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250623.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Monday, June 23, 2025, Vol. 28, No. 124 Headlines A U S T R A L I A COPPER RESOURCES: Second Creditors' Meeting Set for June 27 GUMTREE INDUSTRIAL: Cliffwater Marks $8.1MM 1L Loan at 38% Off HAPPY LIFE: Second Creditors' Meeting Set for June 27 HI VOLTAGE: First Creditors' Meeting Set for June 30 LNS CORPORATION: First Creditors' Meeting Set for June 30 METRO FINANCE 2023-2: Moody's Hikes Rating on Class F Notes to Ba3 MYOB GROUP: S&P Affirms 'B-' ICR, Alters Outlook to Stable NO ENDS: First Creditors' Meeting Set for June 26 REDZED TRUST 2024-2: Fitch Affirms 'B+sf' Rating on Class F Notes SURFSTITCH PTY: Nike Seeks Wind-Up Order Against Company C H I N A CHINA EVERGRANDE: Lui's Ex-Wife Spent Millions on Homes as Co Sank MERCURITY FINTECH: Plans $800M Bitcoin Treasury Reserve SINO-OCEAN: Adjusts Bond Repayment Terms Amid Liquidity Challenges SUNING.COM: To Sell Carrefour Operating Units for 55 US Cents ZW DATA: Inks $750K Common Stock Deals With Lock-Up Provisions H O N G K O N G [] HONG KONG: Bankruptcy Petitions Top 900 in May This Year I N D I A A.N. GASLINES: Insolvency Resolution Process Case Summary AASMA FOODS: CARE Keeps B- Debt Rating in Not Cooperating Category AMBAL MODERN: CARE Keeps B- Debt Rating in Not Cooperating BISUI POULTRY: CARE Keeps D Debt Rating in Not Cooperating DURA PUF: Insolvency Resolution Process Case Summary GHATGE PATIL: CARE Keeps D Debt Ratings in Not Cooperating JAI GURUDEV: CARE Keeps C Debt Rating in Not Cooperating Category JAI MATA: CARE Keeps C Debt Rating in Not Cooperating Category JSW HYDRO: Fitch Affirms 'BB+' Rating on USD707MM Sr. Secured Notes KARPAGAMOORTHY AUTO: CARE Keeps C Debt Rating in Not Cooperating KHATTAR EDIBLES: CARE Lowers Rating on INR6.52cr LT Loan to B+ LAKSHMI BALAJI: CARE Keeps B- Debt Rating in Not Cooperating MACNEILL ENGINEERING: CARE Lowers Rating on INR35cr LT Loan to B MKR POULTRY: CARE Keeps B- Debt Rating in Not Cooperating Category OCEAN HEALTHCARE: CARE Keeps D Debt Rating in Not Cooperating RANGOTSAV SAREES: CARE Keeps D Debt Rating in Not Cooperating SAECO STRIPS: CARE Lowers Rating on INR6.50cr LT Loan to B SAI SRINIVASA: CARE Keeps B- Debt Rating in Not Cooperating SANGA BUILDERS: CARE Keeps D Debt Ratings in Not Cooperating SECURA DEVELOPERS: CARE Assigns C Rating to INR37cr LT Loan SETH CONSTRUCTION: CARE Keeps C/A4 Debt Ratings in Not Cooperating SIDDHIVINAYAK TIMBER: CARE Keeps D Debt Rating in Not Cooperating SPM WEAVING: CARE Keeps D Debt Rating in Not Cooperating Category SRIVENKATESHWAR TRADEX: Liquidation Process Case Summary SUMMIT CORPORATION: CARE Keeps D Debt Ratings in Not Cooperating SUPERFINE BLEACHING: CARE Keeps C Debt Rating in Not Cooperating TATHVA PROJECTS: CARE Keeps C Debt Rating in Not Cooperating VARIETY POLYESTERS: CARE Lowers Rating on INR6cr LT Loan to C VASAVI POWER: CARE Keeps D Debt Ratings in Not Cooperating VIDARBHA INDUSTRIES: NCLT OKs Adani Power's Acquisition Proposal VITRA INDIA: CARE Lowers Rating on INR3.04cr LT Loan to B- WEAR WELL: CARE Moves D Debt Ratings to Not Cooperating Category J A P A N MARELLI AUTOMOTIVE: Gets Interim OK to Tap $519M Chap. 11 Financing MARELLI HOLDINGS: Davis Polk Advises Mizuho Bank in Chapter 11 M A L A Y S I A 1MDB: Malaysia Drops Money Laundering Charges Against Ex-PM Najib FORMTECH ENGINEERING: Flexidynamic Buys Loss-Making Company GREENPRO CAPITAL: Closes $500,000 Private Stock Offering N E W Z E A L A N D DIRT MASTERS: Court to Hear Wind-Up Petition on July 11 GOLDEN BULLS: Court to Hear Wind-Up Petition on July 10 KIND & GENTLE: Reynolds & Associates Appointed as Liquidator ROD & SARAH: Creditors' Proofs of Debt Due on Aug. 10 VSG LIMITED: Reynolds & Associates Appointed as Liquidator S I N G A P O R E AKS TECH: Court Enters Wind-Up Order GOLDEN ENERGY: Fitch Affirms B+ LT IDR, Alters Outlook to Neg. LARKSPUR PTE: Creditors' Proofs of Debt Due on July 14 M5 EQUIPMENT: Placed in Interim Judicial Management RED SCHOOLHOUSE: First Creditors' Meeting Set for July 3 SINGAPORE INTEGRATED: Creditors' Proofs of Debt Due on July 16 - - - - - ================= A U S T R A L I A ================= COPPER RESOURCES: Second Creditors' Meeting Set for June 27 ----------------------------------------------------------- A second meeting of creditors in the proceedings of Copper Resources Australia Pty Ltd has been set for June 27, 2025, at 12:00 p.m. via virtual meeting technology. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by June 26, 2025 at 4:00 p.m. Thomas Donald Birch, Jeremy Joseph Nipps & Stephen Earel of Cor Cordis was appointed as administrator of the company on Nov. 21, 2024. GUMTREE INDUSTRIAL: Cliffwater Marks $8.1MM 1L Loan at 38% Off -------------------------------------------------------------- Cliffwater Corporate Lending Fund (CCLFX) has marked its $8,166,885 Australian dollar loan extended to Gumtree Industrial Services Bidco Pty. Limited to market at $5,034,627 Australian dollar or 62% of the outstanding amount, according to CCLFX's Form N-CSR for the fiscal year ended March 31, 2025, filed with the U.S. Securities and Exchange Commission. CCLFX is a participant in a First Lien Term Loan to Gumtree Industrial Services Bidco Pty. Limited. The loan accrues interest at a rate of 9.11% per annum. The loan matures on March 31, 2034. CCLFX is a Delaware statutory trust registered under the Investment Company Act of 1940, as a closed-end management investment company operating as an interval fund. The Fund operates under an Agreement and Declaration of Trust, as most recently amended and restated on September 15, 2021. The Fund operates as a diversified fund, which means that at least 75% of the value of its total assets is represented by cash and cash items, government securities, securities of other investment companies, and other securities for the purposes of this calculation limited in respect of any one issuer to an amount not greater than 5% of the value of the total assets of the Fund and to not more than 10% of the outstanding voting securities of such issuer. Cliffwater LLC serves as the investment adviser of the Fund. CCLFX is led by Stephen Nesbitt, President and Principal Executive Officer, and Lance J. Johnson as Principal Financial Officer. The Fund can be reach through: Stephen Nesbitt Cliffwater Corporate Lending Fund 235 West Galena Street Milwaukee, WI 53212 Telephone: (414) 299-2000 About Gumtree Industrial Gumtree Industrial Services Bidco Pty. Limited is a private Australian company engaged in providing investment services. HAPPY LIFE: Second Creditors' Meeting Set for June 27 ----------------------------------------------------- A second meeting of creditors in the proceedings of Happy Life Care Pty Ltd has been set for June 27, 2025, at 11:00 a.m. via teleconference. 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 26, 2025 at 4:00 p.m. Mohammad Najjar of Vanguard Insolvency Australia was appointed as administrator of the company on May 22, 2025. HI VOLTAGE: First Creditors' Meeting Set for June 30 ---------------------------------------------------- A first meeting of the creditors in the proceedings of Hi Voltage Enterprises Pty Ltd, Australian Logistics Holdings Pty Ltd, and Property Express (W.A.) Pty Ltd will be held on June 30, 2025 at 11:00 a.m. via teleconference. David Hodgson and Andrew Hewitt of Grant Thornton Australia were appointed as administrators of the company on June 18, 2025. LNS CORPORATION: First Creditors' Meeting Set for June 30 --------------------------------------------------------- A first meeting of the creditors in the proceedings of LNS Corporation Pty Ltd (trading as The Kauphy Place) will be held on June 30, 2025 at 2:00 p.m. via electronic means. Stephen Dixon of Hamilton Murphy Advisory was appointed as administrator of the company on June 18, 2025. METRO FINANCE 2023-2: Moody's Hikes Rating on Class F Notes to Ba3 ------------------------------------------------------------------ Moody's Ratings has upgraded the ratings on four classes of notes issued by two Metro Finance ABS. The affected ratings are as follows: Issuer: Metro Finance 2022-2 Trust Class D Notes, Upgraded to A1 (sf); previously on Jul 29, 2024 Upgraded to A2 (sf) Issuer: Metro Finance 2023-2 Trust Class B Notes, Upgraded to Aa1 (sf); previously on Oct 5, 2023 Definitive Rating Assigned Aa2 (sf) Class D Notes, Upgraded to A3 (sf); previously on Jul 29, 2024 Upgraded to Baa1 (sf) Class F Notes, Upgraded to Ba3 (sf); previously on Oct 5, 2023 Definitive Rating Assigned B1 (sf) A comprehensive review of all credit ratings for the transactions has been conducted during a rating committee. RATINGS RATIONALE The upgrade for Metro Finance 2022-2 Trust was prompted by Moody's revised performance assumption reflecting the good collateral performance to date. The upgrades for Metro Finance 2023-2 Trust were prompted by an increase in credit enhancement available for the affected notes and good performance of the collateral to date. No action was taken on the remaining rated classes in the deals as credit enhancements for these classes remain commensurate with the current ratings. Metro Finance 2022-2 Trust Following the May 2025 payment date, the note subordination available for the Class D Notes was unchanged at 9.3%, from the time of the last rating action for this class of notes in July 2024. Principal collections have been distributed on a pro-rata basis among all the notes since the June 2024 payment date. Current total outstanding notes as a percentage of the total closing balance is 36.4%. As of end-April 2025, 1.2% of the outstanding pool was 30-plus day delinquent and 0.4% was 90-plus day delinquent. The portfolio has incurred 0.6% (as a percentage of the original pool balance) of gross losses to date, which have been covered by excess spread. Based on the observed performance to date and loan attributes, Moody's have lowered Moody's expected default assumption to 2.1% of the current pool balance (equivalent to 1.3% of the original pool balance) from 2.25% of the outstanding pool balance (equivalent to 1.4% of the original pool balance) at the last rating action in July 2024. Moody's have also updated Moody's Aaa portfolio credit enhancement (PCE) assumption to 13.5% from 15.0%, and recovery rate assumption to 40% from 35%. Metro Finance 2023-2 Trust Following the May 2025 payment date, the note subordination available for the Class B and Class F Notes has increased to 13.0% and 2.6% respectively, from 8.5% and 1.7% at closing. Note subordination for the Class D Notes has increased to 6.7% from 5.6% at the time of the last rating action for this class in July 2024. Principal collections have been distributed on a pro-rata basis among the rated notes since the February 2025 payment date. Current total outstanding notes as a percentage of the total closing balance is 57.1%. As of end-April 2025, 1.3% of the outstanding pool was 30-plus day delinquent and 0.4% was 90-plus day delinquent. The portfolio has incurred 0.3% (as a percentage of the original portfolio balance) of gross losses to date, all of which have been covered by excess spread. Based on the observed performance to date and loan attributes, Moody's have lowered Moody's expected default assumption to 2.1% of the current pool balance (equivalent to 1.5% of the original balance) from 2.2% of the outstanding pool balance (equivalent to 1.75% of the original balance) at the last rating action in July 2024. Moody's have also updated Moody's PCE assumption to 13.5% from 15.0%, and recovery rate assumption to 40% from 35%. Moody's analysis has also considered various scenarios involving different mean default rates and PCE to evaluate the resiliency of the note ratings. The transactions are cash securitisation of auto loans and leases originated by Metro Finance Pty Limited and extended to prime commercial obligors located in Australia. The principal methodology used in these ratings was "Moody's Global Approach to Rating Auto Loan- and Lease-Backed ABS" published in August 2024. Factors that would lead to an upgrade or downgrade of the ratings: Factors that could lead to an upgrade of the ratings include (1) performance of the underlying collateral that is better than Moody's expectations, and (2) an increase in the notes' available credit enhancement. Factors that could lead to a downgrade of the ratings include (1) performance of the underlying collateral that is worse than Moody's expectations, (2) a decrease in the notes' available credit enhancement, and (3) a deterioration in the credit quality of the transaction counterparties. MYOB GROUP: S&P Affirms 'B-' ICR, Alters Outlook to Stable ---------------------------------------------------------- On June 19, 2025, S&P Global Ratings revised its outlook on Australia-based MYOB Group Co. Pty Ltd. to stable from negative and affirmed its 'B-' issuer credit rating. S&P then withdrew the rating on MYOB at the company's request. The outlook revision to stable reflects MYOB's refinancing of its first-lien term loans. S&P believes MYOB's refinancing and liquidity risks have eased, given the refinancing of about A$1.2 billion equivalent in first-lien term loans. Maturities on these loans have been extended to June 2030 from May 2026. In addition to the refinancing, MYOB also upsized its revolving credit facility to A$72.5 million and extended the tenor to December 2029. The company secured mezzanine funding to finance the remaining A$135 million Flare acquisition earn-out due in April 2026. S&P said, "The stable outlook at the time of withdrawal reflected our expectation that MYOB's earnings would continue to improve due to product augmentation and incremental earnings from acquisitions made in recent years. While the company has materially deleveraged in recent years, we still consider it to be constrained by its highly leveraged balance sheet." NO ENDS: First Creditors' Meeting Set for June 26 ------------------------------------------------- A first meeting of the creditors in the proceedings of No Ends Pty Limited will be held on June 26, 2025 at 10:00 a.m. via Microsoft Teams. Amanda Lott of ACRIS was appointed as administrator of the company on June 16, 2025. REDZED TRUST 2024-2: Fitch Affirms 'B+sf' Rating on Class F Notes ----------------------------------------------------------------- Fitch Ratings has upgraded one note class and affirmed five from RedZed Trust Series 2024-2. The upgrade of class E notes to 'BB+sf', from 'BBsf', follows the build-up of credit enhancement, which more than compensates for the increased arrears affecting the transaction's Fitch-calculated foreclosure frequency. The Outlook is Stable for all notes. The transaction is backed by a pool of first-ranking Australian conforming and non-conforming residential full- and low-documentation mortgage loans originated by RedZed Lending Solutions Pty Limited. The notes were issued by Perpetual Trustee Company Limited in its capacity as trustee of RedZed 2024-2. Entity/Debt Rating Prior ----------- ------ ----- RedZed Trust Series 2024-2 A AU3FN0090296 LT AAAsf Affirmed AAAsf B AU3FN0090304 LT AAsf Affirmed AAsf C AU3FN0090312 LT Asf Affirmed Asf D AU3FN0090320 LT BBBsf Affirmed BBBsf E AU3FN0090338 LT BB+sf Upgrade BBsf F AU3FN0090346 LT B+sf Affirmed B+sf KEY RATING DRIVERS Asset Performance: The transaction's 30+ day arrears stood at 6.1% as at end-May 2025, above Fitch's 4Q24 non-conforming Dinkum RMBS Index of 4.93%. The 90+ day arrears ratio was 1.8%, below the index's 2.52%. The high arrears are partially due to persistent inflation that has pressured borrowers' repayment capacity. There have been no losses to date. The 'AAAsf' weighted-average (WA) foreclosure frequency is 21.6%, driven by the foreclosure frequency floor applied to loans in arrears, WA unindexed current loan-to-value (LTV) ratio of 65.6%, self-employed borrowers comprising 96.1% of the pool, low documentation loans making up 92.1% and, under Fitch's methodology, non-conforming and investment loans comprising 14.9% and 41.2%, respectively. The 'AAAsf' WA recovery rate of 57.8% is driven by the portfolio's WA indexed scheduled LVR of 62.7%. Credit Enhancement Supports Ratings: The transaction has built up credit enhancement through sequential principal repayment since closing. This has offset elevated arrears and supports the current ratings in the cash flow model. The transaction will switch to pro rata payment when the principal step-down test is satisfied. Liquidity Risk Mitigation: The transaction benefits from a liquidity facility sized at 1.5% of the invested note balance, excluding class G, with a floor of AUD600,000. This is sufficient to mitigate Fitch's payment interruption risk. Additional structural features include retention and amortisation mechanisms that redirect excess income to repay the notes' principal balance. The retention amortisation mechanism has been fully applied, with the retention ledger balance currently at AUD500,000. Low Operational and Servicing Risk: Established in 2006, RedZed is an experienced specialist lender for self-employed borrowers. Fitch conducted an operational review and found that the operations of the originator and servicer were comparable with market standards. Tight Labor Market Supports Outlook: Portfolio performance is supported by Australia's continued economic growth and a tight labor market. GDP growth reached 1.3% year-on-year in March 2025, and unemployment stood at 4.1% in April 2025. Fitch expects GDP growth to rise to 1.7% in 2025 and 1.9% in 2026, with unemployment at 4.3% and 4.2% in 2025 and 2026, respectively. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Transaction performance may be affected by changes in market conditions and the economic environment. Weakening asset performance is strongly correlated with increasing delinquencies and defaults, which could reduce credit enhancement available to the notes. Downgrade Sensitivities Unanticipated increases in the frequency of defaults could produce loss levels higher than Fitch's base case and are likely to result in a decline in credit enhancement and remaining loss-coverage levels available to the notes. Decreased credit enhancement may make certain note ratings susceptible to negative rating action, depending on the extent of coverage decline. Hence, Fitch conducts sensitivity analysis by stressing a transaction's initial base-case assumptions. Fitch stresses the recovery rate to isolate the effect of a change in recovery proceeds at the borrower level. RedZed Trust Series 2024-2 Notes: A / B / C / D / E / F Current rating: AAAsf / AAsf / Asf / BBBsf / BB+sf / B+sf Increase defaults by 15%: AA+sf / AAsf / A-sf / BBB-sf / BBsf / B+sf Increase defaults by 30%: AA+sf / AA-sf / BBB+sf / BB+sf / BB-sf / Bsf Reduce recoveries by 15%: AAAsf / AAsf / Asf / BBBsf / BB+sf / B+sf Reduce recoveries by 30%: AAAsf / AAsf / Asf / BBBsf / BB+sf / B+sf Increase defaults by 15% and reduce recoveries by 15%: AA+sf / AAsf / A-sf / BBB-sf / BBsf / B+sf Increase defaults by 30% and reduce recoveries by 30%: AA+sf / AA-sf / BBB+sf / BB+sf / BB-sf / Bsf 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 credit enhancement that would fully compensate for credit losses and cash flow stresses commensurate with higher rating scenarios, all else being equal. Upgrade sensitivities are not relevant for the class A notes, as they are rated at the highest level on Fitch's rating scale. However, results for the remaining rated notes are as follows: Upgrade Sensitivities: RedZed Trust Series 2024-2 Notes: B / C / D / E / F Current rating: AAsf / Asf / BBBsf / BB+sf / B+sf Reduce defaults by 15% and increase recoveries by 15%: AA+sf / A+sf / BBB+sf / BB+sf / BB-sf The upgrade sensitivity of the class E and F notes, if defaults are decreased and recoveries are increased by 15%, is constrained by the large obligor concentration test by one notch to the upgrade sensitivity ratings at 'BB+sf' for class E and 'BB-sf' for class F. Prepayments to the loans with the largest obligor exposure, which results in the notes passing Fitch's concentration test, could lead to positive rating action for the notes, all else being equal. 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 the transaction. Fitch has not reviewed the results of any third-party assessment of the asset portfolio information 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 this 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. 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. SURFSTITCH PTY: Nike Seeks Wind-Up Order Against Company -------------------------------------------------------- SmartCompany reports that sportswear giant Nike Australia is pursuing a winding-up order against SurfStitch Pty Ltd, which has fallen into administration after the reported sale of SurfStitch's brand, business, and assets. The fresh legal action and administration add another unusual twist to the story of SurfStitch, which has collapsed into administration and re-emerged once before, SmartCompany says. Nike Australia, which offered sneakers, clothing, and accessories through the now-shuttered SurfStitch website, initiated court proceedings against SurfStitch Pty Ltd on May 20, according to SmartCompany. The exact substance of Nike Australia's claim against SurfStitch Pty Ltd is not yet clear. The first Supreme Court hearing is scheduled to take place in Melbourne on July 2, SmartCompany says citing a notice published by the Australian Securities and Investments Commission (ASIC). That legal challenge will be complicated by the fact SurfStitch Pty Ltd collapsed into administration two weeks after Nike Australia launched wind-up proceedings. Further ASIC documents show Surfstitch Pty Ltd appointed administrators Edwin Narayan and Domenic Calabretta, of Mackay Goodwin, on June 6, SmartCompany discloses. A first meeting of creditors took place on June 19. According to SmartCompany, the Surfstitch Pty Ltd administration comes after former corporate owners, Alquemie Group, announced the sale of the SurfStitch business and brand to an unknown buyer. The Australian Financial Review broke the news on May 20, revealing Alquemie Group sold SurfStitch, along with fashion label Ginger & Smart, to the same acquirer. The terms of that deal were not publicly disclosed, with an Alquemie Group spokesperson telling SmartCompany the transaction was conducted on a confidential basis. Domenico Alessandro Calabretta and Edwin Narayan of Mackay Goodwin were appointed as administrators of the company on June 6, 2025. ========= C H I N A ========= CHINA EVERGRANDE: Lui's Ex-Wife Spent Millions on Homes as Co Sank ------------------------------------------------------------------ Bloomberg News reports that the ex-wife of China Evergrande Group's chairman spent millions on luxury apartments in London, nine months after the developer defaulted on its loans. While a court document in January unveiled her ownership of 33 units at the high-end residential development Thames City, it didn't include the timing of the purchase. The properties worth GBP49.8 million ($67 million) were acquired in September 2022, according to data compiled by Bloomberg News based on UK land registry filings. That's almost a year after Chinese authorities asked Evergrande Chairman Hui Ka Yan to pay debt with his personal wealth. Ding Yumei holds the homes through five British Virgin Islands companies, Bloomberg notes. She has hired Jones Lang LaSalle (JLL) as a letting and management agent, according to a UK court filing in January. The 68-year-old is living in one of the most expensive homes she purchased, worth GBP5.4 million, with two of her children and two grandchildren, Bloomberg relates citing court filings. She was no longer listed as a spouse of Hui in Evergrande's filing in August 2023, while it's unclear when the two divorced. According to Bloomberg, the properties add to a list of more than $350 million global assets that Ding amassed, including a record-breaking mansion at the heart of London in 2020 and other ones in Vancouver. It underscores the challenges liquidators face in gaining full view of the assets held by Hui and his confidantes, and the obstacles to asserting control across multiple jurisdictions. Once Asia's second richest, Hui and Evergrande exemplify China's real estate boom and bust. His sprawling empire was forced into liquidation in 2024, as China's property meltdown continued into a fourth year. Last year, JLL sought permission from the Business and Property Courts of England and Wales to continue managing Ding's properties, following an injunction issued against her - a request that was granted by a UK judge, Bloomberg recalls. The move came after courts in both Hong Kong and London imposed worldwide asset-freeze injunctions on Ding in July, part of a broader effort to recover $6 billion from her, Hui, and former Evergrande executives. Ding has been told to provide detailed asset disclosure to liquidators in Hong Kong, yet she has delayed the process by applying for confidentiality summons and asking for other technical clarifications, Bloomberg relates. Ding's representatives have argued that she didn't hold a management role in the company and wasn't involved in operations. About China Evergrande China Evergrande Group is an integrated residential property developer. The Company, through its subsidiaries, operates in property development, investment, management, finance, internet, health, culture, and tourism markets. China Evergrande Group, the second largest real estate developer in China, and certain of its affiliates sought creditor protection in the United States under Chapter 15 of the Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 23-11332) on Aug. 17, 2023. Evergrande, widely known as the most leveraged company in the world, and its affiliates are asking the U.S. Bankruptcy Court for the Southern District of New York for recognition of foreign proceedings as "foreign main" proceeding under Chapter 15. Evergrande is in the midst of a highly complex restructuring of around $20 billion in offshore debt. In total, the Company has more than $300 billion in liabilities. Evergrande is incorporated in the Cayman Islands as an exempted company with limited liability, with its principal place of business located at 15th Floor, YF Life Centre, 38 Gloucester Road, Wanchai, Hong Kong. It is subject to a restructuring proceeding entitled In the Matter of China Evergrande Group, concerning a scheme of arrangement between Evergrande and certain Scheme Creditors pursuant to the relevant provisions of the Hong Kong Companies Ordinance (Chapter 622 of the Laws of Hong Kong), currently pending before the High Court of Hong Kong (Case Number HCMP 1091/2023. Affiliate Tianji Holding Limited is incorporated in Hong Kong as a limited liability company, with its principal place of business located at 17th Floor, One Island East, Taikoo Place, 18 Westlands Road, Quarry Bay, Hong Kong. Tianji is subject to a restructuring proceeding entitled In the Matter of Tianji Holding Limited, concerning a scheme of arrangement between Tianji and certain Scheme Creditors, pursuant to the relevant provisions of the Hong Kong Companies Ordinance and currently pending before the Hong Kong Court (Case Number HCMP 1090/2023). Affiliate Scenery Journey Limited is incorporated in the British Virgin Islands as a limited liability company, with its principal place of business located at 2nd Floor Water's Edge Building, Wickham's Cay II, Road Town, Tortola, BVI. Scenery Journey is subject to a restructuring proceeding entitled In the Matter of Scenery Journey Limited, concerning a scheme of arrangement between Scenery Journey and certain Scheme Creditors, pursuant to section 179A of the BVI Business Companies Act, 2004, and currently pending before the High Court of the Eastern Caribbean Supreme Court (Case Number BVIHCOM 2023/0076). U.S. Bankruptcy Judge Michael E Wiles presides over the Chapter 15 proceedings. Sidley Austin is the Hong Kong Counsel to Evergrande and Tianji. Maples BVI is the British Virgin Island Counsel to Scenery Journey. On Jan. 29, 2024, a Hong Kong court ordered the liquidation of China Evergrande Group. Edward Middleton and Tiffany Wong of Alvarez & Marsal were appointed as the liquidators. MERCURITY FINTECH: Plans $800M Bitcoin Treasury Reserve ------------------------------------------------------- Mercurity Fintech Holding Inc. a digital fintech group, announced its plans to raise $800 million to establish a long-term Bitcoin treasury reserve. Through this fundraising effort, MFH aims to leverage its established expertise in blockchain-driven financial infrastructure to strategically acquire and manage Bitcoin assets. The Company also plans to integrate these holdings into its digital reserve framework through blockchain-native custody, staking integration, and tokenized treasury management services. Additionally, through this fundraising effort, the Company intends to systematically build a Bitcoin reserve position and implement an integrated digital asset treasury framework. This will involve deploying institutional-grade custodial infrastructure, blockchain-native liquidity protocols, and staking-enabled capital efficiency tools. The objective is to transition a portion of the Company's treasury into a yield-generating, blockchain-aligned reserve structure that reinforces long-duration asset exposure and balance sheet resilience. "We're building this Bitcoin treasury reserve based on our belief that Bitcoin will become an essential component of the future financial infrastructure," said Shi Qiu, CEO of the Company. "We are positioning our company to be a key player in the evolving digital financial ecosystem." Concurrently, according to FTSE Russell's preliminary 2025 annual reconstitution list, the Company is poised to be included in the broad-market Russell 3000 and Russell 2000 Index, representing an upgrade from its prior classification within the Russell Microcap Index. The index reclassification and upgrade could broaden the Company's exposure to institutional investors, including those managing index-linked and actively managed funds. Furthermore, the Company believes that such inclusion signals to the market that MFH is demonstrating consistent execution capability and growing relevance of its blockchain-based infrastructure strategy within the public markets. "Moving from the Russell Microcap to the Russell 2000 shows that investors recognize the value we are creating in blockchain finance," Qiu added. "Our Bitcoin treasury reserve initiative is the next logical step in this evolution." About Mercurity Fintech Holding Inc. Mercurity Fintech Holding Inc. is a digital fintech company with subsidiaries engaged in distributed computing and financial brokerage. Beyond its core fintech operations, the Company contributes to the advancement of AI hardware technology by delivering secure and innovative solutions in intelligent manufacturing and advanced liquid cooling systems. Its focus on compliance, innovation, and operational efficiency supports its position as a trusted player in both the evolving digital finance space and the AI technology sector. For more information, please visit the Company's website at https://mercurityfintech.com. In an audit report dated April 30, 2025, the Company's auditor, Onestop Assurance PAC, issued a "going concern" qualification, citing that at Dec. 31, 2024, the Company has incurred recurring net losses of $4.5 million and negative cash flows from operating activities of $3.6 million and has an accumulated deficit of $680 million, which raise substantial doubt about its ability to continue as a going concern. As of Dec. 31, 2024, Mercurity Fintech Holding had $35.69 million in total assets, $11.60 million in total liabilities, and $24.09 million in total shareholders' equity. SINO-OCEAN: Adjusts Bond Repayment Terms Amid Liquidity Challenges ------------------------------------------------------------------ TipRanks reports that Sino-Ocean Group Holding Limited has announced adjustments to the repayment arrangements for its subsidiary's corporate bonds, 'H19 Sino-Ocean 1' and 'H19 Sino-Ocean 2'. According to TipRanks, the company has approved resolutions to repay 0.3% of the remaining principal of these bonds within 30 trading days, with a grace period of 30 consecutive trading days to avoid default. Despite ongoing liquidity constraints, Sino-Ocean Holding is actively seeking funds to address its debt issues and protect investor interests, TipRanks relates. About Sino-Ocean Group Sino-Ocean Group Holding Limited, formerly Sino-Ocean Land Holdings Limited, is an investment holding company principally engaged in property development and property investment in the People's Republic of China (the PRC). The Company is engaged in property development in Beijing-Tianjin-Hebei, Northeast, Central and Southern. Once considered one of the stronger names among China's debt-laden developers, Sino-Ocean became a defaulter in September 2023 when it suspended payment on all its offshore borrowings. SUNING.COM: To Sell Carrefour Operating Units for 55 US Cents ------------------------------------------------------------- Yicai Global reports that troubled Chinese retail giant Suning.Com said it would sell its operating subsidiaries of hypermarket chain Carrefour in four cities across China for the symbolic price of CNY4 (55 US cents). Yicai relates that the buyer is a consortium formed by several asset managers for this acquisition, Suning announced. The move aims to alleviate the firm's debt burden and allow it to focus on its main 3C (computers, communications, and consumer electronics) retail business, it added. The four units operate Carrefour supermarkets in eastern Ningbo and Hangzhou, central Zhuzhou, and northeastern Shenyang, Suning noted, adding that they had ceased operations and were burdened by significant debt before the transaction, Yicai relays. Based on preliminary calculations by Suning's finance department, the sale will likely boost the Nanjing-based firm's net profit by around CNY572 million (USD79.7 million) this year, according to the company. The move should also streamline non-core businesses and alleviate debt burden, it added. The Carrefour operating subsidiaries being sold can bring in experienced professional asset management institutions via this deal, thereby initiating effective asset and debt restructuring efforts, Suning, as cited by Yicai, pointed out. Suning unit Suning International acquired 80 percent of Carrefour China for CNY4.8 billion (USD668 million) in September 2019 to achieve synergy between the pair in offline retail outlets, supply chains, and membership data assets, Yicai recalls. It also intended to enhance the digitalization and omnichannel operational capabilities of Carrefour stores, facilitating the implementation of a smart retail strategy. However, Suning began gradually closing Carrefour stores across China starting in 2023 due to changes in the market environment, consumer purchasing habits, and liquidity issues that hindered its ability to provide ongoing financial support to the supermarket chain. Suning.Com Co., Ltd., operates consumer electronic products and appliances sales stores. The Company sells telecommunication equipment, telecommunication components, household appliances, digital equipment, refrigerators, washing machines, and other products. Suning.Com also provides equipment installation and repairing services. ZW DATA: Inks $750K Common Stock Deals With Lock-Up Provisions -------------------------------------------------------------- ZW Data Action Technologies, Inc. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that on May 8, 2025, the Company entered into a Securities Purchase Agreement with Golden Harvest Trust Limited (Business Registration Number: 75554628) in its capacity as trustee of InfiniteReach Investment Group Limited Trust, pursuant to which Golden Harvest agreed to purchase 119,100 shares of common stock of the Company, par value $0.001 per share for an aggregate purchase price of US$250,110, representing a purchase price of US$2.1 per share. The closing shall take place on the date mutually agreed by the parties, subject to the closing conditions contained in the Agreement. On the date that the Agreement 1 was signed, Golden Harvest also entered into a lock-up agreement with the Company, whereby Golden Harvest agreed not to transfer the shares until six-month anniversary of the date of the Agreement 1. On the same date, the Company also entered into a Securities Purchase Agreement with BlackSilver Trust (Hong Kong) Limited (Business Registration Number: 74239285) in its capacity as trustee of the VividHorizon Trust, pursuant to which BlackSilver agreed to purchase 119,100 shares of common stock of the Company, par value $0.001 per share for an aggregate purchase price of US$250,110, representing a purchase price of US$2.1 per share. The closing shall take place on the date mutually agreed by the parties, subject to the closing conditions contained in the Agreement 2. On the date that the Agreement 2 was signed, BlackSilver also entered into a lock-up agreement with the Company, whereby BlackSilver agreed not to transfer the shares until six-month anniversary of the date of the Agreement 2. On May 13, 2025, the Company entered into a Securities Purchase Agreement with Chaucer Investment & Consulting Limited, a Hong Kong business company (Business Registration Number: 50180682), pursuant to which Chaucer agreed to purchase 119,100 shares of common stock of the Company, par value $0.001 per share for an aggregate purchase price of US$250,110, representing a purchase price of US$2.1 per share. The closing shall take place on the date mutually agreed by the parties, subject to the closing conditions contained in the Agreement 3. On the date that the Agreement 3 was signed, Chaucer also entered into a lock-up agreement with the Company, Chaucer agreed not to transfer the shares until six-month anniversary of the date of the Agreement 3. Copies of the securities purchase agreements and the lock-op agreements are attached to the Company's Report on Form 8-K available at https://tinyurl.com/2btb2znd About ZW Data Action Technologies Beijing, China-based ZW Data Action Technologies Inc., established in 2003, is an ecological enterprise that provides digital services to sales and marketing channels through blockchain, big data, and precision marketing. ZW Data Action is committed to empowering SMEs to achieve more efficient and accurate operations and management, resulting in additional value for clients. As of Dec. 31, 2024, the Company had US$9.7 million in total assets, US$6 million in total liabilities, and a total equity of US$3.7 million. Hong Kong, China-based ARK Pro CPA & Co, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 15, 2025, attached to the Company's Annual Report on Form 10-K for the year ended December 31, 2024, citing that the Company has accumulated deficit of $63.5 million from recurring net losses and significant net operating cash outflow for the year ended December 31, 2024. All these factors raise substantial doubt about its ability to continue as a going concern. ================= H O N G K O N G ================= [] HONG KONG: Bankruptcy Petitions Top 900 in May This Year ----------------------------------------------------------- The Standard reports that Hong Kong recorded 949 bankruptcy petitions in May, up 17 percent from the previous month, marking the first time since 2022 that monthly filings exceeded 900, data from the Official Receiver's Office shows. The figure is also 9 percent from a year ago. However, the number of bankruptcy or receiving orders issued by the court dropped to 712 last month, down over 24 percent from April, though still up around 14 percent year-on-year, the Standard relates. Meanwhile, compulsory winding-up petitions climbed to 70, the highest since November last year, representing a near 15 percent increase both monthly and annually, the Standard discloses. Court-issued winding-up orders, however, fell sharply to 38, down more than 42 percent from the previous month and nearly 12 percent from a year earlier, adds the Standard. ========= I N D I A ========= A.N. GASLINES: Insolvency Resolution Process Case Summary --------------------------------------------------------- Debtor: A.N. GASLINES PROJECTS PRIVATE LIMITED Pragati Vihar, Khoda, Noida Gautam Budh Nagar-201301 Gautam Buddha Nagar, KHODA, Uttar Pradesh, India, 201301 Insolvency Commencement Date: May 26, 2025 Estimated date of closure of insolvency resolution process: November 22, 2025 Court: National Company Law Tribunal, Allahabad Bench Insolvency Professional: Mr. Deepak Kumar Agarwal B-27, Sector-47, Gautam Buddha Nagar, Uttar Pradesh, 201301 Email: dkagarwalip@gmail.com Email: cirp.angppl@gmail.com Last date for submission of claims: June 9, 2025 AASMA FOODS: CARE Keeps B- Debt Rating in Not Cooperating Category ------------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of Aasma Foods and Beverages Private Limited (AFBPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 27, 2024, placed the rating(s) of AFBPL under the 'issuer non-cooperating' category as AFBPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. AFBPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 12, 2025, April 22, 2025, May 2, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable Aasma Food & Beverages Private Limited (AFBPL) was incorporated in August 2009 by M.K. Singh, R.P. Singh and Devendra Prasad. Since its inception, the company is into processing of milk products. However, the company was taken over by the current promoters Mr. Ved Prakash Pandey, Mr. Kishan Modi, Mr. Rajendra Prasad Modi and Mrs. Payal Modi with effect from July 11, 2017. The company has been engaged in milk processing and produce milk products like cheese, paneer, butter, ghee, milk pouch, dahi, lassi, milk powder and cream. The processing plant of the company is located at EPIP Industrial Area, Hajipur, Bihar with a processing capacity of 1 lakh tons per annum. The company sells its product under its registered brand i.e. 'Milk Magic' through distributors in the state of Bihar and West Bengal. The company also does job work for Orissa State Cooperative Milk Producers' Federation Limited (OMFED) and earns commission charges from it. AMBAL MODERN: CARE Keeps B- Debt Rating in Not Cooperating ---------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Ambal Modern Rice Mill (AMRM) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 18.75 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 14, 2024, placed the rating(s) of AMRM under the 'issuer non-cooperating' category as AMRM had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. AMRM continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 30, 2025, April 9, 2025, April 19, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable Ambal Modern Rice Mill (AMRM) was established in 2000 as a proprietorship firm. AMRM is engaged in milling and processing of rice. The rice milling unit of the firm is located at Puduvayal, Tamil Nadu. Apart from rice processing, the firm is also engaged in selling off bi-products such as broken rice, husk and bran. The main raw material, paddy, is directly procured from local farmers located in and around Puduvayal District and the firm sells rice and other bi-products in the states of Tamil Nadu, Karnataka, Andhra Pradesh and Manipur. BISUI POULTRY: CARE Keeps D Debt Rating in Not Cooperating ---------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Bisui Poultry Private Limited (BPPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 7.70 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 24, 2024, placed the rating(s) of BPPL under the 'issuer non-cooperating' category as BPPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. BPPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 9, 2025, April 19, 2025, April 29, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Not applicable Incorporated in January 2012, Bisui Poultry Private Limited (BPPL) was promoted by the Bisui family based out of Paschim Medinipur West Bengal. BPPL is engaged in the business of layer poultry farming and involved in sales of eggs and birds. The poultry farm has a total capacity of layer birds is improved from 70,000 to 1,50,000 after completion of expansion project with facilities located at Bankura, West Bengal. DURA PUF: Insolvency Resolution Process Case Summary ---------------------------------------------------- Debtor: M/s. Dura PUF (Silvassa) Private Limited Office No. 323, Floor 2, Mezz Amrut Diamond House, Tata Road No. 1, Near Roxy Cinema, Opera House, Girgaon, Mumbai, Maharashtra - 400004 Insolvency Commencement Date: June 2, 2025 Estimated date of closure of insolvency resolution process: November 28, 2025 (180 Days) Court: National Company Law Tribunal, New Delhi Bench Insolvency Professional: Hans Raj Bhogra 5, Ground Floor, Garg Plaza, Bhera Enclave, Paschim Vihar, Bhatnagar International School, West, New Delhi-110087 Email: hansrajbhogra@gmail.com - and - 203, The Ghatkopar Nilkanth CHS, Jethabhai Lane, Ghatkopar (East), Mumbai 400077 Email: durapufsilvassa.cirp@gmail.com Last date for submission of claims: June 18, 2025 GHATGE PATIL: CARE Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Ghatge Patil Transports Private Limited (GPTPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 7.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 0.06 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated June 18, 2024, placed the rating(s) of GPTPL under the 'issuer non-cooperating' category as GPTPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. GPTPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated May 4, 2025, May 14, 2025 and May 24, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable GPTPL is the flagship company of the Ghatge group and has been operational since 1958 in the name of Ghatge & Patil (Transports) Private Limited. During September 2002, the company was converted into public limited (closely held) and as the name was changed to 'Ghatge Patil Transports Limited'. GPTPL is engaged in logistics; owning fleet of over 360 vehicles with over 300 branches pan India (as on March 31, 2015). Furthermore, under the name of Chetan Motors (Division of GPTPL) the company operates as an authorized auto dealer of Tata Motors Limited (TML). JAI GURUDEV: CARE Keeps C Debt Rating in Not Cooperating Category ----------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Jai Gurudev Food Product (JGFP) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 5.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 1.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated June 12, 2024, placed the rating(s) of JGFP under the 'issuer non-cooperating' category as JGFP had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. JGFP continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 28, 2025, May 8, 2025 and May 18, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Stable Sihora-based (Madhya Pradesh (M.P.)) JGFP was formed on July 17, 2018 as partnership firm by Mr. Nareshkumar Sehajwani and Mr. Inderkumar Sehajwani. The firm is currently into trading of rice and is envisaging to foray into manufacturing and processing of paddy and rice. The total cost of project was envisaged at Rs.4.70 crore (excluding working capital margin) to be funded via debt-equity mix of 1.14:1.00 times, while JGFP has completed 95% of its project till March 31, 2019. JGFP's processing unit is situated at Pherewa, Sihora, Madhya Pradesh having installed capacity of 38,400 Metric Tonne Per Annum (MTPA) for rice processing as on March 31, 2019. Commercial operations of JGFP's manufacturing facility was expected to commence from April, 2019. JGFP envisages procuring paddy from local traders of M.P. and Uttar Pradesh (U.P.) and will sell the parboiled rice domestically within India. JAI MATA: CARE Keeps C Debt Rating in Not Cooperating Category -------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Jai Mata Di Paper Mills Private Limited (JMDPMPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 10.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 15, 2024, placed the rating(s) of JMDPMPL under the 'issuer non-cooperating' category as JMDPMPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. JMDPMPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 31, 2025, April 10, 2025, April 20, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable Jai Mata Di Paper Mills Private Limited (JMDPMPL) incorporated in September 2008, was promoted by one Sharma family of Raipur. JMDPMPL is engaged in the manufacturing of Kraft paper with an installed capacity of 13,200 MTPA. The manufacturing facility of the company is located near Bilaspur in Chhattisgarh. The day-to-day affairs of the company are looked after by Mr. S B Sharma, Director, with adequate support from other director- Mr. Aditya Sharma. JSW HYDRO: Fitch Affirms 'BB+' Rating on USD707MM Sr. Secured Notes ------------------------------------------------------------------- Fitch Ratings has affirmed India-based JSW Hydro Energy Limited's USD707 million senior secured notes due 2031 at 'BB+'. The Outlook is Stable. The notes were issued directly by JSW Hydro, an indirectly fully owned subsidiary of JSW Energy Limited, which owns two operational hydropower projects. The 1,091 megawatt (MW) Karcham Wangtoo (KW) hydro power plant on the Satluj river and the 300MW Baspa II (B2) plant on the Baspa river are in the Indian state of Himachal Pradesh. RATING RATIONALE The rating reflects the credit quality of the hydropower project portfolio, supported by a robust cost-plus regulatory framework with no hydrology risk for the developer. KW has contracted a large part of its capacity with PTC India Limited, which is owned by various central-government entities, at a low tariff, and B2 has contracted most of its capacity with the Himachal Pradesh State Electricity Board Limited (HPSEBL). The rating is constrained at 'BB+' due to uncertainty around the terms and conditions of future debt refinancing and the systemic risk from its exposure to state-owned power distribution companies (discoms), even though the project portfolio's financial profile is stronger than that commensurate for a 'BB+' credit assessment. KEY RATING DRIVERS Established In-House O&M Team - Operation Risk: Midrange JSW Hydro uses conventional commercially proven technology with a capacity-weighted operating history of around 15.5 years. An inhouse operation and maintenance (O&M) team runs the plants. Both plants are well-maintained with consistent operating performance. Replacement contractors are available, and spare parts are carefully managed given the plants' remoteness. The assessment is constrained to 'Midrange' as operating cost forecasts are not validated by an independent technical advisor and a maintenance reserve account is not included in the bond's terms. JSW Hydro subscribes to comprehensive industrial all-risk insurance, which provides adequate coverage against losses from business interruption. No Hydrology or Curtailment Risk - Revenue Risk (Volume): Stronger JSW Hydro's regulated business model supports its credit profile, ensuring profitability over the medium term as long as projects are available, irrespective of actual off-take. Each plant's fixed costs are payable by the customer if JSW Hydro achieves regulatory benchmark availability, which is set at a plant availability factor (PAF) of 90% for the current regulatory period. There is no hydrology risk, as the contracts allow for any shortfall in energy charges due to non-operational issues to be recovered in the following year. Both projects have exceeded the design energy generation (P90 equivalent approved by authorities) in most of their operating years. Curtailment risk is limited given take-or-pay contracts and the must-run status of the plants. Prices Support Revenue Recovery - Revenue Risk (Price): Stronger Fitch assesses price risk as 'Stronger' because tariffs have a limited impact on profit as long as availability is maintained. The plants also operate under an established tariff-setting framework. JSW Hydro's two-part, cost-plus tariff structure provides for fixed-price payments based on available capacity to cover O&M costs, depreciation, loan interest, taxes and a regulated return on equity. It also allows normalised variable costs to be passed on to off-takers. JSW Hydro contracts its saleable capacity, excluding free power of 12%, to PTC and state-owned HPSEBL. KW has take-or-pay long-term agreements with PTC, which is one of India's largest power traders, while B2 is contracted with state-owned HPSEBL. PTC then sells the energy to four state-owned discoms. Bullet Debt, Ringfenced Structure - Debt Structure: Midrange Fitch assesses the debt structure as 'Midrange' due to the bond's bullet structure. However, refinancing risk is mitigated by a mandatory cash sweep and cash lock-up for about 57% of principal under its rating case. The remaining refinancing risk is low, given the remaining life of the hydro projects and the issuer's good access to banks and capital markets. Noteholders are protected by the ringfenced structure and covenants. The bond pays fixed interest rates, but the other covenants are primarily 'Midrange', including a lock-up test at the backward-looking graded debt service coverage ratio (DSCR) and a six-month debt service reserve account. No additional indebtedness is allowed other than a working-capital basket of USD55 million. Risks arising from the US dollar and Indian rupee exchange rate are mitigated through hedging arrangements. The bond is directly issued by JSW Hydro. Financial Profile Fitch assumes JSW Hydro will refinance its bullet bond upon maturity with debt that will fully amortise over the remaining life of the power purchase agreements (PPAs). Fitch also assumes a higher refinancing interest rate, reflecting the uncertainty at the time of maturity in 2031. Fitch focuses on the average DSCR over the refinancing period until the end of the PPAs, given the bullet structure. Its base case includes full design energy, secondary energy production assumptions and plant availability at around 98%, in line with the long-term operational history. Fitch has assumed the KW project will supply 12% free power to the state government, in line with the Himachal Pradesh High Court's recent judgment on free power to the state. Fitch has applied a 15% stress on the provisional amount of tariff true-up liabilities carried forward by management into the financial year ending March 2026 (FY26) of INR0.47 billion and assumed that the settlement will occur within FY26. Its base case generates an average annual DSCR of 2.09x during the FY32-FY46 refinancing period. Its rating-case production assumptions include design energy production, a 50% production haircut on secondary energy from the base case and 90% plant availability, in line with the minimum required availability. Fitch also applies a 15% stress on operating expenses and, despite the pass-through nature of the tariff, an additional 5% of the operating and maintenance stress to be absorbed without pass through. Fitch reduces return on equity by 0.2% at each five-year tariff determination period to account for revised tariff-calculation regulations, and tariff true-up liabilities' provisions and settlements are similar to those in the base case. The assumptions generate an average annual DSCR of 1.77x under Fitch's rating case, combined with a higher refinancing rate. PEER GROUP The most active region in terms of hydropower projects is Latin America, with Brazil featuring a number of such rated projects. However, these peers are not comparable with JSW Hydro, as they are rated on National Rating scales. JSW Hydro can be compared with Xayaburi Power Company Limited (XPCL, senior unsecured rating: B+(EXP)/Stable). XPCL operates a 1,285 MW run-of-the-river hydropower plant on Laos's Mekong River. XPCL faces hydrology risk, restricting its volume risk assessment to 'Midrange', whereas JSW Hydro is 'Stronger' owing to its regulated business model that ensures medium-term profitability if its projects remain available, regardless of actual off-take. XPCL's rating case DSCR is 1.15x, against 1.77x for JSW Hydro. JSW Hydro has a robust financial profile, but its rating is constrained by uncertainty around the terms of future debt refinancing and systemic risk from its exposure to state-owned power discoms, justifying a three-notch rating difference with XPCL. JSW Hydro can also be compared to Continuum Green Energy (India) Private Limited's senior secured notes (Continuum RG2, senior secured rating: BB+ / Stable). Continuum RG2 has a renewable energy portfolio comprising wind (78%) and solar (22%) projects. Both JSW Hydro's and Continuum RG2's restricted groups have a better financial profile than their individual ratings. However, JSW Hydro's ratings are capped at 'BB+' due to the uncertainty around the terms and conditions of its future debt refinancing and the systemic risk from the ultimate exposure to state-owned power discoms. Continuum RG2's rating is capped at 'BB+' due to uncertainty around the debt refinancing and the exposure to revenue uncertainty over the longer term arising from renewal terms for maturing contracts and PPAs, the future discom commercial and industrial (C&I) tariff and open access charges applicable for C&I projects. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Average annual DSCR in Fitch's rating case dropping to below 1.3x on a sustained basis. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Fitch does not expect a rating upgrade in the near term, given uncertainty around the terms and conditions of future debt refinancing and the systemic risk from its ultimate exposure to state-owned power discoms. TRANSACTION SUMMARY JSW Hydro has two operational run-of-the-river hydro projects, KW and B2, in Himachal Pradesh. The issuance is a USD707 million 10-year senior secured note, with proceeds used to refinance initial Indian rupee debt. CREDIT UPDATE JSW Hydro's overall plant availability factor (PAF) in FY25 was around 95.7%, against 97.1% in FY24. This remained well above the normative PAF of 90%, which is the key operating performance parameter based on the capacity charge - 50% of the annual fixed charge - that is payable to the company irrespective of the actual plant load factor. Aggregate gross generation for the two plants increased in FY25 to 5,903 million units (MUs), from 4,949MUs in FY24, 10.5% above aggregate gross design energy of 5,344MUs. Gross generation in FY25 was around 19% higher than FY24. Total revenue from the two projects in FY25 decreased to INR13.19 billion, from INR15.19 billion in FY24, despite higher generation. This was primarily due to the reversal of a true-up provision of around INR1.74 billion in FY24 for the KW project leading to higher revenue and a reduction in annual revenue requirement in FY25, resulting in a lower tariff. Similarly, the EBITDA margin also decreased to around 81% in FY25 compared with 86% in FY24. Receivable days at the portfolio level decreased to 27 days by FYE25 from 36 days at FYE24. Out of the total uprated capacity of 91MW for the KW project, the company has received approval for the sale of only 45MW from the higher-rated capacity as of March 2024, while evacuation of the remaining capacity is still under the approval process. The true-up liabilities at the beginning of FY26 stood at INR0.47 billion at the company level. 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 ----------- ------ ----- JSW Hydro Energy Limited JSW Hydro Energy Limited/Project Revenues - First Lien/1 LT LT BB+ Affirmed BB+ KARPAGAMOORTHY AUTO: CARE Keeps C Debt Rating in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Sree Karpagamoorthy Automobiles (SKA) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 7.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 24, 2024, placed the rating(s) of SKA under the 'issuer non-cooperating' category as SKA had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SKA continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 9, 2025, April 19, 2025, April 29, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Stable Sree Karapagamoorthy Automobiles was established by Mr. K.R.C.T. Ganesan in the year 2003 and he is the Managing Partner of the firm. The other partners include Mrs. Pandari Boi, Mr. G. Karpaga Manikandan, Ms. G. Karpaga Priyanka. All partners are members of a family and Mr. Ganesan takes care of the affairs of the business. The registered office of the firm is located in Karaikudi, Sivagangai district Tamil Nadu. It has four other branches and one stock yard in Sivagangai and Ramanathapuram districts of Tamil Nadu. The firm is the authorised dealer of TATA motors Limited for Heavy and Light commercial vehicles. The firm's revenue is predominantly attracted from sale of TATA ACE range of models, popularly known as "Chota Hathi". It is also involved in purchase and sale of spare parts, accessories and auxiliary items and services of TATA motor automobiles. The firm purchases vehicles and spare parts directly from TML manufacturing units in Gurgoan, Bangalore, Pantnagar, and Kolkata. KHATTAR EDIBLES: CARE Lowers Rating on INR6.52cr LT Loan to B+ -------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Khattar Edibles Private Limited (KEPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 6.52 CARE B+; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING and Downgraded from CARE BB-; Stable Rationale & Key Rating Drivers CARE Ratings Ltd. (CareEdge Ratings) had, vide its press release dated May 15, 2024, placed the rating(s) of KEPL under the 'issuer non-cooperating' category as KEPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. KEPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 31, 2025, April 10, 2025, April 20, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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 KEPL have been revised on account of non-availability of requisite information. Analytical approach: Standalone Outlook: Stable Kolkata, West Bengal based Khattar Edibles Private Limited (KEPL) was incorporated in September, 2011 and is currently managed by Mr. Deepak Kumar and Mr. Umesh Kumar. The company is engaged in the manufacturing of rusks. The manufacturing process of the company is located in Kushinagar, Uttar Pradesh. The company sells the product under the brand name "Honey Bunny", "Superstar" and "Guddu" to dealers & retailers based in Uttar Pradesh and Bihar. LAKSHMI BALAJI: CARE Keeps B- Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the ratings for the bank facilities of Sree Lakshmi Balaji Industries (SLBI) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 16.53 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 14, 2024, placed the rating(s) of SLBI under the 'issuer non-cooperating' category as SLBI had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SLBI continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 30, 2025, April 9, 2025, April 19, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable Karnataka based, Sree Lakshmi Balaji Industries (SLBI) was established in 2005 as partnership firm by Mr. N. Gopala Krishna and N. Bharathi. SLBI is engaged in milling, processing of rice and is located at Kartagi in Koppal District. Apart from rice processing, the firm is also engaged in selling off its by-products such as broken rice, bran and husk. The firm market its product under the brand name of NGK. Out of the total 85% of the sales are generated from super markets. Total installed capacity of the firm for processing of rice is 4 tons per hour. MACNEILL ENGINEERING: CARE Lowers Rating on INR35cr LT Loan to B ---------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Macneill Engineering Limited (MEL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term Bank 35.00 CARE B; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Downgraded from CARE B+; Stable Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 23, 2024, placed the rating(s) of MEL under the 'issuer non-cooperating' category as MEL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. MEL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 8, 2025, April 18, 2025, April 28, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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 MEL have been revised on account of non-availability of requisite information. Analytical approach: Standalone Outlook: Stable Macneill Engineering Limited (MEL), incorporated in February 1988 is engaged in the manufacturing and sale of material handling equipment. The manufacturing facility of the company is located in West Bengal. The company is also engaged in providing material handling equipment on rent. This apart, it provides services like transportation of materials within the client's premises as well as manpower services. MEL also undertakes annual maintenance and operation contracts for its rented equipment operating at client premises. The day-to day operations of the company are managed by Mr Pradip Churiwal who has experience of more than four decades in the same line of business. MKR POULTRY: CARE Keeps B- Debt Rating in Not Cooperating Category ------------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of MKR Poultry Farm (MPF) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 12.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 13, 2024, placed the rating(s) of MPF under the 'issuer non-cooperating' category as MPF had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. MPF continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 29, 2025, April 8, 2025, April 18, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable M.K.R Poultry farm (MPF) was established in the year 1994 by Mr. Krishna Reddy. The proprietor has more than two decades of experience in poultry business. The firm is engaged in farming of egg, laying poultry birds (chickens) and trading of eggs, cull birds and their Manure. OCEAN HEALTHCARE: CARE Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Ocean Healthcare Private Limited (OHPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 13.10 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 27, 2024, placed the rating(s) of OHPL under the 'issuer non-cooperating' category as OHPL had failed to provide information for monitoring of the rating agreed to in its Rating Agreement. OHPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 12, 2025, April 22, 2025, May 2, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Not applicable Ocean Healthcare Private Limited (OHPL) was incorporated in 2013 and is currently being managed by Mr. Siddharth Baid and Mr. Venkateesh Veera. The company started trial productions in December 2015 with commercial productions from April 2016. OHP is engaged in manufacturing of pharmaceutical formulations which are available in multiple dosage forms including tablets, capsules, gels and dry powder. RANGOTSAV SAREES: CARE Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Rangotsav Sarees Private Limited (RSPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 23.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 27, 2024, placed the rating(s) of RSPL under the 'issuer non-cooperating' category as RSPL had failed to provide information for monitoring of the rating agreed to in its Rating Agreement. RSPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 12, 2025, April 22, 2025, May 2, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Not applicable Rangotsav Sarees Pvt. Ltd. was incorporated by Mr. Narendra Kumar Agarwal in the year 1999. It started under the name of 'Rangbirangee Sarees Pvt. Ltd.', later on changing it to 'Rangotsav Sarees Pvt. Ltd'.The company deals in silk fabrics (crepe and georgette), sarees, fabrics and dress materials. In its initial years of operations, the company was involved in trading activities, but it commenced manufacturing activities in the year 2010 by starting its own factory unit at Kolkata. All activities viz. designing, dyeing, threading and priniting are conducted in-house completely in the factory, without outsourcing any of the activities. RSPL also undertakes job work at its factory for other manufacturers. Trading and manufacturing accord for 70% and 30% share respectively in the business. The company has one retail outlet showroom located at Park Street. The company has its website to facilitate online shopping, ensured by a fully insured delivery process and hassle-free return and refund policy. SAECO STRIPS: CARE Lowers Rating on INR6.50cr LT Loan to B ---------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Saeco Strips Private Limited (SSPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 6.50 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 Limited (CareEdge Ratings) had, vide its press release dated June 6, 2024, placed the rating(s) of SSPL under the 'issuer non-cooperating' category as SSPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SSPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 22, 2025, May 2, 2025 and May 12, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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 bank facilities of SSPL have been revised on account of non-availability of requisite information. Analytical approach: Standalone Outlook: Stable Saeco Strips Private Limited (SSPL) was incorporated in 1995 and commenced its business operations from May 29, 2013. The company is promoted by Mr. Davinder Singh, Mr. Kartar Singh and Mr. Sanraj Paul Singh. The company is engaged in the manufacturing of steel ingots and rounds of different sizes at its manufacturing facility located at Ludhiana, Punjab. From May15, the company has also started manufacturing agricultural implements including rotavator, wheat thrashers, straw reaper and multi crop thrashers. The products manufactured by the company are used in the fasteners industry, automobile industry, agriculture industry and cycle and auto parts industry. Till FY15, SSPL derived majority of its income from its group concern Saeco Steel Rolling Mills (SSRM). SSRM was a partnership firm engaged in manufacturing of steel coils and steel rounds since 1973. The firm's manufacturing activities, however, ceased in Jan-16, with its rolling mill activity being merged with SSP from March 2016. The shifting of rolling mill facilities to SSP has led to forward integration of operations of SSP. SAI SRINIVASA: CARE Keeps B- Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Sri Sai Srinivasa Rice Industries (SSSRI) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 13, 2024, placed the rating(s) of SSSRI under the 'issuer non-cooperating' category as SSSRI had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SSSRI continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 29, 2025, April 8, 2025, April 18, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Stable Sri Sai Srinivasa Rice Industries is established in December 2009. The firm is promoted by T. Nageshwarao and T. Kiran Kumar and their family members. The firm is into rice milling and processing of rice and the promoter has the business vintage of over a decade in the rice milling business. It has total production capacity of 4 M.T per hour. The firm majorly deals in rice, steamed rice, boiled rice, broken rice, rice bran, etc. The firm purchases its raw material i.e. paddy from local farmers and process the paddy in their plant and sells the final product to customers located across Karnataka, Andhra Pradesh and Telangana. SANGA BUILDERS: CARE Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------ CARE Ratings said the ratings for the bank facilities of Sanga Builders Private Limited (SBPL) continue to remain in the 'Issuer Not Cooperating ' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short 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 Limited (CareEdge Ratings) had, vide its press release dated June 14, 2024, placed the rating(s) of SBPL under the 'issuer non-cooperating' category as SBPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SBPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 30, 2025, May 10, 2025 and May 20, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Not Applicable Sanga Builders Private Limited (SBPL) was incorporated in 2007 by Mr Moinuddin Kagzi and Mr Alimuddin Kagzi. The company is engaged development of land and construction activity and generally executes contracts for private players. SBPL also executes contract of housing projects for Army Welfare Housing Organisation (AWHO). SECURA DEVELOPERS: CARE Assigns C Rating to INR37cr LT Loan ----------------------------------------------------------- CARE Ratings has assigned rating to the bank facilities of Secura Developers Private Limited (SDPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 37.00 CARE C Assigned Facilities Rationale and key rating drivers The ratings assigned to the bank facilities of SDPL are constrained by moderate stage of project execution, high dependence on customer advances for project funding, geographical concentration risk and inherent cyclical nature of the real estate industry. The rating is also constrained by the chequered debt servicing in the past, with the last instance in February 2025, post which debt servicing has been satisfactory for past 3 months ended May 2025. The ratings, however, derives comfort from experience of promoters and healthy booking status in the project. Rating sensitivities: Factors likely to lead to rating actions Positive factors * Timely receipt of customer advances improving collection efficiency * Satisfactory completion of the ongoing real estate project within envisaged cost and time parameters * Improvement in liquidity profile leading to improvement in cash coverage ratio Negative factors * Significant time or cost overrun in project execution. * Significantly weakening liquidity due to declining occupancy level, lower collections or incremental debt on rental cashflows. Analytical approach: Standalone Detailed description of key rating drivers: Key weaknesses * Project execution risk due to moderate project progress: SDPL is currently developing its second retail mall project, named "Secura Centre," with 7 floors in Perinthalmanna, Kerala. Construction of the project commenced in February 2023. Total project cost is estimated to be ~INR124.10 crore. As on March 31, 2025, the company has incurred 26% of the total project cost, with moderate construction progress, resulting in significant execution risk. Prior to this project, company had completed its first commercial mall project in Kannur in March 2023 with name "Secura Centre, Kannur". Moderate track record of the company in executing commercial real estate exacerbates the execution risk. * High dependence on customer advances for project funding: The total project cost of INR124.10 crore is proposed to be funded by promoter contribution of INR10 crore, term debt of INR37 crore and customer advances of INR77.10 crore. Although financial closure of the debt portion is achieved, due to high reliance on customer advances (~62% of the total cost) for the project completion, the company will be required to maintain healthy collection efficiency. As of March 31, 2025, the company collected INR35.00 crore against a total sales value of INR67.62 crore and committed receivable coverage ratio stood low at 30%. Any slowdown in sales momentum or collections may force the company to access funds either in form of promoter contribution or debt, which shall deteriorate the company's capital structure and funding pattern. * Inherent cyclical nature of real estate industry and volatility in occupancy: The company is exposed to the cyclicality associated with the real estate sector which has direct linkage with the general macroeconomic scenario, interest rates and level of disposable income available with individuals. In case of the real estate companies, the profitability highly depends on property markets. Companies in the sector are also exposed to regulatory changes. There exists competition from upcoming and completed projects of other developers in the region. The cash inflow from leasing business is susceptible to volatility in occupancy or rent rates caused by economic downturns which could impact the tenants' business risk profile while the operational cash outflow is relatively fixed in nature except for fluctuations in interest rates. Moreover, any termination of leases will impact the cash flow. Key strengths * Experience of promoters: The company is headed by directors Mehaboob MA, Noushad KP, Hamid Hussain KP and Hariz CM. The directors possess more than a decade of experience in real estate sector, including commercial assets like malls which augurs well for the company despite its moderate track record. * Healthy booking status: This project is being developed through a Joint Development Agreement (JDA) and features a total saleable area of 2.02 lakh square feet (lsf), with 1.34 lsf allocated to SDPL as the developer's share. From its share, the company plans to sell 0.76 lsf (122 units) and retain the remainder for leasing. As of March 31, 2025, the company has successfully sold 98 units, covering 0.56 lsf (~74% of the area held for sale) indicating a healthy booking status. The company has been earning a monthly rental income of around INR0.23 crore from its first mall, "Secura Centre, Kannur," which was completed in March 2023. Liquidity: Poor The liquidity stood poor characterised by higher reliance on customer collections to meet the pending cost for its ongoing projects and existing term debt obligations. As of March 31, 2025, the company had receivables amounting to INR32.62 crore and undrawn debt of INR20.45 crore, compared to pending construction costs of approximately INR92 crore. Company has existing monthly repayment obligations of INR0.34 crore for the LRD/working capital borrowings availed on the first mall project "Secura Centre Kannur" (completed in March 2023), against a monthly rental inflow of INR0.23 crore. Timely receipt of customer advances, timely sales of the remaining units and support from promoters is critical to debt servicing. Secura Developers Private Limited (SDPL) is a real estate development company engaged in the development, sale and leasing of commercial malls in tier-2 and tier-3 cities of Kerala under the brand name "Secura Centre". The company has completed one mall in Kannur and development of another project is currently ongoing in Perinthalmanna. The company is promoted by Mehaboob MA, Noushad KP, Hamid Hussain KP and Hariz CM. SETH CONSTRUCTION: CARE Keeps C/A4 Debt Ratings in Not Cooperating ------------------------------------------------------------------ CARE Ratings said the ratings for the bank facilities of Seth Construction Company (SCC) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term/ 15.00 CARE C/CARE A4; ISSUER NOT Short Term COOPERATING; Rating continues Bank Facilities to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated June 14, 2024, placed the rating(s) of SCC under the 'issuer non-cooperating' category as SCC had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SCC continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 30, 2025, May 10, 2025 and May 20, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable Seth Construction Company (SCC) was established in the year 1978 as a partnership firm by Mr. Mannu Seth, Mr. Amit Seth and Mrs. Parveen Seth and is engaged into construction of civil engineering projects such as roads & building construction services. SCC undertakes such activities mainly in Nagpur district, Maharashtra and procures orders through tender bidding process undertaken by Public Works Department (PWD), Maharashtra Irrigation Development Corporation (MIDC) of Govt. of Maharashtra and Military Engineering Services (MES) of Ministry of Defence. SIDDHIVINAYAK TIMBER: CARE Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Siddhivinayak Timber Trading (STT) 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 Limited (CareEdge Ratings) had, vide its press release dated June 14, 2024, placed the rating(s) of STT under the 'issuer non-cooperating' category as STT had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. STT continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 30, 2025, May 10, 2025 and May 20, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable Siddhivinayak Timber Trading (STT) is based out of Nagpur and was established as proprietorship concern in the year 2012 by Mr. Ashwin Patel. STT is engaged in the business of processing and trading of timber logs. The main variety of wood which the firm imports is Teak Wood, termed as commercial wood which is primarily used for interior decoration and furniture. The firm has a saw mill in Kalmana, Nagpur. SPM WEAVING: CARE Keeps D Debt Rating in Not Cooperating Category ----------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Sri SPM Weaving Mills (SSWM) continues to remain in the 'Issuer Not Cooperating' category. 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 Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 10, 2024, placed the rating(s) of SSWM under the 'issuer non-cooperating' category as SSWM had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SSWM continues to be non-cooperative despite repeated requests for submission of information through e-mails dated March 26, 2025, April 5, 2025, April 15, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable Tamil Nadu based, Sri SPM Weaving Mills (SSWM) was established in the year 2015 as a partnership firm. SSWM has its registered office and plant located at M.S. Mangalam (Village), Erode, Tamilnadu with the area covering 3.75 acres. The firm is engaged in manufacturing of grey fabric. SRIVENKATESHWAR TRADEX: Liquidation Process Case Summary -------------------------------------------------------- Debtor: Srivenkateshwar Tradex Pvt. Ltd. AL 61, Local Shopping Complex Shalimar Bagh, Delhi, India, 110088 Liquidation Commencement Date: April 24, 2025 Court: National Company Law Tribunal, New Delhi Bench-II Liquidator: Rajesh Kumar Parakh 5/5l, 2nd Floor, W.E.A. Karol Bagh, New Delhi-110005 Email: parakh.rai esh@gmail.com - and - 608, 6th Floor, New Delhi House, Barakhamba Road, New DelhiI 110001 Email: liq.srivenkateshwar@gmail.com Last date for submission of claims: June 21, 2025 SUMMIT CORPORATION: CARE Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Summit Corporation Private Limited (SCPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.17 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 1.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated June 18, 2024, placed the rating(s) of SCPL under the 'issuer non-cooperating' category as SCPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SCPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated May 4, 2025, May 14, 2025 and May 24, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable Pune-based, Summit Corporation Private Limited (SCPL) was incorporated in the year 2012, formerly known as Bharat J Com India Private Limited, which was incorporated in the year 2006. SCPL is a part of summit group and engaged in the manufacturing of fabricated sheet metal items for engineering and automobile companies. The company also undertakes projects on turnkey basis for companies, which include supply, installation and commissioning assistance, shop fabrication and installation of pressure vessels, installation of storage tanks and others. SUPERFINE BLEACHING: CARE Keeps C Debt Rating in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Superfine Bleaching Company Limited (SBCL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.96 CARE C; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 17, 2024, placed the rating(s) of SBCL under the 'issuer non-cooperating' category as SBCL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SBCL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 2, 2025, April 12, 2025, April 22, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable SBCL is a family-run business promoted by Late Mr Soundappan, under the name M/s Veena Processing Mills Limited (VPML) in 1993. The company was earlier engaged in job work of dyeing both fabric and yarn. Subsequently, during October 2005, the company was renamed SBCL and shifted focus to scouring, bleaching and dyeing of yarn alone. The company presently undertakes only job work in dyeing of yarn for players in and around Tiruppur. The company is presently managed by Mr Ravindran, who represents the third generation of the family in the business. SBCL has an installed capacity of dyeing yarn of 10,120 kgs per day as of June 30, 2015, at Namakkal, Tamil Nadu, operating in two shifts. The company has also established the effluent treatment plant which became operational from September 2014. TATHVA PROJECTS: CARE Keeps C Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the ratings for the bank facilities of Tathva Projects Private Limited (TPPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 0.30 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 4.70 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. (CareEdge Ratings) had, vide its press release dated May 17, 2024, placed the rating(s) of TPPL under the 'issuer non-cooperating' category as TPPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. TPPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 2, 2025, April 12, 2025, April 22, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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). Analytical approach: Standalone Outlook: Not Applicable Tathva Projects Private Limited (TPPL) was incorporated in March, 2006 by Mr R Phaneendra Kumar (Managing Director) and Mr B Srinivas (Director). The company is engaged in the construction activities like layout development works, dredging works, water pipelines works, etc. for private companies. The company has an associate concern; Tathva Developers Private Limited (TDPL) which is also engaged in construction business to which TPPL assigns job work activities of their projects. VARIETY POLYESTERS: CARE Lowers Rating on INR6cr LT Loan to C ------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Variety Polyesters Private Limited (VPPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 6.00 CARE C; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and downgraded from CARE B Short Term Bank 1.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. (CareEdge Ratings) had, vide its press release dated May 17, 2024, placed the rating(s) of VPPL under the 'issuer non-cooperating' category as VPPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. VPPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 2, 2025, April 12, 2025, April 22, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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 VPPL have been revised on account of non-availability of requisite information. Analytical approach: Standalone Outlook: Not Applicable Variety Polyesters Private Limited (VPPL) was incorporated on August 12, 2003. Since inception, VPPL is engaged in undertaking job work of polyester and viscose yarn at an average rate of Rs.30-60 per kg with counts like 30, 40, 60 and 80. The basic raw material is Polyester Staple Fibre and Viscose Staple Fibre procured from Mumbai and Nagpur. VASAVI POWER: CARE Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Vasavi Power Services Private Limited (VPSPL) continue to remain in the 'Issuer Not Cooperating ' category. 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 Short Term Bank 50.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 24, 2024, placed the rating(s) of VPSPL under the 'issuer non-cooperating' category as VPSPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. VPSPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 9, 2025, April 19, 2025, April 29, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings 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). Analytical approach: Standalone Outlook: Not applicable Vasavi Power Services Private Limited (VPSPL) is primarily engaged in the business of ETC (Erection, testing and commissioning) and MRO (Maintenance, repair and overhauls) of power equipment. The company was established as a proprietorship concern, Vasavi Engineering Works, in 1980. In 1982, it was reconstituted as a partnership firm. In 2001, it was reconstituted as a private limited company, under its current name. VIDARBHA INDUSTRIES: NCLT OKs Adani Power's Acquisition Proposal ---------------------------------------------------------------- The Economic Times reports that the Mumbai bench of the National Company Law Tribunal (NCLT) on June 18 approved Adani Power Ltd's acquisition of Vidarbha Industries Power Ltd. Before the tribunal's nod, the secured creditors of the company approved the plan in February 2024. The company has admitted liabilities of INR6,753 crore, and the successful resolution plan has proposed to pay INR4,000 crore to acquire the company. Vidarbha Industries owns a 600-megawatt thermal power plant in Nagpur. The resolution plan received 100% voting share. The tribunal found the plan viable for revival. VITRA INDIA: CARE Lowers Rating on INR3.04cr LT Loan to B- ---------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Vitra India Glass Private Limited (VIGPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long term Bank 3.04 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Downgraded from CARE B; Stable Rationale and key rating drivers CARE Ratings Limited (CareEdge Ratings) had, vide its press release dated May 21, 2024, placed the rating(s) of VIGPL under the 'issuer non-cooperating' category as VIGPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. VIGPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated April 6, 2025, April 16, 2025, April 26, 2025 among others. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CareEdge Ratings' 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 VIGPL have been revised on account of non-availability of requisite information. Analytical approach: Standalone Outlook: Stable Incorporated in 2012, Vitra India Glass Private Limited commenced its operations in December 2015. VIGPL was promoted by Kumar family of Bihar having decade long experience in similar line of business. VIGPL has a state-of-the-art toughened glass plant at its plant located at Srirampur Gaon, Bihta, Danyinwa, Patna. The company sources its major raw materials (i.e. float glass) from Saint-Gobain India Private Limited. This apart, they also source its raw materials from Modiguard, Glod Plus glass Industry Private Limited and Hindustan National Glass Company Limited. Mr Rahul Kumar looks after the day to day operations of the entity with the help of other three directors along with a team of experienced personnel. WEAR WELL: CARE Moves D Debt Ratings to Not Cooperating Category ---------------------------------------------------------------- CARE Ratings has migrated the rating on bank facilities of Wear Well India Pvt. Ltd. (WWIPL) to Issuer Not Cooperating category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 38.29 CARE D ISSUER NOT Facilities COOPERATING; Rating moved to ISSUER NOT COOPERATING category Short Term Bank 46.00 CARE D; ISSUER NOT Facilities COOPERATING; Rating moved to ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Limited. (CareEdge Ratings) has been seeking information from WWIPL to monitor the ratings vide e-mail communications/letters dated June 10, 2025, June 5, 2025, June 2, 2025 and numerous phone calls. However, despite repeated requests, the company has not provided the requisite information for monitoring the ratings. In line with the extant SEBI guidelines, CareEdge Ratings has reviewed the rating on the basis of the best available information which however, in CARE's opinion is not sufficient to arrive at a fair rating. The ratings of Wear Well India Private Limited's bank facilities will now be denoted as CARE D; Issuer Not Cooperating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating) The revision in ratings, factors in non-cooperation by WWIPL and CARE's efforts to undertake a review of the outstanding ratings. CARE considers the non-availability of the information as a key factor in its assessment of credit risk. The ratings for the bank facilities continues to constraint by poor liquidity leading to delay in long term debt servicing, elongated operating cycle, moderate risk profile, exposure to foreign currency fluctuation risk along with susceptibility of margins due to fluctuation in raw material price and highly fragmented nature of industry with intense competition coupled with geographical and customer concentration risk. The ratings, however, derives strengths from experience of promoters with long track record of operations, long established relationship with suppliers and reputed clientele. Analytical approach: Standalone Outlook: Not Applicable Detailed description of key rating drivers: (At the time of last rating on June 20, 2024, the following were the rating strengths and weaknesses) Key weaknesses * Delay in debt servicing in one of the credit facilities availed by the company: As per the Deutsche bank statement of the company, it was observed that there was delay in the repayment of April 2024 month EMI. This has been one off scenario and has never occurred in the last 12 months and even payment for the month of May 2024 and Jun 2024 were made on time. * Elongated operating cycle: The operating cycle of the firm continues to be elongated at 201 days in FY24 (PY: 132 days). The elongation is majorly on account of elongated inventory period of 165 days as at March 31, 2024. The company processes various types of fabrics which requires to maintain stock of different forms of fabrics and allied materials for smooth production process. In addition, the manufacturing process involves printing, embroidery and dyeing leading to work in progress period. Furthermore, the firm has to maintain minimum inventory of its products to meet the demand of its customers resulting in average inventory period of 165 days. The firm offers credit period of around 1-2 month to its customers while receives average credit of around 1 month from the fabric manufacturing mills. The liquidity position of company also remains stretched marked by average working capital utilisation of 95% during last 12 months ending May 31, 2024. * Moderate financial risk profile of the company: The company's operations declined by ~23%, reaching INR125.72 crores in FY24 (Audited; April 1 to March 31), compared to INR161.88 crores in FY23 (Audited; April 1 to March 31). This revenue drop is attributed to reduced sales volumes to existing customers due to a general slowdown in the textile industry, largely driven by the negative demand dynamics stemming from the geopolitical tensions caused by the Ukraine-Russia conflict. The company's profitability margins remained moderate, with the PBILDT margin improving to 8.19% in FY24 from 7.45% in the previous year. However, the profit after tax (PAT) margin decreased to 0.40% from 1.18%. The capital structure of the company also remained moderate year-on-year, with long-term debt-to-equity and overall gearing ratios at 1.23x and 2.67x as of March 31, 2024, compared to 1.37x and 2.70x as of March 31, 2023. The slight improvement in capital structure was primarily due to accretion of profits in the net worth. * Exposure to foreign currency fluctuation risk: The profitability margins of WWIPL are exposed to foreign exchange fluctuation, as the company derives a significant portion of its operating income from exports which comprises almost ~100% of revenue during FY24. Though some procurements are also made from China which comprises roughly 10% of total procurements, it provides a natural hedge to the company to some extent. Further, company also book forward contracts to counter the forex risk. However, since the complete exposure of the company is not hedged, it is exposed to any adverse fluctuation in the foreign exchange prices. Thus, company has booked foreign currency fluctuation gain of INR0.63 crores during FY24. * Susceptibility of margins to raw material price fluctuations: The operations of company are raw material intensive in nature with the material cost constituting ~40% on an average of the total income during the FY24. Major raw material of company includes fabrics which are produced from yarn. The prices of the yarn are fluctuating in nature and the price variation is at times not completely passed on to the customers due to competitive nature of the market. This exposes the margins to any adverse movement in the raw material prices. Although, company books yarn prices with the supplier at the time of order which mitigates risk of yarn prices fluctuations to some extent. In FY25 company also started manufacturing of basic garments which will add value in generating better revenue and margin. This will mitigate the risk of dealing in high end garments. As high end garments took 4 to 6 months in processing and basic garment needs 60-100 days this will reduce the raw material volatility risk also. * Highly fragmented nature of industry with intense competition coupled with geographical and customer concentration risk: Company is engaged in manufacturing and export of garments. Garments manufacturing industry is highly competitive marked by multiple manufacturers within India as well as abroad. Furthermore, company is an exporter wherein ~100% of revenue comprises from exports and company is majorly focussed on UK markets. Due to high geographic concentration, the firm is also exposed to unfavourable changes in the government policy of these countries. Further, top 5 customer comprises ~90% of the total revenue from operations during FY24. The client concentration risk exposes the entities revenue growth and profitability to its customer's future growth plans. However, the company has been getting the repetitive orders for more than a decade from its clients. This long-term and close relationship with its clients is reflective of the firm's demonstrated ability to provide quality products which partially mitigates the concentration risk. Moreover, Company has added the new Buyers in preceding financial year and trying to diverse their operations in US and Brazilian markets as well. Key strengths * Experienced and resourceful promoters with long track record of operations: WWIPL is led by Mr. Bharat Saini and Ms Ishita Sahni who has almost two decades of experience in garment industry. Company is ably supported by a team of professionals who are highly experienced in their respective domains. Furthermore, the promoters of the company are resourceful and have extended continuous financial support to the company in the past by infusing additional funds in the form of unsecured loans to fund various business requirements. The unsecured loans from directors stood at INR4.32 crores as on March 31, 2024 (A), of which INR2.84 crores remain subordinated to the bank loan. * Long established relationship with suppliers and reputed clientele: WWIPL has been operational for almost two decade and has been able to establish relationship with its suppliers and customers. The company is in association with reputed supplier base and procures majority of its raw materials i.e., fabrics directly from mills located in Northern India. Firm has long and established relation with reputed customers like Marks and Spencer's, Zara, Sainsbury Supermarkets Ltd, MV Morrison Supermarkets Plc etc. and they majorly focus on kids' garments which comprises almost 85% of total revenue from operations. They have order in hand of INR~75 crores to be executed by May 31, 2024. Besides that, they have also added few new buyers like Walmart US in FY24 (company has already shipped around 15 crore of orders as on May 31, 2024) and Tchibo, US, Very Group, UK & Rachlo, Brazil in FY25 from whom they are getting regular orders. In FY25 company also started manufacturing of basic garments which will add value in generating better revenue and margin. Liquidity: Poor The company has delays in debt servicing in one of the credit limits availed by the company. Further, its tight liquidity position is evidenced by nearly full utilisation of working capital limits. The company has a total debt repayment obligation of Rs.5.80 crores and 5.29 for FY25 and FY26 respectively, which will be met through the operational cash flow as company is projecting to achieve GCA of ~Rs.6 crore due to better orders expected. The cushion between repayment obligations and gross cash accruals remains very thin which reflects stretched liquidity position. Wear Well India Pvt. Ltd. was incorporated in May 2002 based in New Delhi, India. Company is engaged in manufacturing and exports of mainly woven and knitwear fabrics of women and children wear. The company majorly deals in US and European markets. Major clients include Zara, Marks and Spencer, Sainsbury, Urban Outfitters etc. With over 1500 machines, company has comprehensive in-house facilities and provides a one-stop solution right from designing to sourcing to shipping the finished product. Company operates from two manufacturing units and has installed capacity of 4,00,000 pieces per month. The company is managed by Mr. Bharat Sahni and Ms. Ishita Sahni in the capacity of directors. ========= J A P A N ========= MARELLI AUTOMOTIVE: Gets Interim OK to Tap $519M Chap. 11 Financing ------------------------------------------------------------------- Emily Lever of Law360 Bankruptcy Authority reports that on Thursday, June 12, 2025, a Delaware bankruptcy judge approved Marelli Corp.'s interim request to tap $519 million from its $2 billion debtor-in-possession financing, providing the auto parts supplier with necessary funding as it moves toward a potential debt-for-equity swap that would shift ownership to its DIP lenders. About Marelli Automotive Lighting USA LLC Marelli Automotive Lighting USA LLC is a global automotive parts supplier based in Saitama, Japan. The Company designs and manufactures advanced technologies for leading automakers, including lighting systems, electronic components, software solutions, and interior products. Operating in 24 countries with a workforce of over 46,000, Marelli also collaborates with motorsports teams and industry partners on high-performance component development. Marelli Automotive Lighting USA LLC and affiliates sought relief under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 25-11034) on June 11. 2025. In its petition, the Debtor reports estimated assets and liabilities between $1 billion and $10 billion each. Honorable Bankruptcy Judge Brendan Linehan Shannon handles the case. The Debtors are represented by Joshua A. Sussberg, P.C., Nicholas M. Adzima, Esq., and Evan Swager, Esq. at KIRKLAND & ELLIS LLP and KIRKLAND & ELLIS INTERNATIONAL LLP, and Ross M. Kwasteniet, P.C. and Spencer A. Winters, P.C. The Debtors' Bankruptcy Co-counsel are Laura Davis Jones, Esq., Timothy P. Cairns, Esq., and Edward A. Corma, Esq. at PACHULSKI STANG ZIEHL & JONES LLP. ALVAREZ & MARSAL NORTH AMERICA, LLC is the Debtors' Restructuring Advisor. PJT PARTNERS INC. is the Debtors' Investment Banker. KURTZMAN CARSON CONSULTANTS, LLC, dba VERITA GLOBAL, is the Debtors' Notice & Claims Agent. MARELLI HOLDINGS: Davis Polk Advises Mizuho Bank in Chapter 11 -------------------------------------------------------------- Davis Polk is advising Mizuho Bank, Ltd. (Tokyo Central Branch) in various capacities, including as the largest lender to Marelli Holdings Co., Ltd. and certain of its subsidiaries, in connection with Marelli's chapter 11 proceedings. On June 11, 2025, Marelli; certain funds and accounts managed by Kohlberg Kravis Roberts & Co. L.P., as equity sponsor; Mizuho, as a lender under Marelli's approximately $350 million emergency super senior term loan facility; and lenders, including Mizuho, holding a supermajority of Marelli's approximately $4.5 billion senior term and revolving loan facility, entered into a restructuring support agreement (RSA). On the same day, Marelli filed for chapter 11 in the U.S. Bankruptcy Court for the District of Delaware with a prearranged plan of reorganization reflecting the terms of the RSA. The RSA contemplates, among other things, (i) a 45-day marketing process; (ii) the incurrence of a debtor-in-possession (DIP) facility, which includes approximately $1.1 billion of new money backstopped by an ad hoc group of senior lenders and a 47.5% roll-up of senior loan claims held by the DIP lenders; (iii) repayment in full of the $350 million emergency loan facility upon final approval of the DIP facility (subject to certain conditions); (iv) a guaranteed 11% recovery to holders of senior loan claims; (v) reinstatement or payment in full of all general unsecured claims; and (vi) if the marketing process does not produce an overbid, an equitization of the DIP facilities into 100% of the reorganized common equity of Marelli upon consummation of a chapter 11 plan of reorganization. At a hearing on June 12, 2025, the Bankruptcy Court granted the debtors' entry into the DIP facility on an interim basis, as well as other customary relief. Marelli is a Tier 1 automotive supplier and one of the largest automotive components suppliers in the world. Headquartered in Saitama, Japan, Marelli operates in 24 countries around the world and supplies over 65 OEMs and brands such as Stellantis, Nissan, Volkswagen, BMW and Mercedes Benz. Marelli primarily manufactures advanced automotive components and systems, including automotive lighting and sensor systems, and electronic and software solutions, such as screen displays and engine and vehicle controls. The Davis Polk restructuring team includes partner Timothy Graulich, counsel Erika D. White and Richard J. Steinberg, and associates Lara Luo, Kevin L. Winiarski and Jonathan (Zhenyang) He. All members of the Davis Polk team are based in the New York office. Davis Polk refers to Davis Polk & Wardwell LLP, a New York limited liability partnership, and its associated entities. About Marelli Marelli is a "Tier 1" automotive supplier and one of the largest automotive components suppliers in the world. Headquartered in Saitama, Japan, Marelli operates in 24 countries around the world and supplies over 65 OEMs and brands such as Stellantis, Nissan, Volkswagen, BMW, and Mercedes Benz. With around 45,000 employees worldwide, the Marelli footprint includes over 150 sites globally. In 2024, Marelli generated over $10 billion of revenue. On June 11, 2025, Marelli Holdings Co. Ltd. and its affiliates commenced voluntary chapter 11 cases (Bankr. D. Del. Lead Case No. 25-11034). The cases are pending before the Honorable Judge Craig T. Goldblatt in Delaware. Around 80% of the Company's lenders have signed an agreement to support the Company' Chapter 11 restructuring in the U.S., which will deleverage Marelli's balance sheet and strengthen its liquidity position. Kirkland & Ellis LLP is serving as legal counsel to Marelli. PJT Partners Inc. is serving as financial advisor, and Alvarez & Marsal LLC is serving as restructuring advisor to Marelli. Verita Global, formerly KCC, is the claims agent. Akin Gump Strauss Hauer & Feld LLP, Houlihan Lokey, and AlixPartners LLP are serving as advisors to the ad hoc group of lenders. =============== M A L A Y S I A =============== 1MDB: Malaysia Drops Money Laundering Charges Against Ex-PM Najib ----------------------------------------------------------------- Reuters reports that Malaysia's High Court has discharged but not acquitted jailed former Prime Minister Najib Razak of money laundering charges in a long-running case involving a former unit of scandal-tainted state fund 1MDB, his lawyer said on June 20. According to Reuters, Najib has been in prison since August 2022 after being found guilty of corruption and money laundering over funds misappropriated from SRC International, a former subsidiary of 1Malaysia Development Berhad, from which Malaysian and U.S. authorities say about $4.5 billion was stolen in a complex, globe-spanning scheme. He was also facing three separate money laundering charges over MYR27 million ($6.4 million) allegedly misappropriated from SRC. The case had repeatedly stalled since 2019 due to procedural delays, prompting the Kuala Lumpur High Court to grant Najib's request for a discharge not amounting to an acquittal (DNAA) on June 20, his lawyer Muhammad Shafee Abdullah told reporters. Reuters relates that Muhammad Shafee said the decision was a fair one, as the prosecution remained free to re-file the charges once they were ready to proceed. "So (Najib) isn't left waiting or as they say, no longer has the sword of Damocles hanging over his head," he said. The decision was the second time 1MDB-linked charges filed against Najib have been dropped, Reuters notes. Last year, a court allowed another DNAA request due to procedural delays in a corruption case against the ex-premier and the country's former treasury chief. In 2023, he was also acquitted on separate charges of tampering with a government audit into 1MDB, recalls Reuters. Reuters says Najib is still awaiting a verdict in the biggest trial he faces over the 1MDB scandal, with the court expected to hear closing arguments in October. He has denied all of the charges brought against him. Najib is also bidding to serve the remainder of his prison sentence under house arrest, and has sought to compel the government to confirm the existence of a royal order that he says would allow him to do so, adds Reuters. About 1MDB Kuala Lumpur-based 1Malaysia Development Bhd (1MDB) is an insolvent Malaysian strategic development company, wholly owned by the Malaysian Minister of Finance. 1MDB was established in 2009 to foster long-term economic development for the country by forging global partnerships, particularly in energy, real estate, tourism, and agribusiness. The Company was founded shortly after Dato Sri Najib Razak became Prime Minister of Malaysia in July 2009. Najib said the establishment of 1MDB into a federal entity was to benefit a majority of Malaysians. 1MDB is said to have raised billions of dollars in bonds, for investment projects and joint ventures, between 2009 and 2013. Among those projects are the Tun Razak Exchange, Tun Razak Exchange's sister project Bandar Malaysia, and the acquisition of three independent power producers. The Company came into heavy scrutiny in 2015 for suspicious money transactions and evidence pointing to money laundering, fraud and theft. The corruption scandal in 1MDB has implicated high-level officials, including Prime Minister Najib Razak, as wells as banks and financial institutions around the world. In 2016, the U.S. Department of Justice filed a lawsuit, alleging that at least US$3.5 billion has been stolen from 1MDB. In September 2020, the alleged amount stolen had been raised to US$4.5 billion and a Malaysian government report listed 1MDB's outstanding debts to be US$7.8 billion. Malaysia has been filing lawsuits over the years in an effort to recover the missing billions of dollars. Among others, in May 2021, Malaysia filed 22 civil suits against entities and people involved in the corruption scandal, including units of Deutsche Bank and JP Morgan. Malaysia said in September 2020 it has so far recovered about US$3.24 billion in assets linked to the 1MDB matter. This amount includes about US$600 million cash and assets returned by U.S. authorities; about US$2.5 billion paid by Goldman Sachs as settlement; as well as US$780 million in settlement amounts from Malaysian banking group AmBank and audit firm Deloitte. FORMTECH ENGINEERING: Flexidynamic Buys Loss-Making Company ----------------------------------------------------------- The Edge Malaysia reports that Flexidynamic Holdings Bhd said on June 19 it is acquiring a loss-making manufacturer of glove formers, Formtech Engineering (M) Sdn Bhd, for MYR10.39 million. Although Formtech has accumulated losses of MYR4.5 million, the acquisition offers long-term value and growth opportunities, as it will expand Flexidynamic's portfolio and diversify its income streams, the group said in a filing with Bursa Malaysia, the Edge relays. According to the Edge, Formtech, which is based in Nilai, Negeri Sembilan, has been loss-making for the past three years, following industry-wide overexpansion in glove production capacity during the Covid-19 pandemic. It recorded a net loss of MYR739,000 for the financial year ended Dec. 31, 2022 (FY2022), MYR8.89 million for FY2023 and MYR828,000 for FY2024, the Edge discloses. The Edge relates that Flexidynamic said Formtech's audited net asset (NA) was MYR3.8 million as at end-December 2024. "Based on this, the purchase consideration of MYR10.4 million represents a price to NA ratio of 2.75 times," the group noted. Flexidynamic is acquiring Formtech from HARPS Investment Asia Pte Ltd (a 69.88% stake) and Dietmar Trumm and Valluvan Peramuthu (a 30.12% stake). The purchase will be fully funded through internally generated funds, the Edge says. Flexidynamic's principal activities involve the provision of design, engineering, installation and commissioning of glove chlorination systems, as well as design and installation of storage tanks and process tanks for the glove manufacturing industry. "The group shall tap into its existing clientele to offer additional products (i.e. glove formers) and is confident to turnaround the financial results of Formtech," Flexidynamic said. It noted that Formtech has an installed production capacity of 180,000 pieces per month, with a utilisation rate of 30% in the year ended Dec. 31, 2024, the Edge relays. The excess capacity at its existing glove former manufacturing facility allows Formtech to accommodate any increase in demand without incurring the time and cost of building a new facility. This will also enable Formtech to leverage Flexidynamic's existing customer network to tap into additional untapped capacity. "Moving forward, as both Formtech and Flexidynamic operate in the glove industry with non-overlapping customer bases, this allows for strong synergies and cross-selling opportunities for both companies. The proposed acquisition is expected to ramp up production capacity of both companies by leveraging on its respective existing marketing resources and is expected to improve the financial performance of both companies in future financial years," said Flexidynamic. GREENPRO CAPITAL: Closes $500,000 Private Stock Offering -------------------------------------------------------- Greenpro Capital Corp. disclosed in a Form 8-K Report filed with the U.S. Securities and Exchange Commission that the Company entered into subscription agreements with individual investors identified in the Subscription Agreements, providing for the private placement of an aggregate of 500,000 shares of the Company's common stock, par value $0.0001, at a per share purchase price of $1.00. The Offering closed on June 10, 2025. The issuance of shares of Common Stock pursuant to the Subscription Agreements was made in reliance upon the exemptions from registration afforded by Section 4(a)(2) of the Securities Act of 1933, as amended, (the "Securities Act") and Regulation D promulgated under the Securities Act. The Company believes the exemptions provided by Section 4(a)(2) and Regulation D of the Securities Act were available because the offering did not involve a public offering and each of the Purchasers in the Offering represented that he or she is an "accredited investor" within the meaning of Rule 501(a) of Regulation D. No underwriters were involved in the offer and sale of the Common Stock in the Offering. The Company plans to use the proceeds of the Offering for operating capital. About Greenpro Capital Corp. Kuala Lumpur, Malaysia-based Greenpro Capital Corp. provides cross-border business solutions and accounting outsourcing services to small and medium-sized businesses located in Asia, with an initial focus on Hong Kong, China, and Malaysia. Greenpro offers a range of services as a package solution to its clients, believing that this approach can reduce business costs and improve revenues. Kuala Lumpur, Malaysia-based JP Centurion & Partners, the Company's auditor since 2021, issued a "going concern" qualification in its report dated Apr. 9, 2025, attached to the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2024, citing that for the years ended December 31, 2024, the Company incurred a negative cash flow from operating activities of $1,360,454 and as of December 31, 2024, the Company incurred an accumulated deficit of $37,264,379. These conditions raise substantial doubt about the Company's ability to continue as a going concern. As of Dec. 31, 2024, the Company had $6,473,923 in total assets, $1,279,635 in total liabilities, and a total stockholders' equity of $5,194,288. ===================== N E W Z E A L A N D ===================== DIRT MASTERS: Court to Hear Wind-Up Petition on July 11 ------------------------------------------------------- A petition to wind up the operations of Dirt Masters Limited will be heard before the High Court at Auckland on July 11, 2025, at 10:45 a.m. Waitomo Petroleum Limited filed the petition against the company on May 2, 2025. The Petitioner's solicitor is: Daniel Wein Ellice Tanner Hart Solicitors 455 Grey Street Hamilton GOLDEN BULLS: Court to Hear Wind-Up Petition on July 10 ------------------------------------------------------- A petition to wind up the operations of Golden Bulls Limited will be heard before the High Court at Auckland on July 10, 2025, at 10:00 a.m. The Commissioner of Inland Revenue filed the petition against the company on May 5, 2025. The Petitioner's solicitor is: Hosanna Tanielu Inland Revenue, Legal Services 5 Osterley Way Manukau City Auckland 2104 KIND & GENTLE: Reynolds & Associates Appointed as Liquidator ------------------------------------------------------------ Grant Reynolds of Reynolds & Associates Ltd on June 12, 2025, was appointed as liquidator of Kind & Gentle Limited. The liquidator may be reached at: Grant Reynolds Reynolds & Associates Ltd PO Box 259059 Botany Auckland 2163 ROD & SARAH: Creditors' Proofs of Debt Due on Aug. 10 ----------------------------------------------------- Creditors of Rod & Sarah Limited are required to file their proofs of debt by Aug. 10, 2025, to be included in the company's dividend distribution. The company commenced wind-up proceedings on June 10, 2025. The company's liquidator is: David Edward Thomas Don’t Be Limited C/- 4 Willow Street Tauranga Central VSG LIMITED: Reynolds & Associates Appointed as Liquidator ---------------------------------------------------------- Grant Reynolds of Reynolds & Associates Ltd on June 12, 2025, was appointed as liquidator of VSG Limited. The liquidator may be reached at: Grant Reynolds Reynolds & Associates Ltd PO Box 259059 Botany Auckland 2163 ================= S I N G A P O R E ================= AKS TECH: Court Enters Wind-Up Order ------------------------------------ The High Court of Singapore entered an order on May 30, 2025, to wind up the operations of AKS Tech Pte. Ltd. RHB Bank Berhad filed the petition against the company. The company's liquidators are: Leow Quek Shiong Gary Loh Weng Fatt c/o BDO Advisory Pte Ltd No. 600 North Bridge Road #23-01 Parkview Square Singapore 188778 GOLDEN ENERGY: Fitch Affirms B+ LT IDR, Alters Outlook to Neg. -------------------------------------------------------------- Fitch Ratings has revised the Outlook on Golden Energy and Resources Pte. Ltd.'s (GEAR) Long-Term Issuer Default Rating (IDR) to Negative from Stable and affirmed the rating at 'B+'. Fitch has also affirmed the rating on GEAR's US dollar notes at 'BB-' with Recovery Rating of 'RR3'. The Negative Outlook reflects its expectation that GEAR's EBITDA net leverage will stay elevated for the next two years before deleveraging to level that commensurate to its rating level by 2027. Fitch views the higher expected leverage is mainly due to low metallurgical coal prices, high operating costs in its key subsidiary, Stanmore Resources Limited, and higher debt following the debt-funded acquisition of Illawarra Metallurgical Coal (IMC). GEAR's rating reflects its large debt at the holding company level, which is structurally subordinated to debt at the subsidiary level and its acquisitive nature. Its business profile is supported by its improved scale following the acquisition of IMC, its overall average cost profile and the long reserve life of its assets. Key Rating Drivers Low Ratings Headroom: Fitch expects GEAR's EBITDA net leverage, calculated on a proportionally consolidation basis for Stanmore and IMC, to stay at around 4.5-5x until end-2026 (end-2024: 4.3x) due to weaker coking coal prices and capex investments in new IMC assets. Fitch expects leverage to improve to around 3.5x by 2027 with the completion of the high capex phase and cost-saving initiatives. Stanmore's High-Cost Structure: Stanmore's cash costs per tonne, adjusted for lease and corporate overheads (excluding royalties) rose to USD117/tonne in 2024 (2023: USD 105/tonne) due to inflationary pressure, wetter weather and higher lease expenses, while average selling prices (ASPs) fell sharply on weaker market conditions. With ASPs remaining low, Stanmore's cost reduction initiatives are crucial to preserve its cash flow. Fitch views that an inability to reduce costs would put pressure on EBITDA, delaying GEAR's deleveraging and reducing dividends to the holding company. Structural Subordination: GEAR's holding company primarily relies on dividend income for cash flow to service interest and debt of about USD567 million as of end-2024. Fitch expects dividend receipts at the holding company level to decline on weaker EBITDA generation by its predominantly coal asset portfolio. However, Stanmore and 7%-owned Golden Energy Mines (GEMS, BB-/Stable), have low leverage and strong cash balances, potentially allowing more dividend upstreaming over the next two years. Holding Company Liquidity Still Sufficient: Fitch's interest coverage rating sensitivities incorporate cash balance at holding company level, in addition to dividend receipts. This is because GEAR can bridge its holding company liquidity gap by selling down equity stakes in its listed subsidiaries or investments, if necessary. GEAR's stake in GEMS is currently valued at about USD270 million. GEAR in April 2025 sold a 10% stake in IMC, raising USD60 million at the holding company level, improving its liquidity. IMC Improves Business Profile: GEAR's acquisition of IMC has expanded its scale to a total production capacity of about 20 million tonnes per annum and improved its overall cost position. IMC is positioned in the first quartile of the global metallurgical business cost curve. IMC is cash-generative, with capex for the next two years largely self-funded, and Fitch expects IMC to generate positive free cash flow from 2027 onwards that will help GEAR to deleverage. GEAR has limited access to IMC's cash as IMC is servicing an acquisition debt that has an amortization schedule and cash sweep feature. Exclude Shareholder Support to Ravenswood: Fitch has not proportionately consolidated GEAR's 50% stake in gold mine Ravenswood Gold Group Pty Ltd as GEAR does not have operatorship and access to Ravenswood's cash is limited to dividends. GEAR and its partner recently paused plans to divest Ravenswood and are moving it into its next investment phase. Fitch expects Ravenswood to self-fund its operations. Fitch views further substantial cash support to Ravenswood as a credit risk as it could delay GEAR's deleveraging. Acquisition Risk: Fitch expects GEAR to remain opportunistic about acquisitions. Its high leverage means significant debt-funded acquisitions that are not balanced by near-term EBITDA inflow could pressure the company's rating. Private Shareholding, Risk of Dividends: GEAR, which is privately held by the Widjaja family associated with the Sinar Mas Group, faces elevated corporate governance risks due to limited public disclosures. This private shareholding may result in changes to GEAR's financial and business strategies. Fitch has not incorporated large dividends or other forms of cash leakage for shareholder benefit into its forecasts. Such distributions or further large acquisitions are risks to GEAR's rating. Peer Analysis Mongolian Mining Corporation (B+/Stable) is the largest producer and exporter of high-quality hard coking coal in Mongolia. MMC has much stronger financial metrics, with low EBITDA net leverage and does not face structural subordination risks, compared to GEAR. MMC's low-cost position in the first quartile of the global cost curve supports stronger profitability than GEAR but MMC's rating is constrained by end-customer concentration risks and regulatory risks in Mongolia. Coronado Global Resources (CRN, CCC+) has a weaker business profile than GEAR. This, along with significant liquidity risk, drives CRN's lower IDR. CRN is also smaller in scale and more concentrated in terms of assets. CRN is positioned within the fourth quartile of the global met coal cost curve, compared to GEAR's weighted-average around third quartile. These factors expose CRN to higher cash flow volatility compared to GEAR. Key Assumptions Fitch's Key Assumptions Within Its Rating Case for the Issuer - Metallurgical coal prices in line with Fitch's price deck for Australia premium hard coking coal USD180/tonne in 2025 - 2028; - Consolidated metallurgical coal sales averaging at 20 million tonnes per year in 2025-2028. - Consolidated capex totalling USD600 million between 2025-2026 and about USD135 million in 2027-2028 - Stanmore's cash costs /tonne (excluding royalties) at USD108/tonne in 2025-2026 and around USD102/tonne in 2027-2028 - Average annual dividend inflow at the standalone level of about USD45 million-50 million over 2025-2028 - Any material cash outflow or shareholder support for 50%-owned Ravenswood is excluded Recovery Analysis In the distribution waterfall, all debt at Stanmore and IMC is considered prior ranking, with the residual value based on GEAR's equity interest allocated to GEAR's creditors at the holding company level. Stanmore and IMC are assumed to be reorganised as going concerns in bankruptcy, rather than liquidated. A 10% administrative claim is factored in for Stanmore, IMC and GEAR. A 3.5x enterprise value/EBITDA multiple is used for IMC and Stanmore, to calculate a post-reorganisation enterprise value for IMC and Stanmore. Fitch assumes additional value from GEAR's 7% stake in GEMS, based on a 40% discount to GEMS's current market capitalisation after adjusting for GEAR's stake. Using these assumptions in the recovery calculation, Fitch determines the recovery of GEAR's US dollar bonds corresponds to an 'RR3' Recovery Rating, indicating good recovery prospects and allowing the debt to be rated one notch above the IDR under Fitch's Corporates Recovery Ratings and Instrument Ratings Criteria. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Standalone interest coverage (cash + dividends - operating costs)/interest paid sustained below 2x; - Fitch's expectation that EBITDA net leverage will be sustained above 4.0x beyond 2026 - Fitch's view of any signs of deterioration to GEAR's financing access; - The rating on GEAR's US dollar notes could also be downgraded if recovery prospects weaken, potentially due to an increase in subsidiary-level debt. - Aggressive financial policies, including providing significant shareholder support to Ravenswood, and weak governance practices; Factors that could, individually or collectively, lead to positive rating action/upgrade - Fitch may revise the Outlook to Stable if performance is better than the sensitivities for negative rating action. Liquidity and Debt Structure GEAR's liquidity at the holding company level is supported by its ability to access funding, as well as its equity interests in listed subsidiaries and investments, which can be readily divested if needed. Fitch expects GEAR's standalone interest coverage to stay at 3x and above between 2025-2028. GEAR's operating subsidiaries, Stanmore and IMC, maintain healthy interest servicing capability, supported by strong operating cash flow generation. GEAR has no major maturity at the holding company level except for the USD506 million of bonds due in November 2027. GEAR has thus far maintained funding access, as demonstrated in its recent USD160 million tap of its US dollar bonds, completion of the IMC acquisition that was mainly debt-funded, as well as refinancing at Stanmore. Issuer Profile GEAR is a private entity owned by Frontier Resources Pte Ltd, which is backed by the Widjaja family in Indonesia. GEAR produces metallurgical coal in Australia via its 59%-owned Stanmore and 60%-indirect ownership in IMC. GEAR also has a 50% interest in Ravenswood and a 6.99% interest in GEMS. Summary of Financial Adjustments Fitch adjusted GEAR's consolidated profile by proportionately consolidating Stanmore and IMC, based on its respective 59% and 60% equity interests in these subsidiaries. GEAR does not have full access to these subsidiaries' cash flows, due to the presence of large minority interests. REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING GEAR is owned by Frontier Resources, an investment holding vehicle of the Widjaja family. Fitch does not have access to Frontier Resources and there is limited public information available as it is a private company. This private shareholding may result in changes to GEAR's financial and business strategies. Fitch has not incorporated large dividends or other forms of cash leakage for shareholder benefit into its forecasts. Such distributions or further large acquisitions are risks to GEAR's rating. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations GEAR has an ESG Relevance Score of '4' for Governance Structure. The company is privately held, raising the risk of weak corporate governance and large cash leakages to shareholders, which in Fitch's opinion has a negative impact on the credit profile, and is relevant to the rating in conjunction with other factors. 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 Recovery Prior ----------- ------ -------- ----- Golden Energy and Resources Pte. Ltd. LT IDR B+ Affirmed B+ senior unsecured LT BB- Affirmed RR3 BB- LARKSPUR PTE: Creditors' Proofs of Debt Due on July 14 ------------------------------------------------------ Creditors of Larkspur Pte Ltd, Maritime Alpha Pte Ltd, Maritime Bravo Pte Ltd, Maritime Echo Pte Ltd, Posh Maritime Pte Ltd, and Semco Salvage (IV) Pte Ltd, are required to file their proofs of debt by July 14, 2025, to be included in the company's dividend distribution. The company's liquidators are: Victor Goh Khor Boon Hong Marie Lee c/o Baker Tilly 600 North Bridge Road #05-01 Parkview Square Singapore 188778 M5 EQUIPMENT: Placed in Interim Judicial Management --------------------------------------------------- Mr. Seah Chee Wei of Rock Stevenson Pte Ltd on June 10, 2025, was appointed as Interim Judicial Manager of M5 Equipment Pte. Ltd. The Interim Judicial Manager may be reached at: Mr. Seah Chee Wei Rock Stevenson Pte Ltd 8 Burn Road Trivex #16-12 Singapore 369977 RED SCHOOLHOUSE: First Creditors' Meeting Set for July 3 -------------------------------------------------------- A first meeting of the creditors in the proceedings of Red Schoolhouse @ Toh Tuck Pte. Ltd will be held on July 3, 2025 at 11:30 a.m. via video-conference and/or tele-conference. Agenda of the meeting includes: a. to present a full statement of the company's affairs together with a list of creditors and the estimated amount of their claims; b. to nominate and appoint liquidators; c. to form a committee of inspection of not more than 5 members, if thought fit; and d. any other business. Tan Wei Cheong of Deloitte & Touche was appointed as provisional liquidator of the Company on June 5, 2025. SINGAPORE INTEGRATED: Creditors' Proofs of Debt Due on July 16 -------------------------------------------------------------- Creditors of Singapore Integrated Oncology Centers Pte. Ltd. are required to file their proofs of debt by July 16, 2025, to be included in the company's dividend distribution. The company commenced wind-up proceedings on June 11, 2025. The company's liquidators are: Gary Loh Weng Fatt Seah Roh Lin Dev Kumar Harish Nandwani c/o BDO Advisory Pte Ltd No. 600 North Bridge Road #23-01 Parkview Square Singapore 188778 ********* 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 2025. All rights reserved. ISSN: 1520-9482. 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