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T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Friday, March 25, 2022, Vol. 25, No. 55
Headlines
A U S T R A L I A
AGRISAVE TECHNOLOGY: First Creditors' Meeting Set for March 30
CARR CIVIL: Second Creditors' Meeting Set for March 30
DELLERMAY PTY: Second Creditors' Meeting Set for March 31
FIRSTMAC MORTGAGE 2022-2PP: S&P Assigns BB Rating on E Notes
NICKEL MINES: Moody's Alters Outlook on 'B1' CFR to Negative
PACIFIC STEEL: Second Creditors' Meeting Set for April 1
PETCH PROJECTS: First Creditors' Meeting Set for April 4
PRIVIUM GROUP: Invested in Cryptocurrency Before Collapse
PROBUILD: Administrator Recommends SRG Global's Proposed DOCA
REDS MHP 2022-1: S&P Assigns BB Rating on Class F Notes
REDZED TRUST 2022-1: Moody's Assigns B2 Rating to AUD2MM F Notes
C H I N A
BAONENG GROUP: Denies Unknown Whereabouts of Chairman
RONSHINE CHINA: Fitch Lowers Foreign Currency IDR to 'CCC'
RONSHINE CHINA: Moody's Cuts CFR to Caa1, Outlook Remains Negative
SUNAC CHINA: Moody's Lowers CFR to Caa1, Outlook Remains Negative
SUNAC CHINA: S&P Withdraws 'B-' LongTerm Issuer Credit Rating
SUNAC CHINA: Seeks Two-Year Extension on US$627.85-Million Bond
TAHOE GROUP: Executives Brought in by Authorities for Questioning
I N D I A
AGRAWAL IRON: CRISIL Keeps D Debt Ratings in Not Cooperating
ASSOCIATED ENGINEERING: Ind-Ra Moves B+ Rating to Non-Cooperating
B.P. CONSTRUCTION: Ind-Ra Moves D Issuer Rating to Non-Cooperating
BLUE MOUNTAIN: CRISIL Moves B Debt Rating to Not Cooperating
BR OIL: Ind-Ra Keeps BB+ Long-Term Issuer Rating in Non-Cooperating
CHANDRA HASNI: Ind-Ra Keeps 'B+' Issuer Rating in Non-Cooperating
DEEPAK FASTENERS: CRISIL Assigns D Rating to INR390cr NCD
DOABA KHALSA: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating
FERNANDES BROTHERS: Ind-Ra Moves 'B+' Rating to Non-Cooperating
GAURINATH AGRO: CRISIL Lowers Rating on INR20cr Loans to B
GRACE INTERNATIONAL: CRISIL Keeps D Rating in Not Cooperating
GUJARAT CONSTRUCTION: Ind-Ra Cuts Long-Term Issuer Rating to 'D'
HEAVY ENGINEERING: Ind-Ra Affirms 'B-' Long-Term Issuer Rating
HEBBAL PROPERTIES: Ind-Ra Gives 'B' Rating to Non-Convertible Debt
HINDUSTAN CLEANENERGY: Ind-Ra Lowers LT Issuer Rating to 'D'
INDUSTRIAL YARNS: Voluntary Liquidation Process Case Summary
JANPATH RESTAURANTS: Voluntary Liquidation Process Case Summary
KEYSTONES INFRA-CON: CRISIL Keeps B Rating in Not Cooperating
KKN HOLDINGS PRIVATE: Insolvency Resolution Process Case Summary
KRISHNA ALEX: Insolvency Resolution Process Case Summary
KRISHNA UDYOG: CRISIL Keeps B Debt Ratings in Not Cooperating
KRISHNAGIRI CASHEW: CRISIL Keeps B+ Ratings in Not Cooperating
KUNAL COTTON: CRISIL Keeps B- Debt Ratings in Not Cooperating
LAJ EXPORTS LIMITED: Insolvency Resolution Process Case Summary
LAKSHMI SRINIVASA: Insolvency Resolution Process Case Summary
LEELAP CLOTHING: CRISIL Keeps D Debt Ratings in Not Cooperating
LHASA HOTEL: CRISIL Moves D Debt Rating to Not Cooperating
MAHAVISHNU CASHEW: CRISIL Moves B+ Debt Rating to Not Cooperating
MARUDHAR SUPER: CRISIL Moves B Debt Ratings to Not Cooperating
MCDOWELL HOLDINGS: Shareholders Call for EGM to Avoid Liquidation
MEGHA PLAST: CRISIL Keeps D Debt Ratings in Not Cooperating
NAVEEN POULTRY: CRISIL Keeps D Debt Ratings in Not Cooperating
OPTION OXIDES: CRISIL Keeps D Debt Ratings in Not Cooperating
ORACLE HOME: CRISIL Keeps D Debt Ratings in Not Cooperating
PLUTUS INFRAVENTURES: Insolvency Resolution Process Case Summary
PRODEB BREWERY: Insolvency Resolution Process Case Summary
RANJU AUTOMOBILES: CRISIL Keeps D Debt Rating in Not Cooperating
S. GANESH: CRISIL Keeps D Debt Ratings in Not Cooperating
SKM REAL INFRA: Insolvency Resolution Process Case Summary
SS EXPOTRADERS PRIVATE: Voluntary Liquidation Process Case Summary
STCI COMMODITIES LIMITED: Voluntary Liquidation Case Summary
SUMIT WOOL: CRISIL Keeps D Debt Ratings in Not Cooperating
SUNHILL HOMES: CRISIL Keeps B Debt Ratings in Not Cooperating
SUPREME COATED: CRISIL Keeps D Debt Rating in Not Cooperating
SURYA LAXMI: CRISIL Keeps B+ Debt Ratings in Not Cooperating
SURYA TEXTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
SUSHITEX INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
SWASTIK OIL: Insolvency Resolution Process Case Summary
UDYOG MANDIR: CRISIL Keeps B+ Debt Ratings in Not Cooperating
UNIPLY DECOR: Insolvency Resolution Process Case Summary
UNISHIRE URBANSCAP: CRISIL Keeps D Debt Rating in Not Cooperating
UNITED MANUFACTURING: CRISIL Keeps B+ Ratings in Not Cooperating
VENKATESWARA RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
VISION MINERALS: CRISIL Keeps D Debt Ratings in Not Cooperating
WORLDS WINDOW: Insolvency Resolution Process Case Summary
J A P A N
TOSHIBA CORP: Shareholders Vote Down Restructuring Plan
M A L A Y S I A
SUMATEC RESOURCES: Delisted From Bursa Malaysia's Main Market
N E W Z E A L A N D
MEDIASPHERE NEW ZEALAND: Creditors' Proofs of Debt Due on April 27
MY TRUSTEE: Court to Hear Wind-Up Petition on April 1
NKA SERVICES: Court to Hear Wind-Up Petition on April 1
PROLOGIS CORP: Court to Hear Wind-Up Petition on April 1
ROYALE BIOTECH: Court to Hear Wind-Up Petition on April 1
S I N G A P O R E
ACTIVE BUILDING: Deloitte Appointed as Provisional Liquidators
BEAR DEVELOPMENT: Court to Hear Wind-Up Petition on April 1
CHINA PETROLEUM: Court Enters Wind-Up Order
MITSUBISHI CHEMICAL: Creditors' Proofs of Debt Due April 22
MULHACEN PTE: S&P Raises ICR to 'CCC+/C' on Bond Restructuring
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A U S T R A L I A
=================
AGRISAVE TECHNOLOGY: First Creditors' Meeting Set for March 30
--------------------------------------------------------------
A first meeting of the creditors in the proceedings of Agrisave
Technology Pty Ltd will be held on March 30, 2022, at 2:00 p.m. at
the offices of Quigley & Co, Level 5, 231 Adelaide Terrace, in
Perth, WA.
Peter Reymond Quigley of Quigley & Co was appointed as
administrator of Agrisave Technology on March 18, 2022.
CARR CIVIL: Second Creditors' Meeting Set for March 30
------------------------------------------------------
A second meeting of creditors in the proceedings of Carr Civil
Contracting Pty Ltd has been set for March 30, 2022, at 12:00 p.m.
via virtual meeting technology.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 29, 2022, at 12:00 p.m.
Matthew Donnelly, Sal Algeri, Jason Tracy, and David Orr of
Deloitte Financial Advisory were appointed as administrators of
Carr Civil on Feb. 23, 2022.
DELLERMAY PTY: Second Creditors' Meeting Set for March 31
---------------------------------------------------------
A second meeting of creditors in the proceedings of Dellermay Pty
Ltd has been set for March 31, 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 30, 2022, at 4:00 p.m.
Sam Kaso and Daniel Juratowitch of Cor Cordis were appointed as
administrators of Dellermay Pty on Feb. 22, 2022.
FIRSTMAC MORTGAGE 2022-2PP: S&P Assigns BB Rating on E Notes
------------------------------------------------------------
S&P Global Ratings assigned ratings to six of the seven classes of
prime residential mortgage-backed securities (RMBS) issued by
Firstmac Fiduciary Services Pty Ltd. as trustee for Firstmac
Mortgage Funding Trust No.4 Series 2022-2PP.
The ratings assigned to the prime floating-rate RMBS reflect the
following factors.
The credit risk of the underlying collateral portfolio and the
credit support provided to each class of notes are commensurate
with the ratings assigned. Credit support for the rated notes is
provided by subordination, excess spread, and lenders' mortgage
insurance (LMI). The credit support provided to the rated notes is
sufficient to cover the assumed losses at the applicable rating
stress. Our assessment of credit risk considers Firstmac Ltd.'s
(Firstmac's) underwriting standards and approval processes, which
are consistent with industry-wide practices, and the strong
servicing quality of Firstmac, and the support provided by the LMI
policies on 3.1% of the loan portfolio.
The rated notes can meet timely payment of interest--excluding the
residual interest due on the class B, class C, class D and class E
notes--and ultimate payment of principal under the rating stresses.
Key rating factors are the level of subordination provided, the LMI
cover, the liquidity reserve, the principal draw function, the
interest-rate swap, and the provision of an extraordinary expense
reserve. S&P's analysis is on the basis that the notes are fully
redeemed by their legal final maturity date, and it does not assume
the notes are called at or beyond the call date.
S&P's ratings also consider the counterparty exposure to Westpac
Banking Corp. (Westpac) as bank account provider and interest-rate
swap provider. Westpac will provide an interest-rate swap to hedge
the interest-rate risk between any fixed-rate mortgage loans and
the floating-rate obligations on the notes. The transaction
documents for the swap and bank account include downgrade language
consistent with S&P Global Ratings' counterparty criteria.
S&P also has factored into its ratings the legal structure of the
trust, which is established as a special-purpose entity and meets
our criteria for insolvency remoteness.
Ratings Assigned
Firstmac Mortgage Funding Trust No.4 Series 2022-2PP
Class A-1, A$990.00 million: AAA (sf)
Class A-2, A$55.00 million: AAA (sf)
Class B, A$18.00 million: AA (sf)
Class C, A$14.50 million: A (sf)
Class D, A$9.50 million: BBB (sf)
Class E, A$6.00 million: BB (sf)
Class F, A$7.00 million: Not rated
NICKEL MINES: Moody's Alters Outlook on 'B1' CFR to Negative
------------------------------------------------------------
Moody's Investors Service has affirmed Nickel Mines Limited's
("NIC") B1 corporate family and senior unsecured notes ratings. At
the same time, Moody's has revised the rating outlook to negative
from stable.
The rating action follows widely reported news that NIC's sole
offtaker, Tsingshan group, is facing potential large losses on its
short nickel position due to higher LME nickel prices over recent
weeks. Tsingshan is also NIC's largest shareholder and owns a
minority stake in each of NIC's rotary kiln electric furnaces
(RKEF) assets.
RATINGS RATIONALE
The negative outlook reflects the increased risk and uncertainty
for NIC's ongoing credit profile, given the recent issues facing
its sole offtaker, Tsingshan. Moody's has limited visibility into
Tsingshan's overall financial position given its status as a
private company, however, the rating agency understands that the
Chinese company has recently been dealing with potential material
losses on large short nickel positions. This led to Tsingshan
reaching a standstill agreement with a consortium of hedge bank
creditors whereby the participating banks agree not to close out
positions against Tsingshan or to make further margin calls in
respect of existing positions. Moody's also understands that
Tsingshan has been working with the participating banks to arrange
a standby secured credit facility intended principally for
Tsingshan's nickel margin and settlement requirements, and it has
also agreed to reduce its existing hedge positions in a fair and
orderly manner as abnormal market conditions subside.
NIC has publicly stated that, based on discussions with Tsingshan
personnel, there is no current impact on its operations, and that
Tsingshan has no intention to sell any shares in NIC and remains
committed to take up a planned share placement to help fund NIC's
recent acquisition. Further, over recent days nickel prices have
materially reduced from the very high levels registered earlier in
March 2022, which should help to reduce the overall impact on NIC's
sole offtaker and minority owner.
However, Moody's understands the situation is still developing and
dependent on Tsingshan's ability to avoid, or withstand, meaningful
realized losses from its short position. The negative outlook
reflects the increased uncertainty around NIC's ongoing credit
profile from the current situation, given its reliance on a
counterparty where risk management and governance factors are an
increasing concern.
Currently, all of NIC's revenue comes from Tsingshan under a
perpetual commitment to purchase all NPI produced by NIC's
facilities. Tsingshan also has a 20% direct ownership in NIC's RKEF
assets, operates the industrial parks where the assets are located
and provides technical oversight to the operations as well as
ancillary services such as electricity and logistics. Tsingshan is
also responsible for developing and bringing into operation NIC's
new RKEF assets, Angel Nickel Project (ANI) and Oracle Nickel
Project (ONI). While Moody's see Tsingshan's operational and
development track record as supportive for NIC, a potential change
in Tsingshan's ability to perform its normal activities could
disrupt NIC's operations materially.
While the negative outlook reflects the increasing concerns around
NIC's reliance on Tsingshan, the affirmation of NIC's ratings
considers its steady operating profile, with strong margins and
cashflow supported by its competitive cost position and elevated
nickel pig iron prices. The affirmation also reflects NIC's
conservative financial position, which has benefited from the
company's willingness and use of equity funding for acquisitions
and Moody's view that NIC's cashflow generation will provide
adequate liquidity to fund its material acquisition payments over
the next 12 months. Moody's also notes the development of ANI is
progressing well and ahead of schedule, with 2 of its 4 lines
having entered production after commissioning. As ANI ramps up
production towards nameplate capacity over the next several months,
this would further benefit NIC's credit profile by adding
additional earnings and operational diversity.
NIC's rating remains constrained by its reliance on, and exposure
to Tsingshan group. The rating is also constrained by the company's
position as a single commodity producer highly exposed to Chinese
nickel pig iron price movements. The company's currently limited
scale, diversity and track record of its RKEF operations are
further rating constraints, although scale and diversity would
improve considerably upon ANI becoming fully operational.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
Moody's could downgrade the ratings if signs of financial distress
emerges at Tsingshan and which the rating agency views could lead
to a disruption to NIC's operations and/or cashflow. The ratings
could also be downgraded if NIC's liquidity position or credit
metrics deteriorate meaningfully.
An upgrade is unlikely over the near term given the current
negative outlook. However, the outlook could be revised to stable
if: (1) there are clear signs that Tsingshan's current issues are
unlikely to have any material impact on NIC's operations and
cashflow generation; (2) Tsingshan successfully avoids realizing
significant financial losses from its short nickel position, or
experiencing other related negative developments to its operations;
and (3) a material buildup in NIC's liquidity which would provide
significant buffer against potential operational disruptions.
The principal methodology used in these ratings was Steel published
in November 2021.
PROFILE
Nickel Mines Limited ("NIC") is an ASX listed nickel pig iron
producer with assets in Indonesia. NIC operates in partnership with
the world's largest stainless-steel producer, Tsingshan, which is
also the largest shareholder in NIC with currently an around 18%
stake.
PACIFIC STEEL: Second Creditors' Meeting Set for April 1
--------------------------------------------------------
A second meeting of creditors in the proceedings of:
- Pacific Steel Constructions Pty Limited;
- Maxim Steel Pty Ltd;
- Boom Lift Pty Ltd;
- Sydney Management Pty Ltd;
- Equipment Plus Pty Limited;
- PSC Property Management Pty Limited; and
- PRB Fabrication Pty Ltd
has been set for April 1, 2022, at 11:00 a.m. via Microsoft Teams
(virtual meeting technology).
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 31, 2022, at 4:00 p.m.
Neil Cussen and Andre Lakomy of Cor Cordis were appointed as
administrators of Pacific Steel on Dec. 20, 2021.
PETCH PROJECTS: First Creditors' Meeting Set for April 4
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Petch
Projects Pty Ltd Formerly Known as CGA Projects Pty Ltd will be
held on April 4, 2022, at 9:00 a.m. at the offices of Robson Cotter
Insolvency Group, Unit 1, 78 Logan Road, in Woolloongabba,
Queensland.
William Roland Robson of Robson Cotter was appointed as
administrator of Petch Projects on March 23, 2022.
PRIVIUM GROUP: Invested in Cryptocurrency Before Collapse
---------------------------------------------------------
Sam McPhee at Daily Mail Australia reports that Privium group
poured AUD3 million into a Gold Coast cryptocurrency and more than
half a million to a Christian charity in a last ditch effort before
it went under.
Privium group, a conglomerate of companies best known for home
building, went into liquidation in December, with a report
conducted into their finances finding they had likely been trading
while insolvent.
Hundreds of properties have been left unfinished due to Privium
going bust, with founder and CEO Rob Harder saying they are 'deeply
sorry,' Daily Mail relays.
'I understand that this is not the news you wanted to hear and that
this will create real difficulties,' Mr Harder said in an email to
clients last year.
'My priority is to ensure that all homes under construction are
completed, and to alleviate as much as possible, angst and
complications.'
Privium, which is based in Brisbane and includes property developer
Impact Homes, has built houses in Queensland, New South Wales and
Victoria.
Daily Mail says the pandemic hurt the group's business, with
building sites shut down around the country but particularly in
Victoria due to the state's lengthy lockdown in 2020.
Administrators, however, believe it was a series of investments
that were responsible for its downfall rather than Covid, citing
the AUD3 million crypto punt.
It turned the cash into Bartercard dollars which were then
converted in Qoin coin, a Gold Coast-based currency.
'Based on our investigations into the nature of Qoin, it is evident
that it is an extremely illiquid asset with its sale limited to a
few hundred dollars each day,' the report, as cited by Daily Mail,
said.
'Consequently releasing this asset is extremely difficult, if not
impossible'.
According to Daily Mail, administrators believe it was a 'possible
breach' of duties by directors.
They also noted a AUD530,000 donation to Christian charity Love
Your World, who counts Privium founder Mr Harder's wife Rachel as
one of its directors, Daily Mail relates. The sum was paid over
four payments in 2021, while a special dividend of AUD50,000 was
also paid to Love Your World in 2019. These payments could also be
in breach of directors duties.
The Courier Mail reported the Harders are also members of Hillsong
church, Daily Mail relays.
Daily Mail adds that administrators also uncovered three payments
from a group called 'Open Gold' to Privium that totalled AUD20
million in June 2020.
An identical amount was also transferred to an organisation called
'The Promise' from 'Open Gold' that same day.
Daily Mail relates that Mr. Harder said it was to raise capital
under a 'digital unit trust', but administrators say his
'explanation was inadequate'.
The report strongly recommended Privium continue to be investigated
but said it was unlikely they had the money left to pay back
creditors, Daily Mail notes.
Joanne Dunn, John Park and Kelly-Anne Trenfield of FTI Consulting
were appointed as administrators of Privium Group on Nov. 17,
2021.
PROBUILD: Administrator Recommends SRG Global's Proposed DOCA
-------------------------------------------------------------
Business News Australia reports that at least one of the 18
businesses caught up in the collapse of WBHO Australia Group
(WBHOA) could get a new lease of life with administrators
recommending creditors accept a proposed Deed of Company
Arrangement (DOCA) at a meeting scheduled for next week.
WBHO Infrastructure is among a suite of companies affected by the
collapse of WBHOA, which owned by South African-based parent
company Wilson Bayly Holmes-Ovcon (WBHO), the report says.
According to BNA, the company's administrators have recommended
creditors accept a DOCA proposed by listed construction company SRG
Global, although how many cents in the dollar they will receive is
yet to be disclosed.
BNA relates that the move follows SRG's planned acquisition of the
Western Australian operations of WBHO Infrastructure for AUD15.2
million announced last week. The fate of most of the companies
within the group, including construction giant Probuild, remains in
the balance despite an announcement earlier this month that
Sydney-based Roberts Co will acquire the majority of the collapsed
company's Victorian assets.
Administrators to WBHOA were appointed in February after WBHO
pulled financial support for its Australian operations, citing the
pandemic-induced pressures on the business for the crisis.
An update provided on March 24 by WBHOA's joint voluntary
administrator Matt Donnelly of Deloitte said a DOCA is in the best
interest of creditors to WBHO Infrastructure. Mr. Donnelly said it
will provide a 'swift exit' from external administration and most
employees will hold their jobs with their entitlements protected,
BNA relays.
A second company within the group, Carr Civil Contracting, is set
to come out of administration after SRG also put up its hand to buy
the business. With no realisable assets and no debts, the
administrators have recommended an end to the administration.
A second creditors meeting for these two subsidiaries is planned
for March 30, 2022 where their fate will be decided.
"This is an excellent outcome in the circumstances, and we believe
the sale of the WBHO Infrastructure business to SRG Global is
compelling," the report quotes Mr. Donnelly as saying.
"SRG is a well-established industry player, and the sale provides
the highest and best value proposition for creditors based on the
offers received, retains jobs and entitlements for the Western
Australian employees, and provides certainty for WBHO
Infrastructure's suppliers and customers."
Of the businesses in the WBHOA group, Probuild was one of the
largest and most recognised brands, having been behind the
construction of major builds in Australia including the fitout of
the new Victoria Police Headquarters, the revitalisation of Queen
and Collins in Melbourne's CBD, and The Star's suite tower for its
property on the Gold Coast, the report states.
Prior to its collapse, Probuild had 19 projects in train across the
country with 2,300 creditors, including debts of AUD14 million to
786 staff, the report notes.
About Probuild
Melbourne-based Probuild Constructions Australia operates as a
building contractor. The Company focuses on commercial, educational
and institutional, industrial, residential, retail and
entertainment, sport, and leisure contractions.
David Orr, Sal Algeri, Jason Tracy and Matt Donnelly of Deloitte
were appointed as administrators of Probuild Constructions and
related entities on Feb. 23, 2022.
REDS MHP 2022-1: S&P Assigns BB Rating on Class F Notes
-------------------------------------------------------
S&P Global Ratings assigned its ratings to six classes of notes
issued by Perpetual Trustee Co. Ltd. as trustee for Series 2022-1
REDS MHP Trust. The notes are backed by a pool of commercial
chattel mortgage and finance lease agreements backed by motor
vehicles and equipment, fixtures, and fittings to medical and
health care professionals originated by Bank of Queensland Ltd.
The ratings assigned to the notes reflect the following factors.
The credit risk of the underlying collateral portfolio and the
credit support available are commensurate with the ratings
assigned. Credit support for each class of note is provided in the
form of subordination and a loss reserve equal to 0.35% of the
aggregate note balance at closing funded by Bank of Queensland.
All contract payments, including balloon payments, are an
obligation of the borrower. As a result, the trust is not exposed
to any market-value risk associated with the sale of the motor
vehicles (on performing receivables), which is a risk that can be
associated with other products, such as operating leases.
The rated notes can meet timely payment of interest and ultimate
payment of principal under the rating stresses. Key rating factors
are the level of credit support provided to rated notes and
liquidity support in the form of principal collections, liquidity
reserve and an excess spread reserve when available.
Counterparty support is provided by Australia and New Zealand
Banking Group Ltd. as bank account provider and BNP Paribas as the
standby fixed- to floating-rate interest-rate swap provider. Fixed-
to floating-rate interest-rate swaps are provided to hedge the
mismatch between the fixed-rate payments on the receivables and the
floating-rate interest payable on the notes. The transaction
documents include downgrade language consistent with our S&P Global
Ratings' counterparty criteria.
S&P has also factored into its ratings the legal structure of the
trust, which is established as a special-purpose entity and meets
its criteria for insolvency remoteness.
Ratings Assigned
Series 2022-1 REDS MHP Trust
Class A, A$409.2 million: AAA (sf)
Class B, A$8.8 million: AA (sf)
Class C, A$4.4 million: A+ (sf)
Class D, A$4.4 million: A- (sf)
Class E, A$4.4 million: BBB- (sf)
Class F, A$2.2 million: BB (sf)
Class G, A$6.6 million: Not rated
REDZED TRUST 2022-1: Moody's Assigns B2 Rating to AUD2MM F Notes
----------------------------------------------------------------
Moody's Investors Service has assigned the following definitive
ratings to the notes to be issued by Perpetual Trustee Company
Limited as trustee of RedZed Trust STC Series 2022-1.
Issuer: RedZed Trust STC Series 2022-1
AUD412.0 million of Class A Notes, Assigned Aaa (sf)
AUD35.0 million of Class B Notes, Assigned Aa2 (sf)
AUD12.0 million of Class C Notes, Assigned A2 (sf)
AUD11.5 million of Class D Notes, Assigned Baa2 (sf)
AUD14.5 million of Class E Notes, Assigned Ba2 (sf)
AUD2.0 million of Class F Notes, Assigned B2 (sf)
The AUD9.0 million of Class G1 and AUD4.0 million of Class G2 Notes
are not rated by Moody's.
The transaction is a securitisation of first-ranking mortgage loans
secured over residential and commercial properties located in
Australia. The loans were originated and are serviced by RedZed
Lending Solutions Pty Limited (RedZed, unrated).
The portfolio includes 82.2% of loans to self-employed borrowers.
Around 88.7% of the loans were extended on an alternative income
documentation verification (alt doc) basis; and based on Moody's
classifications, 6.3% are to borrowers with adverse credit
histories.
RATINGS RATIONALE
The definitive ratings take into account, among other factors:
The evaluation of the underlying receivables and their expected
performance;
The capital structure and credit enhancement provided to the
notes;
The availability of the liquidity facility in the amount of 1.5%;
and
The credit strength and experience of RedZed as servicer.
According to Moody's, the transaction benefits from various credit
strengths such as the low weighted average loan to value (LTV) of
the underlying portfolio, the excess spread available over the life
of the transaction and the retention mechanism. However, Moody's
notes that the transaction features some credit weaknesses such as
the proportion of self-employed borrowers and alt doc loans within
the portfolio.
Key transactional features are as follows:
The servicer is required to maintain the weighted average interest
rates on the mortgage loans at least at 4.1% above one month BBSW,
which is within the current portfolio yield as at the cut-off date.
This generates some excess spread available to cover losses in the
pool.
Principal collections will be at first distributed sequentially.
Starting from the second anniversary from closing, all notes
(excluding the Class G1 and Class G2 Notes) may participate in
proportional principal collections distribution subject to the step
down conditions being satisfied. The step down conditions include,
among others, no charge offs on any of the notes and average
arrears greater than 90 days not exceeding 4.0% of the aggregate
loan amount. Principal pay-down will revert to sequential once the
aggregate loan amount is less than 25.0% of the aggregate loan
amount at closing, or on or following the payment date in April
2026.
While the Class G1 and Class G2 Notes do not receive principal
payments until the other notes are repaid, once the step-down
conditions are satisfied, their pro rata share of principal will be
allocated in a reverse sequential order, starting from the Class F
Notes.
Under the retention mechanism, excess spread is used to repay
principal on the Class F Notes, up to AUD750,000, thereby limiting
their exposure to losses. At the same time, the retention amount
ledger ensures that the level of credit enhancement available to
the more senior ranking notes is preserved.
Key portfolio features are as follows:
Due to the mixed nature of the pool, the portfolio is categorised
into SME and residential loan sub-pools.
The SME sub-pool, representing 38.6% of the overall portfolio,
primarily includes loans secured by commercial property. The
residential loan sub-pool, representing 61.4% of the overall
portfolio, primarily includes loans secured by residential
property.
The weighted average scheduled LTV of the overall portfolio is
64.9%, with only 3.9% of the loans with a scheduled LTV above
80.0%.
Around 82.2% of the borrowers are self-employed. This is in line
with RedZed's business model and strategy to focus on the
self-employed market. The income of these borrowers is subject to
higher volatility than employed borrowers, and they may experience
higher default rates.
Key model and portfolio assumptions:
For the total pool, Moody's portfolio credit enhancement ("PCE")
– representing the loss that Moody's expects the portfolio to
suffer in the event of a severe recession scenario – is 20.1%.
Moody's mean expected loss for the total pool is 2.9%. For the SME
sub-pool, Moody's PCE is 27.0% and mean expected loss is 4.9%. For
the residential loan sub-pool, Moody's Individual Loan Analysis
Credit Enhancement (MILAN CE) is 14.2% and mean expected loss is
1.6%.
Methodology Underlying the Rating Action:
The methodologies used in these ratings were "Moody's Approach to
Rating RMBS Using the MILAN Framework" published in February 2022.
Factors that would lead to an upgrade or downgrade of the ratings:
Factors that could lead to an upgrade of the notes include rapid
build-up of credit enhancement, due to sequential amortization, or
better-than-expected collateral performance. The Australian
macroeconomic conditions and the housing market are primary drivers
of performance.
A factor that could lead to a downgrade of the notes is
worse-than-expected collateral performance. Other reasons that
could lead to a downgrade include poor servicing, error on the part
of transaction parties, deterioration in credit quality of
transaction counterparties, fraud, or a lack of transactional
governance.
=========
C H I N A
=========
BAONENG GROUP: Denies Unknown Whereabouts of Chairman
-----------------------------------------------------
Caixin Global reports that embattled conglomerate Baoneng Group
March 22 denied a court statement that the whereabouts of Chairman
Yao Zhenhua were unknown and the court had to deliver several
documents to him in the form of public statements.
Yao appeared in person on March 21 at the company's auto factory in
Shenzhen, Baoneng said through its social media WeChat account. It
posted a picture of Yao at the factory.
Three insiders from Baoneng also confirmed to Caixin that Yao is
not missing and is still in charge of the company's operations.
Baoneng Group is a Chinese property and financial services
conglomerate.
RONSHINE CHINA: Fitch Lowers Foreign Currency IDR to 'CCC'
----------------------------------------------------------
Fitch Ratings has downgraded China-based homebuilder Ronshine China
Holdings Limited's Long-Term Foreign-Currency Issuer Default Rating
(IDR) to 'CCC', from 'B-' and the senior unsecured rating on
Ronshine's outstanding US dollar senior notes to 'CCC' from 'B-',
with the Recovery Rating remaining at 'RR4'.
The downgrade reflects increasing uncertainty over Ronshine's
liquidity position and funding access, following the resignation of
PricewaterhouseCoopers (PWC) as auditor and the delay in the
publication of the company's 2021 annual results. Fitch believes
PWC's resignation, so close to the regulatory deadline for the
announcement of full-year audited results on 31 March 2022,
highlights Ronshine's weaknesses in financial transparency and
corporate governance, which may reduce market confidence in the
company and its ability to refinance maturing debt.
KEY RATING DRIVERS
Auditor Change; Delayed Financials: The company said on 21 March
that PWC resigned with effect from 18 March. As a result, Ronshine
will be unable to publish its 2021 audited annual results by 31
March. Instead, the company plans to announce unaudited annual
results on 31 March. Fitch believes this will have a negative
effect on market confidence in Ronshine, leading to decreased
access to funding and increase uncertainty in its ability to repay
or refinance its near-term debt obligations. The developments have
not triggered an event of default for its offshore bonds.
Uncertainty in Cash Position: Fitch believes there is heightened
uncertainty over Ronshine's liquidity position as a direct result
of concerns raised by PWC. PWC said in its resignation letter that
the company's pledge of certain bank deposits requires further
clarification. The provision of the required information for
auditing fell behind schedule. Ronshine is highly reliant on
available cash and cash generated from contracted sales to repay
debt in the near term. PWC's remarks raise questions about the
amount of cash available to the company to service debt.
Curtailed Funding Access: Ronshine has CNY10.9 billion in
capital-market maturities due or puttable in 2022, including USD690
million of senior notes due October 2022. The company redeemed
USD394 million of senior notes in March 2022, but Fitch believes
Ronshine's refinancing risk is increasing, as its funding access
could be curtailed.
ESG - Governance: Ronshine has an ESG Relevance Score of '4' for
Financial Transparency. The resignation of its auditor and the
delay in the publication of audited financial statements, close to
the regulatory deadline of 31 March 2022 for the announcement of
the 2021 audited results, highlights weaknesses in Ronshine's
corporate governance. This has a negative impact on the credit
profile, and is relevant to the ratings in conjunction with other
factors.
DERIVATION SUMMARY
Ronshine's ratings reflect increasing uncertainty over its
liquidity position and weakness in its financial transparency.
KEY ASSUMPTIONS
Fitch's key assumptions within its rating case for the issuer
include:
-- Declining contracted sales;
-- Minimal land acquisitions.
KEY RECOVERY RATING ASSUMPTIONS
Fitch's recovery analysis assumes that Ronshine would be liquidated
in a bankruptcy because it is essentially an asset-trading company.
The nature of homebuilding means the liquidation-value approach
will almost always result in a much higher value than the
going-concern approach.
Fitch has assumed a 10% administrative claim in line with
criteria.
Liquidation Approach
-- The liquidation estimate reflects Fitch's view of the value of
balance-sheet assets that can be realised in sale or
liquidation processes conducted during bankruptcy or
insolvency proceedings and distributed to creditors.
-- Advance rate of 80%, raised from 70%, applied to account
receivables. This treatment is in line with Fitch's Recovery
Rating criteria.
-- Advance rate of 62%, raised from 60%, applied to net property
inventory. Ronshine's inventory consists mainly of completed
properties held for sale, properties under development (PUD),
and deposits/prepayments for land acquisition. Different
advance rates were applied to these different inventory
categories to derive the blended advance rate for net
inventory.
-- 70% advance rate to completed properties held for sale.
Completed commodity housing units are closer to readily
marketable inventory, and typically have high recovery values.
-- 55% advance rate to PUD. PUDs are more difficult to sell than
completed projects. These assets are also in various stages of
completion. The PUD balance - prior to applying the advance
rate - is net of margin-adjusted customer deposits.
-- 90% advance rate to deposits/prepayments for land
acquisitions. Similar to completed commodity housing units,
land held for development is closer to readily marketable
inventory provided it is well-located. Ronshine's land in
general is not located in significantly disadvantaged areas.
-- Advance rate of 50%, lowered from 60%, applied to property,
plant and equipment, which consists mainly of buildings with
insignificant value.
-- 20% advance rate to investment properties. Ronshine's
investment property portfolio consists mainly of commercial
buildings located in the Yangzte River Delta area. However,
the portfolio has an average rental yield of 2%, which is
below the industry average. Fitch considers the 20% advance
rate appropriate, as the implied rental yield on the
liquidation value for the investment-property portfolio would
improve to 5%.
-- 50% advance rate to JV net assets. JV assets typically include
a combination of completed units, PUDs and landbank.
-- Advance rate of 0% applied to excess cash, after netting the
amount of note payables and trade payables (construction fee
and retention payables).
The allocation of value in the liability waterfall results in
recovery corresponding to a Recovery Rating of 'RR4' for the senior
unsecured offshore bonds.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
-- Greater clarity on the repayment plans for capital-market
maturities for the remainder of 2022;
-- Track record of timely publication of unqualified audited
financial results.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- Evidence of further deterioration in funding access and/or
liquidity;
-- Failure to publish unqualified audited financial results;
-- Inability to repay capital-market maturities falling due in
2022.
BEST/WORST CASE RATING SCENARIO
International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.
LIQUIDITY AND DEBT STRUCTURE
Tight Liquidity: Ronshine had unrestricted cash and term deposits
of CNY27.3 billion at end-June 2021, compared with short-term debt
of CNY25.1 billion, of which CNY14.8 billion are capital-market
maturities (including onshore bonds of CNY6.4 billion puttable
within a year and CNY2.3 billion of asset-backed securities).
However, the majority of unrestricted cash is at the project level
and may not be used to repay the holding company's debt.
Ronshine issued CNY1 billion of 6.5% five-year onshore bonds
(puttable at the end of the second and fourth years) in July 2021,
but did not issue any debt in the offshore capital market in 2H21.
ISSUER PROFILE
Hong Kong-listed Ronshine is a multi-regional property developer in
China. The company had unsold attributable land bank of 11.2
million sqm in saleable gross floor area across China as of
end-1H21, sufficient to support around three years of sales.
ESG CONSIDERATIONS
Ronshine China Holdings Limited has an ESG Relevance Score of '4'
for Financial Transparency due to the resignation of its auditor
and the delay in the publication of audited financial statements,
which has a negative impact on the credit profile, and is relevant
to the ratings in conjunction with other factors.
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
RONSHINE CHINA: Moody's Cuts CFR to Caa1, Outlook Remains Negative
------------------------------------------------------------------
Moody's Investors Service has downgraded Ronshine China Holdings
Limited's corporate family rating to Caa1 from B3 and senior
unsecured rating to Caa2 from Caa1.
The outlook on the ratings remains negative.
"The downgrade reflects Ronshine's increased liquidity and
refinancing risks arising from its recent change in auditor and a
likely delay in the reporting of its 2021 audited financials," says
Alfred Hui, a Moody's Analyst.
"The negative outlook reflects Ronshine's weak liquidity and the
uncertainties around its ability to address its debt maturities
over the next 6-12 months," adds Hui.
RATINGS RATIONALE
On March 21, 2022, Ronshine announced the resignation of
PricewaterhouseCoopers as its auditor with effect on March 18, 2022
and the appointment of Elite Partners CPA Limited as its new
auditor [1].
The company said it will unlikely publish the audited financials by
March 31, 2022 as required by the Hong Kong Stock Exchange listing
rule. However, the company said it will publish its annual
unaudited preliminary financial results on March 31, 2022.
Moody's views that the change in auditor at a time so close to
March 31, 2022 raises concerns on the company's weak corporate
governance. This will likely worsen Ronshine's already weak funding
access, and thereby, elevate its liquidity risks amid its sizable
debt maturities over the next 6-12 months.
Ronshine's Caa2 senior unsecured debt rating is one notch lower
than the CFR due to structural subordination risk. The majority of
Ronshine's claims are at its operating subsidiaries and have
priority over claims at the holding company in a liquidation
scenario. In addition, the holding company lacks significant
mitigating factors for structural subordination. Consequently, the
expected recovery rate for claims at the holding company will be
lower.
In terms of environmental, social and governance (ESG) factors,
Moody's has considered the company's concentrated ownership in its
controlling shareholder, Mr. Ou Zonghong, who held a 67% stake in
the company as of June 30, 2021. The Caa1 CFR has also considered
the company's weakness in corporate governance and information
disclosure, as reflected in a likely delay in reporting audited
financing results for 2021.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
An upgrade is unlikely given the negative outlook.
However, the outlook could return to stable if Ronshine improves
its corporate governance and liquidity substantially.
On the other hand, Moody's could downgrade the company's rating if
its liquidity deteriorates further or if the company defaults.
The principal methodology used in these ratings was Homebuilding
And Property Development Industry published in January 2018.
Ronshine China Holdings Limited was incorporated in the Cayman
Islands in 2014 and listed on the Hong Kong Stock Exchange in
January 2016. The property developer focuses on mid-to-high-end
residential units in Fujian Province, the Yangtze River Delta, the
Pearl River Delta, Central China and the Bohai Sea region.
SUNAC CHINA: Moody's Lowers CFR to Caa1, Outlook Remains Negative
-----------------------------------------------------------------
Moody's Investors Service has downgraded Sunac China Holdings
Limited's corporate family rating to Caa1 from B1, and the
company's senior unsecured ratings to Caa2 from B2.
The outlook remains negative.
"The downgrade reflects Sunac's heightened liquidity and
refinancing risks given the company's tight funding access amid a
challenging operating environment and its large upcoming debt
maturities," says Kelly Chen, a Moody's Assistant Vice President
and analyst.
The downgrade also reflects Moody's concerns over Sunac's
transparency and information disclosure, as well as further
negative pressure on the company's funding access, following its
recently announced delay in reporting its audited 2021 results.
"The negative outlook reflects the uncertainty over the company's
ability to generate new funds, through new borrowing or asset
disposals, to address all its debt maturities over the coming 6-12
months amid challenging funding conditions," adds Chen.
RATINGS RATIONALE
Moody's has changed its assessment of Sunac's liquidity profile to
weak from adequate, in view of the company's deteriorated
operations, constrained access to funding and weakened liquidity
buffer. Moody's estimates Sunac's unrestricted cash would decline
notably in the first two months of 2022, following a sharp drop in
the second half (H2) of 2021, driven by ongoing debt repayments,
weak contracted sales, settlement of other obligations, and more
stringent restrictions of its escrow accounts. Sunac's access to
various funding channels has also significantly deteriorated, as
reflected by the sharp decline in its share and bond prices in
recent weeks.
On March 21, 2022, Sunac announced that it will not be able to
publish the audited annual results for the year ended December 31,
2021 on or before 31 March 2022, as required by the listing rules
of Hong Kong Stock Exchange. Instead, Sunac expects it will publish
its unaudited preliminary annual financial results on March 31,
2022 [1]. Moody's considers such a delay in reporting the audited
financials will further weaken Sunac's funding access, as concerns
over the company's corporate governance will further erode market
confidence in the company.
Meanwhile, Moody's believes that Sunac will not be able to utilize
a significant part of its cash for debt repayment at the holding
company level, particularly cash trapped at the project levels. The
company has a large amount of debt maturities coming due or
puttable before the end of June 2023, including sizable non-bank
borrowings, offshore bonds of around USD1.9 billion (approximately
RMB12 billion), and onshore bonds of around RMB21 billion. In
addition, Sunac could face an acceleration of its offshore
borrowings, including privately issued notes, bilateral loans and
syndicate loans, which would further pressure Sunac's liquidity.
Moody's believes there is an increasing liquidity and default risk
for Sunac in view of its large debt maturity in 2022.
Sunac has raised capital through asset sales in the past few
months, but Moody's believes Sunac will face increasing uncertainty
in its plan for further asset sales, given the challenging market
environment. Since October 2021, Sunac has raised more than RMB20
billion of new funds through equity placements, asset and
investment disposals, and interest-free loans from controlling
shareholders.
Moody's forecasts that Sunac's contracted sales will fall over the
next 6-12 months, driven by weak homebuyer confidence amid tight
funding conditions and diminished saleable resources following its
asset and project disposals. The drop in contracted sales will also
weaken the company's financial profile and reduce its operating
cash flow and, in turn, its liquidity. Sunac's contracted sales
fell 27% year-on-year in the first two months of 2022.
Sunac's Caa2 senior unsecured debt rating is one notch lower than
the CFR because of structural subordination risk. Most of Sunac's
claims are at the operating subsidiary level and have priority over
claims at the holding company in a liquidation scenario. In
addition, the holding company lacks significant mitigating factors
for structural subordination. Consequently, the expected recovery
rate for claims at the holding company is lower.
In terms of environmental, social and governance (ESG)
considerations, Sunac's CFR considers the company's concentrated
ownership and significant investments in its joint ventures (JVs).
The delay in the release of audited financial results raises
concerns over the company's transparency and information
disclosure, which is part of Moody's governance considerations and
one of the drivers for the rating action.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
An upgrade is unlikely given the negative outlook.
However, the outlook could return to stable if Sunac improves its
liquidity substantially.
On the other hand, Moody's could downgrade the company's rating if
its liquidity deteriorates further or there is a further material
delay in releasing its 2021 annual audited results.
The principal methodology used in these ratings was Homebuilding
And Property Development Industry published in January 2018.
Listed on the Hong Kong Stock Exchange in 2010, Sunac China
Holdings Limited is an integrated residential and commercial
property developer with projects in China's main economic regions.
The company develops a diverse range of properties, including
high-rise and mid-rise residences, detached villas, townhouses,
retail properties, offices and car parks.
As of the end of June 2021, Sunac's land bank by attributable gross
floor area in China, including those of its joint ventures and
associates, was 164 million square meters. Its revenue was RMB230.6
billion ($35.5 billion) in 2020.
SUNAC CHINA: S&P Withdraws 'B-' LongTerm Issuer Credit Rating
-------------------------------------------------------------
S&P Global Ratings withdrew its 'B-' long-term issuer credit rating
on Sunac China Holdings Ltd. and the 'CCC+' long-term issue rating
on the company's senior unsecured notes at the company's request.
The ratings were on CreditWatch with negative implications at the
time of the withdrawal.
SUNAC CHINA: Seeks Two-Year Extension on US$627.85-Million Bond
---------------------------------------------------------------
Caixin Global reports that Sunac China, the country's third-largest
developer, is seeking a two-year payment extension on a CNY4
billion (US$627.85 million) onshore bond due April 1, Caixin
learned from several bondholders. In return, Sunac's billionaire
Chairman Sun Hongbin proposes to provide an unlimited joint
liability guarantee.
Caixin relates that the move followed rating downgrades by all
three global rating companies and a series of negative developments
involving other developers including delays in making debt
repayments.
Sunac said March 21 that it expects to miss the March 31 deadline
for issuing its audited annual report, joining a handful of Chinese
developers to delay financial reports, including China Evergrande
Group, Ronshine China Holdings and Shimao Property Holdings Ltd,
Caixin says.
About Sunac China
Sunac China Holdings Limited (SEHK:1918) --
http://www.sunac.com.cn/-- is principally engaged in the sales of
properties in the People's Republic of China. The Company operates
its business through two segments: Property Development and
Property Management and Others. The Company's subsidiaries include
Sunac Real Estate Investment Holdings Ltd., Qiwei Real Estate
Investment Holdings Ltd. and Yingzi Real Estate Investment Holdings
Ltd.
As reported in the Troubled Company Reporter-Asia Pacific, S&P
Global Ratings, on March 17, 2022, lowered its long-term issuer
credit rating on Sunac China Holdings Ltd. to 'B-' from 'BB-'. It
also lowered the long-term issue rating on the company's
outstanding senior unsecured notes to 'CCC+' from 'B+'. At the same
time, S&P placed all the ratings on CreditWatch with negative
implications. S&P has since withdrew its 'B-' long-term issuer
credit rating on Sunac China Holdings Ltd. and the 'CCC+' long-term
issue rating on the company's senior unsecured notes at the
company's request.
The TCR-AP reported on March 17, 2022, that Fitch Ratings has
downgraded China-based property developer Sunac China Holdings
Limited's Issuer Default Rating (IDR) to 'B-', from 'BB-', and the
senior unsecured rating and outstanding senior unsecured notes to
'B-', from 'BB-', and assigned a Recovery Rating of 'RR4'. All
ratings have been placed on Rating Watch Negative (RWN).
The downgrade reflects increasing uncertainty over the refinancing
of Sunac's onshore and offshore capital-market debt maturing over
the next few months amid decreasing market confidence, as well as
falling contracted sales. Sunac raised long-term funding via share
placements in January 2022, but capital markets have since become
largely inaccessible for the company. Sunac has disposed of its
stakes in some projects and is currently in discussions on
additional project sales. Nevertheless, Sunac's margin of safety is
narrowing.
TAHOE GROUP: Executives Brought in by Authorities for Questioning
-----------------------------------------------------------------
Caixin Global has learned from sources that two executives of
debt-ridden real estate firm Tahoe Group Co. Ltd. have been taken
in for questioning by a law enforcement agency.
Vice President Huang Xi and Vice President Lin Wenhua of the Fujian
province-based company were hauled in by authorities last week,
Caixin relates. It is unclear which agency has taken them and
their status is unknown. The firm announced last week that
Chairman Huang Qisen was assisting investigators.
Fujian province-based Tahoe Group Co., Ltd operates real estate
development businesses. The Company provides house loans, housing
renovation, housing loans, real estate brokerage, property
management, and other services. Tahoe Group also operates hotel
management, investment management, and other businesses.
=========
I N D I A
=========
AGRAWAL IRON: CRISIL Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Agrawal Iron
& Industries (AGRIN) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2.68 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 12.00 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term
Bank Loan Facility 0.32 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AGRIN 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 AGRIN, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AGRIN
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
AGRIN continues to be 'CRISIL D Issuer Not Cooperating'.
AGRIN processes iron ore and manufactures iron-cum-manganese ore
pellets at its unit in Bastar, Chhattisgarh. The firm is promoted
by Mr. Anil Agrawal.
ASSOCIATED ENGINEERING: Ind-Ra Moves B+ Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Associated
Engineering Enterprises' Long-Term Issuer Rating to the
non-cooperating category. The issuer did not participate in the
rating exercise despite continuous requests and follow-ups by the
agency. Therefore, investors and other users are advised to take
appropriate caution while using these ratings. The rating will now
appear as 'IND B+ (ISSUER NOT COOPERATING)' on the agency's
website.
The instrument-wise rating actions are:
-- INR45 mil. Fund-based working capital limits migrated to non-
cooperating category with IND B+ (ISSUER NOT COOPERATING) /
IND A4 (ISSUER NOT COOPERATING) rating; and
-- INR95 mil. Non-fund-based working capital limits migrated to
non-cooperating category with IND A4 (ISSUER NOT COOPERATING)
rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 26, 2021. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
Established in 1985 and located in Hyderabad, Associated
Engineering Enterprises is an engineering, procurement and
construction firm. The firm is registered with the roads and
buildings department as a special class civil contractor in Andhra
Pradesh and Telangana.
B.P. CONSTRUCTION: Ind-Ra Moves D Issuer Rating to Non-Cooperating
------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated B.P Construction's
Long-Term Issuer Rating to the non-cooperating category. The issuer
did not participate in the rating exercise despite continuous
requests and follow-ups by the agency. Therefore, investors and
other users are advised to take appropriate caution while using
these ratings. The rating will now appear as 'IND D (ISSUER NOT
COOPERATING)' on the agency's website.
The instrument-wise rating actions are:
-- INR60 mil. Fund-based working capital limits (Long-term)
migrated to non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating; and
-- INR85 mil. Non-fund-based working capital limits (Short-term)
migrated to non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 12, 2021. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
B.P. Construction was established as a proprietorship concern in
1987. The firm was reconstituted as a partnership firm in 1988. The
firm is primarily engaged in civil construction and electrification
for various government departments in Jharkhand. The firm is
registered as a Class-1A contractor with the Public Works
Department, Jharkhand and a Class-1 electrical contractor with
Vidyut Vibhag, Energy Department, and the government of Jharkhand
for electrification work. It has its registered office in Ranchi
(Jharkhand) and Bhim Prasad and Janki Devi are the partners.
BLUE MOUNTAIN: CRISIL Moves B Debt Rating to Not Cooperating
------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of Blue
Mountain Construction Engineering & Services Private Limited
(BMCESPL) to 'CRISIL B/Stable Issuer not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed 25 CRISIL B/Stable (ISSUER NOT
Overdraft COOPERATING; Rating Migrated)
Facility
CRISIL Ratings has been consistently following up with BMCESPL for
obtaining information through letters and emails dated January 31,
2022 and February 24, 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 BMCESPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
BMCESPL is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of BMCESPL to 'CRISIL B/Stable Issuer not
cooperating'.
Incorporated in July 2019 and based in Aizawl, Mizoram, BMCSPL is
engaged in residential real estate projects. It has signed a
memorandum of understanding with the state of Mizoram for the
development of a township/housing complex in Aizawl for state
government employees. Mr. Parthapratim Phukan and Ms Bhupali
Goswami are the directors of the company.
BR OIL: Ind-Ra Keeps BB+ Long-Term Issuer Rating in Non-Cooperating
-------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained B.R. Oil
Industries Private Limited's Long-Term Issuer Rating of 'IND BB+
(ISSUER NOT COOPERATING)' in the non-cooperating category and has
simultaneously withdrawn it.
The instrument-wise rating actions are:
-- INR2.7 mil. Term loan* due on July 2018 maintained in non-
cooperating category and withdrawn; and
-- INR60 mil. Fund-based facilities* maintained in non-
cooperating category and withdrawn.
*Maintained at 'IND BB+ (ISSUER NOT COOPERATING)' before being
withdrawn
KEY RATING DRIVERS
Ind-Ra has maintained the ratings in the non-cooperating category
because the issuer did not participate in the rating exercise
despite requests by the agency and has not provided information
pertaining to full-year financial performance for FY21, sanctioned
bank facilities and utilization, business plan and projections for
the next three years, information on corporate governance, and
management certificate.
Ind-Ra is no longer required to maintain the ratings, as the agency
has received no objection certificates from the lenders. This is
consistent with the Securities and Exchange Board of India's
circular dated March 31, 2017 for credit rating agencies. Ind-Ra
will no longer provide analytical and rating coverage for Kishore
Infrastructures.
COMPANY PROFILE
Incorporated in October 2009, B.R. Oil Industries manufactures,
processes and trades edible oils.
CHANDRA HASNI: Ind-Ra Keeps 'B+' Issuer Rating in Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Chandra Hasni
Ispat Private Limited's (CHIPL) Long-Term Issuer Rating of 'IND B+
(ISSUER NOT COOPERATING)' in the non-cooperating category and has
simultaneously withdrawn it.
The instrument-wise rating actions are:
-- INR70 mil. Term loan* maintained in non-cooperating category
and withdrawn; and
-- INR80 mil. Fund-based working capital limit* maintained in
non-cooperating category and withdrawn.
*Maintained at 'IND B+ (ISSUER NOT COOPERATING)' before being
withdrawn.
KEY RATING DRIVERS
Ind-Ra is no longer required to maintain the ratings, as the agency
has received a no objections certificate from the lenders. This is
consistent with the Securities and Exchange Board of India's
circular dated March 31, 2017 for credit rating agencies.
COMPANY PROFILE
Incorporated in 2005, Chandra Hasni Ispat manufactures
thermo-mechanically treated bars.
DEEPAK FASTENERS: CRISIL Assigns D Rating to INR390cr NCD
---------------------------------------------------------
Due to inadequate information and in line with the Securities and
Exchange Board of India guidelines, CRISIL Ratings had migrated its
rating on the long-term bank facility of Deepak Fasteners Limited
(DFL) to 'CRISIL D; Issuer not cooperating'. However, DFL has
subsequently started sharing requisite information, necessary for
carrying out comprehensive review of the rating. Consequently,
CRISIL Ratings is migrating the rating to 'CRISIL D/CRISIL D' from
'CRISIL D/CRISIL D; Issuer not cooperating' on the bank facilities
and has assigned its 'CRISIL D' rating to Non-Convertible Debenture
of Deepak Fasteners Limited (DFL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Rating - CRISIL D (Migrated from
'CRISIL D ISSUER NOT
COOPERATING')
Short Term Rating - CRISIL D (Migrated from
'CRISIL D ISSUER NOT
COOPERATING')
Non Convertible
Debentures 390 CRISIL D (Assigned)
The rating reflects delays in debt servicing and highly leveraged
capital structure. These weaknesses are partially offset by
established market position and extensive experience of promoters
Key Rating Drivers & Detailed Description
Weaknesses
* Delay in Debt Servicing: DFL has incurred delays in servicing of
debt obligations of its fund based facilities, following
deterioration in liquidity on account of disruption of business
operations in the past. Currently, the account continues to remain
classified as NPA.
* Highly leveraged capital structure: DFL has high leveraged
capital structure as indicated by total outside liabilities to
tangible networth ratio of over 5 times as on 31st Mar, 2021 on
account of high reliance on external debt funding. Going forward,
as well, capital structure is expected to remain leveraged.
Strength
* Established market position and extensive experience of
promoters: DFL manufactures wide range of products including
high-tensile industrial fasteners, which are used in transmission
towers, windmill structures, railways, atomic power stations,
agriculture pumps and heavy engineering structures. The Unbrako
brand, which the company acquired in 2008, is a 140-years old
established brand, with worldwide presence. The management has been
present in the fasteners industry for over 50 years demonstrating
strong understanding of fasteners business.
Liquidity: Poor
Liquidity profile remains poor as the company has been incurring
delays in servicing of debt obligations. Currently, the account
continues to remain classified as NPA.
Rating Sensitivity factors
Upward factors:
* Timely debt repayment with a track record of 90 days
* Improvement in the capital structure supporting the financial
risk profile of the company
DFL, incorporated in 1958 and promoted by Mr. Kailash Kalra, has
consolidated finishing capacity of 70,000 tonne per annum (tpa) of
fasteners at its facilities in Punjab, Himachal Pradesh, and Madhya
Pradesh. In fiscal 2009, DFL acquired the Unbrako brand from
Precision Castparts Corp (PCC), along with its intellectual
property rights, manufacturing facilities in Ireland, and workforce
and distribution network. In fiscal 2011, Banyan Tree Growth
Capital LLC and DEG-Deutsche infused INR70 crore into DFL in the
form of zero-coupon compulsorily convertible bonds for a 13% equity
stake (post conversion into equity). In fiscal 2014, DFL
commissioned a plant, with finishing capacity of 28,500 tpa, near
Bhopal.
DFUK and DFA commenced commercial operations in fiscals 2008 and
2009, respectively, and are the distribution arms. DFSL,
incorporated in fiscal 2009 after DFL acquired the Unbrako fastener
business from PCC, has a manufacturing and research facility in
Shannon, Ireland.
DOABA KHALSA: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating
------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Doaba Khalsa
Trust's term loan facility in the non-cooperating category. The
issuer did not participate in the rating exercise despite
continuous requests and follow-ups by the agency. Therefore,
investors and other users are advised to take appropriate caution
while using the rating. The rating will continue to appear as 'IND
D (ISSUER NOT COOPERATING)' on the agency's website.
The detailed rating action is:
-- INR336 mil. Term loans (long-term) due on February 2023
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 23, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
Doaba Khalsa Trust is a charitable educational trust registered
under the Indian Trust Act. It was established in 1997-1998 by S.
Khushia Singh Bath.
FERNANDES BROTHERS: Ind-Ra Moves 'B+' Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Fernandes
Brothers's Long-Term Issuer Rating of 'IND B+' to the
non-cooperating category and has simultaneously withdrawn it.
The instrument-wise rating actions are:
-- INR329.0 mil. Fund-based working capital limits* migrated to
non-cooperating category and withdrawn;
-- INR30.58 mil. Term loan** due on September 2024 migrated to
non-cooperating category and withdrawn; and
-- INR0.42 mil. Non-fund-based working capital limits*** migrated
to non-cooperating category and withdrawn.
* Migrated to 'IND B+ (ISSUER NOT COOPERATING)/IND A4 (ISSUER NOT
COOPERATING)' before being withdrawn.
** Migrated to 'IND B+ (ISSUER NOT COOPERATING)' before being
withdrawn.
***Migrated to 'IND A4 (ISSUER NOT COOPERATING)' before being
withdrawn.
KEY RATING DRIVERS
Ind-Ra has migrated the ratings to the non-cooperating category
before being withdrawal as the issuer did not participate in the
rating exercise, despite requests by the agency and has not
provided information pertaining to the full-year financial
performance for FY21, sanctioned bank facilities and utilization,
business plan and projections for the next three years, information
on corporate governance, and management certificate.
Ind-Ra is no longer required to maintain the ratings, as the agency
has received no objection certificate from the lender. This is
consistent with the Securities and Exchange Board of India's
circular dated March 31, 2017 for credit rating agencies. Ind-Ra
will no longer provide analytical and rating coverage.
COMPANY PROFILE
Mangalore-based Fernandes Brothers is a partnership firm
established in 1946. The firm processes and trades raw cashews. The
managing partner, Walter D'Souza, has an extensive experience in
the cashew processing industry.
GAURINATH AGRO: CRISIL Lowers Rating on INR20cr Loans to B
----------------------------------------------------------
CRISIL Ratings has revised the ratings on bank facilities of
Gaurinath Agro Product Private Limited (GAPPL) to 'CRISIL B/Stable
Issuer Not Cooperating' from 'CRISIL BB-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Cash Credit 4 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Proposed Long Term 6 CRISIL B/Stable (ISSUER NOT
Bank Loan Facility COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Term Loan 4 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with GAPPL 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 GAPPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GAPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
GAPPL Revised to 'CRISIL B/Stable Issuer Not Cooperating' from
'CRISIL BB-/Stable Issuer Not Cooperating'.
GAPPL was incorporated in 2016 by Mr. Ashok Hariyani and Mrs.
Bharati Hariyani. GAPPL is engaged in cotton ginning and pressing
business, its manufacturing unit located at Chandrapur,
Maharashtra.
GRACE INTERNATIONAL: CRISIL Keeps D Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Grace
International (GI) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10.5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with GI 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 GI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of GI
continue to be 'CRISIL D Issuer Not Cooperating'.
GI was set up by Mr. Vikram Jain as a proprietorship firm in 1993.
It trades in buttons, hooks, patches, zipper sliders, cufflinks,
belt buckles, and other garment accessories. Its registered office
is in Delhi.
GUJARAT CONSTRUCTION: Ind-Ra Cuts Long-Term Issuer Rating to 'D'
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Gujarat
Construction Co.'s (GCC) Long-Term Issuer Rating to 'IND D (ISSUER
NOT COOPERATING)' from 'IND BB- (ISSUER NOT COOPERATING)'.
The instrument-wise rating actions are:
-- INR40 mil. Fund-based limits (Long-term) downgraded with IND D
(ISSUER NOT COOPERATING) rating; and
-- INR76 mil. Non-fund-based limits (Short-term) downgraded with
IND D (ISSUER NOT COOPERATING) rating.
KEY RATING DRIVERS
The downgrade reflects delays in servicing of term loan and
overutilization of the cash credit facility by GCC during the three
months ended February 2022.
However, Ind-Ra has not been able to ascertain the reason for the
same, as the company has been non-cooperative.
RATING SENSITIVITIES
Positive: Timely debt servicing for at least three consecutive
months could result in a rating upgrade.
COMPANY PROFILE
GCC was established in 1992 as a partnership firm by Janak kumar
Bholabhai Patel, Navinkumar Bholabhai Patel and Jay Janakkumar
Patel in Mehasana. It is registered as 'AA' class approved
contractor by government of Gujarat and the firm is primarily
engaged in the water supply and sewage network, and environmental
projects.
HEAVY ENGINEERING: Ind-Ra Affirms 'B-' Long-Term Issuer Rating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Heavy Engineering
Corporation Limited's (HECL) Long-Term Issuer Rating at 'IND B-'.
The Outlook is Stable.
The instrument-wise rating actions are:
-- INR2.0 bil. Fund-based limits affirmed with IND B-/Stable
rating; and
-- INR1.88 bil. Non-fund-based limits affirmed with IND A4
rating.
KEY RATING DRIVERS
HECL's operating performance deteriorated consistently over
FY14-FY21 with EBITDA losses (FY21: loss of INR2,283 million; FY20:
loss of INR3,950 million; FY19: loss of INR2,558 million) due to
high operating expenses, capacity underutilization and debtor
provisioning. The operating expenses have been high on account of
HECL's obsolete technology, which led to operational inefficiency
and the under-absorption of fixed costs. HECL's revenues are likely
to reduce to INR1,200 million-1,300 million for FY22 basis Ind-Ra's
estimates (FY21: INR2,134 million; FY20: INR1,398 million; FY19:
INR3,638 million), as the company was affected by labor strikes in
December 2021, leading to disruptions in order execution. As on 1
January 2022, the company's orderbook stood at INR19,460 million,
largely comprising slow-moving orders from government agencies and
public sector undertakings.
Historically, the government of India (GoI; holds 100% stake in
HECL) had extended a guarantee to HECL; however, the same has not
been renewed, post its expiry in 2017. The entity did not receive
any additional loan or grant over FY19-FY20. However, in FY21,
HECL received a grant of INR489 million from the Jharkhand
government. Based on the recent budget allocation, the GoI does not
plan to release a support package for the company in FY23. The GoI
supported HECL in the form of a non-plan loan of INR478.9 million
in FY15 to discharge the gratuity liability. On account of
financial stress, HECL has been unable to service the GoI debt in a
timely fashion. However, the GoI has provided flexibility on the
payment of the dues to the company.
HECL's receivable days increased to 197 in FY21 (FY20: 181) on
account of the pending completion certificate and thus, payables
were stretched to138 days (90 days) to manage the cashflow
mismatch; the inventory days also increased to 142 (90). Ind-Ra
expects HECL's net working capital cycle (FY21: 201 days, FY20: 181
days) to deteriorate further in FY22 on account of disruptions in
production.
Liquidity Indicator – Poor: HECL's consistent operating losses
continue to adversely affect its liquidity position. The company's
average peak fund-based working capital limit utilization was 96%
over the 12 months ended December 2021, while that of the
non-fund-based working capital limits was about 95%. For FY21, cash
and cash equivalents stood at INR89 million. HECL does not plan to
incur any major capex over the near term.
HECL has been relying on land monetization as a source of funding
to support its business operations historically. The company is
also realizing its debtors and delaying its payable for funding its
operations. At end-March 2021, HECL had a land bank of 7,199 acres,
of which 2,840 acres was sold to the government of Jharkhand and
Central Industrial Security Force, 380 acres were encroached, 313
acres were leased out and the remaining was available for HECL's
own use. According to the management, HECL is in the process of
appointing a full-time CMD which can help in the successful
hypothecation of land for the existing funding as well as future
funding requirements and is planning to avail additional
project-specific funding.
RATING SENSITIVITIES
Positive: A significant increase in the revenue and operating
profit and/or the strengthening of HECL's linkages with the GoI in
the form of fund infusion/sovereign guarantee will be positive for
the ratings.
Negative: Any delays in asset monetization and/or
higher-than-expected EBITDA losses, leading to a further stressed
liquidity position, will be negative for the ratings.
COMPANY PROFILE
HECL was set up in 1958 in Ranchi under the Ministry of Heavy
Industries and Public Enterprises. The company manufactures capital
goods/spare parts for companies from the steel, mining,
engineering, defense, railways and other sectors. It also executes
turn-key projects, from concept to commissioning.
HEBBAL PROPERTIES: Ind-Ra Gives 'B' Rating to Non-Convertible Debt
-------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has rated Hebbal Properties
Private Limited's (HPPL) proposed non-convertible debentures (NCDs)
as follows:
-- INR2.0 bil. Proposed NCDs assigned with IND B /Stable rating.
KEY RATING DRIVERS
The rating reflects HPPL's nascent stage of operations as it was
incorporated only in March 2021. HPPL is going to provide
development management services in relation to a commercial project
situated at Jakkur, Bengaluru to its group entity i.e. Township
Promoters (TP). This project has a potential development of 4.42
million square feet (sf). The entire project, comprising five
towers, will be developed in five phases. The construction is
likely to commence from December 2022 and be completed by September
2032. For the part funding of the project, HPPL will issue proposed
NCDs of INR2,000 million and the proceeds of INR1,100 million to be
received from the same will be refinanced to TP in the form of
inter corporate deposits (ICDs). These ICDs will be used for
releasing the land of the proposed commercial project through a
cancellation of the joint-development agreement signed between TP
and Mantri Promoters, the earlier land developer. The remaining
proceeds of INR900 million will also be used for the development
and construction of phase I of the project.
Liquidity Indicator - Poor: HPPL is a project-stage entity wherein
the funding is not yet tied up. Furthermore, the entire revenue
will be dependent upon the group entity i.e. TP. Hence, any delays
in the receipt of the development management fees and interest
receipt will directly affect the debt servicing.
The rating, however, benefits from the locational advantage of the
project as it is in the vicinity of the various commercial,
business, IT & hardware parks and Bengaluru Aerospace SEZ, thereby
providing prospective customers from various corporates and
businesses.
The rating also benefits from the promoter's experience with HPPL
being part of the Century Group that has a track record of over
four decades in the real estate development activities.
RATING SENSITIVITIES
Negative: Any delay in debt tie-up and in the release of the land
for the proposed commercial project will be negative for the
rating.
Positive: Timely debt tie-up and release of the land for the
proposed commercial project will be positive for the rating.
COMPANY PROFILE
HPPL was incorporated on March 11, 2021 and is based out of
Bangalore. It is part of the Century Group. HPPL is engaged in
development management services which comprise overall project
management, vendor appointments, billing activities and allied
services required for the project. It will be providing development
management service to its group entity TP for a commercial project
located at Jakkur Plantation Village, Yelahanka Hobli, Bangalore
North Taluk, Bangalore.
HINDUSTAN CLEANENERGY: Ind-Ra Lowers LT Issuer Rating to 'D'
------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Hindustan
Cleanenergy Limited's (HECL) Long-Term Issuer Rating to 'IND D
(ISSUER NOT COOPERATING)' from 'IND BB (ISSUER NOT COOPERATING)'.
The instrument-wise rating action is:
-- INR447 mil. Non-convertible debentures (Long term)
INE047M07015 issued on May 10, 2016 coupon rate 10% due on
February 28, 2022 downgraded with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best-available information
KEY RATING DRIVERS
The downgrade reflects the extension of maturity date of the
outstanding NCDs post the original maturity date as informed to the
agency by the company on March 14, 2022. Ind-Ra has treated the
rescheduling of the maturity date in line with its Default
Recognition Policy.
Furthermore, Ind-Ra has not received any confirmation of principal
repayment on due date.
COMPANY PROFILE
Incorporated in October 2008, HECL is a 100% subsidiary of
Hindustan Powerprojects Private Limited. which is a
multi-fuel-based power projects developer. The company was set up
with an objective to serve as the solar holding company of the
group and to undertake development of solar power projects
worldwide.
INDUSTRIAL YARNS: Voluntary Liquidation Process Case Summary
------------------------------------------------------------
Debtor: Industrial Yarns & Threads (India) Private Limited
D-3/A, Panki Industrial Estate
Kanpur, UP 208022
Liquidation Commencement Date: March 11, 2022
Court: National Company Law Tribunal, Prayagraj Bench
Insolvency professional: Anil Kumar
Interim Resolution
Professional: Anil Kumar
U-21, Ground Floor, Sangam
Place Civil Lines
Prayagraj, Uttar Pradesh 211001
E-mail: purswanianil@gmail.com
vl.iytpl@gmail.com
Tel: +91 9415306147
Last date for
submission of claims: April 10, 2022
JANPATH RESTAURANTS: Voluntary Liquidation Process Case Summary
---------------------------------------------------------------
Debtor: Janpath Restaurants Private Limited
Shop No. 315-316, Plot No. 3
DLF Promenade Mall
Nelson Mandela Marg
Vasant Kunj, New Delhi 110070
- and –
Unit 304 & 305, M3M Urbana
Golf Course Extension Road
Sector 67, Gurgaon 122002
Liquidation Commencement Date: March 9, 2022
Court: National Company Law Tribunal, Delhi Bench
Insolvency professional: Ms. Manisha Rawat
Interim Resolution
Professional: Ms. Manisha Rawat
A-1/B, Third Floor, T-02
Sector-16, Noida
Uttar Pradesh 201301
E-mail: manisharawatfcs@gmail.com
Tel: 0120-4227699
Last date for
submission of claims: April 9, 2022
KEYSTONES INFRA-CON: CRISIL Keeps B Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Keystones
Infra-Con (India) Private Limited (KIPL) continues to be 'CRISIL
B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 11 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KIPL 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 KIPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KIPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KIPL continue to be 'CRISIL B/Stable Issuer Not Cooperating'.
Based in Vijayawada (Andhra Pradesh) and incorporated in 2012, KIPL
is engaged in real estate development. The company is promoted by
Mr. Srinivas Lingam and Mr. K Venkata Siva Raju. It is currently
undertaking AVSR Sky Court project in Vijayawada.
KKN HOLDINGS PRIVATE: Insolvency Resolution Process Case Summary
----------------------------------------------------------------
Debtor: KKN Holdings Private Limited
No 37, T.T.K. Road
C.I.T. Colony
Alwarpet, Chennai
Tamil Nadu 600018
Insolvency Commencement Date: March 11, 2022
Court: National Company Law Tribunal, Chennai Bench
Estimated date of closure of
insolvency resolution process: September 7, 2022
(180 days from commencement)
Insolvency professional: J. Karthiga
Interim Resolution
Professional: J. Karthiga
Sri Nivas, New No. 1, Old No. 1052
41st Street, Korattur
Chennai 600080
E-mail: karthigasri@hotmail.com
cirp.kknholdings@gmail.com
Last date for
submission of claims: March 25, 2022
KRISHNA ALEX: Insolvency Resolution Process Case Summary
--------------------------------------------------------
Debtor: Krishna Alex Private Limited
121 Chittaranjan Avenue
Kolkata, WB 700073
IN
Insolvency Commencement Date: September 14, 2021
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: March 12, 2022
Insolvency professional: Rachna Jhunjhunwala
Interim Resolution
Professional: Rachna Jhunjhunwala
Vikram Vihar, BK-H
493/B/18, G.T. Road
Howrah 711102
E-mail: jsa.jhunjhunwala@gmail.com
- and -
Siddha Weston, 9 Weston Street
Suite no. 134, 1st Floor
Kolkata 700013
E-mail: cirp.krishna@gmail.com
Last date for
submission of claims: September 28, 2021
KRISHNA UDYOG: CRISIL Keeps B Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Krishna Udyog
- New Delhi (KU) continue to be 'CRISIL B/Stable/CRISIL A4 Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 3 CRISIL A4 (Issuer Not
Cooperating)
Cash Credit 5 CRISIL B/Stable (Issuer Not
Cooperating)
Drop Line 1.7 CRISIL B/Stable (Issuer Not
Overdraft Facility Cooperating)
Proposed Long Term 0.72 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 1 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KU 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 KU, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KU is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of KU
continues to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.
KU was set up as a proprietorship firm in 1998 by M Pramod
Khandelwal, and was reconstituted as a partnership firm when it was
acquired in 2013 by Mr. Dayanand Sharma and Mr. Bhawani Sharma. It
manufactures cables used in railway signals.
KRISHNAGIRI CASHEW: CRISIL Keeps B+ Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Krishnagiri
Cashew Exports (KC) continue to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.25 CRISIL B+/Stable (Issuer Not
Cooperating)
Long Term Loan 0.75 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Long Term 3.0 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with KC 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 KC, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KC is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of KC
continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
KC was established in 2004 by Mr. Girish as a sole proprietorship
concern, to process and trade in cashew kernels.
KUNAL COTTON: CRISIL Keeps B- Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kunal Cotton
Industries (KCI) continue to be 'CRISIL B-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL B-/Stable (Issuer Not
Cooperating)
Proposed Long Term 0.7 CRISIL B-/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 0.3 CRISIL B-/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KCI 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 KCI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KCI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KCI continue to be 'CRISIL B-/Stable Issuer Not Cooperating'.
KCI was established as a partnership firm in 2011. The firm gins
and presses raw cotton, and has a ginning unit in Bhainsa district
(Telangana). Mr. M.Jagdish, Mrs. M.Kunda Jagdish, and Mr. M.Kunal
Jagdish are the partners.
LAJ EXPORTS LIMITED: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: LAJ Exports Limited
Farm No. 22, South Drive
DLF Farm House
Chhattarpur Road
New Delhi 110074
India
J-1, Sector-63
Noida, Uttar Pradesh 201301
India
- and -
No. 127, 5th-A, Main
Yeshwantpur, Suburb II Stage
Yesvantpur Industrial Suburb
Yesvantpur, Bengaluru
Karnataka 560022
India
Insolvency Commencement Date: February 17, 2022
Court: National Company Law Tribunal, New Delhi Bench Court II
Estimated date of closure of
insolvency resolution process: September 13, 2022
Insolvency professional: Bikram Singh Gusain
Interim Resolution
Professional: Bikram Singh Gusain
A-1003, Spring Valley Apartments
Plot No. 3-C, Sector 11
Dwarka, New Delhi 110075
E-mail: bikramgusain@gmail.com
- and -
C/o Yogakshem Insolvency
Professionals LLP
UGF 1/15, Near PNB
Tilak Nagar
New Delhi 110018
E-mail: cirplajexports@yahoo.com
Last date for
submission of claims: March 31, 2022
LAKSHMI SRINIVASA: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: M/s. Sri Lakshmi Srinivasa Jute Mills Private Limited
Bobbili Road, Rajam
Srikakulam Dist
Andhra Pradesh 532127
India
Insolvency Commencement Date: March 17, 2022
Court: National Company Law Tribunal, Amaravati Bench
Estimated date of closure of
insolvency resolution process: September 12, 2022
(180 days from commencement)
Insolvency professional: Maligi Madhusudhana Reddy
Interim Resolution
Professional: Maligi Madhusudhana Reddy
MMR Lion Corp, 4th Floor
HSR Eden, Beside Cream Stone
Road No. 2 Banjara Hills
Hyderabad, Telangana 500034
E-mail: mmreddyandco@gmail.com
irpsrilakshmisrinivasa@gmail.com
Tel: 04023418836
Mobile: 9848271555
Last date for
submission of claims: March 31, 2022
LEELAP CLOTHING: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Leelap
Clothing Private Limited (SRPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 15 CRISIL D (Issuer Not
Cooperating)
Cash Credit 13.25 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 23 CRISIL D (Issuer Not
Cooperating)
Proposed Working 3 CRISIL D (Issuer Not
Capital Facility Cooperating)
CRISIL Ratings has been consistently following up with SRPL 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 SRPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SRPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SRPL continue to be 'CRISIL D Issuer Not Cooperating'.
Set up in 2008, SRPL retails ready-made garments, sarees,
cosmetics, toys and accessories. It has two multi-brand outlets in
Chennai with total built-up area of around 70,000 square feet. Its
day-to-day operations are managed by Mr. Vinod Sharma.
LHASA HOTEL: CRISIL Moves D Debt Rating to Not Cooperating
----------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of Lhasa
Hotel & Restaurant (LHR) to 'CRISIL D Issuer not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Overdraft Facility 5.8 CRISIL D (ISSUER NOT
COOPERATING; Rating Migrated)
CRISIL Ratings has been consistently following up with LHR for
obtaining information through letters and emails dated January 28,
2022 and February 24, 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 LHR, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on LHR
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of LHR to 'CRISIL D Issuer not cooperating'.
Established in 2009, LHR operates a hotel and restaurant in
Dharamshala. Operations are managed by Mr. Karthikeya Bhardwaj, son
of Mr. Kul Prakash Bhardwaj.
MAHAVISHNU CASHEW: CRISIL Moves B+ Debt Rating to Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of
Mahavishnu Cashew Factory (MCF) to 'CRISIL B+/Stable/CRISIL A4
Issuer not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Overdraft Facility 1 CRISIL B+/Stable (ISSUER NOT
COOPERATING; Rating Migrated)
Packing Credit 8 CRISIL A4 (ISSUER NOT
COOPERATING; Rating Migrated)
Standby Letter 1 CRISIL A4 (ISSUER NOT
of Credit COOPERATING; Rating Migrated)
CRISIL Ratings has been consistently following up with MCF for
obtaining information through letters and emails dated January 28,
2022 and February 24, 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 MCF, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MCF
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of MCF to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'.
Incorporated in 1996 by Mr. S.Renjith Lal, MCF is based out of
Kollam, Kerala and is engaged in processing of raw cashew nut. It
currently operates a three processing unit and one packing unit in
Kerala. The day-to-day activities of the firm are managed by the
proprietor, Mr. S.Renjith Lal.
MARUDHAR SUPER: CRISIL Moves B Debt Ratings to Not Cooperating
--------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of
Marudhar Super Market (MSM) to 'CRISIL B/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 0.5 CRISIL B/Stable (ISSUER NOT
COOPERATING; Rating Migrated)
Proposed Fund- 2.5 CRISIL B/Stable (ISSUER NOT
Based Bank Limits COOPERATING; Rating Migrated)
CRISIL Ratings has been consistently following up with MSM for
obtaining information through letters and emails dated January 28,
2022 and February 24, 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 MSM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MSM
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of MSM to 'CRISIL B/Stable Issuer not
cooperating'.
MSM was established in March 2019 as proprietorship firm. It is
engaged in organized retailing business of grocery items, plastic
items, backery items, home care products, vegetables & milk through
its 'Marudhar Super Market'? brand of store in Sirsi Raod- Jaipur.
The overall operations of the firm is managed by Mr. Pratap Ram
Danga.
MCDOWELL HOLDINGS: Shareholders Call for EGM to Avoid Liquidation
-----------------------------------------------------------------
The Hindu BusinessLine reports that minority shareholders of the
erstwhile Vijay Mallya-promoted company McDowell Holdings (MHL)
have sought an extraordinary general meeting (EGM) to save the
company from going into liquidation. MHL has a debt of a mere
INR15 crore but assets worth around INR1,000 crore, which the
shareholders said they stand to lose if the company went into
liquidation. A creditor of MHL has dragged the company to NCLT and
shareholders fear the company would be pushed into liquidation.
Investors led by foreign fund Acacia Partners, Equity Intelligence
India and a few other HNIs are seeking the EGM to induct five
professional directors on the board of MHL to run the company. MHL
has 47,000 shareholders and those who are seeking the EGM say all
of them are losing value since there is no professional board in
place, BusinessLine relays.
BusinessLine relates that the notice for the EGM was sent by the
shareholders holding more than 15.5 per cent on March 4 and the
company is yet to reply to them. Shareholders said that a mere
rights issue can solve the problem of INR15 crore debt and hence it
was not necessary to liquidate the entire company for such small
liability, which will destroy shareholder value.
According to BusinessLine, the shareholders have proposed
appointment of PS Jayakumar (Ex MD, Bank Of Baroda), advocate VM
Doiphode IRS (a leading lawyer in Mumbai), C S Zibi Jose (Ex
Central Council Member Of ICSI), advocate Bobby J Arakunnel (Kerala
High Court) and Nirej V Paul, an HNI investor. Most of the
previous MHL board members have resigned.
In 2018, the Enforcement Directorate attached 15.73 per cent of
promoter holding in MHL to recover Mallya's dues. MHL was Mallya's
holding company and still has stake in a lot of companies, which
makes it hugely valuable.
MHL has been dragged to the Bangalore National Company Law Tribunal
(NCLT) under insolvency proceedings by a creditor, Sunstar Hotels
and Estates, who has a claim of around INR15 crore against the
company, BusinessLine notes. Shareholders said that Zuari
Agro-Chemicals was original creditor but MHL entered into a
tripartite agreement with Sunstar Hotels on November 19, 2021, to
pay off Zuari. In just two months, in January 2022, MHL's new
creditor Sunstar dragged the company to NCLT to recover its dues.
Shareholders told BusinessLine that the company was being misguided
by those linked to the erstwhile promoters and management to
undergo liquidation in order to pay just INR15 crore to the
creditor even while the company has assets, comprising mainly
equity holdings in listed companies, to the tune of around INR1,000
crore.
"MHL can easily pay INR15 crore to the creditor if there is a
professional board in place. Market regulator SEBI needs to take
notice of the dubious conspiracy to defraud 47,000 shareholders of
the company. Without a professional board, the company has been
suspended from trading by the stock exchanges since the company
failed to adhere to listing norms and corporate governance. All
this is deliberate to take the company towards liquidation. Big
foreign shareholders also tried to join NCLT case but were opposed
by the company itself in the court," said a shareholder who has
signed the letter to call the EGM.
"MHL requires a board that can serve the shareholders and
underscore the need for a proper corporate governance structure.
Currently, the collusion of board members acting in concert with
the creditors seems apparent and even the courts will see through
it," said Jayakumar, former MD, BOB.
McDowell Holdings Limited is an India-based financing/investment
holding company. The Company operates through two segments: NBFC
(CIC) and Consultancy services. The NBFC (CIC) business segment
includes long term investments through which the Company earns
dividends. The Company holds investments in other companies, which
are engaged in the business of property development and exports,
manufacture and sale of beer, chemicals and fertilizers.
MEGHA PLAST: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Megha Plast
Private Limited (MPPL) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 3 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MPPL 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 MPPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
MPPL continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Incorporated in 2002, Meghalaya-based MPPL commenced operations in
November 2005. Mr. Trilokchand Agrawal, Mr. Suresh Agrawal, and Mr.
Ayush Agrawal are the promoters, while Mr. Sohan Gupta (the
director) manages the operations. The company manufactures PP/HDPE
bags for cement companies in northeast India.
NAVEEN POULTRY: CRISIL Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Naveen
Poultry Farms Private Limited (NPFL) continue to be 'CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1.7 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 4.0 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with NPFL 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 NPFL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on NPFL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
NPFL continue to be 'CRISIL D Issuer Not Cooperating'.
NPFL was set up in 2011 by Mr. K Kiran Kumar, Mrs. K Saritha Rao,
and Mr. V Narendra Reddy. The company produces commercial eggs at
its facility in Hyderabad.
OPTION OXIDES: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Option Oxides
Private Limited (OOPL) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 14.8 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 4 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term
Bank Loan Facility 14.6 CRISIL D (Issuer Not
Cooperating)
Term Loan 6.6 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with OOPL 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 OOPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on OOPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
OOPL continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Set up in 2008 as a partnership (Option Oxides) between Mr. Dilip
Parekh and Mrs. Jyoti Parekh, it was reconstituted as a private
limited company and renamed OOPL in 2012. The company manufactures
zinc oxide, zinc sulphate, and manganese sulphate. Zinc oxide
accounts for over 80 per cent of total sales. It has an office in
Mumbai and a manufacturing facility in Bharuch, Gujarat. Mr.
Parekh, who manages operations, has been in the chemicals business
since 1998.
ORACLE HOME: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Oracle Home
Textile Limited continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bill Purchase- 3.75 CRISIL D (Issuer Not
Discounting Cooperating)
Facility
Cash Credit 2 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 4 CRISIL D (Issuer Not
Cooperating)
Packing Credit 14.25 CRISIL D (Issuer Not
Cooperating)
Packing Credit 6.65 CRISIL D (Issuer Not
Cooperating)
Packing Credit 1.55 CRISIL D (Issuer Not
Cooperating)
Post Shipment 4.75 CRISIL D (Issuer Not
Credit Cooperating)
Post Shipment 2.35 CRISIL D (Issuer Not
Credit Cooperating)
Standby Export 4.6 CRISIL D (Issuer Not
Packing Credit Cooperating)
Standby Export 1.38 CRISIL D (Issuer Not
Packing Credit Cooperating)
Standby Export 0.72 CRISIL D (Issuer Not
Packing Credit Cooperating)
Term Loan 3.7 CRISIL D (Issuer Not
Cooperating)
Term Loan 21.46 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with Oracle 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 Oracle, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
Oracle is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of Oracle continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Oracle was originally set up in 1992 by Mr. Sanjay Dave and Ms.
Shilpa Dave as a partnership firm, Oracle Exports; this firm was
reconstituted as a closely held public limited company under the
current name in August 2011. The company exports 75 percent of its
output of terry towels and home textiles to makers of leading
global brands such as Esprit, Hollister, Kmart, and Tommy Hilfiger;
the balance 25 per cent is sold in the domestic market. Oracle has
a diverse customer base across different geographies, including the
US, Europe, Australia, the Middle East, and Africa. The company is
among the leading manufacturers of terry towels in the jacquard
segment in India. It has vertically integrated operations,
comprising weaving, yarn and fabric dyeing, and finishing
facilities.
PLUTUS INFRAVENTURES: Insolvency Resolution Process Case Summary
----------------------------------------------------------------
Debtor: Plutus Infraventures Private Limited
Paradise, Ring Road No. 1
Kaushal Ghri Nirman Samiti
Raipura Chowk, Raipur
CT 492001
IN
Insolvency Commencement Date: March 15, 2022
Court: National Company Law Tribunal, Raipur Bench
Estimated date of closure of
insolvency resolution process: September 11, 2022
Insolvency professional: Mr. Pankaj Khetan
Interim Resolution
Professional: Mr. Pankaj Khetan
K-37/A, Basement
Kailash Colony
Near Kailash Colony Metro Station
Delhi 110048
E-mail: ippankajkhaitan@gmail.com
cirpplutusinfraventures@gmail.com
Last date for
submission of claims: March 29, 2022
PRODEB BREWERY: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Prodeb Brewery Technology Belgium Private Limited
No. 7/B, Errikkarai
Senneerkuppam, Poonamallee
Chennai 600056
Insolvency Commencement Date: March 16, 2022
Court: National Company Law Tribunal, Chennai Bench
Estimated date of closure of
insolvency resolution process: September 13, 2022
(180 days from commencement)
Insolvency professional: Mr. S.R. Shriraam Shekher
Interim Resolution
Professional: Mr. S.R. Shriraam Shekher
Flat No. 11, Prayag Apartments
1st Floor, 8/15, Gandhi Nagar
First Main Road, Adyar
Chennai, Tamil Nadu 600020
E-mail: prodebresolve@gmail.com
Last date for
submission of claims: March 30, 2022
RANJU AUTOMOBILES: CRISIL Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Ranju
Automobiles Private Limited (RAPL) continues to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 11 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with RAPL 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 RAPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
RAPL continue to be 'CRISIL D Issuer Not Cooperating'.
Established in 1991 as a partnership firm (Ranju Automobiles) and
reconstituted as a private limited company in 2000, RAPL began
operations as a sub-dealer of Bajaj Auto Ltd (BAL). In 1998, it
received dealership of BAL's two-wheelers for Bokaro district in
Jharkhand. In 2009, the company also received dealership for
passenger cars of Hyundai Motor India Ltd for four districts of
Jharkhand.
S. GANESH: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of S. Ganesh and
Nagendra Co (SGN) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Foreign Letter 4.5 CRISIL D (Issuer Not
of Credit Cooperating)
Overdraft Facility 2.5 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 1.0 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with SGN 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 SGN, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SGN
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SGN continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Set up in 1960 as a proprietorship firm by Mr. Balaganesan, SGN is
a wholesale trader of inorganic chemicals in Nagercoil, Tamil
Nadu.
SKM REAL INFRA: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: S.K.M. Real Infra Limited
Raaj Chamber, Plot No. 115-115/1 to 3
R.K. Paramhans Marg, Andheri (East)
Mumbai MH 400069
Insolvency Commencement Date: March 14, 2022
Court: National Company Law Tribunal, Nagpur Bench
Estimated date of closure of
insolvency resolution process: September 6, 2022
Insolvency professional: Ms. Neeraja Kartik
Interim Resolution
Professional: Ms. Neeraja Kartik
202, Padmasani Apartments
58/2, Shivaji Nagar
Near Shivaji Park
Nagpur, Maharashtra 440010
E-mail: neerajakartikip@gmail.com
- and -
Nakshatra Insolvency Resolution
Professionals Ltd., 3rd Floor
377, Gandhinagar, Ambazari Road
Nagpur 440010
E-mail: skm.cirp@gmail.com
Last date for
submission of claims: March 24, 2022
SS EXPOTRADERS PRIVATE: Voluntary Liquidation Process Case Summary
------------------------------------------------------------------
Debtor: S.S. Expotraders Private Limited
B-44, Group Wazirpur Industrial Area
Delhi 110052
Liquidation Commencement Date: March 7, 2022
Court: National Company Law Tribunal, Vaishali, Ghaziabad Bench
Insolvency professional: Nitesh Kumar Sinha
Interim Resolution
Professional: Nitesh Kumar Sinha
8A, UG, Ansal Plaza
Vaishali, Ghaziabad 201010
Mobile: 9871500827
E-mail: info@csnitesh.com
Last date for
submission of claims: April 6, 2022
STCI COMMODITIES LIMITED: Voluntary Liquidation Case Summary
------------------------------------------------------------
Debtor: STCI Commodities Limited
A/B 1-802, A Wing 8th Floor
Marathon Innova
Marathon Nextgen Compound
Off G.K. Marg
Lower Parel West
Mumbai 400013
Liquidation Commencement Date: March 11, 2022
Court: National Company Law Tribunal, Mumbai Bench
Insolvency professional: Anil Rajkotia
Interim Resolution
Professional: Anil Rajkotia
501 Balkrishna, Tilak Road
Santacruz-West
Mumbai 400054
Mobile: 9821017148
Tel: 912226008310
E-mail: anilrajkotia@gmail.com
Last date for
submission of claims: April 10, 2022
SUMIT WOOL: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sumit Wool
Processors (SWP) continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 17 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term
Bank Loan Facility 4 CRISIL D (Issuer Not
Cooperating)
Term Loan 5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SWP 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 SWP, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SWP
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SWP continue to be 'CRISIL D Issuer Not Cooperating'.
Ludhiana-based SWP was established in 1990 by Mr. Rajnish Kumar
Tuli, and trades in polyester yarn till fiscal 2010, after which it
began manufacturing grey polyester fabric. Currently, the firm has
30 knitting machines with total capacity of 15 tonne per day.
SUNHILL HOMES: CRISIL Keeps B Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sunhill Homes
Private Limited continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 75 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 100 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with Sunhill 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 Sunhill, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
Sunhill is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of Sunhill continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Sunhill was incorporated in 2012 by New Delhi-based Mr. Ajay
Khetarpal and Mr. Pardeep Jain. Sunhill is a residential real
estate developer in Gurgaon (Haryana). Sunhill has a development
agreement with HS Realty Pvt Ltd for setting up 804-flats group
housing project in Sector 67, Gurgaon. Mr. Ajay Khetarpal and Mr.
Pardeep Jain are the key promoters and are also the directors in
the company.
SUPREME COATED: CRISIL Keeps D Debt Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Supreme Coated
Board Mills Private Limited (SCBM) continues to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 24 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SCBM 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 SCBM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCBM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SCBM continue to be 'CRISIL D Issuer Not Cooperating'.
SCBM was set up in 2003, by Ms M Tangeswari and her family.
Commercial operations began in 2005. The Sivakasi-based company
manufactures white-coated boards, used in the matchstick, firework,
notebook, and packaging industries.
SURYA LAXMI: CRISIL Keeps B+ Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Surya Laxmi
Industries (SLI) continue to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B+/Stable (Issuer Not
Cooperating)
Term Loan 3 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SLI 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 SLI, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SLI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SLI continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
SLI was set up in 2011 as a partnership firm by the Baheti and the
Karnany families, and started operations from May 2012. SLI
manufactures polypropylene (PP) spun-bonded non-woven fabric. The
plant at Kala Amb, Himachal Pradesh, has capacity to produce 4000
tonne per annum of fabric. The unit, however, works at 75-80
percent of capacity currently.
SURYA TEXTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Surya Textech
(ST) continue to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL B/Stable (Issuer Not
Cooperating)
Letter of Credit 0.5 CRISIL A4 (Issuer Not
Cooperating)
Working Capital 1.0 CRISIL B/Stable (Issuer Not
Demand Loan Cooperating)
CRISIL Ratings has been consistently following up with ST 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 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
continue to be 'CRISIL B/Stable/CRISIL A4 Issuer Not Cooperating'.
ST is a partnership firm established in 2006-07 (refers to
financial year, April 1 to March 31) by the Kansal and Gupta
families. In 2014-15, the Goel family was inducted in the
partnership by replacing the share of Kansal family. ST
manufactures and trades in polypropylene spun-bonded non-woven
fabrics. The firm has a manufacturing facility at Kala Amb
(Himachal Pradesh) with total production capacity of 22 tonnes per
day.
SUSHITEX INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sushitex
Industries Private Limited (SIPL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 1 CRISIL D (Issuer Not
Cooperating)
Cash Credit 3 CRISIL D (Issuer Not
Cooperating)
Export Packing 13.5 CRISIL D (Issuer Not
Credit Cooperating)
Proposed Long Term 4.57 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 18 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SIPL 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 SIPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SIPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SIPL continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
SIPL, set up in 2011, manufactures fabric used for making shirts.
Its manufacturing facilities are in Tarapur (Maharashtra) and
operations are managed by Mr. Harish Arya and his family members.
SWASTIK OIL: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Swastik Oil Refinery Private Limited
3, Pretoria Street
Chandra Kunj, 3rd Floor
Kolkata 700071
Insolvency Commencement Date: March 15, 2022
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: September 11, 2022
Insolvency professional: Mr. Vishal Shekhar
Interim Resolution
Professional: Mr. Vishal Shekhar
Manorma Bhawan, Road No. 6C
Patna, Bihar 800016
E-mail: vs.vishalshekhar@gmail.com
- and -
N-527, Diamond Heritage
16, Strand Road
Kolkata 700001
E-mail: swastikcirp@gmail.com
Last date for
submission of claims: March 29, 2022
UDYOG MANDIR: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Udyog Mandir
(UDM) continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 14 CRISIL B+/Stable (Issuer Not
Cooperating)
Working Capital 0.17 CRISIL B+/Stable (Issuer Not
Term Loan Cooperating)
CRISIL Ratings has been consistently following up with UDM 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 UDM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on UDM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
UDM continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
UDM, established in 1987, is a partnership firm that manufactures
edible oil, mainly refined groundnut oil and refined cottonseed
oil, and mustard oil. The firm has been selling its products under
the Natural brand since 1997. It is managed by Mr. Vijay Naulakha
and Mr. Basant Kumar Naulakha. It sells to exporters and local
dealers.
UNIPLY DECOR: Insolvency Resolution Process Case Summary
--------------------------------------------------------
Debtor: Uniply Decor Limited
37, T.T.K. Road
C.I.T. Colony
Alwarpet, Chennai 600018
Tamil Nadu, India
Insolvency Commencement Date: March 11, 2022
Court: National Company Law Tribunal, Division Bench I, Chennai
Estimated date of closure of
insolvency resolution process: September 6, 2022
(180 days from commencement)
Insolvency professional: Santhanam Rajashree
Interim Resolution
Professional: Santhanam Rajashree
Flat No. 6, New No. 8
Old No. 20 Ramakrishna Street
T. Nagar, Chennai 600017
Tamil Nadu, India
E-mail: rajashrees66@gmail.com
- and -
Ground Floor, 23, Lake Area
3rd Cross Street
Nungambakkam, Chennai 600034
Tamil Nadu, India
E-mail: cirp.uniplydecor@gmail.com
Last date for
submission of claims: March 25, 2022
UNISHIRE URBANSCAP: CRISIL Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on the non-convertible debentures
(NCDs) of Unishire Urbanscape Private Limited (UUPL; part of the
Unishire Urbanscape group) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Non Convertible 126 CRISIL D (ISSUER NOT
Debentures COOPERATING)
CRISIL Ratings has been following up with UUPL for getting
information through letter and email, dated January 31, 2022 and
February 28, 2022 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 UUPL. This restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on UUPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on the non-convertible
debentures (NCDs) of UUPL continues to be 'CRISIL D Issuer Not
Cooperating'.
Analytical Approach
CRISIL Ratings has combined the business and financial risk
profiles of the following companies with UUSL: Unishire Skyscapes
LLP, Unishire Properties LLP, Unishire Homes LLP, Unishire Regency
Park LLP, and Unishire Developers Pvt Ltd. These companies have
been consolidated because they are co-obligors to the NCDs. The
projects under these companies are security against the NCDs by way
of exclusive first charge.
Incorporated in February 2011, UUPL develops real estate in
Bengaluru and is a part of the Unishire group.
UNITED MANUFACTURING: CRISIL Keeps B+ Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of United
Manufacturing Company (UMC) to 'CRISIL B+/Stable/CRISIL A4 Issuer
not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.5 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Fund- 5.5 CRISIL B+/Stable (Issuer Not
Based Bank Limits Cooperating)
Proposed Non Fund 5.0 CRISIL A4 (Issuer Not
based limits Cooperating)
CRISIL Ratings has been consistently following up with UMC for
obtaining information through letters and emails dated January 28,
2022 and February 24, 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 UMC, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on UMC
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Ratings has migrated the rating on
bank facilities of UMC to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'.
UMC was incorporated in 1987 as partnership firm. It manufactures
firefighting vehicles, industrial fire fighting vehicles, emergency
rescue vehicles for fire services (state and central governments),
army, navy, air force, oil refineries, railways; its manufacturing
unit is in Bahadurgarh (Haryana). Mr. Gurpreet Singh and Ms
Harpreet Kaur manage the business.
VENKATESWARA RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sri
Venkateswara Rice Mill (SVRM) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 1 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 4 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Working Capital 8 CRISIL D (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with SVRM 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 SVRM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SVRM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SVRM continue to be 'CRISIL D Issuer Not Cooperating'.
SVRM is engaged in milling and processing of paddy into rice, rice
bran, broken rice and husk. The firm is promoted by Mr.T.Sura Reddy
and his family members. The firm is based in Komaripalem, Andhra
Pradesh.
VISION MINERALS: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Vision
Minerals and Energy (VME) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2.25 CRISIL D (Issuer Not
Cooperating)
Export Packing 6.00 CRISIL D (Issuer Not
Credit & Export Cooperating)
Bills Negotiation/
Foreign Bill
discounting
CRISIL Ratings has been consistently following up with VME 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 VME, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on VME
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
VME continue to be 'CRISIL D Issuer Not Cooperating'.
VME was established in 2007 by Mr. Sikander Alam as a
proprietorship firm. It sells drilling fluids and mud chemicals to
oil and gas drilling and exploration companies. VME has a presence
in the domestic as well as export market and is based in Delhi.
WORLDS WINDOW: Insolvency Resolution Process Case Summary
---------------------------------------------------------
Debtor: Worlds Window Infrastructure and Logistics Pvt Ltd
F-35/4, Ground Floor
Okhla Industrial Area
Phase-II New Delhi
South Delhi, DL 110020
IN
Insolvency Commencement Date: March 15, 2022
Court: National Company Law Tribunal, Delhi Bench
Estimated date of closure of
insolvency resolution process: September 3, 2022
Insolvency professional: Navjit Singh
Interim Resolution
Professional: Navjit Singh
218-A, 1st Floor
Shop No. 04, Rama Market
Pitampura, Delhi 110034
E-mail: navjit92ca.ip@gmail.com
wwilpl.cirp2022@gmail.com
Last date for
submission of claims: March 29, 2022
=========
J A P A N
=========
TOSHIBA CORP: Shareholders Vote Down Restructuring Plan
-------------------------------------------------------
Associated Press reports that shareholders of Toshiba Corp. voted
down a major restructuring plan on March 24, in a setback for the
company's management.
AP relates that the plan proposed last month called for splitting
Tokyo-based Toshiba Corp. into two companies, one focused on
infrastructure and the other on devices. The latter would have been
spun off.
Some shareholders, including foreign investment funds and
U.S.-based proxy advisory firm Institutional Shareholders Services,
opposed the plan.
According to the report, Toshiba management had scrapped an earlier
proposal for a three-way split and put forward the latest plan,
which was put to a vote at an extraordinary shareholders' meeting
on March 24.
That new plan failed to win a majority of votes, in a huge setback
for Toshiba management, which had defended the new plan as less
costly and more stable. One top executive had characterized the
move as the company's "last chance" to fix its brand power and win
back people's trust, the report relays.
AP says shareholders also rejected a proposal from major
shareholder 3D Investment Partners, based in Singapore, asking for
a fuller objective review of strategic alternatives, including a
buyout.
During the meeting, shareholders, including several who identified
themselves as former Toshiba workers, got up and said the
restructuring plan wasn't in the best interests of Toshiba or its
employees. Others said splitting a company won't produce value.
Toshiba management had defended the new plan as less costly and
more stable than possible alternatives, AP relates.
AP notes that Toshiba's fortunes have fallen since the March 2011
Fukushima nuclear disaster, when a tsunami in northeastern Japan
sent three reactors into meltdowns. Toshiba is involved with the
costly and precarious decommissioning effort, which will take
decades.
The company's reputation was also tarnished by an accounting
scandal, which involved books being doctored for years.
AO notes that the company has also seen managerial upheaval. Last
year, Nobuaki Kurumatani abruptly resigned as Toshiba president.
Kurumatani had headed global fund CVC Capital Partners' Japan
operations before joining Toshiba in 2018.
Kurumatani was replaced by Satoshi Tsunakawa, a veteran at Toshiba,
who served as chief executive from 2016. Tsunakawa recently
announced his resignation, though he remained as chairman.
Taro Shimada, an executive officer and corporate senior vice
president, was tapped as president in an interim move. Shimada was
an executive at Siemens, both in Japan and the U.S., before joining
Toshiba's digital operations in 2018.
If approved at a regular shareholders' meeting in June, Shimada
will become Toshiba's first chief executive with a background in
digital technology, AP says.
"We will take into consideration the opinions of the shareholders
and will continue to study how we can boost the value of our
company," Shimada told shareholders on March 24.
About Toshiba Corp.
Toshiba Corporation (TYO:6502) -- http://www.toshiba.co.jp/--
manufactures and markets electrical and electronic products. The
Company's products include digital products such as PCs and
televisions, NAND flash memories, and system LSIs (large-scale
integrated), as well as social infrastructures such as power
generators, medical equipment, and home appliances.
As reported in the Troubled Company Reporter-Asia Pacific on Nov.
18, 2021, S&P Global Ratings has placed its 'BB+' long-term issuer
credit rating on Toshiba Corp. on CreditWatch with negative
implications. At the same time, S&P affirmed its 'B' short-term
issuer credit and commercial paper program ratings.
===============
M A L A Y S I A
===============
SUMATEC RESOURCES: Delisted From Bursa Malaysia's Main Market
-------------------------------------------------------------
Sulhi Khalid at theedgemarkets.com reports that Practice Note 17
(PN17) company Sumatec Resources Bhd was delisted from Bursa
Malaysia's Main Market on March 24.
The delisting is pursuant to paragraph 16.11(2)(d)(ii) of the Main
Market Listing Requirements, which states that the stock market
operator shall de-list a listed issuer upon the winding up of the
latter.
In a Dec. 27, 2021 filing, Sumatec said there was no legal
challenge or proceedings filed against the winding-up order granted
by the High Court, theedgemarkets.com recalls.
"The liquidator is of the view that the company is unable to
regularise the financial position in accordance with PN17 of the
[Main Market Listing Requirements]. As such, the liquidator does
not have any objection on the delisting of the company as per the
letter," it added.
To recap, in August 2018, a winding-up petition was filed by
Sumatec's bondholders, namely Kerisma Bhd, Capone Bhd and Prima Uno
Bhd, who demanded the repayment of RM83.31 million from three
collateralised loans they had extended to the company, according to
the report.
Shares in the upstream oil and gas service operator have remained
suspended since November 2019 after it failed to submit its
quarterly report to the stock exchange operator, the report noes.
About Sumatec Resources
Sumatec Resources Berhad offers services to the oil and natural gas
industry. The Company offers engineering and construction services,
offers marine transport services of oil, provides onshore drilling
rigs and related equipment, stores oil, and explores and develops
marginal oil fields. Sumatec also builds biomass fueled power
plants, and explores and mines for metals.
Sumatec Resources Bhd has been admitted into the Practice Note 17
(PN17) category after its external auditors Grant Thornton
Malaysia's disclaimer opinion on its financial statements ended
December 31, 2017. The auditors said Sumatec's ability to continue
as going concern is dependent on a series of corporate exercises
including a proposed acquisition of Markmore Energy (Labuan) Ltd
(MELL) from its controlling stakeholder Tan Sri Halim Saad.
=====================
N E W Z E A L A N D
=====================
MEDIASPHERE NEW ZEALAND: Creditors' Proofs of Debt Due on April 27
------------------------------------------------------------------
Creditors of Mediasphere New Zealand Limited are required to file
their proofs of debt by April 27, 2022, to be included in the
company's dividend distribution.
Iain Bruce Shephard and Jessica Jane Kellow were appointed
liquidators of the company by a special resolution of the
shareholders on March 22, 2022.
The company's liquidators are:
BDO Wellington
Level 1, 50 Customhouse Quay
Wellington 6011
MY TRUSTEE: Court to Hear Wind-Up Petition on April 1
-----------------------------------------------------
A petition to wind up the operations of My Trustee Company (Beach
Road) Limited will be heard before the High Court at Auckland on
April 1, 2022, at 10:00 a.m.
Kupe Trustee Company Limited and Kupe Trustee Company No.2 Limited
filed the petition against the company on Dec. 20, 2021.
The Petitioner's solicitors are:
A. E. Hansen
L. A. Sheppard
Heimsath Alexander Solicitors
Level 1, Shed 22, Prince's Wharf
147 Quay Street, Auckland
NKA SERVICES: Court to Hear Wind-Up Petition on April 1
-------------------------------------------------------
A petition to wind up the operations of NKA Services Limited will
be heard before the High Court at Auckland on April 1, 2022, at
10:45 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on July 7, 2021.
The Petitioner's solicitor is:
Cloete Van der Merwe
Inland Revenue, Legal Services
5 Osterley Way
Manukau City, Auckland 2104
PROLOGIS CORP: Court to Hear Wind-Up Petition on April 1
--------------------------------------------------------
A petition to wind up the operations of Prologis Corporation
Limited will be heard before the High Court at Auckland on April 1,
2022, at 10:00 a.m.
Kupe Trustee Company Limited and Kupe Trustee Company No.2 Limited
filed the petition against the company on Dec. 20, 2021.
The Petitioner's solicitors are:
A. E. Hansen
L. A. Sheppard
Heimsath Alexander Solicitors
Level 1, Shed 22, Prince’s Wharf
147 Quay Street, Auckland
ROYALE BIOTECH: Court to Hear Wind-Up Petition on April 1
---------------------------------------------------------
A petition to wind up the operations of Royale Biotech Group
Limited will be heard before the High Court at Auckland on April 1,
2022, at 10:00 a.m.
Hi Globe International Trading Limited filed the petition against
the company on Dec. 16, 2021.
The Petitioner's solicitor is:
Jason Wach
James and Wells
Level 2, 123 Carlton Gore Road
Newmarket, Auckland 1923
=================
S I N G A P O R E
=================
ACTIVE BUILDING: Deloitte Appointed as Provisional Liquidators
--------------------------------------------------------------
Lim Loo Khoon and Tan Wei Cheong of Deloitte on March 14, 2022,
were appointed as provisional liquidators of Active Building
Technologies Pte Ltd.
The provisional liquidators are:
Lim Loo Khoon
Tan Wei Cheong
Deloitte
6 Shenton Way OUE Downtown 2 #33-00
Singapore 068809
BEAR DEVELOPMENT: Court to Hear Wind-Up Petition on April 1
-----------------------------------------------------------
A petition to wind up the operations of Bear Development
(Singapore) Pte. Ltd will be heard before the High Court of
Singapore on April 1, 2022, at 10:00 a.m.
Sinopec Chemical Commercial Holding (Hong Kong) Company Limited
filed the petition against the company on March 11, 2022.
The Petitioner's solicitor is:
Virtus Law LLP
One Raffles Place #18-61 Tower 2
Singapore 048616
CHINA PETROLEUM: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Singapore entered an order on March 11, 2022, to
wind up the operations of China Petroleum and Gas (S) Pte. Ltd.
Zheshang Development Group Co. Ltd. filed the petition against the
company.
The company's liquidators are:
Mr. Gary Loh Weng Fatt and
Mr. Leow Quek Shiong
c/o BDO Advisory Pte. Ltd.
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
MITSUBISHI CHEMICAL: Creditors' Proofs of Debt Due April 22
-----------------------------------------------------------
Creditors of Mitsubishi Chemical Infonics Pte Ltd, 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 16, 2022.
The company's liquidators can be reached at:
Thio Khiaw Ping Kelvin
Chan Li Shan
c/o Agile 8 Solutions Pte. Ltd.
133 Cecil Street, #14-01 Keck Seng Tower
Singapore 069535
MULHACEN PTE: S&P Raises ICR to 'CCC+/C' on Bond Restructuring
--------------------------------------------------------------
S&P Global Ratings raised its long- and short-term issuer credit
rating on Singapore-based nonoperating holding company Mulhacen
Pte. Ltd. (Mulhacen) to 'CCC+/C' from 'D/D'. The outlook is
stable.
The stable outlook reflects that, even if S&P believes Mulhacen's
financial commitments may be unsustainable in the long term, it
does not anticipate a credit or payment crisis within the next 12
months.
Mulhacen recently completed its bond restructuring, which S&P
Global Ratings viewed as distressed. The restructuring involved the
issuance of two new-lien payment-in-kind (PIK) facilities, due
2026, on which Mulhacen acts as guarantor.
S&P said, "Mulhacen's bond restructuring has extended the group's
debt maturity profile but not significantly reduced the overall
debt burden, while Mulhacen's capacity to honor financial
obligations remains low.On March 18, 2022, Mulhacen announced the
completion of its EUR557 million PIK toggle bond restructuring,
which we considered distressed and tantamount to a default. The
transaction included Mulhacen's owner Teide issuing new first- and
second-lien facilities, due 2026, totaling about EUR600 million.
Mulhacen acts as guarantor for both facilities and remains liable
for a significant amount of debt. Therefore, we believe the
transaction has not significantly enhanced the group's overall
capacity to honor its financial obligations, since the overall debt
burden remains very high. In particular, as reflected in our
'CCC+/C' issuer credit ratings, we think that Mulhacen's ability to
fully service the obligations, which it guarantees, depends on
favorable business, financial, and economic conditions.
"We anticipate that WiZink will remain loss-making this year,
before returning to modest profits by 2023, which will constrain
its ability to upstream dividends to its parent. Alongside
Mulhacen's debt restructuring, WiZink received a EUR250 million
capital injection. We anticipate that the bank will deploy most of
it to enhance provisions for legal claims, while remaining
loss-making in 2022 and only returning to modest profits next year.
In turn, this will weigh on its ability to upstream dividends to
Mulhacen, and the latter to Teide. The facilities issued by Teide
are both PIK, which allows the issuer to pay the coupon through new
debt rather than cash. We believe it is possible upcoming coupon
payments might be paid in kind if Teide and Mulhacen don't have
enough cash, leading to further accumulation of debt on the group's
balance sheet. However, in our view, Mulhacen as obligor will not
face a credit or payment crisis within the next 12 months, since
payments in kind don't constitute a default according to our
methodology, and the facilities are due in a longer time horizon,
by 2026.
"The distressed restructuring and default on Mulhacen's debt do not
affect WiZink's ongoing operations. Like when Mulhacen announced
its restructuring proposal, we have maintained our group credit
profile at 'b+'. WiZink is regulated by the Bank of Spain. With the
EUR250 million capital injection, it will operate with a more
comfortable buffer over the regulatory requirement. We anticipate
that its risk-adjusted capital (RAC) ratio will strengthen toward
9.0% over the next 12-18 months, compared to our previous
expectation of closer to 7.0%. At the same time, we believe that
WiZink's deposits remain highly sensitive to the rates it pays on
them and to depositors' confidence. However, our base case remains
that deposit outflows will be contained because the bank could
introduce various measures to retain them. This was evident in
2020, when, despite the negative ruling by Spain's Supreme Court,
deposits increased by 13% year on year.
"The stable outlook reflects that, even if we believe Mulhacen's
financial commitments may be unsustainable in the long term, we do
not anticipate a credit or payment crisis within the next 12
months. This is because its parent's facilities -- on which
Mulhacen acts as guarantor -- are due in 2026 and the coupons can
be paid in kind, rather than in cash."
S&P could lower its ratings on Mulhacen if:
-- S&P anticipates that the entity will not fully honor its
obligations over the next 12 months; or
-- WiZink's funding profile weakens because its depositors'
confidence starts to wane, and S&P concludes that its business
model is no longer viable and this will ultimately impair
Mulhacen's repayment capacity.
Although highly unlikely, S&P could raise its ratings on Mulhacen
over the next 12 months if WiZink's business and financial profiles
improve substantially, and concerns on its capacity to upstream
dividends to Mulhacen vanish, leading it to conclude that
Mulhacen's ability to meet its financial commitments has
strengthened significantly.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman,
Editors.
Copyright 2022. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
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*** End of Transmission ***