/raid1/www/Hosts/bankrupt/TCRAP_Public/220328.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Monday, March 28, 2022, Vol. 25, No. 56
Headlines
A U S T R A L I A
CLIMATE CHANGE: Second Creditors' Meeting Set for April 1
THINK TANK 2022-1: S&P Assigns Prelim. B Rating on Cl. F Notes
THUMING PTY: First Creditors' Meeting Set for April 6
XCELLERATOR PTY: Second Creditors' Meeting Set for April 4
C H I N A
CIFI HOLDINGS: 2021 Net Profit Falls 5.2% to CNY7.61 Billion
LOGAN GROUP: S&P Withdraws 'CCC-' LongTerm Issuer Credit Rating
SUNAC CHINA: Fitch Lowers IDR to 'CC' on Rising Liquidity Risk
SUNAC CHINA: Warns of Likely Default on US$940MM in Onshore Bonds
TD HOLDINGS: Incurs $940,000 Net Loss in 2021
YUZHOU GROUP: Seeks Government Bailout of US$548-Million Bonds
I N D I A
AARNA FOUNDATION: CRISIL Keeps B+ Debt Rating in Not Cooperating
AMRUT DREDGING: CRISIL Keeps B Debt Ratings in Not Cooperating
ANNA TROUVER: CRISIL Keeps B Debt Rating in Not Cooperating
ANSAL URBAN: Insolvency Resolution Process Case Summary
BANGALORE INSTITUTE: CRISIL Keeps D Ratings in Not Cooperating
BHARTIA DISTRIBUTORS: CRISIL Withdraws B Rating on INR22cr Loan
DEHRADUN INTEGRATED: Insolvency Resolution Process Case Summary
DN PAPER: CRISIL Lowers Rating on INR12cr Bank Loans to B
FORE REPRESENTATIONS: Insolvency Resolution Process Case Summary
FORTIGO NETWORK: Voluntary Liquidation Process Case Summary
GANESH DEPARTMENT: CRISIL Keeps B Debt Ratings in Not Cooperating
GANESH ENTERPRISES: CRISIL Withdraws D Rating on INR7.5cr Loan
GC PROPERTY PRIVATE: Insolvency Resolution Process Case Summary
GEV PROJECTS: CRISIL Keeps B Debt Rating in Not Cooperating
HARSHA AUTOMOTIVE: CRISIL Keeps B Debt Ratings in Not Cooperating
HARYANA RICE: CRISIL Moves B Debt Rating from Not Cooperating
HYQUIP SYSTEMS: Ind-Ra Moves B- Issuer Rating to Non-Cooperating
ICON DESIGN: CRISIL Reaffirms B+ Rating on INR4cr Cash Loan
ICON DEVELOPERS: CRISIL Keeps B+ Debt Rating in Not Cooperating
INDOWIND ENERGY: Insolvency Resolution Process Case Summary
INTEGRATED SPACES: CRISIL Keeps D Debt Ratings in Not Cooperating
JAIN SARVODAYA: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
JALNA SIDDHIVINAYAK: Ind-Ra Cuts Long Term Issuer Rating to 'D'
KAMAL TIMBERS: Ind-Ra Moves BB LT Issuer Rating to Non-Cooperating
KHALATKAR CONSTRUCTION: Ind-Ra Keeps BB Rating in Non-Cooperating
KUNDLI MANESAR: Ind-Ra Affirms 'D' Term Loan Rating
LAXMI ENGINEERING: Insolvency Resolution Process Case Summary
LIOLI CERAMICA: CRISIL Withdraws B- Rating on INR40.14cr Loan
M.M. COTTON: CRISIL Keeps B Debt Ratings in Not Cooperating
MAHAVIR RICHAB: Insolvency Resolution Process Case Summary
MARUTI MEDITECH: ICRA Keeps B+ Debt Ratings in Not Cooperating
MODERN GLASS: ICRA Keeps D Debt Ratings in Not Cooperating
MUPPA AKSHAJA: CRISIL Withdraws B+ Rating on INR17cr LT Loan
NARCINVA DAMODAR: CRISIL Keeps B- Debt Rating in Not Cooperating
NH ROAD: Ind-Ra Affirms BB Sr. Bank Loan Rating, Outlook Negative
OCTAGON COMMUNICATIONS: Insolvency Resolution Process Case Summary
OM GRAM: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating
PATIL CONSTRUCTION: Ind-Ra Keeps 'D' Rating in Non-Cooperating
PITTI CASTINGS: Ind-Ra Hikes Long-Term Issuer Rating to 'BB'
PN WRITER: Ind-Ra Affirms 'BB+' LT Issuer Rating, Outlook Stable
PREETHI HOSPITALS: Ind-Ra Hikes Long-Term Issuer Rating to 'BB+'
RAINBOW RICE: CRISIL Keeps B+ Debt Ratings in Not Cooperating
RAJARATNA MILLS: Ind-Ra Moves 'BB' Issuer Rating to Non-Cooperating
SARAF GARTEX: Insolvency Resolution Process Case Summary
SAVI LEATHERS: Ind-Ra Cuts Long-Term Issuer Rating to 'D'
SAVUTE TEXTILES: Insolvency Resolution Process Case Summary
SHOBHAGLOBS ENGINEERS: ICRA Keeps B Ratings in Not Cooperating
SNG TECHNO BUILD: Insolvency Resolution Process Case Summary
SUPERDRAWN WIRE: Insolvency Resolution Process Case Summary
SUPERTECH LTD: Starts Insolvency Process; 25K Homebuyers Affected
THIRU AROORAN: ICRA Keeps D Debt Ratings in Not Cooperating
UM AUTOCOMP PRIVATE: Insolvency Resolution Process Case Summary
UNICON TECHNOLOGY: Ind-Ra Moves 'BB-' Rating to Non-Cooperating
UNISHIRE LIFESTYLE: Insolvency Resolution Process Case Summary
VANILLA CLEAN: Ind-Ra Hikes Loan Rating to BB-, Outlook Stable
VARANASI STP: Ind-Ra Cuts Bank Loan Rating to 'D', Outlook Stable
WRITER LIFESTYLE: Ind-Ra Affirms BB+ Long Term Issuer Rating
M A L A Y S I A
JERASIA CAPITAL: Founder Yap Fuh Kong & Daughter Exit Board
N E W Z E A L A N D
ALPHANUMERIC PROCESSING: Creditors' Proofs of Debt Due on April 27
OTAGO HOMES: Creditors Meeting Set This Week
REWARDS MARKETING: Creditors' Proofs of Debt Due on April 29
S I N G A P O R E
QUANT IMPEX: Court to Hear Wind-Up Petition on April 8
RADIUS EXPERIENTIAL: Court to Hear Judicial Mgmt. Bid on March 31
RHODIUM TRADING: Court Enters Wind-Up Order
TE AWA: Commences Wind-Up Proceedings
WORLD TECH: Commences Wind-Up Proceedings
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A U S T R A L I A
=================
CLIMATE CHANGE: Second Creditors' Meeting Set for April 1
---------------------------------------------------------
A second meeting of creditors in the proceedings of Climate Change
Technologies Pty Ltd has been set for April 1, 2022, at 12:00 p.m.
via Zoom.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by March 31, 2022, at 5:00 p.m.
Ivan Glavas and Matthew Kucianski of Worrells Solvency & Forensic
Accountants were appointed as administrators of Climate Change on
Feb. 24, 2022.
THINK TANK 2022-1: S&P Assigns Prelim. B Rating on Cl. F Notes
--------------------------------------------------------------
S&P Global Ratings assigned its preliminary ratings to eight of the
nine classes of residential mortgage-backed, floating rate,
pass-through notes to be issued by BNY Trust Co. of Australia Ltd.
as trustee of Think Tank Residential Series 2022-1 Trust.
Think Tank Series 2022-1 Trust is a securitization of loans to
residential borrowers, secured by first-registered mortgages over
Australian residential properties originated by Think Tank Group
Pty Ltd. (Think Tank).
The preliminary ratings reflect:
-- S&P's view of the credit risk of the underlying collateral
portfolio, including the fact that this is a closed portfolio,
which means no further loans will be assigned to the trust after
the closing date.
-- S&P views that the credit support is sufficient to withstand
the stresses it applies. This credit support comprises note
subordination for each class of rated note.
-- That the transaction's cash flows can meet timely payment of
interest and ultimate payment of principal to the noteholders under
the rating stresses. Key factors are the level of subordination
provided, the condition that a minimum margin will be maintained on
the assets, an amortizing liquidity facility sized at 1.5% of the
outstanding balance of the rated notes, and the principal draw
function.
-- The extraordinary expense reserve of A$150,000, funded from day
one by Think Tank, available to meet extraordinary expenses.
-- The reserve will be topped up via excess spread if drawn.
-- The legal structure of the trust, which has been established as
a special-purpose entity and meets our criteria for insolvency
remoteness.
-- The counterparty exposure to Commonwealth Bank of Australia as
bank account provider and liquidity facility provider. The
transaction documents for the bank account and liquidity facility
include downgrade language consistent with S&P's counterparty
criteria.
Preliminary Ratings Assigned
Think Tank Residential Series 2022-1 Trust
Class A1-S, A$100.00 million: AAA (sf)
Class A1-L, A$300.00 million: AAA (sf)
Class A2, A$52.50 million: AAA (sf)
Class B, A$23.50 million: AA (sf)
Class C, A$9.50 million: A (sf)
Class D, A$5.50 million: BBB (sf)
Class E, A$4.00 million: BB (sf)
Class F, A$2.50 million: B (sf)
Class G, A$2.50 million: Not rated
THUMING PTY: First Creditors' Meeting Set for April 6
-----------------------------------------------------
A first meeting of the creditors in the proceedings of Thuming Pty
Ltd (trustee for 'AGR Family Trust', trading as 'Moose Industries')
will be held on April 6, 2022, at 10:30 a.m. via virtual meeting
technology.
Nicholas David Cooper of Oracle Insolvency Services was appointed
as administrator of Thuming Pty on March 25, 2022.
XCELLERATOR PTY: Second Creditors' Meeting Set for April 4
----------------------------------------------------------
A second meeting of creditors in the proceedings of Xcellerator Pty
Ltd (MeStudent) has been set for April 4, 2022, at 10:00 a.m. via
virtual meeting technology.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by April 1, 2022, at 12:00 p.m.
Glen Kanevsky and Salvatore Algeri of Deloitte were appointed as
administrators of Xcellerator Pty on Feb. 28, 2022.
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C H I N A
=========
CIFI HOLDINGS: 2021 Net Profit Falls 5.2% to CNY7.61 Billion
------------------------------------------------------------
Anniek Bao at Dow Jones Newswires reports that CIFI Holdings
(Group) Co. reported that net profit in 2021 fell 5.2% to CNY7.61
billion (US$1.19 billion) because of fair-value loss on investments
in equity instruments.
Revenue grew by 50.2% to CNY107.83 billion, supported by higher
property sales, though the cost of sales rose 54.9%, to CNY87.04
billion, CIFI said March 24.
The property developer posted contracted sales of CNY247.3 billion,
up 7.1% from the prior year, Dow Jones discloses.
Dow Jones relates that CIFI said it plans to issue to investors
four bonus shares for every 100 shares held.
As of the end of December, net debt-to-equity ratio fell by 1.2
percentage points to 62.8%, the company said, adding that cash on
hand at the end of year was CNY46.7 billion, Dow Jones relays.
About CIFI Holdings
CIFI Holdings (Group) Co. Ltd. is an investment holding company
principally engaged in property businesses. The Company mainly
operates through three segments. Property Development segment is
engaged in the development and sales of office properties,
commercial properties and residential properties in China. Property
Investment segment is engaged in the leasing of investment
properties developed or purchased by the Company for the rental
income and the appreciation of the properties' values. Property
Management, Project Management and Other Property Related Services
segment is engaged in property management and project management in
China.
As reported in the Troubled Company Reporter-Asia Pacific on Jan.
31, 2022, Fitch Ratings affirmed CIFI Holdings (Group) Co. Ltd.'s
Long-Term Foreign- and Local-Currency Issuer Default Ratings at
'BB'. The Outlook is Stable. Fitch has removed all the ratings from
Under Criteria Observation (UCO), which they were placed on Oct.
20, 2021.
The affirmation reflects Fitch's assessment that CIFI's business
and financial profiles remain commensurate with a 'BB' credit
profile. Fitch believes CIFI's above-average financial flexibility
is supportive of the rating despite its higher leverage of 50%
compared with peers' 40%-45%.
The Stable Outlook reflects Fitch's belief that CIFI's leverage
will drop to below 50% in 2022-2023 and the company will still have
access to both onshore and offshore markets to refinance its
maturities in 2022.
LOGAN GROUP: S&P Withdraws 'CCC-' LongTerm Issuer Credit Rating
---------------------------------------------------------------
S&P Global Ratings withdrew its 'CCC-' long-term issuer credit
rating on Logan Group Co. Ltd. at the company's request. The
outlook was negative at the time of the withdrawal.
S&P has also withdrawn its 'CC' issue rating on the company's
senior unsecured notes.
SUNAC CHINA: Fitch Lowers IDR to 'CC' on Rising Liquidity Risk
--------------------------------------------------------------
Fitch Ratings has downgraded China-based property-developer Sunac
China Holdings Limited's Issuer Default Rating (IDR) to 'CC', from
'B-', and the senior unsecured rating and outstanding senior
unsecured notes to 'CC', from 'B-', with a Recovery Rating
remaining at 'RR4'. All ratings have been removed from Rating Watch
Negative, on which they were placed in March 2022 amid poor
capital-market access and worsening market confidence.
The downgrade reflects Sunac's narrowing margin of safety for
refinancing capital-market maturities. Fitch believes Sunac has to
address around CNY17 billion in maturities by the end of 2022 and
also faces mounting offshore debt repayments due to the
acceleration of principal repayments . Debt repayments hinge on
large asset disposals and the successful refinancing or extension
of bank and trust loans. The downgrade also reflects Sunac's
deteriorating financial transparency, as the company says it will
not publish its audited 2021 results by the deadline at end-March
2022.
The company has not provided further information to Fitch beyond
its public announcements.
KEY RATING DRIVERS
Significant Maturities: Sunac faces significant acceleration of
payments of its offshore debt due to multiple-notch downgrades by
rating agencies. Fitch believes the company may have up to CNY18
billion equivalent (around USD2.8 billion) of offshore debt that
may become immediately due, including loans from banks and non-bank
financial institutions (NBFIs) as well as private placement debt.
The company also has an additional CNY17billion in onshore and
offshore capital-market debt due in 2022, including CNY4.0 billion
in onshore puttable bonds and CNY1.7 billion in onshore
asset-backed securities due in April, USD600 million in offshore
and CNY1.4 billion in onshore bonds due in June, USD600 million in
offshore and CNY2.1 billion in onshore bonds due in August, and
CNY1.3 billion in onshore bonds puttable in September.
Delay in Publishing Audited Results: Based on its stock-exchange
announcement, Sunac will delay the publication of its 2021 audited
results beyond the regulatory deadline of 31 March 2022. Sunac will
instead announce unaudited results by end March. The company says
the delay stems from slow confirmation procedures at banks,
customers and supplies as well as onsite inspections, but Fitch
believes it reflects a deterioration in the company's financial
transparency and information disclosure and will further weaken
Sunac's funding access.
Limited Funding Access: Fitch believes Sunac is unable to access
the onshore and offshore capital markets, but is depending on
internal cash resources, contracted sales proceeds and large asset
disposals to address its 2022 debt maturities. Negative news flow,
including missing interest payments on NBFI loans and principal
payments on commercial bills, has diminished investor confidence.
Sunac has resolved some claims, but has yet to stem the fall in
investor confidence, which is reflected in a collapse in bond
prices. Deterioration in market confidence may further limited
Sunac's funding access.
Asset Disposals to Continue: Sunac is disposing of onshore assets
to improve short-term liquidity. It sold some onshore residential,
cultural and tourism projects since 2H21 and Fitch estimates that
it has received more than CNY5 billion of disposal proceeds since
January 2022. Sunac plans to sell more projects in the next few
months, including residential projects in Beijing and Shanghai, to
state-owned asset-management companies. However, the disposals will
take time and are subject to execution risk.
ESG - Governance: Sunac has an ESG Relevance Score of '4' for
Financial Transparency as it is unable to publish its audited 2021
results by the end-March 2022 regulatory deadline, which has a
negative impact on the credit profile, and is relevant to the
ratings in conjunction with other factors.
ESG - Governance: Sunac has an ESG Relevance Score of '4' for Group
Structure. The company has not fully addressed market concerns on
debt maturities amid limited access to capital, which has a
negative impact on the credit profile, and is relevant to the
ratings in conjunction with other factors.
DERIVATION SUMMARY
Sunac's ratings reflect its low margin of safety in liquidity, as
well as high refinancing needs for the remainder of 2022. The
company is reliant on large asset disposals and the extension of
short-term maturities for liquidity.
KEY ASSUMPTIONS
Fitch's key assumptions within its rating case for the issuer
include:
-- Low single-digit attributable sales growth in 2021, falling by
8%-13% a year in 2022-2023;
-- Contracted sales average selling price of around
CNY14,000/square metre;
-- Gradual decrease in land-bank life.
KEY RECOVERY RATING ASSUMPTIONS
Liquidation Approach
-- 4x EBITDA multiple to derive Sunac's going-concern value.
-- Fitch has assumed a 10% administrative claim in line with
criteria.
-- Application of liquidation value approach, as liquidation of
the assets would result in a higher return to creditors. 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.
-- Fitch applies an 80% advance rate to accounts receivable, up
from 70%, in line with Fitch's Corporates Recovery Ratings and
Instrument Ratings Criteria.
-- Fitch applies a 56% advance rate to net property inventory,
which mainly consists of completed properties held for sale,
properties under development (PUD) and deposits for land
acquisitions. Different advance rates are applied to the
various inventory categories to derive a blended advance rate.
-- Fitch applies a 70% advance rate to completed properties held
for sale. Completed commodity-housing units are closer to
readily marketable inventory. Fitch applies a higher advance
rate than the 50% mentioned in the criteria as Sunac's
historical gross margin for development property is around
21%.
-- Fitch applies a 50% advance rate to PUD, which are more
difficult to sell than completed properties and are at various
stages of completion. Sunac's PUD are mostly in tier one and
two cities and its land-bank life of above three years makes
the book value reasonably close to the market value. The PUD
balance, prior to applying the advance rate, is net of margin
adjusted customer deposits.
-- Fitch applies a 90% advance rate to deposits for land
acquisitions. Land held for development is closer to readily
marketable inventory, similarly to completed commodity-housing
units, provided it is well located. Sunac's land is generally
not located in significantly disadvantaged areas. Therefore,
Fitch applied a higher advance rate than the typical 50%
mentioned in the criteria.
-- Fitch applies a 50% advance rate to the book value of
investment properties and property, plant and equipment, which
mainly consist of hotels, buildings and cultural and tourism
facilities, including some ski facilities in China. Fitch
believes a 50% advance rate is sufficiently conservative, as
Sunac generated a 4.2% annualised yield from these assets.
-- Fitch applies a 50% advance rate to joint-venture net assets,
which typically include completed units, PUD and land bank.
The applied rate is in line with the baseline advance rate for
inventory.
-- Fitch applies a 0% advance rate to excess cash after netting
the amount of trade 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
Factor that could, individually or collectively, lead to positive
rating action/upgrade:
-- Sustained improvement in liquidity, funding access and
contracted sales.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
-- Failure to address upcoming capital-market debt maturities;
-- Deterioration in liquidity and funding access;
-- Announcement of a debt exchange offer that Fitch classifies as
a distressed debt exchange.
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
Decreasing Margin of Safety: Fitch believes Sunac faces rising
refinancing risk, as it has CNY17 billion in capital-market debt
maturities, including onshore bonds, turning puttable in April
2022. It also has significant offshore debt that may be accelerated
and become immediately due. Fitch also believes Sunac's cash and
cash equivalent amount decreased significantly in 2021. Most of the
cash and equivalents are at the project-company level and not
available to service the holding company's debt.
ISSUER PROFILE
Sunac is a large property developer in China, with several other
business segments, such as cultural tourism and property
management. Sunac has been listed on the Hong Kong Stock Exchange
since 2010.
SUMMARY OF FINANCIAL ADJUSTMENTS
Fitch excludes deposits in designated accounts from cash in Fitch's
leverage calculation and include this as inventory. Restricted bank
deposits are included in cash to calculate net debt, as these are
mainly pledged for obtaining bank loans.
ESG CONSIDERATIONS
Sunac has an ESG Relevance Score of '4' for Financial Transparency
as it will not publish audited 2021 results on time, which has a
negative impact on the credit profile, and is relevant to the
ratings in conjunction with other factors.
Sunac also has an ESG Relevance Score of '4' for Group Structure,
as it has not fully addressed market concerns on debt maturities
amid limited access to capital. This 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.
SUNAC CHINA: Warns of Likely Default on US$940MM in Onshore Bonds
-----------------------------------------------------------------
Mingtiandi reports that Sunac China Holdings has become the latest
mainland developer to raise the spectre of default, announcing on
March 25 that it was unlikely to redeem two onshore bonds with a
combined balance of CNY6 billion ($940 million) when they come due
in early April.
The Tianjin-based builder's fast-approaching obligations include a
MYRB 4 billion bond at 4.78 percent interest due on April 1 and a
MYRB 2 billion bond at 7 percent interest due on April 2 - part of
an estimated MYRB 17 billion in onshore and offshore capital-market
debt maturing in 2022, Mingtiandi discloses citing Fitch Ratings.
The company is facing "periodic liquidity difficulties in the near
future" and expects that it will not be able to raise sufficient
funds to repay the two bonds by their due dates, Sunac's onshore
holding firm said in a filing with the Shanghai Stock Exchange on
March 25, the report relays.
Sunac is actively formulating relevant plans and will provide
unlimited joint liability guarantees from chairman Sun Hongbin as a
credit enhancement measure, it said.
With its latest disclosure, Sunac looks set to join the club of
defaulting peers that includes the world's most indebted developer,
China Evergrande, as well as Kaisa Group Holdings, Sinic Holdings,
China Aoyuan and numerous others, according to Mingtiandi.
Mingtiandi says Sunac sounded the alarm on March 21 when it issued
a profit warning and said it was unlikely to publish its 2021
financial results by the March 31 deadline. The group cautioned
that profit attributable to shareholders was expected to have
plunged 85% from 2020, with core net profit down by 50%.
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 expects to resolve the CreditWatch status as soon
as practicable when we have greater visibility on Sunac's
refinancing plans.
The TCR-AP also reported on March, 17, 2022, that Fitch Ratings has
downgraded 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.
TD HOLDINGS: Incurs $940,000 Net Loss in 2021
---------------------------------------------
TD Holdings, Inc. filed with the Securities and Exchange Commission
its Annual Report on Form 10-K disclosing a net loss of $940,357 on
$201.13 million of total revenues for the year ended Dec. 31, 2021,
compared to a net loss of $5.95 million on $28.27 million of total
revenues for the year ended Dec. 31, 2020.
As of Dec. 31, 2021, the Company had $227.44 million in total
assets, $31.56 million in total liabilities, and $195.87 million in
total equity.
The Company has financed its operations primarily through
shareholder contributions, cash flow from operations, borrowings
from third parties and related parties, and equity financing
through private placement and public offerings of its securities.
For the year ended Dec. 31, 2021, the Company reported cash inflows
of $8,034,010 from operating activities. As of Dec. 31, 2021, the
Company positive working capital of about $107 million.
During the year ended Dec. 31, 2021, the Company entered into
additional private placement agreements with certain private
investors and issued 15,000,000 shares of common stock at $1.63 per
share for $24,450,000, issued 16,000,000 shares of common stock at
$1.00 per share for $16,000,000, and issued 19,000,000 units (one
unit contain of one share of common stock and one warrant) at $1.15
per share for $21,850,000, among which $17,427,941 was received in
September 2021, and $4,422,059 was received in October 2021. And
the Company sold unsecured senior convertible promissory notes in
the aggregate principal amount of $6,500,000 and also sold to
certain investor and issued 1,353,468 shares for aggregate gross
proceeds of $2.62 million.
The total gross proceeds from these transactions were $64 million.
The Company expects to use the proceeds from the equity financing
as working capital to expand its commodity trading business.
Based on the foregoing capital market activities, the management
believes that the Company will continue as a going concern in the
following 12 months.
A full-text copy of the Form 10-K is available for free at:
https://bit.ly/3uuuPRD
About TD Holdings
TD Holdings, Inc. is a service provider currently engaging in
commodity trading business and supply chain service business in
China. Its commodities trading business primarily involves
purchasing non-ferrous metal product from upstream metal and
mineral suppliers and then selling to downstream customers. Its
supply chain service business primarily has served as a one-stop
commodity supply chain service and digital intelligence supply
chain platform integrating upstream and downstream enterprises,
warehouses, logistics, information, and futures trading. For more
information, please visit http://ir.tdglg.com.
TD Holdings reported a net loss of $5.95 million for the year ended
Dec. 31, 2020, compared to a net loss of $6.94 million for the year
ended Dec. 31, 2019. As of June 30, 2021, the Company had $186.59
million in total assets, $37.33 million in total liabilities, and
$149.26 million in total equity.
YUZHOU GROUP: Seeks Government Bailout of US$548-Million Bonds
--------------------------------------------------------------
Chen Bo and Han Wei at Caixin Global report that Yuzhou Group
Holdings Co. is seeking support from state-backed investors to take
over $548 million of debts coming due next month as the Chinese
property developer struggles to repay bondholders at home and
abroad.
Fujian-based Yuzhou is in talks with state-backed investors with
the assistance of local authorities to transfer some of its
domestic bonds to new investors, a deal that is likely to offer the
cash-drained company one more year to repay the notes, Caixin
learned from sources close to the company.
About Yuzhou Group
Yuzhou Group Holdings Company Limited is a property developer that
focuses on residential housing in the Yangtze River Delta and the
West Strait Economic Zone. Established in Xiamen in the mid-1990s,
Yuzhou is one of the city's largest developers. The company moved
its headquarters to Shanghai in 2016.
As recently reported in the Troubled Company Reporter-Asia Pacific,
Fitch Ratings has downgraded China-based property developer Yuzhou
Group Holdings Company Limited's Long-Term Foreign-Currency Issuer
Default Rating (IDR) to 'RD' (Restricted Default) from 'C' on the
completion of an exchange offer. The rating actions are in
accordance with Fitch's rating definitions. The senior unsecured
rating of Yuzhou has been affirmed at 'C', with a Recovery Rating
of 'RR4'.
=========
I N D I A
=========
AARNA FOUNDATION: CRISIL Keeps B+ Debt Rating in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Aarna
Foundation (AF) continues to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 1 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with AF 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 AF, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AF is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of AF
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Set in 2001, AF operates schools in Lucknow UP . AF is also is
engaged in providing various schemes operated by state and central
Govt. and surrounding areas. AF is currently managed by Mr. Rahul
Singh (Managing Director).
AMRUT DREDGING: CRISIL Keeps B Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Amrut
Dredging And Shipping Limited (ADS) continue to be 'CRISIL
B/Stable/CRISIL A4 Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 2 CRISIL A4 (Issuer Not
Cooperating)
Cash Credit 2.75 CRISIL B/Stable (Issuer Not
Cooperating)
Long Term Loan 5 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ADS 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 ADS, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ADS
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ADS continues to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.
ADS, is a Mumbai based company involved in dredging activities. It
was incorporated in 2014 Mr. Pawan Gandhi and Mr. Amrut Gandhi are
the promoters.
ANNA TROUVER: CRISIL Keeps B Debt Rating in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Anna Trouver
Export Agenzia (ATEA) continue to be 'CRISIL B/Stable/CRISIL A4
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Export Packing 3.0 CRISIL B/Stable (Issuer Not
Credit Cooperating)
Foreign Bill 2.5 CRISIL A4 (Issuer Not
Negotiation Cooperating)
CRISIL Ratings has been consistently following up with ATEA 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 ATEA, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ATEA
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ATEA continue to be 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'.
ATEA was established in 2006 by Mr. P. Binoy as a proprietorship
firm in Tiruppur, Tamil Nadu. The firm manufactures and exports
knitted garments. Its unit in Tirupur has facilities for cutting,
stitching, and packaging of garments.
ANSAL URBAN: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Ansal Urban Condominiums Private Limited
115, Ansal Bhawan
16, Kasturba Gandhi Marg
New Delhi 110001
Insolvency Commencement Date: March 12, 2022
Court: National Company Law Tribunal, Gurugram Bench
Estimated date of closure of
insolvency resolution process: September 6, 2022
Insolvency professional: Mr. Rajesh Ramnani
Interim Resolution
Professional: Mr. Rajesh Ramnani
D-44, Second Floor
Naraina Vihar
New Delhi 110028
E-mail: rajeshramnani2407@gmail.com
- and –
83, National Media Centre
Shanker Chowk, Nr. Ambiance Mall
DLF Cyber City, Gurugram 122002
E-mail: cirp.ansalurban@gmail.com
Classes of creditors: Home Buyers
Insolvency
Professionals
Representative of
Creditors in a class: Mr. Vikky Dang
Mr. Prabhat Ranjan Singh
Mr. Sumit Shukla
Last date for
submission of claims: March 24, 2022
BANGALORE INSTITUTE: CRISIL Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bangalore
Institute of Gastroenterology Private Limited (BIG) continue to be
'CRISIL D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Overdraft Facility 2 CRISIL D (Issuer Not
Cooperating)
Term Loan 10 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BIG 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 BIG, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BIG
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BIG continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Incorporated in 2013, BIG has set up a 100-bed gastroenterology
specialty hospital in Jayanagar (Bangalore). The company is owned
and managed by Dr. Ramesh Reddy, Dr. S Divakara Murthy, Dr.
Preethan K.N., Dr. R Sahadev and Dr Tejeswi S. Gutti who are
gastroenterology specialists. The hospital was set up with an aim
to provide one stop solution for gastrointestinal, hepatobiliary
and pancreatic diseases.
BHARTIA DISTRIBUTORS: CRISIL Withdraws B Rating on INR22cr Loan
---------------------------------------------------------------
CRISIL Ratings has withdrawn its rating on the bank facilities of
Bhartia Distributors Private Limited (BDPL) on the request of the
company and after receiving no objection certificate from the bank.
The rating action is in-line with CRISIL Rating's policy on
withdrawal of its rating on bank loan facilities.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL B/Stable/Issuer Not
Cooperating (Withdrawn)
Electronic Dealer 22 CRISIL B/Stable/Issuer Not
Financing Scheme Cooperating (Withdrawn)
(e-DFS)
Proposed Long Term 5 CRISIL B/Stable/Issuer Not
Bank Loan Facility Cooperating (Withdrawn)
Proposed Short Term 2 CRISIL A4/Issuer Not
Bank Loan Facility Cooperating (Withdrawn)
CRISIL Ratings has been consistently following up with BDPL for
obtaining information through letters and emails dated January 30,
2021 and July 9, 2021 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward-looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BDPL. This restricts CRISIL
Ratings' ability to take a forward-looking view on the credit
quality of the entity. CRISIL Ratings believes that rating action
on BDPL is consistent with 'Assessing Information Adequacy Risk'.
CRISIL Ratings has continued the ratings on the bank facilities of
BDPL to 'CRISIL B/Stable/CRISIL A4 Issuer not cooperating'.
BDPL, incorporated in 2000, is one of the largest distributors of
TSL's cold-rolled, hot-rolled, and galvanized plain flat products
in Odisha. In fiscal 2010, the company started trading in steel
long products, primarily manufactured by local players. Trading of
pipes commenced in fiscal 2014. In fiscal 2017, the company started
trading in long products for Rashtriya Ispat Nigam Limited (RINL)
and SAIL. Operations are managed by Mr. Kishan Lal Agarwal and his
son, Mr. Rahul Agarwal.
DEHRADUN INTEGRATED: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: Dehradun Integrated Arena Limited
23, Raipur Road
Dehradun 248001
Insolvency Commencement Date: March 2, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: August 29, 2022
Insolvency professional: Anshul Pathania
Interim Resolution
Professional: Anshul Pathania
901, Sunset Heights
Hatiskar Marg, Prabhadevi
Mumbai 400025
E-mail: anshul.pathania@gmail.com
cirpdial@gmail.com
Last date for
submission of claims: March 29, 2022
DN PAPER: CRISIL Lowers Rating on INR12cr Bank Loans to B
---------------------------------------------------------
CRISIL Ratings has revised the ratings on bank facilities of DN
Paper Mill (DNPM) to 'CRISIL B/Stable Issuer Not Cooperating' from
'CRISIL BB-/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Proposed Working 1 CRISIL B/Stable (ISSUER NOT
Capital Facility COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
Term Loan 6 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB-/Stable ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with DNPM 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 DNPM, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on DNPM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
DNPM Revised to 'CRISIL B/Stable Issuer Not Cooperating' from
'CRISIL BB-/Stable Issuer Not Cooperating'.
Established in 2015, DNPM, a partnership firm of Mr. Nileshbhai
Parsottambhai Mungara and Mrs Alpaben Nileshbhai Mungara,
manufactures kraft paper. Its facility is based in Rajkot,
Gujarat.
FORE REPRESENTATIONS: Insolvency Resolution Process Case Summary
----------------------------------------------------------------
Debtor: Fore Representations & Travels Private Limited
A-333, A Wing, IInd Floor
New Sabzi Mandi
Azadpur, Delhi 110033
Insolvency Commencement Date: February 11, 2022
Court: National Company Law Tribunal, Gurugram Bench
Estimated date of closure of
insolvency resolution process: June 21, 2022
Insolvency professional: Mr. Rajesh Ramnani
Interim Resolution
Professional: Mr. Rajesh Ramnani
D-44, Second Floor
Naraina Vihar
New Delhi 110028
E-mail: rajeshramnani2407@gmail.com
- and -
83, National Media Centre
Shanker Chowk, Nr. Ambiance Mall
DLF Cyber City, Gurugram 122002
E-mail: cirp.fore@gmail.com
Last date for
submission of claims: February 25, 2022
FORTIGO NETWORK: Voluntary Liquidation Process Case Summary
-----------------------------------------------------------
Debtor: Fortigo Network Finance Private Limited
No. 17, AEGIS Building
1st A Cross, 5th Block
Kormangala, Bangalore 560095
Liquidation Commencement Date: March 7, 2022
Court: National Company Law Tribunal, Bangalore Bench
Insolvency professional: Amaranath Ambati Shivashankar
Interim Resolution
Professional: Amaranath Ambati Shivashankar
16/1, Gurukrupa
10th Cross, 13th Main
Srinagar, Bangalore 560050
Tel: +91 98809 79996
E-mail: amaranathambati@gmail.com
Last date for
submission of claims: April 10, 2022
GANESH DEPARTMENT: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ganesh
Department Stores (GDS) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7.5 CRISIL B/Stable (Issuer Not
Cooperating)
Long Term Loan 0.5 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with GDS 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 GDS, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GDS
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
GDS continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
GDS is engaged in organized retail business and has 7 stores in
Coimbatore and Tiruppur. The firm started operations in 2004 with
its first store in Pollachi (Coimbatore). The firm is promoted by
Mr. G. Murugiah, Mr. G. Selva Murugan, Mr. G. Senthi Vel and Mr. G.
Saravanan.
GANESH ENTERPRISES: CRISIL Withdraws D Rating on INR7.5cr Loan
--------------------------------------------------------------
CRISIL Ratings has withdrawn its rating on the bank facilities of
Shri Ganesh Enterprises (SGE) on the request of the company and
after receiving no objection certificate from the bank. The rating
action is in-line with CRISIL Rating's policy on withdrawal of its
rating on bank loan facilities.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1 CRISIL D/Issuer Not
Cooperating (Withdrawn)
Import Letter of 7.5 CRISIL D/Issuer Not
Credit Limit Cooperating (Withdrawn)
CRISIL Ratings has been consistently following up with SGE for
obtaining information through letters and emails dated March 8,
2022 and March 12, 2022 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SGE. This restricts CRISIL
Ratings' ability to take a forward looking view on the credit
quality of the entity. CRISIL Ratings believes that rating action
on SGE is consistent with 'Assessing Information Adequacy Risk'.
CRISIL Ratings has migrated the ratings on the bank facilities of
SGE to 'CRISIL D/CRISIL D Issuer not cooperating'.
CRISIL Ratings has withdrawn its rating on the bank facilities of
SGE on the request of the company and after receiving no objection
certificate from the bank. The rating action is in-line with CRISIL
Rating's policy on withdrawal of its rating on bank loan
facilities.
SGE was set in 2001, it's engage in the business of Import of
Carbon Black, Synthetic Rubber, Natural Rubber, Rubber Process Oil
etc. and also trading in DEPB license. SGE is owned & managed by
Mr. Amit Jain and Mrs. Rachna Jain. The firm ventured into trading
of hardware products like PVC foam board, PVC coated weld mesh, GI
weld mesh etc from September 2019.
GC PROPERTY PRIVATE: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: G.C. Property Private Limited
Bhupati Chambers, 5th Floor
13, Mathews Road
Charni Road, Mumbai
MH 400004
Insolvency Commencement Date: March 22, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: September 7, 2022
Insolvency professional: Rajesh Jhunjhunwala
Interim Resolution
Professional: Rajesh Jhunjhunwala
A51, Aashit Apartment
H B Gawde Marg
Stanburg Estate
Juhu Koliwada
Mumbai 400049
E-mail: jhunjhunwala.rajesh@gmail.com
cirp.gcppl@gmail.com
Last date for
submission of claims: April 5, 2022
GEV PROJECTS: CRISIL Keeps B Debt Rating in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of GEV Projects
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 25 CRISIL B /Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with GEV 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 GEV, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GEV
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
GEV continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Established in 2014, GEV is engaged in residential and commercial
real estate construction business in Vijaywada and Vishakhapatnam,
Andhra Pradesh. The firm has two on-going projects under the name
'GEV Radha Madhav' and 'GEV Leela'. The firm's day-to-day
operations are managed by Mr. V Vekata Subba Rao.
HARSHA AUTOMOTIVE: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sree Harsha
Automotive Services Private Limited (SHAPL) continue to be 'CRISIL
B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Inventory Funding
Facility 7 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term
Bank Loan Facility 1 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SHAPL 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 SHAPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SHAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SHAPL continue to be 'CRISIL B/Stable Issuer Not Cooperating'.
SHAPL was set up in 2005 by Mr. Harshavardhan and Mr. M.R.K.
Prasada Rao. The company is an authorized dealer for spares and
service provider for trucks and buses of Volvo India Pvt Ltd. It
is based in Hyderabad, Telangana.
HARYANA RICE: CRISIL Moves B Debt Rating from Not Cooperating
-------------------------------------------------------------
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 facilities of Haryana Rice Mills (HRM)
to 'CRISIL B/Stable Issuer Not Cooperating'. However, HRM has
started sharing the information for a comprehensive review of the
rating. Consequently, CRISIL Ratings is migrating the rating to
'CRISIL B/Stable'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 35 CRISIL B/Stable (Migrated from
'CRISIL B/Stable ISSUER NOT
COOPERATING')
The rating continues to reflect weak financial risk profile of HRM,
exposure to fluctuations in raw material prices, high dependence on
monsoons and susceptibility to regulatory changes. These weaknesses
are partially offset by extensive experience of partners in the
basmati rice industry and an increase in scale of operations.
Since the firm is in the essential commodity business, its
operations have not been impacted by the Covid-19 pandemic.
Analytical Approach:
Unsecured loan (Rs 9.4 crore as of March 31, 2021) extended by the
partners and their family members has been treated as debt because
the loan has been withdrawn in the past.
Key rating drivers & detailed description
Weaknesses:
* Modest financial risk profile: Financial risk profile is likely
to remain constrained by large working capital debt. Networth was
low at INR2.82 crore as of March 31, 2021, with gearing and total
outside liabilities to adjusted networth ratios high at 17.90 times
and 20.40 times, respectively. Debt protection metrics were
subdued, indicated by interest coverage and net cash accrual to
adjusted debt ratios of 1.10 times and 0.01 time, respectively, in
fiscal 2021.
* Exposure to fluctuations in raw material prices: Since cost of
paddy constitutes 85-90% of the total sales, any increase in raw
material prices directly impacts profitability. Input price depends
on the availability of raw material, which depends on the total
agricultural output. Operating margin (2.4-3.0% over the three
fiscals through 2021) is expected to remain exposed to fluctuations
in raw material prices. This is compounded by intense competition,
which may continue to restrict pricing power, profitability and the
working capital cycle.
* High dependence on monsoons and susceptibility to regulatory
changes: Cultivation of basmati rice requires substantial water;
though the rice-growing states have good irrigation systems, they
remain dependent on the monsoons. Government regulations, such as
those related to minimum support price and procurement policies,
directly impact availability.
Strengths:
* Extensive experience of partners: The partners have three decades
of experience in the rice industry; their strong understanding of
market dynamics, healthy relationships with customers and suppliers
and robust market position in Karnal (Haryana) will continue to
support the business.
* Increase in scale of operations: Revenue grew by more than 10% to
INR177.1 crore in fiscal 2021 from INR158.4 crore in fiscal 2020
and is expected to improve further over the medium term owing to
better realisation, addition of customers and healthy relationships
with present clients. Revenue of around INR183 crore has been
reported for the first 11 months of fiscal 2022 and should reach
INR195-200 crore by fiscal end.
Liquidity: Poor
Liquidity may remain constrained by large working capital
requirement. Cash accrual is projected at INR0.8-1.4 crore per
annum, insufficient to meet the yearly debt obligation of
INR1.1-2.3 crore over the medium term. The gap is expected to be
funded by unsecured loans extended by the the partners and their
relatives. Bank limit utilisation was high, at an average of 92.5%
for the 10 months through January 2022. Current ratio was
comfortable at 1.16 times as on March 31, 2021, with cash and bank
balances low at INR8.40 lakh.
Outlook: Stable
HRM will continue to benefit from extensive experience of the
partners.
Rating sensitivity factors
Upward factors
* Substantial and sustainable increase in revenue and
profitability, leading to cash accrual more than INR4 crore per
annum
* Gearing improving to below 10 times
Downward factors
* Revenue dropping by over 10% per annum, resulting in
lower-than-expected cash accrual
* Large, debt-funded capital expenditure
HRM was set up in 1985 as a partnership firm by Mr. Madan Lal and
his family members. It mills and sorts basmati rice in Karnal.
HYQUIP SYSTEMS: Ind-Ra Moves B- Issuer Rating to Non-Cooperating
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Hyquip Systems
Limited'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
B-(ISSUER NOT COOPERATING)' on the agency's website.
The instrument-wise rating actions are:
-- INR86.6 mil. Fund-based facilities migrated to non-cooperating
category with IND B- (ISSUER NOT COOPERATING) / IND A4
(ISSUER NOT COOPERATING) rating; and
-- INR102 mil. Non-fund-based facilities migrated to non-
cooperating category with IND A4 (ISSUER NOT COOPERATING)
rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 5, 2021. Ind-Ra is unable to provide an update, as the agency
does not have adequate information to review the ratings.
COMPANY PROFILE
Hyquip Systems was incorporated in 1987. It is an engineering
company manufacturing bulk material handling equipment and executes
projects for steel, cement, sugar, paper and power industries. Its
office and plant are located at Hyderabad.
ICON DESIGN: CRISIL Reaffirms B+ Rating on INR4cr Cash Loan
-----------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable/CRISIL A4'
ratings on the bank facilities Icon Design Automation Private
Limited (IDAPL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 6 CRISIL A4 (Reaffirmed)
Cash Credit 4 CRISIL B+/Stable (Reaffirmed)
Proposed Long Term
Bank Loan Facility 1.25 CRISIL B+/Stable (Reaffirmed)
Term Loan 1.3 CRISIL B+/Stable (Reaffirmed)
The ratings reflect the company's small scale of operations, and
large working capital-intensive operations and its below average
financial risk profile. These weaknesses are partially offset by
the extensive experience of its promoter in the electronics and
engineering industry.
Key Rating Drivers & Detailed Description
Weakness:
* Large working capital requirements: The GCA has been always high
ranging between 270 – 434 days in the past four years ending
March 2021. IDAPL's operations are highly working capital intensive
as reflected in the high gross current assets (GCAs) of 272 days
estimated for fiscal fy22. Consequently, IDAPL has to rely on
short-term debt, funding support from promoters and extended credit
from its creditors to partially fund the working capital
requirements. While the collection cycle is expected to improve
over the medium term, its sustenance would be a key monitorable.
IDAPL will continue to have large working capital requirements on
account of high inventory and receivables.
* Modest scale of operations and tender-driven business: The tender
driven nature of business constrains scalability in operations.
Revenues were modest at INR8.18 crores for fiscal 2021 bi=ut is
expected to improve for fiscal 22. Intense competition and
challenges arising may continue to constrain scalability, pricing
power, and profitability.
* Below average financial risk profile: Networth was low and
gearing aggressive at INR4.65 crore and 1.17 times, respectively
for estimated FY22. The gearing is expected to improve with gradual
repayments and continuous accretion and absence of any debt funded
expansion plans. Debt protection metrics were average with interest
coverage and net cash accrual to total debt ratios of 1.76 times
and 0.09 time, respectively, for fiscal 2021.
Strengths:
* Extensive experience of the promoter: Presence of over 25 years
in the electronics and engineering industry has enabled the
promoter to understand local market dynamics and establish healthy
relationship with suppliers and customers. This shall continue to
support the business profile of the company
Liquidity: Stretched
Bank limit utilisation stood at around 55.04 percent for the past
twelve months ended November 2021. Cash accrual are expected to be
over Rs1.4 crore which are sufficient against term debt obligation
of INR0.50 crore over the medium term. Current ratio are healthy at
1.73 times of March 31, 2021. The promoters are likely to extend
support in the form of equity and unsecured loans to meet its
working capital requirements and repayment obligations.
Outlook: Stable
CRISIL Ratings believes that IDAPL will continue to benefit from
extensive experience of its promoters and funding support received
from them
Rating Sensitivity Factors
Upward factors:
* Sustained increase in revenue and operating margin, leading to
increase in cash accrual of INR3 crore
* Improvement in working capital cycle led by debtors less than 100
days
Downward factors:
* Decline in operating margin to less than 10%
* A substantial increase in working capital requirement weakening
the financial risk profile and liquidity
Incorporated in 1997 and promoted by Mr. S Ramachandra,
Bengaluru-based IDAPL manufactures components, subsystems,
hardware, and software for the defense, aerospace, electronics, and
telecommunication industries.
ICON DEVELOPERS: CRISIL Keeps B+ Debt Rating in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Icon
Developers - Guntur (IC) continues to be 'CRISIL B+/Stable Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 10 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with IC 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 IC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on IC is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of IC
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Established in 2016 as a partnership firm by Mr. M Narayana Swamy
and Ms. P T Venkayamma (equal ownership), IC undertakes residential
real estate development in Andhra Pradesh.
INDOWIND ENERGY: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Indowind Energy Limited
Kothari Buildings 4th Floor
114, M.G. Road
Nungambakkam, Chennai 600034
TN, India
Insolvency Commencement Date: March 22, 2022
Court: National Company Law Tribunal, Chennai Bench
Estimated date of closure of
insolvency resolution process: September 17, 2022
Insolvency professional: Ramakrishnan Sadasivan
Interim Resolution
Professional: Ramakrishnan Sadasivan
New no. 28, Old no. 22
Menod Street, Purasawalkam
Chennai 600007
E-mail: sadasivanr@gmail.com
indowind.cirp@gmail.com
Last date for
submission of claims: April 4, 2022
INTEGRATED SPACES: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Integrated
Spaces Limited (ISL) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Loan Against 5 CRISIL D (Issuer Not
Property Cooperating)
Term Loan 2 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ISL 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 ISL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ISL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ISL continue to be 'CRISIL D Issuer Not Cooperating'.
ISL was initially set up in 1995 as a partnership firm, named Shah
Construction and Company, by Gala and Savla families. The firm was
reconstituted as a private limited company, under the current name
in 2008. The company undertakes residential and commercial real
estate development in and around Mumbai and presently has 6 ongoing
projects with saleable area of 0.3 million square foot.
JAIN SARVODAYA: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Jain Sarvodaya
Vidhya Gyanpith Samiti's term loans rating 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 these ratings. The rating will
continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the
agency's website.
The detailed rating action is:
-- INR1.041 bil. Term loans (Long-term) due on June 30, 2026
maintained in the non-cooperating category with IND D (ISSUER
NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 17, 2018. Ind-Ra is unable to provide an update as the
agency does not have adequate information to review the rating.
COMPANY PROFILE
Registered under Madhya Pradesh Societies Registration Adhiniyam,
1973, Jain Sarvodaya Vidhya Gyanpith Samiti manages and operates a
300-bed hospital in Bhopal, Madhya Pradesh.
JALNA SIDDHIVINAYAK: Ind-Ra Cuts Long Term Issuer Rating to 'D'
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Jalna
Siddhivinayak Alloys Private Limited' (JSAPL) Long-Term Issuer
Rating to 'IND D (ISSUER NOT COOPERATING)' from 'IND BB- (ISSUER
NOT COOPERATING).'
The instrument-wise rating actions are:
-- INR595 mil. Fund-based working capital limits (Long-
term/Short-term) downgraded with IND D (ISSUER NOT
COOPERATING) rating; and
-- INR60 mil. Non-fund-based working capital limits (Short-term)
downgraded with IND D (ISSUER NOT COOPERATING) rating.
KEY RATING DRIVERS
The downgrade reflects delays in debt servicing of various
facilities by JSAPL in June and July 2020 based on information from
public sources, reported on March 11, 2022.
However, Ind-Ra has not been able to ascertain the reason for the
delays, as the company has been non-cooperative.
COMPANY PROFILE
JSAPL is engaged in the manufacturing of billets.
KAMAL TIMBERS: Ind-Ra Moves BB LT Issuer Rating to Non-Cooperating
------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Kamal Timbers
India Private Limited'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 BB (ISSUER NOT COOPERATING)' on the agency's
website.
The instrument-wise rating actions are:
-- INR120 mil. Fund-based limits migrated to non-cooperating
category with IND BB (ISSUER NOT COOPERATING)/IND A4+ (ISSUER
NOT COOPERATING) rating; and
-- INR90 mil. Non-fund-based limits migrated to non-cooperating
category with IND A4+ (ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
March 15, 2021. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
KEY RATING DRIVERS
NOTE: As the agency does not have adequate information to review
the ratings, the ratings are migrated to the ISSUER NOT COOPERATING
category.
COMPANY PROFILE
Incorporated in 2005, Kamal Timbers India trades and processes
timber.
KHALATKAR CONSTRUCTION: Ind-Ra Keeps BB Rating in Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Khalatkar
Construction'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:
-- INR27.5 mil. Fund-based working capital limit is withdrawn
(fully repaid);
-- INR135 mil. Non-fund-based working capital limit* maintained
in non-cooperating category and withdrawn; and
-- INR27.6 mil. Term loan** maintained in non-cooperating
category and withdrawn.
*Maintained at 'IND A4+ (ISSUER NOT COOPERATING)' before being
withdrawn.
**Maintained at 'IND BB (ISSUER NOT COOPERATING)' before being
withdrawn.
KEY RATING DRIVERS
The ratings have been maintained in the non-cooperating category
before being withdrawn as the issuer did not participate in the
rating exercise, despite requests by the agency and has not
provided information about financials, 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 a no-objection 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
Established in 1985 by Jayant Khalatkar, Khalatkar is a
proprietorship firm primarily engaged in the construction business.
Although the firm has ventured into the toll collection business,
it continues to generate a majority of its revenue from the
construction business.
KUNDLI MANESAR: Ind-Ra Affirms 'D' Term Loan Rating
---------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Kundli Manesar
Expressway Limited's (KMEL) term loans as follows:
-- INR13.0 bil. Term loans (Long-term) due on February 2032
affirmed with IND D rating.
KEY RATING DRIVERS
The affirmation of rating reflects KMEL's continuing delays in the
servicing of its interest obligations, with interest servicing
since December 2021 still pending, as confirmed by the management.
The ongoing delay in the receipt of sixth annuity from the
concession authority, Haryana State Industrial and Infrastructure
Development Corporation Ltd (HSIDC), has led to the non-payment of
interest. The receipt of annuities is delayed as the concessionaire
has yet to achieve the final commercial operations date (COD); the
provisional COD was achieved in 2018.
HSIDC had released five provisional interest-bearing annuities till
end-August 2021 as advances to enable KMEL complete the punch list
works. The interest on annuities shall be payable by KMEL until the
project achieves the final COD. The delay in the completion of
pending punch list items was initially due to the deteriorated
credit profile of KMEL's sponsor, Essel Infraprojects Ltd, which
was aggravated by the COVID-19 induced lockdown.
The management has represented that the work on the punch list
items stands completed as of February 2022 and the independent
engineer and HSIDC committee of Chief Engineer have recommended the
final COD to HSIDC. Further processing of COD issuance is pending
at HSIDC.
The company does not maintain a debt service reserve as stipulated
in the financing documents. However, the management has mentioned
that debt service reserve and major maintenance reserve shall be
created once the full commercial operations are achieved.
RATING SENSITIVITIES
Positive The rating will be upgraded upon a sustained improvement
in the operational and financial performance of KMEL, including the
timely receipt of forthcoming annuities, leading to adequate cash
flow generation to meet the debt obligations in a timely manner,
achievement of the final COD, creation of a debt service reserve,
clarity on the sponsor's liquidity profile and timely debt
servicing for at least three consecutive months.
COMPANY PROFILE
HSIIDC awarded a contract to M/s Essel Infraprojects for the
development of the access-controlled six-lane Kundli-Manesar
Expressway from km 0+000 to km 83+320 in the state of Haryana on
build-operate-transfer annuity basis. Essel Infraprojects had
formed an SPV namely KMEL for implementing the project. The total
project cost was INR19,154.70 million, financed by a promoter's
contribution of INR6,154.70 million and the rest through debt. The
project was awarded a concession period of 17 years including a
construction period of 910 days (i.e. two years and six months)
from the appointed date. The project achieved provisional COD on 4
December 2018.
LAXMI ENGINEERING: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: Laxmi Engineering Industries (Bhopal) Pvt Ltd
72-A, Sector-1
Govindpura Industrial Area
Bhopal 462023
Insolvency Commencement Date: March 9, 2022
Court: National Company Law Tribunal, Indore Bench
Estimated date of closure of
insolvency resolution process: September 30, 2022
Insolvency professional: Mr. Piyush Kumar Kapoor
Interim Resolution
Professional: Mr. Piyush Kumar Kapoor
203-204, Kapoor Chambers
Rajul Arcade, Russel Square
Napier Town, Jabalpur
Madhya Pradesh 482001
E-mail: capiyushkapoor@yahoo.com
- and -
E-10A, Kailash Colony
New Delhi, Delhi 110048
E-mail: laxmi.engineering@
aaainsolvency.com
Last date for
submission of claims: March 23, 2022
LIOLI CERAMICA: CRISIL Withdraws B- Rating on INR40.14cr Loan
-------------------------------------------------------------
Due to inadequate information, CRISIL Ratings, in line with SEBI
guidelines, had migrated the rating of Lioli Ceramica Private
Limited (LCPL) to 'CRISIL B-/Stable Issuer Not Cooperating'. CRISIL
Ratings has withdrawn its rating on bank facility of LCPL following
a request from the company and on receipt of a 'no dues
certificate' from the banker. Consequently, CRISIL Ratings is
migrating the ratings on bank facilities of LCPL from 'CRISIL
B-/Stable Issuer Not Cooperating' to 'CRISIL B-/Stable'. The rating
action is in line with CRISIL Ratings' policy on withdrawal of bank
loan ratings.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 8 CRISIL B-/Stable (Migrated
from 'CRISIL B-/Stable ISSUER
NOT COOPERATING'; Rating
Withdrawn)
Term Loan 40.14 CRISIL B-/Stable (Migrated
from 'CRISIL B-/Stable ISSUER
NOT COOPERATING'; Rating
Withdrawn)
LCPL was incorporated in 2016 and is promoted by members of Detroja
and Gadara families. It is engaged in manufacturing and exporting
of porcelain vitrified tile slabs such as marble, flooring tiles,
ventilated tiles, polished porcelain tiles, ceramic wall, etc. It
has started its commercial operation from May 2018 and having
manufacturing facility located in Morbi-Gujarat. Caesarstone Ltd is
in the process of acquiring 55% in LCPL through purchase of shares
from existing promoters.
M.M. COTTON: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of M.M. Cotton
Factory (MMCF) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3 CRISIL B/Stable (Issuer Not
Cooperating)
Rupee Term Loan 0.12 CRISIL B/Stable (Issuer Not
Cooperating)
Rupee Term Loan 0.25 CRISIL B/Stable (Issuer Not
Cooperating)
Warehouse Financing 5 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MMCF 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 MMCF, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MMCF
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
MMCF continue to be 'CRISIL B/Stable Issuer Not Cooperating'.
MMCF was set up by Mr. Surinder Pal as a proprietorship firm in
2006, and was reconstituted as a partnership concern in 2012. The
firm gins and presses cotton at its unit in Malhout district
(Punjab).
MAHAVIR RICHAB: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Mahavir Richab Investments Private Limited
Khasra No. 70/1/1 Floor Ground Landmark
Near Hanuman Mandir
Village Mangolpur
Kalan, New Delhi 110085
India
Insolvency Commencement Date: March 20, 2022
Court: National Company Law Tribunal, Bench-VI, New Delhi
Estimated date of closure of
insolvency resolution process: September 12, 2022
(180 days from commencement)
Insolvency professional: Atul Kumar Kansal
Interim Resolution
Professional: Atul Kumar Kansal
SCO-61, 3rd Floor
Old Judicial Complex
Sector-15, Civil Lines
Gurgaon 122001
E-mail: cakansal@yahoo.com
- and -
Immaculate Resolution Professionals
Private Limited
Unit No. 112, First Floor
Tower-A, Spazedge Commercial Complex
Sector-47, Sohna Road
Gurgaon 122018
E-mail: cirp.mahavir@gmail.com
Last date for
submission of claims: April 3, 2022
MARUTI MEDITECH: ICRA Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Maruti
Meditech Private Limited in the 'Issuer Not Cooperating' category.
The rating is denoted as "[ICRA]B+ (Stable)/[ICRA]A4; ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based- 3.10 [ICRA]B+ (Stable); ISSUER NOT
Cash Credit COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Fund Based- 2.69 [ICRA]B+ (Stable); ISSUER NOT
Term Loan COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Short Term (1.00) [ICRA]A4; ISSUER NOT
Interchangeable COOPERATING; Rating continues
Limit To remain under 'Issuer Not
Cooperating' category
Unallocated 0.65 [ICRA]B+ (Stable); ISSUER NOT
COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance. Further, ICRA has been sending repeated
reminders to the entity for payment of surveillance fee that became
due but despite repeated requests by ICRA, the entity's management
has remained non-cooperative. The current rating action has been
taken by ICRA basis best available/dated/limited information on the
issuers' performance. Accordingly, the lenders, investors and other
market participants are advised to exercise appropriate caution
while using this rating as the rating may not adequately reflect
the credit risk profile of the entity. The rating action has been
taken in accordance with ICRA's policy in respect of
non-cooperation by a rated entity available at www.icra.in.
Incorporated in October 2011, Maruti Meditech Private Limited
(MMPL) manufactures disposable syringes. The manufacturing facility
is located in Patna, Bihar with an installed capacity of 10 lakh
syringes per day. The company sells its product under the brand
name 'Life Inject'. MMPL has a group company, Shiva Polytubes
Private Limited (rated at [ICRA]B+ (Stable)/[ICRA]A4 ISSUER NOT
COOPERATING), which manufactures PVC pipes and fittings.
MODERN GLASS: ICRA Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------
ICRA has retained the ratings for the bank facilities of Modern
Glass Industries in the 'Issuer Not Cooperating' category. The
rating is denoted as "[ICRA]D/[ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based– 21.61 [ICRA]D ISSUER NOT COOPERATING;
Term Loan Rating continues to remain under
'Issuer Not Cooperating'
Category
Fund Based– 10.00 [ICRA]D ISSUER NOT COOPERATING;
Cash Credit Rating continues to remain under
'Issuer Not Cooperating'
Category
Long Term/ 0.39 [ICRA]D/[ICRA]D; ISSUER NOT
Short Term– COOPERATING; Rating continues
to
Unallocated remain under 'Issuer Not
Cooperating' category
Short Term–
Non Fund Based 3.00 [ICRA]D ISSUER NOT COOPERATING;
Rating continues to remain under
'Issuer Not Cooperating'
Category
ICRA has been trying to seek information from the entity so as to
monitor its performance. Further, ICRA has been sending repeated
reminders to the entity for payment of surveillance fee that became
due but despite repeated requests by ICRA, the entity's management
has remained non-cooperative. The current rating action has been
taken by ICRA basis best available/dated/ limited information on
the issuers' performance. Accordingly, the lenders, investors and
other market participants are advised to exercise appropriate
caution while using this rating as the rating may not adequately
reflect the credit risk profile of the entity. The rating action
has been taken in accordance with ICRA's policy in respect of
non-cooperation by a rated entity available at www.icra.in.
Modern Glass Industries is an Uttar Pradesh (Firozabad) based firm,
incorporated in 1984. MGI's promoters are Mr. Balkrishnan Gupta,
Mrs. Urmila Bansal, Mrs. Neeta Gupta and Mrs. Sushma Gupta. The
company is engaged in the production of glass bulb shells and glass
tubes which are used in electrical industry.
MUPPA AKSHAJA: CRISIL Withdraws B+ Rating on INR17cr LT Loan
------------------------------------------------------------
Due to inadequate information, CRISIL Ratings, in line with SEBI
guidelines, had migrated the rating of Muppa Akshaja Projects
Private Limited (MAPPL) to 'CRISIL B+/Stable/Issuer not
cooperating'. CRISIL Ratings has withdrawn its rating on bank
facility of MAPPL following a request from the company and on
receipt of a 'no dues certificate' from the banker. Consequently,
CRISIL Ratings is migrating the ratings on bank facilities of MAPPL
from 'CRISIL B+/Stable/Issuer Not Cooperating' to 'CRISIL
B+/Stable'. The rating action is in line with CRISIL Ratings'
policy on withdrawal of bank loan ratings.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 17 CRISIL B+/Stable (Migrated
from 'CRISIL B+/Stable ISSUER
NOT COOPERATING; Rating
Withdrawn)
CRISIL Ratings is migrating the ratings on bank facilities of MAPPL
from 'CRISIL B+/Stable/Issuer Not Cooperating' to 'CRISIL
B+/Stable'. The rating action is in line with CRISIL Ratings'
policy on withdrawal of bank loan ratings.
Incorporated in 2012 and promoted by Mr. Muppa Bhaskar Rao and Mr.
M Sandeep Vardhan, MAPPL is engaged in the construction business.
NARCINVA DAMODAR: CRISIL Keeps B- Debt Rating in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Narcinva
Damodar Naik (NDN) continues to be 'CRISIL B-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Secured Overdraft 15 CRISIL B-/Stable (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with NDN 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 NDN, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on NDN
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
NDN continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
NDN was set up as a proprietorship concern in Goa by the late Mr.
Vasudev B Naik in 1896. The firm initially traded in various
commodities; it undertook the dealership of Mercedes Benz passenger
cars in 1952. NDN was reconstituted as a partnership firm in 1967;
in the same year, the firm exited its dealership for Mercedes Benz
vehicles and commenced operations as an authorised dealer of TML's
commercial vehicles for Goa. The firm is currently managed by Mr.
Narcinva D Naik and his wife Ms Laxmi Narcinva Naik.
NH ROAD: Ind-Ra Affirms BB Sr. Bank Loan Rating, Outlook Negative
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Maroli NH Road
Private Limited's (MNRPL) senior project bank loan at 'IND BB'. The
Outlook is Negative.
The detailed rating action is:
-- INR 97.7 mil.* (USD 15.5 mil.)^ (reduced from INR136.4 mil.)
Senior project bank loan* due on September 2024 affirmed with
IND BB/Negative rating.
* outstanding on September 30, 2021
^ conversion rate as per hedged rate of USD1 = INR62.05, INR62.5,
INR65 for USD 0.39, 0.65, 0.5 million respectively
The rating and Negative Outlook reflect the likely thin debt
service coverage ratio over FY22-FY24, pending completion of major
maintenance, the stretched liquidity position and moderate forex
risk.
KEY RATING DRIVERS
The agency expects MNRPL's debt service coverage ratio (DSCR) to be
thin (
OCTAGON COMMUNICATIONS: Insolvency Resolution Process Case Summary
------------------------------------------------------------------
Debtor: Octagon Communications Private Limited
Office No. B/2/1208, Palledium
Nr. Orchid Wood
Opp. Divyabhaskar
Corporate Road, Makarba
Ahmedabad 380051
Insolvency Commencement Date: March 19, 2022
Court: National Company Law Tribunal, Ahmedabad Bench
Estimated date of closure of
insolvency resolution process: September 12, 2022
Insolvency professional: Sejal Ronal Agrawal
Interim Resolution
Professional: Sejal Ronal Agrawal
7, Ritu Apartment
Bhairavnath Road
Nilima Park Soc.
Near Ashutosh Soc.
Maninagar, Ahmedabad
Gujarat 380008
E-mail: swiftsejal@gmail.com
- and -
AAA Insolvency Professionals LLP
E-10A, Upper Ground Floor
Kailash Colony 110048
E-mail: octagon@aaainsolvency.com
Last date for
submission of claims: April 2, 2022
OM GRAM: Ind-Ra Keeps 'D' Bank Loan Rating in Non-Cooperating
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Om Gram Udyog
Samiti's bank facilities 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 these ratings. The rating will continue to appear as
'IND D (ISSUER NOT COOPERATING)' on the agency's website.
The instrument-wise rating actions are given below:
-- INR9.74 mil. Term loan (Long-term) due on July 2021 maintained
in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating; and
-- INR15 mil. Working capital facility (Long-term) maintained in
non-cooperating category with IND D (ISSUER NOT COOPERATING)
rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 11, 2017. Ind-Ra is unable to provide an update as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
Om Gram Udyog Samiti was registered under the Registrar of
Societies in May 2001. The promoters are looking to set up a par
boiled rice unit of two-ton capacity at Village Ramgarh Sanduan,
Punjab.
PATIL CONSTRUCTION: Ind-Ra Keeps 'D' Rating in Non-Cooperating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Patil
Construction and Infrastructure Limited's Long-Term Issuer Rating
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 instrument-wise rating actions are:
-- INR1.225 bil. Fund-based working capital limits (Long-term)
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating;
-- INR4.975 bil. Non-fund-based working capital limits (Short-
term) maintained in non-cooperating category with IND D
(ISSUER NOT COOPERATING) rating;
-- INR581.5 mil. Term loans (Long-term) due on FY20-FY22
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating; and
-- INR500 mil. Proposed fund-based working capital limits (Long-
term) maintained in non-cooperating category with IND D
(ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
November 5, 2019. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
Patil Construction and Infrastructure is engaged in the
construction of bitumen and concrete roads/highways, buildings,
storm water drainage, primarily for government agencies. The
company has a presence in western parts of Maharashtra, Jharkhand,
Chhattisgarh, Odisha, Telangana and Karnataka.
PITTI CASTINGS: Ind-Ra Hikes Long-Term Issuer Rating to 'BB'
------------------------------------------------------------
India Rating and Research (Ind-Ra) has upgraded Pitti Castings Pvt
Ltd.'s (PCPL) Long-Term Issuer Rating to 'IND BB' from 'IND B+'.
The Outlook is Stable.
The instrument-wise rating actions are:
-- INR75 mil. Fund-based facilities upgraded with IND BB/Stable
/IND A4+ rating; and
-- INR225 mil. Proposed fund-based facilities upgraded with IND
BB/Stable /IND A4+ rating.
The upgrade reflects PCPL's demonstrated ability to achieve
sustainability in profits over FY20-FY21.
KEY RATING DRIVERS
The upgrade reflects PCPL achieving operating profits on a
sustained basis over FY20-FY21, because of an increase in the
capacity utilization and a continued customer demand, after
reporting operating losses through FY18 and FY19. Ind-Ra expects
the operating profit to be sustained in FY22, based on the revenue
of around INR987.9 million and EBITDA INR62million booked till
10MFY22.
The ratings further reflects PCPL's medium scale of operations with
a decline in the revenue to INR1,075.83 million in FY21 (FY20:
INR1,317.20 million) due to the COVID-19 led lockdown. The company
has to shut down operations from March to May 2020 and was able to
operate on a restricted man power capacity during June to October
2020. Its capacity utilization reduced to 42% in FY21 (FY20: 46%).
Ind-Ra expects the revenue to improve in FY22, owing to stable
capacity utilization post relaxation in COVID-19 led restrictions
and a stable demand in the electrical motor casting segment. The
company recorded a revenue of INR987.9 million during 10MFY22.
The ratings also reflect the company's modest EBITDA margins, which
deteriorated to 6.49% in FY21 (FY20: 7.90%), due to a change in the
product mix and a volatile customer demand. The ROCE was 0.20% in
FY21 (FY20: 5%). The margins are likely to remain at a similar
level over the medium term due to the intense competition in the
industry.
In addition, the credit metrics remained moderate due to low EBITDA
and high debt levels. The metrics deteriorated in FY21 mainly due
to a fall in the absolute EBITDA to INR69.85 million (FY20: INR104
million), despite debt levels reducing to INR585.15 million (INR809
million) majorly due to a fall in unsecured loans from promoters to
INR497.49 million in FY21.. The net leverage (adjusted net
debt/operating EBITDA) was 8.23x in FY21 (FY20: 7.7x) and the
interest coverage (operating EBITDA/interest expenses) was 4.73x
(4.9x). In FY22, Ind-Ra expects credit metrics to remain at a
similar level, because of a sustainable operating performance.
Liquidity Indicator- Stretched: The company's peak utilization of
the fund-based limits was 94% over the 12 months ended January
2022. The cash flow from operations increased to INR174.05 million
in FY21 (FY20: INR121 million) due to a negative cash conversion
cycle of 3 days (64 days), resulting from an increase in the
creditor days to 137 (53), due to negotiation in terms of the
credit period. In January 2021, the company availed Guaranteed
Emergency Credit Line facility of INR13.50 million. For its working
capital requirements, the company is largely dependent on
promoter's funding as well as customer advances from the group
company. PCPL derived 62% of its FY21 revenue from its group
company (Pitti Engineering Limited) in FY21 (FY20: 50%). Apart from
this, the company relies on single bank for overdraft facility.
The ratings continue to be supported by the promoters'
three-decade-long experience in the casting business.
RATING SENSITIVITIES
Negative: A decline in the scale of operations, leading to
deterioration in the credit metrics, with the interest coverage
falling below 1.8x, on sustained basis, or a continued weakening of
the liquidity position will be negative for the ratings.
Positive: A substantial improvement in the scale of operations,
leading to a sustained improvement in the credit metrics and
liquidity position, will be positive for the ratings.
COMPANY PROFILE
Established in August 2012, PCPL is a part of the Pitti group of
companies. It manufactures graded iron and steel castings, which
are used in various industries such as windmill, earth-moving
equipment and vehicle.
PN WRITER: Ind-Ra Affirms 'BB+' LT Issuer Rating, Outlook Stable
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed P.N. Writer &
Company Pvt Ltd.'s (PNW) Long-Term Issuer Rating at 'IND BB+'. The
Outlook is Stable.
The instrument-wise rating action is:
-- INR297.5 mil. Term loan due on May 2026 affirmed with IND BB+/
Stable rating.
Analytical Approach: Ind-Ra continues to take a consolidated view
of PNW and its wholly owned subsidiary, Writer Lifestyle Private
Limited (WLPL; 'IND BB+'/Stable) in view of the strong legal,
operational and strategic linkages between the entities. The agency
has factored in liquidity support from other group companies,
including Writer Business Services Private Limited (WBS; 'IND
A'/Stable), while arriving at the rating of the company.
The agency has factored in the additional information received
subsequent to the last review.
KEY RATING DRIVERS
Financial Profile Showing Modest Recovery: The COVID-19-led
lockdown and associated restrictions on travel and hotel activities
through much of FY20-FY21 led to fall in occupancy levels at the
Hilton Shillim Retreat and Spa in Shillim, Maharashtra.
Consequently, PNW's consolidated revenue fell to INR340.1 million
in FY21 (FY20: INR459 million). However, the reduction in
operating expense helped the consolidated EBITDA turn positive at
INR4.9 million in FY21 (FY20: EBITDA losses of INR34.3 million)
despite COVID-19 restrictions. The EBITDA is also supported by
stable rental income from the residential apartments, office space
and warehouses. With the easing of COVID-19-led restrictions, the
average room rent (ARR) increased to INR23,773 in December 2021
from INR18,215 in December 2020 and the occupancy levels improved
to 34% from 24%. This has caused a modest recovery in the revenue,
which is anticipated to continue growing in FY23.
Operating Performance of Hilton: Hilton's occupancy is estimated to
improve to 34% in FY22 from 29% in FY21 (FY20: 51%) with the easing
of the COVID-19 pandemic restrictions. In FY21, on a standalone
basis, WLPL's revenue declined to INR272.1 million (FY20: INR394.6
million), but its EBITDA improved marginally to negative INR33.8
million (FY20: negative INR77.9 million) on account of a 36% yoy
increase in ARR and reduced operating expenses due to the following
optimization measures undertaken by the entity: i) installation of
low-cost heat pumps and solar harvesting farms, resulting in
reduced energy expenses; ii) optimization of staffing and zone
usage to bring down employee expenses; iii) conversions of high
speed diesel boilers to heat pumps, installation of liquefied
petroleum gas feed boilers and uninterrupted power supply from the
state grid directly to save cost spent on diesel generators and
other equipment using fossil fuels
The above-mentioned operating cost reduction measures are
structural in nature and will positively impact the business not
only in the short term but also over the long term, thereby
supporting the liquidity of the company. Furthermore, the company
is constructing 20 villas in the vicinity of the hotel, which is
scheduled to be completed by FY24.
PNW's Standalone Financial Performance: PNW's operating revenue was
fairly stable at INR68.4 million in FY21 (FY20: INR69.5 million)
due to stable rental income from the residential apartments, office
space and warehouses. The company's standalone operating EBITDA
reduced slightly to INR38.7 million in FY21 (FY20: INR45.6
million). PNW receives interest income (FY21: INR38.3 million;
FY20: INR36.3 million) on loans and advances extended to its group
companies. During FY20-FY21, PNW sold two apartments in Bandra,
Mumbai for a consideration of INR217.5 million. The proceeds from
the sale were primarily used to repay debt.
Liquidity Indicator - Stretched: Amid the COVID-19 pandemic, the
consolidated cash flow from operations remained negative at
INR178.2 million in FY21 (FY20: negative INR149.7 million) owing to
continued operating losses and high interest expenses. The
shortfall in in servicing its debt obligation was covered by
unsecured loan extended by group companies and Directors in a
timely manner. The unencumbered cash and bank balances marginally
increased to INR22.9 million at end-FY21 (end-FY20: INR13.5
million). Furthermore, the liquidity of the company was supported
by the restructuring of external term loans under the Covid-19 Debt
Restructuring Scheme. Under the scheme, the company account
continues to be classified as 'Standard' while availing principal
moratorium of 24 months, thereby reducing its debt servicing
obligations over the near term.
Strong Group Support: PNW has received strong liquidity support in
the form of loans and advances from either the promoters or group
companies (including WBS), in case of financial losses. At
end-FY21, PNW had a consolidated debt of INR3,015.8 million (FY20:
INR2,867.5 million); of this, about INR1,641.5 million had been
extended by either the promoters or group companies. Furthermore,
PNW had loaned a large portion of these advances to WLPL.
In FY21, PNW received incremental loans of INR168.4 million (FY20:
INR224.1 million) from group companies to meet its financial
obligations. As per the management, the promoter and the group
companies would continue to extend liquidity support to PNW and
WLPL in a timely manner without any cap on the amount required to
cover any cash shortfall and service the external debt. Also, the
director loans and loans from group companies are subordinated to
the external borrowings.
RATING SENSITIVITIES
Negative: A negative rating action could result from the
following:
-- weakening of linkages with WBS, resulting in
lower-than-expected financial support for PNW.
-- any deterioration in the liquidity situation, a sustained rise
in the leverage, EBITDA losses, or weak cash flow generation.
Positive: A positive rating action could result from –
-- a substantial improvement in the scale of operations, leading
to a significant and sustained increase in the revenue and EBITDA
generation, leading to interest coverage of 1.25x, on a sustained
basis, and
-- deleveraging, including through the sale of residential
properties/land bank and villas and/or equity infusion.
COMPANY PROFILE
PNW is a part of Mumbai-based Writer Corporation group, which is
engaged in diversified businesses such as relocation services,
information and records management services, cash management
services and hospitality. As a standalone entity, PNW derives
revenue through rental income from a residential property in Bandra
West, Mumbai (St. Leo Apartments; a seven-storey building with an
area of 857 square meters) and some commercial properties leased to
Writer Business Services. WLPL, a wholly owned subsidiary of PNW,
is engaged in the hospitality business. It has a luxury resort,
Hilton Shillim Estate Retreat and Spa, in Lonavala, near Mumbai. It
is also involved in the real estate business, and has been
constructing villas in Shillim, Lonavala, for sale.
A business restructuring was carried out in the group in FY16,
wherein the services and real estate businesses were split into
separate entities. The information management and domestic
relocations businesses that were earlier a part of PNW were
hived-off into a separate entity, named, WBS, and the shares of
Writer Safeguard Pvt Ltd, which is involved in cash management
business, were transferred to WBS. Subsequently, Ind-Ra began to
take a consolidated view of PNW and its real estate subsidiary,
WLPL. Earlier, P.N. Writer and Company Ltd, Dubai (PND), was a 100%
subsidiary of PNW; however, during FY18, PNW divested its entire
stake in PND.
PREETHI HOSPITALS: Ind-Ra Hikes Long-Term Issuer Rating to 'BB+'
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has upgraded Preethi Hospitals
Private Limited's (PHPL) Long-Term Issuer Rating to 'IND BB+' from
'IND BB'. The Outlook is Stable.
The instrument-wise rating actions are:
-- INR447.40 mil. Term loan due on March 2032 upgraded with IND
BB+/Stable rating;
-- INR70 mil. Fund-based facilities Long-term rating upgraded;
Short-term rating affirmed with IND BB+/Stable/IND A4+
The upgrade reflects an improvement in PHPL's EBITDA margins and
credit metrics in 10MFY21 with the likelihood of an increase in the
number of operational beds in the hospital as well as the launch of
other potentially revenue-generating segments over the
near-to-medium term.
KEY RATING DRIVERS
PHPL's gross interest coverage (operating EBITDA/gross interest
expense) improved to 2.36x in FY21 (FY20: 1.42x) and net financial
leverage (adjusted net debt/operating EBITDA) to 3.86x (6.35x), on
account of an increase in absolute EBITDA and a reduction in
interest expense. In FY22, Ind-Ra expects the credit metrics to
improve further owing to the scheduled repayment of the term loan.
The credit metrics remained comfortable.
However, the ratings remain constrained by PHPL's small scale of
operations, despite growth in the revenue to INR344.54 million in
FY21 (FY20: INR299.81 million). The revenue growth was driven by an
increase in the bed occupancy level to 77.5% in FY21 (FY20: 70%),
coupled with an increase in Covid-19 cases, leading to an increase
in revenue per inpatient. In 10MFY22, PHPL achieved revenue of
INR448.40 million. Ind-Ra expects the revenue to improve in FY22,
due to the increase in bed capacity to 149 beds in FY21 (FY20: 100
beds).
The ratings also reflect PHPL's continued modest EBITDA margin
which improved to 33.09% in FY21 (FY20: 26.04 %) due to decline in
consulting charges, surgeon fee and other operating expenses. The
company has high fixed costs in the form of salaries or doctor
consultation charges, which accounted for more than 43% of the
total operating expenses in FY21. The margins were modest with a
return on capital employed of 10.4% in FY21 (FY20: 3.8%). Ind-Ra
expects the EBITDA margins to improve in FY22, due to a likely
improvement in operational efficiency.
Liquidity Indicator – Stretched: PHPL's maximum average
utilization of the fund-based limits was 35%-40% during the 12
months ended January 2022. The cash flow from operations improved
to INR68.19 million in FY21 (FY20: INR43.98 million) due to
favorable changes in working capital. Consequently, the free cash
flow improved to INR50.63 million in FY21 (FY20: INR15.26 million),
partly offset by INR17.55 million of capex for increasing bed
capacity (INR28.73 million). The net working capital cycle
elongated to negative 9 days in FY21 (FY20: negative 11 days) due
to an increase in the receivable period to 15 days (14 days) and
inventory holding period to 3 days (1 day). The cash and cash
equivalents stood at INR11.93 million at FYE21 (FYE20: INR8.2
million). However, PHPL does not have any capital market exposure
and relies on banks and financial institutions to meet its funding
requirements. It had availed the Reserve Bank of India-prescribed
moratorium over March-August 2020.
However, the ratings remain supported by the promoter, Dr. Siva
Raman's (a renowned orthopedic surgeon) experience of over two
decades. The promoter's reputation has aided in establishing a
brand name for its multi-specialty hospital in Madurai.
RATING SENSITIVITIES
Positive: An increase in the scale of operations, along with an
improvement in the overall credit metrics and liquidity profile,
all on a sustained basis, could lead to a positive rating action.
Negative: A decline in the scale of operations, any substantial
debt-led capex leading to deterioration in the overall credit
metrics with the net leverage increasing above 4.0x or a further
pressure on the liquidity position, all on a sustained basis, could
lead to a negative rating action.
COMPANY PROFILE
Incorporated in 1999, PHPL operates a 277-bed multi-specialty
hospital in Madurai.
RAINBOW RICE: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Rainbow Rice
Private Limited (RRPL) continue to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 50 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Working 3 CRISIL B+/Stable (Issuer Not
Capital Facility Cooperating)
CRISIL Ratings has been consistently following up with RRPL 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 RRPL, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RRPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
RRPL continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
RRPL, promoted as partnership in 1990 by Mr. Surinder Kumar and his
brother Mr. Sunil Kumar, was reconstituted as a private limited
company, RRPL, in 2010. The company processes basmati rice (PUSA
1121 grade and non-basmati) at its plant at Kurukshetra (Haryana).
RRPL has a milling and sorting capacity of 12 tonnes per hour.
RAJARATNA MILLS: Ind-Ra Moves 'BB' Issuer Rating to Non-Cooperating
-------------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated The Rajaratna
Mills Private Limited'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 BB (ISSUER NOT COOPERATING)' on the agency's
website.
The instrument-wise rating action is given below:
-- INR178 mil. Term loan due on May 2025 migrated to non-
cooperating category with IND BB (ISSUER NOT COOPERATING)
rating;
-- INR228 mil. Fund-based working capital limits migrated to non-
cooperating category with IND BB (ISSUER NOT COOPERATING)/IND
A4+ (ISSUER NOT COOPERATING) rating; and
-- INR50 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 assigned on
March 5, 2021. Ind-Ra is unable to provide an update, as the agency
does not have adequate information to review the ratings.
SARAF GARTEX: Insolvency Resolution Process Case Summary
--------------------------------------------------------
Debtor: Saraf Gartex Limited
B-115, Road No. 9
V.K.I. Area, Jaipur
Rajasthan 302013
IN
Insolvency Commencement Date: March 17, 2022
Court: National Company Law Tribunal, Jaipur Bench
Estimated date of closure of
insolvency resolution process: Septemebr 7, 2022
(180 days from commencement)
Insolvency professional: Mr. Arvind Kaushik
Interim Resolution
Professional: Mr. Arvind Kaushik
P-4, Tilak Marg
C-Scheme, Japiur 302005
E-mail: ca73588@gmail.com
Last date for
submission of claims: March 31, 2022
SAVI LEATHERS: Ind-Ra Cuts Long-Term Issuer Rating to 'D'
---------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Savi Leathers'
Long-Term Issuer Rating to 'IND D' from 'IND BB (ISSUER NOT
COOPERATING).'
The instrument-wise rating actions are:
-- INR150 mil. Fund-based working capital limit (long-term/short-
term) downgraded with IND D rating; and
-- INR 80 mil. Non-fund-based working capital limit (short-term)
downgraded with IND D rating.
KEY RATING DRIVERS
The downgrade reflects Savi Leathers' multiple instances of
delays/defaults in debt servicing of bank loans during the three
months ended February 2022, due to liquidity issues.
RATING SENSITIVITIES
Positive: Timely debt servicing for at least three consecutive
months could result in a rating upgrade.
COMPANY PROFILE
Incorporated in 2009, Savi Leathers manufactures and exports
leather garments and accessories. It is a government-recognized
export-oriented unit and has clients in Italy, Germany, Denmark,
France, Spain, the Netherlands, the UK and the US. It has its own
research and development department.
SAVUTE TEXTILES: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Savute Textiles Private Limited
Vaninilayam, PRA: 68 Friends Nagar
Palachuvadu, Kakkanad
Kerala 582038
India
Insolvency Commencement Date: March 16, 2022
Court: National Company Law Tribunal, Ernakulam Bench
Estimated date of closure of
insolvency resolution process: 180 days from commencement
Insolvency professional: CA. Babu Abraham Kallivayalil
Interim Resolution
Professional: CA. Babu Abraham Kallivayalil
IInd floor, Manchu Complex
P.T. Usha Road, Kochi
Above Bapus Baby Shop
Ernakulam, Kerala 682011
E-mail: babucentralcouncil@gmail.com
ip.savutetextiles@gmail.com
Last date for
submission of claims: March 30, 2022
SHOBHAGLOBS ENGINEERS: ICRA Keeps B Ratings in Not Cooperating
--------------------------------------------------------------
Shobhaglobs Engineers Hub Pvt Ltd in the 'Issuer Not Cooperating'
category. The ratings are denoted as [ICRA]B(Stable)/[ICRA]A4;
ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 3.40 [ICRA]B (Stable) ISSUER NOT
Fund Based/TL COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Long Term- 0.90 [ICRA]B (Stable) ISSUER NOT
Fund Based/CC COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Long Term- 5.30 [ICRA]B (Stable) ISSUER NOT
Unallocated COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
Short Term- 0.40 [ICRA]A4; ISSUER NOT
Non Fund Based COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
ICRA has been trying to seek information from the entity so as to
monitor its performance. Further, ICRA has been sending repeated
reminders to the entity for payment of surveillance fee that became
due. Despite repeated requests by ICRA, the entity's management has
remained non-cooperative. The current rating action has been taken
by ICRA basis best available/dated/limited information on the
issuers' performance. Accordingly, the lenders, investors and other
market participants are advised to exercise appropriate caution
while using this rating as the rating may not adequately reflect
the credit risk profile of the entity. The rating action has been
taken in accordance with ICRA's policy in respect of
non-cooperation by a rated entity available at www.icra.in.
Incorporated in 2014, SEHPL is an engineering company manufacturing
sheet metal structural component, cable trays and control panels
catering majorly to orders secured from engineering, procurement
and construction (EPC) players in the solar energy sector. The
company was involved in trading of solar panels till 2017 and
commenced the manufacturing operations in August 2017.
SNG TECHNO BUILD: Insolvency Resolution Process Case Summary
------------------------------------------------------------
Debtor: SNG Techno Build Private Limited
404, 4th Floor
Shahpuri Tirath Singh Tower
C-58, Janakpuri
New Delhi, South West
Delhi DL 110058
Insolvency Commencement Date: March 19, 2022
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: September 10, 2022
Insolvency professional: Mr. Yogesh Kumar Gupta
Interim Resolution
Professional: Mr. Yogesh Kumar Gupta
C-17B LGF, Kalkaji
New Delhi 110019
E-mail: ykgupta64@yahoo.co.in
cirp.sng@gmail.com
Last date for
submission of claims: April 2, 2022
SUPERDRAWN WIRE: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Superdrawn Wire Industries Private Limited
Registered office:
21, Kamal Co-Operative Industrial Estate
Nr. Kamal Restaurant
Ajod Dairy Road
Rakhial, Ahmedabad 380023
Gujarat
Principal office:
Plot No. 1401, Kerala GIDC
NH 8, Near SKF Bearings
Bavla, Ahmedabad 380023
Insolvency Commencement Date: March 19, 2022
Court: National Company Law Tribunal, Ahmedabad Bench-I
Estimated date of closure of
insolvency resolution process: September 12, 2022
Insolvency professional: Mr. Dilipkumar Natvarlal Jagad
Interim Resolution
Professional: Mr. Dilipkumar Natvarlal Jagad
803/804, Ashok Heights
Opp. Saraswati Apartments
Old Nagardas X Road
Gundavali, Andheri-East
Mumbai 400069
E-mail: dilipjagad@hotmail.com
superdrawn.irp@gmail.com
Tel: 9821142587
Last date for
submission of claims: April 2, 2022
SUPERTECH LTD: Starts Insolvency Process; 25K Homebuyers Affected
-----------------------------------------------------------------
Livemint.com reports that insolvency proceedings have been
initiated against Supertech Ltd after a National Company Law
Tribunal (NCLT) bench on March 25 admitted a petition filed by
Union Bank of India for non-payment of dues by the Noida-based
property developer.
An interim resolution professional (IRP) has also been appointed
for Supertech, superseding the company's board, Livemint.com says.
According to the report, the bankruptcy court's order comes after
the Supreme Court last year ordered the demolition of the property
developer's twin towers in Noida for violation of building
regulations and colluding with Noida Authority officials.
In February, the Supreme Court had again directed the authorities
to start the demolition of the 40-storey towers within two weeks.
NCLT's order is likely to impact nearly 25,000 homebuyers who have
been waiting to take delivery of their homes in Supertech's
projects, Livemint.com notes.
"In the matter of appointment of interim resolution professional in
one of the Supertech Group companies by the National Company Law
Tribunal (NCLT), management of the company stated that the company
will be approaching NCLAT (National Company Law Appellate Tribunal)
in an appeal against the order as the matter belongs to a financial
creditor. In the interest of homebuyers, preference was given to
construction and delivery of projects over repayment of bank dues,
which can be fulfilled after project completion. As all the
projects of the company are financially viable, there is no chance
of loss to any party or financial creditor. The order will not
affect operations of any other Supertech Group company," Supertech
said in a statement, the report relays.
Delhi-National Capital Region (NCR) alone has more than 328,000
homes that are either terminally stalled or heavily delayed,
accounting for 52% of all such units across India's seven major
cities, Livemint.com says citing Anarock Property Consultants'
analysis in August.
Homebuyers in the region have been the worst affected as large
property developers such as Jaypee Infratech, Unitech Ltd and
Amrapali Group have either defaulted or been referred to bankruptcy
courts, the report states.
Livemint.com adds Supertech said that it is committed to delivering
homes to allottees.
"We have a strong record of delivering more than 40,000 flats
during the last seven years, and we shall continue to give delivery
to our buyers under our "Mission Completion - 2022", under which we
have undertaken a target of delivering 7,000 units by December
2022," the developer added.
THIRU AROORAN: ICRA Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
ICRA has retained the Long-term ratings of Thiru Arooran Sugars
Limited in the 'Issuer Not Cooperating' category. The ratings are
denoted as [ICRA]D/[ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term– 56.84 [ICRA]D; ISSUER NOT
COOPERATING;
Fund based/CC Rating Continues to remain under
'Issuer Not Cooperating'
Category
Long-term– 29.70 [ICRA]D; ISSUER NOT
COOPERATING;
Fund based/TL Rating Continues to remain under
'Issuer Not Cooperating'
Category
Long term– 235.03 [ICRA]D; ISSUER NOT
COOPERATING;
Non fund based Rating Continues to remain under
'Issuer Not Cooperating'
Category
Long Term– 16.11 [ICRA]D; ISSUER NOT
COOPERATING;
Unallocated Rating continues to remain
under 'Issuer Not Cooperating'
category
Short Term- 1.50 [ICRA]D; ISSUER NOT COOPERATING;
Non Fund Based Rating continues to remain under
'Issuer Not Cooperating'
Category
ICRA has been trying to seek information from the entity so as to
monitor its performance. Further, ICRA has been sending repeated
reminders to the entity for payment of surveillance fee that became
due. Despite repeated requests by ICRA, the entity's management has
remained non-cooperative. The current rating action has been taken
by ICRA basis best available/dated/limited information on the
issuers' performance. Accordingly, the lenders, investors and other
market participants are advised to exercise appropriate caution
while using this rating as the rating may not adequately reflect
the credit risk profile of the entity. The rating action has been
taken in accordance with ICRA's policy in respect of
non-cooperation by a rated entity available at www.icra.in.
Incorporated in 1954, Thiru Arooran Sugars Limited is one of the
oldest sugar companies in India. Its sugar plants are based in
Cuddalore and Thanjavur districts of Tamil Nadu. It has 8500 TCD of
cane crushing capacity in its two plants, and a 60-KLPD distillery.
The plants are integrated with a 47.10-MW cogeneration unit of the
company's subsidiary Terra Energy Limited (TASL holds 66.19% stake
in Terra Energy Limited), with which it has barter arrangement for
supply of steam and power.
UM AUTOCOMP PRIVATE: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: Um Autocomp Private Limited
806 Devika Tower
6 Nehru Place
New Delhi 110019
Insolvency Commencement Date: March 21, 2022
Court: National Company Law Tribunal, Delhi Bench
Estimated date of closure of
insolvency resolution process: August 16, 2022
Insolvency professional: Pankaj Kumar Singhal
Interim Resolution
Professional: Pankaj Kumar Singhal
A-233, Ground Floor, Bunkar Colony
Ashok Vihar, Phase-IV
New Delhi 110052
E-mail: aprassociatesllp@gmail.com
- and -
WP-509, 2nd Floor, Wazirpur Village
Ashok Vihar, Phase-1
Delhi 110052
E-mail: cirp.umautocomp@gmail.com
Last date for
submission of claims: April 4, 2022
UNICON TECHNOLOGY: Ind-Ra Moves 'BB-' Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Unicon Technology
International Private Limited'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 BB- (ISSUER NOT COOPERATING)' on the agency's
website.
The instrument-wise rating actions are:
-- INR10.43 mil. Term loan due on August 2025 migrated to non-
cooperating category with IND BB- (ISSUER NOT COOPERATING)
rating;
-- INR35 mil. Fund-based working capital limit migrated to non-
cooperating category with IND BB- (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 23, 2021. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
COMPANY PROFILE
Incorporated in September 1976, Unicon Technology International
manufactures material handling equipment. The company manufactures
various kinds of cranes as per the specific requirements of its
customers. It also manufactures spare parts and provides
consultancy services to its customers. The company's registered
office is in Delhi and the manufacturing units are in Noida, Uttar
Pradesh.
UNISHIRE LIFESTYLE: Insolvency Resolution Process Case Summary
--------------------------------------------------------------
Debtor: Unishire Lifestyle Dwellings LLP
No. 42, Castle Street
Ashok Nagar
Bangalore 560025
Insolvency Commencement Date: March 14, 2022
Court: National Company Law Tribunal, Bangalore Bench
Estimated date of closure of
insolvency resolution process: September 4, 2022
Insolvency professional: Ratnakar Shetty
Interim Resolution
Professional: Ratnakar Shetty
F507, Mantri Tranquil Apt
Gubbalala Gate
Off Kanakapura Road
Subramanyapura Post
Banglaore 560061
E-mail: rcshetty.co@gmail.com
- and -
RPAR & Co LLP
# 16, Level 3
Skyline Towers
7th Cross, Sampige Road
Malleswaram, Bangalore 560003
E-mail: cirp.uldl@gmail.com
Classes of creditors: Home Buyers
Insolvency
Professionals
Representative of
Creditors in a class: Narayana Kamma
T Narayana Swamy
Chandra Sekhar Kandukoori
Last date for
submission of claims: March 30, 2022
VANILLA CLEAN: Ind-Ra Hikes Loan Rating to BB-, Outlook Stable
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has upgraded Vanilla Clean
Power Private Limited's (VCPPL) debt facilities to 'IND BB-' from
'IND B+'. The Outlook is Stable.
The detailed rating actions are:
-- INR2.300 bil. (outstanding INR1,880.9 bil.) Term loan due on
June 30, 2030 upgraded with IND BB-/Stable rating; and
-- INR210 mil. Overdraft upgraded with IND BB-/Stable rating.
The upgrade reflects an improvement in VCPPL's operational and
financial performance and internal liquidity along with the
creation of debt service reserve (DSR) equivalent to two quarters
debt service from proceeds of a loan in FY22.
KEY RATING DRIVERS
The company's overall performance improved in FY22, driven by the
average machine availability remaining above 94%, an improved plant
load factor (PLF) and a slight decrease in the payment cycle from
counterparties. Moreover, VCPPL has created a DSR worth INR212
million equivalent to two quarters' principal and interest due by
January 2022, majorly funded from the proceeds of a loan under the
Emergency Credit Line Guarantee Scheme (ECLGS) worth INR203.3
million. This provides a buffer for managing the volatile payment
cycle from counterparties. The management has stated that the
increase in debt repayments from 4QFY23 due to ECLGS loan will be
managed by reducing the management service fees paid to its
sponsor, Leap Green Energy Private Limited (LGEPL).
Liquidity Indicator – Stretched: VCPPL continues to rely on its
working capital limits of INR210 million (average maximum
utilization of 97% in the six months ended January 2022) to manage
delays from its the counterparties - Jodhpur Vidyut Vitran Nigam
Limited (Jodhpur distribution company) and Ajmer Vidyut Vitran
Nigam Limited (Ajmer discom). The six-month debt service equivalent
DSRA has been created to offer comfort against volatility in
payment receipts from counterparties. Its receivable days as of
January 2022 reduced to 267 days from 305 days as at end-March
2021. While LGEPL has infused INR35 million into VCPPL in FY22 to
mitigate minor temporary cashflow mismatches, its liquidity is
constrained by a low debt service coverage ratio. Ind-Ra has
analyzed the debt service coverage ratio based on VCPPL's total
term loan of INR2,084.2 million (including ECLGS loan) as on 31
January 2022. The ECLGS loan has a one-year moratorium and equal
monthly amortization for four years.
Moreover, Ind-Ra has taken comfort from LGEPL support to VCPPL in
FY22. LGEPL has also stated that it will continue to support VCPPL
before accessing DSRA. The company has a cross default with respect
to Ivy Ecoenergy India Private Limited (another special purpose
vehicle company owned by the sponsor).
The PLF improved to 18.34% in 12 months ending in January 2022
(FY21: 15.28%), higher than P90 levels (16.6%), owing to an
improvement in machine availability. The PLF was low due to weak
machine availability during FY17-FY20 and wind resource volatility.
However, a change in its operations and maintenance contractor to
Renom Energy Services LLP on 16 May 2019 augured well for VCPPL and
its machine availability increased to 96.6% in 10MFY22 (FY21:
94.4%). However, the average debt service coverage ratio was about
1.0x for the debt tenor, assuming a PLF of 17.7%, based on the
actual generation excluding the period of low machine
availability.
The ratings are supported by the presence of VCPPL's 25-year power
purchase agreements with Jodhpur distribution company for a 56MW
capacity and Ajmer discom for the balance 8MW capacity, at a fixed
tariff of INR5.18/kWh.
The ratings are supported by the generation-based incentive (GBI)
of INR0.50/unit annually VCPPL is entitled to receive from Indian
Renewable Energy Development Agency Limited (IREDA; 'IND
AA+'/Stable) till FY23. Although IREDA is a financially strong
counterparty, any material delay in GBI payments can affect VCPPL's
liquidity. As of October 2021, the company received the GBI
payments for the bills raised till March 2021.; outstanding
receivables since March 2021 totalled INR41.4 million.
RATING SENSITIVITIES
Negative: A depletion of DSRA to less than three months, an
increase in the receivable days and PLF levels falling below 16.5%
on a continuous basis may result in a rating downgrade.
Positive: A sustained operating and financial performance at the
current levels leading to an improvement in the debt service
coverage ratio to 1.10x and receivable days sustaining at six
months for a continuous period of 12 months may lead to a rating
upgrade.
COMPANY PROFILE
VCPPL is a special purpose vehicle formed by LGEPL to operate two
wind farms in Jaisalmer, Rajasthan. These plants were acquired from
Inox Renewables (Jaisalmer) Limited on a slump sale basis in August
2017.
VARANASI STP: Ind-Ra Cuts Bank Loan Rating to 'D', Outlook Stable
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Varanasi STP
Project Private Limited's (VSPPL) bank loans to 'IND D' from 'IND
BB'. The Outlook was Stable.
The detailed rating action is:
-- INR570 mil. Term loan (Long-term) due on June 2029# downgraded
with IND D rating; and
-- INR130 mil. Bank guarantee (Long-term) downgraded with IND D
rating.
#Linked to the achievement of the actual commercial operations
date (COD). The debt tenor may be extended in case there is a
further delay in project completion timelines approved by Uttar
Pradesh Jal Nigam.
KEY RATING DRIVERS
The downgrade reflects VSPPL's delays in servicing of interest for
the term loan since November 2021 due to delay in project
completion and the subsequent delays in revenue realization.
RATING SENSITIVITIES
Positive: Timely debt servicing for three consecutive months will
result in an upgrade.
COMPANY PROFILE
VSPPL is 74% owned by Essel Infra Projects Limited. Uttar Pradesh
Jal Nigam and National Clean Ganga Mission have awarded VSPPL a
concession to construct a 50 million liters per day sewage
treatment plant in Ramana, Varanasi, and restore allied facilities
under the hybrid annuity model. The operations and maintenance
period as per the concession agreement is 15 years from the
commercial operational date. The bid project cost of INR1,565.502
million includes land, project cost and operations and maintenance
cost. The appraised project cost of INR1,234.7 million is proposed
to be funded by a term loan of INR568.3 million, construction grant
of INR423 million and the balance through equity.
WRITER LIFESTYLE: Ind-Ra Affirms BB+ Long Term Issuer Rating
------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Writer Lifestyle
Private Limited's (WLPL) Long-Term Issuer Rating at 'IND BB+'. The
Outlook is Stable.
The instrument-wise rating actions are:
-- INR924.5 mil. (increased from INR890 mil.) Term loan due on
June 2025 affirmed with IND BB+/Stable rating; and
-- INR150.0 mil. Bank overdraft affirmed with IND A4+ rating.
Analytical Approach: Ind-Ra continues to take a consolidated view
of WLPL and its parent, P.N. Writer & Company Pvt. Ltd. (PNW; 'IND
BB+'/Stable) in view of the strong legal, operational and strategic
linkages between the entities. The agency had also considered
liquidity support coming from other group companies including
Writer Business Services Private Limited (WBS; 'IND A'/Stable)
while arriving at the rating of the company.
The agency has factored in the additional information received
subsequent to the last review.
KEY RATING DRIVERS
Financial Profile Showing Modest Recovery: The COVID-19-led
lockdown and associated restrictions on travel and hotel activities
through much of FY20-FY21 led to fall in occupancy levels at the
Hilton Shillim Retreat and Spa in Shillim, Maharashtra.
Consequently, PNW's consolidated revenue fell to INR340.1 million
in FY21 (FY20: INR459 million). However, the reduction in
operating expense helped the consolidated EBITDA turn positive at
INR4.9 million in FY21 (FY20: EBITDA losses of INR34.3 million)
despite COVID-19 restrictions. The EBITDA is also supported by
stable rental income from the residential apartments, office space
and warehouses. With the easing of COVID-19-led restrictions, the
average room rent (ARR) increased to INR23,773 in December 2021
from INR18,215 in December 2020 and the occupancy levels improved
to 34% from 24%. This has caused a modest recovery in the revenue,
which is anticipated to continue growing in FY23.
Operating Performance of Hilton: Hilton's occupancy is estimated to
improve to 34% in FY22 from 29% in FY21 (FY20: 51%) with the easing
of the COVID-19 pandemic restrictions. In FY21, on a standalone
basis, WLPL's revenue declined to INR272.1 million (FY20: INR394.6
million), but its EBITDA improved marginally to negative INR33.8
million (FY20: negative INR77.9 million) on account of a 36% yoy
increase in ARR and reduced operating expenses due to the following
optimization measures undertaken by the entity: i) installation of
low-cost heat pumps and solar harvesting farms, resulting in
reduced energy expenses; ii) optimization of staffing and zone
usage to bring down employee expenses; iii) conversions of high
speed diesel boilers to heat pumps, installation of liquefied
petroleum gas feed boilers and uninterrupted power supply from the
state grid directly to save cost spent on diesel generators and
other equipment using fossil fuels
The above-mentioned operating cost reduction measures are
structural in nature and will positively impact the business not
only in the short term but also over the long term, thereby
supporting the liquidity of the company. Furthermore, the company
is constructing 20 villas in the vicinity of the hotel, which is
scheduled to be completed by FY24.
PNW's Standalone Financial Performance: PNW's operating revenue was
fairly stable at INR68.4 million in FY21 (FY20: INR69.5 million)
due to stable rental income from the residential apartments, office
space and warehouses. The company's standalone operating EBITDA
reduced slightly to INR38.7 million in FY21 (FY20: INR45.6
million). PNW receives interest income (FY21: INR38.3 million;
FY20: INR36.3 million) on loans and advances extended to its group
companies. During FY20-FY21, PNW sold two apartments in Bandra,
Mumbai for a consideration of INR217.5 million. The proceeds from
the sale were primarily used to repay debt.
Liquidity Indicator - Stretched: Amid the COVID-19 pandemic, the
consolidated cash flow from operations remained negative at
INR178.2 million in FY21 (FY20: negative INR149.7 million) owing to
continued operating losses and high interest expenses. The
shortfall in in servicing its debt obligation was covered by
unsecured loan extended by group companies and Directors in a
timely manner. The unencumbered cash and bank balances marginally
increased to INR22.9 million at end-FY21 (end-FY20: INR13.5
million). Furthermore, the liquidity of the company was supported
by the restructuring of external term loans under the Covid-19 Debt
Restructuring Scheme. Under the scheme, the company account
continues to be classified as 'Standard' while availing principal
moratorium of 24 months, thereby reducing its debt servicing
obligations over the near term
Strong Group Support: PNW has received strong liquidity support in
the form of loans and advances from either the promoters or group
companies (including WBS), in case of financial losses. At
end-FY21, PNW had a consolidated debt of INR3,015.8 million (FY20:
INR2,867.5 million); of this, about INR1,641.5 million had been
extended by either the promoters or group companies. Furthermore,
PNW had loaned a large portion of these advances to WLPL.
In FY21, PNW received incremental loans of INR168.4 million (FY20:
INR224.1 million) from group companies to meet its financial
obligations. As per the management, the promoter and the group
companies would continue to extend liquidity support to PNW and
WLPL in a timely manner without any cap on the amount required to
cover any cash shortfall and service the external debt. Also, the
director loans and loans from group companies are subordinated to
the external borrowings.
RATING SENSITIVITIES
Negative: A negative rating action could result from –
-- weakening of linkages with WBS, resulting in
lower-than-expected financial support for PNW.
-- any deterioration in the liquidity situation, a sustained rise
in the leverage, EBITDA losses, or weak cash flow generation.
Positive: A positive rating action could result from –
-- a substantial improvement in the scale of operations, leading
to a significant and sustained increase in the revenue and EBITDA
generation, leading to interest coverage of 1.25x, on a sustained
basis, and
-- deleveraging, including through the sale of residential
properties/land bank and villas and/or equity infusion
COMPANY PROFILE
PNW is a part of Mumbai-based Writer Corporation group, which is
engaged in diversified businesses such as relocation services,
information and records management services, cash management
services and hospitality. As a standalone entity, PNW derives
revenue through rental income from a residential property in Bandra
West, Mumbai (St. Leo Apartments; a seven-storey building with an
area of 857 square meters) and some commercial properties leased to
Writer Business Services. WLPL, a wholly owned subsidiary of PNW,
is engaged in the hospitality business. It has a luxury resort,
Hilton Shillim Estate Retreat and Spa, in Lonavala, near Mumbai. It
is also involved in the real estate business, and has been
constructing villas in Shillim, Lonavala, for sale.
A business restructuring was carried out in the group in FY16,
wherein the services and real estate businesses were split into
separate entities. The information management and domestic
relocations businesses that were earlier a part of PNW were
hived-off into a separate entity, named, WBS, and the shares of
Writer Safeguard Pvt Ltd, which is involved in cash management
business, were transferred to WBS. Subsequently, Ind-Ra began to
take a consolidated view of PNW and its real estate subsidiary
WLPL. Earlier, P.N. Writer and Company Ltd, Dubai, was a 100%
subsidiary of PNW; however, during FY18, PNW divested all its stake
from PND.
===============
M A L A Y S I A
===============
JERASIA CAPITAL: Founder Yap Fuh Kong & Daughter Exit Board
-----------------------------------------------------------
Syafiqah Salim at theedgemarkets.com reports that loss-making
Practice Note 17 (PN17) company Jerasia Capital Bhd said its
executive deputy chairman Datuk Yap Fung Kong and his daughter,
executive director Debbie Yap May See, have resigned due to
"personal reasons".
According to the fashion apparel's bourse filing on March 25, the
resignation took effect a day earlier, the report relates.
Yap, 72, who was appointed to Jerasia Capital's board in 2000, is
also the company's founder and formerly its major shareholder, with
a 25.657% stake at end-2020. He ceased to be the company's
substantial shareholder in mid-March after a series of disposals.
On March 15, Yap further trimmed his stake to 1.281% or 1.05
million shares, from 3.718% previously, by offloading two million
shares for MYR60,000, the report recalls. The shares were held by
HSBC Nominees (Tempatan) Sdn Bhd pledged securities account.
In the past, he was president of the Malaysian Textile
Manufacturers Association and chairman of the Asean Federation of
Textile Industries.
Yap's daughter May See was appointed to the board as an executive
director in 2017, according to the report. Previously, she joined
Jerasia Capital in October 2011 as assistant manager for business
development and corporate affairs before being promoted to manager
in May 2013.
Earlier this month, Jerasia Capital said three of its wholly-owned
subsidiaries, namely Jerasia Fashion Sdn Bhd, Jerasia Apparel Sdn
Bhd and Canteran Apparel Sdn Bhd, had applied for a judicial
management order to facilitate the restructuring of their finances,
recalls theedgemarkets.com.
It said the units had been operating under adverse financial and
operational conditions since the outbreak of the Covid-19 pandemic,
with the prolonged imposition of the various phases of Movement
Control Order from March 2020 resulting in the closure of the
group's various retail stores and manufacturing facilities.
Besides, global trade and consumer demands also experienced sharp
decline due to the Covid-19 pandemic.
"As a result, Jerasia Group's overall sales plummeted, and it was
unable to generate sufficient revenue to meet its repayment
requirements," said the company in its filing dated March 7.
Jerasia Capital posted a net loss of MYR159.23 million with a
revenue of MYR134.5 million for the full financial year ended Nov.
31, 2021, theedgemarkets.com discloses.
theedgemarkets.com relates that the company said its prospects
remain highly uncertain. "It is imperative, indeed critical for the
group to succeed in its plans to diversify into the healthcare
segment as well as to embark on a capital raising exercise. This
regularisation and restructuring plan is paramount for the future
success of the group," it added.
About Jerasia Capital
Jerasia Capital Berhad is an investment holding company which
provides management consultancy services. The Company, through its
subsidiaries, manufactures, exports, wholesales, and retails
fashion garments and accessories. Jerasia Capital also provides
haulage services.
On Jan. 28, 2022, Jerasia Capital Bhd was classified as an affected
listed issuer under Practice Note 17 (PN17) of the Main Market
Listing Requirements (Main LR) of Bursa Malaysia Securities Berhad
as the Company triggered the prescribed criteria pursuant to
Paragraph 8.04 and Paragraph 2.1(a) of PN17 of the Main LR of Bursa
Securities, where the shareholders' equity of the Company on a
consolidated basis is 25% or less of the share capital (excluding
treasury shares) of the Company and such shareholders' equity is
less than MYR40 million.
=====================
N E W Z E A L A N D
=====================
ALPHANUMERIC PROCESSING: Creditors' Proofs of Debt Due on April 27
------------------------------------------------------------------
Creditors of Alphanumeric Processing Limited are required to file
their proofs of debt by April 27, 2022, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on March 24, 2022.
The company's liquidator is:
R. Mason-Thomas
Meltzer Mason, Chartered Accountants
PO Box 6302
Victoria Street West, Auckland 1141
OTAGO HOMES: Creditors Meeting Set This Week
--------------------------------------------
Riley Kennedy of Otago Daily Times reports that a meeting of
creditors of Otago Homes Ltd has been called to determine its
future.
In February, Otago Homes Ltd, a franchise of Landmark Homes, was
placed into voluntary administration.
The report relates that Landmark chief executive Gary Woodhouse
told RNZ at the time the franchisee had essentially "run out of
money" after struggling with materials and skills shortages in the
face of "extreme" housing demand.
The creditors included building merchants, sub-contractors and
tradespeople.
Otago Homes had three people on its staff and one director, Andrew
Lawrence.
Earlier last week, a public notice was issued about the watershed
meeting of creditors.
ODT says the purpose of the meeting is to consider the report of
the administrator, and determine whether to execute a deed of
company arrangement, bring the administration to an end, or place
the company into liquidation.
At the time Otago Homes was placed into administration, the company
had eight builds under way in the Otago region.
According to the report, Mr. Woodhouse said the company wanted to
see them all completed and was working hard to ensure that
happened.
Last year, business advisory firm BDO's annual construction sector
report warned smaller firms were at risk of failing, as they
grappled with significant cost pressures from higher material costs
and wages, ODT recalls.
The Companies Office listed Otago Homes' owners as two trusts -
Auckland-based Capri Trustee Company Ltd and Tauranga-based Sharp
Tudhope Trustee Services No 22 Ltd.
The watershed meeting of creditors will be held in Queenstown this
week, ODT notes.
REWARDS MARKETING: Creditors' Proofs of Debt Due on April 29
------------------------------------------------------------
Creditors of Rewards Marketing Limited are required to file their
proofs of debt by April 29, 2022, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on March 18, 2022.
The company's liquidators are:
Iain McLennan
McDonald Vague Limited
Level 10
33 Federal Street, Auckland
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S I N G A P O R E
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QUANT IMPEX: Court to Hear Wind-Up Petition on April 8
------------------------------------------------------
A petition to wind up the operations of Quant Impex Pte Ltd will be
heard before the High Court of Singapore on April 8, 2022, at 10:00
a.m.
The Comptroller Of Income Tax filed the petition against the
company on March 16, 2022.
The Petitioner's solicitors are:
Infinitus Law Corporation
77 Robinson Road
#16-00, Robinson 77
Singapore 068896
RADIUS EXPERIENTIAL: Court to Hear Judicial Mgmt. Bid on March 31
-----------------------------------------------------------------
A petition to place Radius Experiential International Pte. Ltd
under Judicial Management will be heard before the High Court of
Singapore on March 31, 2022, at 2:30 p.m.
Chan Yee Hong of Nexia TS Risk Advisory Pte Ltd has been nominated
as the judicial manager.
The Petitioner's solicitors are:
Wee Swee Teow LLP
491B River Valley Road
#10-03/04 Valley Point
Singapore 248373
RHODIUM TRADING: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Singapore entered an order on March 11, 2022, to
wind up the operations of Rhodium Trading North America Corp.,
Rhodium Resources USA, Inc., Rhodium International Trading USA,
Inc., and RHL International Trading PTE. LTD.
White Oak Trade Finance, LLC filed the petition against the
companies.
The companies' liquidator is:
Yit Chee Wah
c/o FTI Consulting (Singapore) Pte Ltd
1 Raffles Quay
#27-10 South Tower
Singapore 048583
TE AWA: Commences Wind-Up Proceedings
-------------------------------------
Members of Te Awa Pte Ltd, on March 18, 2022, passed a resolution
to voluntarily wind up the company's operations.
The company's liquidator is:
Ng Hoe Kiat Keith
7500A Beach Road
#05-303/304 The Plaza
Singapore 199591
WORLD TECH: Commences Wind-Up Proceedings
-----------------------------------------
Members of World Tech Engineering Pte Ltd, on March 18, 2022,
passed a resolution to voluntarily wind up the company's
operations.
The company's liquidator is:
Ng Hoe Kiat Keith
7500A Beach Road
#05-303/304 The Plaza
Singapore 199591
*********
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-
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Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
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