/raid1/www/Hosts/bankrupt/TCRAP_Public/220310.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 10, 2022, Vol. 25, No. 44
Headlines
A U S T R A L I A
ABORIGINAL COMMUNITY: ACBF Fund 2 Goes Into Liquidation
ARNBRIDGE NOMINEES: Second Creditors' Meeting Set for March 17
AUS WONDER: Second Creditors' Meeting Set for March 17
LEGAL SEARCH: Moody's Assigns 'B2' CFR, Outlook Stable
NARRABEEN RSL: First Creditors' Meeting Set for March 17
SOUTH AMERICAN: Second Creditors' Meeting Set for March 17
C H I N A
LOGAN GROUP: Faces US$839 Million Liquidity Crunch This Month
LOGAN GROUP: S&P Downgrades LT ICR to 'B-' on Liquidity Crunch
LUCKIN COFFEE: Provisional Liquidation Concludes
SHIMAO GROUP: Faces US$2.5 Billion in Bond Payments This Year
SHIMAO GROUP: Unit's Property Sales Sink 62% in February
H O N G K O N G
CATHAY PACIFIC: Annual Net Loss Narrows to USD707.3MM in 2021
I N D I A
ADITYA AUTOMOBILE: ICRA Keeps B+ Debt Rating in Not Cooperating
AKANKSHA AUTOMOBILES: ICRA Keeps B+ Ratings in Not Cooperating
ARUNA CONSTRUCTIONS: ICRA Keeps B+ Debt Rating in Not Cooperating
ETHAMES GRADUATE: ICRA Keeps B+ Debt Rating in Not Cooperating
GAURAV WORLDWIDE: ICRA Keeps B Debt Rating in Not Cooperating
GOPINATH DAIRY: ICRA Keeps D Debt Ratings in Not Cooperating
JYOTI VINCOM: ICRA Keeps B- Debt Ratings in Not Cooperating
KARNIMATA COLD: ICRA Keeps B- Debt Ratings in Not Cooperating
KBR AGRO: ICRA Keeps B Debt Ratings in Not Cooperating Category
KEEZIA TILES: ICRA Moves B+ Debt Ratings to Not Cooperating
KLM INFRA: ICRA Keeps B+ Debt Ratings in Not Cooperating
KVR INDUSTRIES PRIVATE: Insolvency Resolution Process Case Summary
LEGEND CERAMIC: ICRA Keeps B+ Debt Ratings in Not Cooperating
LEXUS MOTORS: ICRA Moves B Debt Ratings to Not Cooperating
LIZ TRADERS: Insolvency Resolution Process Case Summary
M-BO GRANITO: ICRA Withdraws B+ Rating on INR29.55cr Term Loan
MABSOOT BUILDHOMES: Insolvency Resolution Process Case Summary
MAHESH LUMBER: ICRA Keeps D Debt Ratings in Not Cooperating
METRO HOSPITAL: ICRA Keeps B Debt Rating in Not Cooperating
PARTAP COTEX: ICRA Withdraws B+/A4 Rating on INR23cr Cash Debt
PEEL–WORKS PVT: ICRA Keeps D Debt Ratings in Not Cooperating
RAI BAHADUR: ICRA Moves B+ Rating to Not Cooperating Category
RAYAT & BAHRA: ICRA Keeps D Debt Ratings in Not Cooperating
J A P A N
ANA HOLDINGS: Egan-Jones Cuts Senior Unsecured Ratings to CCC
FURUKAWA ELECTRIC: Egan-Jones Keeps BB+ Senior Unsecured Ratings
IHI CORP: Egan-Jones Keeps BB+ Senior Unsecured Ratings
KAWASAKI HEAVY: Egan-Jones Ups Senior Unsecured Ratings to BB+
MARUI GROUP: Egan-Jones Keeps BB Senior Unsecured Ratings
TOBU RAILWAY: Egan-Jones Keeps BB- Senior Unsecured Ratings
N E W Z E A L A N D
B A SCOTT: Court to Hear Wind-Up Petition on March 31
BRASSERIE74 LIMITED: Court to Hear Wind-Up Petition on March 22
JC DESIGN: Creditors' Proofs of Debt Due April 11
MAINZEAL PROPERTY: Directors Adopted 'Policy of Insolvent Trading'
SPEEDY CONSTRUCTION: Court to Hear Wind-Up Petition on April 1
VEGAS COURIERS: Creditors' Proofs of Debt Due on April 8
S I N G A P O R E
DSN TRADING: Court Enters Wind-Up Order
FASHION RETAIL: Court to Hear Wind-Up Petition on March 18
SWIBER HOLDINGS: Enters MOU to Sell Jurong Headquarters
TMG PROJECTS: Court to Hear Wind-Up Petition on March 18
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A U S T R A L I A
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ABORIGINAL COMMUNITY: ACBF Fund 2 Goes Into Liquidation
-------------------------------------------------------
ABC News reports that thousands of clients have been left in the
lurch after a branch of the funeral insurer Aboriginal Community
Benefit Fund (ACBF) went into liquidation.
According to the report, the notice was filed with the Australian
Securities and Investments Commission (ASIC) last week regarding
the Aboriginal Community Benefit Fund (ACBF) 2 business, a fund
formerly managed by insurer Youpla.
ABC says the notice has left thousands of customers who have paid
thousands in premiums over the past 30 years in the lurch about the
fund's future, and comes just a year since ASIC began an
investigation into Youpla, after it was pulled up in the Banking
Royal Commission for falsely marketing itself as an
Indigenous-owned business.
The notice also comes three months after an administrator was
appointed to Fund 2 to review its inner workings.
ABC relates that liquidator Roland Cotter said he understood it was
a challenging time for many clients.
"There are limited funds available at this point in time," ABC
quotes Mr. Cotter as saying.
A number of determinations have been made against ACBF Fund 2
through the Australian Financial Complaints Authority (AFCA) in
recent years, according to ABC.
ABC relates that clients from Queensland, the Northern Territory,
and the Kimberley region in Western Australia have been signed up
to the funeral insurer, and solicitor Mark Holden said many had
initially signed up believing the business was Indigenous-owned.
According to ABC, Mr. Holden said it was difficult to know if any
of those clients would ever see their money again.
Financial Rights Legal Centre casework director Alexandra Kelly
said there needed to be immediate action to prevent even more
clients from losing their money, the report relays.
"We understand the Australian government is committed to closing
the gap," the report quotes Ms. Kelly as saying. "The liquidation
of this fund will have a huge financial impact on thousands of
disadvantaged First Nations people who thought they were planning
appropriately for their funeral costs.
Aboriginal Community Benefit Fund (ACBF) provided funeral insurance
products.
ARNBRIDGE NOMINEES: Second Creditors' Meeting Set for March 17
--------------------------------------------------------------
A second meeting of creditors in the proceedings of Arnbridge
Nominees Pty Ltd, trading as Allweld Constructions, has been set
for March 17, 2022, at 11:00 a.m. via teleconference facilities.
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 16, 2022, at 4:00 p.m.
Stephen Dixon of Hamilton Murphy Advisory was appointed as
administrator of Arnbridge Nominees on Feb. 9, 2021.
AUS WONDER: Second Creditors' Meeting Set for March 17
------------------------------------------------------
A second meeting of creditors in the proceedings of Aus Wonder
Travel Pty. Limited, trading as Aus Wonder Holiday, has been set
for March 17, 2022, at 11:30 a.m. via Microsoft Teams.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 15, 2022, at 4:00 p.m.
Desmond Teng of Moore Recovery was appointed as administrator of
Aus Wonder on Feb. 10, 2022.
LEGAL SEARCH: Moody's Assigns 'B2' CFR, Outlook Stable
------------------------------------------------------
Moody's Investors Service has assigned a B2 corporate family rating
to Legal Search Holdings Pty Ltd. At the same time, Moody's has
assigned a B2 backed senior secured first lien term loan rating and
Caa1 backed senior secured second lien term loan ratings to ATI US
Holdings Inc and Legal Search Pty Ltd as co-borrower. The outlook
is stable.
Legal Search will use the proceeds of the proposed first lien and
second lien terms loans to refinance all debt at LEAP Legal
Software Pty Limited, a wholly owned subsidiary of Australian
Technology Innovators Pty Limited (ATI B1 stable), and for general
corporate use.
RATING RATIONALE
The B2 rating reflects Legal Search's market-leading position; cash
flow stability from predictable revenue, underpinned by contractual
arrangements and high customer retention; and high barriers to
entry, resulting from its entrenched first-mover advantage in
delivering integrated systems.
Legal Search is the market leader in Australia/New Zealand (ANZ)
with around 18% market share. Legal Search is the number one
provider of residential environmental searches and number three
property search provider in the UK with around 15% market share.
Legal Search has a growing presence in North America following its
entry in 2016. The company has been carrying out strategic
acquisitions and product developments to grow revenue in the
market. Legal Search offers comprehensive end-to-end workflow
solutions, a service that none of its competitors provide.
Legal Search has a pay-per-order model and differentiates its
products through extensive licensing agreements with information
providers and deep integration with existing legal practice
management software providers.
Moody's also regards the risk of new entrants as low owing to
strong customer stickiness and high switching costs. This underpins
the company's strong market position.
The company's credit profile is constrained by its relatively small
scale compared with global peer software companies, elevated
leverage and an acquisitive strategy. With the proposed term loan
transaction, the company will be raising around $250 million of
additional funds earmarked for future acquisitions.
The stable outlook reflects Moody's expectation that the company
will execute its organic and inorganic growth plans prudently, such
that its financial profile remains within the rating thresholds and
its liquidity buffer remains adequate.
ENVIRONMENTAL, SOCIAL AND GOVERNANCE CONSIDERATIONS
Moody's considers software and technology companies as exposed to
social risks through data protection/privacy and cybersecurity
risks.
In terms of governance, Legal Search's ownership is concentrated in
its ultimate controlling shareholder, Christian Beck. The company
is also a newly re-organized, private company with relatively
limited transparency. Moody's also considers Legal Search's
financial policy as a risk, considering its debt-funded
acquisitions and high financial leverage.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Moody's could upgrade the ratings if Legal Search sustains an
improvement in operations and carries out organic and inorganic
growth prudently, such that Moody's-adjusted debt-to-EBITDA remains
below 6.0x and free cash flow remains positive on a sustained
basis.
Conversely, Moody's could downgrade the ratings if Legal Search's
adjusted debt-to-EBITDA exceeds 7.0x on a sustained basis and/or
the company's liquidity profile weakens. Moody's could also
downgrade the rating if there are any debt-funded dividend
payouts.
The principal methodology used in these ratings was Business and
Consumer Services published in November 2021.
Legal Search Holdings Pty Ltd is a legal technology company that
provides clients access to an integrated cloud-based platform with
due diligence searching, e-conveyancing and litigation workflow
solutions operating across Australia and New Zealand, the U.K and
North America.
NARRABEEN RSL: First Creditors' Meeting Set for March 17
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Narrabeen
RSL Memorial & Recreational Club Ltd will be held on March 17,
2022, at 11:00 a.m. via virtual meeting technology.
Adam Shepard of Setter Shepard was appointed as administrator of
Narrabeen RSL on March 7, 2022.
SOUTH AMERICAN: Second Creditors' Meeting Set for March 17
----------------------------------------------------------
A second meeting of creditors in the proceedings of South American
Iron & Steel Corporation Limited has been set for March 17, 2022,
at 11:30 a.m. via virtual meeting technology.
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 16, 2022, at 4:00 p.m.
David Joseph Levi of Levi Consulting was appointed as administrator
of South American Iron on Feb. 23, 2022.
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C H I N A
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LOGAN GROUP: Faces US$839 Million Liquidity Crunch This Month
-------------------------------------------------------------
Caixin Global reports that Logan Group Co. is under pressure to
repay debt as the company has CNY5.3 billion (US$839 million) of
domestic borrowings due this month, the Chinese developer
acknowledged on March 7.
Caixin relates that the company's liquidity crunch reflects the
external financing situation, declines in industry sales and the
concentration of debt maturity, Logan Group's wholly owned
subsidiary Shenzhen Logan Holdings Co. Ltd. said in a statement.
Logan Group Company Limited is a property developer based in
Shenzhen. The company's focuses mainly on residential projects in
Shenzhen, Shantou, Nanning and Huizhou. Logan listed on the Hong
Kong Stock Exchange in December 2013. As of the end of June 2021,
its land bank totaled 85.6 million square meters in gross floor
area in several cities across China, including Shenzhen; Shantou;
Nanning; Hong Kong SAR, China; and other Greater Bay Area cities,
as well as Singapore.
As reported in the Troubled Company Reporter-Asia Pacific on March
9, 2022, Moody's Investors Service has downgraded Logan Group
Company Limited's corporate family rating to B2 from Ba3, and the
company's senior unsecured ratings to B3 from B1. The rating
remains on review for further downgrade.
The TCR-AP also reported that Fitch Ratings has downgraded
China-based homebuilder Logan Group Company Limited's Long-Term
Foreign- and Local-Currency Issuer Default Ratings (IDRs) to 'B+'
from 'BB-'.
Fitch has also downgraded the senior unsecured rating and the
rating on Logan's outstanding US dollar senior notes to 'B+' from
'BB-', and assigned a Recovery Rating 'RR4'. The rating on Logan's
subordinated perpetual capital securities has also been downgraded
to ''B-' from 'B', and assigned a Recovery Rating of 'RR6'. All
ratings have been placed on Rating Watch Negative (RWN).
The downgrade is driven by the large amount of Logan's
capital-market debt that will mature or turn puttable in the next
nine months. Capital-market access is shut for most developers,
including Logan, and the company will have to rely on its cash
balance to repay the maturities. Fitch believes Logan's cash
balance has decreased since 1H21. Negative news flows have affected
market confidence in the company, which may affect its funding
access.
The RWN reflects the potential for further negative rating action
if Logan's liquidity and funding access deteriorate, if it fails to
address the capital-market debt maturing in 2022, or if the
market's sentiments towards the company weaken.
LOGAN GROUP: S&P Downgrades LT ICR to 'B-' on Liquidity Crunch
--------------------------------------------------------------
On March 8, 2022, S&P Global Ratings lowered its long-term issuer
credit rating on Logan Group Co. Ltd. to 'B-' from 'BB-'. S&P also
lowered its long-term issue rating on the U.S. dollar-denominated
notes that the company guarantees to 'CCC+' from 'B+'. At the same
time, all the ratings are placed on CreditWatch with negative
implications.
S&P expects to resolve the CreditWatch status as soon as
practicable when it has greater visibility on Logan's fund-raising
plans and whether depleting confidence from banks and capital
market would lead to debt acceleration or further cash
immobilization, which could drain Logan's liquidity.
S&P said, "The weaker-than-anticipated market confidence in Logan
has materially reduced its accessible cash balance. In our view,
that is due to already vulnerable industry sentiment combined with
the recent development around Logan's previously undisclosed
guaranteed debt. We expect the company to face significant risk of
banks, along with authorities, restricting more cash to ensure
projects will be completed and project-level debt repaid. We
believe cash at project levels are no longer accessible. This will
heighten Logan's repayment risk for debt at the holding company.
"Continual tightening of funding channels puts substantial pressure
on liquidity. Besides more cash in Logan being restricted, we
believe the company has an increasing risk of banks tightening its
funding access by limiting the drawdown of development loan
facilities. Logan's relationship with financial institutions,
especially domestic banks, is likely to be weakening significantly.
Together with its currently weak capital market standing, key
funding channels of the company are considerably narrowing. As of
June 30, 2021, bank loans and bonds each contributed about 50% to
Logan's debt capital structure. The company will now have to rely
heavily on sales and cash collection for liquidity, but this might
be troublesome under the current challenging market conditions. We
assess Logan's liquidity as weak."
Logan needs to prevent its banking relationships and capital market
standing from further deterioration to sustain its liquidity. Its
liquidity will face substantial additional pressure if it cannot at
least partly revive the weakening banking relationships. This is
because banks may further restrict Logan's cash while closing its
funding access. Various creditors may also request for early
repayments, which will affect the company's liquidity if it fails
to convince creditors to stay put due to a lack of market
confidence.
Logan is working on contingency plans to boost its liquidity but
the timing is uncertain. S&P believes the company has a reasonable
chance at least to partly realize those plans. Logan has more than
Chinese renminbi (RMB) 33 billion of investment properties as of
June 30, 2021, and a few quality projects in Singapore and Hong
Kong. The company should be able to pledge these assets for
additional funding, despite weaker bank relationship, depending on
the loan-to-value ratio. In addition, Logan has some cash at the
holding company level which can be deployed to pay back some
upcoming maturing bonds. However, the company is still in talks
with banks on the said financing arrangement, and the timeliness of
this funding approval is extremely critical.
CreditWatch
S&P said, "We expect to resolve the CreditWatch when we have
visibility on how much Logan can realize from its fund-raising
plans. In addition, we need to assess whether waning confidence
from banks and the capital market would lead to debt acceleration
or further cash immobilization amid concentrated bond repayment
over the next three to six months, which could drain up Logan's
liquidity.
"We may lower the rating if Logan's liquidity depletes further,
such that a default scenario for its upcoming maturities emerges.
That could arise from the company facing increasing difficulties to
mobilize its cash at the project level due to the following
reasons: (1) financial institutions and investors turning more
cautious; (2) considerable acceleration of debt repayment; or (3)
the company failing to get fresh liquidity from various plans, such
as asset pledging.
"We may affirm the rating if Logan manages to stabilize its
liquidity, possibly via restoring some of its relationships with
banks and improving its capital market standing. This could be
indicated by some recovering funding access, loosening of cash
restriction, and absence of debt acceleration. Logan would also
need to show that its contingency plan of pledging assets for
funding generates enough liquidity to manage its debt repayment in
a timely manner."
Logan is one of the major developers in China's Guangdong and
Guangxi provinces. The company focuses on residential property
development, targeting first-time homebuyers and upgraders. In
addition, Logan builds its own projects through its fully owned
construction subsidiary. The company was listed on the Hong Kong
Stock Exchange in 2013.
As of end-June 2021, the company's total land bank was 39.3 million
square meters (sq.m.), with the majority located in the Greater Bay
Area. It also has exposure to select cities in the Southwest region
and Yangtze River Delta. In addition, Logan has signed various
cooperative agreements on 125 urban renewal projects, potentially
converting 46.3 million sq.m. of land resources for development or
primary land revenue in the future.
LUCKIN COFFEE: Provisional Liquidation Concludes
------------------------------------------------
Luckin Coffee Inc. (OTC: LKNCY) on March 7, 2022, announced that
pursuant to an order of the Grand Court of the Cayman Islands dated
February 25, 2022 (the "Discharge Order"), the winding up petition
(as amended) in respect of the Company has been dismissed and the
"light-touch" joint provisional liquidators ("Joint Provisional
Liquidators") of the Company have been discharged from their duties
effective on March 4, 2022, bringing the Company's provisional
liquidation to a successful close.
"Today's announcement is the result of the remarkable work from the
Luckin Coffee team and the outstanding support we have received
from our creditors and stakeholders throughout this process," said
Dr. Jinyi Guo, Chairman and Chief Executive Officer of Luckin
Coffee. "The successful completion of the provisional liquidation
is yet another positive step for Luckin Coffee, and has allowed us
to significantly reduce our debt burden and improve the Company's
capital structure. Operating from a position of financial strength,
we are focused on executing our growth strategy and continuing to
deliver industry-leading services and products to our customers and
long-term value for our shareholders."
The Discharge Order was made following a consensual application by
the relevant parties, and after the Company's previously announced
successful restructuring of its US$460 million 0.75% Convertible
Senior Notes due 2025 by way of a scheme of arrangement (the
"Scheme") in the Cayman Islands. As previously announced, the
United States Bankruptcy Court for the Southern District of New
York (the "Bankruptcy Court") recognized and enforced the Scheme in
the United States pursuant to chapter 15 ("Chapter 15") of title 11
of the United States Code (the "Bankruptcy Code").
On March 4, 2022, the Joint Provisional Liquidators filed a final
report with the Bankruptcy Court and requested the entry of an
order to close the Chapter 15 Case. The Chapter 15 Case will be
closed following entry of this order in accordance with applicable
bankruptcy procedures.
Additional Information
Mr. Alexander Lawson of Alvarez & Marsal Cayman Islands Limited and
Ms. Wing Sze Tiffany Wong of Alvarez & Marsal Asia Limited have
served as the Company's Joint Provisional Liquidators since July
15, 2020. In connection with the Company's debt restructuring and
the Scheme, Luckin Coffee is advised by Davis Polk & Wardwell LLP
as legal counsel, Harney Westwood & Riegels as Cayman Islands legal
counsel and Houlihan Lokey as financial advisor. The Joint
Provisional Liquidators are represented by DLA Piper LLP (US) in
the United States and Campbells LLP in the Cayman Islands. Holders
of Existing Notes may contact Houlihan Lokey at HL_Lake@HL.com or
the Joint Provisional Liquidators at luckin@alvarezandmarsal.com
with any questions regarding the Scheme and related proceedings.
About Luckin Coffee
Luckin Coffee Inc., was a Xiamen, Fujian-based coffee chain.
In July 2020, Luckin Coffee called in liquidators to oversee a
corporate restructuring and negotiate with creditors to salvage its
business, less than four months after shocking the market with a
US$300 million accounting fraud, South China Morning Post says.
The Company hired Houlihan Lokey as financial advisers to implement
a workout with creditors. The start-up company also named Alexander
Lawson of Alvarez & Marsal Cayman Islands and Tiffany Wong Wing Sze
of Alvarez & Marsal Asia to act as "light-touch" joint provisional
liquidators (JPLs) under a Cayman Islands court order, it said in a
regulatory filing in New York.
The move was in response to a winding-up petition by an undisclosed
creditor.
The Joint Provisional Liquidators of Luckin Coffee, Alexander
Lawson of Alvarez & Marsal Cayman Islands Limited and Wing Sze
Tiffany Wong of Alvarez & Marsal Asia Limited, on Feb. 5, 2021,
filed a verified petition under chapter 15 of title 11 of the
United States Code with the United States Bankruptcy Court for the
Southern District of New York. The Chapter 15 Petition seeks, among
other things, recognition in the United States of the Company's
provisional liquidation pending before the Grand Court of the
Cayman Islands, Financial Services Division, Cause No. 157 of 2020
(ASCJ) and related relief.
SHIMAO GROUP: Faces US$2.5 Billion in Bond Payments This Year
-------------------------------------------------------------
Bloomberg News reports that Shimao Group Holdings Ltd. faces a
hefty US$2.5 billion in bond obligations coming due this year just
as delayed repayments on trust products fuel concern about its
capacity to navigate a credit crunch.
That includes US$2.2 billion in maturities and nearly US$300
million in interest in the securities including local and offshore
notes. The bulk of the obligations mature through the third
quarter, Bloomberg relays.
According to Bloomberg, investors are keeping a close eye on the
luxury developer's upcoming debt payments amid rising concern over
the firm's financial health. Shimao's credit rating was cut to CCC
by Fitch Ratings last week over rising refinancing risks. The
borrower's dollar bonds are trading at distressed levels, with its
note due 2024 trading at about 23 cents on the dollar,
Bloomberg-compiled prices show.
Shimao also has to repay more than CNY12 billion (US$1.9 billion)
of trust products this year, whose creditors mainly include Citic
Trust Co and China Credit Trust Co, Bloomberg relates citing people
familiar with the matter. The data include trusts sold to retail
investors and excludes so-called single trusts, which are issued
privately and make up the bulk of developer financing through such
products.
Shimao has sought extensions on several trust product payments
since early this year, but has not released details of any terms.
The final payment size may change, Bloomberg notes.
About Shimao Group
China-based Shimao Group Holdings Ltd, formerly Shimao Property
Holdings Ltd, is an investment holding company principally engaged
in the sale of properties. The Company operates its business
through four segments. The sales of Properties segment is mainly
engaged in the development of residential real estate. The Property
Management Income and Others is mainly engaged in property
management. The Hotel Operation Income segment is mainly engaged in
hotel operations. The Commercial Properties Operation Income
segment is mainly engaged in the development, investment and
operation of commercial, office and industrial park property
projects.
As reported in the Troubled Company Reporter-Asia Pacific on March
7, 2022, Fitch Ratings has downgraded China-based
property-developer Shimao Group Holdings Limited's Issuer Default
Rating (IDR) to 'CCC' from 'B-', and the senior unsecured rating
and outstanding senior unsecured notes to 'CCC', from 'B-', with a
Recovery Rating of 'RR4'. All ratings have been removed from Rating
Watch Negative, on which they were placed in December 2021 amid
poor capital market access and worsening market confidence.
The downgrade reflects Shimao's narrowing margin of safety for
refinancing capital market maturities. Fitch estimates Shimao has
to address around CNY22 billion of capital market maturities during
2022, despite some progress in asset sales. The repayment of the
capital market debt hinges on large asset disposals and the
successful refinancing or extension of bank and trust loans.
SHIMAO GROUP: Unit's Property Sales Sink 62% in February
--------------------------------------------------------
South China Morning Post reports that Shimao Group Holdings said
property sales at its mainland-listed subsidiary slumped last
month, piling further financial pressure on one of the country's
top real estate companies.
Contracted sales at Shanghai Shimao sank 62% to CNY1 billion
(US$158.4 million) in February from a year earlier, according to a
filing to the Shanghai Stock Exchange on March 8, the Post relays.
Shimao, founded by Hui Wing Mau, also known as Xu Rongmao, in 1989,
was regarded as a sound and restrained developer until it fell
victim to Beijing's draconian tightening measures to curb the real
estate industry in late 2021, the Post notes.
It faces CNY20 billion of payments this year from onshore and
offshore notes, according to Fitch Ratings. The company also faces
debt obligations such as trust financing and around CNY10 billion
of asset-backed securities, of which CNY5.6 billion is due this
year.
China's biggest property developers have been struggling to sell
homes, as a resurgent Covid-19 pandemic combined with a slowing
economy deter big-ticket investments, the Post relates.
The collective sales value of China's top 100 developers fell 47.2
per cent in February from last year to US$63.6 billion, widening
the slump from a 41 per cent contraction in January, the Post
discloses citing China Real Estate Information Corporation, which
compiles industry data, adds the Post.
About Shimao Group
China-based Shimao Group Holdings Ltd, formerly Shimao Property
Holdings Ltd, is an investment holding company principally engaged
in the sale of properties. The Company operates its business
through four segments. The sales of Properties segment is mainly
engaged in the development of residential real estate. The Property
Management Income and Others is mainly engaged in property
management. The Hotel Operation Income segment is mainly engaged in
hotel operations. The Commercial Properties Operation Income
segment is mainly engaged in the development, investment and
operation of commercial, office and industrial park property
projects.
As reported in the Troubled Company Reporter-Asia Pacific on March
7, 2022, Fitch Ratings has downgraded China-based
property-developer Shimao Group Holdings Limited's Issuer Default
Rating (IDR) to 'CCC' from 'B-', and the senior unsecured rating
and outstanding senior unsecured notes to 'CCC', from 'B-', with a
Recovery Rating of 'RR4'. All ratings have been removed from Rating
Watch Negative, on which they were placed in December 2021 amid
poor capital market access and worsening market confidence.
The downgrade reflects Shimao's narrowing margin of safety for
refinancing capital market maturities. Fitch estimates Shimao has
to address around CNY22 billion of capital market maturities during
2022, despite some progress in asset sales. The repayment of the
capital market debt hinges on large asset disposals and the
successful refinancing or extension of bank and trust loans.
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H O N G K O N G
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CATHAY PACIFIC: Annual Net Loss Narrows to USD707.3MM in 2021
-------------------------------------------------------------
Yi Wei Wong at Dow Jones Newswires reports that Cathay Pacific
Airways Ltd. reported a narrower loss in 2021, thanks to a stronger
performance by its cargo business in the second half.
According to Dow Jones, the airline on March 9 reported a 2021 net
loss of HK$5.53 billion (US$707.3 million), compared with a loss of
HK$21.65 billion in the previous year. This was narrower than the
loss of HK$8.47 billion predicted by a FactSet poll of analysts.
Cathay Pacific's revenue in 2021 was HK$45.59 billion, compared
with HK$46.93 billion in 2020, Dow Jones discloses.
The smaller loss was mostly due to the strong performance of its
cargo segment, the airline said in a release.
Its cargo revenue in 2021 rose 32% to HK$32.38 billion.
While the airline noted its cargo segment performed, it said the
strict quarantine requirements for Hong Kong-based aircrew on cargo
flights could weigh on capacity this year, the report relays.
Following the emergence of the Omicron variant in Hong Kong, the
government has further tightened quarantine requirements for air
crew and temporarily banned flights from nine countries, including
the U.S. and U.K.
"We expect to operate around 2.0% of pre-Covid-19 passenger flight
capacity, and our cargo flight capacity is likely to remain less
than one-third of pre-Covid-19 levels while current restrictions
remain in place," the airline said.
The airline said that its unrestricted liquidity balance was
HK$30.3 billion as of Dec. 31, Dow Jones adds.
About Cathay Pacific
Cathay Pacific Airways Ltd., is the flag carrier of Hong Kong, with
its head office and main hub located at Hong Kong International
Airport. Cathay operates scheduled airline services.
As reported in the Troubled Company Reporter-Asia Pacific,
Egan-Jones Ratings Company, on October 4, 2021, maintained its 'CC'
foreign currency and local currency senior unsecured ratings on
debt issued by Cathay Pacific Airways Limited. EJR also upgraded
the rating on commercial paper issued by the Company to C from D.
=========
I N D I A
=========
ADITYA AUTOMOBILE: ICRA Keeps B+ Debt Rating in Not Cooperating
---------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Aditya
Automobile Spares Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B+ (Stable); ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 10.00 [ICRA]B+ (Stable) ISSUER NOT
Fund Based COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
AASPL was incorporated in the year 1971 under the name 'Alagendra
Auto Parts' and was renamed in 2003 as Aditya Automobile Spares
Private Limited. The company is engaged in trading of automobile
spares of OEMs (Original Equipment Manufacturers) of two wheelers
and three wheelers. The company is an authorized stockist for
spares of OEMs like Yamaha, Royal Enfield and Bajaj. Spare parts of
other OEMs are procured from wholesale vendors. The company also
sells batteries and lubricants. At present, the company has five
retail outlets spread across various parts of Coimbatore. The main
outlet is in Coimbatore and is spread over an area of 25,000 square
feet in a six-storey building.
AKANKSHA AUTOMOBILES: ICRA Keeps B+ Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Akanksha
Automobiles (P) Ltd in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]B+ (Stable)/[ICRA]A4; ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 19.00 [ICRA]B+ (Stable) ISSUER NOT
Fund Based/CC COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Long Term- 2.53 [ICRA]B+ (Stable) ISSUER NOT
Fund Based/TL COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Short Term- 6.00 [ICRA]A4 ISSUER NOT
Unallocated COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Moradabad based Akanksha Automobiles Pvt. Ltd. (AAPL) was
constituted as a private limited company by Singhal Family. Later,
in April 2003, the entity was sold to Goyal Family.Currently, the
directors - Mr. Amit Goyal, Mr. Shubham Goyal, and Mr. Anil Goyal
are heading the company. The Company is an authorized dealer of
Maruti Suzuki India Limited (MSIL) and has its showrooms in
Moradabad, Rampur, Amroha, Sambhal, Thakurdwara,
Gajraula,Chandausi, and Bilaspur districts of Uttar Pradesh. It
deals in sale of new cars, after-sale services, purchase and sale
of pre-owned cars, and sale of spare parts under the brand name of
MSIL.
ARUNA CONSTRUCTIONS: ICRA Keeps B+ Debt Rating in Not Cooperating
-----------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Shri Aruna
Constructions Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B+ (Stable)/[ICRA]A4
ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 3.00 [ICRA]B+ (Stable) ISSUER NOT
Fund Based/CC COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Short Term- 11.00 [ICRA]A4 ISSUER NOT
Non Fund Based COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
M/s. Shri Aruna Constructions Private Limited (SACPL) was
established in the year 2002 having its registered office in
Bangalore, mainly engaged in the field of civil construction work
in Karnataka for various clients. SACPL primarily executes work on
sub contract basis predominantly for Nagarjuna Construction Company
Limited (NCCL) which remains company's major client since its
incorporation. The company has also executed works for Jampana
Constructions Private Limited (JCPL). The company has successfully
completed its first real estate project, Aruna Pinewoods at Attur,
Bangalore in October, 2013. The company has as well started with
construction for with Phase-II of this project Trivik Windwalk in
Attur, Bangalore in February, 2015 and the same is expected to be
completed by October, 2017. SACPL has invested around Rs. 9.50
crore in Group Company named Samashti Green Farms and Hospitalities
Private Limited (SGFHPL) which 2 became operational since FY 2010.
Both the companies are managed under common control of Directors
Mr. J. Rama Raju and Mr. J. Rama Babu.
ETHAMES GRADUATE: ICRA Keeps B+ Debt Rating in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Ethames
Graduate School Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as '[ICRA]B+ (Stable) ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 16.00 [ICRA]B+ (Stable) ISSUER NOT
Fund Based/TL COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Ethames Graduate School Private Limited was set up in 2010 by Mr.
Praveen Pula to provide vetting and evaluation services to foreign
institutions—namely Ethames Graduate School, UK, and the
University of Sunderland, UK. EGSPL screens applications received
for these universities, and in turn receives a commission income
from the universities based on the fees received. EGSPL also
provides infrastructure services to Woxsen School of Business (WSB)
in India, which has been set up recently by the promoter under the
Pinakin Educational Trust. WSB has a 200 acre campus, which is
fully residential, and provides two-year post-graduate diploma
courses in Management (PGDM), Finance, Operations and Human
Resource, along with a one-year post-graduate program for
experienced professionals (PGPXP).
GAURAV WORLDWIDE: ICRA Keeps B Debt Rating in Not Cooperating
-------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Gaurav
Worldwide Trading Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B (Stable)/[ICRA]A4
ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 50.00 [ICRA]B (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Limit to remain under 'Issuer Not
Cooperating' category
Short Term- (50.00) [ICRA]A4 ISSUER NOT
Non Fund Based COOPERATING; Rating continues
Limit To remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Gaurav Worldwide Trading Private Limited was incorporated in 2004
with the objective of ship breaking, factory dismantling and
trading in metals. The company started its operations in FY2016,
wherein it traded majorly in shredded scrap imported from the USA;
the sales were mainly spread across the markets of Maharashtra and
Gujarat. GWTPL has its registered office located in Mumbai and has
a rented a warehousing facility in Navi Mumbai. The company is
managed by its promoter, Mr. Gaurav Jhaveri, along with his son,
Mr. Utsav Jhaveri.
GOPINATH DAIRY: ICRA Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Gopinath
Dairy Products Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]D; ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based- 0.50 [ICRA]D; ISSUER NOT COOPERATING;
Cash Credit Rating Continues to remain under
'Issuer Not Cooperating'
Category
Term Loan 11.50 [ICRA]D; ISSUER NOT COOPERATING;
Rating Continues to remain under
'Issuer Not Cooperating'
Category
Unallocated
limit 14.00 [ICRA]D; ISSUER NOT COOPERATING;
Rating continues to remain under
'Issuer Not Cooperating'
Category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Incorporated in 1994, GDPPL was operating as an industrial
warehouse in Navi Mumbai till 2009. Between 1994 and 2009, the
company was operating as a repacking cum warehousing for Kodak
India Private Limited (for cameras and camera rolls), Saregama
India Limited (for CDs and cassettes) and Voltas Limited (for
chemicals). The unit measures about 1,268 square meters and is
taken on 99 years sublease from Maharashtra Industrial Development
Corporation 2 (MIDC) by the promoters In 2011, the promoters
entered into a ten-year job-work agreement with Reliance Dairy
Foods Limited (RDFL), which is a stepdown subsidiary of the
financially strong Reliance Industries Limited, for processing raw
milk into pasteurized milk and milk products such as cottage
cheese, curd and clarified butter to be sold under the brand name
Reliance Dairy Life.
JYOTI VINCOM: ICRA Keeps B- Debt Ratings in Not Cooperating
-----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Jyoti
Vincom Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA]B- (Stable)/[ICRA]A4; ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 7.10 [ICRA]B- (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
Long Term- 8.82 [ICRA]B- (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Term Loan to remain under 'Issuer Not
Cooperating' category
Short Term- 1.18 [ICRA]A4 ISSUER NOT
Non Fund Based COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Long Term/ 0.40 [ICRA]B-(Stable)/[ICRA]A4;
Short Term- ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain
under issuer not cooperating
category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Incorporated in February 2009, Jyoti Vincom Private Limited (JVPL)
is promoted by the West Bengal-based Kundu family. The company
provides cold-storage facility to potato-growing farmers and
traders on a rental basis with a storage capacity of 19,668 metric
tonnes (MT). The company also provides a multipurpose storage
facility of 5,010 MT for storingdifferent variety of fruits and
vegetables like carrot, beet, apples, etc. The cold-storage unit is
located at Hooghly, West Bengal.
KARNIMATA COLD: ICRA Keeps B- Debt Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Karnimata
Cold Storage Limited (Erstwhile Karnimata Cold Storage Private
Limited) in the 'Issuer Not Cooperating' category. The rating is
denoted as "[ICRA]B (Stable)/[ICRA]A4; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 7.22 [ICRA]B (Stable) ISSUER NOT
Fund Based COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
Long Term- 4.58 [ICRA]B (Stable) ISSUER NOT
Fund Based COOPERATING; Rating continues
Term Loan to remain under 'Issuer Not
Cooperating' category
Short Term- 0.20 [ICRA]A4 ISSUER NOT
Non Fund Based COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Karnimata Cold Storage Limited (Erstwhile Karnimata Cold Storage
Private Limited) (KCSL) had set up its cold storage unit at West
Medinipur, West Bengal in 2012, to carry out the business of
storage and preservation of potatoes. KCSL has a storage capacity
of 25,814 metric tonnes (MT) at present.
KBR AGRO: ICRA Keeps B Debt Ratings in Not Cooperating Category
---------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Kbr Agro
Industries in the 'Issuer Not Cooperating' category. The rating is
denoted as "[ICRA]B (Stable); ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Term Loan 2.00 [ICRA]B (Stable) ISSUER NOT
COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Fund based- 8.00 [ICRA]B (Stable) ISSUER NOT
Cash Credit COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Established in October 2013, KBR is a partnership firm with Mr.
Bhagwan Dass Singla, Mr. Krishan Murari and Mrs Adesh Singla as
partners. The firm is involved in the milling, processing and
trading of Basmati and non-Basmati rice. KBR's plant is located at
Jundla near Karnal (Haryana).
KEEZIA TILES: ICRA Moves B+ Debt Ratings to Not Cooperating
-----------------------------------------------------------
ICRA has moved the ratings for the bank facilities of Keezia Tiles
LLP to the 'Issuer Not Cooperating' category. The rating is denoted
as "[ICRA]B+ (Stable)/[ICRA]A4 ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 3.00 [ICRA]B+ (Stable) ISSUER NOT
Fund-based- COOPERATING; Rating moved
Cash Credit to 'Issuer Not Cooperating'
Category
Long Term- 7.00 [ICRA]B+ (Stable) ISSUER NOT
Fund-based- COOPERATING; Rating moved
Term Loan to 'Issuer Not Cooperating'
Category
Short Term- 1.00 [ICRA]A4 ISSUER NOT
Non Fund Based COOPERATING; Rating moved
To 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with Keezia Tiles LLP, ICRA has been trying to seek information
from the entity so as to monitor its performance. Further, ICRA has
been sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, a rating view has been
taken on the entity based on the best available information.
Established in 2018, Morbi-based Keezia Tiles LLP is managed by Mr.
Shailesh Dhoriyani and Mr. Shailesh Jivani, who have extensive
experience in the ceramic industry. KTL commenced operations in
November 2018 and manufactures ceramic digital wall tiles. It had
an installed capacity of ~24 lakh boxes per annum and has
undertaken capex towards doubling its existing capacity to ~48 lakh
boxes per annum in FY2021. In FY2020, the firm reported a net
profit of INR0.2 crore on an OI of INR22.6 crore compared to a net
loss of INR1.0 crore on an OI of INR2.8 crore in FY2019 (five
months of operations).
KLM INFRA: ICRA Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------
ICRA has retained the ratings for the bank facilities of KLM Infra
in the 'Issuer Not Cooperating' category. The rating is denoted as
"[ICRA]B+ (Stable) ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 29.28 [ICRA]B+ (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Term Loan to remain under 'Issuer Not
Cooperating' category
Long Term- 3.72 [ICRA]B+ (Stable) ISSUER NOT
Unallocated COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
KLM Infra (KLM) was established in 2013 as a partnership firm based
in Surat, Gujarat. The firm is engaged in construction of a
residential-cum-commercial project—Sapphire 8—at Parvat–Magob
in Surat. The partners have almost 15 years of experience in the
real estate business through the KLM Group, which is actively
engaged in real estate construction in Bharuch, Ahmedabad and
Surat.
KVR INDUSTRIES PRIVATE: Insolvency Resolution Process Case Summary
------------------------------------------------------------------
Debtor: KVR Industries Private Limited
Door No. 47-11-3, Flat No. 512
5th Floor, Easwara Homes
Dwarakanagar, Visakhapatnam 530016
Andhra Pradesh
Insolvency Commencement Date: February 18, 2022
Court: National Company Law Tribunal, Amaravati Bench
Estimated date of closure of
insolvency resolution process: August 17, 2022
Insolvency professional: Purusottam Behera
Interim Resolution
Professional: Purusottam Behera
Flat No. A1/603
Samruddhi Plot No. 102/102
SBI Officer Flats
Road No. 29
Sion 400022
Maharashtra
E-mail: purusosbbj@yahoo.com
- and -
Headway Resolution and Insolvency
Services Pvt. Ltd.
708, Raheja Centre
Nariman Point, Mumbai 400021
Maharashtra
E-mail: cirpkvri@gmail.com
Last date for
submission of claims: March 4, 2022
LEGEND CERAMIC: ICRA Keeps B+ Debt Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Legend
Ceramic Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA]B+ (Stable)/[ICRA]A4 ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based- 8.75 [ICRA]B+ (Stable) ISSUER NOT
Term Loan COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Fund based- 4.00 [ICRA]B (Stable) ISSUER NOT
Cash Credit COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Non-fund Based 1.00 [ICRA]A4 ISSUER NOT
Bank Guarantee COOPERATING; Rating continues
To remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Incorporated in July 2011, Legend Ceramic Private Limited (LCPL)
commenced commercial production in June 2012 with its product
portfolio comprising of ceramic floor tiles of a single size
16"x16". In April 2013, the company incorporated digitally printed
tiles to its portfolio. LCPL is promoted by Mr. Dharmendra Aghara
along with his relatives. The promoters have a longstanding
experience in the ceramic tiles industry by the virtue of their
association with other ceramic products oriented firms.
LEXUS MOTORS: ICRA Moves B Debt Ratings to Not Cooperating
----------------------------------------------------------
ICRA has moved the ratings for the bank facilities of Lexus Motors
Limited (LML) to the 'Issuer Not Cooperating' category. The rating
is denoted as "[ICRA]B (Stable)/[ICRA]A4 ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based- 67.00 [ICRA]B (Stable) ISSUER NOT
Cash Credit COOPERATING; Rating moved to
the 'Issuer Not Cooperating'
category
Non-fund based– 0.50 [ICRA]A4 ISSUER NOT
Bank Guarantee COOPERATING; Rating moved to
the 'Issuer Not Cooperating'
category
Unallocated 32.50 [ICRA]B (Stable)/[ICRA]A4
ISSUER NOT COOPERATING;
Rating moved to the 'Issuer
Not Cooperating' category
As part of its process and in accordance with its rating agreement
with Lexus Motors Limited, ICRA has been sending repeated reminders
to the entity for payment of surveillance fee that became due.
Despite multiple requests by ICRA, the entity's management has
remained non-cooperative. In the absence of requisite cooperation
and in line with SEBI's Circular No. SEBI/HO/MIRSD4/CIR/2016/119,
dated November 1, 2016, the company's rating has been moved to the
"Issuer Not Cooperating" category.
Incorporated in 1991, Lexus Motors Limited (LML) is involved in the
business of automobile dealership and is an authorised dealer of
Tata Motors Limited (TML). LML started its operations with light
commercial vehicle and was subsequently given the franchise of
multi-utility vehicles, medium and heavy commercial vehicles and
passenger cars of TML. Since FY2011, LML also started dealing in
the models of Jaguar Land Rover (JLR) in arrangement with TML. LML
is the sole dealer for the JLR segment in eastern India. The
company is in the process of developing a showroom-cum-realestate
project in Auto Hub, Rajarhat, Kolkata.
LIZ TRADERS: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Liz Traders and Agents Private Limited
12/13 Cecil Court 1st Floor
Lansdowne Road, Colaba
Mumbai, Maharashtra 400039
Insolvency Commencement Date: February 25, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: August 24, 2022
(180 days from commencement)
Insolvency professional: Mrs. Prajakta Menezes
Interim Resolution
Professional: Mrs. Prajakta Menezes
416, Crystal Paradise Co-op Soc. Ltd.
Dattaji Salvi Marg, Above Pizza Express
Off. Veera Desai Road, Andheri West
Mumbai 400053
E-mail: prajakta@prmlegal.in
ip.liztraders@gmail.com
Last date for
submission of claims: March 15, 2022
M-BO GRANITO: ICRA Withdraws B+ Rating on INR29.55cr Term Loan
--------------------------------------------------------------
ICRA has withdrawn the ratings assigned to the bank facilities of
M-BO Granito LLP at the request of the company and based on the No
Objection Certificate/Closure Certificate received from the banker.
However, ICRA does not have information to suggest that the credit
risk has changed since the time the rating was last reviewed. The
Key Rating Drivers, Liquidity Position, Rating Sensitivities, Key
Financial indicators have not been captured as the rated
instruments are being withdrawn.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based- 29.55 [ICRA]B+ (Stable) ISSUER NOT
Term Loan COOPERATING; Withdrawn
Fund based- 12.50 [ICRA]B (Stable) ISSUER NOT
Cash Credit COOPERATING; Withdrawn
Non-Fund Based 3.95 [ICRA]A4 ISSUER NOT
Bank Guarantee COOPERATING; Withdrawn
Established in June 2016, as a limited liability partnership firm,
MBGL commenced commercial production in April 2017. Its product
profile comprises vitrified tiles of 600X600 mm, 800X800 mm,
800X1200mm and 600X1200 mm. MBGL's manufacturing unit is located at
Morbi, the ceramic tile manufacturing hub of Gujarat and is
equipped to manufacture 1,30,500 metric tonnes (MT) of tiles per
annum.
MABSOOT BUILDHOMES: Insolvency Resolution Process Case Summary
--------------------------------------------------------------
Debtor: Mabsoot Buildhomes India Private Limited
A-8B, Second Floor
Friends Colony East
South Delhi 110065
India
Insolvency Commencement Date: February 28, 2022
Court: National Company Law Tribunal, Ahmedabad Bench
Estimated date of closure of
insolvency resolution process: August 27, 2022
(180 days from commencement)
Insolvency professional: Mr. Ajit Gyanchand Jain
Interim Resolution
Professional: Mr. Ajit Gyanchand Jain
204, Wall Street-1
Near Gujarat College
Ellisbridge, Ahmedabad 380006
E-mail: ajit@vcanca.com
cirp.mabsoot@gmail.com
Last date for
submission of claims: March 14, 2022
MAHESH LUMBER: ICRA Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Mahesh
Lumber Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA]D/[ICRA]D ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based- 10.00 [ICRA]D; ISSUER NOT COOPERATING;
Limits Rating Continues to remain under
'Issuer Not Cooperating'
Category
Non-fund
Based Limits 20.00 [ICRA]D ISSUER NOT COOPERATING;
Rating continues to remain under
'Issuer Not Cooperating'
Category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Mahesh Lumber Private Limited (MLPL) is a privately owned company
that was incorporated in September 2014. The company is managed by
Mr. Ashok Mittal and is a part of the Mahesh Group, which has been
trading timber since 1952.The company trades particularly in German
Pine Timber. The timber is procured either directly from Germany or
from various third party importers in India.
METRO HOSPITAL: ICRA Keeps B Debt Rating in Not Cooperating
-----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Metro
Hospital And Cancer Research Centre in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B+ (Stable); ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund based- 3.00 [ICRA]B (Stable) ISSUER NOT
Limits COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Metro Hospital & Cancer Research Centre (Hospital) is
multispecialty hospital located in Jabalpur, Madhya Pradesh. The
hospital is a unit of Satya Sai Cancer Society (the society) which
commenced operations in 2007 to create awareness about the cancer
disease. The society also operates a medical institute known as
Balashree Institute of Paramedical Sciences. Mr. Saurabh Baderia
and his brother Mr. Rajiv Baderia manage the society. The hospital
is situated in the Jabalpur, Madhya Pradesh and spread in an area
of 50,000 sq.ft. The hospital is specializes in oncology and
cardiology.The hospital has 130 bedded capacities. The hospital is
empanelled with CGHS, CSMA, ESI, and other PSUs. The hospital also
has tie-ups with insurance companies such as Bajaj Allianz, Aviva
Life Insurance, Apollo Munich Health Insurance, ICICI Lombard etc.
The following is the table depicting the specialization of the
hospital.
PARTAP COTEX: ICRA Withdraws B+/A4 Rating on INR23cr Cash Debt
--------------------------------------------------------------
ICRA has withdrawn the ratings assigned to the bank facilities of
Partap Cotex Private Limited at the request of the company and
based on the No Objection Certificate (NOC) received from its
banker. However, ICRA does not have information to suggest that the
credit risk has changed since the time the rating was last
reviewed. The Key Rating Drivers, Liquidity Position, Rating
Sensitivities, Key financial indicators have not been captured as
the rated instruments are being withdrawn.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term/ 23.00 [ICRA]B+(Stable)/[ICRA]A4;
Short Term- ISSUER NOT COOPERATING;
Fund Based- Rating Continues to remain
Cash Credit under issuer not cooperating
category
Incorporated in the year 2003, PCPL commenced its operations in
FY2017 with trading of denim fabric from its group concern PSPL and
selling through various distributors located throughout India.
Subsequently, the company set up its manufacturing facilities for
cotton denim yarn, beginning commercially operational since
September 2017 with manufacturing of denim yarn with a total
capacity of 6400 metric tonnes per annum (MTPA) at its
manufacturing facility located at Dholka Distt. (Ahmedabad)
catering to the yarn requirement of PSPL's Ahmedabad denim unit.
PEEL–WORKS PVT: ICRA Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Peel –
Works Pvt. Ltd. in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 6.00 [ICRA]D; ISSUER NOT COOPERATING;
Compulsorily Rating Continues to remain under
Convertible 'Issuer Not Cooperating'
Debentures Category
Rationale
The rating continues to remain under "Issuer Not Cooperating
category" because of lack of adequate information regarding Peel
– Works Pvt. Ltd.'s performance and hence the uncertainty around
its credit risk. ICRA assesses whether the information available
about the entity is commensurate with its rating and reviews the
same as per its "Policy in respect of non-cooperation by a rated
entity" available at www.icra.in. The lenders, investors and other
market participants are thus advised to exercise appropriate
caution while using this rating as the rating may not adequately
reflect the credit risk profile of the entity.
As part of its process and in accordance with its rating agreement
with Peel – Works Pvt. Ltd., ICRA has been trying to seek
information from the entity so as to monitor its performance.
Further, ICRA has been sending repeated reminders to the entity for
payment of surveillance fee that became due. Despite multiple
requests by ICRA, the entity's management has remained
non-cooperative. In the absence of requisite information and in
line with the aforesaid policy of ICRA, a rating view has been
taken on the entity based on the best available information.
Peel-Works Pvt. Ltd. was set up in September 2010 by Mr. Sachin
Chhabra (ex-HUL) as a 'Software as a Service' (SaaS) and big data
analytics company focused on the general trade (mom-and-pop retail)
channel. It is headquartered in Gurugram (Haryana), with offices
across India, including Mumbai, Pune and Bengaluru. The company
provides software products to retailers and consumer-packaged goods
(CPG) companies and other corporates. Today it has 300+ employees
across 12+ cities, focused on leveraging technology for bringing
efficiency and profitability to operations of mom and pop stores
and providing brand insights to CPG companies as well as management
of indirect sales force of corporates.
RAI BAHADUR: ICRA Moves B+ Rating to Not Cooperating Category
-------------------------------------------------------------
ICRA has moved the ratings for the bank facilities of Rai Bahadur
Raghbir Singh Educational Society to the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B+ (Stable) ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 15.41 [ICRA]B+ (Stable) ISSUER NOT
Fund-based- COOPERATING; Rating moved
Cash Credit to 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with Rai Bahadur Raghbir Singh Educational Society, ICRA has been
trying to seek information from the entity so as to monitor its
performance. Further, ICRA has been sending repeated reminders to
the entity for payment of surveillance fee that became due. Despite
multiple requests by ICRA, the entity's management has remained
non-cooperative. In the absence of requisite information and in
line with the aforesaid policy of
ICRA, a rating view has been taken on the entity based on the best
available information.
Rai Bahadur Raghbir Singh Educational Society runs the GD Goenka
Public School in Sarita Vihar. The school commenced operations in
April 2015. The promoter group has significant experience in the
education sector, as it already operates the Rohini branch and
Gurgaon branch of GD Goenka Public School since 2007 and 2013,
respectively. The society also operates reputed colleges in Delhi
through Maharaja Agrasen Technical Education Society, and Maharaja
Agrasen Hospital Charitable Trust.
RAYAT & BAHRA: ICRA Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Rayat &
Bahra Group Of Institutes:An Educational and Charitable Society in
the 'Issuer Not Cooperating' category. The rating is denoted as
"[ICRA]D ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Non-fund 3.50 [ICRA]D ISSUER NOT COOPERATING;
Based Rating continues to remain under
'Issuer Not Cooperating'
Category
Long-term– 36.00 [ICRA]D; ISSUER NOT
COOPERATING;
Fund based/CC Rating Continues to remain under
'Issuer Not Cooperating'
Category
Long-term– 36.61 [ICRA]D; ISSUER NOT
COOPERATING;
Fund based/TL Rating Continues to remain under
'Issuer Not Cooperating'
Category
ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best
available/dated/limited information on the issuers' performance.
Accordingly, the lenders, investors and other market participants
are advised to exercise appropriate caution while using this rating
as the rating may not adequately reflect the credit risk profile of
the entity. The rating action has been taken in accordance with
ICRA's policy in respect of non-cooperation by a rated entity
available at www.icra.in.
Operational since 2005, RBGI is a part of Punjab-based Rayat-Bahra
Group. RBGI operates 12 colleges through its two campuses located
in Mohali and Hoshiarpur. While the Mohali campus became
operational in 2005, the Hoshiarpur campus came into existence in
2008. The society through these two campuses offers various courses
like engineering and technology, pharmacy, law, nursing, management
and senior secondary education courses.
=========
J A P A N
=========
ANA HOLDINGS: Egan-Jones Cuts Senior Unsecured Ratings to CCC
-------------------------------------------------------------
Egan-Jones Ratings Company on February 14, 2022, downgraded the
foreign currency and local currency senior unsecured ratings on
debt issued by Ana Holdings Inc. to CCC from B-. EJR also
downgraded the rating on commercial paper issued by the Company to
C from B.
Headquartered in Minato City, Tokyo, Japan, Ana Holdings Inc.
provides a variety of air transportation-related services.
FURUKAWA ELECTRIC: Egan-Jones Keeps BB+ Senior Unsecured Ratings
----------------------------------------------------------------
Egan-Jones Ratings Company on February 23, 2022, maintained its
'BB+' foreign currency and local currency senior unsecured ratings
on debt issued by Furukawa Electric Co., Ltd.
Headquartered in Chiyoda City, Tokyo, Japan, Furukawa Electric Co.,
Ltd. manufactures wires, cables, and metal products.
IHI CORP: Egan-Jones Keeps BB+ Senior Unsecured Ratings
-------------------------------------------------------
Egan-Jones Ratings Company on February 28, 2022, maintained its
'BB+' foreign currency and local currency senior unsecured ratings
on debt issued by IHI Corporation.
Headquartered in Tokyo, Japan, IHI Corporation manufactures heavy
machinery.
KAWASAKI HEAVY: Egan-Jones Ups Senior Unsecured Ratings to BB+
---------------------------------------------------------------
Egan-Jones Ratings Company on February 18, 2022, upgraded the
foreign currency and local currency senior unsecured ratings on
debt issued by Kawasaki Heavy Industries, Ltd. to BB+ from BBB-.
Headquartered in Minato City, Tokyo, Japan, Kawasaki Heavy
Industries, Ltd. designs, develops, and manufactures transport
equipment and industrial heavy machinery for military and
commercial use.
MARUI GROUP: Egan-Jones Keeps BB Senior Unsecured Ratings
---------------------------------------------------------
Egan-Jones Ratings Company on February 28, 2022, maintained its
'BB' foreign currency and local currency senior unsecured ratings
on debt issued by Marui Group Co., Ltd.
Headquartered in Tokyo, Japan, Marui Group Co., Ltd. provides
retailing and credit card services.
TOBU RAILWAY: Egan-Jones Keeps BB- Senior Unsecured Ratings
-----------------------------------------------------------
Egan-Jones Ratings Company on February 28, 2022, maintained its
'BB-' foreign currency and local currency senior unsecured ratings
on debt issued by Tobu Railway Co., Ltd.
Headquartered in Tokyo, Japan, Tobu Railway Co., Ltd. mainly
provides passenger rail and bus transportation services in the
Kanto area.
=====================
N E W Z E A L A N D
=====================
B A SCOTT: Court to Hear Wind-Up Petition on March 31
-----------------------------------------------------
A petition to wind up the operations of B A Scott Trustee Company
Limited will be heard before the High Court at Dunedin on March 31,
2022, at 10:00 a.m.
Denham Bramwell Lawyers filed the petition against the company on
Feb. 9, 2022.
The Petitioner's solicitor is:
Cari Richardson
Denham Bramwell
Level 4, 3 Osterley Way
Manukau, Auckland
BRASSERIE74 LIMITED: Court to Hear Wind-Up Petition on March 22
---------------------------------------------------------------
A petition to wind up the operations of Brasserie74 Limited will be
heard before the High Court at Wellington on March 22, 2022, at
10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on Feb. 3, 2022.
The Petitioner's solicitor is:
Tara Carr
Legal Services
11 Jepsen Grove
Wallaceville, Upper Hutt 5018
JC DESIGN: Creditors' Proofs of Debt Due April 11
-------------------------------------------------
Creditors of JC Design 2006 Limited are required to file their
proofs of debt by April 11, 2022, to be included in the company's
dividend distribution.
Craig Sanson and Malcolm Hollis of PwC were appointed joint and
several liquidators of the company by the High Court at Auckland on
March 4, 2022, on the application of Inland Revenue.
The company's liquidators can be reached at:
PwC Auckland
Private Bag 92162
Victoria Street West, Auckland 1142
MAINZEAL PROPERTY: Directors Adopted 'Policy of Insolvent Trading'
------------------------------------------------------------------
Stuff.co.nz reports that Mainzeal directors, including former prime
minister Dame Jenny Shipley, adopted a policy of insolvent trading
in the years before the construction company finally collapsed in
2013, the lawyer for the company's liquidators told the Supreme
Court.
Stuff says the directors are attempting to overturn High Court and
Court of Appeal rulings that they traded recklessly in the run-up
to Mainzeal's collapse owing nearly 1,400 unsecured creditors about
NZD110 million.
Mainzeal's liquidators successfully sued directors Shipley, Richard
Yan, Peter Gomm and Clive Tilby, who were found liable by the High
Court for breaching director duties by trading recklessly, and were
ordered to pay a total of NZD36 million in damages and NZD2.3
million in costs to Mainzeal, the report notes.
Shipley, prime minister from 1997 to 1999, was liable for a maximum
of NZD6 million of damages.
On the first and second days of the three-day hearing at the
Supreme Court, lawyers for Shipley, Gomm, and Tilby denied reckless
trading, saying the directors acted rationally in relying on
non-binding assurances of support from related party companies,
according to Stuff.
That support was eventually withdrawn in early 2013 leading to
Mainzeal's collapse when its lender Bank of New Zealand lost
confidence, and called in liquidators.
Stuff says Mark O'Brien, QC, representing liquidators James Bethall
and Brian Mayo-Smith, told the court on March 9 the collapse
resulted in more than NZD100 million in losses to unsecured
creditors.
"We say that was a direct consequence of allowing the company to
continue to trade over an extended period while insolvent," Stuff
quotes Mr. O'Brien as saying.
The brunt of the losses were shouldered by building and supplies
companies which subcontracted to Mainzeal, Stuff states.
The losses for sub-contractors prompted a revision of the
Construction Contracts Act aimed at better-protecting them in
future construction company collapses.
The High Court, and Court of Appeal, decided Mainzeal was insolvent
from mid-2011, but liquidators maintained it was insolvent long
before then, Mr. O'Brien said.
"This is, we say, simply not permitted by the law, and no-one can
point to a case, because there isn't one, when a prolonged period
of insolvent trading has been sanctioned on the basis the directors
thought they might be able to work their way out of it over a
period of two to three years," he said, notes the report.
On March 7 and March 8, Jack Hodder, QC, for Shipley, Gomm, and
Tilby, said Mainzeal had been in the "twilight zone" where
directors believed it could trade its way back to profitability.
"There were grounds for belief that there could be a restoration of
material profitability. There could be a return to having a
credible balance sheet," Stuff quotes Mr. Hodder as saying.
The Court of Appeal should have found that the experienced and
honest directors had a rational basis for believing Mainzeal's
turnaround strategy could have worked, which meant they had not
breached their legal duties under the Companies Act, he said.
But Mr. O'Brien said that from early 2011 "this company wasn't in
the twilight zone."
"They were in the void of insolvency," the report quotes Mr.
O'Brien as saying. "We say there were huge risks after January
2011 that the company could go down the gurgler at any time."
Stuff relates that Mr. O'Brien said it was not enough for
Mainzeal's directors to believe they could rely on assurances of
support. They had to have reasonable grounds for believing they
could rely on them.
He said Mainzeal, which had gross revenues of NZD300 million to
NZD400 million a year, had a history of low profitability,
accepting contracts on low margins, and was struggling with leaky
building claims, the aftermath of the global financial crisis, and
a large claim from Siemens over cost overruns on a big power
transmission infrastructure project, Stuff relays.
"History indicates a return to profit was unlikely," he said.
"This is a really big business which has no capital, and no
profit."
"They were never going to get back to a solvent situation this side
of 20 years, unless something magical happened, or until they
recovered their loans," he said.
Those were debts owed to it by related companies, which the Court
of Appeal said were NZD44.5 million at the end of December 2010.
Stuff adds that Mr. O'Brien said the directors' decisions amounted
to "a policy of insolvent trading, and serving to ensure existing
creditors were paid for a time until it stopped, but it put new
creditors and the company at great risk, and that's what the courts
have found".
The liquidators claim about NZD75 million of Mainzeal's losses were
incurred as a result of the directors allowing the company to
continue trading while insolvent, the report says.
About Mainzeal Property
Mainzeal Property and Construction Ltd was a New Zealand-based
property and construction company. The company formed part of the
Mainzeal Group, which is owned by Richina Inc.
On Feb. 6, 2013, Colin McCloy and David Bridgman, partners from
PricewaterhouseCoopers, were appointed receivers to Mainzeal
Property and associated entities as a result of a request made by
its director to BNZ.
Mainzeal's director, Richard Yan advised that following a series of
events that had adversely affected the Company's financial position
coupled with a general decline in major commercial construction
activity, and in the absence of further shareholder support, the
Company could no longer continue trading.
On Feb. 28, 2013, BDO's Andrew Bethell and Brian Mayo-Smith were
appointed liquidators to those three companies in receivership and
nine others in the group that were not in receivership.
The companies now under the control of the liquidators are Mainzeal
Group, Mainzeal Property and Construction, Mainzeal Living, 200
Vic, Building Futures Group Holding, Building Futures Group,
Mainzeal Residential, Mainzeal Construction, Mainzeal, Mainzeal
Construction SI, MPC NZ and RGRE.
Mainzeal is estimated to owe NZD11.3 million to the BNZ, NZD70
million to unsecured creditors and NZD5.2 million to employees, NZN
disclosed. Subcontractors are among the unsecured creditors, said
NZN.
SPEEDY CONSTRUCTION: Court to Hear Wind-Up Petition on April 1
--------------------------------------------------------------
A petition to wind up the operations of Speedy Construction Limited
will be heard before the High Court at Auckland on April 1, 2022,
at 10:00 a.m.
Independent Frames & Trusses (Takanini) Limited filed the petition
against the company on Dec. 16, 2021.
The Petitioner's solicitor is:
Cari Richardson
Denham Bramwell
Level 4, 3 Osterley Way
Manukau, Auckland
VEGAS COURIERS: Creditors' Proofs of Debt Due on April 8
--------------------------------------------------------
Creditors of Vegas Couriers Limited and Rush Hour Couriers Limited
are required to file their proofs of debt by April 8, 2022, to be
included in the company's dividend distribution.
The company commenced wind-up proceedings on March 6, 2022.
The company's liquidator can be reached at:
Bryan Edward Williams
BWA Insolvency Limited
PO Box 609, Kumeu 0841
=================
S I N G A P O R E
=================
DSN TRADING: Court Enters Wind-Up Order
---------------------------------------
The High Court of Singapore entered an order on March 4, 2022, to
wind up the operations of DSN Trading Links Pte. Ltd.
Maybank Singapore Limited filed the petition against the company.
The company's liquidator is:
Mr. Gary Loh Weng Fatt
c/o BDO Advisory Pte. Ltd.
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
FASHION RETAIL: Court to Hear Wind-Up Petition on March 18
----------------------------------------------------------
A petition to wind up the operations of Fashion Retail Pte Ltd will
be heard before the High Court of Singapore on March 18, 2022, at
10:00 a.m.
Delco Art Interior Pte Ltd filed the petition against the company
on Feb. 23, 2022.
The Petitioner's solicitors are:
LIMN Law Corporation
77 High Street, #07-07 High Street Plaza
Singapore 179433
SWIBER HOLDINGS: Enters MOU to Sell Jurong Headquarters
-------------------------------------------------------
The Business Times reports that Swiber Holdings said on March 8
that it has entered into a non-binding memorandum of understanding
(MOU) with an independent third-party purchaser to sell its
headquarters at 12 International Business Park for SGD30.8
million.
In its bourse filing, the offshore and marine group - now under
judicial management - said its wholly-owned subsidiary Swiber
Corporate has entered into the MOU to sell the 5-storey leasehold
business park development in Jurong East, BT relays.
This is not the first time that Swiber has attempted to dispose of
its headquarters, the report notes. Last May, the company had
announced an MOU for its sale for a consideration of S$39 million.
However, it said on March 8 that the 2021 MoU did not result in any
binding sale-and-purchase agreement during the exclusivity period,
and that it had lapsed.
The property has a land area of around 8,000 square meters (sq m)
and a floor area of around 10,841 sq m. Its 60-year lease tenure,
granted by the Jurong Town Corporation, commenced in December
1995.
According to BT, Swiber said that the market value of the property
is S$34 million, based on a desktop valuation report issued by
Edmund Tie on Oct 5 last year. The book value of the property,
based on its latest announced unaudited consolidated financial
statements as of March 2016, was around S$28.4 million; the
proposed disposal is expected to result in an estimated gain of
S$2.4 million.
However, as the property is currently mortgaged to DBS, the
proceeds from the proposed disposal will go towards partial
repayment of the amount owed to DBS under banking facilities that
had been extended to the company, BT notes.
BT relates that Swiber Holdings said the disposal is in the
interest of the company, as it will reduce liabilities and the
interest accrued from these liabilities. It noted that since the
judicial managers had been appointed in 2016, the property has been
under utilised: Just 1 storey is being occupied by the group, with
a significant area having been vacant since September 2017.
BT says the property has not been generating significant rental
income since a past tenant vacated the premises that month; past
efforts to secure new tenants had also been unsuccessful due to "an
oversupply of rental premises in International Business Park".
About Swiber Holdings
Swiber Holdings Limited (SGX:BGK) -- http://www.swiber.com/-- is a
Singapore-based investment holding company. The Company, through
its subsidiaries, is engaged in offshore marine engineering; vessel
owning and chartering, and provision of corporate services. The
Company is an integrated offshore construction and support services
provider for shallow water oil and gas field development. It offers
a range of engineering, procurement, installation and construction
(EPIC) services, complemented by its in-house marine support and
engineering capabilities, to support the offshore field development
and production activities of its clientele base across the Asia
Pacific, Middle East, Latin America and West Africa regions. It
operates approximately 10 construction vessels. The Company's
subsidiaries include Swiber Offshore Construction Pte. Ltd., Swiber
Offshore Marine Pte. Ltd., Swiber Corporate Pte. Ltd., Resolute
Offshore Pte. Ltd. and Swiber Capital Pte. Ltd.
Swiber had $1.43 billion of liabilities and $1.99 billion of assets
at March 2016, as per the company's published accounts.
Swiber Holdings shocked the business world when it filed for
liquidation in July 2016 as several of its directors resigned. Only
a few days after the intent to liquidate, Swiber changed course and
applied for judicial management. Bob Yap Cheng Ghee, Tay Puay
Cheng and Ong Pang Thye of KPMG Services Pte Ltd. were appointed as
joint and several interim judicial managers of Swiber Holdings
Limited and Swiber Offshore Construction.
In May 2019, Swiber yet again escaped another liquidation scenario
when its creditors voted in favor of a restructuring proposal that
contemplated an equity investment from Seaspan Corporation. The
plan included a proposed investment from Seaspan of up to $200
million. That Investment Agreement has been terminated as of
January 2020.
TMG PROJECTS: Court to Hear Wind-Up Petition on March 18
--------------------------------------------------------
A petition to wind up the operations of TMG Projects Pte. Ltd.,
f.k.a. Isoteam Projects Pte Ltd, will be heard before the High
Court of Singapore on March 18, 2022, at 10:00 a.m.
Hua Da Engineering Pte Ltd filed the petition against the company
on Feb. 24, 2022.
The Petitioner's solicitors are:
Lumiere Law LLP
One Marina Boulevard
Level 20
Singapore 018989
*********
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.
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*** End of Transmission ***