/raid1/www/Hosts/bankrupt/TCRAP_Public/240717.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, July 17, 2024, Vol. 27, No. 143
Headlines
A U S T R A L I A
AUSGLOBAL CONSTRUCTION: First Creditors' Meeting Set for July 23
BOOKTOPIA GROUP: AUD60 Million in Debt as Insolvency Claims Probed
CRIMSON BOND 2023-1P: S&P Affirms B(sf) Rating on Class F Notes
CROOKED COFFEE: Second Creditors' Meeting Set for July 23
GET MY REFUND: Second Creditors' Meeting Set for July 23
SALT AND LIME: Second Creditors' Meeting Set for July 22
STEVENS CONSTRUCTION: Goes Into Liquidation
TRITON TRUST NO.9: Fitch Affirms 'BB-sf' Rating on Class E Notes
VIRAL GROUP: Second Creditors' Meeting Set for July 22
C H I N A
CBAK ENERGY: Registers $500 Million Worth of Securities
COUNTRY GARDEN: Malaysia's King Bids to Revive Forest City
DATASEA INC: Prices $2.25 Million Registered Direct Offering
JINGBO TECHNOLOGY: Incurs $5.48-Mil. Net Loss in FY Ended Feb. 29
UXIN LTD: Has Deal With Zhengzhou Airport to Form Joint Venture
I N D I A
AFFLATUS GRAVURES: Ind-Ra Cuts Bank Loan Rating to BB+
AGGARWAL ASSOCIATES: CARE Keeps D Debt Ratings in Not Cooperating
AJINKYA BIG: CRISIL Keeps B Debt Ratings in Not Cooperating
ALISHAN VENEER: Insolvency Resolution Process Case Summary
ALLIANCE PROJECTS: CRISIL Keeps B Debt Ratings in Not Cooperating
ALLIED INDIA: CRISIL Keeps B- Debt Ratings in Not Cooperating
AMRITA SAI: Ind-Ra Keeps D Rating in NonCooperating
ASTER PRIVATE: Ind-Ra Keeps D Loan Rating in NonCooperating
ATIBIR INDUSTRIES: Ind-Ra Keeps D Loan Rating in NonCooperating
B. K. EXPORTS: ICRA Keeps B- Debt Rating in Not Cooperating
BR. SHESHRAO: CRISIL Keeps B Debt Ratings in Not Cooperating
C MUNIKRISHNA: CRISIL Keeps B Debt Rating in Not Cooperating
CAREER EDUCATIONAL: CRISIL Keeps B+ Rating in Not Cooperating
D. P. FOODS: CRISIL Lowers Rating on INR10cr Cash Loan to B
DARSHANA SOLVENT: Ind-Ra Affirms BB- Term Loan Rating
DEEPAK COSMO: CARE Keeps D Rating in Not Cooperating Category
DEV R NIL: Liquidation Process Case Summary
DYNAMECH ELECTROPOWER: Ind-Ra Assigns BB+ Rating, Outlook Stable
GAUTAM INTERNATIONAL: Ind-Ra Keeps BB Rating in NonCooperating
GITA GINNNG: Ind-Ra Moves BB Rating to NonCooperating
GYANKUND TRUST: Ind-Ra Keeps D Loan Rating in NonCooperating
HARIKRUSHNA COTTON: ICRA Keeps B Debt Ratings in Not Cooperating
HARIOM AQUA: Ind-Ra Affirms BB+ Bank Loan Rating
HEMANG RESOURCES: ICRA Keeps D Debt Ratings in Not Cooperating
ICEWEAR CREATION: ICRA Keeps B+ Debt Rating in Not Cooperating
INTERNATIONAL PRINT-O-PAC: Insolvency Process Case Summary
IVRCL INDORE: Ind-Ra Keeps D Rating in NonCooperating
JAGADGURU COOPERATIVE: Ind-Ra Keeps BB Rating in NonCooperating
JENDRINA HOSPITALITY: CRISIL Reaffirms B+ Rating on Term Loan
MEHTA AND ASSOCIATES: CARE Keeps D Debt Ratings in Not Cooperating
NATIONAL STEEL: ICRA Keeps D Debt Ratings in Not Cooperating
PIYUSH COLONISERS: ICRA Keeps D Debt Rating in Not Cooperating
PRECISION ENGINEERING: ICRA Keeps D Ratings in Not Cooperating
PUREWAL STONE: CARE Keeps C Rating in Not Cooperating Category
RAJARAMBAPU PATIL: ICRA Keeps B+ Debt Rating in Not Cooperating
RAJMAL LAKHICHAND: Liquidation Process Case Summary
RASIK PRODUCTS: Insolvency Resolution Process Case Summary
SAI LAKSHMI: CRISIL Keeps B Debt Ratings in Not Cooperating
SANGAM STEELS: CRISIL Revises Rating on INR7cr Cash Loan to B+
SETHIA OILS: CARE Lowers Rating on INR15.50cr LT Loan to D
SHIKHAR CONSTRUCTIONS: CARE Keeps D Debt Rating in Not Cooperating
SHIVAM MASALA: CRISIL Keeps B- Debt Ratings in Not Cooperating
SHYAM CORPORATION: CRISIL Keeps B Debt Ratings in Not Cooperating
SPEECHMATICS (INDIA): Voluntary Liquidation Process Case Summary
SUBHLAXMI FOODS: CARE Lowers Rating on INR15cr LT Loan to D
SUPERTECH REALTORS: Insolvency Resolution Process Case Summary
SURYA LAXMI: CARE Keeps B- Rating in Not Cooperating Category
TECHNICO STRIPS: CARE Keeps D Debt Ratings in Not Cooperating
TEJAS AGRO: CARE Lowers Rating on INR15.50cr LT Loan to D
TRANSPARENT FOOD: Insolvency Resolution Process Case Summary
M A L A Y S I A
KNM GROUP: Gets 6-Mo. Extension to Submit PN17 Regularisation Plan
SARAWAK CABLE: Placed Under Judicial Management
SARAWAK CABLE: Teoh Wen Jinq Resigns as Chief Financial Officer
N E W Z E A L A N D
EGT LIMITED: Court to Hear Wind-Up Petition on Aug. 9
INDUSTRIE KITCHEN: Court to Hear Wind-Up Petition on July 30
MORROW CONTRACTING: Creditors' Proofs of Debt Due on Aug. 12
PAINT IT: Creditors' Proofs of Debt Due on Aug. 20
S.P.Q.R. LIMITED: Creditors' Proofs of Debt Due on Sept. 11
S I N G A P O R E
ALL CONTINENTS: Commences Wind-Up Proceedings
CUBE 2: Court Enters Wind-Up Order
FA TAT: Court Enters Wind-Up Order
JLION MARINE: Court Enters Wind-Up Order
NUTRYFARM INT'L: Enters Into Restructuring Agreement with Investor
TECHANIC PTE: Commences Wind-Up Proceedings
S O U T H K O R E A
SOUTH KOREA: Bank Loans Delinquency Ratio Rises for 2nd Mo. in May
V I E T N A M
MB SHINSEI: Fitch Affirms 'B' LongTerm IDR, Outlook Positive
- - - - -
=================
A U S T R A L I A
=================
AUSGLOBAL CONSTRUCTION: First Creditors' Meeting Set for July 23
----------------------------------------------------------------
A first meeting of the creditors in the proceedings of Ausglobal
Construction Pty Ltd will be held on July 23, 2024 at 9:30 a.m. at
via videoconferencing facilities.
David Trim, Richard Albarran, and Cameron Shaw of Hall Chadwick
were appointed as administrators of the company on July 11, 2024.
BOOKTOPIA GROUP: AUD60 Million in Debt as Insolvency Claims Probed
------------------------------------------------------------------
News.com.au reports that Aussie online retailer Booktopia insists
it was at all times trading in line with insolvency laws, as
administrators continue to pore over its books.
According to news.com.au, administrators said the company could be
as much as AUD60 million in debt on July 15, the first day
creditors have met since the bookseller collapsed less than two
weeks ago.
News.com.au relates that the ABC reported administrators would also
investigate whether Booktopia, which had ambitions to rival US
behemoth Amazon, could have been trading while insolvent.
In a statement to the ABC, Booktopia said the company has "at all
times complied with the law in relation to insolvent trading".
"Booktopia had advanced discussions with shareholders and brokers
in relation to a capital raising," it said.
The ASX-listed retailer went into voluntary administration this
month following a trading halt on the stock market, according to
news.com.au.
Booktopia first traded at AUD2.86 a share in 2020, but lost more
than 98 per cent of its value and shares were just AUD0.05 on June
17, news.com.au notes.
Australia's largest bookseller recorded a AUD16.7 million loss for
the six months to December 31.
It had also recently laid off 50 staff and its former CEO resigned
after spending less than a year in the role.
Booktopia told investors in February that its former CEO's
departure was one of many changes it was implementing after a
review of operating costs.
According to news.com.au, administrators Keith Crawford, Matthew
Caddy and Damien Pasfield from restructuring firm McGrathNicol have
been "urgently" looking into the business.
"The Administrators are undertaking an urgent assessment of
Booktopia's business while options for its sale and/or
recapitalisation are explored," a July 3 statement read.
They have reportedly sacked 165 staff, with just 18 people
remaining at the company, according to the Sydney Morning Herald.
Booktopia, started in 2004, sold more books than any other
Australian company.
It now owes publishers and customers millions of dollars, with an
estimated 150,000 unfulfilled orders and AUD3 million in unused
gift cards, news.com.au discloses citing the ABC.
Booktopia Group Limited (ASX:BKG) -- https://www.booktopia.com.au/
-- operates as an online book retailer in Australia. It also sells
eBooks, audiobooks, magazines, games and puzzles, stationery, and
gift cards. In addition, the company offers books that cover
various subjects, such as animals and nature; art and
entertainment; biographies and true stories; business and
management; comedy and humor; computing and IT; cooking, food, and
drink; crafts and handiwork; family and health; fashion and style
guides; fitness and diet; gardening, green lifestyle, and
self-sufficiency; history; house and home; languages and
linguistics; mind, body, and sprit; politics and government; and
psychology, religion, and belief, as well as science; self help and
personal development; society and culture; sports and recreation;
and transportation, travel, and holidays. Further, it provides
books based on Australian stories, children's fiction, and
education and academies.
On July 3, 2024, Matthew Wayne Caddy, Damien Pasfield, and Keith
Crawford of McGrathNicol were appointed as administrators of
Booktopia Group Limited, Booktopia Pty Ltd, Making I. T. Better Pty
Limited, and Virtual Lifestyles Pty. Limited.
CRIMSON BOND 2023-1P: S&P Affirms B(sf) Rating on Class F Notes
---------------------------------------------------------------
S&P Global Ratings affirmed its ratings on seven classes of
residential mortgage-backed securities (RMBS) issued by Perpetual
Corporate Trust Ltd. as trustee for Crimson Bond Trust 2023-1P. At
the same time, S&P removed ratings from under criteria observation
(UCO).
S&P said, "We placed the ratings under criteria observation on June
28, 2024, following updates to our methodology and assumptions for
assessing pools of Australian residential loans.
"We affirmed the ratings and removed the UCO identifier following
our review of the transaction in connection with amendments to the
transaction documents and a substitution of mortgage loans."
The transaction's revolving period, legal maturity date of the
notes, and date-based call option were extended for a further 12
months to July 2025, January 2057, and July 2029, respectively. At
the same time, approximately A$38 million in mortgage loans were
added to the transaction's loan portfolio.
S&P's rating affirmations reflect the following factors:
-- S&P's view of the credit risk of the underlying collateral
portfolio, which comprises residential
mortgage loans to residents of Australia and to self-managed
superannuation fund borrowers.
-- As of June 30, 2024, the portfolio has a weighted-average
effective loan-to-value ratio of 62.7% and
weighted-average loan seasoning of 17 months.
-- The credit support available to each rated class of notes,
which is sufficient to withstand the
stresses S&P applies at each respective rating level.
-- The provision of a liquidity reserve, equal to 1.5% of the
aggregate amount of notes outstanding, is
adequate under S&P's stress assumptions to cover timely payment
of interest.
Ratings Affirmed And Removed From UCO
Crimson Bond Trust 2023-1P
Class A1: AAA (sf)
Class A2: AAA (sf)
Class B: AA (sf)
Class C: A (sf)
Class D: BBB (sf)
Class E: BB (sf)
Class F: B (sf)
CROOKED COFFEE: Second Creditors' Meeting Set for July 23
---------------------------------------------------------
A second meeting of creditors in the proceedings of Crooked Coffee
Pty Ltd has been set for July 23, 2024 at 10:30 a.m. at the offices
of Mackay Goodwin at Level 2, 68 St Georges Terrace in Perth and
via a telephone call.
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 June 18, 2024 at 4:00 p.m.
Mathieu Tribut and Domenic Calabretta of Mackay Goodwin were
appointed as administrators of the company on June 18, 2024.
GET MY REFUND: Second Creditors' Meeting Set for July 23
--------------------------------------------------------
A second meeting of creditors in the proceedings of Get My Refund
Pty Ltd has been set for July 23, 2024 at 11:00 a.m. virtually via
Microsoft Teams.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by July 22, 2024 at 4:00 p.m.
Daniel Jon Quinn and Matthew John Bookless of SV Partners were
appointed as administrators of the company on June 18, 2024.
SALT AND LIME: Second Creditors' Meeting Set for July 22
--------------------------------------------------------
A second meeting of creditors in the proceedings of Salt and Lime
Pty Ltd and Salt and Lime Funding Pty Ltd has been set for July 22,
2024 at 11:00 a.m. at the offices of PwC at One International
Towers, 100 Barangaroo Avenue in Barangaroo.
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 June 19, 2024 at 4:00 p.m.
Daniel Walley, Adam Colley and Andrew Scott of PwC were appointed
as administrators of the company on July 17, 2024.
STEVENS CONSTRUCTION: Goes Into Liquidation
-------------------------------------------
Daniel Jeffrey at 9News reports that NSW building company Stevens
Construction has collapsed two months after going into voluntary
administration.
The firm had a portfolio worth more than AUD400 million, ranging
from luxury apartments and affordable housing to retail projects,
but on July 12 formally went into liquidation, 9News relates citing
documents filed with ASIC.
According to 9News, creditors have been told to submit their debts
or claims by Aug. 5.
Stevens Construction was established in 2006. It employed 40
staff.
According to its website, its AUD400 million portfolio includes two
luxury apartment buildings with prominent millionaire John
Singleton, KFC and McDonald's outlets, as well as a number of Dan
Murphys, BWS, Woolworths and other shopping centres.
9News says Stevens is the latest in a long list of construction
businesses that have collapsed since the pandemic, with supply
chain disruptions, skilled worker shortages and high material costs
all taking their toll.
When it appointed administrators in late May, the company said
those factors contributed to the company's collapse, 9News relays.
"The construction industry has faced significant challenges since
the onset of the COVID-19 pandemic," it said in a statement on its
website.
"Unprecedented disruptions have led to skyrocketing building costs,
reduced productivity, and critical shortages of materials and
skilled labour.
"These factors have collectively placed immense pressure on Stevens
Construction, making continued operations unsustainable."
TRITON TRUST NO.9: Fitch Affirms 'BB-sf' Rating on Class E Notes
----------------------------------------------------------------
Fitch Ratings has affirmed five note classes from Triton Trust No.
9 NTX Warehouse Series 2018-1. The warehouse transaction is backed
by a pool of first-ranking Australian full- and low-documentation
conforming mortgage loans originated by Columbus Capital Pty
Limited. The notes were issued by Perpetual Corporate Trust Limited
as trustee for Triton Trust No.9 NTX Warehouse Series 2018-1.
Entity/Debt Rating Prior
----------- ------ -----
Triton Trust No.9
NTX Warehouse
Series 2018-1
A LT AAsf Affirmed AAsf
B LT Asf Affirmed Asf
C LT BBB+sf Affirmed BBB+sf
D LT BB+sf Affirmed BB+sf
E LT BB-sf Affirmed BB-sf
KEY RATING DRIVERS
Resilient Asset Performance: The 30+ day and 90+ day arrears were
0.2% and nil, respectively, as of end-May 2024, below Fitch's 1Q24
Dinkum RMBS Index of 1.3% and 0.6%. Transaction performance has
been strong, with no losses since closing.
Credit Enhancement (CE) Supports Ratings: Cash flow and asset
modelling were not performed for this review, in line with Fitch's
APAC Residential Mortgage Rating Criteria. The transaction has an
availability period ending in October 2024, so Fitch's analysis was
based on a proxy pool stressed to pool parameters provided by
Columbus Capital and further stressed by Fitch. Stress levels were
defined based on originator and historical data and Fitch's
forward-looking view. Stresses were applied to a number of
portfolio characteristics to reflect the historical portfolio
composition and Fitch's expected future portfolio composition of
the pool.
Class A, B, D, E and E notes have documented minimum CE percentages
of 6.5%, 4.0%, 2.5%, 1.45% and 0.95%, respectively, during the
availability period. The transaction employs a sequential structure
after the availability period, with no pro rata pay down permitted.
The transaction also benefits from a liquidity reserve sized at
1.4% of the outstanding note balance, subject to a documented floor
of AUD375,000.
Low Operational Risk: Columbus Capital is a diversified non-bank
financial institution that commenced lending in 2006. Fitch
undertook an operational review and found that the operations of
the servicer were comparable with market standards and that there
were no material changes that may affect Columbus Capital's ongoing
ability to undertake administration and collection activities.
Tight Labour Market Supports Outlook: Portfolio performance is
supported by Australia's continued economic growth and tight labour
market, despite rapid interest rate hikes in 2022-2023. The GDP
growth for the year ending March 2024 was 1.1% and unemployment was
4.0% in May 2024. Fitch forecasts that economic conditions will
stabilise in 2024, projecting GDP growth of 1.2% and a slight
increase in unemployment to 4.2%. This reflects Fitch's anticipated
effects of restrictive monetary policy and persistent inflation to
continue to hinder domestic demand.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
The performance of the transactions may be affected by changes in
market conditions and economic environment. Weakening asset
performance is strongly correlated with increasing levels of
delinquencies and defaults that could reduce CE available to the
notes.
Downgrade Sensitivity
Unanticipated increases in the frequency of defaults and loss
severity on defaulted receivables could produce loss levels higher
than Fitch's base case and are likely to result in a decline in CE
and remaining loss-coverage levels available to the notes.
Decreased CE may make certain note ratings susceptible to negative
rating action, depending on the extent of the coverage decline.
Hence, Fitch conducts sensitivity analysis by stressing a
transaction's initial base-case assumptions.
The rating sensitivity section provides insight into the
model-implied sensitivities the transaction faces when assumptions
- weighted-average foreclosure frequency or weighted-average
recovery rate - are modified, while holding others equal. The
modelling process uses the modification of default and loss
assumptions to reflect asset performance in up and down
environments. The results should only be considered as one
potential outcome, as the transaction is exposed to multiple
dynamic risk factors.
Fitch's previous rating sensitivities were discussed in rating
action commentary dated 27 November 2022
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
An upgrade could result from macroeconomic conditions, loan
performance and credit losses that are better than Fitch's baseline
scenario or sufficient build-up of CE that would fully compensate
for credit losses and cash flow stresses commensurate with higher
rating scenarios, all else being equal.
Fitch's previous rating sensitivities were discussed in rating
action commentary dated 27 November 2022
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
Prior to the transaction closing, Fitch sought to receive a
third-party assessment conducted on the asset portfolio
information, but none was made available to Fitch for the
transaction.
As part of its ongoing monitoring, Fitch reviewed a small targeted
sample of the originator's origination files and found the
information contained in the reviewed files to be adequately
consistent with the originator's policies and practices and the
other information provided to the agency about the asset
portfolio.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis, according to its applicable rating methodologies,
indicates that it is adequately reliable.
REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING
The issuer has informed Fitch that not all relevant underlying
information used in the analysis of the rated notes is public.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
VIRAL GROUP: Second Creditors' Meeting Set for July 22
------------------------------------------------------
A second meeting of creditors in the proceedings of Viral Group
Holdings Pty Ltd has been set for July 22, 2024 at 3:00 p.m.
virtually by Microsoft Teams.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by July 19, 2024 at 5:00 p.m.
Matthew Kucianski of Worrells was appointed as administrator of the
company on June 17, 2024.
=========
C H I N A
=========
CBAK ENERGY: Registers $500 Million Worth of Securities
-------------------------------------------------------
CBAK Energy Technology, Inc. filed a registration statement on Form
S-3 with the U.S. Securities and Exchange Commission relating to
the offering, issuance and sale from time to time shares of common
stock, par value $0.001 per share, preferred stock, debt
securities, warrants, or units up to $500,000,000 or its equivalent
in any other currency, currency units, or composite currency or
currencies in one or more issuances. CBAT may sell any combination
of these securities in one or more offerings.
CBAT's common stock is listed on the Nasdaq Capital Market under
the symbol "CBAT." On July 9, 2024, the last reported per share
sale price of its common stock was $1.28.
CBAT may offer securities through underwriting syndicates managed
or co-managed by one or more underwriters, through agents, or
directly to purchasers.
A full-text copy of the Form S-3 is available at:
https://tinyurl.com/55xewdz2
About CBAK Energy Technology
Liaoning Province, People's Republic of China-based CBAK Energy --
www.cbak.com.cn --is a manufacturer of new energy high power
lithium and sodium batteries that are mainly used in light electric
vehicles, electric vehicles, energy storage such as residential
energy supply & uninterruptible power supply (UPS) application, and
other high-power applications. The Company's primary product
offering consists of new energy high power lithium and sodium
batteries. In addition, after completing the acquisition of 81.56%
of registered equity interests (representing 75.57% of paid-up
capital) of Hitrans in November 2021, the Company entered the
business of developing and manufacturing NCM precursor and cathode
materials. Hitrans is a leading developer and manufacturer of
ternary precursor and cathode materials in China, whose products
have a wide range of applications on batteries that would be
applied to electric vehicles, electric tools, high-end digital
products and storage, among others.
CBAK Energy Technology reported a net loss of $8.54 million for the
year ended Dec. 31, 2023, compared to a net loss of $11.33 million
for the year ended Dec. 31, 2022. As of March 31, 2024, the Company
had $286.46 million in total assets, $165.22 million in total
liabilities, and $121.24 million in total equity.
Hong Kong, China-based ARK Pro CPA & Co, the Company's auditor
since 2023, issued a "going concern" qualification in its report
dated March 15, 2024, citing that the Company has a working capital
deficiency, accumulated deficit from recurring net losses and
significant short-term debt obligations maturing in less than one
year as of Dec. 31, 2023. All these factors raise substantial
doubt about its ability to continue as a going concern.
COUNTRY GARDEN: Malaysia's King Bids to Revive Forest City
----------------------------------------------------------
The Financial Times reports that Malaysia's billionaire king is
trying to resuscitate a huge real estate project he helped launch
in his homeland, with its Chinese developer Country Garden having
succumbed to the property crisis in mainland China.
With plans for luxury condominium towers, hotels, a shopping mall
and golf course, the US$100 billion Forest City development
straddling artificial islands on Malaysia's southern coast was
billed as a "dream paradise" when the project was launched in 2014,
according to the FT. It aimed to provide homes for as many as
700,000 people across 7,000 acres by 2035.
More than a decade later, the joint venture between China and
Malaysia appeared to be more of a ghost city on a recent visit by
the Financial Times, with largely empty apartments and quiet
streets. In a stark example of the far-reaching effects of China's
economic downturn, the project's debt-laden developer Country
Garden has been unable to prioritise its largest overseas project.
The FT notes that it is alleged that only 15 per cent of Forest
City has been built in terms of land area.
However, Country Garden's troubles have provided an opening for
Malaysia to address the situation. Sultan Ibrahim Iskandar, who
became king in January under the country's five-year rotating
monarchical system, has taken a more active role in the project's
direction in recent months, according to two people familiar with
the development, although the shareholding structure has not
changed, the FT relays.
Company records show Country Garden still owns 60 per cent of the
project, while a private company, Esplanade Danga 88, of which the
king owns 64 per cent, has the remaining 40 per cent. This puts the
king's overall stake at roughly 25 per cent.
Advisers to the business-friendly, motorcycle-riding monarch - who
is also the ruler of the state of Johor, where the project is based
- have engaged the federal and state governments this year on
suggestions for repositioning Forest City, the FT relates.
Daing A Malek Bin Daing A Rahaman, a Malaysian businessman and
member of the royal court of advisers to the king, is one of the
people taking advice on the project's direction, the two people
said. Malek owns shares in Esplanade Danga 88 and is a director in
Country Garden Pacificview, the master developer, the FT discloses
citing filings.
Country Garden Pacificview reported a loss after tax of MYR342
million (US$72 million) in 2022, but has not reported 2023
figures.
"Country Garden has bigger problems to deal with and has let the
Malaysia side take charge, even though [the Chinese group] is still
the biggest shareholder," one of the two people said, adding that
Malaysia had become frustrated with the "empty" development, the FT
relays.
The national palace did not respond to a request for comment, the
FT notes.
About Country Garden Holdings
Country Garden Holdings Company Limited (HKEX:2007), an investment
holding company, invests, develops, and constructs real estate
properties primarily in Mainland China. The company operates in two
segments, Property Development and Construction. It develops
residential projects, such as townhouses and condominiums; and car
parks and retail shops. The company also develops, operates, and
manages hotels. In addition, it researches and develops robots;
sells electronic hardware and food; and provides interior
decoration, agriculture, landscape design, investment and
management consulting, cultural activity planning, and real estate
consulting services.
As reported in the Troubled Company Reporter-Asia Pacific in late
February 2024, Kingboard Holdings-backed money lender Ever Credit
on Feb. 27, 2024, filed a winding-up petition against Country
Garden to the Hong Kong High Court for non-payment of a US$205
million loan.
The TCR-AP reported in late March 2024 that Country Garden has
hired Kroll to carry out a liquidation analysis. Kroll, the New
York-headquartered financial advisory firm, is expected to conduct
an independent business review of Country Garden before projecting
a recovery rate for the developer's creditors under a liquidation
scenario, according to Reuters.
The developer defaulted on US$11 billion of offshore bonds last
year and is in the process of an offshore debt restructuring.
DATASEA INC: Prices $2.25 Million Registered Direct Offering
------------------------------------------------------------
Datasea Inc. announced July 2, 2024, that it entered into a share
purchase agreement with a certain institutional investor to
purchase 692,308 shares of its common stock (or common stock
equivalents in lieu thereof) at an offering price of $3.25 per
share of common stock (or common stock equivalents in lieu thereof)
in a registered direct offering. The offering was expected to
close on or about July 3, 2024, subject to satisfaction of
customary closing conditions.
Datasea intends to use the net proceeds from the offering for
research and development, market development and for general
corporate purposes.
EF Hutton LLC is acting as the exclusive placement agent for the
offering.
The securities are being offered by the Company pursuant to a shelf
registration statement on Form S-3 (File No. 333-272889), which was
declared effective by the Securities and Exchange Commission on
July 21, 2023, and the accompanying prospectus contained therein. A
final prospectus supplement containing additional information
relating to the offering will be filed with the SEC. Copies of the
prospectus supplement and the accompanying prospectus relating to
this offering may be obtained, when available, on the SEC's website
at http://www.sec.govor by contacting EF Hutton LLC Attention:
Syndicate Department, 590 Madison Avenue, 39th Floor, New York, NY
10022, by email at syndicate@efhutton.com, or by telephone at
(212)
404-7002.
About Datasea
Headquartered in Beijing, People's Republic of China, Datasea Inc.
-- www.dataseainc.com -- is a provider of products, services, and
solutions for enterprise and retail customers in innovative
industries, Intelligent Acoustics and 5G multimodal communication,
especially focusing on ultrasonic, infrasound and directional sound
technology. The Company's advanced R&D technology serves as the
core infrastructure and backbone for its products. Its 5G
multimodal communication segment operates on a cloud platform based
on AI. Datasea leverages cutting-edge technologies in intelligent
acoustics, utilizing ultrasonic sterilization to combat viruses and
prevent human infections, and is also developing innovations in
directional sound and medical ultrasonic cosmetology. In July
2023, Datasea established a wholly-owned subsidiary, Datasea
Acoustics LLC, in Delaware, in a strategic move to mark its global
presence. This underlies Datasea's commitment to Intelligent
Acoustics and its intent to offer leading edge acoustic solutions
to the US market.
For the three months ended March 31, 2024 and 2023, the Company had
a net loss of approximately $4.14 million and $1.30 million,
respectively. For the nine months ended March 31, 2024 and 2023,
the Company had a net loss of approximately $6.00 million and $3.92
million, respectively. The Company had an accumulated deficit of
approximately $34.06 million as of March 31, 2024, and negative
cash flow from operating activities of approximately $5.95 million
and $2.33 million for the nine months ended March 31, 2024 and
2023, respectively. The Company said the historical operating
results including recurring losses from operations raise
substantial doubt about its ability to continue as a going
concern.
JINGBO TECHNOLOGY: Incurs $5.48-Mil. Net Loss in FY Ended Feb. 29
-----------------------------------------------------------------
Jingbo Technology, Inc., filed with the Securities and Exchange
Commission its Annual Report on Form 10-K reporting a net loss of
$5.48 million on $1.58 million of net revenues for the year ended
Feb. 29, 2024, compared to a net loss of $7.11 million on $3.43
million of net revenues for the year ended Feb. 23, 2023.
As of Feb. 29, 2024, the Company had $12.87 million in total
assets, $31.57 million in total liabilities, and a total deficit of
$18.70 million.
Guangzhou, Guangdong, China-based GGF CPA LTD, the Company's
auditor since 2024, issued a "going concern" qualification in its
report dated July 3, 2024, citing that the Company had incurred
substantial losses during the years and negative working capital,
which raises substantial doubt about its ability to continue as a
going concern.
Jingbo said, "The Company's continuation as a going concern is
dependent on long term loans related to Shaoxing Keqiao Zhuyi
Technology Co. and the director (Guowei Zhang) to meet obligations
as they become due and to obtain additional equity or alternative
financing required to fund operations until sufficient sources of
recurring revenues can be generated. There can be no assurance
that the Company will be successful in its plans described above or
in attracting equity or alternative financing on acceptable terms,
or if at all. The consolidated financial statements do not include
any adjustments that might result from the outcome of this
uncertainty."
A full-text copy of the Form 10-K is available for free at:
https://www.sec.gov/ix?doc=/Archives/edgar/data/1647822/000149315224026267/form10-k.htm
About Jingbo
Headquartered in Shoujiang Town, Fuyang District, China., Jingbo
Technology, Inc., initially was in the business platform of
providing application software to a global vendor platform to
connect people to businesses and provide a new shopping
experience.
The Company's wholly owned subsidiary, Intellegence Parking Group
Limited, is a multinational technology company, with a smart
parking application software and platform business ecosytem as its
main business venture. Intellegence operates facilities at
Xiaoshan Airport Remote Parking Lot, Tianjin Xinhua International
University, Fuyang People's Hospital, Qilu University Hospital,
Shanghai Tesco Supermarket, Hubei Huanggang Central Hospital. It
also currently has eight urban parking projects.
UXIN LTD: Has Deal With Zhengzhou Airport to Form Joint Venture
---------------------------------------------------------------
Uxin Limited announced July 8, 2024, a strategic partnership with
Zhengzhou Airport Automobile Industry Co., Ltd. to establish Uxin
(Zhengzhou) Intelligent Remanufacturing Co., Ltd., the Joint
Venture. Pursuant to the joint venture agreement, Uxin (Anhui)
Industrial Investment Co., Ltd., a wholly-owned subsidiary of Uxin,
will contribute RMB120.0 million and Zhengzhou Airport Industry
will contribute RMB50.0 million, representing approximately 70% and
30% of the Joint Venture's total registered capital, respectively.
The Joint Venture aims to support Uxin's plan to establish a new
used car super store in Zhengzhou. This initiative is a key
collaboration between Uxin and Zhengzhou Airport Industry to
promote the development of the automotive aftermarket industry in
the Henan Province and to build a leading brand in China's used car
industry.
Mr. Kun Dai, chairman and chief executive officer of Uxin,
commented, "Zhengzhou Airport's strategic location,
business-friendly environment, established automotive industry, and
mature supply chain strongly support Uxin's business growth. With
ongoing local government support, Uxin can now focus resources on
producing high-quality used cars in advanced factories.
Additionally, Uxin aims to provide a top-tier retail service
experience based on new retail concepts as well as improve
large-scale vehicle operations using its digital capabilities.
These efforts align with Uxin's mission to transform and elevate
China's used car industry."
Zhengzhou Airport Industry, with a registered capital of RMB1.0
billion, is a wholly-owned subsidiary of Zhengzhou Airport Economy
Zone Technology Innovation Investment Group Co., Ltd. Zhengzhou
Airport Investment Group, with a registered capital of RMB20.0
billion, is a state-owned enterprise under the management of the
Zhengzhou Airport Economy Zone Administrative Committee, with a
credit rating of AA+. As of the end of 2023, Zhengzhou Airport
Investment Group controlled and/or invested in 58 enterprises with
combined total assets of approximately RMB30.0 billion and net
assets of approximately RMB10.0 billion.
About Uxin
Uxin is a China-based used car retailer, pioneering industry
transformation with advanced production, new retail experiences,
and digital empowerment. The Company offers vehicles through a
reliable, one-stop, and hassle-free transaction experience. Under
its omni-channel strategy, the Company is able to leverage its
pioneering online platform to serve customers nationwide and
establish market leadership in selected regions through offline
inspection and reconditioning centers.
Shanghai, the People's Republic of China-based
PricewaterhouseCoopers Zhong Tian LLP, the Company's auditor since
2017, issued a "going concern" qualification in its report dated
Aug. 14, 2023, citing that the Company has incurred net losses
since inception and incurred cash outflows from operating
activities during the fiscal year ended March 31, 2023. In
addition, the Company has an accumulated deficit and net current
liabilities as of March 31, 2023. These events and conditions
raise substantial doubt about the Company's ability to continue as
a going concern.
=========
I N D I A
=========
AFFLATUS GRAVURES: Ind-Ra Cuts Bank Loan Rating to BB+
------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Afflatus
Gravures Private Limited's (AGPL) bank facilities' ratings to 'IND
BB+' from 'IND BBB', as follows:
-- INR425 mil. Fund-based working capital limit downgraded with
IND BB+/Stable/IND A4+ rating;
-- INR50 mil. Non-fund-based working capital limit downgraded with
IND A4+ rating; and
-- INR761.41 mil. (reduced from INR1,090.4 bil.) Term loan due on
March 31, 2030 downgraded with
IND BB+/Stable rating.
Detailed Rationale of the Rating Action
The downgrade reflects the weakening of AGPL's credit metrics in
FY24 on account of a decline in profitability and continued high
debt levels. As per FY24 provisional financials, the gross interest
coverage (operating EBITDA/gross interest expense) deteriorated to
1.68x (FY23:2.10x, FY22: 2.15x) and net leverage (total adjusted
net debt/operating EBITDA) remained elevated at 4.41x (FY23: 4.61x,
FY22: 4.90x). Ind-Ra expects FY25 net leverage to remain at
elevated levels and hover in the band of 3.7x-4.0x. However, the
ratings continue to be supported by company's long operational
track record as well as longstanding relationship with its
customers and suppliers.
Detailed Description of Key Rating Drivers
Deterioration in Interest Coverage in FY24;Net Leverage to Remain
Elevated in FY25: AGPL's gross interest coverage declined to 1.68x
in FY24 (FY23: 2.10x, FY22: 2.15x) on account of the decline in
EBITDA to INR284 million (INR313.60 million, INR284.07 million) and
the increase in the interest expense to INR169.10 million
(INR150.80 million, INR132.18 million). However, the net leverage
slightly improved to 4.41x in FY24 (FY23: 4.61x, FY22: 4.90x) due
to the reduction in debt to INR1,255.1 million (INR1,448.1 million,
INR1,395 million). Ind-Ra expects the net leverage to remain at
elevated levels at 3.7x-4.0x in FY25.
Decline in Operating Performance in FY24, Likely Slow Revenue
Growth in FY25: The revenue fell to INR1,841.70 million in FY24
(FY23: INR1,921.80 million, FY22: INR1,906.74 million) due to
decline in overall demand for rotogravures cylinders and flexo
plates, leading to lower capacity utilization of 62.6% (68.2%,
77%). Amid volatility in demand, Ind-Ra expects a slow growth in
the revenue in FY25, supported by the company's longstanding
relationships with existing customers, repeat orders and a
pan-India presence.
Modest EBITDA Margins, Likely to Sustain in FY25: The EBITDA
margins contracted to 15.42% in FY24 (FY23: 16.32%, FY22: 14.90%)
due to an increase in fixed cost for stabilizing the newly added
capacity and adverse movements in product mix. The return on
capital employed was 4.6% in FY24 (FY23: 5.8%, FY22: 5.7%). The
margins are susceptible to fluctuations in raw material prices,
particularly copper as well as the degree of customization
required. Ind-Ra expects the margins to remain modest and range
between 14% and 16% during FY25, owing to the similar nature of
operations.
Working Capital Intensive Operations: AGPL's working capital cycle
remained elongated at 141 days in FY23 (FY22: 143 days)
attributable to a long debtor period of 134-144 days over
FY21-FY23. Most of the receivables are realizable, thereby
requiring little-to-no provisions for bad debt. It receives a
credit period of 50-60 days from its suppliers. The company's
ability to efficiently manage its working capital operations will
remain a key monitorable.
Intense Competition; Customer Concentration Risk: Large flexible
packaging players operating in India also own captive cylinder
divisions. Despite the technical expertise needed to operate, the
industry has several small unorganized flexible packaging players
operating at a subpar scale. However, these small players have
limited access to capital to expand.
AGPL's top two customers accounted for 23.7% of its total revenue
for FY23 (FY22: 27.3%). However, the company is building new
relationships with other flexible packaging players, which the
agency believes will reduce the concentration risk to a certain
extent.
Growing Flexible Packaging Industry: The manufacturing of
rotogravure printing cylinders is directly linked to the flexible
packaging industry. Ind-Ra expects the shift to flexible packaging
from traditional/rigid packaging to continue in the medium term,
mainly due to its convenience, attractiveness, cost-effectiveness
and strength. Flexible packing is the fastest-growing segment of
the packaging industry, backed by high demand from organized
retail, food and beverage, and fast-moving consumer goods segments.
Hence, demand for quality printing cylinders, which play a vital
role in the production of high-quality flexible packaging
materials, has been consistently increasing. Flexographic and
rotogravure printing shall continue to compete for market share in
the flexible packaging industry.
Long Operational Track Record; Experienced Promoters: The ratings
continue to be supported by promoter's experience of over three
decades in the flexible packaging industry which has helped the
company establish strong relationships with its customers and
suppliers.
Liquidity
Stretched: AGPL's average utilization of the fund-based limits was
high at around 88.71% for the 12 months ended May 2024. The company
does not have any capital market exposure and relies on banks and
financial institutions to meet its funding requirements. AGPL had
cash and cash equivalents of INR1.7 million at FYE24 (FYE23:
INR1.80 million). The cash flow from operations improved to
INR191.10 million in FY23 (FY22: INR32.84 million), driven by the
improvement in EBITDA. However, the free cash flow remained
negative at INR81.90 million in FY23 (FY22: negative INR385.15
million) owing to the capex undertaken for increasing the company's
existing capacity of flexo plates/sleeves count to 80,000 (50,000).
Despite the decline in profitability, Ind-Ra expects the free cash
flow to have turned positive in FY24, due to favorable changes in
working capital and significantly reduced capex incurred in FY24.
The company has scheduled debt repayment obligations of INR155.6
million and INR164.4 million in FY25 and FY26, respectively.
Rating Sensitivities
Negative: Deterioration in the scale of operations or operating
profitability or liquidity profile, with the net leverage exceeding
5.0x, on a sustained basis, will be negative for the ratings.
Positive: An improvement in the scale of operations leading to an
improvement in the credit metrics with the net leverage reducing
below 4.0x, along with an improvement in the liquidity position, on
a sustained basis, will be positive for the ratings.
About the Company
Incorporated in 2003, AGPL manufactures rotogravure printing
cylinders, which are used for the printing and transfer of desired
images on plastic film substrates, which is ultimately used in the
manufacturing of flexible packaging materials. The company has a
total annual production capacity of 2,16,150 of rotogravures
printing cylinders. It has four facilities, one each in Noida,
Vapi, Chennai and Kolkata and a capacity of 80,000 flexo
plates/sleeves at its facility in Noida.
AGGARWAL ASSOCIATES: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Aggarwal
Associates (AA) continue to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 4.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 6.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated June 6, 2023,
placed the rating(s) of AGA under the 'issuer non-cooperating'
category as AGA had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. AGA continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 21, 2024, May 1, 2024, May 11, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Aggarwal Associates (AGA) is a partnership firm established in
1995. It is currently being managed by Mr. Amit Garg and Mrs.
Rimple Garg sharing profits and losses equally. AGA is engaged in
civil construction work in Haryana which includes infrastructure
development and road work. The firm is registered as a class 'A'
contractor with Public Work Department (PWD) of Punjab. The orders
undertaken by the firm are secured through the competitive bidding
process.
AJINKYA BIG: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ajinkya Big
Bazar (ABB) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.82 CRISIL B/Stable (Issuer Not
Cooperating)
Rupee Term Loan 0.68 CRISIL B/Stable (Issuer Not
Cooperating)
Working Capital 2.50 CRISIL B/Stable (Issuer Not
Demand Loan Cooperating)
CRISIL Ratings has been consistently following up with ABB for
obtaining information through letter and email dated June 11, 2024
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 ABB, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ABB
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ABB continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Established in 1996, Baramati, Maharashtra-based ABB is a
partnership firm of Mr Avinash Gandhi and family. It operates a
departmental store, an electronics and home furnishing store and
has recently ventured into edible oil distributorship for Cargill
India.
ALISHAN VENEER: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Alishan Veneer & Plywood Private Limited
Registered Address:
46, B B Ganguly Street
Kolkata, West Bengal
India 700012
Insolvency Commencement Date: June 11, 2024
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: December 7, 2024
Insolvency professional: Goutam Mukherjee
Interim Resolution
Professional: Goutam Mukherjee
64, Behari Lal Pal Street
2nd Floor, Flat No. 11
Kolkata 700036
Email: gm.resolution@yahoo.com
Email: cirp.avppl@gmail.com
Last date for
submission of claims: June 25, 2024
ALLIANCE PROJECTS: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Alliance
Projects- Chennai (AP) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Term Loan 50 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 22.58 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AP for
obtaining information through letter and email dated June 11, 2024
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 AP, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AP is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of AP
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Set up in 2012, AP is part of the Alliance group, which is promoted
by Mr Manoj Sai Namburu and Ms Indira Bommireddy. The group
develops premium villas, integrated townships, residential
apartments, row houses, and villa plots in Chennai and Bengaluru
through special purpose vehicles. AP has a project Orchid Springss
in Chennai.
ALLIED INDIA: CRISIL Keeps B- Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Allied India
Iron and Steels Private Limited (AI) continue to be 'CRISIL
B-/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 0.5 CRISIL B-/Stable (Issuer Not
Cooperating)
Cash Credit 10.5 CRISIL B-/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AI for
obtaining information through letter and email dated June 11, 2024
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 AI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of AI
continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
AI was set up in 2004, by Mr Mahboob Alam. The company commenced
commercial production in January 2009. It manufactures
thermo-mechanically treated bars at its facility in Giridih
(Jharkhand).
AMRITA SAI: Ind-Ra Keeps D Rating in NonCooperating
---------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Amrita Sai
Educational Improvement Trust's instrument(s) rating in the
non-cooperating category. The issuer did not participate in the
surveillance exercise, despite continuous requests and follow-ups
by the agency through emails and phone calls. Therefore, investors
and other users are advised to take appropriate caution while using
the rating. The rating will continue to appear as 'IND D (ISSUER
NOT COOPERATING)' on the agency's website.
The detailed rating action is:
-- INR29 mil. Fund/Non-Fund Based Working Capital Limit maintained
in non-cooperating category
with IND D (ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Amrita Sai Educational
Improvement Trust while reviewing the rating. Ind-Ra had
consistently followed up with Amrita Sai Educational Improvement
Trust over emails, apart from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Amrita Sai Educational
Improvement Trust on the basis of best available information and is
unable to provide a forward-looking credit view. Hence, the current
outstanding rating might not reflect Amrita Sai Educational
Improvement Trust's credit strength. If an issuer does not provide
timely business and financial updates to the agency, it indicates
weak governance, particularly in 'Transparency of Financial
Information'. The agency may also consider this as symptomatic of a
possible disruption/distress in the issuer's credit profile.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.
About the Company
Amrita Sai Educational Improvement Trust serves as a not-for-profit
educational institution. It has an engineering college situated
about 25km from Vijayawada in Andhra Pradesh.
ASTER PRIVATE: Ind-Ra Keeps D Loan Rating in NonCooperating
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Aster Private
Limited's instrument(s) rating in the non-cooperating category. The
issuer did not participate in the surveillance exercise, despite
continuous requests and follow-ups by the agency through emails and
phone calls. Therefore, investors and other users are advised to
take appropriate caution while using the rating. The rating will
continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the
agency's website.
The detailed rating actions are:
-- INR2.250 bil. Fund Based Working Capital Limit maintained in
non-cooperating category with IND D (ISSUER NOT COOPERATING)
rating; and
-- INR1,1039.5 bil. Non-Fund Based Working Capital Limit
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Aster Private Limited while
reviewing the rating. Ind-Ra had consistently followed up with
Aster Private Limited over emails, apart from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Aster Private Limited on
the basis of best available information and is unable to provide a
forward-looking credit view. Hence, the current outstanding rating
might not reflect Aster Private Limited's credit strength. If an
issuer does not provide timely business and financial updates to
the agency, it indicates weak governance, particularly in
'Transparency of Financial Information'. The agency may also
consider this as symptomatic of a possible disruption / distress in
the issuer's credit profile. Therefore, investors and other users
are advised to take appropriate caution while using these ratings.
About the Company
Hyderabad-based Aster is a tower fabricating and engineering
procurement and construction company that undertakes works in the
power, telecom and engineering segments.
ATIBIR INDUSTRIES: Ind-Ra Keeps D Loan Rating in NonCooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Atibir
Industries Company Limited's instrument(s) rating in the
non-cooperating category. The issuer did not participate in the
surveillance exercise, despite continuous requests and follow-ups
by the agency through emails and phone calls. Therefore, investors
and other users are advised to take appropriate caution while using
the rating. The rating will continue to appear as 'IND D (ISSUER
NOT COOPERATING)' on the agency's website.
The detailed rating actions are:
-- INR2.180 bil. Fund Based Working Capital Limit maintained in
non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating; and
-- INR2,628.3 bil. Non-Fund Based Working Capital Limit
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Atibir Industries Company
Limited while reviewing the rating. Ind-Ra had consistently
followed up with Atibir Industries Company Limited over emails,
apart from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Atibir Industries Company
Limited on the basis of best available information and is unable to
provide a forward-looking credit view. Hence, the current
outstanding rating might not reflect Atibir Industries Company
Limited's credit strength. If an issuer does not provide timely
business and financial updates to the agency, it indicates weak
governance, particularly in 'Transparency of Financial
Information'. The agency may also consider this as symptomatic of a
possible disruption / distress in the issuer's credit profile.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.
About the Company
Incorporated in 2000, AICL manufactures sponge iron, pig iron,
sinter and pellets.
B. K. EXPORTS: ICRA Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------
ICRA has kept the Long-Term rating of B. K. Exports in the 'Issuer
Not Cooperating' category. The rating is denoted as
"[ICRA]B-(Stable) ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 25.00 [ICRA]B- (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
As part of its process and in accordance with its rating agreement
with B. K. Exports, ICRA has been trying to seek information from
the entity so as to monitor its performance. Further, ICRA has been
sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, the rating has been continued to the "Issuer Not
Cooperating" category. The rating is based on the best available
information.
B.K. Exports was set up in 2008 as a proprietorship concern by Mr
Bellam Kotaiah. The firm is involved in trading of tobacco
comprising FCV (Flue Cured Virginia) tobacco and burley tobacco.
The firm procures FCV tobacco from Tobacco Board of Guntur and
Karnataka through auction, while burley tobacco is purchased from
farmers.
BR. SHESHRAO: CRISIL Keeps B Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Br. Sheshrao
Wankhede Shetkari Sahakari Soot Girni Limited (SWSSSGL) continue to
be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 20 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 0.13 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with SWSSSGL for
obtaining information through letter and email dated June 11, 2024
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 SWSSSGL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
SWSSSGL is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of SWSSSGL continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
SWSSSGL is a co-operative society engaged in spinning of cotton
yarn. The society was registered in 1989 in Nagpur district of
Maharashtra, but started commercial operations in 2004. It was set
up under the guidance of Mr. Datta Meghe. The society manufactures
cotton yarn in counts of 16 - 50 and sells its produce to
wholesalers and hosiery garment manufacturers in India and abroad.
C MUNIKRISHNA: CRISIL Keeps B Debt Rating in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of C Munikrishna
(CM) continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Term Loan 3 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with CM for
obtaining information through letter and email dated June 11, 2024
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 CM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CM is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of CM
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
CM was established in 2021 as proprietorship firm plan to leasing
out commercial premise owned by proprietor Mr. C Munikrishna,
located in Bangalore. Currently firm executing the construction
works and expected to rent it from September 2022.
CAREER EDUCATIONAL: CRISIL Keeps B+ Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Career
Educational Society (CES) continues to be 'CRISIL B+/Stable Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 10 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with CES for
obtaining information through letter and email dated June 11, 2024
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 CES, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CES
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CES continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
CES was established in 2001, in Ghaziabad (Uttar Pradesh), to
promote social welfare schemes operated by state and central
Government. The society is mainly connected with the mid-day meal
scheme, and hot cooked food scheme under Integrated Child
Development Services (ICDS) department. The day-to-day activities
are managed by Mr. Vishal Jindal- Secretary and Mr. Vijay Kumar
Jindal- President.
D. P. FOODS: CRISIL Lowers Rating on INR10cr Cash Loan to B
-----------------------------------------------------------
CRISIL Ratings has revised the ratings on bank facilities of D. P.
Foods Private Limited (DPFPL; part of the Bansal group) to 'CRISIL
B/Stable Issuer Not Cooperating' from 'CRISIL BB/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL B/Stable (ISSUER NOT
COOPERATING; Revised from
'CRISIL BB/Stable ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with DPFPL for
obtaining information through letter and email dated June 11, 2024
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 DPFPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on DPFPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
DPFPL Revised to 'CRISIL B/Stable Issuer Not Cooperating' from
'CRISIL BB/Stable Issuer Not Cooperating'.
CRISIL Ratings has combined the business and financial risk
profiles of DPFPL and Bansal Rice Mill Pvt Ltd (BRMPL), together
referred to as the Bansal group, as they have similar products and
operations, common promoters and synergies in sourcing and sales.
About the Group
The Bansal group is based in Sitapur, Uttar Pradesh, and processes
non-basmati rice and masoor dal (red lentils). It is promoted and
managed by Mr Sanjay Kumar Agarwal and his family members.
DPFPL was incorporated in 1997. BRMPL was set up in 2006 as a
proprietorship firm; it was reconstituted as a private limited
company in 2011.
DARSHANA SOLVENT: Ind-Ra Affirms BB- Term Loan Rating
-----------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Darshana Solvent
Extraction Private Limited's (DSEPL) bank facilities as follows:
-- INR400 mil. Working capital limits affirmed with IND
BB/Stable/IND A4+ rating; and
-- INR288 mil. (reduced from INR320 mil.) Term loan due on January
2029 affirmed with IND
BB-/Stable rating.
Detailed Rationale of the Rating Action
The affirmation reflects DSEPL's stretched liquidity, and continued
modest EBITDA margins and credit metrics, despite the company
turning profitable in FY24. However, the ratings remain supported
by the company's medium scale of operations due to the four decades
of the promoter's experience with low customer concentration.
Detailed Description of Key Rating Drivers
Stretched Liquidity: DSEPL's average maximum utilization of the
fund-based limits was 88.25% during the 12 months ended May 2024.
The company had low cash and cash equivalents of INR0.15 million at
FYE24 (FYE23: INR0.16 million). DSEPL does not have any capital
market exposure and relies on banks and financial institutions to
meet its funding requirements. FY24 financials are provisional.
Modest EBITDA Margins: The EBITDA margins were modest and turned
positive to 1.59% in FY24 due to a reduction in operating cost with
a significant improvement in revenue. The return on capital
employed was 11.2% in FY24. The EBITDA margins are highly
susceptible to price of edible oil and soya bean seeds. Ind-Ra
expects the EBITDA margins to remain at similar levels in FY25,
given the nature of operations.
Continued Modest Credit Metrics: The net financial leverage
(adjusted net debt/operating EBITDAR) was 5.08x and interest
coverage (operating EBITDA/gross interest expense) was 1.83x in
FY24 with the EBITDA turning profitable to INR112.21 million (FY23:
loss of INR57.28 million), despite modest debt levels of INR570.65
million (INR686.20 million). In FY25, Ind-Ra expects the credit
metrics to decline marginally due to a likely reduction in
revenue.
Medium Scale of Operations: The revenue surged to INR7,077.12
million in FY24 (FY23: INR1,404.93 million) as FY24 was the first
full year of operations. The company began operations from
end-December 2022. DSEPL achieved revenue of INR711.65 million
during 2MFY25. The company, on an average, has an unexecuted
orderbook of INR300 million on a monthly basis. Ind-Ra expects the
revenue likely to decline on a year-on-year basis in FY25, led by
the fall in prices of edible oil, leading to a reduction in margins
resulting in lower production.
Low Customer Concentration: DSEPL's top five customers accounted
for 10.03% of its total revenue during FY24. The majority customers
consist of re-packagers who sell edible oil under their own brand
name. However, DSEPL has also started selling edible oil in small
quantities under its own brand name.
Promoter's Experience: The company's promoter has more than four
decades of experience in the food grain and edible oil industry,
which has helped it to establish strong relationships with
customers as well as suppliers.
Liquidity
Stretched: The company has scheduled debt repayment obligations of
INR60 million, each, in FY25 and FY26. The net working capital
cycle reduced to 6 days in FY24 (FY23: 46 days) primarily on
account of a reduction in the inventory holding period to 12 days
(71 days) and debtor collection period to 4 days (10 days), despite
a reduction in the creditor period to 10 days (35 days). The cash
flow from operations turned positive to INR140.54 million in FY24
(FY23: negative INR82.31 million) due to the EBITDA turning
profitable and lower working capital requirements. Consequently,
the free cash flow turned positive to INR114.71 million in FY24
(FY23: negative INR314.04 million) due to lower capex of INR25.83
million undertaken by the company in FY24 (FY23: INR396.35).
Rating Sensitivities
Negative: A decline in the scale of operations, leading to
deterioration in the overall credit metrics and/or pressure on the
liquidity position on a sustained basis, could lead to a negative
rating action.
Positive: A significant increase in the scale of operations, along
with an improvement in the overall credit metrics with the net
leverage reducing below 4.5x and an improvement in liquidity
profile, all on a sustained basis, could lead to a positive rating
action.
About the Company
Incorporated in July 2021, DSEPL is engaged in the extraction of
crude oil from soya bean seeds and refining it into edible oil. Its
500-metric-tonne-per-day-manufacturing plant is located at Solapur
district of Maharashtra.
DEEPAK COSMO: CARE Keeps D Rating in Not Cooperating Category
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Deepak
Cosmo Limited (DCL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 20.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated May 19, 2023,
placed the rating(s) of DCL under the 'issuer non-cooperating'
category as DCL had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. DCL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 3, 2024, April 13, 2024, April 23, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Incorporated in 1981, DCL is engaged in the manufacturing and
trading of various types of synthetic yarns since 1995 when it
acquired a spinning unit in Nalagarh, Himachal Pradesh. The company
manufactures various types of synthetic yarns like
acrylic, polyester, nylon, blended etc. as well as knitted cloth.
DEV R NIL: Liquidation Process Case Summary
-------------------------------------------
Debtor: Dev R Nil Design Private Limited
42P, Raja Santosh Road
Kolkata - 700027, West Bengal
Liquidation Commencement Date: June 11, 2024
Court: National Company Law Tribunal, Kolkata Bench
Liquidator: Sneh Maheswari
9N, Block A, New Alipore
Kolkata - 700053
Email: sneh.maheswari@gmail.com
Email: cirp.devrnildpl@gmail.com
Last date for
submission of claims: July 11, 2024
DYNAMECH ELECTROPOWER: Ind-Ra Assigns BB+ Rating, Outlook Stable
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has rated Dynamech Electropower
Private Limited's (DEPL) bank facilities as follows:
-- INR13.4 mil. Term loan due on November 30, 2026 assigned with
IND BB+/Stable rating;
-- INR240 mil. Fund-based working capital limit assigned with IND
BB+/Stable/IND A4+ rating;
-- INR280 mil. Bank guarantee assigned with IND A4+ rating;
-- INR10 mil. Letter of credit assigned with IND A4+ rating; and
-- INR6.6 mil. Proposed fund-based working capital limit assigned
with IND BB+/Stable/IND A4+
rating.
Detailed Rationale of the Rating Action
The ratings reflect DEPL's small scale of operations. The revenue
improved in FY24 (provisional numbers) on account of improved
demand and an increase in the number of tenders secured by the
company. Ind-Ra expects the revenue to improve slightly in FY25,
considering the orders in hand and likely improvement in tenders
for transformers and solar pumps. The ratings also reflect DEPL's
moderate credit metrics. Ind-Ra expects the credit metrics to be
stable on a yoy basis in FY25, led by the scheduled repayment of
outstanding term loans. The ratings also factor in DEPL's high
customer concentration risk. However, the ratings are supported by
the promoter's experience of more than three decades and
comfortable EBITDA margins.
Detailed Description of Key Rating Drivers
Small Scale of Operations: DEPL's revenue increased to INR808.40
million in FY24 (FY23: INR424.92 million) due to higher demand and
an increase in the number of tenders secured by the company. Ind-Ra
expects the revenue to improve slightly on a yoy basis in FY25,
considering the orders in hand and a likely improvement in the
tenders for transformers and solar pumps.
Moderate Credit Metrics: DEPL's interest coverage (operating
EBITDA/gross interest expenses) improved to 3.09x in FY24 (FY23:
2.62x) because of an increase in the EBITDA to INR72.08 million
(INR41.15 million), led by improved revenue. The net leverage
(total adjusted net debt/operating EBITDAR) deteriorated slightly
to 3.47x in FY24 (FY23: 3.44x) on account of increased outstanding
cash credit facility and higher utilization of the same . Ind-Ra
expects the credit metrics to remain at similar levels in FY25,
backed by the scheduled repayment of outstanding term loans.
Customer Concentration Risk: DEPL's top three customers accounted
for more than 90% of its total revenue during FY22-FY23, signaling
material customer concentration risk.
Healthy EBITDA Margins: DEPL's EBITDA margin fell to 8.92% in FY24
(FY23: 9.68%) due to increased raw material costs and competitive
bidding by the company to secure more contracts. The ROCE was
19.40% in FY24 (FY23: 14.60%). Ind-Ra expects the EBITDA margins to
remain at similar levels in FY25.
Experienced Promoters: The ratings are supported by the promoters'
experience of nearly three decades in the electrical equipment
industry, which has helped the company establish strong
relationships with customers as well as suppliers.
Liquidity
Stretched: DEPL's average maximum utilization of the fund-based
limits was 92.55% and that of the non-fund-based limits was 86.19%
during the 12 months ended May 2024. The cash flow from operations
deteriorated to negative INR36.13 million in FY24 (FY23: negative
INR7.67 million) due to an unfavorable change of INR76.71 million
in working capital. Consequently, the free cash flow also
deteriorated to negative INR42.98 million in FY24 (FY23: negative
INR12.37 million) despite the absence of capex. DEPL does not have
any capital market exposure and relies on banks and financial
institutions to meet its funding requirements. Despite a decline in
inventory days (FY24: 37 days; FY23: 79 days) and debtor days (161
days; 190 days), the average net working capital cycle remained
elongated and deteriorated to 138 days in FY24 (FY23: 134 days),
because of a decline in creditor days to 60 days (135 days). The
cash and cash equivalents stood at INR1.80 million at FYE24 (FYE23:
INR0.79 million). DEPL has debt repayment obligations of INR7.4
million for FY25 and INR3.7 million for FY26.
Rating Sensitivities
Negative: A decline in the scale of operations, leading to
deterioration in the overall credit metrics and/or further pressure
on the liquidity position, could lead to a negative rating action.
Positive: An increase in the scale of operations, along with an
improvement in the overall credit metrics, with the interest
coverage remaining above 3x and improvement in the liquidity
profile, all on a sustained basis, could lead to a positive rating
action.
About the Company
Incorporated in February 1992, DEPL manufactures power
transformers. Furthermore, in 2012, DEPL started manufacturing
solar water pumping solutions and solar rooftop power plants.
DEPL's manufacturing facility is located in Bhopal, Madhya Pradesh.
The promoters are Alok Gupta and family members.
GAUTAM INTERNATIONAL: Ind-Ra Keeps BB Rating in NonCooperating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Gautam
International Pratisthan's instrument(s) rating in the
non-cooperating category. The issuer did not participate in the
surveillance exercise, despite continuous requests and follow-ups
by the agency through emails and phone calls. Therefore, investors
and other users are advised to take appropriate caution while using
the rating. The rating will continue to appear as 'IND BB/Stable
(ISSUER NOT COOPERATING)' on the agency's website.
The detailed rating actions are:
-- INR74.04 mil. Bank Loan maintained in non-cooperating category
with IND BB/Stable (ISSUER NOT
COOPERATING) rating; and
-- INR55.27 mil. Fund Based Working Capital Limit maintained in
non-cooperating category with IND
BB/Stable (ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Gautam International
Pratisthan while reviewing the rating. Ind-Ra had consistently
followed up with Gautam International Pratisthan over emails, apart
from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Gautam International
Pratisthan on the basis of best available information and is unable
to provide a forward-looking credit view. Hence, the current
outstanding rating might not reflect Gautam International
Pratisthan's credit strength. If an issuer does not provide timely
business and financial updates to the agency, it indicates weak
governance, particularly in 'Transparency of Financial
Information'. The agency may also consider this as symptomatic of a
possible disruption / distress in the issuer's credit profile.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.
About the Company
Gautam International Pratisthan manages Buddha Institute of Dental
Sciences and Hospital in Bihar, which was established in 1984. The
society has been registered under Societies Registration Act, 1860.
GITA GINNNG: Ind-Ra Moves BB Rating to NonCooperating
-----------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Shree Gita Ginning
and Oil Industries' bank facilities' (SGGOI) ratings to the
non-cooperating category. The issuer did not participate in the
rating exercise, despite continuous requests and follow-ups by the
agency through emails and phone calls. Therefore, investors and
other users are advised to take appropriate caution while using
these ratings. The ratings will now appear as 'IND BB/Stable
(ISSUER NOT COOPERATING)/IND A4+ (ISSUER NOT COOPERATING)' on the
agency's website.
The detailed rating action is:
-- INR500 mil. Fund-based limits migrated to non-cooperating
category with IND BB/Stable (ISSUER
NOT COOPERATING)/IND A4+ (ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not co-operate; based on
best available information
Detailed Rationale of the Rating Action
The ratings have been migrated to the non-cooperating category in
accordance with Ind-Ra's policy of 'Guidelines on What Constitutes
Non-Cooperation'.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with SGGOI while reviewing the
ratings. Ind-Ra had consistently followed up with SGGOI over
emails, apart from phone calls. Although, the issuer has been
submitting their monthly no default statement.
Limitations regarding Information Availability
Ind-Ra is unable to provide an updated forward-looking view on the
credit rating of SGGOI, as the agency does not have adequate
information to review the rating. If an issuer does not provide
timely business and financial updates to the agency, it indicates
weak governance, particularly in 'Transparency of Financial
Information'. The agency may also consider this as symptomatic of a
possible disruption / distress in the issuer's credit profile.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.
About the Company
Registered in 1976, SGGOI is engaged in cotton ginning-pressing,
refining of all types of edible oils and oil milling. Based out of
Morvi, Gujarat, the company is promoted by Naginkumar Bhojani.
GYANKUND TRUST: Ind-Ra Keeps D Loan Rating in NonCooperating
------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Gyankund Trust
to Educate and to serve's instrument(s) rating in the
non-cooperating category. The issuer did not participate in the
surveillance exercise, despite continuous requests and follow-ups
by the agency through emails and phone calls. Therefore, investors
and other users are advised to take appropriate caution while using
the rating. The rating will continue to appear as 'IND D (ISSUER
NOT COOPERATING)' on the agency's website.
The detailed rating actions are:
-- INR32.5 mil. Fund/Non-Fund Based Working Capital Limit
maintained in non-cooperating category
with IND D (ISSUER NOT COOPERATING) rating; and
-- INR153.74 mil. Term loan due on February 28, 2027 maintained in
non-cooperating category with
IND D (ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Gyankund Trust to Educate
and to serve while reviewing the rating. Ind-Ra had consistently
followed up with Gyankund Trust to Educate and to serve over
emails, apart from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Gyankund Trust to Educate
and to serve on the basis of best available information and is
unable to provide a forward-looking credit view. Hence, the current
outstanding rating might not reflect Gyankund Trust to Educate and
to serve's credit strength. If an issuer does not provide timely
business and financial updates to the agency, it indicates weak
governance, particularly in 'Transparency of Financial
Information'. The agency may also consider this as symptomatic of a
possible disruption / distress in the issuer's credit profile.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.
About the Company
Incorporated in 2007 in Kurukshetra, Gyankund Trust to Educate and
to Serve's manages and operates Technology Education & Research
Integrated Institutions group of institutes.
HARIKRUSHNA COTTON: ICRA Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------------
ICRA has kept the long-term rating of Shree Harikrushna Cotton
Industries (SHCI) in the 'Issuer Not Cooperating' category. The
rating is denoted as [ICRA]B(Stable); ISSUER NOT COOPERATING.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 8.00 [ICRA]B (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
Long Term- 1.76 [ICRA]B (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Term Loan to remain under 'Issuer Not
Cooperating' category
As part of its process and in accordance with its rating agreement
with SHCI, ICRA has been trying to seek information from the entity
so as to monitor its performance. Further, ICRA has been sending
repeated reminders to the entity for payment of surveillance fee
that became due. Despite multiple requests by ICRA, the entity's
management has remained non-cooperative. In the absence of
requisite Information and in line with the aforesaid policy of
ICRA, the rating has been continued to the "Issuer Not Cooperating"
category. The rating is based on the best available information.
Shree Harikrushna Cotton Industries (SHCI) is engaged in cotton
ginning and pressing activity at its facility located at Kadi,
Mehsana in Gujarat. It commenced its commercial operations in month
of May 2013 at its plant is equipped with 30 ginning machines, 1
pressing machine and 6 crushing machines with production capacity
of 182 bales per day and 36 MT Oil per day. SHCI is a partnership
firm with the promoters having a reasonable experience in the
cotton industry.
HARIOM AQUA: Ind-Ra Affirms BB+ Bank Loan Rating
------------------------------------------------
India Ratings and Research (Ind-Ra) has taken the following rating
actions on Hariom Aqua Culture Private Limited's (HACPL) bank
facilities:
-- INR305 mil. Fund-based working capital limit affirmed with IND
BB+/Stable/IND A4+ rating;
-- INR25 mil. Term loan due on November 2025 affirmed with IND
BB+/Stable rating;
-- INR90 mil. Fund-based working capital limit assigned with
IND BB+/Stable/IND A4+ rating;
-- INR106.29 mil. Term loan due on February 2039 assigned with
IND BB+/Stable rating; and
-- INR13.71 mil. Proposed term loan assigned with IND BB+/Stable
rating.
Detailed Rationale of the Rating Action
In FY24, HACPL's scale of operations remained small, with modest
EBITDA margins and credit metrics. Ind-Ra expects a marginal
improvement in the revenue in FY25, on account of a likely
increase in demand. The agency also expects the credit metrics to
improve marginally in FY25, due to the scheduled repayment of
loans, coupled with a marginal improvement in the EBITDA margins on
account of better absorption of fixed costs.
Detailed Description of Key Rating Drivers
Continued Modest EBITDA Margins: In FY25, Ind-Ra expects a marginal
improvement in HACPL's EBITDA margins, on account of better
absorption of fixed costs. As per the provisional numbers in FY24,
the company's EBITDA margins improved to 4.77% (FY23: 4.46%) on
account of a decline in the cost of raw materials following
discount received from the supplier for its bulk purchases. The
return on capital employed reduced to 11.7 % in FY24 (FY23: 13.6%).
The cost of raw materials formed about 92% of the overall revenue
in FY24 and hence, is one of the major components of the cost
structure.
Continued Modest Credit Metrics: In FY25, Ind-Ra expects the
credit metrics to improve marginally in FY25, due to the scheduled
repayments of loans, coupled with a likely increase in the EBITDA
(FY24: INR64.53 million; FY23: INR57.36 million). In FY24, the
gross interest coverage (operating EBITDA/gross interest expenses)
declined to 2.15x (FY23: 2.41x) and the net leverage (total
adjusted net debt/operating EBITDAR) increased to 5.66x (4.08x),
due to an increase in its total debt to INR378.10 million
(INR255.55 million). HACPL had availed debt to meet the working
capital requirements.
Elongated Working Capital Cycle: In FY24, the working capital cycle
elongated to 119 days (FY23: 79 days), mainly due to an increase in
the debtor days to 103 (93) on account of late receipt of payments
from the debtors. However, HACPL expects to recover the payment by
FY25. In FY24, the inventory days increased to 35 (FY23: 12) and
the creditors days declined to 18 (26).
Likely Improvement in Scale of Operations: Ind-Ra expects HACPL to
maintain sustainable growth in the revenue in FY25. In FY24, its
revenue increased to INR1,353.05 million (FY23: INR1,287.18
million) following the company increasing the credit period to some
of its customers. The company generated the majority of the revenue
from shrimps (FY24: INR735.74 million; FY23: INR691.75 million).
Long Operational Track Record; Experienced Promoters: The company's
promoters have a track record more than three decades in the
seafood industry, leading to established relationships with
customers as well as suppliers.
Liquidity
Stretched: HACPL does not have any capital market exposure and
relies on banks and financial institutions to meet its funding
requirements. HACPL's average monthly utilization of the fund-based
limits was 90.58% during the 12 months ended April 2024. In FY24,
the cash flow from operations deteriorated to negative INR132.56
million (FY23: negative INR39.97million), due to unfavorable
changes in working capital requirements. The cash and cash
equivalents stood at INR12.91 million in FYE24(FYE23: INR21.37
million). It has scheduled debt repayments of INR22.5 million and
INR19.8 million in FY25 and FY26, respectively.
Rating Sensitivities
Negative: Deterioration in the revenue or the operating
profitability margins, leading to the net leverage remaining 3.5x
and deterioration in the liquidity position, all on a sustained
basis, would be negative for the ratings.
Positive: A substantial increase in the revenue and the operating
profitability margins, leading to an improvement in the credit
metrics, all on a sustained basis, would be positive for the
ratings.
About the Company
Incorporated in January 2010 as a private company by Suresh Patel
and Hitesh Patel, HACPL commenced operations in 1992. The Navsari,
Gujarat-based company engages in farming of shrimps and trading of
products such as seeds, feeds, probiotics and aerator.
HEMANG RESOURCES: ICRA Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has kept the Long-term and Short-term rating for the bank
facilities of Hemang Resources Limited in the 'Issuer Not
Cooperating' category. The rating is denoted as "[ICRA]D/[ICRA]D;
ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term- 12.00 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Long-term 6.28 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
Short-term 77.00 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
Short Term- 104.72 [ICRA]D; ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain under
'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with Hemang Resources Limited, ICRA has been trying to seek
information from the entity so as to monitor its performance.
Further, ICRA has been sending repeated reminders to the entity for
payment of surveillance fee that became due. Despite multiple
requests by ICRA, the entity's management has remained
non-cooperative. In the absence of requisite information and in
line with the aforesaid policy of ICRA, the rating has been
continued to the "Issuer Not Cooperating" category. The rating is
based on the best available information.
Hemang Resources Limited (erstwhile Bhatia Industries and
Infrastructure Limited) is promoted by the Bhatia Group of Indore,
and is involved in coal trading, wherein coal is imported from
coalfields in Indonesia and South Africa and is sold to domestic
companies. It was initially incorporated as BCC Finance Limited and
was involved in asset financing business. Subsequently in the year
FY2007, it surrendered its NBFC certificate and changed the name to
Bhatia Industries and Infrastructure Limited before being renamed
HRL from March 2015 onwards. Since then, the company has been
trading in coal as the main commodity, apart from commodities such
as sand and soybean (which is now discontinued). Within the Bhatia
Group, HRL is vested with the 'stock and sale' business with focus
on catering to small corporate entities and dealers.
ICEWEAR CREATION: ICRA Keeps B+ Debt Rating in Not Cooperating
--------------------------------------------------------------
ICRA has kept the Long-term and Short-term ratings for the bank
facilities of Icewear Creation in the 'Issuer Not Cooperating'
category. The rating is denoted as "[ICRA]B+(Stable)/[ICRA]A4;
ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 1.32 [ICRA]B+ (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Term Loan to remain under 'Issuer Not
Cooperating' category
Short Term- 26.50 [ICRA]A4 ISSUER NOT
Fund Based- COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
Long Term/ 1.85 [ICRA]B+(Stable)/[ICRA]A4;
Short Term- ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain
under issuer not cooperating
category
As part of its process and in accordance with its rating agreement
with Icewear Creation, ICRA has been trying to seek information
from the entity so as to monitor its performance. Further, ICRA has
been sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, the rating has been continued to the "Issuer Not
Cooperating" category. The rating is based on the best available
information.
Icewear Creation was established in 2004 as a partnership firm and
is involved in manufacturing of knitted garments, primarily kids
wear and ladies wear. The promoter, Mr Chandrasamy and his wife
Mrs. C. Periyanayaki are the partners in the firm. It has three
manufacturing units in Tirupur and has a combined production
capacity of 100 lakh pieces annually. It has been designated as a
one star export house by the Ministry of Commerce and Industry.
As per the provisional financials, the firm reported a net profit
of INR4.4 crore on an operating income (OI) of INR112.4 crore in
FY2019, as compared to a net profit of INR4.7 crore on an OI of
INR138.2 crore in FY2018.
INTERNATIONAL PRINT-O-PAC: Insolvency Process Case Summary
----------------------------------------------------------
Debtor: International Print-O-Pac Limited
Registered Address:
E-227, Basement, East of Kailash,
South Delhi, New Delhi
Delhi-110065, India
Insolvency Commencement Date: June 11, 2024
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: December 8, 2024
Insolvency professional: Mukesh Kumar Grover
Interim Resolution
Professional: Mukesh Kumar Grover
102, B-3 Prerna Complex
Shubhash Chowk Laxmi
Nagar, Delhi-110092
Email: mukesh@mjra.co.in
Email: cirp.printopack@gmail.com
Last date for
submission of claims: June 25, 2024
IVRCL INDORE: Ind-Ra Keeps D Rating in NonCooperating
-----------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained IVRCL Indore
Gujarat Tollways Limited's long-term bank loans in the
non-cooperating category. The issuer did not participate in the
rating exercise despite continuous requests and follow-ups by the
agency through phone calls and emails. Therefore, investors and
other users are advised to take appropriate caution while using the
rating. The rating will continue to appear as 'IND D (ISSUER NOT
COOPERATING)' on the agency's website.
The detailed rating actions are:
-- INR11,785.65 bil. Long-term senior project bank loan
(long-term) maintained in non-cooperating
category with IND D (ISSUER NOT COOPERATING) rating; and
-- INR70 mil. Bank guarantee (long-term) maintained in
non-cooperating category with IND D
(ISSUER NOT COOPERATING) rating.
Note: ISSUER NOT COOPERATING; based on the best-available
information. The ratings were last reviewed on February 6, 2019.
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of 'Guidelines on What Constitutes
Non-Cooperation'.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with IVRCL Indore Gujarat
Tollways while reviewing the ratings. Ind-Ra had consistently
followed up with the management over emails and phone calls. The
issuer has also not been submitting their monthly no default
statement (NDS).
Limitations regarding Information Availability
Ind-Ra is unable to provide an updated forward-looking view on the
credit ratings of IVRCL Indore Gujarat Tollways, as the agency does
not have adequate information to review the ratings. If an issuer
does not provide timely business and financial updates to the
agency, it indicates weak governance, particularly in 'Transparency
of Financial Information'. The agency may also consider this as
symptomatic of a possible disruption / distress in the issuer's
credit profile. Therefore, investors and other users are advised to
take appropriate caution while using these ratings. IVRCL Indore
Gujarat Tollways has been non-cooperative with the agency since
January 31,2020.
About the Company
IVRCL Indore Gujarat Tollways is a special-purpose company that was
incorporated to undertake a 155.15 kilometer expansion of a stretch
between Indore and Gujarat to four lanes from two lanes, and a
capacity augmentation project on a design, build, finance, operate
and transfer basis, both under a 25-year concession from the
National Highways Authority of India ('IND AAA'/Stable). The
project achieved provisional commercial operation date on 6
November 2018.
JAGADGURU COOPERATIVE: Ind-Ra Keeps BB Rating in NonCooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Shri Jagadguru
Co-operative Hospital Society Ltd.'s instrument(s) rating in the
non-cooperating category. The issuer did not participate in the
surveillance exercise, despite continuous requests and follow-ups
by the agency through emails and phone calls. Therefore, investors
and other users are advised to take appropriate caution while using
the rating. The rating will continue to appear as 'IND BB/Stable
(ISSUER NOT COOPERATING)' on the agency's website.
The detailed rating action is:
-- INR65 mil. Term loan maintained in non-cooperating category
with IND BB/Stable (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information
Detailed Rationale of the Rating Action
The ratings are maintained in the non-cooperating category in
accordance with Ind-Ra's policy of Issuer Non-Cooperation.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Shri Jagadguru Co-operative
Hospital Society Ltd while reviewing the rating. Ind-Ra had
consistently followed up with Shri Jagadguru Co-operative Hospital
Society Ltd over emails, apart from phone calls.
Limitations regarding Information Availability
Ind-Ra has reviewed the credit ratings of Shri Jagadguru
Co-operative Hospital Society Ltd on the basis of best available
information and is unable to provide a forward-looking credit view.
Hence, the current outstanding rating might not reflect Shri
Jagadguru Co-operative Hospital Society Ltd.'s credit strength. If
an issuer does not provide timely business and financial updates to
the agency, it indicates weak governance, particularly in
'Transparency of Financial Information'. The agency may also
consider this as symptomatic of a possible disruption / distress in
the issuer's credit profile. Therefore, investors and other users
are advised to take appropriate caution while using these ratings.
About the Company
Shri Jagadguru Co-operative Hospital Society runs a 150-bed
allopathy hospital and a 220-bed ayurvedic hospital, and manages an
ayurvedic medical college, a nursing college and a nursing school.
JENDRINA HOSPITALITY: CRISIL Reaffirms B+ Rating on Term Loan
-------------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable' rating on the
long-term bank facilities of Jendrina Hospitality LLP (JHL; part of
Janambhumi group).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 12.62 CRISIL B+/Stable (Reaffirmed)
The rating continues to reflect the expectation of a leveraged
capital structure and exposure to risks related to the ongoing
project and cyclicality in the hospitality industry. These
weaknesses are partially offset by the longstanding presence of the
partners and funding support from them.
Key Rating Drivers & Detailed Description
Weaknesses:
* Exposure to risks related to the ongoing project: JHL is
scheduled to commence its project in September 2024. The project
cost has increased to INR25 crore in FY24 as against INR15 crore in
FY23 due to increase in interior costs and other miscellaneous
expenses. Demand risk is likely to be moderate, given the low entry
barriers as the industry is highly fragmented marked by low entry
barriers with small capital and technological requirements.
Accordingly, it will also be exposed to and intense competition in
the hospitality industry. Timely completion and successful
stabilization of operations at the new unit will remain a key
rating sensitivity factor.
* Expected leveraged capital structure: Financial risk profile is
likely to be average with high gearing and moderate debt protection
metrics. The project is aggressively funded in a debt-equity ratio
of 1.81 times.
* Vulnerability to cyclicality in the hotel industry: The hotel
industry remains vulnerable to changes in the domestic and
international economies. Typically, the industry follows a six-year
cycle. Companies with a high financial leverage are more vulnerable
to cyclicality due to their fixed financial commitments.
Strength:
* Longstanding diverse industry presence of the partners and their
funding support: The Assam-based Janambhumi group has presence
across the printing press, newspaper, cafeteria, hotels and tours
and travels segments. Further, the group has four reputed hotels in
Kaziranga (Assam), Bhalukpong (Arunachal Pradesh) and Goa.
The diversified entrepreneurial experience of the partners,
spanning over three decades, has helped them build healthy business
relationships. This is should enable the firm to quickly ramp up
the scale of operations going forward.
Liquidity: Stretched
Commercial operations are expected to commence from September 2024.
Net cash accrual is expected to be in range of Rs 2-3 crore against
nil debt obligation in fiscal 2025 and Rs 1.2 crore around in
fiscal 2026. External short-term debt and/or infusion of funds from
partners will be critical to support the working capital
requirement.
Outlook: Stable
CRISIL Ratings believes JHL will continue to benefit from the
extensive entrepreneurial experience of its partners across varied
businesses.
Rating Sensitivity factors
Upward factors
* Timely commencement and stabilisation of operations and steady
operating margin, leading to net cash accrual of Rs 3.5 crore
* Improvement in financial risk profile resulting in stronger
capital structure
Downward factors
* Considerable delay in commencement of operations leading to net
cash accrual to debt obligation of less than one time
* Significantly low revenue and operating margin, leading to lower
cash accrual
JHL is currently setting up three-star hotels in Pynthorbah,
Pynthorumlcrah, Block IV, Near Golf Course, East Khasi Hills
District, Shillong, Meghalaya. The hotel is expected to be
commissioned in August, 2023.JHL is part of Janambhumi Group of
Assam & jointly owned managed by Mr. Subroto Sharma, Mrs. Bornali
Sharma and Ms. Audrey Marry Kharkongor.
MEHTA AND ASSOCIATES: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Mehta and
Associates Fire Protection Systems Private Limited (MAFPSPL)
continue to remain in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 4.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 8.00 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Short Term Bank 2.25 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated April 28, 2023,
placed the rating(s) of MAFPSPL under the 'issuer non-cooperating'
category as MAFPSPL had failed to provide information for
monitoring of the rating and had not paid the surveillance fees for
the rating exercise as agreed to in its Rating Agreement.
MAFPSPL continues to be non-cooperative despite repeated requests
for submission of information through e-mails, phone calls
and a letter/email dated March 13, 2024, March 23, 2024, April 2,
2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Ahmedabad-based (Gujarat), MAFPSPL was incorporated in October 1984
as a private limited company primarily promoted by Mr. Jayant
Mehta. Later Mr. Kunal Mehta and Mr. Kaushal Mehta joined MAFPSPL
as directors in 2001 and 2005 respectively. MAFPSPL
imparts service of designing fire detection and protection system
as per the requirement of clients and later implements the same by
assembling, erecting and commissioning fire suppression system,
fire detection system, firefighting system and allied products
mainly designed for heavy power equipment. MAFPSPL also carries out
research and development (R & D) activities pertaining to fire
protection system from its R & D centre situated in Ahmedabad,
Gujarat. It mainly caters to power sector industries which include
government as well as private entities spread across India.
NATIONAL STEEL: ICRA Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
ICRA has kept the Long-term and Short-term rating for the bank
facilities of National Steel and Agro Industries Limited (NSAIL) in
the 'Issuer Not Cooperating' category. The rating is denoted as
"[ICRA]D/[ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term- 200.55 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Long-term- 17.95 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Term Loan 'Issuer Not Cooperating'
Category
Short Term- 215.30 [ICRA]D; ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain under
'Issuer Not Cooperating'
Category
Short-term 1199.52 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with NSAIL, ICRA has been trying to seek information from the
entity so as to monitor its performance. Further, ICRA has been
sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, the rating has been continued to the "Issuer Not
Cooperating" category. The rating is based on the best available
information.
Incorporated in 1985, National Steel and Agro Industries Limited
(NSAIL) manufactures cold-rolled (CR) coils, galvanised plain (GP)/
galvanised corrugated (GC) coils and sheets, and colour coated
coils and sheets. The company started as a CR coil manufacturer and
undertook forward integration by expanding into GP/GC coils/ sheets
and colour coated coils/ sheets divisions over the years. At
present, the company has an installed capacity of 300,000 TPA in
the CR coils division, 330,000 TPA in the GP/GC unit and 170,000
TPA in the colour coated coils division. In addition, it also has a
captive power plant with an installed capacity of 6 MW.
PIYUSH COLONISERS: ICRA Keeps D Debt Rating in Not Cooperating
--------------------------------------------------------------
ICRA has kept the long-term rating of Piyush Colonisers Limited
(PCL) in the 'Issuer Not Cooperating' category. The rating is
denoted as [ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term- 30.00 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Term Loan 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with PCL, ICRA has been trying to seek information from the entity
so as to monitor its performance. Further, ICRA has been sending
repeated reminders to the entity for payment of surveillance fee
that became due. Despite multiple requests by ICRA, the entity's
management has remained non-cooperative. In the absence of
requisite information and in line with the aforesaid policy of
ICRA, the rating has been continued to the "Issuer Not Cooperating"
category. The rating is based on the best available information.
PCL was incorporated in 2004 as a private limited company. This
flagship company of the Piyush Group and is managed by Mr. Anil
Goel and his two sons Mr. Puneet Goel and Mr. Amit Goel. The
company has completed several group housing projects in the NCR
andis currently developing ten projects, namely 'Piyush Horizon'
(1st phase completed) in Dharuhera, 'Piyush City', 'SCO' and
'Elite' in Palwal, 'Piyush Rosette, Square and Galleria' in Bhiwadi
and 'Piyush Height' (possession given in 11 towers out of 17) in
Faridabad. Apart from these projects the company has launched two
projects 'Piyush Epitome' in Palwal and 'Piyush Pranakutti' in
Bhiwadi.
PRECISION ENGINEERING: ICRA Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
ICRA has kept the Long-term and Short-term rating for the bank
facilities of Precision Engineering Corporation (PEC) 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- 9.00 [ICRA]D ISSUER NOT COOPERATING;
Cash Credit Rating continues to remain under
'Issuer Not Cooperating'
Category
Fund Based- 1.08 [ICRA]D ISSUER NOT COOPERATING;
Working Capital Rating continues to remain under
Term Loan 'Issuer Not Cooperating'
Category
Short-term 1.92 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with PEC, ICRA has been trying to seek information from the entity
so as to monitor its performance. Further, ICRA has been sending
repeated reminders to the entity for payment of surveillance fee
that became due. Despite multiple requests by ICRA, the entity's
management has remained non-cooperative. In the absence of
requisite information and in line with the aforesaid policy of
ICRA, the rating has been continued to the "Issuer Not Cooperating"
category. The rating is based on the best available information.
Set up in 1982 as a proprietorship firm, PEC was converted into a
partnership firm in 2009. The firm is involved in the manufacturing
of tubular pressure parts, steam pipe lines, bridges and structures
for the Indian Railways and other engineering products as well as
execution of construction projects for thermal and cogeneration
power plants. PEC has manufacturing facility in Bhilai,
Chhattisgarh.
PUREWAL STONE: CARE Keeps C Rating in Not Cooperating Category
--------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Purewal
Stone Crusher (PSC) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.67 CARE C; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated June 21, 2023,
placed the rating(s) of PSC under the 'issuer non-cooperating'
category as PSC had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. PSC continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 6, 2024, May 16, 2024, May 26, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Nainital, Uttarakhand based, Purewal Stone Crusher (PSC) was
established in year 2013 and the commercial operations started from
March, 2015. It is currently managed by Mr. Dilbag Singh Purewal.
The firm crushes and processes riverbed material
(RBD), boulders into stone chips, stone grits and sandstone that
find usage in the construction industry.
RAJARAMBAPU PATIL: ICRA Keeps B+ Debt Rating in Not Cooperating
---------------------------------------------------------------
ICRA has kept the long-term rating of Rajarambapu Patil Sahakari
Sakhar Karkhana Limited (RPSSK) in the 'Issuer Not Cooperating'
category. The rating is denoted as [ICRA]B+(Stable); ISSUER NOT
COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 500.00 [ICRA]B+ (Stable) ISSUER NOT
Fund Based- COOPERATING; Rating continues
Cash Credit to remain under 'Issuer Not
Cooperating' category
As part of its process and in accordance with its rating agreement
with RPSSK, ICRA has been trying to seek information from the
entity so as to monitor its performance. Further, ICRA has been
sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, the rating has been continued to the "Issuer Not
Cooperating" category. The rating is based on the best available
information.
RPSSK was established in 1968 under the Maharashtra Co-operative
Society Act, 1960 as Walwa Taluka Sahakari Sakhar Karkhana Limited
to undertake sugar production in Sangli, Maharashtra. The name was
subsequently changed to Rajarambapu Patil Sahakari Sakhar Karkhana
Limited. RPSK is a part of the Sangli-based Rajarambapu Group,
which is present in businesses like sugar, dairy and co-operative
banking. RPSSK has sugar mills at four locations -Sakhrale,
Wategaon, Karandwadi and Jath -in Sangli with atotal sugarcane
crushing capacity of 17,000 TCD along with a 75-KLPD distillery
plant and a 40-MW cogeneration unit. Further, the company is in the
process of expanding its distillery capacity to 100 KLPD from
75KLPD, which is likely to be operational from October 2022.
RAJMAL LAKHICHAND: Liquidation Process Case Summary
---------------------------------------------------
Debtor: Rajmal Lakhichand Jewelers Private Limited
189, Johari Bazar
Jalgaon, Maharashtra
India, 425001
Liquidation Commencement Date: June 11, 2024
Court: National Company Law Tribunal, Mumbai Bench
Liquidator: Palak Swapnil Desai
901, 9th floor, Park Vistas
Lallubhai Park Road,
Near MTNL, Andheri (West)
Mumbai-400058
Email: palakdesai77@gmail.com
Email: liq.rajmallakhichand@gmail.com
Last date for
submission of claims: July 7, 2024
RASIK PRODUCTS: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Rasik Products Private Limited
Registered Address:
141 Km Delhi Agra of Byepass
Near Alwer Rly Briage
Krishna Nagar Mathura
Uttar Pradesh, India 281004
Insolvency Commencement Date: June 14, 2024
Court: National Company Law Tribunal, Allahabad Bench
Estimated date of closure of
insolvency resolution process: December 11, 2024
Insolvency professional: Amit Goel
Interim Resolution
Professional: Amit Goel
H.No.9 Near Patel Institute of Engg
Adarsh Colony, Opp Bhawna Place Lane
Devpuram as Muzaffarnagar
Muzaffarnagar, Uttar Pradesh 251001
Last date for
submission of claims: June 28, 2024
SAI LAKSHMI: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sri Sai
Lakshmi Rice Mill (SSLRM) continue to be 'CRISIL B/Stable Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.65 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Working 5.15 CRISIL B/Stable (Issuer Not
Capital Facility Cooperating)
Term Loan 1.70 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SSLRM for
obtaining information through letter and email dated June 11, 2024
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 SSLRM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SSLRM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SSLRM continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Set up in 2008, SSLRM mills and processes paddy. The operations are
managed by the managing partner, Mr. Jyothula Bhimudu.
SANGAM STEELS: CRISIL Revises Rating on INR7cr Cash Loan to B+
--------------------------------------------------------------
Due to inadequate information and in line with the Securities and
Exchange Board of India guidelines, CRISIL Ratings had migrated its
rating on the long-term bank facility of Sangam Steels - Ludhiana
(SSL) to 'CRISIL B/Stable Issuer Not Cooperating'. However, the
firm's management has subsequently started sharing the information
necessary for a comprehensive review of the rating. Consequently,
CRISIL Ratings is migrating the rating on bank facilities of SSL to
'CRISIL B+/Stable' from 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL B+/Stable (Migrated from
'CRISIL B/Stable ISSUER NOT
COOPERATING)
The rating reflects the firm's modest scale of operations amid
intense competition and average financial risk profile. These
weaknesses are partially offset by the extensive experience of the
proprietor in the steel trading business. The firm has longstanding
relationships with JSW Steels Ltd. and Steel Authority of India Ltd
(SAIL), which supply 80% of the firm's total trade inventory. The
firm also has established relationships with customers.
Analytical approach
Unsecured loan of INR73 lakh as on March 31, 2024, from the
proprietor has been treated as 75% equity and 25% debt as it is
subordinate to bank debt and likely to remain in the business over
the medium term
Key rating drivers and detailed description
Weaknesses:
* Modest scale of operations and profitability: Low value addition
in trading amid intense competition may continue to constrain
scalability, pricing power and profitability. Although turnover was
comfortable at INR157.78 crore in fiscal 2024, operating margin was
modest at 1.70-2.0% over the three fiscals through 2024. The
operating margin is expected at 1.5-2.0% over the medium term.
* Average financial risk profile: The financial risk profile will
likely remain weak over the medium term. Net worth was low at
INR8.13 crore and total outside liabilities to adjusted networth
ratio high at 3.12 times as on March 31, 2024. Debt protection
metrics were subdued, as reflected in interest coverage ratio of
1.25 times in fiscal 2024. Networth remains modest owing to large
withdrawal of profit by the proprietor. Any sizeable withdrawal
impacting the financial risk profile will remain a key monitorable
over the medium term.
Strength:
* Extensive experience of the proprietor and established
relationships with suppliers and customers: The proprietor's
experience of over three decades in the steel trading business,
strong understanding of local market dynamics and healthy
relationships with customers and suppliers will continue to support
the business. The firm has longstanding relationships with its
suppliers, JSW and SAIL, which supply 80% of the traded goods. It
also has established relationships with customers, reflected in
stable revenue.
Liquidity: Stretched
Bank limit utilisation of the cash credit facility was moderate at
61.90% for the 12 months through May 2024. Cash accrual, expected
at INR20-25 lakh per fiscal, will be insufficient to cover term
debt obligation of INR25-30 lakh over the medium term. Liquidity is
also supported by the unsecured loan of INR73 lakh as on March 31,
2024, from the proprietor. Current ratio was moderate at 1.42 times
as on March 31, 2024, and is expected at a similar level over the
medium term.
Outlook: Stable
SSL will continue to benefit from the extensive experience of its
proprietor.
Rating sensitivity factors
Upward factors:
* Significant increase in revenue and profitability leading to cash
accrual of more than INR1 crore
* Improvement in the financial risk profile
Downward factors:
* Decline in revenue and fall in operating margin below 1% leading
to lower cash accrual
* Significant capital withdrawal weakening the financial risk
profile
SSL was set up in 1982 by Mr Sandeep Gupta in Ludhiana, Punjab. The
firm trades in hot-rolled and cold-rolled coils, wires and rods.
SETHIA OILS: CARE Lowers Rating on INR15.50cr LT Loan to D
----------------------------------------------------------
CARE Ratings has revised the ratings on certain bank facilities of
Sethia Oils Limited (SOL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.50 CARE B; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category and
Revised from CARE B+; Stable
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated April 21, 2023,
placed the rating(s) of SOL under the 'issuer non-cooperating'
category as SOL had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. SOL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
March 6, 2024, March 16, 2024, March 26, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned to the bank facilities of SOL have been
revised on account of non-availability of requisite information.
The ratings also factored in decline in scale of operations,
reported net losses, increase in total debt levels and deteriorated
capital structure as well as debt coverage indicators during FY23.
Sethia Oils Limited (SOL), incorporated in 1986, is engaged in the
extraction and refining of rice bran oil. The operations of the
company began from the year 1989. SOL is promoted by Sethia family.
The company has its facilities in Bardhaman, WB, with an installed
capacity of 15,000 MT for extraction of rice bran oil and 30,000 MT
for refining of crude rice bran oil. The company supplies rice bran
oil mainly for reputed brands on order basis, institutional sale
and a very small quantity of own brand 'RiceGold'. The de-oiled
cake is exported to Vietnam, Thailand etc for cattle feed. Adani
Wilmar Ltd is a major customer, contributing to almost 50% of SOL's
revenue in FY17-FY18. The flagship company of the group, Sethia Oil
Industries Limited is engaged in the business of refining of rice
bran oil, mustard oil, sesame oil etc. The day-to-day affairs of
the company are being managed by Mr. Ashok Sethia, with active
support from his brother Mr. Alok Sethia, MD. The board of
directors of the company consists of 5 members, all belonging to
the promoters' family.
SHIKHAR CONSTRUCTIONS: CARE Keeps D Debt Rating in Not Cooperating
------------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Shikhar
Constructions (SC) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 6.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated July 4, 2023,
placed the rating(s) of SC under the 'issuer non-cooperating'
category as SC had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. SC continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 19, 2024, May 29, 2024, June 8, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Nainital (Uttarkhand) based, Shikhar Constructions (SC) was
established in the year 1992, as a partnership concern, by Mr.
Manoj Joshi, Mr. Hem Kumar Joshi and Mr. Kamlesh Joshi. The company
is engaged in development of residential projects.
SHIVAM MASALA: CRISIL Keeps B- Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shivam Masala
Private Limited (SMPL) continue to be 'CRISIL B-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 9.75 CRISIL B-/Stable (Issuer Not
Cooperating)
Cash Credit 0.25 CRISIL B-/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SMPL for
obtaining information through letter and email dated June 11, 2024
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SMPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SMPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SMPL continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
SMPL, incorporated in 1999 and promoted by Mr. Venugopal Khanna and
his family members, processes and distributes spices and pickles
under its registered brand, Paras.
SHYAM CORPORATION: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shyam
Corporation Private Limited (SCPL) continue to be 'CRISIL B/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6.5 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 2.4 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 5.95 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 10.15 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SCPL for
obtaining information through letter and email dated June 11, 2024
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of SCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SCPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
SCPL is an Ahmedabad-based textile processing house, engaged in the
business of dyeing and printing of different types of fabrics
(primary cotton). The company's revenues are equally distributed
between job work and own account sales. SCPL was earlier a
partnership firm - Shyam Textile Mills and was reconstituted as a
private limited company effective July 2010.
SPEECHMATICS (INDIA): Voluntary Liquidation Process Case Summary
----------------------------------------------------------------
Debtor: Speechmatics (India) Private Limited
No-2458,TNSCB BL Chennai
TN - C, Semmanchery
Solinganallur, Chennai
Tamil Nadu 600119 IN
Liquidation Commencement Date: May 10, 2024
Court: National Company Law Tribunal, Chennai Bench
Liquidator: Bhagyalakshmi Ramesh Boosam
10 Dr. Radhakrishnan Street
Charles Nagar, Pattabiram
Chennai, Tamil Nadu - 600072
Email: blassociates2003@gmail.com
Tel: 044-2652026 / 9840481702
Last date for
submission of claims: June 9, 2024
SUBHLAXMI FOODS: CARE Lowers Rating on INR15cr LT Loan to D
-----------------------------------------------------------
CARE Ratings has revised the ratings on certain bank facilities of
Shree Subhlaxmi Foods Limited (SSFL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE C; Stable
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated May 26, 2023,
placed the rating(s) of SSFL under the 'issuer non-cooperating'
category as SSFL had failed to provide information for monitoring
of the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. SSFL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 10, 2024, April 20, 2024, April 30, 2024 and July 8, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned bank facilities of SSFL have been revised on
account of non – availability of requisite information. The
rating also considers delays in debt servicing as recognized from
publicly available information i.e., FY23 audit report available
from ROC filings.
Uttar Pradesh based Shree Subhlaxmi Foods Limited (SSFL) was
established on March 21, 2014 as a private limited and is currently
managed by Mr. Sudhir Maheshwari, Mr. Santosh Maheshwari and Mr.
Udit Maheshwari. SSFL is engaged in the milling, processing and
trading of paddy at its manufacturing facility located in Mainpuri,
Uttar Pradesh.
SUPERTECH REALTORS: Insolvency Resolution Process Case Summary
--------------------------------------------------------------
Debtor: Supertech Realtors Private Limited
Registered Office:
1114, Hemkunt Chambers
11th Floor 89, Nehru Place,
New Delhi, India, 110019
Principal Office:
Ground Floor E Square,
Plot No C2, Sector 96,
Gautam Buddha Nagar,
Uttar Pradesh, India, 201302
Insolvency Commencement Date: June 12, 2024
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: December 9, 2024
Insolvency professional: Anju Agarwal
Interim Resolution
Professional: Anju Agarwal
73, National Park,
Lajpat Nagar IV, National Capital
Territory of Delhi, 110024
Email: anju@insolvencyservices.in
C-100, Sector 2, Noida
Uttar Pradesh201301
For filing claims, the email id is:
supertechrealtors.claims@gmail.com
E-mail ID, for general correspondence:
supertechrealtors.cirp@gmail.com
Last date for
submission of claims: June 26, 2024
SURYA LAXMI: CARE Keeps B- Rating in Not Cooperating Category
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Surya Laxmi
Industries (SLI) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.44 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated June 2, 2023,
placed the rating(s) of SLI under the 'issuer non-cooperating'
category as SLI had failed to provide information for monitoring of
the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. SLI continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 17, 2024, April 27, 2024, May 7, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Delhi based, Surya Laxmi Industries (SLI) was established on March
23, 2011 as a partnership firm by Mr. Tarun Karnany, Mr. Rohit
Karnany. SLI manufactures non-woven fabric, medical non-woven
fabric, shopping bags, agricultural non-woven material
and rice & pulses packaging bags at its manufacturing facility
located in Khasra, Delhi.
TECHNICO STRIPS: CARE Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Technico
Strips and Tubes Private Limited (TSTPL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 21.55 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 14.50 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated May 23, 2023,
placed the rating(s) of TSTPL under the 'issuer non-cooperating'
category as TSTPL had failed to provide information for monitoring
of the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. TSTPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 7, 2024, April 17, 2024, April 27, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Technico Strips & Tubes Private Limited (TSTPL) was incorporated in
April -1992 by the name 'R.N. Gupta Cycles Private Limited' and was
earlier engaged in the manufacturing of cycle parts. Subsequently,
the company changed its name to TSTPL in
2007. The company is promoted by Mr. Ajay Gupta and his son, Mr.
Nitin Gupta and currently is engaged in the manufacturing of
electric-resistance welded steel tubes and cold-drawn welded steel
tubes at its sole facility in Ludhiana.
TEJAS AGRO: CARE Lowers Rating on INR15.50cr LT Loan to D
---------------------------------------------------------
CARE Ratings has revised the ratings on certain bank facilities of
Tejas Agro Irrigation Systems Private Limited (TAISPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.50 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE C; Stable
Long Term/ 5.00 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category and
Revised from CARE C; Stable/
CARE A4
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated May 3, 2024,
placed the rating(s) of TAISPL under the 'issuer non-cooperating'
category as TAISPL had failed to provide information for monitoring
of the rating and had not paid the surveillance fees for the rating
exercise as agreed to in its Rating Agreement. TAISPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
July 9, 2024.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned to the bank facilities of TAISPL have been
revised on account of ongoing delays in debt servicing as
recognized from lender's feedback.
Pandharpur (Maharashtra)-based TAISPL was incorporated on June 29,
2015 by Mr. Prashant Lade and Mr. Shivaji Ajalkar. The company has
set up a facility for manufacturing of PVC pipes and fittings and
LLDPE pipes, catering mainly for agriculture sector. The company
manufactures a diverse range of pipes and fittings with a product
portfolio of 750 products with various types of moulded and
fabricated fittings.
TRANSPARENT FOOD: Insolvency Resolution Process Case Summary
------------------------------------------------------------
Debtor: Transparent Food Technologists Private Limited
Registered Address:
Pushpa Heights, 1st Floor
Bibwewadi Corner
Pune - Satara Road
Pune - 411037
Insolvency Commencement Date: June 12, 2024
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: December 9, 2024
Insolvency professional: Mayank Rameshchandra Jain
Interim Resolution
Professional: Mayank Rameshchandra Jain
A 1001, Samarpan
Near Spectra Motors,
Western Express Highway
Borivli (East), Mumbai 400066
Email: jainmayankr@gmail.com
Email: tftpl.cirp@gmail.com
Mobile: +91 9892733890
Last date for
submission of claims: June 28, 2024
===============
M A L A Y S I A
===============
KNM GROUP: Gets 6-Mo. Extension to Submit PN17 Regularisation Plan
------------------------------------------------------------------
theedgemalaysia.com reports that KNM Group Bhd has been granted a
second extension to submit its Practice Note 17 (PN17)
regularisation plan from the earlier deadline of April 30, 2024.
The company now has until Oct. 30, 2024 to submit its
regularisation plan to the authorities, KNM's bourse filing showed.
theedgemalaysia.com relates that the cash-strapped company had
previously requested for a 12-month extension until April 30, 2025,
but was given six months instead to finalise the PN17
regularisation plan.
"The extension of time is without prejudice to Bursa Securities'
right to proceed to suspend the trading of the listed securities of
the company and to de-list the company in the event the company
fails to obtain the approval from any of the regulatory authorities
necessary for the implementation of its regularisation plan," the
group, as cited by theedgemalaysia.com, said.
According to the report, KNM was first classified as a PN17 company
in October 2022 following its current liabilities exceeding current
assets, which came after its initial plans to sell its German-based
machinery and equipment unit, Borsig GmbH to pare down debt,
faltered.
It is also currently exploring fresh options to sell its
loss-making Italian subsidiary, FBM Hudson Italiana SpA (FBMHI),
following a third failed attempt, theedgemalaysia.com relates.
This came after the collapse of its deal to sell FBMHI, a
manufacturer of heat and high-pressure equipment, to Milan-based BM
Carpenterie Oil & Gas Srl (BMC) and Verona-based Officine Piccol
SpA for EUR16.5 million (MYR83.54 million). KNM said the initial
agreement with these buyers expired on June 30.
Last month, KNM said it has obtained an interim restraining order
from the Kuala Lumpur High Court, protecting it from legal actions
by creditors until the disposal of its application for a
three-month restraining order and a court-convened creditors'
meeting, theedgemalaysia.com recalls.
It said under the ad interim restraining order, no winding-up order
or resolution can be passed against the company and no receiver or
receiver and manager may be appointed over its assets.
theedgemalaysia.com says the order also provides that no
proceedings may be commenced or continued against the applicants,
and no execution, distress or other legal process may be commenced,
continued or levied against any of its properties unless given
permission by the court.
As of March 31, 2024, KNM had total borrowings of MYR2.57 billion,
accumulated losses of some MYR1.35 billion and total equity of
MYR410.77 million, theedgemalaysia.com discloses.
About KNM Group
Berhad (KLSE:KNM) -- https://www.knm-group.com/ -- is engaged in
the investment holding and the provision of management services. It
operates through three geographical segments: Asia and Oceania,
Europe and America. The Asia and Oceania segment includes
Malaysia, Thailand, Indonesia, Myanmar, Australia and Mauritius.
The Europe segment includes Germany, Italy, United Arab Emirates,
United Kingdom, British Virgin Islands, Netherlands, Saudi Arabia,
and Isle of Man. The America segment includes the United States of
America and Canada. Its subsidiary KNM Process Systems Sdn. Bhd.
is engaged in the design, manufacture, assembly and commissioning
of process equipment, pressure vessels, heat exchangers, skid
mounted assemblies, process pipe systems, storage tanks,
specialized structural assemblies and module assemblies for the
oil, gas and petrochemical industries. Its other subsidiaries
include KNM International Sdn. Bhd., KNM Capital Sdn. Bhd. and KNM
Renewable Energy Sdn. Bhd.
On Oct. 31, 2022, KNM Group Bhd said it had become an affected
listed issuer under the Practice Note 17 (PN17) on the basis that
Paragraph 2.1(e) of the note was triggered in its audited
consolidated financial statements for the period ended June 30,
2022, which were published on Oct. 31, 2022. The company said its
auditor had highlighted a material uncertainty over its ability to
continue as a going concern.
SARAWAK CABLE: Placed Under Judicial Management
-----------------------------------------------
Sarawak Cable Berhad on July 10, 2024, confirmed it received an
Originating Summons filed in the Kuala Lumpur High Court on July 9,
2024 from the solicitors acting on behalf of Messrs. Krish Maniam &
Co to place the company under judicial management.
At the hearing held on July 9, 2024, the High Court judge has
allowed the application for the company to be placed under interim
judicial management pursuant to Section 405 of the Companies Act
2016 and that Lim Sin Han of Messrs Sin Han & Co. be appointed as
the Judicial Manager of the Company.
SCB said it is consulting its solicitors to verify the matter and
to amongst others consider setting aside an Order and further
announcements will be made to Bursa Malaysia Securities Berhad as
and when there are material developments in relation thereof.
If the appointment is valid, it would have triggered criteria 2.1
(b) of PN17, SCB added.
About Sarawak Cable
Malaysian-based Sarawak Cable Bhd manufactures cables and wires. It
operates in four segments The Sale of power cables and conductors
segment supplies power cables and conductors components, sale of
galvanized steel products, and steel structures segment supplies
galvanized steel products and steel structures and galvanizing
services. The transmission lines construction segment involves
supply, installation, and commissioning of transmission line
projects. And the corporate segment is involved in Group-level
corporate and management services.
In September 2022, Sarawak Cable Bhd said it triggered the criteria
of a Practice Note 17 (PN17) company following a disclaimer of
opinion expressed by its external auditor. It said it is in the
midst of formulating a regularisation plan to address the PN17
status.
SARAWAK CABLE: Teoh Wen Jinq Resigns as Chief Financial Officer
---------------------------------------------------------------
theedgemalaysia.com reports that Sarawak Cable Bhd on July 16 said
its chief financial officer Teoh Wen Jinq had resigned.
In a bourse filing, the company said Ms. Teoh had stepped down due
to personal reasons, without elaborating, theedgemalaysia.com
relates.
According to theedgemalaysia.com, Ms. Teoh is a member of the
Malaysian Institute of Accountants (MIA) and Fellow Member of The
Chartered Association of Certified Accountants (FCCA).
She also has more than 15 years working in audit firms and
commercial companies as accountant, company secretary and group
financial controller.
About Sarawak Cable
Malaysian-based Sarawak Cable Bhd manufactures cables and wires. It
operates in four segments The Sale of power cables and conductors
segment supplies power cables and conductors components, sale of
galvanized steel products, and steel structures segment supplies
galvanized steel products and steel structures and galvanizing
services. The transmission lines construction segment involves
supply, installation, and commissioning of transmission line
projects. And the corporate segment is involved in Group-level
corporate and management services.
In September 2022, Sarawak Cable Bhd said it triggered the criteria
of a Practice Note 17 (PN17) company following a disclaimer of
opinion expressed by its external auditor. It said it is in the
midst of formulating a regularisation plan to address the PN17
status.
=====================
N E W Z E A L A N D
=====================
EGT LIMITED: Court to Hear Wind-Up Petition on Aug. 9
-----------------------------------------------------
A petition to wind up the operations of EGT Limited will be heard
before the High Court at Auckland on Aug. 9, 2024, at 10:45 a.m.
Mercedes-Benz Financial Services New Zealand Limited filed the
petition against the company on June 26, 2024.
The Petitioner's solicitor is:
Jeffrey Gray Ussher
United Legal Limited, Lawyers
300 Richmond Road
Grey Lynn
Auckland 1021
INDUSTRIE KITCHEN: Court to Hear Wind-Up Petition on July 30
------------------------------------------------------------
A petition to wind up the operations of Industrie Kitchen Limited
will be heard before the High Court at Rotorua on July 30, 2024, at
10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on May 21, 2024.
The Petitioner's solicitor is:
Christina Anne Hunt
Inland Revenue, Legal Services
21 Home Straight
PO Box 432
Hamilton
MORROW CONTRACTING: Creditors' Proofs of Debt Due on Aug. 12
------------------------------------------------------------
Creditors of Morrow Contracting Limited are required to file their
proofs of debt by Aug. 12, 2024, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on July 8, 2024.
The company's liquidator is:
Brent Thomas Dickins
CS Insolvency
C/- Coombe Smith (PN) Limited
168 Broadway Avenue
PO Box 788
Palmerston North
PAINT IT: Creditors' Proofs of Debt Due on Aug. 20
--------------------------------------------------
Creditors of Paint It Perfect Limited and Te Kuru Holdings Limited
are required to file their proofs of debt by Aug. 20, 2024, to be
included in the company's dividend distribution.
Paint It Perfect Limited commenced wind-up proceedings on July 9,
2024.
Te Kuru Holdings Limited commenced wind-up proceedings on July 10,
2024.
The company's liquidators are:
Peri Micaela Finnigan
Boris van Delden
Keaton Pronk
Steve Farquhar
McDonald Vague Limited
PO Box 6092
Victoria Street West
Auckland 1142
S.P.Q.R. LIMITED: Creditors' Proofs of Debt Due on Sept. 11
-----------------------------------------------------------
Creditors of S.P.Q.R. Limited are required to file their proofs of
debt by Sept. 11, 2024, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on July 11, 2024.
The company's liquidators are:
Christopher Carey McCullagh
Stephen Mark Lawrence
PKF Corporate Recovery & Insolvency (Auckland)
PO Box 3678
Auckland 1140
=================
S I N G A P O R E
=================
ALL CONTINENTS: Commences Wind-Up Proceedings
---------------------------------------------
Members of All Continents Scaffold Pte Ltd on June 28, 2024, passed
a resolution to voluntarily wind up the company's operations.
The company's liquidator is:
Ms Ellyn Tan Huixian
c/o Mazars Consulting Pte Ltd
135 Cecil Street
#10-01
Singapore 069536
CUBE 2: Court Enters Wind-Up Order
----------------------------------
The High Court of Singapore entered an order on July 5, 2024, to
wind up the operations of Cube 2 Pte. Ltd.
RHB Bank Berhad filed the petition against the company.
The company's liquidators are:
Abuthahir S/O Abdul Gafoor
Yessica Budiman
AAG Corporate Advisory
144 Robinson Road
#14-02 Robinson Square
Singapore 068908
FA TAT: Court Enters Wind-Up Order
----------------------------------
The High Court of Singapore entered an order on July 5, 2024, to
wind up the operations of Fa Tat Construction Pte. Ltd.
DBS Bank Ltd filed the petition against the company.
The company's liquidators are:
BDO Advisory
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
JLION MARINE: Court Enters Wind-Up Order
----------------------------------------
The High Court of Singapore entered an order on June 14, 2024, to
wind up the operations of Jlion Marine Construction & Engrg Pte.
Ltd.
Hys Enterprises Pte Ltd filed the petition against the company.
The company's liquidator is:
Chan Yee Hong
CLA Global TS Risk Advisory
80 Robinson Road
#25-00
Singapore 068898
NUTRYFARM INT'L: Enters Into Restructuring Agreement with Investor
------------------------------------------------------------------
The Business Times reports that Nutryfarm International, which is
under judicial management, has entered into a restructuring
agreement with investor Corpbond IV to settle its creditors'
claims, its judicial manager said in a bourse filing on July 15.
Nutryfarm, which manufactures and distributes nutrition and health
food products, as well as durians, has been under judicial
management since June 2022.
According to the terms of the restructuring agreement, both
Nutryfarm and Corpbond have agreed to pay each creditor a lump sum
payment of 20 per cent of their approved claim in cash, rounded up
to the nearest dollar, BT relays.
BT relates that Corpbond will pay the cash consideration to each
creditor, while each creditor shall assign, novate and/or otherwise
transfer its claim in full and unconditionally to Corpbond.
Following this, each creditor shall have no further claims against
Nutryfarm.
The restructuring is conditional upon fulfilment and satisfaction
of several condition precedents on or before the long-stop date or
the extension date, BT says.
Among them are the judicial management order remaining in full
force and effect, as well as court approval being obtained by the
judicial manager or Nutryfarm, if required under applicable laws
for Corpbond to make the payment of the cash consideration to each
creditor, according to BT.
If any condition precedents have not been fulfilled by the
long-stop date or the extension date, the restructuring agreement
will cease and determine, and no party shall have any claim against
the other parties for costs, damages, compensation or otherwise.
In addition, the agreement may be terminated by Nutryfarm or
Corpbond if any competent court has issued an injunction or order
restraining or prohibiting the transactions contemplated under the
agreement, BT relates.
It can also be terminated by either party if there is any material
breach of obligations or warranties on the part of Nutryfarm or
Corpbond. Corpbond also has the right to terminate the agreement if
there is any material breach of the creditors' obligations or
warranties.
On the other hand, the restructuring agreement, other than the
survival clauses, shall automatically terminate if the condition
precedents have not been satisfied by the long-stop date or the
extension date, whichever later, or if Nutryfarm is placed into
liquidation, BT says.
In the event of the automatic termination of the restructuring
agreement, none of the parties shall have a claim against the other
for costs, damages, losses, compensation or otherwise.
Trading in Nutryfarm's shares has been suspended since April 11,
2022, BT notes. Its shares last traded at SGD0.085 on April 4,
2022.
About NutryFarm
NutryFarm International Limited (SGX:AZT) operates as a holding
company. The Company, through its subsidiaries, manufactures and
develops nutritional and herbal supplement products.
As reported in the Troubled Company Reporter-Asia Pacific on June
30, 2022, the High Court of Singapore has granted an application to
place Nutryfarm International under judicial management.
Chan Yee Hong of Nexia TS Risk Advisory has been appointed as the
company's judicial manager.
According to The Business Times, the application for judicial
management was filed by Nutryfarm's creditor, Corpbond IV Ltd, on
May 10, 2022, following a spate of legal events regarding
Nutryfarm's loans owed to Corpbond.
TECHANIC PTE: Commences Wind-Up Proceedings
-------------------------------------------
Members of The Techanic Pte Ltd, on June 28, 2024, passed a
resolution to voluntarily wind up the company's operations.
The company's liquidator is:
Mr. Tee Wey Lih
c/o Guardian Advisory
531A Upper Cross Street
#03-118
Singapore 051531
=====================
S O U T H K O R E A
=====================
SOUTH KOREA: Bank Loans Delinquency Ratio Rises for 2nd Mo. in May
------------------------------------------------------------------
Yonhap News Agency reports that the delinquency ratio on loans
extended by banks in South Korea rose for a second consecutive
month in May, data showed on July 16.
The delinquency ratio on banks' won-denominated loans stood at 0.51
percent at end-May, up 0.03 percentage point from a month earlier,
Yonhap discloses citing data from the Financial Supervisory
Service.
Yonhap says the rise follows a 0.05 percentage-point on-month
increase in April. The May reading marks a 0.15 percentage-point
rise from a year earlier.
According to Yonhap, the amount of newly overdue loans came to
KRW2.7 trillion (US$1.95 billion) in May, up KRW100 billion from a
month earlier, while the amount of resolved loans gained KRW500
billion to KRW2 trillion over the cited period.
The delinquency ratio for corporate loans had come to 0.58 percent
as of end-May, up 0.04 percentage point from a month earlier,
Yonhap relays. The ratio for household loans came to 0.42 percent,
up 0.02 percentage point from April.
=============
V I E T N A M
=============
MB SHINSEI: Fitch Affirms 'B' LongTerm IDR, Outlook Positive
------------------------------------------------------------
Fitch Ratings has affirmed Vietnam-based MB Shinsei Finance Limited
Liability Company's (Mcredit) Long-Term Issuer Default Rating (IDR)
at 'B' with a Positive Outlook. Fitch has also affirmed the
Short-Term IDR at 'B' and Shareholder Support Rating (SSR) at 'b'.
KEY RATING DRIVERS
Shareholder Support Underpins Ratings: The ratings reflect its
expectation of extraordinary support from Mcredit's 50%
shareholder, Military Commercial Joint Stock Bank (MB,
BB/Stable/b+), if needed. Fitch considers MB the primary support
provider and anchor for Mcredit's rating, as it has a greater
influence on the consumer finance subsidiary's strategy and
operations relative to the second-largest shareholder, Japan's SBI
Shinsei Bank, Limited, which owns a 49% stake.
Mcredit's rating is anchored by MB's standalone credit profile, as
reflected in the bank's Viability Rating (VR) of 'b+'. The Positive
Outlook on Mcredit's IDR mirrors its view of MB's VR, backed by its
belief that the bank's capitalisation will improve gradually.
Mcredit's rating includes no benefit from potential government
support as incorporated in MB's Long-Term IDR of 'BB' given the
uncertainty on the extension of state support to the smaller
subsidiary. See Fitch Upgrades Vietnam's Military Bank to 'BB';
Outlook Stable.
Strategically Important Role: Fitch believes the parent is
incentivised to prevent its finance subsidiary from defaulting due
to their reputational links. Fitch also takes into consideration
MB's sufficient capacity to render extraordinary support and its
record of providing consistent financial support to its subsidiary.
Nonetheless, Mcredit's ratings are one notch below MB's VR due to
the subsidiary's modest financial contribution to the parent bank
and MB's partial ownership of 50%.
Synergistic Role, Support Record: Fitch regards Mcredit as
complementary to MB's retail customer strategy, by providing
consumer financing to lower-income individuals who may eventually
become customers of the parent bank as their incomes rise. MB's
consistent funding support to the subsidiary since its
incorporation also demonstrates the parent's appetite to support
its subsidiary. Outstanding sanctioned funding from MB rose to 40%
of Mcredit's total assets by end-2023 (end-2022: 26%).
Adequate Parent Resources: Fitch assesses that MB has the ability
to support Mcredit, if needed. Mcredit's balance sheet comprised a
modest 3% of MB's consolidated assets and equity at end-2023, and
its stress test indicates that MB should have the resources to
recapitalise Mcredit in an asset-quality stress scenario, albeit
with a narrower buffer due to the bank's moderate capitalisation.
High Reputational Risk, Integration: Fitch believes that a default
by Mcredit would cause significant reputation damage to MB, given
the entities' close integration. The bank appoints most of
Mcredit's top management, including the CEO and several deputy
CEOs, and a senior leader of the bank chairs Mcredit's board.
Furthermore, MB works closely with Mcredit in customer acquisition
including the use of MB's infrastructure, technology and customer
base.
SBI Shinsei Provides Additional Resources: Mcredit's other major
shareholder, SBI Shinsei, also has considerable resources to
provide support. Mcredit represented 1% of SBI Shinsei's total
assets at end-2023. The Japanese shareholder has several secondees
in Mcredit and equal representation on its board, and its funding
support to Mcredit has broadly matched that from MB. That said,
Mcredit's rating does not consider potential extraordinary support
from SBI Shinsei, as Fitch views the finance company as more
closely integrated and synergistic with MB.
Modest Standalone Profile: Mcredit's standalone credit profile does
not drive its ratings, and would be weaker than its support-driven
IDR. This reflects its view of the industry's higher-risk business
model, reliance on wholesale funding, and the company's appetite
for leverage and underwriting processes which are still evolving
against an economically vulnerable clientele. Mitigating factors
are Mcredit's franchise as one of the country's top-three
consumer-finance companies by assets, and funding flexibility
afforded by its shareholders' consistent funding support.
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
Mcredit's Long-Term IDR is sensitive to any deterioration in MB's
standalone ability to provide extraordinary support, as indicated
by the bank's VR. Negative action on MB's VR would translate into
similar action on Mcredit's ratings.
A decline in MB's propensity to support Mcredit could also lead to
negative rating action. This could arise from an ownership dilution
to below 50%, which may result in Mcredit's rating being based
solely on its standalone strength rather than its expectation of
shareholder support. Reduced management and operational integration
with MB - most likely in combination with weaker funding support to
Mcredit or a diminishing strategic value to MB - may also lead to
negative action on Mcredit's rating.
Increased risk-taking and leverage by Mcredit may raise
asset-quality, earnings and funding rollover risks. This would also
enlarge the potential financial burden for MB if support were
required, particularly if the finance company expands rapidly
relative to the parent bank. Such a scenario would weaken Mcredit's
standalone credit profile and could concurrently pressure MB's
ability to provide funding or capital support, with the potential
to trigger downward action on Mcredit's support-driven SSR and
IDR.
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
The Long-Term IDR may be upgraded if there is an upgrade of MB's VR
or if the company becomes a more meaningful contributor to MB's
operations and strategy. This may be evident through increased
referrals between the entities, or a greater and more steady profit
contribution by Mcredit, provided that MB's ability to provide
support remains adequate relative to Mcredit's balance-sheet size.
A longer record of sustainable operations by Mcredit, combined with
a significant increase in MB's influence and control in its
subsidiary, could also lead to positive rating action. This is
assuming other factors underpinning shareholder support remain
intact.
PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS
Mcredit's Long-Term IDR is linked to MB's Viability Rating.
ESG CONSIDERATIONS
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' 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. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Prior
----------- ------ -----
MB Shinsei Finance
Limited Liability Company LT IDR B Affirmed B
ST IDR B Affirmed B
Shareholder Support b Affirmed b
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman,
Editors.
Copyright 2024. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
TCR-AP subscription rate is US$775 for 6 months delivered via e-
mail. Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each. For subscription information, contact
Peter Chapman at 215-945-7000.
*** End of Transmission ***