly (Director HR & IT), Mr. P.G. Vinayan (Chief
Finance Officer), Ms. R. Raji (Company Secretary) along with other
directors having rich exposure in running the business in line with
the industry trend.
* Locational advantage and reputed clientele: SBS has 4.25 acres of
land at Vypin, which is near to Vallarpadam International Container
Transshipment Terminal. It in on the midway of international
shipping corridor connecting Europe, Middle East and the Pacific.
All the shipping related major undertaking, viz. International
Container Transshipment Terminal, Single Point Mooring, Cochin
Shipyard Limited, Cochin Port Trust etc are within three kilometers
radius of SBS yard. It provides its services at Cochin Port which
is located close to cargo carrying international sea route line,
which enables shipyards there to attract vast number of ships for
afloat repairs and hauling. SBS has carried out manufacturing of
ship parts and other shipping equipments for reputed clients such
as Goa Ship Yard Ltd, Indian Navy Coast Guard, Shipping Corporation
of India, Dredging Corporation of India, Cochin Shipyard Limited
among others.
* Comfortable capital structure and debt coverage indicators: The
company has repaid its all debt obligations during the course of
past two financial years ended FY21 leading to a comfortable
capital structure marked by the Overall gearing and debt equity.
Currently the company has availed only chit loan from Kerala State
Finance enterprise (KSFE) an NBFC to manage the day to day
operations. Further, the operations are also supported by interest
loaded unsecured loans from related party which will be repayable
according to the business trend. The overall gearing stood stable
at 0.21x as at March 31, 2021 as against 0.26x as at March 31,
2020. Also, the debt equity improved and stood negligible at 0.16x
as on March 31, 2021 (0.02x as n March 31, 2020). With respect to
debt coverage, with improving operating performance, the company
continues to have sufficient accruals to meet out its existing debt
obligations which remained minimal. It is indicated by TD/GCA of
2.44x and interest coverage of 4.54x during FY21.
Liquidity analysis: Stretched
Stretched liquidity marked by high collection period of 195 days.
However, the company have nominal long-term debt to be repaid to
the tune of INR0.44 Crore as on October 31, 2021 wherein the cash
accruals remained sufficient. Current and quick ratio stood at
2.07x and 1.87x as on March 31, 2021. Operations of the company are
working capital intensive mainly on account of funds being blocked
in receivables (avg. debtor's period is 195 days in FY21 vis-à-vis
120 days in FY20). During FY21, the creditor's period stood at 56
days as against 66 days in FY20, and with this the operating cycle
elongated at 178 days in FY21 as against 101 days in FY20, however,
the company is managing the same with the internal accruals and USL
from related parties and not relying on bank borrowings to fund its
working capital gap.
Sea Blue Shipyard Limited (SBS), incorporated on December 08, 2003,
is an ISO:9001-2008 certified closely held public limited company
engaged in ship building, ship repairs, general engineering,
wharfage and berthing, tug boat services and hire charges
activities. Initially the company was established under the name of
Sea Blue Marine Engineering (Pvt.) Ltd. and later converted into a
Public Limited Company in 2009, with its new name SBS. SBS has a
yard, located at Vypin, having necessary infrastructure facilities
like 200 meters long wharfs, slipways and workshop for undertaking
above works. The company undertakes contractual work of Goa Ship
Yard Ltd, Indian Navy Coast Guard, Shipping Corporation of India,
Dredging Corporation of India, Cochin Shipyard Limited etc. and
other private agencies operating in the Western region for
specialized jobs.
SGM PACKAGING: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of SGM Packaging
Industries continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 1.25 CRISIL D (Issuer Not
Cooperating)
Cash Credit 3.50 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 0.25 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 2.00 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 0.50 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SGM for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SGM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SGM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SGM continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Set up in 2007 as a proprietorship firm by Mr. Rajesh Chauhan, SGM
manufactures wooden crates, corrugated paper boxes, and plastic
pallets at its facility in Gurgaon.
SHIVAM AUTOTECH: CARE Assigns D Rating to INR59.83cr LT Loan
------------------------------------------------------------
CARE Ratings has reaffirmed the rating on bank facilities of Shivam
Autotech Limited (SAL) to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank
Facilities 59.83 CARE D Assigned
Long Term Bank
Facilities 313.03 CARE D Reaffirmed
Short Term Bank
Facilities 10.00 CARE D Reaffirmed
Detailed Rationale & Key Rating Drivers
The reaffirmation of ratings assigned to the bank facilities of SAL
continues to take into account the instances of delay in servicing
of debt obligations by the company. The delays were attributable to
poor liquidity position, impact of COVID-19 on the operations of
the company and sizeable debt repayment obligations.
The ratings, are further, constrained by the leveraged capital
structure of the company characterized by significant capex
incurred in the past, working capital intensive nature of
operations, revenue concentration risk towards few customers and
cyclical nature of auto sector. The ratings also take cognizance of
the improvement in operational profit during FY21 (refers to the
period April 1 to March 31) and 9MFY22 (refers to the period April
1 to December 31) though the company continued to report losses at
the net level.
Rating Sensitivities
Positive Factors - Factors that could lead to positive rating
action/upgrade:
* Establishing track record of timely debt servicing of debt
obligations for a continuous period of 90 days
* Improvement in liquidity position of the company
Detailed description of the key rating drivers
Key Rating Weaknesses
* Delays in servicing of debt obligations: There have been
instances of delays in servicing of debt obligations by the
company. The delays were largely attributable to disruptions in the
operations owing to COVID-19 pandemic resulting in weakening of
operational profile and liquidity position of the company. The
company however, took cost rationalisation measures in a bid to
improve the profitability. The PBILDT margin of the company thus,
increased to 16.37% in FY21 from 8.84% in FY20, on a total
operating income of INR489.76 crores in FY21 (PY:Rs. 588.23
crores). Though the company continued to report losses at net level
of INR22.53 crores in FY21 (PY: INR37.13 crores) on account of high
interest and depreciation cost, the cash accruals turned positive
to INR22.65 crores during FY21 as against negative cash accruals of
INR0.43 crores during FY20. During 9MFY22 (UA), the company has
recorded PBILDT margin of 14.36% on a total income of INR359.71
crores.
* Leveraged capital structure marked by significant debt-funded
capex incurred in the past: During FY16-20, the company had
incurred total capex of around INR415 crores to meet the demand of
existing customers and add new customers. The capex was funded
through term loans of INR321 crores and rest from capital advances
and internal accruals. In FY21, the total debt of the company
further increased to INR486.34 crore as on March 31, 2021 from
INR439.03 crore as on March 31, 2020. The high debt facilities
availed and erosion of networth owing to continued losses led to
further deterioration in the overall gearing which stepped up from
3.27x as on March 31, 2020 to 4.34x as on March 31, 2021.
* Revenue concentration risk: SAL derives majority of its revenue
from single client: HML. During FY21, SAL derived 61% of its
revenue from HML Furthermore, majority of its product manufactured
such as gears and shafts find usage in two-wheelers; thereby
exposing the company towards customer concentration risk as well as
segment concentration risk. Any change in procurement policy of
major customers may adversely impact the business of the company.
This also exposes the company's revenue growth and profitability to
its customer's future growth plans.
* Cyclical nature of the automotive industry: The automobile
industry is highly cyclical in nature and automotive component
suppliers' sales are directly linked to sales of auto OEMs.
Furthermore, the auto-ancillary industry is highly competitive with
the presence of a large number of players in the organized as well
as unorganized sector
Liquidity: Poor
Liquidity position of the company is poor as evinced by its
inability to service its debt obligations in a timely manner. The
liquidity profile is delicately poised due to high working capital
utilization and poor liquidity position is also reflected from weak
current ratio which stood at 0.71x as of March 31, 2021. The
projected gross cash accruals of around INR59 crores are not
sufficient to meet the repayment obligations for FY22 which stands
at INR99.67 crore and the gap has been met by availing Guaranteed
Emergency Credit Line (GECL) of INR79.40 crores.
SAL, formerly known as Munjal Auto Components, commenced operations
in Sep-1999 as an autonomous wing of 'HERO' Group. Later in 2005,
the forging and machinery divisions were hived off and thus SAL was
incorporated in July 29, 2005. The company is engaged in
manufacturing of transmission gear & shafts, Precision Engineering
Components (PECs), etc. for two-wheelers. SAL has four plants
located in Gurgaon, Haridwar, Bengaluru and Rohtak. In order to
reduce its costs, the Company has decided to close manufacturing
activities at its plant situated at Manesar Gurugram.
SINTRA LIMITED: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Sintra Limited
Maurya Centre-1
Fraser Road
Patna 800001
Bihar
Insolvency Commencement Date: February 25, 2022
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: August 24, 2022
Insolvency professional: Anang Kumar Shandilya
Interim Resolution
Professional: Anang Kumar Shandilya
T9, 1904, Exotica Dreamville
Sector 16C, Greater Noida West
Gautam Buddha Nagar 201318
Uttar Pradesh
E-mail: csanang@gmail.com
- and -
Ground Floor, Ramayan Apartment
Fraser Road, Dak Bunglow
Patna 800001, Bihar
E-mail: cirp.sintra@gmail.com
Last date for
submission of claims: March 11, 2022
SOLO METALS: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Solo Metals
Private Limited (SMPL) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 1.5 CRISIL D (Issuer Not Cooperating)
Cash Credit 3 CRISIL D (Issuer Not Cooperating)
Cash Credit 1 CRISIL D (Issuer Not Cooperating)
Cash Credit 14.5 CRISIL D (Issuer Not Cooperating)
Cash Credit 4.75 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with SMPL for
obtaining information through letters and emails dated December 14,
2021 and January 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SMPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SMPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SMPL continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
SMPL was incorporated in 2005, by the promoter, Mr. Jawahar Singh
Saroha and his son, Mr. Saket Saroha. The company manufactures
steel billets at its facility in Wada, Maharashtra.
SREI GROUP: 'Connected Entities' Baffle KPMG Forensics Team
-----------------------------------------------------------
The Economic Times of India reports that to most in corporate
India, a 'connected entity' and 'related party' mean the same --
arguing over the difference is quibbling over semantics. But, is
it? A confidential KPMG forensic report has run into legal
ambiguity over the terms while making a litany of allegations on
the lending practices of two Kolkata-based Srei companies which are
categorized as systemically important non-banking finance companies
in India.
According to the report, which is replete with caveats and
assumptions, the Srei companies had lent about INR8,158 crore to
"connected parties", "refinanced" loans to "evergreen" them, and
disbursed low-interest loans of long moratorium to multiple
borrowers "without adequate justification," two persons familiar
with the findings told ET.
ET relates that the management committees of the Srei entities have
justified the loans which the report has questioned. However, KPMG
(which was hired by two banks and submitted its report around end
December) did not ask Srei promoters to respond to the allegations.
While the Srei companies (with total borrowings of over INR31,000
crore) are undergoing insolvency proceedings and the administrator
has invited 'expression of interest' from potential bidders by
March 12, the tussle over loans to 'connected parties' -- and, who
indeed is one -- may go on, ET says.
KPMG, which declined to comment on the matter, has said in its
report that the connected entities (which borrowed from SREI) have
not been disclosed by SREI as 'related parties', ET relays. SREI,
armed with a legal opinion, has argued that these entities do not
fall under the definition of 'related parties'. (The definition is
often derived from the Companies Act which talks about 'related
party transactions).
But, this definition can make a big difference when it comes to RBI
regulations. As per the rules, loans to related parties carry
higher 'risk weight' and would require more capital than regular
loans. Thus, describing the connected entities as related parties
could have required SREI and its promoters to infuse more money
into the companies.
Technically, none of these 'connected' borrowers of SREI can be
technically and readily described as 'related party'. Why? SREI
companies have loans to entities whose equity has been subscribed
by funds managed by an asset manager in which the listed SREI
entity owns 51% equity, ET says. "Here, SREI's argument is somewhat
like this: SBI is a lender to Mahindra & Mahindra while mutual fund
schemes run by SBI AMC hold shares of Mahindra. So, how can you
call them related parties? SREI would probably argue that promoters
or SREI has not put money in the fund pools, and the stake in the
AMC, which has a professional board, is held by a listed company
(Srei Infra Finance Ltd) . . . ," said a source.
"A more detailed scrutiny is required," said KPMG "by collecting
information (which was unavailable during the forensic review) and
analyzing it to determine the control and influence if any over
such connected entities, any relationship with management of Srei
Infra Finance and Srei Equipment Finance in undertaking loan
transactions and to understand the actual substance of the
transactions." Also, since these connected entities were owned by
various trusts/their funds, and financial information on them was
not readily available, KPMG said it could not undertake the
necessary analysis required to check whether Srei's customers have
diverted funds, according to ET.
The forensic review by KPMG was undertaken for the period April 1,
2016 to September 30, 2020, ET notes. SREI promoters recently moved
the court challenging the relevance of the KPMG report when a
transaction audit by another firm BDO has been appointed by the
administrator. "BDO would not do forensics. For banks the KPMG
report has certain relevance. They could later use this report in
trying to recover a part of their loans from the promoters . . .
that would be over and above what they receive from the new bidder.
But at that point SREI promoters would naturally argue that the
borrowers were not related parties, there was no fund
round-tripping, or no loan evergreening -- for which any way there
is no regulatory definition," said a senior banker. "So, whether
connected entities are indeed related parties would have to be
tested in the court of law. Today, they aren't the same. That's
why, the regulator and banks use terms like 'connected entities'
and 'probable connected entities' in relation to SREI . . . it has
to be established legally," he said.
ET adds that KPMG said SREI faced a 'working capital gap' because
of the INR19,604 crore loan reviewed by it, about Rs 7000 crore was
disbursed at an interest of 1% a year during the moratorium period
with an internal rate of return of 12-15% on exit. Srei has
countered this on the ground that infra projects have long
gestation periods and the interest rates, though low in the initial
years, does not result in economic loss.
About SREI Infrastructure
SREI Infrastructure Finance Ltd. is a non-banking financial
institution. The company has three principal lines of business in
financing: infrastructure equipment finance, infrastructure
projects finance and renewable energy product finance.
Infrastructure equipment finance is the largest business division
of the Company.
On Oct. 4, 2021, the Reserve Bank of India superseded the board of
directors of Kolkata-based Srei Infrastructure and said that it
will initiate insolvency proceedings with the National Company Law
Tribunal (NCLT), according to The Economic Times. The RBI cited
governance concerns and defaults by the company and appointed
Rajneesh Sharma, former chief general manager, Bank of Baroda as an
administrator of the company.
The insolvency resolution process against the company started on
Oct. 8, 2021.
ST CONSTRUCTIONS PVT: Insolvency Resolution Process Case Summary
----------------------------------------------------------------
Debtor: S T Constructions Pvt. Ltd.
Registered office:
G-102, Road No. 13A
Opp. Shaheen Bag
Jasola, New Delhi 110025
Other offices:
A-76 Sector 26, Noida
Uttar Pradesh 201301
- and -
S/F 24, Ansal Fortune Arcade
Sector 18, Noida
Uttar Pradesh 201301
Insolvency Commencement Date: February 25, 2022
Court: National Company Law Tribunal, New Delhi, Bench IV
Estimated date of closure of
insolvency resolution process: August 20, 2022
Insolvency professional: Mr. Anshuman Kaushik
Interim Resolution
Professional: Mr. Anshuman Kaushik
P-93 F.F.C.R. Park
New Delhi 110019
E-mail: anshumanksk@gmail.com
cirp.stconstructionspvtltd@
gmail.com
Last date for
submission of claims: March 11, 2022
STELLAR INVESTMENTS: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: Stellar Investments Limited
16/121-122, Jain Bhawan Faiz Road
WEA Karol Bagh
New Delhi 110005
Insolvency Commencement Date: February 25, 2022
Court: National Company Law Tribunal, New Delhi, Bench-V
Estimated date of closure of
insolvency resolution process: August 23, 2022
(180 days from commencement)
Insolvency professional: Mohd Nazim Khan
Interim Resolution
Professional: Mohd Nazim Khan
MNK & Associates
Company Secretaries
G-41, Ground Floor
West Patel Nagar
Delhi 110008
E-mail: nazim@mnkassociates.com
cirp.stellarinvestments@gmail.com
Last date for
submission of claims: March 10, 2022
VIBRANT BUILDWELL: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: Vibrant Buildwell Private Limited
22 Siri Fort Road
New Delhi 110049
Insolvency Commencement Date: February 22, 2022
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: August 21, 2022
Insolvency professional: Mr. Ashish Singh
Interim Resolution
Professional: Mr. Ashish Singh
Flat No. 901, Tower A-3
Cleo County, Sector 121
Noida 201301
E-mail: ashishsinghcs@gmail.com
- and -
Unit No. 14, Tower-A
The Corenthum
A-41, Sector-62
Noida 201301
E-mail: vibrantbuildwell.ip@gmail.com
Last date for
submission of claims: March 8, 2022
VIKRAM STRUCTURES: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: M/s. Vikram Structures Pvt. Ltd.
First and Second Floor, No. 194
Sankey Road, Sadashivnagar
Bangalore 560080
Insolvency Commencement Date: February 23, 2022
Court: National Company Law Tribunal, Bengaluru Bench
Estimated date of closure of
insolvency resolution process: August 16, 2022
Insolvency professional: Surender Devasani
Interim Resolution
Professional: Surender Devasani
1436, Anasuya Nilaya
2nd Floor, 8th Cross
10th Main, BTM 2nd Stage
Bengaluru 560076
E-mail: surenderdevasani@gmail.com
Mobile: 9972635711
- and -
#50, Ground Floor
Millennium Towers
Queens Road
Bengaluru 560051
E-mail: vspl.rp@gmail.com
Classes of creditors: Home Buyers
Insolvency
Professionals
Representative of
Creditors in a class: Mr K Narayana
Mr L Trinadh
Mr T Narayanaswamy
Last date for
submission of claims: March 10, 2022
=========
J A P A N
=========
MARELLI HOLDINGS: To File for Debt Reorganization in Japan
----------------------------------------------------------
Bloomberg News reports that KKR & Co.-owned parts supplier Marelli
Holdings Co. will file to renegotiate its debts with Mizuho
Financial Group Inc. and other lenders via an alternative dispute
resolution in Japan, people with knowledge of the matter said.
The auto parts company, created in 2019 when KKR merged its
Calsonic Kansei and Magneti Marelli units, will continue to operate
while working with creditors on a reorganization, said the people,
who asked not to be identified because the information isn't
public, the report relates. The first meeting among the lenders is
set for March 7, they said.
Marelli, a key supplier for automakers Nissan Motor Co. and
Stellantis NV, had at least JPY1.1 trillion ($9.5 billion) in total
debt as of September, the report discloses citing people with
knowledge of the finances. Marelli and Mizuho aim to deliver
specific details about the ADR-based reorganization in April, and
secure agreement from all lenders in May, they said. If they fail
to agree on a restructuring plan, Marelli could face a court-led
debt-resolution procedure, which could force the lenders to write
off all or part of their loans to the auto parts supplier.
Japan's three megabanks, Mizuho, Sumitomo Mitsui Financial Group
Inc. and Mitsubishi UFJ Financial Group Inc., raised their
loan-loss provisions for Marelli during the October-December
quarter, the people, as cited by Bloomberg, said.
The report relates that the alternative debt resolution procedure
in Japan lets a company under financial strain renegotiate its debt
with creditors, while continuing to operate its business as usual.
During the turnaround ADR process, negotiations between a company
and its creditors are facilitated by three independent mediators
with legal and accounting expertise, who are chosen by the Japanese
Association of Turnaround Professionals and appointed by the
economy ministry.
Anita Davis, a spokeswoman for KKR, declined to comment, saying
that there was no change to KKR's commitment to back Marelli's
"work to deliver reliable, high-quality and innovative components
for its customers globally" and that KKR will continue to support
Marelli "as it works to position itself as an automotive leader for
the future, notwithstanding the current challenges the industry is
facing globally," the report notes.
KKR's total investment in Marelli is roughly JPY200 billion,
including the acquisition of Calsonic Kansei, Magneti Marelli and a
capital increase last year, people with knowledge of the matter
said. Separately, Mizuho Bank and the Development Bank of Japan
each hold about JPY35 billion of preferred stock, they said.
The turnaround ADR procedure stipulates that shareholders give up
their rights to the concerned business, and that corporate officer
resign, according guidelines published by the association, the
report relays.
Another key factor is Nissan, formerly a major shareholder in
Calsonic Kansei, which can only promise future orders and provide
funding if Marelli goes through with the turnaround ADR process.
Azusa Momose, a spokeswoman for Nissan, said: "Marelli is an
important partner for Nissan like other suppliers, and Nissan
maintains appropriate levels of collaboration."
Marelli sales plummeted last year as the coronavirus pandemic took
hold, disrupting supply chains, chip supplies and automobile
manufacturing across the globe, according to Bloomberg. The company
employs about 54,000 people and operates about 170 facilities
around the world to manufacture lighting systems, air conditioning,
electric motors, suspensions and other components for carmakers
across the globe.
To prevent Marelli from running out of funds during the ADR
process, Mizuho and other banks are lining up JPY100 billion in
financial support, the people said. Mizuho will provide a bridge
loan of JPY20 billion, while also considering whether to allow
Marelli to withdraw a deposit of JPY40 billion it has with Mizuho
and the Development Bank of Japan, they added. Repayment of
principal and interest on Marelli's loans of about JPY50 billion
will be postponed, they said, adds Bloomberg.
Marelli Holdings Co., Ltd. operates as an automotive company. The
Company provides cockpit modules, interior and electronic, thermal
systems, compressor, and heat exchange products. Marelli Holdings
also offers console, instrument panels, steering member, inverter,
blower motor, exhaust system, mufflers, rotary and variable
compressors, condensers, and radiators.
===============
M A L A Y S I A
===============
1MDB: Jho Low Discussed Probe with Trump Allies, Leissner Says
--------------------------------------------------------------
Reuters reports that a fugitive Malaysian financier said he won
support from allies of former U.S. President Donald Trump for a
possible settlement of a probe into the looting of funds from the
1MDB sovereign wealth fund, a former Goldman Sachs banker testified
on March 1.
Reuters says Tim Leissner offered a glimpse of what he had heard
from financier Jho Low about the attempted deal, on the sixth day
of his testimony at the trial of Roger Ng, another former Goldman
banker. Ng, 49, has pleaded not guilty to charges of conspiring to
launder money and violate an anti-bribery law.
Leissner, a former Goldman partner, said he had no independent
verification of the information, Reuters relays.
Reuters relates that Leissner testified that Low, whom he described
as the mastermind of the scheme, told him at a 2017 meeting that
Low and his lawyers were in talks with the Trump administration
about the potential for a multi-billion dollar deal that would
spare several people from U.S. charges.
"Jho was quite comfortable and confident," Leissner said, notes the
report.
Low told Leissner he had met with Jared Kushner, Trump's
son-in-law, in Beijing and had hired Chris Christie, the former
Republican governor of New Jersey, as his lawyer with the promise
of a $10 million fee if the settlement was successful, Leissner
said, relays Reuters.
According to the report, Christie said he represented Low in civil
forfeiture actions in California that resulted in Low surrendering
$700 million to the U.S. Department of Justice. He said he never
entered into an agreement to receive a fee if charges were dropped
in exchange for payment to the U.S. government.
"There were never any discussions between me and any members of the
Trump administration that the criminal investigation would be
dropped or any charges against Mr. Low or anyone else dismissed in
exchange for payment to the government," Reuters quotes Christie as
saying in a statement. "Nor was there any agreement for a legal
success fee to me to negotiate such a result."
About 1MDB
Kuala Lumpur-based 1Malaysia Development Bhd (1MDB) is an insolvent
Malaysian strategic development company, wholly owned by the
Malaysian Minister of Finance. 1MDB was established in 2009 to
foster long-term economic development for the country by forging
global partnerships, particularly in energy, real estate, tourism,
and agribusiness.
The Company was founded shortly after Dato Sri Najib Razak became
Prime Minister of Malaysia in July 2009. Najib said the
establishment of 1MDB into a federal entity was to benefit a
majority of Malaysians.
1MDB is said to have raised billions of dollars in bonds, for
investment projects and joint ventures, between 2009 and 2013.
Among those projects are the Tun Razak Exchange, Tun Razak
Exchange's sister project Bandar Malaysia, and the acquisition of
three independent power producers.
The Company came into heavy scrutiny in 2015 for suspicious money
transactions and evidence pointing to money laundering, fraud and
theft. The corruption scandal in 1MDB has implicated high-level
officials, including Prime Minister Najib Razak, as wells as banks
and financial institutions around the world.
In 2016, the U.S. Department of Justice filed a lawsuit, alleging
that at least US$3.5 billion has been stolen from 1MDB. In
September 2020, the alleged amount stolen had been raised to US$4.5
billion and a Malaysian government report listed 1MDB's outstanding
debts to be US$7.8 billion.
Malaysia has been filing lawsuits over the years in an effort to
recover the missing billions of dollars. Among others, in May
2021, Malaysia filed 22 civil suits against entities and people
involved in the corruption scandal, including units of Deutsche
Bank and JP Morgan.
Malaysia said in September 2020 it has so far recovered about $3.24
billion in assets linked to the 1MDB matter. This amount includes
about US$600 million cash and assets returned by U.S. authorities;
about $2.5 billion paid by Goldman Sachs as settlement; as well as
$780 million in settlement amounts from Malaysian banking group
AmBank and audit firm Deloitte.
EA TECHNIQUE: Classified as PN17 Company
----------------------------------------
theedgemarkets.com reports that marine vessels operator EA
Technique (M) Bhd is now classified as an affected listed issuer
under Practice Note 17 (PN17) of the Main Market Listing
Requirements (MMLR), said Bursa Malaysia Securities.
In a statement on Feb. 28, Bursa Securities said EA Technique has
triggered the criteria pursuant to Paragraphs 2.1 (a) and 2.1(e) of
Practice Note No. 17 of the MMLR, theedgemarkets.com says. The
prescribed criteria under Paragraph 2.1(e) was triggered as its
shareholders' equity of MYR5.96 million as at Dec. 31, 2021 is less
than 50% of its share capital of MYR179.76 million.
According to the report, the group's auditors had highlighted a
material uncertainty related to going concern in EA Technique's
audited financial statement for the financial period ended Dec 31,
2020 (FY20).
In a separate bourse filing on Feb. 28, EA Technique said that in
addition to being a PN17 company pursuant to Paragraph 2.1(e), the
group has also triggered Paragraph 2.1(a), theedgemarkets.com
reports.
"Based on the company's quarterly report for the financial period
ended Dec. 31, 2021 (4QFY21), the shareholders' equity of the
company on a consolidated basis is 25% or less of the share capital
(excluding treasury shares) of the listed issuer and such
shareholders' equity is less than MYR40 million," the group said in
the filing.
Also on Feb. 28, the High Court granted EA Technique a three-month
restraining order, as well as permission to call a scheme of
creditors' meeting.
Meanwhile, Bursa Securities said as of Feb. 28, the number of PN17
companies grew to 26, while the number of Guidance Note (GN3)
companies stood at two, bringing the total number of PN17 and GN3
companies to 28, representing 3.03% of the total number of 925
companies listed on the Main and ACE Markets, the report adds.
E.A. Technique (M) Bhd owns and operates marine vessels focusing on
marine transportation and offshore storage of oil and gas, and
provision of port marine services. The Company also owns a shipyard
involved in shipbuilding, ship repair and minor fabrication of
steel structures.
IREKA CORP: Classified as PN17 Company
--------------------------------------
The Star reports that Ireka Corp Bhd has become the latest company
to be classified as an affected listed issuer under Practice Note
17 (PN17) of the Main Market Listing Requirements.
In a filing with Bursa Malaysia on March 1, the construction and
property developer said it had triggered the prescribed criteria
under Paragraph 2.1(e) of the PN17 and that Bursa Malaysia
Securities Bhd had rejected its application to extend the relief
period, which ended on Feb. 26, The Star relates.
"The PN17 prescribed criteria is triggered as the company's
external auditors, Messrs Crowe Malaysia PLT, have issued a
qualified opinion with indication on material uncertainty relating
to going concern in respect of the company's audited financial
statements for the financial year ended March 31, 2021."
The company said it is now in the midst of formulating a plan to
regularise its financial condition, and that relevant announcements
on that will be made in due course.
Malaysia-based Ireka Corporation Berhad is an investment holding
company which provides civil, structural, and building
construction. The Company, through its subsidiaries, also provides
earthworks and leases construction plant and machinery. Ireka also
operates online international auction trade and provides venture
capital fund to internet, e-commerce, and related technology based
companies.
=====================
N E W Z E A L A N D
=====================
BC AVIATION: Creditors' Proofs of Debt Due March 28
---------------------------------------------------
Creditors of BC Aviation Limited, which is in voluntary
liquidation, are required to file their proofs of debt by March 28,
2022, to be included in the company's dividend distribution.
The company commenced wind-up proceedings on Feb. 28, 2022.
The company's liquidator can be reached at:
R. Mason-Thomas
Meltzer Mason
PO Box 6302, Victoria Street West
Auckland 1141
HEALTH WEALTH: Creditors' Proofs of Debt Due March 29
-----------------------------------------------------
Creditors of Health Wealth Preservation Limited, which is in
voluntary liquidation, are required to file their proofs of debt by
March 29, 2022, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on Feb. 21, 2022.
The company's liquidator can be reached at:
Meizi Xu
Duberly Vincent Associates
PO Box 305527
Triton Plaza, Auckland 0757
NAIKER ENTERPRISES: Court to Hear Wind-Up Petition on March 10
--------------------------------------------------------------
A petition to wind up the operations of Naiker Enterprises NZ
Limited will be heard before the High Court of Christchurch on
March 10, 2022, at 10:00 a.m.
Zhiling Zhao filed the petition against the company on Jan. 21,
2022.
The Petitioner's solicitor is:
Diana Samuel Georgy Ghaly Youssif
1 Rimu Street
Riccarton, Christchurch 8041
REDCURRENT LIMITED: To Shut Down Dunedin Store This Week
--------------------------------------------------------
Otago Daily Times reports that homeware and lifestyle retailer
Redcurrent is closing its Dunedin shop this week.
A post on the outlet's social media page and website confirmed its
Moray Pl shop would close on March 6, the report says.
The retailer has 10 stores throughout New Zealand, including one in
Queenstown.
It was started by mother and daughter duo Rebecca Kain and Audrey
McHardy more than 20 years ago in a shed at their home in Hawke's
Bay.
In 2020, during the first nationwide lockdown, the retailer went on
a rent strike in what it described as a battle to survive after
losing an estimated $1 million in turnover in six weeks, according
to ODT.
Mrs. Kain told RNZ landlords should not expect to be paid if shops
could not open, the report relays.
Under lockdown rules at the time, face-to-face retailing was banned
and the retailer said while it did not have any outgoings, it would
not pay its rent.
"We can't even get access to our shops so why would we pay rent?"
the report quotes Mrs. Kain as saying at the time.
Covid-19 and the lockdown had created a lot of uncertainty for the
chain, which had half of its stores in malls, she said.
SAMRATH HOLDING: Creditors' Proofs of Debt Due April 11
-------------------------------------------------------
Creditors of Samrath Holding Limited, which is in voluntary
liquidation, are required to file their proofs of debt by April 11,
2022, to be included in the company's dividend distribution.
The company commenced wind-up proceedings on Feb. 28, 2022.
The company's liquidator can be reached at:
Pritesh Patel
Patel & Co
344 Great South Road
Papatoetoe, Auckland 2215
TARANAKI ENGINEERING: Court to Hear Wind-Up Petition on April 8
---------------------------------------------------------------
A petition to wind up the operations of Taranaki Engineering Proud
Limited will be heard before the High Court of Singapore on April
8, 2022, at 10:00 a.m.
Hytools NZ Limited filed the petition against the company on Jan.
28, 2022.
The Petitioner's solicitor is:
Janice Catherine Urlich
Urlich Milne Lawyers
3 Owens Road
Epsom, Auckland 1023
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S I N G A P O R E
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G8 JAPAN: Creditors' Proofs of Debt Due April 2
-----------------------------------------------
Creditors of G8 Japan Pref Manager Pte. Limited, which is in
voluntary liquidation, are required to file their proofs of debt by
April 2, 2022, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on Feb. 24, 2022.
The company's liquidators can be reached at:
Lim Loo Khoon
Tan Wei Cheong
6 Shenton Way, OUE Downtown 2, #33-00
Singapore 068809
PRECISION SPINE: Nexia TS Appointed as Provisional Liquidator
-------------------------------------------------------------
Mr. Chan Yee Hong of Nexia TS Risk Advisory on Feb. 22, 202, was
appointed as provisional liquidator of Precision Spine Pte Ltd.
The liquidator may be reached at:
Mr. Chan Yee Hong
Nexia TS Risk Advisory
c/o 80 Robinson Road #25-00
Singapore 068898
RAFFLES EDUCATION: Says Not Replacing 5 Directors Now on Bail
-------------------------------------------------------------
The Business Times reports that Raffles Education has responded to
Singapore Exchange (SGX) Regulation's queries and will not be
replacing its directors who are currently out on bail.
In a filing on Feb. 28, the mainboard-listed education provider
said that the resignation of almost the entire board of directors
could destabilise the business and operations, BT relates.
According to BT, Raffles Education added that its nomination
committee (NC) regards the ongoing investigations by the Commercial
Affairs Department (CAD) as relating to a one-off historical
matter, and does not want to pre-empt or prejudge the outcome of
the investigations.
Five of Raffles Education's directors were notified of their formal
arrest and bail conditions of SGD30,000 each, BT notes. The
investigations are related to an SGD132.5 million loan extended by
Affin Bank to the company's subsidiaries - Raffles K12 and Raffles
Iskandar - which manage schools in Malaysia.
BT says Raffles Education and its subsidiaries had been served a
lawsuit by Affin Bank for immediate repayment of the loan on May 27
last year, but disclosed this publicly to shareholders only two
months later, on July 29, at the request of SGX.
This could amount to a potential offence under Section 203 of the
Securities and Futures Act, which states that an offence is deemed
to have been committed if material information was not disclosed to
shareholders when it occurred.
In its Feb. 28 filing, Raffles Education said that the five
directors, as part of their bail conditions, have to routinely go
to the CAD office to assist with ongoing investigations, and can
travel out of Singapore if they have obtained clearance beforehand.
None of them has been formally charged, the report relates.
Hence the NC does not believe that the recent development impacts
the current directors' ability to perform their duties, their
character and integrity, or their suitability or ability to
continue serving their roles, BT says. The NC will monitor material
developments relating to the investigations, and the directors will
keep the company informed of the subsequent developments.
BT relates that the NC will redesignate current independent
director, Mr. Lim Siew Mun, as lead independent director. Another
independent director will be appointed to provide additional
oversight as soon as practicable.
Mr. Lim and the new independent director will form an independent
committee, and will be primarily responsible for supervising and
reviewing all matters relating to the investigations.
BT adds that Raffles Education said: "The formal arrest and bail,
and ongoing investigations, do not necessarily signify that there
will be any further actions taken or charges in the future.
"At this point in time, there is no intention to appoint a special
committee to independently investigate into the circumstances
surrounding the investigations."
About Raffles Education
Raffles Education Corporation Limited is an investment holding
company. The Company is engaged in the provision of business and
management consultancy services. Its segments include Private
Education System (PES), National Education System (NES), Education
Facilities Rental Service, Real Estate Investment & Development,
and Corporate & Others. The Company offers students a range of
degree, diploma and full-time certification programs in design and
business-oriented disciplines at post-secondary level. It also
participates in pre-tertiary education. The PES segment includes
Raffles K12 Sdn. Bhd. (RAS), offering an American K12 curriculum.
The Company runs programs within the Chinese national public school
system. The Education Facilities Rental Service segment refers to
Oriental University City Holdings (H.K.) Limited (OUCHK), which is
engaged in education facilities leasing and commercial leasing for
supporting facilities. It participates in real estate investments
and development.
As reported in the Troubled Company Reporter-Asia Pacific on Oct.
12, 2021, Raffles Education (REC) said that its auditors had
highlighted material uncertainty on its ability to continue as a
going concern. The announcement, made Oct. 8, noted that the
group's liabilities exceeded its current assets by SGD196.4 million
for the financial year ended June 2021, according to the Straits
Times.
SWISSCO HOLDINGS: Court to Hear Wind-Up Petition on March 22
------------------------------------------------------------
A petition to wind up the operations of Swissco Holdings Limited
will be heard before the High Court of Singapore on March 22, 2022,
at 10:00 a.m.
Ee Meng Yen Angela and Purandar Janampalli Rao of Ernst & Young LLP
(Judicial Managers) filed the petition against the company on Feb.
21, 2022.
The Petitioner's solicitors are:
Rajah & Tann Singapore LLP
9 Straits View
#06-07 Marina One West Tower
Singapore 018937
TRADERS GEMS: Court to Hear Wind-Up Petition on March 18
--------------------------------------------------------
A petition to wind up the operations of Traders Gems Pte Ltd
(formerly known as Traders Jems Pte Ltd) will be heard before the
High Court of Singapore on March 18, 2022, at 10:00 a.m.
Koh Soon Huat filed the petition against the company on Feb. 21,
2022.
The Petitioner's solicitors are:
BC LIM & LAU LLC
133 New Bridge Road
#16-10 Chinatown Point
Singapore 059413
*********
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 2022. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
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*** End of Transmission ***