/raid1/www/Hosts/bankrupt/TCRAP_Public/220316.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, March 16, 2022, Vol. 25, No. 48
Headlines
A U S T R A L I A
ANERGY AUSTRALIA: First Creditors' Meeting Set for March 24
CONDEV: Faces Collapse with AUD1BB in Projects, 125 Jobs at Risk
HAMMOUD INVESTMENTS: Second Creditors' Meeting Set for March 22
PORT HEDLAND: Second Creditors' Meeting Set for March 21
SHOWERAMA PRODUCTS: Second Creditors' Meeting Set for March 22
TIM TECHNOLOGIES: First Creditors' Meeting Set for March 24
TOKYO SUSHI: First Creditors' Meeting Set for March 23
C H I N A
CHINA EVERGRANDE: Unit Wins China Approval to Start Vehicle Sales
H O N G K O N G
HONG KONG AIRLINES: Court to Hear Wind Up Petition on May 11
I N D I A
ASSOCIATED SMALL: CRISIL Withdraws B+ Rating on INR5cr Loans
C MUNIKRISHNA: CRISIL Assigns B Rating to INR3cr Proposed Loan
C. NATARAJAN: CRISIL Keeps B Debt Rating in Not Cooperating
DAYAL STEEL: CRISIL Withdraws D Rating on INR8cr Loans
GURU RAGHAVENDRA: CRISIL Lowers Long/Short Term Rating to D
JAI MATA: CRISIL Keeps D Debt Ratings in Not Cooperating Category
NEW HARYANA: CRISIL Keeps B Debt Ratings in Not Cooperating
NEW WIN: CRISIL Keeps D Debt Ratings in Not Cooperating Category
OM BESCO: CRISIL Keeps C Debt Rating in Not Cooperating Category
OVEL LAMINATE: CRISIL Keeps B Debt Ratings in Not Cooperating
PADMAVATI JEWELLERS: CRISIL Keeps B Ratings in Not Cooperating
PATWARI PLASTICS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
POABS ENTERPRISES: CRISIL Assigns B Rating to INR33.25cr Loans
R. C. GEMS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
RAMESH CHANDRA: CRISIL Lowers Rating on INR2.7cr Loan to B-
RANGOLI BUILDCON: CRISIL Assigns B Rating to INR11.75cr Loan
RELIANCE INFRATEL: Lenders Seek Implementation of Debt Resolution
RJD BUILDCON: CRISIL Assigns B Rating to INR20cr Term Loan
RJD ENTERPRISE: CRISIL Assigns B Rating to INR10.9cr Term Loan
RR METALMAKERS: CRISIL Reaffirms B Rating on INR6.5cr Cash Loan
SAIPOOJA AGROTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
SANGINI COMMERCE: CRISIL Keeps B- Debt Ratings in Not Cooperating
SHAHJAHANPUR EDIBLES: CRISIL Keeps D Ratings in Not Cooperating
SHANMUKHA COTTON: CRISIL Keeps B Debt Ratings in Not Cooperating
SHIVAM MASALA: CRISIL Keeps B- Debt Ratings in Not Cooperating
SHREEJEE JEWELLERS: CRISIL Keeps B+ Rating in Not Cooperating
SHYAM CORPORATION: CRISIL Keeps B Debt Ratings in Not Cooperating
SIMHAPURI TRANSPORT: CRISIL Keeps B+ Rating in Not Cooperating
SKS INDIA: CRISIL Keeps B Debt Rating in Not Cooperating Category
U.K. TEXTILES: CRISIL Hikes Rating on INR39cr Loans to B+
VRAJPACK INDUSTRIES: CRISIL Keeps B Ratings in Not Cooperating
M A L A Y S I A
1MDB: Jho Low Stole US$1.42BB From Goldman Deals, FBI Agent Says
N E W Z E A L A N D
116 CALLISTO: Court to Hear Wind-Up Petition on March 25
FARM COVE: Court to Hear Wind-Up Petition on April 29
GLANCE (NZ): Creditors' Proofs of Debt Due on April 22
SERVICEIQ INTERNATIONAL: Creditors' Proofs of Debt Due on April 15
SHARAN CIVIL: Court to Hear Wind-Up Petition on May 27
S I N G A P O R E
ALPHA DX: Raises Going Concern Uncertainty
NO SIGNBOARD: Puts Beer Unit Into Creditors' Voluntary Liquidation
- - - - -
=================
A U S T R A L I A
=================
ANERGY AUSTRALIA: First Creditors' Meeting Set for March 24
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of Anergy
Australia Pty Ltd will be held on March 24, 2022, at 11:00 a.m. via
virtual meeting technology.
Daniel Bredenkamp of Pitcher Partners was appointed as
administrator of Anergy Australia on March 14, 2022.
CONDEV: Faces Collapse with AUD1BB in Projects, 125 Jobs at Risk
----------------------------------------------------------------
Tita Smith at Daily Mail Australia reports that Condev Construction
is facing collapse, placing AUD1 billion in projects and 125 jobs
up in the air as the company is rocked by labour shortages, floods
and soaring material costs.
According to the report, the huge building firm met with developers
on March 14 in a last-ditch bid to salvage the company, which has
projects across Queensland's southeast worth hundreds of millions
of dollars.
Discussions are underway to create a rescue plan to prevent Condev
- one of the biggest construction companies in Queensland - from
ruin, with developers assessing how projects can be finished
without sparking further financial loss, Daily Mail says.
It comes just weeks after Probuild was placed into voluntary
administration after falling into tens of millions of dollars of
debt, leaving hundreds unemployed and dozens of projects unfinished
nationwide.
Daily Mail relates that the Construction, Forestry, Maritime,
Mining and Energy Union (CFMEU) described Condev as a 'collapse
waiting to happen' after being smashed by a 'perfect storm' of
issues.
According to Daily Mail, the Courier Mail reported CFMEU state
secretary Michael Ravbar said a 'combination of underbidding on
jobs, poor project management and quality control', led to the
company's financial woes.
Subcontractors were spotted downing tools and packing up equipment
into the back of trucks at the company's Rivière project at
Brisbane's Kangaroo Point on Monday morning [March 14), the report
says.
The 12-storey development on Main Street for Aria Property Group
was set to be a 124 apartment high-rise, although its fate now
hangs in the balance along with 17 other projects.
WTC Advisory managing partner Andrew Weatherley said calling on
developers was a 'unique approach' to the company's challenges,
Daily Mail relays.
'The alarm bells have rung and they might find people hesitant to
deal with them going forward which would compound the problem,' the
report quotes Mr. Weatherly as saying.
'But from a developers point of view, if it was not a substantial
amount of money it would make sense to support them to a point
because of the delays that you'd suffer because the clients have to
find another builder to complete the projects.
'Whether that is sufficient enough remains to be seen.'
Condev Construction, founded by Steve and Tracy Marais in 2002, is
licensed to complete a total of AUD240 million worth of projects
annually.
Daily Mail relates that Ms. Marais said the company was still
solvent but needs assistance to find a resolution, and was
confident it would pull through with the support of clients, staff
and subcontractors.
She said all subcontractors have been paid to date.
In an email to staff and clients, the company said the recent
flooding across the region hindered the completion of projects and
became the 'straw that broke the camel's back' after reporting
losses in 2021, the report relays.
Condev currently has 18 projects across southeast Queensland, with
14 in the Gold Coast where the builder is based. They include the
Cannes Waterfront in Surfers Paradise, The Brookes Residences in
Varsity Lakes, Natura and Brake Street both in Burleigh, and the
Jindi Apartments in Palm Beach.
HAMMOUD INVESTMENTS: Second Creditors' Meeting Set for March 22
---------------------------------------------------------------
A second meeting of creditors in the proceedings of Hammoud
Investments Pty Limited has been set for March 22, 2022, at 11:00
a.m. at the offices of Westburn Advisory, Level 5, 115 Pitt 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 21, 2022, at 4:00 p.m.
Rajiv Ghedia and Shumit Banerjee of Westburn Advisory were
appointed as administrators of Hammoud Investments on Feb. 15,
2022.
PORT HEDLAND: Second Creditors' Meeting Set for March 21
--------------------------------------------------------
A second meeting of creditors in the proceedings of Port Hedland
Yacht Club Inc has been set for March 21, 2022, at 2:00 p.m. via
Zoom.
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 18, 2022, at 4:00 p.m.
Robert Allan Jacobs of Auxilium Partners was appointed as
administrator of Port Hedland on Feb. 11, 2022.
SHOWERAMA PRODUCTS: Second Creditors' Meeting Set for March 22
--------------------------------------------------------------
A second meeting of creditors in the proceedings of Showerama
Products Pty. Ltd. has been set for March 22, 2022, at 11:00 a.m.
via Zoom.
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 21, 2022, at 5:00 p.m.
Steven John Priest of Chamberlains SBR was appointed as
administrator of Showerama Products on Feb. 15, 2022.
TIM TECHNOLOGIES: First Creditors' Meeting Set for March 24
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of Tim
Technologies Pty Limited will be held on March 24, 2022, at 10:00
a.m. via electronic facilities.
Mathieu Tribut of GTS Advisory was appointed as administrator of
Tim Technologies on March 14, 2022.
TOKYO SUSHI: First Creditors' Meeting Set for March 23
------------------------------------------------------
A first meeting of the creditors in the proceedings of Tokyo Sushi
Kitchen Franchising Pty Ltd will be held on March 23, 2022, at
10:30 a.m. via conference telephone call or video conference.
Con Kokkinos of Worrells Solvency was appointed as administrator of
Tokyo Sushi on March 11, 2022.
=========
C H I N A
=========
CHINA EVERGRANDE: Unit Wins China Approval to Start Vehicle Sales
-----------------------------------------------------------------
Reuters reports that China's industry regulator has given China
Evergrande New Energy Vehicle Group approval to start sales of its
inaugural electric car, the Hengchi 5 sport utility vehicle,
according to a document the regulator published on March 14.
The Ministry of Industry and Information Technology (MIIT) included
two Hengchi models made by the unit of heavily indebted property
developer China Evergrande Group in a catalogue of electric
vehicles it said were recommended for "promotion and application".
Electric vehicle models added to this catalogue are deemed eligible
for subsidies and can be put on sale. The MIIT statement showed the
approval was granted on March 8, the report notes.
Evergrande NEV would start selling the cars as soon as April, a
person familiar with the matter said, Reuters relays.
Without giving figures, the person said the sales target was not
too high this year due to production constraints but would rise
quickly next year.
Reuters reported in December that Evergrande NEV had started mass
production of its Hengchi 5 SUV ahead of schedule.
The firm, a major unit of China Evergrande Group, has been
struggling to secure external investment, Reuters says.
Reuters adds that China Evergrande Group said in November it had
been negotiating with potential buyers regarding the disposal of
some assets and talking to potential investors about funding.
About China Evergrande
China Evergrande Group is an integrated residential property
developer. The Company, through its subsidiaries, operates in
property development, investment, management, finance, internet,
health, culture, and tourism markets.
Evergrande had CNY1.97 trillion (US$311 billion) of liabilities at
the end of June 2021. Once China's biggest developer by sales,
Evergrande fell into distress as cash dried up and the group
overstretched itself on borrowings and ventures into car
manufacturing.
Evergrande hired outside financial advisers Houlihan Lokey and
Admiralty Harbour Capital in September 2021 to engage with
creditors soon after it ran into a liquidity squeeze. It has since
worked with more advisers in the past two months by turning to
China International Capital Corp, BOCI Asia and Zhong Lun Law Firm
on its debt workout plan.
As reported in the Troubled Company Reporter-Asia Pacific in
December 2021, S&P Global Ratings lowered the issuer credit ratings
on China Evergrande Group and Tianji Holding Ltd. to 'SD' from
'CC'. S&P also lowered the issuer rating on Tianji's bonds due
2022 and 2023 to 'D' from 'C'. S&P subsequently withdrew all its
ratings on Evergrande, its subsidiary Hengda Real Estate Group Co.
Ltd., and Tianji, at the group's request.
The TCR-AP also reported that Fitch Ratings has downgraded to 'RD'
(Restricted Default), from 'C', the Long-Term Foreign-Currency
Issuer Default Ratings (IDR) of China Evergrande Group and its
subsidiaries, Hengda Real Estate Group Co., Ltd and Tianji Holding
Limited. Fitch has affirmed the senior unsecured ratings of
Evergrande and Tianji at 'C', with a Recovery Rating of 'RR6', as
well as the Tianji-guaranteed senior unsecured notes issued by
Scenery Journey Limited at 'C', with a Recovery Rating of 'RR6'.
The downgrades reflect the non-payment of coupons due Nov. 6, 2021
for Tianji's USD645 million 13% bonds and USD590 million 13.75%
bonds after the grace period lapsed on 6 December. The non-payment
is consistent with an 'RD' rating, signifying the uncured expiry of
any applicable grace period, cure period or default forbearance
period following a payment default on a material financial
obligation.
=================
H O N G K O N G
=================
HONG KONG AIRLINES: Court to Hear Wind Up Petition on May 11
------------------------------------------------------------
The Standard reports that an Irish company on March 4 filed a
petition to the High Court, asking it to wind up Hong Kong
Airlines. The hearing has been scheduled on May 11.
The Standard, citing the Judiciary's website, says the petition was
filed by Stellar Aircraft Holding 1 Ltd, a company based in Dublin,
and listed Hong Kong Airlines Ltd as the respondent on the writ.
In June last year, Hong Kong Airlines has already fired 700
workers, the report recalls. The company also shuttered its
subsidiary Hong Kong Aviation Ground Services Ltd (HAGSL) a month
later.
Another aviation giant, Cathay Pacific had also closed its
subsidiary Cathay Dragon back in October 2020, citing challenges
posed by the Covid-19 outbreak, the Standard notes.
Hong Kong Airlines was founded in 2007. It offers passenger and
cargo services. It is the third biggest carrier based in Hong
Kong.
=========
I N D I A
=========
ASSOCIATED SMALL: CRISIL Withdraws B+ Rating on INR5cr Loans
------------------------------------------------------------
Due to inadequate information, CRISIL Ratings, in line with SEBI
guidelines, had migrated the rating of Associated Small Industries
(ASI) to 'CRISIL B+/Stable Issuer Not Cooperating'. CRISIL Ratings
has withdrawn its rating on bank facility of ASI following a
request from the company and on receipt of a 'no dues certificate'
from the banker. Consequently, CRISIL Ratings is migrating the
ratings on bank facilities of ASI from 'CRISIL B+/Stable Issuer Not
Cooperating to 'CRISIL B+/Stable'. The rating action is in line
with CRISIL Ratings' policy on withdrawal of bank loan ratings.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit/ 5 CRISIL B+/Stable (Migrated from
Overdraft 'CRISIL B+/Stable ISSUER NOT
facility COOPERATING'; Rating Withdrawn)
CRISIL Ratings is migrating the ratings on bank facilities of ASI
from 'CRISIL B+/Stable Issuer Not Cooperating to 'CRISIL
B+/Stable'. The rating action is in line with CRISIL Ratings'
policy on withdrawal of bank loan ratings.
ASI was set up in 1976 in Indore as a partnership firm by Mr
Rajendra Parekh and Ms Vibha Parekh. It trades in building
materials, including cement, fasteners, roofing, sheeting,
construction chemicals, power tools, and ready-mix concrete. It is
based out of Indore, Madhya Pradesh.
C MUNIKRISHNA: CRISIL Assigns B Rating to INR3cr Proposed Loan
--------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' rating to the
bank facilities of C Munikrishna (CM).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Term Loan 3 CRISIL B/Stable (Assigned)
The rating reflects CM's exposure to risks related to ongoing
project and its expected moderate capital structure. These
weaknesses are partially offset by its extensive industry
experience of the proprietor.
Key Rating Drivers & Detailed Description
Weakness:
* Exposure to risks related to ongoing project: CM is constructing
the commercial premises with a total project cost of INR10 crores
and it was expects to be completed in June 2021. Demand risk is
also expected to be moderate as the industry is highly fragmented
marked by low entry barriers. Also, will be exposed to intense
competition from other players in the segment. Timely completion
and successful stabilization of its operations will remain a key
rating sensitivity factor.
* Expected moderate capital structure: CM is expected to have an
average financial risk profile with high gearing and moderate debt
protection metrics. The project is funded through a debt-equity
ratio 0.25 times.
Strength:
Extensive industry experience of the partners: The promoters have
an experience of over a decade in in different types of industries.
This has given them an understanding of the dynamics of the market
and enabled them to establish relationships with suppliers and
customers.
Liquidity: Stretched
The company has not availed working capital limits. The project is
funded partly by term loans from bank and equity and unsecured
loans from the promoters. Repayments are expected to commence from
the period of occupation of property by the tenant. Timely
servicing of the loans will remain a key sensitivity factor.
Outlook: Stable
CRISIL Ratings believes that CM will benefit over the medium term
from its promoter's extensive industry experience.
Rating Sensitivity Factors
Upward factor
* Stabilizes operations at its proposed-on time and reports
significant revenue and profitability
* If DSCR improves to 1.3 times due to improvement in inflows at
higher-than-anticipated rates
Downward factor
* Faces a considerable delay in the commencement of its operations
and lower than expected occupancy level leading to delays in
receipts lead to cash flow mismatches
* Inability to achieve anticipated rates or weak operating
performance affects the profitability
CM was established in 2021 as proprietorship firm plan to leasing
out commercial premise owned by proprietor Mr. C Munikrishna,
located in Bangalore. Currently firm executing the construction
works and expected to rent it from September 2022.
C. NATARAJAN: CRISIL Keeps B Debt Rating in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of C. Natarajan
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 8.5 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with Natarajan
for obtaining information through letters and emails dated January
22, 2022 and February 7, 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 Natarajan, which restricts
CRISIL Ratings' ability to take a forward-looking view on the
entity's credit quality. CRISIL Ratings believes that rating action
on Natarajan is consistent with 'Assessing Information Adequacy
Risk'. Based on the last available information, the ratings on bank
facilities of Natarajan continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Natarajan is a proprietary firm of Mr. C Natarajan. The firm
operates windmills in Tirunelveli, Tamil Nadu, with an installed
capacity of 3.225 megawatts.
DAYAL STEEL: CRISIL Withdraws D Rating on INR8cr Loans
------------------------------------------------------
CRISIL Ratings has withdrawn its ratings on the bank facilities of
Dayal Steel and Construction Private Limited (DSCPL) on the request
of the company and receipt of a no objection certificate from its
bank. The rating action is in line with CRISIL Ratings' policy on
withdrawal of its ratings on bank loans.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4 CRISIL D (ISSUER NOT
COOPERATING; Rating Withdrawn)
Term Loan 4 CRISIL D (ISSUER NOT
COOPERATING; Rating Withdrawn)
CRISIL Ratings has been consistently following up with DSCPL for
obtaining information through letters and emails dated September
15, 2021 and November 12, 2021, 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 DSCPL. This restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on DSCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
DSCPL continues to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2009 and promoted by Mr Niraj Kumar Singh, Mr Manoj
Kumar Singh, Mr Ranjay Kumar Singh, and Ms Sandhya Singh, DSCPL is
present in the transportation and hotel businesses.
GURU RAGHAVENDRA: CRISIL Lowers Long/Short Term Rating to D
-----------------------------------------------------------
CRISIL Ratings has downgraded its ratings on the bank facilities of
Guru Raghavendra Infrastructures (GRI) to 'CRISIL D/CRISIL D Issuer
Not Cooperating' from 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Rating - CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL B/Stable ISSUER NOT
COOPERATING')
Short Term Rating - CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL A4 ISSUER NOT
COOPERATING')
The rating downgrade reflects the instances of overdrawals in the
OD limit for more than 30 days in the last three months period
i.e., till Feb. 2022.
CRISIL Ratings has been consistently following up with GRI 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 GRI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GRI
is consistent with 'Assessing Information Adequacy Risk'.
Established in 2010, GRI manufactures ready-mix concrete and
crushed stones (metal). It entered the civil construction business
in fiscal 2018. Mr D Venkata Krishna Reddy and Ms D Srilatha are
the promoters.
JAI MATA: CRISIL Keeps D Debt Ratings in Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Jai Mata Di
Paper Mills Private Limited (JMD) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1.7 CRISIL D (Issuer Not
Cooperating)
Cash Credit 0.3 CRISIL D (Issuer Not
Cooperating)
Cash Credit 3.0 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 2.0 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 5.0 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with JMD for
obtaining information through letters and emails dated January 22,
2022 and February 28, 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 JMD, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on JMD
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information,
JMD, set up by Raipur (Chhattisgarh)-based Sharma family in 2008,
manufactures kraft paper. Its manufacturing unit started commercial
operations in May 2011. JMD's day-to-day operations are looked
after by its promoter-director Mr. Aditya Sharma.
NEW HARYANA: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of New Haryana
Overseas (NHO) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B/Stable (Issuer Not
Cooperating)
Export Packing
Credit 6 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with NHO for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 NHO, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on NHO
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
NHO continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
NHO was established in 1971 as a partnership firm by Mr. Navdeep
Khosla and Mr. Vikas Khosla. The firm mills basmati rice. It has an
installed paddy milling and sorting capacity of 12 tonne per hour
at Ambala, Haryana.
NEW WIN: CRISIL Keeps D Debt Ratings in Not Cooperating Category
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of New Win Win
Feeds Private Limited (NWW) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 0.29 CRISIL D (Issuer Not
Cooperating)
Cash Credit 4.05 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 2.93 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 0.73 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with NWW for
obtaining information through letters and emails dated January 22,
2022 and February 28, 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 NWW, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on NWW
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
NWW continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Incorporated in 2012, NWW manufactures poultry feed, and has
capacity of 3000 tonne per month. It also undertakes broiler
chicken farming on contract. Promoters Mr Amarnath Saha and Mr
Debnath Saha look after operations.
OM BESCO: CRISIL Keeps C Debt Rating in Not Cooperating Category
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of OM Besco Rail
Products Limited (OBRPL) continues to be 'CRISIL C Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 15 CRISIL C (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with OBRPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 OBRPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on OBRPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
OBRPL continue to be 'CRISIL C Issuer Not Cooperating'.
Incorporated in 2008 and promoted by the Kolkata-based O P Tantia
group, OBRPL manufactures alloy steel casting products (bogies,
couplers, draft gear, and CMC crossings) that are used to make
freight wagons. Plant in Mugma, Jharkhand, has installed capacity
of 16,100 tonne per annum.
OVEL LAMINATE: CRISIL Keeps B Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ovel Laminate
LLP (OLL) continue to be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2.5 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 6.35 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with OLL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 OLL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on OLL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
OLL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Established in April 2017, OLL, a partnership firm of Mr Amit
Ughreja, Mr Jayanti Ughreja, Mr Jasmin Patel and Mr Sandip Patel,
is engaged in the manufacture of laminate sheets.
PADMAVATI JEWELLERS: CRISIL Keeps B Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Padmavati
Jewellers Private Limited (PJPL) continue to be 'CRISIL B/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Cash 1.5 CRISIL B/Stable (Issuer Not
Credit Limit Cooperating)
CRISIL Ratings has been consistently following up with PJPL for
obtaining information through letters and emails dated January 22,
2022 and February 28, 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 PJPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on PJPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
PJPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Incorporated in April 2010, PJPL manufactures and trades in all
types of gold jewellery. The Mumbai-based company is promoted by
Mr. Kiran Ramani and Mrs. Rashila Ramani.
PATWARI PLASTICS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Patwari
Plastics Private Limited (PPPL) continue to be 'CRISIL B+/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B+/Stable (Issuer Not
Cooperating)
Long Term Loan 0.83 CRISIL B+/Stable (Issuer Not
Cooperating)
Long Term Loan 0.09 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Long Term 2.08 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with PPPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
PPPL was incorporated in 1995 as private limited company which
manufactures polypropylene/high-density polyethylene bags and
fabrics. The company is promoted by Mr Madan Lal Agarwal and is
located in Industrial Area, Shamshabad village, Hyderabad.
POABS ENTERPRISES: CRISIL Assigns B Rating to INR33.25cr Loans
--------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' ratings to the
long-term bank facilities of Poabs Enterprises Private Limited
(PEPL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 20 CRISIL B/Stable (Assigned)
Overdraft Facility 13.25 CRISIL B/Stable (Assigned)
The rating reflects PEPL's volatility in prices, and to seasonality
in production, of tea and modest scale of operation and weak
financial risk profile. These weaknesses are partially offset by
its extensive industry experience of the promoters and moderate
working capital cycle.
Analytical Approach
Unsecured loan of Rs.240 crores as on March 31, 2021, is treated as
Neither debt nor equity as it is expected to remain in business
over medium term.
Key Rating Drivers & Detailed Description
Weaknesses
* Volatility in prices, and to seasonality in production, of tea:
Operating margin has volatile in past due to fluctuations in raw
material and tea prices. This is compounded by sizeable inventory,
which exposes it to any adverse downward revision in tea prices.
* Modest scale of operation: PEPLs business profile is constrained
by its scale of operations in the intensely competitive Tea
industry. The tea processing industry is highly fragmented with
many unorganized players, owing to its low capital intensity. The
modest scale of operations constrains PE's pricing flexibility.
* Weak financial risk profile: Financial risk profile is weak due
to an eroded networth, primarily due to accumulated losses. Further
owing to losses at the operating level, the debt protection metrics
have been negative for the past 3 fiscals through March 2021. With
subdued operating performance expected over the medium term, the
financial risk profile is expected to remain weak.
Strengths
* Extensive industry experience of the promoters: The promoters
have an experience of over 40 years in tea & coffee industry. This
has given them an understanding of the dynamics of the market and
enabled them to establish relationships with suppliers and
customers.
* Moderate working capital cycle: Gross current assets were at
70-78 days over the three fiscals ended March 31, 2021. Its
moderate working capital management is reflected in its gross
current assets (GCA) of 70 days as on March 31, 2021, as against
over 160 days GCAs of some of its peers. It is required to extend
long credit period in line with the industry standards. As, the
customers are small and medium size player who require credit.
Furthermore, to meet its business requirement, it hold large work
in process & inventory.
Liquidity: Stretched
Bank limit utilization is high at around 90 percent for the past
twelve months ended November 2022. The company is expected to incur
cash losses over the medium term, on account of operating losses.
However, repayments are expected to be supported by funding support
in the form of unsecured loans from promoters and group company,
the balance of which stood at around Rs.240 crore as on March 31,
2021.
Outlook: Stable
CRISIL Ratings believe PEPL will continue to benefit from the
extensive experience of its promoter, and established relationships
with clients.
Rating Sensitivity Factors
Upward factor
* Sustained improvement in scale of operation by 30% and sustenance
of operating margin at over 5%, leading to higher cash accruals
* Improvement in financial risk profile
Downward factor
* Decline in profitability or revenue
* Substantial increase in its working capital requirements thus
weakening its liquidity & financial profile.
large debt-funded capital expenditure weakens capital structure
PEPL was established in 2008 by Mr. PA Jacob, is engaged in
cultivation of tea, coffee and other related commodities. PEPL is a
part of Poabs Group which has interests predominantly in
plantations of tea and coffee, quarrying and crushing, construction
engineering services and commodity trading.
R. C. GEMS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of R. C. Gems
(RCG) continue to be 'CRISIL B+/Stable/CRISIL A4 Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1 CRISIL B+/Stable (Issuer Not
Cooperating)
Post Shipment 15.5 CRISIL A4 (Issuer Not
Credit Cooperating)
Post Shipment 1 CRISIL A4 (Issuer Not
Credit Cooperating)
Proposed Long Term 0.5 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with RCG for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 RCG, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RCG
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
RCG continues to be 'CRISIL B+/Stable/CRISIL A4 Issuer Not
Cooperating'.
RCG, established as a proprietorship firm in 1985, was
reconstituted as a partnership firm in 2000. The firm cuts and
polishes diamonds. It has diamond processing facilities at Navsari
and Morbi in Gujarat. The firm has four partners: Mr Raghavjibhai
Gadara, Mr Chandubhai J Gadara, Mr Amitbhai R Gadara, and Ms
Prabhaben K Gadara.
RAMESH CHANDRA: CRISIL Lowers Rating on INR2.7cr Loan to B-
-----------------------------------------------------------
CRISIL Ratings has revised the rating on bank facilities of Ramesh
Chandra Rai - Jhansi (RCR) to 'CRISIL B-/Stable/CRISIL A4 Issuer
Not Cooperating' from 'CRISIL BB-/Stable/CRISIL A4+ Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 4 CRISIL A4 (ISSUER NOT
COOPERATING; Revised from
'CRISIL A4+ ISSUER NOT
COOPERATING')
Loan Against 2.7 CRISIL B-/Stable (ISSUER NOT
Property COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Secured Overdraft 0.2 CRISIL B-/Stable (ISSUER NOT
Facility COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with RCR for
obtaining information through letters and emails dated September
29, 2021, October 16, 2021 and March 08, 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 firm. 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 RCR, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RCR
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, CRISIL Ratings has revised the
rating on bank facilities of RCR to 'CRISIL B-/Stable/CRISIL A4
Issuer Not Cooperating' from 'CRISIL BB-/Stable/CRISIL A4+ Issuer
Not Cooperating'.
Set up 2009 as a proprietorship firm by Mr Ramesh Chandra Rai, RCR
retails Indian-made foreign liquor, beer, and country liquor across
five districts of Madhya Pradesh. Operations are managed by the
proprietor and his son, Mr Manish Rai.
RANGOLI BUILDCON: CRISIL Assigns B Rating to INR11.75cr Loan
------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' rating to the
long-term bank facilities of Rangoli Buildcon (RANBUI).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 11.75 CRISIL B/Stable (Assigned)
Term Loan 9.25 CRISIL B/Stable (Assigned)
Term Loan 9.90 CRISIL B/Stable (Assigned)
The rating reflects susceptibility to timely execution of projects
and flow of customer advances and exposure to cyclicality in the
real estate industry. These weaknesses are partially offset by the
extensive experience of the promoters in the real estate industry
and the established track record of the company.
Key Rating Drivers & Detailed Description
Weaknesses:
* Susceptibility to timely execution of projects, and flow of
customer advances: The entity is evaluating a new project and same
remains in nascent stage. Hence, the project remain exposed to
risks related to completion and demand risks. Delay in project
execution or bookings will impact the debt servicing ability of the
company as it is highly dependent on customer advances, which will
be a key monitorable.
* Exposure to cyclicality in the real estate industry: The real
estate sector in India is cyclical, and marked by volatile prices,
opaque transactions and intense competition. The risk is compounded
by aggressive completion timelines and shortage of manpower
(project engineers and skilled labor). Revenue and profitability
are susceptible to cyclicality in the sector, too. Hence,
saleability will remain susceptible to economic cycles.
Strength:
* Extensive experience of the promoters: The promoters have
experience of over a decade in the real estate industry; their
expertise, strong understanding of local market dynamics and track
record of completing projects should continue to support the
business. They have completed five projects, which include
residential and commercial projects, and have created a reputed
name for the RJD group in Ahmedabad. Their reputation in the region
assures adequate visibility for the projects.
Liquidity: Poor
Liquidity will remain constrained over the medium term driven by
nascent stage of construction, high reliance on customer advances
to fund construction and debt obligation. The promoters will likely
infuse funds in case of mismatch arising due to lower-than-expected
sales or delay in construction or cost overruns. Cash and cash
equivalent were modest at Rs.0.01 crore as on March 31, 2021.
Outlook Stable
CRISIL Ratings believes the RANBUI will continue to benefit from
the extensive experience of the promoters.
Rating Sensitivity factors
Upward factors
* Faster-than-expected completion of projects and higher bookings
leading to higher customer advances
* Improvement in cash buffer ratio to above 2 times, with higher
cash flow or reduced debt
Downward factors
* Drawdown of more-than-expected additional debt leading to a
decline in cash buffer ratio to less than 1. time
* Significant time or cost overruns in the projects
Set up in 2007 as a partnership concern, RANBUI trades in land in
Ahmedabad and Surat.
RELIANCE INFRATEL: Lenders Seek Implementation of Debt Resolution
-----------------------------------------------------------------
The Hindu BusinessLine reports that Chinese banks and other lenders
to Reliance Infratel (RITL) have written to the Finance Minister
Nirmala Sitharaman and Chairperson of the Insolvency and Bankruptcy
Board of India (IBBI) Navrang Saini seeking their intervention in
implementing the resolution plan of Reliance Projects & Property
Management Services (RPPMSL) RPPMSL, an affiliate of Reliance Jio.
The financial creditors of RITL - China Development Bank, Export
Import Bank of China, Subh Holdings Pte and SC Lowy Asset
Management - hold an aggregate financial debt of INR13,483 crore of
the total financial debt of INR41,055 crore, the Hindu discloses.
RPPMSL had won the mandate to buy RTIL's assets for INR4,400 crore
in December 2020.
"We wish to bring to your attention a deeply concerning roadblock
in the implementation of the resolution plan for RITL by the
successful resolution applicant - Reliance Projects & Property
Management Services (RPPMSL), a group company of Reliance Jio
Infocomm," the letter signed by Jiang Jingli, Vice-Governor of
China Development Bank, said.
The Hindu relates that the letter further seeks instituting
appropriate legislative amendments to the Insolvency and Bankruptcy
Code (IBC) providing for penalties on defaulting or non-compliant
successful resolution applicants. The plea is made in order to
disincentivise successful resolution applicants from withholding or
delaying the implementation of NCLT-approved resolution plans or
withdrawing or modifying resolution plans once submitted as part of
a corporate insolvency resolution process (CIRP).
In late 2019, RPPMSL submitted a resolution plan that included
payment of INR3,720 crore towards CIRP costs and payment to
stakeholders, the report recalls. This was duly approved by the
NCLT and by the RITL Committee of Creditors (CoC) led by the State
Bank of India. The following year, Indian banks – SBI, United
Bank of India and Indian Overseas Bank - tagged RITL as a fraud
account following a forensic audit.
"We understand that the RITL fraud classification was not uploaded
on the Central Repository of Information on Large Credit website
for 45 days until December 21, 2020, by which date the RPPMSL
Resolution Plan has already been approved by the NCLT," the letter,
as cited by the Hindu, further added.
The Hindu says RPPMSL has refused to go ahead with the resolution
plan in the absence of the forensic audit copy demanded by it. Last
year SBI is understood to have submitted to the NCLT that it will
withdraw the fraud tag against RITL once the RPPMSL resolution plan
has been implemented.
According to the report, the move to write a letter to the FM and
IBBI head follows a 'no developments or substantive hearings' on
this matter post June 2021, as alleged by the Chinese banks, even
as the CoC continues to incur losses.
"As a policy, bank does not comment upon matters relating to
individual account and its conduct," the report quotes a SBI
spokesperson as saying.
"RPPMSL enjoys the complete use of the towers of RITL at a
significantly discounted price. Given this usage, the RITL CoC
continues to incur losses for the maintenance of these towers at
INR30-40 crore per month," the letter further added.
About Reliance Infratel
Reliance Infratel Limited (RITL) builds, owns, and operates
telecommunication towers, optic fiber cable assets, and related
assets. Its customers use the space on its telecommunication towers
to install active communication related equipment and operate their
wireless communications networks. The company serves wireless and
other communications service providers and non-communications
customers under long-term contracts.
RITL, formerly Reliance Telecom Infrastructure Limited, is a part
of the RCom group. RCom (holding company for group telecom
operations) has ~ 95% stake in RITL through its wholly-owned
subsidiary - Reliance Communications Infrastructure Limited and
other trusts and holding companies.
Reliance Infratel Limited commenced insolvency resolution process
on May 15, 2019. Mr. Manish Dhirajlal Kaneria of RBSA Advisors was
appointed as interim resolution profession of the company.
RJD BUILDCON: CRISIL Assigns B Rating to INR20cr Term Loan
----------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' rating to the
long-term bank facilities of RJD Buildcon Ltd (RJBULI, part of RJD
Group).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 20 CRISIL B/Stable (Assigned)
The rating reflects susceptibility to timely execution of projects
and flow of customer advances and exposure to cyclicality in the
real estate industry. These weaknesses are partially offset by the
extensive experience of the promoters in the real estate industry.
Analytical Approach:
For arriving at the ratings, CRISIL Ratings had combined the
business and financial risk profiles of RJBULI, and RJD Enterprise
(RJDENT). That's because these entities, collectively referred to
as the Nerd group, have common promoters, are in the same line of
business, and have significant operational, managerial and
financial linkages.
Of the unsecured loan of INR48.8 crore as on March 31, 2021, from
the promoters and associated parties, INR44.89 crore has been
treated as neither debt nor equity as it will remain in the
business over the medium term; the balance has been treated as
debt.
Key Rating Drivers & Detailed Description
Weaknesses:
* Susceptibility to timely execution of projects, and flow of
customer advances: The group is developing two residential projects
and one commercial project in Ahmedabad, Gujarat. Around 30% of
construction has been completed in two projects while regulatory
approval is pending for the third project. Hence, the projects
remain exposed to risks related to completion and demand risks.
Delay in project execution or bookings will impact the debt
servicing ability of the company as it is highly dependent on
customer advances, which will be a key monitorable.
* Exposure to cyclicality in the real estate industry: The real
estate sector in India is cyclical, and marked by volatile prices,
opaque transactions and intense competition. The risk is compounded
by aggressive completion timelines and shortage of manpower
(project engineers and skilled labour). Revenue and profitability
are susceptible to cyclicality in the sector, too. Hence,
saleability will remain susceptible to economic cycles.
Strength:
* Extensive experience of the promoters: The promoters have
experience of over a decade in the real estate industry; their
expertise, strong understanding of local market dynamics and track
record of completing projects should continue to support the
business. They have completed five projects, which include
residential and commercial projects, and have created a reputed
name for the RJD group in Ahmedabad. Their reputation in the region
assures adequate visibility for the projects.
Liquidity: Poor
Liquidity will remain constrained over the medium term driven by
nascent stage of construction, high reliance on customer advances
to fund construction and debt obligation. The promoters will likely
infuse funds in case of mismatch arising due to lower-than-expected
sales or delay in construction or cost overruns. Cash and cash
equivalent stood at INR4.3 crore as on March 31, 2021.
Outlook Stable
CRISIL Ratings believes the RJD group will continue to benefit from
the extensive experience of the promoters.
Rating Sensitivity factors
Upward factors
* Faster-than-expected completion of projects and higher bookings
leading to higher customer advances
* Improvement in cash buffer ratio to above 2 times, with higher
cash flow or reduced debt
Downward factors
* Drawdown of more-than-expected additional debt leading to a
decline in cash buffer ratio to less than 1. time
* Significant time or cost overruns in the projects
Incorporated in 2007, RJBULI is engaged in development of
residential and commercial spaces.
Set up in 2007 as a partnership concern, RJDENT trades in land in
Ahmedabad and Surat.
The group is undertaking 3 projects in Ahmedabad, and is promoted
by Mr. Rameshbhai Desai, Mr Rajeshbhai Desai and Mr Rajnibhai
Desai.
RJD ENTERPRISE: CRISIL Assigns B Rating to INR10.9cr Term Loan
--------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B/Stable' rating to the
long-term bank facilities of RJD Enterprise (RJDENT).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 10.9 CRISIL B/Stable (Assigned)
The rating reflects susceptibility to timely execution of projects
and flow of customer advances and exposure to cyclicality in the
real estate industry. These weaknesses are partially offset by the
extensive experience of the promoters in the real estate industry
and the established track record of the company.
Analytical Approach:
For arriving at the ratings, CRISIL Ratings had combined the
business and financial risk profiles of RJBULI, and RJD Enterprise
(RJDENT). That's because these entities, collectively referred to
as the Nerd group, have common promoters, are in the same line of
business, and have significant operational, managerial and
financial linkages.
Of the unsecured loan of INR48.8 crore as on March 31, 2021, from
the promoters and associated parties, INR44.89 crore has been
treated as neither debt nor equity as it will remain in the
business over the medium term; the balance has been treated as
debt.
Key Rating Drivers & Detailed Description
Weaknesses:
* Susceptibility to timely execution of projects, and flow of
customer advances: The group is developing two residential projects
and one commercial project in Ahmedabad, Gujarat. Around 30% of
construction has been completed in two projects while regulatory
approval is pending for the third project. Hence, the projects
remain exposed to risks related to completion and demand risks.
Delay in project execution or bookings will impact the debt
servicing ability of the company as it is highly dependent on
customer advances, which will be a key monitorable.
* Exposure to cyclicality in the real estate industry: The real
estate sector in India is cyclical, and marked by volatile prices,
opaque transactions and intense competition. The risk is compounded
by aggressive completion timelines and shortage of manpower
(project engineers and skilled labour). Revenue and profitability
are susceptible to cyclicality in the sector, too. Hence,
saleability will remain susceptible to economic cycles.
Strength:
* Extensive experience of the promoters: The promoters have
experience of over a decade in the real estate industry; their
expertise, strong understanding of local market dynamics and track
record of completing projects should continue to support the
business. They have completed five projects, which include
residential and commercial projects, and have created a reputed
name for the RJD group in Ahmedabad. Their reputation in the region
assures adequate visibility for the projects.
Liquidity: Poor
Liquidity will remain constrained over the medium term driven by
nascent stage of construction, high reliance on customer advances
to fund construction and debt obligation. The promoters will likely
infuse funds in case of mismatch arising due to lower-than-expected
sales or delay in construction or cost overruns. Cash and cash
equivalent stood at INR4.3 crore as on March 31, 2021.
Outlook Stable
CRISIL Ratings believes the RJD group will continue to benefit from
the extensive experience of the promoters.
Rating Sensitivity factors
Upward factors
* Faster-than-expected completion of projects and higher bookings
leading to higher customer advances
* Improvement in cash buffer ratio to above 2 times, with higher
cash flow or reduced debt
Downward factors
* Drawdown of more-than-expected additional debt leading to a
decline in cash buffer ratio to less than 1. time
* Significant time or cost overruns in the projects
Incorporated in 2007, RJBULI is engaged in development of
residential and commercial spaces.
Set up in 2007 as a partnership concern, RJDENT trades in land in
Ahmedabad and Surat.
The group is undertaking 3 projects in Ahmedabad, and is promoted
by Mr. Rameshbhai Desai, Mr Rajeshbhai Desai and Mr Rajnibhai
Desai.
RR METALMAKERS: CRISIL Reaffirms B Rating on INR6.5cr Cash Loan
---------------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL B/Stable/CRISIL A4'
ratings on the bank facilities of RR Metalmakers India Limited
(RRMIL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6.5 CRISIL B/Stable (Reaffirmed)
Inland/Import
Letter of Credit 18.5 CRISIL A4 (Reaffirmed)
The ratings continue to reflect the company's modest scale in the
intensely competitive steel trading industry and volatile operating
margins and below-average financial risk profile. These weaknesses
are partially offset by the extensive experience of the promoters
in the steel trading business.
Analytical Approach
For arriving at its ratings, CRISIL Ratings has consolidated the
business and financial risk profiles of RRMIL and its subsidiary RR
Life Care Pvt Ltd which is strategically important to and have a
significant degree of financial integration with RRMIL.
Key Rating Drivers & Detailed Description
Weaknesses:
* Intensely competitive steel trading industry and volatile
operating margins: Intense competition from a large number of
players in the steel trading business limits the bargaining power
of RRML, leading to modest scale of operations and leading to
volatile operating margins as highlighted with expected revenues
of Rs.120-130 crores in fiscal 2022 and between (1%)-5% over the
last 3 fiscal years.
* Below-average financial risk profile: Networth is expected to be
modest at INR6-7 crore as of March 31, 2022. which will continue to
keep capital structure aggressive, as reflected in total outside
liabilities to adjusted networth (TOLANW) ratio of 6-7 times as on
March 31, 2022, because of high reliance on short-term borrowings.
Debt protection metrics will remain below average on account of
modest operating margin, indicated by expected interest coverage
ratio of 1-1.10 times in fiscal 2022.
Strength
* Extensive experience of the promoters: The promoter's experience
of over a two-decade, his strong understanding of local market
dynamics, and healthy relationships with suppliers and customers
should continue to support the business
Liquidity: Poor
Cash accrual, expected at INR2-2.5 crore per fiscal, is expected to
be tightly matched with debt obligation of INR1.02 crore and
INR2.05 crore in fiscals 2023 and 2024, respectively. Bank limit
utilisation averaged 89% over the 12 months through December 2021.
Cash and Cash equivalents were moderate at Rs.3.88 crores as on
September 30, 2021.
Outlook: Stable
CRISIL Ratings believes will continue to benefit from its the
experience of the management in mitigating risks inherent in the
trading business.
Rating Sensitivity Factors
Upward Factors
* Increase in revenue and stability of the operating margin leading
to higher cash accrual
* Increase in networth reducing TOLANW to less than 4 times
Downward Factors
* Stretch in the working capital cycle weakening the financial risk
profile
* Decline in revenue or operating margin leading to fall in net
cash accrual to below INR2 crore over the medium term
RRMIL (earlier Shree Surgovind Tradelink Ltd) was incorporated in
1985 in Ahmedabad and was acquired by Mr Virat Shah and family in
2015. The company trades in steel and iron ore and manufactures
steel pipes. The company will be incurring a capital expenditure
for enhancement in steel manufacturing unit over the medium term.
RR Lifecare Private Limited India Limited is involved in
manufacturing of injections through job work.
SAIPOOJA AGROTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Saipooja
Agrotech Cold Storage (SACS) continue to be 'CRISIL B/Stable Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Pledge Loan 4.5 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 5.19 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 2.81 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SACS for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 SACS, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SACS
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SACS continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
SACS was established in 2009 as a partnership firm. It trades in
raisins and operates a cold storage unit (primarily for raisins) in
Nashik district of Maharashtra. The firm is owned and managed by Mr
Rajendra Kumbhar and his family members.
SANGINI COMMERCE: CRISIL Keeps B- Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sangini
Commerce Private Limited (SCPL) continue to be 'CRISIL B-/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 35 CRISIL B-/Stable (Issuer Not
Cooperating)
Term Loan 15 CRISIL B-/Stable (Issuer Not
Cooperating)
Working Capital 3 CRISIL B-/Stable (Issuer Not
Demand Loan Cooperating)
Working Capital 2 CRISIL B-/Stable (Issuer Not
Demand Loan Cooperating)
CRISIL Ratings has been consistently following up with SCPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 SCPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SCPL continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
SCPL was incorporated in March 2007 by Mr. Pun Pun Agrawal and Mr.
Pawan Agrawal to undertake trading operations. In September 2009,
SCPL was acquired by Ms. Rani Maurya and Mr. Madhukar Maurya to
enter the hotel business. The company is constructing a 150-room
premium (five-star category) hotel at Sarnath in Varanasi (Uttar
Pradesh), and recently entered into an agreement with the Hyatt
group for management of the hotel.
SHAHJAHANPUR EDIBLES: CRISIL Keeps D Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shahjahanpur
Edibles Private Limited (SEPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3 CRISIL D (Issuer Not Cooperating)
Term Loan 7 CRISIL D (Issuer Not Cooperating)
CRISIL Ratings has been consistently following up with SEPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 SEPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SEPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SEPL continues to be 'CRISIL D Issuer Not Cooperating'.
Shahjahanpur Edibles Pvt. Ltd (SEPL) was set up in 2014 and is
currently promoted by Mr. Shivkumar Agarwal and his family. The
company is engaged in manufacturing of Liquid Glucose, Malto
Dextrin Powder and Gluten in Shahjahanpur, Uttar Pradesh. Its
promoters have two decades of experience in trading of food grains
and gunny bags.
SHANMUKHA COTTON: CRISIL Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shanmukha
Cotton Products (SCP) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Cash
Credit Limit 1.25 CRISIL B/Stable (Issuer Not
Cooperating)
SME Credit 0.25 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SCP for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 SCP, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCP
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SCP continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Established in 2000, SCP is engaged in ginning and pressing of raw
cotton into cotton bales. The firm is based out of Guntur in Andhra
Pradesh and promoted by Mrs. Mannava Padma and her family. The day
to day operations of the firm are managed by Mr. Raja Rao.
SHIVAM MASALA: CRISIL Keeps B- Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shivam Masala
Private Limited (SMPL) continue to be 'CRISIL B-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 9.75 CRISIL B-/Stable (Issuer Not
Cooperating)
Cash Credit 0.25 CRISIL B-/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SMPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
SMPL, incorporated in 1999 and promoted by Mr. Venugopal Khanna and
his family members, processes and distributes spices and pickles
under its registered brand, Paras.
SHREEJEE JEWELLERS: CRISIL Keeps B+ Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Shreejee
Jewellers Private Limited (SJPL) continues to be 'CRISIL B+/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 11.5 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SJPL for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 SJPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SJPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SJPL continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
SJPL, incorporated in 1998 in Kolkata, is promoted by brothers Mr.
Sunil Poddar, Mr. Sushil Poddar, and Mr. Sanjeev Poddar. The
company manufactures diamond-studded jewellery, and specializes in
hand-made jewellery. It derives most of its revenue from the
wholesale segment, and is present in the retail segment through its
showroom in Kolkata.
SHYAM CORPORATION: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shyam
Corporation Private Limited (SCPL) continue to be 'CRISIL B/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6.5 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 2.4 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 5.95 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 10.15 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SCPL for
obtaining information through letters and emails dated January 22,
2022 and February 28, 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 SCPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SCPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
SCPL is an Ahmedabad-based textile processing house, engaged in the
business of dyeing and printing of different types of fabrics
(primary cotton). The company's revenues are equally distributed
between job work and own account sales. SCPL was earlier a
partnership firm- Shyam Textile Mills and was reconstituted as a
private limited company effective July 2010.
SIMHAPURI TRANSPORT: CRISIL Keeps B+ Rating in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Simhapuri
Transport (ST) continues to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ST for
obtaining information through letters and emails dated January 22,
2022 and February 28, 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 ST, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ST is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of ST
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
ST, established as a partnership firm Visakhapatnam based Mr.
V.Madhava Rao, is a third-party logistics and road transportation
services provider. The proprietor has experience of two decades in
the transport business.
SKS INDIA: CRISIL Keeps B Debt Rating in Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of SKS India
Private Limited (SKS) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Secured Overdraft 20 CRISIL B/Stable (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with SKS for
obtaining information through letters and emails dated January 31,
2022 and February 28, 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 SKS, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SKS
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SKS continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Established in 1985, in Salem, SKS has dealership of Mahindra and
Mahindra's automobiles. It also operates a multi-speciality
hospital in Salem, Tamil Nadu.
U.K. TEXTILES: CRISIL Hikes Rating on INR39cr Loans to B+
---------------------------------------------------------
CRISIL Ratings has upgraded its long term ratings on the bank
facilities of U.K. Textiles (UKT) to 'CRISIL B+/Stable' from
'CRISIL B/Stable'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bill Discounting 10 CRISIL B+/Stable (Upgraded
from 'CRISIL B/Stable')
Packing Credit 12 CRISIL B+/Stable (Upgraded
from 'CRISIL B/Stable')
Proposed Working 17 CRISIL B+/Stable (Upgraded
Capital Facility from 'CRISIL B/Stable')
The rating upgrade reflects improved liquidity backed by moderate
month end bank limit utilization of around 81% during the last 12
months ended December 2021. Need based unsecured loans of Rs.4.49
crore further supports liquidity. The same has happened while
revenue increased from Rs.33.1 crore in FY20 to Rs.45.8 crore in
FY21. Margin remained moderate at 6.4% in FY21.
The rating continues to reflect UKT's modest financial risk profile
and large working capital requirements. These rating weaknesses are
partially offset by the extensive experience of the promoter in the
ready-made garments (RMG) segment.
Key Rating Drivers & Detailed Description
Weaknesses:
* Modest financial risk profile: Modest net worth of Rs.6.6 crore
along with high bank funded working capital debt has resulted in
continuation of gearing at more than 4 times in fiscal 2021.
However, with expectation of healthy accretion to reserves and in
the absence of any major debt funded capex plans, capital structure
is expected to improve over the medium term.
* Large working capital requirements: UKT's operations are working
capital intensive, as reflected in its high GCA days, at 342 as on
March 31, 2021. This is primarily on account of its large inventory
holding requirements of around 126 days on account of its long
working capital cycle. However, the same is partially supported by
credit period received from the suppliers.
Strength:
* Extensive experience of the promoter in the RMG segment: UKT
benefits from the extensive industry experience and domain
expertise of its promoter in the textile segment. The promoter Mr.
Unni Krishnan Menon , who has been in the RMG segment for over four
decades, set up UKT in 1983 to cater to the export markets. Strong
market presence over the years has led to development of healthy
trade relations with both export as well as domestic customers,
reflected in steady revenue growth rate. Promoter's comprehensive
market understanding is expected to continue supporting business
risk profile over the medium term.
Liquidity: Stretched
Average month end bank limit utilization for the last 12 months
ended on December 2021 is moderate at around 81%. Expected net cash
accruals of around Rs.1.8 crore along with cash balance is
sufficient against repayment obligations of around Rs.1.7 crore.
Need based unsecured loan from related parties and moderate cash
balance further supports liquidity.
Outlook: Stable
CRISIL Ratings believes that UKT will continue to benefit over the
medium term from its established relationship with key customers.
Rating Sensitivity factors
Upward Factors:
* Strong revenue growth and EBITDA margin leading to net cash
accruals of more than Rs.2 crore
* Efficient working capital management and maintenance of moderate
capital structure
Downward Factors:
* Major decline in revenues or operating margin falling below 5%
* Stretch in working capital cycle or significant debt funded
capex
UKT, set up as a proprietorship firm in 1983, manufactures knitted
RMG, primarily for women. Its day-to-day operations are managed by
Mr. Unni Krishnan Menon.
VRAJPACK INDUSTRIES: CRISIL Keeps B Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Vrajpack
Industries (VPI) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.95 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 4.05 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with VPI for
obtaining information through letters and emails dated January 22,
2022 and February 7, 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 VPI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on VPI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
VPI continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
VPI, set up in 2015, is a partnership firm promoted by Mr Jatin
Dharsandiya, his family members, and others. The firm is engaged in
manufacturing of corrugated boxes in Morbi, Gujarat.
===============
M A L A Y S I A
===============
1MDB: Jho Low Stole US$1.42BB From Goldman Deals, FBI Agent Says
----------------------------------------------------------------
Patricia Hurtado at Bloomberg News reports that fugitive financier
Jho Low, the alleged mastermind of the 1MDB scandal, stole US$1.42
billion from three bond transactions that Goldman Sachs Group Inc.
arranged for the Malaysian wealth fund, an FBI agent who traced the
funds testified.
According to Bloomberg, Federal Bureau of Investigation agent Eric
Van Dorn took the stand on March 14 at the trial of ex-Goldman
banker Roger Ng in federal court in Brooklyn, New York. In addition
to his testimony about Low, he told the jury that former Malaysian
Prime Minister Najib Razak reaped US$756 million of the US$6.5
billion raised in the bond offerings, while his stepson, Riza Aziz,
pocketed US$238 million.
Ng, the only Goldman banker to go on trial over the epic looting of
sovereign wealth fund 1Malaysia Development Bhd, was charged with
conspiring with Low and his former boss Tim Leissner in the massive
fraud, Bloomberg notes. Leissner, who pleaded guilty and is
cooperating with the government, spent more than a week on the
stand as the star prosecution witness against Ng. Low is not in
custody and remains a fugitive.
Bloomberg says prosecutors have long alleged that Low paid bribes
to officials in Malaysia and Abu Dhabi to facilitate the deals, but
Van Dorn's testimony was the first time the U.S. has detailed how
those involved in the 1MDB deals were paid and how much they
received.
Van Dorn, who is a forensic accountant for the FBI, said he
reviewed 59,000 bank records to determine where the money from the
three 1MDB deals went, Bloomberg relays. He said Khadem al-Qubaisi,
a former managing director of Abu Dhabi's state-owned International
Petroleum Investment Co., which guaranteed the 1MDB transactions,
received US$472.8 million. He also described another Abu Dhabi
official who worked with the IPIC's subsidiary and received US$76.6
million.
He said Aziz invested at least US$60 million of his 1MDB money to
produce "The Wolf of Wall Street." Aziz was a friend of Low's, the
prosecutors said.
Aziz twice before settled Justice Department lawsuits over his role
in the 1MDB scandal, Bloomberg notes. In 2017, his Red Granite Inc.
production company agreed to pay US$60 million to settle U.S.
claims that "Wolf" was financed with stolen 1MDB money. In 2020, he
resolved a separate government suit by agreeing to drop claims to
tens of millions of dollar in U.S. and U.K. real estate without
admitting wrongdoing.
Ng got US$35.1 million from two of the three bond transactions,
while Leissner received US$73.4 million during the scheme, Van Dorn
testified, Bloomberg adds.
At the time of his 2018 plea, Leissner agreed to forfeit just
US$43.7 million which the U.S. said was the money he earned in the
scheme. It's unclear why Leissner is forfeiting a lesser amount.
Ng's defense team, which has been trying to suggest that Leissner
is getting a favorable deal, tried to ask Van Dorn about the former
banker's forfeiture, but the judge barred questions about it,
according to Bloomberg.
One of Ng's lawyers, Jacob Kaplan, questioned Van Dorn about how
Leissner collected an additional US$39.7 million which went from
Low's accounts into an entity under the control of Leissner's
ex-wife Judy Chan Leissner, suggesting that the government had also
given Leissner a break on these funds.
Bloomberg relates that Van Dorn said it was because his chart was
based on certain transactions which occurred during the time frame
of the three 1MDB bond transactions and that he'd only included
money directly traceable back to Goldman Sachs's funding of the
three deals.
Najib was convicted in Malaysia and sentenced to 12 years in prison
and is appealing.
"The money sources, amounts and recipients have been explained
differently in Malaysian court," Bloomberg quotes a spokesperson
for Najib's attorney as saying in an email.
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
US$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 US$2.5 billion paid by Goldman Sachs as
settlement; as well as US$780 million in settlement amounts from
Malaysian banking group AmBank and audit firm Deloitte.
=====================
N E W Z E A L A N D
=====================
116 CALLISTO: Court to Hear Wind-Up Petition on March 25
--------------------------------------------------------
A petition to wind up the operations of 116 Callisto Limited will
be heard before the High Court at Auckland on March 25, 2022, at
10:00 a.m.
Nicole Stephanie Tololi filed the petition against the company on
Nov. 22, 2021.
The Petitioner's solicitor is:
Raymond S Walker
Level 8, 43 High Street
Auckland 1140
FARM COVE: Court to Hear Wind-Up Petition on April 29
-----------------------------------------------------
A petition to wind up the operations of Farm Cove Butchery Limited
will be heard before the High Court at Auckland on April 29, 2022,
at 10:00 a.m.
E J Trade Limited filed the petition against the company on Jan.
14, 2022.
The Petitioner's solicitor is:
Wayne Revell
Revell Law
7a Princes Street
Hamilton Central, Hamilton
GLANCE (NZ): Creditors' Proofs of Debt Due on April 22
------------------------------------------------------
Creditors of Glance (NZ) Limited, which is in voluntary
liquidation, are required to file their proofs of debt by April 22,
2022, to be included in the company's dividend distribution.
The company commenced wind-up proceedings on March 10, 2022.
The company's liquidator is:
Craig Andrew Young
PO Box 87340, Auckland
SERVICEIQ INTERNATIONAL: Creditors' Proofs of Debt Due on April 15
------------------------------------------------------------------
Creditors of Serviceiq International Limited, which is in voluntary
liquidation, are required to file their proofs of debt by April 15,
2022, to be included in the company's dividend distribution.
The company commenced wind-up proceedings on March 10, 2022.
The company's liquidators are:
Iain Bruce Shephard
Jessica Jane Kellow
BDO Wellington
Level 1, 50 Customhouse Quay
Wellington 6011
SHARAN CIVIL: Court to Hear Wind-Up Petition on May 27
------------------------------------------------------
A petition to wind up the operations of Sharan Civil and
Maintenance Limited will be heard before the High Court at Auckland
on May 27, 2022, at 10:00 a.m.
Fill Limited filed the petition against the company on Feb. 4,
2022.
The Petitioner's solicitor is:
Prudence Mary Miller
Tom Evatt & Co Limited
Level 1, 151 High Street
Christchurch Central
Christchurch 8011
=================
S I N G A P O R E
=================
ALPHA DX: Raises Going Concern Uncertainty
------------------------------------------
The Business Times reports that Alpha DX Group flagged uncertainty
over its ability to continue as a going concern, in its response to
queries from the Singapore Exchange (SGX) on March 15.
BT relates that the company noted that since its previous
going-concern assessment on March 2, it has received a letter of
statutory demand, and negotiations with its creditors have either
deteriorated or not yielded desired outcomes.
Alpha DX had on March 4 said it received a letter of statutory
demand from Kydon Holdings over the payment of a sum of SGD1.9
million, relating to the remaining consideration and interest
charges for the acquisition of Kydon Learning Systems Institute -
now known as Zionext, according to BT.
It also made an application to Singapore's High Court for the grant
of a moratorium under Section 64 of the Insolvency Restructuring
and Dissolution Act, as a short-term measure in order to allow the
company time to resolve its cash flow issues, the company said.
Its board of directors expects the company will not be able to
continue operating on a going-concern basis unless the group
receives a fresh injection of funds, BT relays.
According to BT, the company noted that its cash and cash
equivalents of SGD3.4 million, while able to partially satisfy its
short-term liabilities, is not sufficient to cover all its
short-term liabilities of SGD7.3 million.
By Dec. 31, 2022, while the company may be able to obtain an
additional SGD5.3 million to SGD5.5 million in cash inflows if it
can restructure its short-term liabilities into periodic payments,
the group also expects it will incur around SGD9.2 million in net
cash outflows.
As for its in-principle agreement to convert liabilities of SGD1.1
million into shares, the company is renegotiating settlement terms
with the creditor, after the trading of the company's shares were
suspended, the report notes.
BT relates that Alpha DX had on March 11 requested for a trading
suspension, until there is "clarity on the affairs in the company",
including its ability to operate as a going concern.
The company noted that it is discussing with potential investors
and with controlling shareholder Didi Investments for a further
injection of funds to resolve its current cash flow issues,
although the negotiations "are not conclusive at this juncture," BT
relays.
Alpha DX had previously received a notice of compliance from SGX
RegCo after 4 of its directors quit over the span of 2 weeks.
Earlier, the company had also received a termination notice and a
writ of summons from its sponsor PrimePartners Corporate Finance
over unpaid sums and late interest charges.
Alpha DX last traded at SGD0.112 before a trading halt was called
on March 7, BT notes.
Singapore-based Alpha DX Group Ltd operates as a holding company.
The Company, through its subsidiaries, engages in providing digital
transformation services in the learning and educational sectors.
Alpha DX Group serves clients worldwide.
NO SIGNBOARD: Puts Beer Unit Into Creditors' Voluntary Liquidation
------------------------------------------------------------------
The Business Times reports that Catalist-listed No Signboard
Holdings said on March 14 that it will be placing its indirect
wholly-owned subsidiary, Danish Breweries, into creditors'
voluntary liquidation (CVL).
In a bourse filing, the restaurant operator said the subsidiary
cannot continue its business by reason of its liabilities, BT
relays. It said: "The group has decided to proceed with the CVL of
the subsidiary due to its cash flow problems and its inability to
pay its debts as they fall due."
Danish Breweries was acquired by the group in June 2017 and is
engaged in the business of the import, export and general wholesale
trading of beer and liquor, BT notes.
As the subsidiary is loss making, the voluntary liquidation is
expected to "contribute positively" to the net tangible assets and
earnings per share of the group for the current financial year
ending Sept. 2022, No Signboard said.
No Signboard shares last traded at SGD0.031 in January, before a
voluntary trading suspension was requested, as the company was not
able to demonstrate that it is able to continue as a going concern,
according to BT.
About No Signboard
No Signboard Holdings Ltd., an investment holding company, manages
and operates food and beverage outlets in Singapore. The company
operates a chain of seafood restaurants under the No Signboard
Seafood brand that serve various seafood cuisine prepared in
Chinese and Singapore styles. It owns and operates three
restaurants, as well as operates one restaurant under a franchise
agreement. The company also produces, promotes, and distributes
beer under the Draft Denmark brand; and distributes various third
party brands of beer, as well as operates as an OEM beer supplier
for third party brands. In addition, it produces and distributes
ready meals through a network of vending machines. Further, the
company engages in leasing financial intangible assets, such as
patents, trademarks, brand names, etc.
No Signboard has reported a net loss of SGD6.4 million for the year
ended Sept. 30, 2021, narrowing from SGD9.8 million in 2020. The
company reported a net loss of SGD4.9 million for the year ended
Sept. 30, 2019.
*********
S U B S C R I P T I O N I N F O R M A T I O N
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Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
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