TCRAP_Public/170607.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                      A S I A   P A C I F I C

            Wednesday, June 7, 2017, Vol. 20, No. 112

                            Headlines


A U S T R A L I A

ASSOCIATED FOOD: First Creditors' Meeting Set for June 14
BARMINCO HOLDINGS: Moody's Puts B1 CFR on Review for Downgrade
CHALLENGER BEVERAGES: First Creditors' Meeting Set for June 14
PACIFIC ORTHODONTICS: First Creditors' Meeting Set for June 14
PENRITH CITY: Second Creditors' Meeting Set for June 14

UNITED PROJECT: Second Creditors' Meeting Set for June 13


C H I N A

AGILE GROUP: Moody's Revises Outlook to Pos.; Affirms Ba3 CFR
CHINA EVERGRANDE: Moody's Changes Outlook Stable; Affirms B2 CFR
XUZHOU ECONOMIC: Fitch Affirms BB+ Long-Term IDR; Outlook Stable


H O N G  K O N G

LERADO FINANCIAL: Shares Suspended Over Alleged False Statements
NOBLE GROUP: Shares Fall to Lowest Since 2000 Amid Concerns


I N D I A

A.S. MOTORS: CARE Reaffirms B+ Rating on INR23.40cr LT Loan
AAKRITI SUPER: Ind-Ra Migrates 'B+' Rating to Non-Cooperating
ANANDAMELA ELECTRONICS: CRISIL Cuts Rating on INR4.95MM Loan to B
CHAITANYA ELECTRIC: CARE Assigns B+ Rating to INR1cr LT Loan
CHAKRI FISHERIES: CARE Assigns B+ Rating to INR1.20cr LT Loan

CONTINENTAL FURNISHERS: CRISIL Reaffirms B- INR2.25M Loan Rating
CRESCENT INNOVATIVE: CRISIL Reaffirms B+ Rating on INR23MM Loan
CUDDALORE MUNICIPALITY: CARE Assigns 'B' Issuer Rating
GAURAV EARTHMOVING: Ind-Ra Assigns 'BB+' Long-Term Issuer Rating
GOLDEN STAR: CARE Assigns B+ Rating to INR5cr Long Term Loan

GWALIOR BYPASS: CARE Downgrades Rating on INR172.03cr Loan to D
JAMSHEDPUR MINERALS: CRISIL Ups Rating on INR5MM Loan to 'BB-'
K. S. BIGILI: CRISIL Assigns B- Rating to INR5MM Cash Loan
KAMAKHYA TRANSFORMERS: Ind-Ra Puts 'BB' Rating to Non-cooperating
LAL BABA: CRISIL Reaffirms B- Rating on INR13.5MM Cash Loan

LIMRA ENTERPRISES: CARE Assigns B+ Rating to INR3cr LT Loan
MAGNUM STEELS: CRISIL Cuts Rating on INR5.5MM LT Loan to 'B'
MANJUSHREE INNOVATIONS: CRISIL Reaffirms B+ Rating on INR35M Loan
MARS PLYWOOD: CRISIL Lowers Rating on INR31MM Loan to 'D'
MATRIX AGRO: CARE Issues 'D' Issuer Not Cooperating Rating

MAXVEL REALTECH: CRISIL Reaffirms B+ Rating on INR15MM LT Loan
MITER AND MITER: CRISIL Cuts Rating on INR9MM Term Loan to 'B'
MOHIT ISPAT: CRISIL Lowers Rating on INR15MM Cash Loan to 'B'
OASIS DISTILLERIES: CRISIL Cuts Rating on INR41.5MM Loan to 'B'
PEW ENGINEERING: CRISIL Cuts Rating on INR10MM LT Loan to 'B'

PRATHISHTA BUSINESS: Ind-Ra Assigns 'D' Long-Term Issuer Rating
R. S. ENTERPRISES: CARE Assigns B+ Rating to INR9cr LT Loan
RAJ REGENCY: Ind-Ra Migrates 'B+' Rating to Non-Cooperating
RANK CRANES: Ind-Ra Affirms 'BB+' Long-Term Issuer Rating
RELIANCE COMMUNICATIONS: CARE Cuts Rating on INR9,322cr Loan to D

RIDDI SIDDI: CARE Assigns B+ Rating to INR1.0cr LT Bank Loan
S H MARINE: CRISIL Upgrades Rating on INR10MM Packing Loan to B+
SHARMA CONSTRUCTION: CRISIL Reaffirms B+ Rating on INR5MM Loan
SHIV JYOTI: CARE Assigns 'B' Rating to INR6.48cr LT Loan
SHREE JAYA: Ind-Ra Assigns 'BB+' Long-Term Issuer Rating

SHREE RANI: CARE Assigns B+ Rating to INR12cr Long Term Loan
SHREE SAINATH: CRISIL Reaffirms 'B' Rating on INR7.7MM Loan
SHRESID INTERIORS: CRISIL Reaffirms B- Rating on INR3.5MM Loan
SOMULA CONSTRUCTIONS: CARE Assigns 'B' Rating to INR7.5cr Loan
SPENZZER CERAMIC: CRISIL Reaffirms B- Rating on INR4.96MM Loan

SRI SWAMI: CRISIL Reaffirms B+ Rating on INR25MM Cash Loan
SRINIVASAN CHARITABLE: Ind-Ra Rates INR2.370BB Bank Loans 'D'
SRINIVASAN HEALTH: Ind-Ra Assigns 'D' Rating on INR1.8BB Loans
TIRUPATI PADDY: CRISIL Assigns 'B' Rating to INR10MM Loan
VAYAS MULTI-TRADING: CRISIL Reaffirms B+ Rating on INR8.22MM Loan


J A P A N

STEMCELL HOLDINGS: MaloneBailey Raises Going Concern Doubt
TOSHIBA CORP: Western Digital to Settle for 19.9% Stake in Unit
TOSHIBA CORP: Shares Up as Broadcom Has Priority to Buy Chip Unit


M A L A Y S I A

MAXBIZ CORP: Court Charges Former Shareholder of Insider Trading


N E W  Z E A L A N D

HEALTH SERVICES: A.M. Best Affirms 'B' FSR; Outlook Positive


P A K I S T A N

PAKISTAN: Commitment Re-Assertion to Moderate Deficits Credit Pos


S I N G A P O R E

MARBLE II: Fitch Assigns 'BB' IDR; Outlook Stable
MARBLE II: Moody's Assigns First-Time Ba2 Corporate Family Rating


                            - - - - -


=================
A U S T R A L I A
=================


ASSOCIATED FOOD: First Creditors' Meeting Set for June 14
---------------------------------------------------------
A first meeting of the creditors in the proceedings of Associated
Food Group Pty Ltd will be held concurrently at Level 1, 33
Erskine Street, in Sydney, NSW and Level 18, Bourke Place 600
Bourke Street, in Melbourne, VIC, on June 14, 2017, at 10:00 a.m.

Christopher John Palmer & Liam Bailey of O'Brien Palmer were
appointed as administrators of Associated Food on June 1, 2017.


BARMINCO HOLDINGS: Moody's Puts B1 CFR on Review for Downgrade
--------------------------------------------------------------
Moody's Investors Service has placed on review for downgrade
Barminco Holdings Pty Limited's B1 corporate family rating,
Barminco Finance Pty Ltd's B1 senior secured notes rating, and
the Ba3 rating for its senior secured revolving credit facility.

RATINGS RATIONALE

"The review follows the June 1 announcement of the contract loss
of the Kundana gold mine project which will result in EBITDA
lower than Moody's forecast", says Maurice O'Connell, a Moody's
Vice President and Senior Credit officer. "The lower forecast
earnings and resulting weakening in the company's credit metrics
will pressure the tolerance level for the B1 rating level".

The AUD275 million Kundana project, operated by Northern Star,
represented an important driver for the company's future earnings
profile and supported Moody's previous expectations of an
improvement in its credit metrics within levels comfortable for
the rating.

The company's credit metrics, as measured by adjusted
debt/EBITDA, was 4.1x for the 12 months to December 2016.

The cessation of the contract and uncertainty around the renewal
of other existing contracts -- including Flying Fox and Spotted
Quoll -- create the potential risk of materially reduced earnings
that could weaken Barminco's adjusted debt/EBITDA to over 4.0x
and beyond Moody's ratings driver of 4.25x, as set for the
current rating of B1.

The review will focus on i) Barminco's renewal of maturing
contracts and its ability to secure new contracts, ii) earnings
expectations in light of the current operating environment, and
iii) the susceptibility of existing contracts to similar
termination risks.

WHAT COULD CHANGE THE RATING

Barminco's outlook could return to stable if the company is able
to improve its earnings through new contract wins and the renewal
of existing contracts, and is able to sustain its credit metrics
comfortably within the tolerance level set for the current
rating. This would include sustaining debt/EBITDA comfortably
below 4.25x and generating positive free cash flow.

The rating could face negative rating pressure if forthcoming
contract renewals do not occur, and/or Moody's considers that
Barminco's operating environment is challenging to the point that
hinders its ability to generate sufficient revenue and earnings
to maintain appropriate credit metrics for the rating. This would
include debt/EBITDA increasing above 4.25x on sustained basis, or
negative free cash flow for a prolonged period.

The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.

Barminco Holdings Pty Limited is a market leader in underground
hard rock contract mining in Australia. The company also provides
diamond drilling, crushing and screening support services to its
mining customers. Barminco also has material operations across
Africa, both directly and through its 50% interest in the African
Underground Mining Services joint Venture.


CHALLENGER BEVERAGES: First Creditors' Meeting Set for June 14
--------------------------------------------------------------
A first meeting of the creditors in the proceedings of Challenger
Beverages Distribution Pty. Ltd. will be held at Level 3, 65 York
Street, in Sydney, NSW, on June 14, 2017, at 11:00 a.m.

David Anthony Hurst of HoskingHurst was appointed as
administrator of Challenger Beverages on June 2, 2017.


PACIFIC ORTHODONTICS: First Creditors' Meeting Set for June 14
--------------------------------------------------------------
A first meeting of the creditors in the proceedings of Pacific
Orthodontics Pty Ltd will be held at Morton's Solvency
Accountants, Level 11, 410 Queen Street, in Brisbane, Queensland,
on June 14, 2017 at 10:00 a.m.

Gavin Charles Morton of Morton's Solvency Accountants was
appointed as administrator of Pacific Orthodontics on June 2,
2017.


PENRITH CITY: Second Creditors' Meeting Set for June 14
-------------------------------------------------------
A second meeting of creditors in the proceedings of Penrith City
Cranes Pty Limited has been set for June 14, 2017, at 11:00 a.m.
at the offices of Veritas Advisory, Level 5, 123 Pitt Street, in
Sydney, NSW.

The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the
Company be wound up.

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by June 13, 2017, at 4:00 p.m.

David Iannuzzi and Vincent Pirina of Veritas Advisory were
appointed as administrators of Penrith City on May 9, 2017.


UNITED PROJECT: Second Creditors' Meeting Set for June 13
---------------------------------------------------------
A second meeting of creditors in the proceedings of United
Project Partners Pty Ltd has been set for June 13, 2017, at
10:30 a.m. at the offices of Worrells Solvency & Forensic
Accountants, 195 Hume Street, Toowoomba, Queensland.

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 12, 2017, at 12:00 p.m.

Adam Francis Ward of Worrells Solvency & Forensic Accountants was
appointed as administrator of United Project on May 9, 2017.



=========
C H I N A
=========


AGILE GROUP: Moody's Revises Outlook to Pos.; Affirms Ba3 CFR
-------------------------------------------------------------
Moody's Investors Service has changed the ratings outlook of
Agile Group Holdings Limited to positive from stable.

At the same time, Moody's has affirmed Agile's Ba3 corporate
family rating and the B1 senior unsecured rating on the bonds
issued by Agile.

RATINGS RATIONALE

"The change in outlook to positive reflects Moody's expectations
that Agile will maintain growth in presales and revenues and
improve its profit margins, which will in turn improve its credit
metrics over the next 12-18 months," says Kaven Tsang, a Moody's
Vice President and Senior Credit Officer.

"The positive outlook also reflects Moody's expectations that
Agile will continue its disciplined financial management and land
acquisition strategy," adds Tsang, also Moody's Lead Analyst for
Agile.

Agile has demonstrated steady presales growth over 2013-2016 at a
3-year compound annual growth rate of around 9.5%, a trend
Moody's expects will continue.

The company achieved RMB27.3 billion of presales in the first
four months of 2017, representing 45.5% of its full year target,
or 63% year-on-year growth. Its target for 2017 is 13.6% higher
than the target of RMB52.8 billion in 2016. Such presales will
support revenue growth over the next 1-2 years.

The strong presales in the first four months of 2017 came mainly
from Hainan Province and Zhongshan city, the company's key
markets, and were achieved despite regulatory measures to
constrain house price growth in cities in China (A1 stable) where
prices have grown rapidly.

Agile also shows some geographic diversification in its projects.
In particular, Moody's expects its projects in Guangdong
Province, Eastern and Western China will support its presale
growth in case of any slowdown in presales in Hainan.

Agile has benefited from strong property market conditions in
China over the past 18 months. Its average selling price for
presales increased to RMB12,828 per square meters (sqm) in the
first 4 months of 2017 from RMB9,962 per sqm in 2016 and RMB8,725
per sqm in 2015.

Based on these favorable presale prices, Moody's expects the
company will recognize better gross profit margins of around 28%
over the next 1-2 years, compared with 26.5% in 2016.

The change in rating outlook to positive reflects Agile's track
record of disciplined financial management and land acquisition
strategy.

Agile stepped up its land acquisitions in 2016 after two years of
slowdown in 2014 and 2015. At the same time, it has maintained
prudence in managing its debt leverage.

Its revenue/adjusted debt was largely stable at 90% at end-2016,
similar to the 91% reported at end-2015.

Moody's expects Agile will keep its land payments at around 35%-
40% of presales over the next 1-2 years, only slightly higher
than the 34% recorded in 2016.

Moody's expects the company's credit metrics over the next 12-18
months will be strong for its Ba3 corporate family rating. Its
revenue/adjusted debt will be around 90%-95% and EBIT/interest
around 3.5x-4.0x over the next 12-18 months, compared with 90%
and 3.1x respectively in 2016.

Agile's Ba3 corporate family rating reflects its strong track
record of property development in Guangdong Province, disciplined
financial management, track record of equity injections from its
largest shareholder at times of need, good access to the offshore
debt and banking markets and low land costs.

The rating is constrained by the company's material exposure to
Guangdong Province, with 49% of its presales coming from the
province in 2016. Moreover, there is some risk related to its
sales, because its projects are located in strong second tier and
third tier cities, where property sales have been strong and
sales could be affected by tightening regulatory controls.

Its exposure to Guangdong Province is however mitigated by the
fact that it is among the top economically affluent provinces in
China. Infrastructure improvements and industrial upgrades in the
province reduce the downside risk for property development.

Agile's liquidity position is adequate. It had cash holdings of
RMB22.3 billion at end-December 2016, which covered 174% of its
short-term debt. Its repayment of around RMB6.8 billion of
offshore bonds in 2017 demonstrates the company's good financial
strength and flexibility.

Agile's B1 senior unsecured rating is one notch lower than its
corporate family rating, due to material subordination risk for
senior unsecured bond holders. Moody's estimates that its secured
and subsidiary debt/total assets registered 18.6% at end-December
2016. This ratio will stay at 15%-20% over the medium term.

Upward ratings pressure could emerge if Agile continues its
stable growth in presales, maintains its disciplined approach to
land acquisitions, and improves its credit metrics, such that
EBIT/interest coverage exceeds 3.5x and revenue/adjusted debt
rises above 90% on a sustained basis.

On the other hand, the outlook could return to stable if Agile's
presales, gross profit margins or credit metrics weaken due to a
slowdown in sales and/or fast debt-funded expansion.
Specifically, the outlook could return to stable if EBIT/interest
trends back to 3.0x, revenue/adjusted debt to 85%, or cash
holdings/short-term debt to 1.5x.

The principal methodology used in these ratings was Homebuilding
And Property Development Industry published in April 2015.

Agile Group Holdings Limited is a major property developer in
China, operating in the mid- to high-end segment. At December 31,
2016, the company had a land bank with a total gross floor area
of 32.6 million square meters across 46 cities and districts in
China. Southern China (mainly Guangdong Province) is its largest
market, accounting for around 34% of the company's land bank at
end-2016 and around 49% of its presales in 2016.


CHINA EVERGRANDE: Moody's Changes Outlook Stable; Affirms B2 CFR
----------------------------------------------------------------
Moody's Investors Service has revised to stable from negative the
ratings outlook for China Evergrande Group.

At the same time, Moody's has affirmed the company's B2 corporate
family rating and the B3 senior unsecured rating on its existing
notes.

RATINGS RATIONALE

"The change in outlook to stable from negative reflects
Evergrande's improved liquidity position due to its strong
contracted sales and active debt maturity management," says
Franco Leung, a Moody's Vice President and Senior Credit Officer.

"The stable outlook also reflects Moody's expectations that
Evergrande will continue to improve its credit metrics," adds
Leung, also the Lead Analyst for Evergrande.

Evergrande's liquidity position has improved through strong
contracted sales and its raising of a total of RMB70 billion
capital from investors over the period from December 2016 to June
2017.

The company delivered robust 63% year-on-year growth in
contracted sales for the first four months of 2017, following
robust 85% year-on-year growth to RMB373 billion for the full
year 2016.

Moody's expects the company to register around 20% cumulative
average growth in contracted sales in 2017 and 2018. Such
contracted sales growth will ensure adequate cash inflow to cover
its high level of cash required for construction, and will
support its ability to refinance its maturing debts.

On June 1, 2017, Evergrande's subsidiary and holding company for
most of its property projects in China (A1 stable), Hengda Real
Estate Group Company Limited (unrated), announced that it would
raise new capital from 13 investors with an aggregate amount of
RMB39.5 billion. Together with the first round of investment
announced on January 2, 2017, total proceeds from such fund
raising will amount to RMB70 billion.

As part of the new investment capital, Evergrande is required to
ensure that Hengda's net profit for 2017, 2018, and 2019 will not
fall below RMB24.3 billion, RMB30.8 billion and RMB33.7 billion,
respectively, and that at least 68% of the net profits are
distributed as dividends over the same periods.

The investment capital has certain requirements on repurchase
obligations and compensation if the company's reorganization --
namely its listing -- is not completed by January 31, 2020.

The reorganization plan relates to an earlier cooperation
agreement with Shenzhen Investment Holding Co. Ltd (unrated), in
which its subsidiary, Shenzhen Special Economic Zone Real Estate
& Properties (Group) Co. Ltd. (Shenzhen Real Estate, unrated) -
an A-share listed company - will acquire a 100% equity interest
in Hengda in exchange for A shares and/or cash.

Upon completion of the transaction, Evergrande will become the
controlling shareholder of Shenzhen Real Estate.

The investment capital has strengthened Evergrande's current cash
balances and provided term funding beyond one year.

Moody's expects the company's liquidity strength -- as measured
by cash/short-term debt over the next 12-18 months -- will be
above 1.2x-1.5x, continuing the improvement seen at end-December
2016.

The company had cash on hand of RMB304 billion at end-December
2016. Its liquidity position improved from the previous year,
with cash/adjusted debt - including perpetual securities - of 45%
and cash/short-term debt of 150% at end-2016, compared with 43%
and 103% respectively at end-2015.

Moody's expects that Evergrande's adjusted debt leverage and
interest coverage ratio will improve to 55%-60% and 2.0x-2.5x
over the next 12-18 months, from the weak levels of 32% and 1.4x,
respectively, at end-December 2016.

The expected improvement in credit metrics will come from a
combination of strong contracted sales, efficient cash collection
and slow debt growth.

In addition, it is based on the company's continued effort to (1)
improve gross profit margins by increasing the development of
properties in higher tier cities; and (2) pay down its expensive
onshore perpetual securities, with RMB56 billion paid down
between January and April 2017.

Evergrande's B2 corporate family rating reflects its strong
market position, strong sales execution, low-cost land bank, as
well as its nationwide coverage in China. However, the rating is
constrained by the high business and financial risks associated
with Evergrande's debt-funded and fast growth business strategy.

Upward rating pressure could emerge if the company (1)
demonstrates more disciplined business growth; (2) reduces its
debt leverage such that revenue/adjusted debt (including
perpetual securities) rises above 60% and; and (3) improves its
adjusted EBIT/interest to above 2.0x.

Downward rating pressure could emerge if: (1) the company's
liquidity position weakens due to a deterioration in contracted
sales, or aggressive acquisitions of land and/or property
companies or projects; or (2) its debt leverage fails to improve,
such that revenue/adjusted debt (including perpetual securities)
falls below 35%-40%.

The principal methodology used in these ratings was Homebuilding
and Property Development Industry published in April 2015.

China Evergrande Group is a major residential developer in China.
It has a standardized operating model. Founded in 1996 in
Guangzhou, the company has rapidly expanded its business across
China over the past few years. At December 31, 2016, its land
bank totaled 229 million square meters in gross floor area across
209 Chinese cities.


XUZHOU ECONOMIC: Fitch Affirms BB+ Long-Term IDR; Outlook Stable
----------------------------------------------------------------
Fitch Ratings has affirmed Xuzhou Economic and Technology
Development Zone State-Owned Assets Management Co., Ltd.'s (XETZ)
Long-Term Foreign- and Local-Currency Issuer Default Ratings at
'BB+' with a Stable Outlook.

Fitch has also affirmed the USD300 million 4.5% notes due 2019
issued by XETZ's wholly owned subsidiary, Xuzhou Economic and
Technology Development Zone International Investment Co., Ltd.,
at 'BB+'.

KEY RATING DRIVERS

Links to Xuzhou Municipality: The ratings of XETZ are credit
linked to Xuzhou municipality. This is reflected in its 100%
state ownership, strong government oversight of its financials
and strategic importance of its operation to the municipality.
These factors result in a high likelihood of extraordinary
support, if needed. Therefore, XETZ is classified as a credit-
linked public sector entity under Fitch's criteria.

Xuzhou's Healthy Creditworthiness: Xuzhou, as a logistic hub in
eastern China, has a budget performance that is considered
satisfactory by Fitch and a diversified socio-economic profile.
Xuzhou's gross regional product (GRP) ranks fifth largest among
all 13 prefectures in Jiangsu province, whose GRP, in turn, is
the second largest among all provinces in China. Xuzhou's GRP per
capita of CNY66,845 in 2016 was below the Jiangsu level of
CNY95,259, but higher than the national level of CNY53,890.
Nevertheless, the strengths are partially mitigated by
potentially high contingent liabilities arising from Xuzhou's
public sector entities as well as the municipality's weak
transparency.

Strategic Importance: XETZ is an integrated body of Xuzhou's
flagship economic development zone - Xuzhou Economic and
Technology Zone (Xuzhou ETZ). It is the sole entity involved in
the zone's development of large-scale urban infrastructure
projects, providing ancillary services and inviting investment.
XETZ also helps implement the blueprint of the Xuzhou municipal
government and Xuzhou ETZ management committee.

Tangible Government Fiscal Support: The government has provided
significant capital injections, subsidies and repurchased
government services to monetarily support XETZ's business, which
mainly consists of providing city services on the government's
behalf. The government further injected CNY471 million of capital
in the form of land assets in 2016.

Tight Control and Supervision: XETZ's board is mainly appointed
by the government and major projects require government approval.
The government also monitors XETZ's financing plan and debt
levels and the company is required to regularily report its
operational and financial results.

Weak Financial Profile: As a local government financing vehicle,
XETZ's financial profile in the previous five years has been
characterised by large capex, negative free cash flow and high
leverage. Fitch expects this to continue in the medium term.
Operating revenue fell by 8% in 2016, as the company invested
more money into projects that do not yet recognise revenue. Fitch
believes the revenue drop is temporary. XETZ has also
strengthened the terms and conditions of government project
repurchasing, which should improve the company's liquidity.

RATING SENSITIVITIES

Links with Municipality: An upgrade of Fitch's internal
assessment of Xuzhou municipality and a stronger or more explicit
commitment of municipal support may trigger positive rating
action on XETZ. A significant weakening of XETZ's strategic
importance to the municipality, dilution of government's
shareholding or lower municipal support may result in a
downgrade.

A downgrade may also stem from the municipality's weaker fiscal
performance or increased indebtedness leading to deterioration in
its creditworthiness.



================
H O N G  K O N G
================


LERADO FINANCIAL: Shares Suspended Over Alleged False Statements
----------------------------------------------------------------
South China Morning Post reports that Hong Kong's Securities and
Futures Commission ordered Lerado Financial Group Company to
suspend trading on June 5 after the regulator alleged the company
gave misleading information in an announcement in 2015, Lerado
said in a stock exchange filing.

The company will not proceed with its proposed rights issue plan
until it reaches a resolution with the SFC, Lerado chairman Mak
Kwong-yiu said in the statement, the Post relates. In March the
company proposed a rights issue to raise HK$460.64 million.

According to the Post, the regulator said the action was taken
after it found Lerado had given "materially false, incomplete or
misleading information" in a circular dated October 26, 2015
about an open offer.

The shares suspension order is "in the interest of the investing
public", the company cited the SFC as saying, the Post relays.

In Hong Kong, listed companies usually voluntarily suspend
trading, notes the report. The SFC rarely issues suspension
orders unless it deems it necessary to protect the interest of
investors.

According to the Post, SFC chairman Carlson Tong Ka-shing told
the South China Morning Post in an interview last week that the
regulator has stepped up enforcement action in recent months in a
bid to ensure investor protection and achieve an orderly market.

Lerado said it will make representations to the SFC in respect to
the suspension decision.

"The board is now seeking proper legal advice on the SFC letter
and will make further announcements as and when required in
accordance with the listing rules," said Mak, the report relates.

Lerado Financial Group Company is an investment holding company
principally engaged in the manufacture and sales of medical
products and plastic toys business.  The company has been listed
since 1998 and has a current market capitalisation of HK$322
million, the Post discloses. It reported a net loss of HK$246.46
million in 2016.


NOBLE GROUP: Shares Fall to Lowest Since 2000 Amid Concerns
-----------------------------------------------------------
The Strait Times reports that Noble Group's shares extended their
decline to the lowest level since 2000 amid rising investor
concern that the embattled commodity trader may not be able to
engineer a turnaround even as it presses on in talks with core
banks to try to secure more funding.

The stock tumbled as much as 11% to 28.5 Singapore cents and
traded at 30 cents at 10:58 a.m. on June 6 heading for the sixth
drop in seven sessions, the Strait Times discloses. The shares
have sunk 82% this year, cutting the group's market value to
SGD394 million, the report adds. The company has about US$2.1
billion (SGD2.9 billion) of debt obligations due by the end of
2018, according to data compiled by Bloomberg.

Hong Kong-based Noble Group Limited (SGX:N21) --
http://www.thisisnoble.com/-- engages in supply of agricultural,
industrial and energy products. The Company supplies agricultural
and energy products, metals, minerals and ores. Agriculture
products include grains, oilseeds and sugar to palm oil, coffee,
and cocoa. Energy business includes coal, gas and liquid energy
products. In metals, minerals and ores (MMO), it supplies iron
ore, aluminum, special ores and alloys. The Company operates
nearly in 140 locations. It supplies growth demand markets in
Asia and Middle East. Alcoa World Alumina and Chemicals is the
subsidiary of this company.

As reported in the Troubled Company Reporter-Asia Pacific on
May 24, 2017, S&P Global Ratings lowered its long-term corporate
credit rating on Noble Group Ltd. to 'CCC+' from 'B+'.  The
outlook is negative. At the same time, S&P lowered the long-term
issue rating on Noble's outstanding senior unsecured notes to
'CCC' from 'B'.  In addition, S&P lowered its long-term Greater
China regional scale rating on the company to 'cnCCC+' from
'cnBB-' and on the notes to 'cnCCC' from 'cnB+'.

S&P downgraded Noble because S&P believes the company's capital
structure is not sustainable.  This is due to continuing weak
cash flows and profitability, and Noble's access to funding will
have further weakened following its weak results for the three
months ending March 31, 2017.

The TCR-AP reported on May 18, 2017, that Moody's Investors
Service has downgraded Noble Group Limited's corporate family
rating and senior unsecured bond ratings to Caa1 from B2, and the
rating on its senior unsecured medium-term note (MTN) program to
(P)Caa1 from (P)B2.  The ratings outlook remains negative.



=========
I N D I A
=========


A.S. MOTORS: CARE Reaffirms B+ Rating on INR23.40cr LT Loan
-----------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
A.S. Motors Private Limited (ASMPL) as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities             23.40      CARE B+; Stable Reaffirmed

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of ASMPL continues to
remain constrained on account of its financial profile marked by
thin profitability, highly leveraged capital structure, weak debt
coverage indicators and moderate liquidity profile. The rating,
further, remains constrained on account of its presence in the
highly competitive dealership industry coupled with limited
bargaining power against the principal automobile manufacturer.
The ratings, however, continue to draw strength from the long
standing experience of the promoters with its established track
record of operations in the industry, continuous growth in its
scale of operations marked by increasing Total Operating Income
(TOI) during the last two financial years ended FY16 (refers to
the period April 1 to March 31) as well as per FY17 provisional
net sales figure, its diversified revenue mix due to its presence
in passenger car, two-wheelers and tractors segments along with
its association with established Original Equipment Manufacturers
(OEMs).

ASMPL's ability to increase its scale of operations while
improving profitability along with improvement in the solvency
position as well as efficient management of working capital shall
be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weakness

Thin profitability
The profitability of the company continued to remain thin owing
to trading nature of the business and its presence in the highly
competitive automobile dealership business. During FY16, the
PBILDT margin of the company remained stable, although PAT margin
witnessed decline over FY15 owing to higher interest expenses led
by higher availment of external borrowing.

Weak solvency position
Its capital structure continued to remain highly leveraged
attributed to increase in its total debt level pertaining to
higher reliance on external borrowings by ASMPL to fund its
working capital requirements. Furthermore, the debt service
coverage indicators of the company also stood weak and
deteriorated from FY15 level.

Moderate liquidity position
The operations of the company are working capital intensive in
nature supported largely by the bank borrowings as
evinced by almost full utilization during the past twelve months
period ended January, 2017.

Key Rating Strengths

Continuous growth in TOI
During FY16, TOI witnessed significant growth by around 23% y-o-y
on the back of increase in revenue generated from HMIL dealership
driven by increase in sales volume by around 88%. Furthermore,
growth was also driven by higher revenue generated from sale of
spares, service income along with discount received and incentive
income. Further, as per provisional result of FY17, ASMPL has
achieved Net sales of INR113.50 crore on account higher sales
volume of its entire dealership segment along with increase in
revenue from other sources, translating to moderate growth.

ASMPL was incorporated in 1988 by Mr. Sanjay Garg, Managing
Director at Gwalior, Madhya Pradesh (MP). Till June, 2014,
ASMPL was having a dealership of Tata Motors Limited's (TML)
passenger cars. However, ASMPL discontinued the dealership of TML
and established the dealership of Hyundai Motor India Limited
(HMIL) for passenger cars from July, 2014 onwards.

The company also has authorized dealership of Honda Motorcycles
and Scooters India Private Limited (HMSI). ASMPL also
has dealership of TAFE (Tractors and Farm Equipment Limited)
since 2010. ASMPL has three showrooms located at Gwalior, M.P and
also provides after sales services and spare parts for HMIL, HMSI
and TAFE at its outlet.


AAKRITI SUPER: Ind-Ra Migrates 'B+' Rating to Non-Cooperating
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Aakriti Super
Snacks Private Limited's (ASSPL) Long-Term Issuer Rating to the
non-cooperating category.  The issuer did not participate in the
rating exercise, despite continuous requests and follow-ups by
the agency.  Therefore, investors and other users are advised to
take appropriate caution while using these ratings.  The ratings
will now appear as 'IND B+(ISSUER NOT COOPERATING)' on the
agency's website.  The instrument-wise rating actions are:

   -- INR15 mil. fund-based working capital limit migrated to
      non-cooperating category; and

   -- INR120 mil. Long-term loan migrated to non-cooperating
      category

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
April 4, 2016.  Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

ASSPL was incorporated in 2012 for setting up a bakery unit.  The
operations are likely to have been started in April 2017.

Mr. Ashish Agarwal, Abhishek Agarwal, Satya Prakash Agarwal,
Vishwanath Agarwal and Manish Agarwal are the directors of the
company.


ANANDAMELA ELECTRONICS: CRISIL Cuts Rating on INR4.95MM Loan to B
-----------------------------------------------------------------
CRISIL has been consistently following up with Anandamela
Electronics Private Limited (AEPL) for obtaining information
through letters and emails dated January 19, 2017, and
February 9, 2017, among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit            4.9       CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded from
                                    'CRISIL BB-/Stable')

   Proposed Long Term     4.95      CRISIL B/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Downgraded from
                                    'CRISIL BB-/Stable')

    Term Loan             1.00      CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded from
                                    'CRISIL BB-/Stable')

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Anandamela Electronics Private
Limited. This restricts CRISIL's ability to take a forward
looking view on the credit quality of the entity. CRISIL believes
that the information available for Anandamela Electronics Private
Limited is consistent with 'Scenario 1' outlined in the
'Framework for Assessing Consistency of Information with CRISIL
B' category or lower. Based on the last available information,
CRISIL has downgraded the rating at CRISILB/Stable.

Siliguri (West Bengal)-based AEPL, incorporated in August 1987,
distributes and retails in electronic goods for LG Electronics
India Pvt Ltd, Samsung India Pvt Ltd, and Sony India Ltd.


CHAITANYA ELECTRIC: CARE Assigns B+ Rating to INR1cr LT Loan
------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Chaitanya Electric Company (CEC), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities              1         CARE B+; Stable Assigned

   Short-term Bank
   Facilities              5         CARE A4 Assigned

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of CEC are
constrained by small scale of operations with fluctuating total
operating income, declining profitability margins, leveraged
capital structure and weak debt coverage indicators, working
capital intensive nature of operations, presence in the highly
fragmented transformer manufacturing industry along with high
geographical concentration risk and constitution of the entity as
proprietorship concern with inherent risk of possibility of
withdrawal of the partners' capital at the time of personal
contingency.

The ratings, however, derive strength from experienced proprietor
with reputed clientele and government initiative and support for
the development of power sector.

Going forward, the ability of the firm to increase its scale of
operations, improve profitability margins, capital structure
and debt coverage indicators and manage the working capital
requirements efficiently are the key rating sensitivities.

Detailed Description of the key rating drivers

Key Rating Weaknesses

Small scale of operations with fluctuating total operating income
during review period
The TOI of the entity is small at INR11.84 crore when compared
with other peers in the industry. The total operating income
(TOI) of the firm has been fluctuating during review period due
to timing of receipt of orders and execution of the same. Due to
this, The TOI of the firm increased from INR10.30 crore in FY14
(refers to the period April 1 to March 31) to INR13.74 crore in
FY15, however, declined to INR11.84 crore in FY16. During
11MFY17, the firm has achieved a total operating income of
INR14.00 crore.

Declining PBILDT and fluctuating PAT margin
The PBILDT margin of the firm declined from 7.16% in FY14 to
5.76% in FY16 due to decrease in number of orders from the
clients resulting in under absorption of fixed overheads coupled
with increase in material cost. The PAT margin of the firm has
been fluctuating in the range of 2%-3% during the review due to
fluctuation in PBILDT and depreciation cost.

Elongated operating cycle
The operating cycle of the firm remained elongated and
deteriorated from 85 days in FY15 to 118 days in FY16 marked by
higher inventory period and collection period. The average
inventory period deteriorated from 103 days in FY15 to 113
days in FY16 owing to lower execution of orders. The average
collection period also deteriorated from 91 days in FY15 to
109 days in FY16 on the back of higher credit period offered to
its customers on the back of increased competition. Average
utilization of cash credit facility is 99% for the last 12 months
ended February 2017.

Presence in the highly fragmented transformer manufacturing
industry along with high geographical concentration risk
CEC operates in transformer manufacturing industry which is
characterized by large numbers of organized and unorganized
players due to the low entry barriers owing to low capital
requirement and readily available technology. The high degree of
fragmentation restricts the pricing flexibility and bargaining
power of small players which is further intensified by the tender
driven nature of the industry. Overall, it restricts profit
margins of small players. The firm receives about 100% of the
work orders from Karnataka state, resulting in high customer and
geographic concentration risk.

Constitution of the firm as proprietorship concern
Constitution as a partnership firm has the inherent risk of
possibility of withdrawal of the partners' capital at the time of
personal contingency which can affect its capital structure.
Furthermore, partnership concern has restricted access to
external borrowing which limits their growth opportunities to
some extent.

Leveraged capital structure and weak debt coverage indicators

The debt equity ratio of the firm improved from 0.20x as on
March 31, 2015, to 0.12x as on March 31, 2016, on account of
repayment of term loan coupled with increase in tangible networth
and remained comfortable at below unity level. Furthermore, the
overall gearing ratio of the firm, though improved from 2.14x as
on March 31, 2015 to 1.90x as on March 31, 2016, at the back of
accretion of profits made to networth, remains leveraged.

The debt coverage indicators of the firm marked by total
debt/GCA, though improved from 12.45x in FY14 to 8.29x in FY16
due to increase in cash accruals, remained weak. However, the
PBILDT interest coverage improved from 2.19x in FY14 to 2.44x in
FY16 due to decrease in interest cost and stood moderate.

Key Rating Strengths

Experienced proprietor with reputed clientele
CEC was established in the year 2006, promoted by Ms Bhavani
Shetty. She is a qualified graduate and has five years of
experience. She and her father are actively involved in the day-
to-day operations of the firm. The firm has reputed clientele,
ie, Kirloskar Electric Company Limited, Skill Tech and Shanta
Electricals.

Government initiative in power sector
The government initiatives and investments can be attributed as
the key market drivers. As a result of increased spending by the
government on electrification and rising power demands, the
electrical equipment manufacturers are likely to get benefitted.
Programs such as RGGVY (Rajiv Gandhi Grameen Vidyutikaran Yojana)
and R-APDRP (Revised Accelerated Power Development and Reforms
Program) are bolstering the demand for electrical equipments such
as switch gears, conductors, capacitors and transformers.
Transformers being used in generation, transmission as well as
distribution network has experienced healthy growth over the last
few years and the market is further set to rise as a result of
increased governmental focus towards rural electrification.

CEC was established in the year 2006, promoted by Ms Bhavani
Shetty. She is a qualified graduate and has five years of
experience. She is actively involved in the day-to-day operations
of the firm along with Mr. Harichandra (Father). Since inception,
the company is engaged in the manufacturing of power &
distribution transformers ranging from 10 Kilovolt Amps (KVA) to
1000 KVA. The raw materials used in manufacturing include copper
wire/rod, aluminum wire/rod, etc. The firm gets the orders
directly from the customers.

In FY16, CEC reported a Profit after Tax (PAT) of INR0.30 crore
on a total operating income of INR11.84 crore, as against a PAT
and TOI of INR0.32 crore and INR13.74 crore, respectively, in
FY15. Furthermore, the company has achieved sales of INR14 crore
during 11MFY17 (Provisional).


CHAKRI FISHERIES: CARE Assigns B+ Rating to INR1.20cr LT Loan
-------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of of
Chakri Fisheries Private Limited (CFPL), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities             1.20       CARE B+; Stable Assigned

   Short-term Bank
   Facilities            12.25       CARE A4 Assigned

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of Chakri Fisheries
Private Limited (CFPL) are constrained by short track record and
small scale of operations, leveraged capital structure and weak
debt coverage indicators, elongated operating cycle, competitive
nature of industry coupled with regulatory risk and seasonality
associated with the seafood industry and profitability margins
are susceptible to fluctuation in foreign exchange prices. The
ratings are, however, underpinned by the experience of promoters
for a decade in sea food Industry, growth in the total operating
income and moderate profitability margins.

Going forward, the ability of the company to increase its scale
of operations, improve capital structure and its debt coverage
indicators and manage working capital requirements efficiently
would be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Short track record and small Scale of operations
CFPL was incorporated in the year 2014 and started its commercial
operation from February 2014. The scale of operations of the
company is small marked by total operating income of INR17.82
crore in FY16 (refers to the period April 1 to March 31) coupled
with low net worth of INR2.16 crore as on March 31, 2016, as
compared with other peers in the industry. Leveraged capital
structure and weak debt coverage indicators CFPL was incorporated
in the year 2014 and started its commercial operation from
February 2014. The scale of operations of the company is small
marked by the total operating income of INR17.82 crore in FY16
coupled with low net worth of INR2.16 crore as on March 31, 2016,
as compared with other peers in the industry.

Elongated operating cycle
The operating cycle of the company remained elongated during
review period due to seasonal availability of shrimp and
maintaining required inventory levels to meet customers'
requirement. Fish procurement is seasonal, with the fishing
season lasting from September to May; hence, the company has to
stock fish for export during the off season. The operating cycle
of the company stood at 142 days in FY16 compared with 254 days
in FY15 due to better inventory management. The average inventory
days decreased from 354 days in FY15 to 195 days FY16 still
remained high. CFPL receives payment from its customers within 7
to 10 days and avails the credit period of 40-60 days from its
suppliers.

Competitive nature of industry coupled with regulatory risk and
seasonality associated with seafood industry
The company has to stock shrimps for export during the off
season, thus increasing its inventory levels. Apart from
seasonality, adverse climate conditions, lack of quality feed,
rampant diseases continue to pose risk in the raw material
procurement. Furthermore, due to limited value addition nature of
business and less technological input entry barriers are low. As
a result, processed sea food industry is highly competitive with
the presence of a large number of Indian players as well as
players from other international market. Furthermore, exports of
sea food is highly regulated, as exporters of sea food have to
meet various regulations imposed by importing nations as well as
imposed by the Indian government.

Profitability margins are susceptible to fluctuation in foreign
exchange prices
The company generates 100% of revenue through export sales
therefore the profitability margins of the company are
susceptible to fluctuation in foreign exchange prices on account
of absence of hedging mechanism.

Key Rating Strengths

Experience of the promoters for a decade in sea food industry
CFPL was incorporated in the year 2014, promoted by Mr. Sheshadri
Chowdary Putchakayala (Managing Director) and Ms Sireesha
Putchakayala (Director). Both the directors are qualified
engineers having a decade of experience in the sea food industry.
The directors are actively involved in the day-to-day operations
of the company. Mr. Rajendra Prasad (F/o. Mr. Sheshadri Chowdary)
has more than three decades of experience in sea food industry
and looks after the marketing activities. He is a qualified
graduate and promoter of KAMEPL. Due to long-term presence in the
market, the promoters have good relations with suppliers and
customers.

Growth in the total operating income and moderate profitability
margins during review period
The total operating income of the company increased from INR5.12
crore in FY15 to INR17.62 crore in FY16 on account of increase in
repeat orders from existing customers coupled with addition of
new customers.  CFPL has moderate profitability margins during
review period. The PBILDT margin of the company improved from
8.23% in FY15 to 8.56% in FY16 due to increase in scale of
operations resulting in absorption of fixed overheads. In line
with increase in PBILDT level, the PAT margin of the company
improved from 1.35 % in FY15 to 1.83% in FY16.

Plant located in aquaculture zone
The plant location of the company is located in aquaculture Zone
near the coastal area of Andhra Pradesh, which enables the
company to procure raw materials and send the same for process
immediately after harvest. This results in better
quality product as well as lowers the transportation cost


CONTINENTAL FURNISHERS: CRISIL Reaffirms B- INR2.25M Loan Rating
----------------------------------------------------------------
CRISIL has been consistently following up with Continental
Furnishers Private Limited (CFPL) for obtaining information
through letters and emails dated January 20, 2017, and February
9, 2017, among others, apart from telephonic communication.
However, the issuer has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee          3        CRISIL A4 (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

   Cash Credit             2.25     CRISIL B-/Stable (Issuer
                                    Not Cooperating; Rating
                                    Reaffirmed)

   Letter of Credit        0.60     CRISIL A4 (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

   Proposed Long Term      2.15     CRISIL B-/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Rating
                                    Reaffirmed)

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Continental Furnishers Private
Limited. This restricts CRISIL's ability to take a forward
looking view on the credit quality of the entity. CRISIL believes
that the information available for Continental Furnishers Private
Limited is consistent with 'Scenario 1' outlined in the
'Framework for Assessing Consistency of Information with Crisil B
Rating category or Lower' Therefore, on account of inadequate
information and lack of management co-operation, CRISIL is
Reaffirming the rating at 'CRISIL B-/Stable/ CRISIL A4'.

CFPL was incorporated in 1971; however, business operations
started in 2005. The company is promoted by Delhi-based Mr.
Sanjiv Lamba. It operates through the tender-based model and
manufactures modular furniture for corporate entities and
institutions. Its manufacturing facility is in Kalan, Una
(Himachal Pradesh).


CRESCENT INNOVATIVE: CRISIL Reaffirms B+ Rating on INR23MM Loan
---------------------------------------------------------------
CRISIL has reaffirmed its 'CRISIL B+/Stable' rating on the long-
term bank facilities of Crescent Innovative Packaging Private
Limited (CIPL).

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit             15       CRISIL B+/Stable (Reaffirmed)

   Proposed Term Loan      10.77    CRISIL B+/Stable (Reaffirmed)

   Term Loan               23       CRISIL B+/Stable (Reaffirmed)

The rating continues to reflect the company's limited track
record of profitable operations. This rating weakness is
partially offset by benefits expected from the favorable demand
prospects for bottom-welded polypropylene (PP) bags in the
cement, fertiliser, and agriculture sectors, and support from the
parent company, Crescent Organics Pvt Ltd (COPL; rated 'CRISIL
BB/Stable/CRISIL A4+').

Analytical Approach

For arriving at the ratings, CRISIL has treated unsecured loans
infused in CIPL from from the promoter company as neither debt
nor equity.

Key Rating Drivers & Detailed Description

Weakness

* Limited track record of profitable operations
CIPL's manufacturing plant in Vadodara commenced commercial
operations only in June 2012.  CRISIL believes that sustained
increase in operating margins while ramping up the operations
will remain a key rating sensitivity factor over the medium term.

Strengths

* Healthy demand prospect for bottom-welded polypropylene (PP)
bags
These bags find application in various industries such as
fertiliser, sugar, and food grains, but the primary application
is the packaging of cement. The laminated PP bags have superior
bursting strength and are seepage and moisture proof as well.
CIPL has scaled up its operations substantially during the past
years on account of strong demand for the bottom welded PP bags.
CRISIL believes that CIPL will improve its scale of operations on
account of continued steady demand demand for bottom-welded PP
bags.


* Financial support from Crescent group
CIPL is a 99 per cent subsidiary of Crescent Organics Pvt Ltd
(COPL), with the remaining 1 per cent being owned by the promoter
family. Continued fund support from COPL has helped the company
to timely repay its fixed debt obligations.

Outlook: Stable

CRISIL believes CIPL will continue to benefit over the medium
term from the healthy demand prospect for bottom-welded PP bags
and support from COPL. The outlook may be revised to 'Positive'
in case of higher-than-expected operating cash flows, driven by
substantially more-than-expected offtake, resulting in
significant improvement in the financial risk profile.
Conversely, the outlook may be revised to 'Negative' in case of
debt-funded capital expenditure, leading to weakening of the
financial risk profile.

CIPL, incorporated in 2009, manufactures bottom-welded PP bags.
The company commenced operations in May 2012. It is promoted and
owned by the Crescent group, which trades in organic chemicals.
Currently, the group's operations are managed by its chairman,
Mr. G D Shah, and his son, Mr. Ashit Shah, the managing director.

The estimated net loss was INR2.36 cr. on net sales of INR65.50
cr for fiscal 2017. For fiscal 2016, net loss was INR4.5 cr. on
net sales of INR64.69 crore.


CUDDALORE MUNICIPALITY: CARE Assigns 'B' Issuer Rating
------------------------------------------------------
CARE Ratings has assigned CARE B (Is); Stable issuer rating to
the Municipality of Cuddalore.  The rating is subject to the
municipality maintaining overall debt level not exceeding INR34
crore.

Detailed Rationale & Key Rating Drivers

The rating of the Cuddalore municipality is constrained by the
deteriorating financial health of the Municipality in recent
years. The Municipality has been registering a revenue deficit
during FY14-16 (refers to the period April 1 to March 31).
Additionally, it has low self-reliance and higher dependence on
devolution funds and grants, low tax collection efficiency,
increase in revenue expenditure, shortfalls in civic amenities
and high debt levels. The revenue expenditure of the Municipality
has been growing at a higher rate than its revenue receipts and
the own revenue of the municipality is insufficient to cover the
major expenditure like establishment expenditure, operation and
maintenance expenditure.  There has been a decline in the Capital
expenditure undertaken by the Municipality over the years and
loan repayments account for the major share of Capital
Expenditure.

The rating also takes into consideration the economic activities
carried out in the region, various reforms being undertaken by
the municipality such as digitization and creation of e-
governance infrastructure as well as its good road and rail
connectivity. Going forward, the key rating sensitivities for
Cuddalore municipality are growth in revenue receipts, steady
receipts from devolution funds, debt management and improvement
in its civic services.

Detailed description of the key rating drivers

Key rating strengths
Reform oriented administration: Various reforms have been
undertaken by the municipality such as digitisation and creation
of e-governance infrastructure. Web-based Software with a central
server for all tax collections, death and birth certificates,
annual accounts and citizen facilitation center are proposed to
be launched. This will further improve administration of the
Municipality.

Connectivity: The town is well connected by road and rail with
adjoining urban towns. As it was a seaport, it is also well
connected by water ways.

Key rating weaknesses
Deteriorating financial health: The financial position of the
Cuddalore municipality has deteriorated in recent years. The
municipality has recorded a revenue deficit for past 3 years. Tax
revenues on an average accounts for nearly 22% of the total
income. The municipality is highly dependent upon the devolution
funds and grants from the government (50% of the total income).

Low degree of self-reliance: The Municipality has low self-
reliance with only 40% of its income coming from its own sources
of revenue.

Low collection efficiency: The overall collection efficiency of
the municipality is low at around 30% and it also reflects
fluctuating trend in the past 5 years. The tax compliance of the
municipality is low and no penal action has been taken by the
municipality.

High debt levels: Cuddalore has very high level of debt at 90% of
its revenue receipts in FY16. The municipality has been
availing debt for various projects like water supply, road works
etc. The outstanding debt of the Municipality has risen
from INR20 crore in FY12 to INR34 crore in FY16.

Shortfalls in civic amenities: There are severe shortfalls in the
civic amenities provided by the municipality. Decline in capital
expenditure: There has been a decline in the Capital expenditure
undertaken by the Municipality over the years. It has declined
from INR11.9 crore to INR9.2 crore in FY16. Loan Repayments
account for the major share (60%) of Capital Expenditure.

Analytical Approach: Standalone
CARE has relied on the audited financial statements provided by
the municipality for the period FY12-FY15 and unaudited FY16
financial figures which are prepared on accrual basis as well as
the budget documents of the municipality.

Cuddalore municipality is a Special Grade Municipality that was
established in 1866. The geographical area of this municipality
is 27.69sq. Km and it is divided into 45 administrative wards.
The major responsibilities of Cuddalore Municipality includes
civic services like water supply, street lights, roads, drains,
sewerage system, solid waste management maintenance of health and
sanitation. The town is well connected by road and rail with
adjoining urban towns.


GAURAV EARTHMOVING: Ind-Ra Assigns 'BB+' Long-Term Issuer Rating
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Gaurav
Earthmoving Equipments Private Limited (GEEPL) a Long-Term Issuer
Rating of 'IND BB+'.  The Outlook is Stable.  The instrument-wise
rating actions are:

   -- INR185 mil. Fund-based limit assigned with 'IND BB+/Stable'
      rating; and

   -- INR0.5 mil. Non-fund-based limit assigned with 'IND A4+'
      rating

                         KEY RATING DRIVERS

The ratings reflect GEEPL's moderate scale of operations and
credit metrics.  According to provisional financials for FY17,
revenue was INR2.480 billion (FY16: INR1.621 billion).  The
increase in revenue was driven by higher construction equipment
sales.  In FY17, interest coverage (operating EBITDA/gross
interest expense) was 3.9x (FY16: 2.2x) and net leverage (net
debt/operating EBITDA) was 2.4x (3.0x).  Meanwhile, operating
EBITDA margin declined to 3.0% in FY17 (FY16: 3.2%) on account of
an increase in other overhead expenses.

The ratings factor in GEEPL's moderate liquidity position,
indicated by a 97.3% average utilization of its fund-based limits
during the 12 months ended April 2017.

The ratings, however, are supported by the directors' experience
of over a decade in the trading of earthmoving equipment and
spare parts and GEEPL's association with JCB India Limited for
the sale of the latter's earthmoving equipment.

                        RATING SENSITIVITIES

Negative: A decline in profitability leading to deterioration in
overall credit metrics would be negative for the ratings.

Positive: An improvement in the scale of operations and overall
credit metrics will be positive for the ratings.

COMPANY PROFILE

Incorporated in 2005, GEEPL is engaged in the trading of
earthmoving commercial equipment.  It is the authorized dealer of
JCB India.

It is owned and managed by Mr. Gaurav Kumar Shangari and Mr.
Navtej Kumar Shangari.


GOLDEN STAR: CARE Assigns B+ Rating to INR5cr Long Term Loan
------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Golden
Star Designer Private Limited (GSDPL), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities               5        CARE B+; Stable Assigned

Detailed Rationale and Key rating drivers

The rating assigned to the bank facilities of GSDPL is
constrained on account of its fluctuating scale of operations,
thin profit margins, moderately leveraged capital structure, weak
debt coverage indicators and working capital intensive nature of
its operations. The rating is further constrained by GSDPL's
presence in highly fragmented and competitive nature of industry
with presence of many unorganized players and risk associated
with fluctuation in gold prices.

The rating, however, derives comfort from its promoters being
experienced in the gems and jewelry industry. GSDPL's ability to
increase its scale of operations along with improvement in its
profit margin would be key rating sensitivity. Further, improving
its solvency position and debt protection metrics would also
remain crucial.

Detailed Description of the key rating drivers

Key Rating Weaknesses

Fluctuating TOI and thin profit margins
TOI of GSDPL has been declining since last three year period
ended FY16 and it again increased during 11MFY17. This was
primarily due to fluctuating demand from end customers as well as
volatility associated with gold prices. PBILDT and PAT margins
also remained thin during FY16.

Moderately leveraged capital structure and weak debt coverage
indicators
The solvency position of GSDPL deteriorated and stood moderately
leveraged as marked by its overall gearing which stood at 1.62
times as at March 31, 2016 as against that of 0.41 times as at
March 31, 2015 due to increase in debt during FY16. Debt coverage
ratio stood weak owing to very low level of cash accruals
compared to total debt level while interest coverage ratio stood
low owing to high interest costs against that of operating profit
level.

Working capital intensive nature of operations
Being into gems and jewellery business, GSDPL has to maintain
high inventory level which requires higher utilization of bank
borrowing. Average working capital utilization stood at around
80% for the trailing 12 months period ended February, 2017 while
operating cycle also remained elongated at 157 days during FY16.
Presence in highly fragmented and competitive nature of industry
with presence of many unorganized players GSDPL has its presence
in the gold jewelry industry which is highly fragmented in nature
with presence of numerous independent small-scale enterprises in
unorganized sector and some of the large players in the organized
sector.

Risk associated with fluctuation in gold prices
Fluctuation in the gold prices will have an impact on the margins
of players in the gems & jewellery industry. The changes in the
gold prices could impact the profitability. However, GSDPL
manages the price fluctuation risk of gold by purchasing gold on
daily basis equivalent to the quantity sold, thereby maintaining
the inventory level.

Key Rating Strengths

Experienced promoters
Mr Ganshyam P Patel and Mr. Rajesh S Jadia are the key promoters
of the company and looks after the overall operations of GSDPL.
Both of the promoters have an overall experience of over two
decades in the gems and jewelry industry.

Ahmedabad-based (Gujarat) Golden Star Designer Private Limited
(GSDPL) was incorporated in the year 2009 by Mr. Ganshyam Patel
and Mr. Rajesh Jadia. GSDPL is engaged in the business of
manufacturing and wholesale trading of gold jewelry. GSDPL
operates from its only showroom located at C.G. Road, Ahmedabad.

During FY16, GSDPL has reported a PAT of INR0.04 crore on a total
operating income of INR14.92 crore as against PAT of INR0.06
crore on a total operating income of INR19.13 crore in FY15.
During 11MFY17 (refers to the period April 1, 2016 to
February 28, 2017), GSDPL has reported a total operating income
of INR34.17 crore.


GWALIOR BYPASS: CARE Downgrades Rating on INR172.03cr Loan to D
---------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Gwalior Bypass Project Limited (GBPL), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Non-Convertible       172.03      CARE D Revised from
   Debenture issue                   CARE BB (SO) (Under credit
                                     watch with developing
                                     implications)

Detailed Rationale & Key Rating Drivers

The revision in the rating assigned to the Non-Convertible
Debenture (NCD) issue of GBPL factors in the non-payment of
interest and principle amount of NCDs due on May 31, 2017 due to
its weakened liquidity profile.

Detailed description of the key rating drivers

Key Rating Weaknesses

Delay in servicing of debt obligation: GBPL has delayed in
servicing of its debt obligations towards the NCD issue due to
deterioration in the financial and liquidity profile. NHAI had
notified the company regarding commencement of the major
maintenance work to be carried out on the carriageway considering
the deteriorated condition of the road. The company had initiated
major maintenance work on a particular stretch of 25 Km of the
carriageway with major damages, at the behest of NHAI in November
2016. Of the expected cost of INR13.5 crore, around INR12 crore
has been spent as on April 27, 2017. However, it is yet to be
completed. Delay in the major maintenance work on the stretch
resulted in non- receipt of two annuities due to be received in
Q3FY17 and Q1FY18.

It was envisaged that GBPL would enter into a fixed price O&M
contract and major maintenance contract prior to the bond
issuance as per the base case business plan. The structure had
also proposed for appropriation towards MMRA reserve in a
scheduled manner with the stipulated MMRA for the year FY15
(refers to the period April 1 to March 31) to be created out of
NCD proceeds. Also, creation of DSRA in the form of Fixed
Deposits equivalent to ensuing three months of interest on the
outstanding NCDs and 50% of the face value of the NCDs maturing
during the next redemption/due date out of issue proceeds was
proposed. The company has not created DSRA and MMRA reserves as
per the above stipulated terms.

The company has raised additional debt with subservient
charge/unsecured debt of about INR112 crore, which were mainly
utilized towards reduction in payment to creditors (pertaining to
EIEL & Era Infrastructure India Ltd (EIIL)). With the additional
debt in the books, financial risk profile of the company
weakened.

GBPL was incorporated in 2006 as Special Purpose Vehicle (SPV) by
consortium of Era Infra Engineering Ltd (EIEL, rated 'CARE D')
and its group companies with combined stake of 68.89%, Ramky
Infrastructure Limited (26.01% stake) and Shriram Chits (P)
Limited (SCPL) for implementation of a new four-lane Gwalior
Bypass from Km 103 on NH-3 to Km 16 on NH-75 (total length 42.03
km) in the State of Madhya Pradesh on BOT-Annuity Basis.

The total project cost as per original estimate was INR332.15
crore funded through equity of INR92.15 crore and debt of INR 240
crore. The project cost underwent an overrun to INR584.75 crore
and additional funds were provided by the promoters in the form
of unsecured loans and unpaid contract expenses. The company
subsequently refinanced its project debt through NCDs in FY15 and
raised INR212.87 crore.


JAMSHEDPUR MINERALS: CRISIL Ups Rating on INR5MM Loan to 'BB-'
--------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities
of Jamshedpur Minerals & Chemicals (JMC) to 'CRISIL BB-/Stable'
from 'CRISIL B+/Stable'.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit             5        CRISIL BB-/Stable (Upgraded
                                    from 'CRISIL B+/Stable')

   Foreign Letter          5        CRISIL BB-/Stable (Upgraded
   of Credit                        from 'CRISIL B+/Stable')

   Term Loan               1        CRISIL BB-/Stable (Upgraded
                                    from 'CRISIL B+/Stable')

The upgrade reflects improvement in business risk profile and
liquidity, driven by stabilisation of operations and adequate
cash accrual. Operating income was INR7.07 crore in fiscal 2016
(first full year of operations) and the same has improved further
in fiscal 2017 and the same is expected to improve further over
the medium term on account of strong clientele. Liquidity has
remained comfortable on account of moderate bank limit
utilisation and sizeable net cash accrual against debt obligation
and the same is expected to sustain over the medium term on
account improved profitability and scale of operations.

The rating reflects the extensive experience of JMC's promoters.
This strength is partially offset by the firm's below-average
financial risk profile on account of small networth high networth
and average debt protection metrics and working capital-intensive
operations.

Key Rating Drivers & Detailed Description

Strengths

* Extensive experience of promoters: Presence of around three
decades in the ferro alloy and steel industry through group
company (Team Ferro-alloys Pvt Ltd) has enabled the promoters to
establish strong relationship with customers and suppliers.

* Comfortable liquidity: Net cash accrual of around INR70 lakhs
was sufficient to meet debt obligation of INR33 lakh in fiscal
2017. Accrual is expected to improve over the medium term with
closure of term loan in fiscal 2019.

Weaknesses
* Below-average financial risk profile: - Networth was small at
INR2 crore as on March 31, 2017. Small scale and high debt level
led to muted debt protection metrics, with interest coverage and
net cash accrual to debt ratios of 1.51 times and 0.18 time,
respectively, in fiscal 2017.

* Working capital-intensive operations: - Despite improving to
199 days as on March 31, 2017, from 247 days in the previous
year, gross current assets remained high because of stretched
receivables and sizeable inventory.

Outlook: Stable

CRISIL believes JMC will benefit over the medium term from the
extensive experience of its promoters. The outlook may be revised
to 'Positive' in case of a significant increase in revenue and
cash accrual, efficient working capital management, or better
financial risk profile because of equity infusion by promoters.
The outlook may be revised to 'Negative' if low accrual,
deterioration in working capital management, or large,
unexpected, debt-funded capital expenditure further weakens
financial risk profile, particularly liquidity.

Established in 2014 in Jamshedpur as a partnership firm by Mr.
Manoj Kumar Gutgutia, Mr. A K Gutgutia, Mr. Shiv Kumar Agarwal,
and Mr. Ramjanam Singh, JMC manufactures ferro alloys such as low
carbon ferro manganese, ferro molybdenum, and ferro titanium.
Commercial operations began from February 2015.

Profit after tax was INR7 lakh on revenue of INR7.07 crore in
fiscal 2016, against net loss of INR9 lakh on revenue of INR0.48
crore in fiscal 2015.


K. S. BIGILI: CRISIL Assigns B- Rating to INR5MM Cash Loan
----------------------------------------------------------
CRISIL has assigned is 'CRISIL B-/Stable/CRISIL A4' ratings to
the bank loan facilities of K. S. Bigili (KSB). The ratings
reflect KSB's modest scale of operations in the intensely
competitive civil construction industry and its below-average
financial risk profile. The above mentioned weaknesses are
partially offset by the extensive experience of KSB's promoters
in the civil construction industry.

                          Amount
   Facilities           (INR Mln)     Ratings
   ----------           ---------     -------
   Proposed Long Term
   Bank Loan Facility        4        CRISIL B-/Stable

   Cash Credit               5        CRISIL B-/Stable

   Letter of Credit          1        CRISIL A4

Key Rating Drivers & Detailed Description

Weakness

* Modest scale of operations in the intensely competitive civil
construction industry: KSB reported modest revenue of INR1.2
crores in fiscal 2016. The civil construction industry is marked
by presence of several large and small players leading to intense
industry competition. Tender based revenues and intense
competition affects the business risk profile of modest player
like KSB.

* Below-average financial risk profile: KSB's financial risk
profile is below-average marked by modest networth of INR0.6
crore and high gearing of 4.7 times as on March 31, 2016.
Interest coverage was average at 1.5 times for fiscal 2016.

Strengths

* Extensive promoter experience in the civil construction
industry: The promoter has been in the industry for over a decade
and with the extensive experience and established track record of
successful completion of orders, KSB gets regular orders from its
customers.

Outlook: Stable

CRISIL believes that KSB will benefit from the extensive
experience of the promoters in the civil construction industry.
The outlook may be revised to 'Positive' in case KSB reports
improvement in its scale of operations, efficient working capital
management and better capital structure, leading to overall
improvement in the financial risk profile of the company.
Conversely, the outlook may be revised to 'Negative' in case the
firm reports lower than expected profitability, weakening of its
working capital management or if it undertakes a significant
debt-funded capital expenditure programme, leading to
deterioration in its liquidity.

KSB is based out of Kollam, Kerala and is engaged in civil
construction work for various Government departments.

KSB reported Profit after tax (PAT) of INR0.1 crore on revenue of
INR1.2 crores in fiscal 2016, as against INR0.1 crore and INR1.1
crores, respectively in fiscal 2015.


KAMAKHYA TRANSFORMERS: Ind-Ra Puts 'BB' Rating to Non-cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Kamakhya
Transformers' (KT) Long-Term Issuer Rating to the non-cooperating
category.  The issuer did not participate in the rating exercise,
despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings.  The rating will
now appear as 'IND BB(ISSUER NOT COOPERATING)' on the agency's
website.  The instrument-wise rating actions are:

  -- INR16 mil. Fund-based working capital limit migrated to non-
     cooperating category; and

   -- INR23 mil. Non-fund-based working capital limit migrated to
      non-cooperating category; and

   -- INR13.5 mil. Proposed non-fund-based working capital limit
      migrated to non-cooperating category

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
April 1, 2016.  Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

KT was incorporated in 2009 in Guwahati (Assam) by partners
Mr. Deepak Agarwal, Ms. Prita Agarwal, Ms. Rakhi Agarwal,
Mr. Govindram Agarwal, Mr. Pramod Kumar Agarwal, Mr. Kamal Kant
Agarwal and Mr. Bharat Agarwal.  It manufactures and repairs
distribution transformers with voltage capacities from 10kVA 1ph.
to 630kVA 3ph.  The company has a tie-up with the Central Power
Research Institute in Bhopal for transformer testing.


LAL BABA: CRISIL Reaffirms B- Rating on INR13.5MM Cash Loan
-----------------------------------------------------------
CRISIL has been consistently following up with Lal Baba Seamless
Tubes Private Limited (LBSTPL) for obtaining information through
letters and emails dated January 20, 2017, and February 10, 2017,
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit            13.5      CRISIL B-/Stable (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

   Term Loan               1.82     CRISIL B-/Stable (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Lal Baba Seamless Tubes
Private Limited. This restricts CRISIL's ability to take a
forward looking view on the credit quality of the entity. CRISIL
believes that the information available for Lal Baba Seamless
Tubes Private Limited is consistent with 'Scenario 1' outlined in
the 'Framework for Assessing Consistency of Information with
Crisil B Rating category. Or Lower' Therefore, on account of
inadequate information and lack of management co-operation,
CRISIL is Reaffirming the rating at 'CRISIL B-/Stable'.

Incorporated in 2006, LBSTPL manufactures carbon and alloy steel
seamless tubes. The tubes are primarily used in the oil and gas
industry, steam boilers, pipelines, engineering industry and
other processing industries.


LIMRA ENTERPRISES: CARE Assigns B+ Rating to INR3cr LT Loan
-----------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Limra
Enterprises (Limra), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities              3         CARE B+; Stable Assigned

   Short-term Bank
   Facilities              3         CARE A4 Assigned

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of Limra are
primarily constrained by weak financial risk profile marked by
small scale of operations coupled with low net worth base, low
profitability margins, leveraged capital structure and weak debt
coverage indicators. Furthermore, the ratings are also
constrained by Limra's risk related with foreign exchange
fluctuations, government regulations and presence in a highly
fragmented timber sector with low entry barriers and high
competition.

The rating constraints, however, are partially off-set from the
experienced promoter coupled with long track record of
operations, growing scale of operations, moderate operating cycle
and location advantage of the processing unit. Going forward, the
ability of Limra to increase its scale of operations while
improving its profitability margins and its capital structure
shall be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses
Small scale of operations coupled with low net worth base:
Limra's operations remained small as evident from the total
operating income of INR20.29 crore in FY16 (refers to the period
April 1 to March 31) and net worth base of INR0.85 crore as on
March 31, 2016, which limits the firm's financial flexibility in
times of stress and deprives it from scale benefits.

Weak financial risk profile: Limra's weak financial risk profile
is marked by low profitability margin, leveraged capital
structure and weak debt coverage indicators.

The firm's profitability margins have been historically on the
lower side owing to low value addition nature and highly
competitive nature of industry. Moreover, the capital structure
of the firm stood leveraged owing to high proportion of LC-backed
creditors since the firm purchases mostly through imports backed
by Letter of credit (normally up to 120 days) and low net worth
base. Furthermore, the firm's debt coverage indicators as marked
by interest coverage and total debt to GCA stood weak.

Foreign exchange fluctuation risk: The firm is mainly importing
material from South Africa, Singapore & Malaysia and its import
procurement to raw material cost stood at 80% for last three
financial years (FY14-FY16). The material is completely sold in
the domestic market. With initial cash outlay for procurement in
foreign currency and significant chunk of sales realization in
domestic currency, the firm is exposed to the fluctuation in
exchange rates which the firm does not hedge.

Susceptibility to fluctuation in log prices and government
regulations: Limra imports majority of the timber logs
requirement (around 80% of total purchases) from South Africa,
Singapore & Malaysia. This exposes the firm to adverse changes in
the government policies in these countries with respect to
export. Earnings are also susceptible to the regulatory policies
relating to the tariff barriers (import duty, custom duty), non-
tariff barriers (restriction on quantity of imports) anti-dumping
duties, international freight rates and port charges etc.
Furthermore, the firm is also exposed to volatility in the log
prices as it does not enters into any contract for purchase of
raw materials.

Presence in a highly fragmented timber sector with low entry
barriers and high competition: Timber trading business is
characterized by high volumes and low margins. The timber trading
sector is highly competitive, comprising a large number of
players in the organized segment as a result of low entry
barriers. Furthermore, the timber industry is primarily dependent
upon the demand of real estate and construction sector across the
globe. The risk is partially mitigated by the fact that the
promoter has considerable experience in this industry.

Key Rating Strengths

Experienced proprietor coupled with long track record of
operations: Limra is managed by Mr. Anwar Husain, who has
accumulated vast experience of nearly two decades through his
association with this entity. He is ably supported by his
son Mr. Mohamed Ahmar. They collectively look after the overall
operations of the firm. The proprietor has a considerable
track record in the industry which has resulted in long-term
relationships with suppliers and customers.

Growing scale of operations: The scale of operations of Limra has
shown growth at a CAGR of around 50% during FY14-FY16. The total
operating income increased from INR9.92 crore in FY15 to INR20.29
crore during FY16 at a growth rate of around 104.56% on y-o-y
attributable to increase in quantity sold to existing and new
customers.

Moderate operating cycle: The operating cycle of the firm stood
moderate during the last three financial years (FY14-FY16)
primarily on account of high inventory days since the firm is
required to maintain adequate inventory of traded goods of around
three month on account of high lead time for procurement and firm
has to meet the immediate demands of its customers. The firm had
moderate payable period due to high proportion of LC-backed
creditors since the firm purchases mostly through imports backed
by LC (normally up to 120 days).

Location advantage: The branch office of Limra is located in the
timber cluster where the wood is processed in various shapes and
sizes at Gandhidham, Gujarat, which is very close to the port of
Kandla. Kandla is a hub for wood-based industries, having around
1500 wood-based industries, and accounting for 55% of India's
timber imports.

Moradabad-based (Uttar Pradesh) Limra Enterprises (Limra) was
established in 1994 as a proprietorship firm and is managed by
Mr. Anwar Husain. Limra is engaged into processing & trading of
different types of wooden logs like teak, sagwan, etc. The
procurement is mainly in the form of imports (around 80%) from
South Africa, Singapore & Malaysia and rest (around 20%) from
traders. The processing facility of the firm is located in
Gandhidham, Gujarat. The firm sells its products to wholesalers
and traders located in Uttar Pradesh & Delhi.

Limra reported a PAT of INR0.17 crore on a total operating income
of INR20.29 crore in FY16 as against PAT of INR0.12 crore on a
total operating income of INR9.92 crore in FY15. In 11MFY17
(based on provisional results), the firm has achieved total
operating income of close to INR17.00 crore.


MAGNUM STEELS: CRISIL Cuts Rating on INR5.5MM LT Loan to 'B'
------------------------------------------------------------
CRISIL has been consistently following up with Magnum Steels
Limited (MISPL) for obtaining information through letters and
emails dated January 20, 2017, and February 10, 2017, among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit             5        CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded from
                                    'CRISIL BB-/Stable')

   Letter of credit        2        CRISIL A4 (Issuer Not
   & Bank Guarantee                 Cooperating; Downgraded from
                                    'CRISIL A4+')

   Proposed Long Term      5.5      CRISIL B/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Downgraded from
                                    'CRISIL BB-/Stable')

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Magnum Steels Limited. This
restricts CRISIL's ability to take a forward looking view on the
credit quality of the entity. CRISIL believes that the
information available for Magnum Steels Limited is consistent
with 'Scenario 1' outlined in the 'Framework for Assessing
Consistency of Information with Crisil B Rating category or
Lower' Therefore, on account of inadequate information and lack
of management co-operation, CRISIL is downgrading the rating at
'CRISIL B/Stable/CRISIL A4'.

Magnum was originally set up in 1991 as a private limited
company, which was reconstituted as a closely held public company
in 1995. It manufactures spring steel flats, high-strength
deformed steel bars, and thermo-mechanically-treated bars through
the electric arc process. As part of its backward integration
programme, it acquired DA in 1990-91 and MISPL in 1997; both
companies manufacture ingots and billets used as raw material by
Magnum. The company also trades in agricultural products.


MANJUSHREE INNOVATIONS: CRISIL Reaffirms B+ Rating on INR35M Loan
-----------------------------------------------------------------
CRISIL's has reaffirmed its 'CRISIL B+/Stable' rating on the
long-term bank facility of Manjushree Innovations Private
Limited.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Term Loan               35       CRISIL B+/Stable (Reaffirmed)

The rating continues to reflect the company's exposure to risks
related to stabilisation of operations since at nascent stage,
and modest financial risk profile because of expected small
networth and large debt raised to fund project. These weaknesses
are partially offset by the extensive experience of its promoters
in the flexible packaging business.

Key Rating Drivers & Detailed Description

Weakness

* Nascent stage of operations: Since operations began from
March 29, 2017, ramp up in sales will be monitored closely.

* Expected modest financial risk profile: Aggressive funding mix
and expected modest networth and cash accrual for fiscal 2018 are
likely to lead to a weak financial risk profile. Nonetheless,
funding from promoters will partly support financial risk
profile.

Strengths

* Extensive experience of promoters: Presence of almost two
decades in the flexible packaging business through group entities
has enabled the promoters to establish healthy relationship with
clientele comprising large corporates and medium and small
players.

Outlook: Stable

CRISIL believes the extensive experience of MIPL's promoters will
help stabilise operations in a timely manner. The outlook may be
revised to 'Positive' in case of timely ramp up in operations and
sufficient cash accrual. The outlook may be revised to 'Negative'
if lower-than-expected capacity utilisation or significantly
stretched working capital cycle further weakens financial risk
profile, particularly liquidity.

Incorporated in May 2011 and promoted by Guwahati-based Mr.
Shekhar Agarwal, Mr. Ranjit Agarwal, Mr. Puneet Agarwal, and Mr.
Dinesh More, MIPL manufactures flexible packaging material such
as multilayer films and laminate rolls/pouches. Unit commenced
operations from March 29, 2017.


MARS PLYWOOD: CRISIL Lowers Rating on INR31MM Loan to 'D'
---------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Mars Plywood Industries Private Limited (MPIL) to 'CRISIL
D/CRISIL D' from 'CRISIL B-/Stable/CRISIL A4'

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee         .75       CRISIL D (Downgraded from
                                    'CRISIL A4')

   Cash Credit           8.50       CRISIL D (Downgraded from
                                    'CRISIL B+/Stable')

   Letter of Credit     31.00       CRISIL D (Downgraded from
                                    'CRISIL A4')

   Standby Line          6.00       CRISIL D (Downgraded from
   of Credit                        'CRISIL A4')

The downgrade reflects irregularity in payment of interest in the
cash credit account.

Key Rating Drivers & Detailed Description

Weakness

* Stretched liquidity leading to delay in payment of interest
Low cash accrual and high dependence on working capital bank debt
led to weak liquidity, and hence, delay in payment of interest
for the cash credit facility.

Strengths

* Extensive experience of the promoters, backed by an established
brand and dealer network
The three decade-long experience of the promoters in the timber-
processing business, established brand of Mars plywood in the
premium segment, and strong dealership and distribution network,
will continue to support the business risk profile. The promoters
have geographically expanded the scale through the inorganic
route, to capitalise on proximity to raw material sources, which
is a key determinant of cost. Though the company mainly caters to
West Bengal, it also supplies to all major states across the
country.

MPIL was established by Mr Roshan Lal Agarwal in 2001. The
company has plywood manufacturing units in Kolkata and Mangaluru,
with capacities of 20,000 square metre (sqm) and 12,000 sqm, per
annum, respectively. The key product, premium-grade plywood, is
sold under the Mars Ply brand.

Estimated profit after tax for fiscal 2016 INR2.01 cr against
revenue of INR146.89 crores whereas in fiscal 2015 it was INR2.10
crores and INR143.91 crores respectively.


MATRIX AGRO: CARE Issues 'D' Issuer Not Cooperating Rating
----------------------------------------------------------
CARE has been seeking information from Matrix Agro Private
Limited (MAPL) to monitor the ratings vide e-mail communication
dated May 19, 2017 and numerous phone calls. However, despite our
repeated requests, the company has not provided the requisite
information for monitoring the rating. In line with the extant
SEBI guidelines, CARE has reviewed the rating on the basis of the
publicly available information which however, in CARE's opinion
is not sufficient to arrive at a fair rating. The rating on
Matrix Agro Private Limited's bank facilities will now be denoted
as CARE D; ISSUER NOT COOPERATING.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank        31.87       CARE D; Issuer not
   Facilities                        cooperating; Based on best
                                     Available Information

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating.

The rating has been revised on the back of the on-going delay in
its debt servicing.

Detailed description of the key rating drivers

Delay in debt servicing
The rating has been revised on the back of ongoing delays in its
debt servicing due to weak liquidity position.

Matrix Agro Private Limited (MAPL) has been promoted by Mrs
ShobanaKamineni and Mr. K. Sri Harsha to set up a biomass-based
power plant of 6-MW capacity in Polakpalli village, Gulbarga
district, Karnataka. The power generated from the power plant is
being sold to the Apollo group of hospitals (Apollo Hospitals,
Apollo Speciality, and Apollo BGS), Distant Learning Internet
India Limited, Vydehi Institute of Medical Sciences & Research
Centre, and Srinivasa trust through Karnataka Power Transmission
Corporation's (KPTCL) and respective Bangalore Electricity supply
company Limited (BESCOM). The company has achieved COD on
December 9, 2015 (against earlier envisaged December 2014).


MAXVEL REALTECH: CRISIL Reaffirms B+ Rating on INR15MM LT Loan
--------------------------------------------------------------
CRISIL has reaffirmed its 'CRISIL B+/Stable' rating to the long-
term bank facility of Maxvel Realtech Private Limited (MRPL).

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Proposed Long Term
   Bank Loan Facility      15       CRISIL B+/Stable (Reaffirmed)

   Term Loan                5       CRISIL B+/Stable (Reaffirmed)

The rating continues to reflects MRPL's exposure to demand,
funding, and completion risks associated with the ongoing project
and susceptibility to cyclicality inherent in the real estate
industry. These rating weaknesses are partially offset by
extensive experience of promoters in the real estate business and
moderate bookings and realization.

Key Rating Drivers & Detailed Description

Weakness

* Exposure to demand, funding, and completion risks associated
with the ongoing project: Till March 2017, less than half units
were booked. Also, total 5 towers (122 units) have to be
constructed. For tower A and B, 90% construction has been
completed, for tower C and D, 75-80% construction has been
completed and for the tower E, 20% construction has been
completed. Entire project is expected to get complete by March
2019. The company is also planning to avail incremental debt for
the project which is yet to be sanctioned.  Hence, exposure to
demand, funding, and completion risk is expected to continue over
the medium term.

* Susceptibility to cyclicality inherent in the real estate
industry: The company is susceptible to risks pertaining to
inherent cyclicality in the real estate sector.

Strengths

* Extensive experience of promoters in the real estate business:
MRPL's promoters have over a decade of industry experience and
had executed various projects in the past in Delhi and Panipat.

* Moderate bookings and realization: Bookings and advances
received will remain rating sensitivity factor over the medium
term. Till March 2017, 41% of the units have been booked for
which INR15 crores of booking advance was received.

Outlook: Stable

CRISIL believes MRPL will continue to benefit over the medium
term from promoters' extensive industry experience. The outlook
may be revised to 'Positive' in case the customer response to the
project is significantly better than expected leading to higher
cash flow generation and improvement in financial risk profile.
On the other hand, the outlook may be revised to 'Negative' if
cash flow is significantly below expectation, due to subdued
response to the project or lower than envisaged flow of advances,
affecting its debt servicing ability.

MRPL (formerly, Sanjay Cements Pvt Ltd) was incorporated in 1989.
It is promoted by Mr. Rajinder Khurana, Mr. Rajender Saluja, Mr.
Siddharth Agarwal, and Mr. Amarjeet Singh, and develops real
estate. The company is developing a residential complex ' Maxvel
Residency in Dehradun (Uttarakhand).

The company reported loss of INR0.02 crores on total revenue of
INR0.01 crores in fiscal 2016 against loss of INR0.08 crores on
total revenue of INR0.004 crores in fiscal 2015.


MITER AND MITER: CRISIL Cuts Rating on INR9MM Term Loan to 'B'
--------------------------------------------------------------
CRISIL has been consistently following up with Miter and Miter
Engineers Private Limited (MMEPL) for obtaining information
through letters and emails dated January 24, 2017, and
February 14, 2017, among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee          1        CRISIL A4 (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL A4+')

   Cash Credit             4.5      CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL BB-/Stable')

   Proposed Long Term      3.5      CRISIL B/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Downgraded
                                    from 'CRISIL BB-/Stable')

   Term Loan               9        CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL BB-/Stable')

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Miter and Miter Engineers
Private Limited. This restricts CRISIL's ability to take a
forward looking view on the credit quality of the entity. CRISIL
believes that the information available for Miter and Miter
Engineers Private Limited is consistent with 'Scenario 1'
outlined in the 'Framework for Assessing Consistency of
Information with Crisil B Rating category or Lower' Therefore, on
account of inadequate information and lack of management co-
operation, CRISIL is Downgrading the rating at 'CRISIL B/Stable/
CRISIL A4'.

EEPL was incorporated in 1970 in Amritsar, Punjab, promoted by
Mr. Dev Mitter. The promoter has been manufacturing steering
wheels under his firm, Emdet Engineers, since 1960. In 1988,
EEPL's manufacturing facilities were shifted to Pune,
Maharashtra, while its head office remained in Amritsar. The
company is currently managed by Mr. Naavniit Miterr and Mrs.
Jyotsna Miter. In 1986, Mr. Naavniit Miterr established MMEPL in
Pantnagar, Uttarakhand, to manufacture automotive components. The
company is managed by Mr. Nishchay Miterr and Mrs. Radhika
Mitter.


MOHIT ISPAT: CRISIL Lowers Rating on INR15MM Cash Loan to 'B'
-------------------------------------------------------------
CRISIL has been consistently following up with Mohit Ispat
Limited (MIL) for obtaining information through letters and
emails dated January 27, 2017, and February 24, 2017, among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee         3.5       CRISIL A4 (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

   Cash Credit           15.0       CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded from
                                    'CRISIL B+/Stable')

   Letter of Credit      10.0       CRISIL A4 (Issuer Not
                                    Cooperating; Rating
                                    Reaffirmed)

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Mohit Ispat Limited. This
restricts CRISIL's ability to take a forward looking view on the
credit quality of the entity. CRISIL believes that the
information available for Mohit Ispat Limited is consistent with
'Scenario 1' outlined in the 'Framework for Assessing Consistency
of Information with Crisil B Rating category or Lower' Therefore,
on account of inadequate information and lack of management co-
operation, CRISIL has downgraded the long term rating to 'CRISIL
B/Stable' and reaffirmed short term rating at 'CRISIL A4'.

MIL manufactures thermo-mechanically treated (TMT) bars and mild
steel ingots. The company has two manufacturing units in Goa,
with installed ingot capacity of 19,200 tonnes per annum (tpa)
and TMT bar capacity of 45,000 tpa. WCIPL (also based at Goa) has
an installed ingot capacity of 32,000 tpa. The group sells its
TMT bars under the Hegemon-500 brand in Karnataka, Kerala,
Maharashtra, and Goa.


OASIS DISTILLERIES: CRISIL Cuts Rating on INR41.5MM Loan to 'B'
---------------------------------------------------------------
CRISIL has been consistently following up with Oasis Distilleries
Limited (ODL) for obtaining information through letters and
emails dated January 20, 2017, and February 10, 2017, among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee        4.75       CRISIL A4 (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL A4+')

   Cash Credit          41.50       CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL BB/Stable')

   Inland/Import          .25       CRISIL A4 (Issuer Not
   Letter of Credit                 Cooperating; Downgraded
                                    from 'CRISIL A4+')

   Proposed Long Term    1.50       CRISIL B/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Downgraded
                                    from 'CRISIL BB/Stable')

   Standby Line of       4.00       CRISIL B/Stable (Issuer Not
   Credit                           Cooperating; Downgraded
                                    from 'CRISIL BB/Stable')

   Term Loan            19.00       CRISIL B/Stable (Issuer Not
                                    Cooperating; Downgraded
                                    from 'CRISIL BB/Stable')

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Oasis Distilleries Limited.
This restricts CRISIL's ability to take a forward looking view on
the credit quality of the entity. CRISIL believes that the
information available for Oasis Distilleries Limited is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with Crisil B Rating
category or Lower' Therefore, on account of inadequate
information and lack of management co-operation, CRISIL is
Downgrading the rating at 'CRISIL B/Stable/ CRISIL A4'.

For arriving at its ratings, CRISIL continues to combine the
business and financial risk profiles of ODL and Malbros
International Pvt Ltd (MIPL). This is because both ODL and MIPL,
together referred to as the Oasis combine, have a common
management team - Mr. Deiip Malhotra controls and manages the
strategic functions of the combine, assisted by his family
members and other professionals. Moreover, the two companies are
in the same line of business, and have operational and financial
linkages.

The Oasis company was founded by the late Mr. Om Prakash
Malhotra. The combine manufactures and trades in rectified
spirits, country liquor, and Indian-made foreign liquor (IMFL) in
Punjab, MP, National Capital Region, and Haryana. The founder's
son Mr. Deiip Malhotra is the combine's current chairman and
managing director.


PEW ENGINEERING: CRISIL Cuts Rating on INR10MM LT Loan to 'B'
-------------------------------------------------------------
CRISIL has been consistently following up with PEW Engineering
Private Limited (PEWEPL) for obtaining information through
letters and emails dated January 30, 2017, and February 28, 2017,
among others, apart from telephonic communication. However, the
issuer has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Proposed Long Term      10       CRISIL B/Stable (Issuer Not
   Bank Loan Facility               Cooperating; Downgraded from
                                    'CRISIL BB/Stable')

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of PEW Engineering Private
Limited. This restricts CRISIL's ability to take a forward
looking view on the credit quality of the entity. CRISIL believes
that the information available for PEW Engineering Private
Limited is consistent with 'Scenario 1' outlined in the
'Framework for Assessing Consistency of Information with Crisil B
Rating category or Lower' Therefore, on account of inadequate
information and lack of management co-operation, CRISIL is
Downgrading the rating at 'CRISIL B/Stable'.

PEWEPL, incorporated in 2010 by Kolkata-based Dhanuka family,
manufactures railway components such as stainless steel air
reservoirs, air break cylinders, check valve, and passenger
emergency alarm signal devices and others.


PRATHISHTA BUSINESS: Ind-Ra Assigns 'D' Long-Term Issuer Rating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Prathishta
Business Solutions Private Limited (PBSPL) a Long-Term Issuer
Rating of 'IND D'.  The instrument-wise ratings actions are:

  -- INR448.45 mil. Term loans (long-term)* assigned with 'IND D'
     rating;

  -- INR10 mil. Fund-based working capital facilities (long-
     term/short-term) assigned with 'IND D/IND D' rating;

  -- INR120 mil. Non-fund-based working capital facilities
     (short-term) assigned with 'IND D' rating

                         KEY RATING DRIVERS

The ratings reflect instances of delay in principal and interest
repayment on the term loans by PBSPL for the 12 months ended
March 2017 due to tight liquidity position.

                        RATING SENSITIVITIES

Positive: Timely debt servicing for three consecutive months
could be positive for the ratings.

COMPANY PROFILE

Incorporated in 2013 as a private limited company, PBSPL is a co-
packer/contract manufacturer for PepsiCo Holdings India Private
Limited's 500ml and 1,000ml packaged drinking water under the
Aquafina brand.  The company's manufacturing facility is located
in Tirunelveli district of Tamil Nadu.  The facility began
commercial production on April 9, 2016.


R. S. ENTERPRISES: CARE Assigns B+ Rating to INR9cr LT Loan
-----------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of R. S.
Enterprises (RSE), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities              9         CARE B+; Stable Assigned

Detailed Rationale and key rating drivers

The rating assigned to the bank facilities of R. S. Enterprises
(RSE) is primarily constrained by small scale of operations
coupled with low net worth base, low profitability margins,
leveraged capital structure and weak debt service coverage
indicators. The rating is further constrained by partnership
nature of its constitution and highly competitive & fragmented
nature of industry.

The rating, however, draws comfort from experienced partners,
growing scale of operations and moderate operating
cycle.

Going forward; ability of the firm to profitably increase its
scale of operations while improving its profitability margins,
capital structure with effective working capital management shall
be the key rating sensitivities.

Detailed description of the key rating drivers

Key rating weakness
Modest scale of operations: Despite the growth registered on
y-o-y basis in last 3 financial years (FY14-FY16 refers to the
period April 1 to March 31) the scale of operations stood modest
which limits the firm's financial flexibility in times of stress
and deprives it of scale benefits.

Low profitability margins, leveraged capital structure and weak
coverage indicators: The firm's profitability margins have been
historically on the lower side owing to the trading nature of the
business and intense market competition given the highly
fragmented nature of the industry. Higher interest cost further
restricted the net profitability of the firm and the same
remained below 0.30% for the past three financial years i.e.
FY14-FY16. The capital structure of the firm stood leveraged due
to high dependence on external borrowings to meet working capital
requirements. Furthermore, coverage indicators as marked by
interest coverage ratio and total debt to GCA stood also stood
weak for the past three financial years i.e. (FY14-FY16) owing to
low profitability margins and low cash accruals.

Intense competition given the highly fragmented nature of
industry: RSE operates in a highly fragmented industry where
there is presence of large number of players in the unorganized
sector and organized sectors. There are number of small and
regional players and catering to the same market which has
limited the bargaining power of the firm and has exerted pressure
on its margins.

Key rating Strength
Experienced promoters: The partners viz. Mr. Samir Kumar Singhal
and Mr. Achin Kumar Singhal are graduates by qualification. They
have extensive experience varied up to two decades in the fabric
trading industry through their association with this entity.

Moderate operating cycle: The firm has to maintain inventory of
wide range, colour and designs of fabrics to cater immediate
demand of the customers. The same resulted into an average
inventory period of 57 days for FY16. The firm procures material
mainly in cash basis however, the firm allows an average credit
period of around half a month to its customers on account of
competitive nature of industry.

Delhi-based R. S. Enterprises (RSE) is a partnership firm
established in 2006. RSE succeeded an erstwhile proprietorship
firm established in 1995 by Mr. Samir Kumar Singhal. The firm is
currently being managed by Mr. Samir Kumar Singhal and Mr. Achin
Kumar Singhal sharing profit and losses equally. RSE is engaged
in trading of various types of fabrics viz., Cambric dyeel,
cambric chicken print, cambric gray, and cotton gray. The firm
procures traded goods domestically from manufacturers located in
Delhi, Ahmedabad, Surat etc. RSE caters to local garment
manufacturers based mainly in North India.

The total operating income and PAT of the firm stood at INR55.01
crore and INR0.13 crore in FY16 (refers to the period April 1 to
March 31). Further, in 6MFY17 (refers to the period April 1, 2016
to September 30, 2016), the firm has achieved sales of INR32.00
crore (based on provisional results).


RAJ REGENCY: Ind-Ra Migrates 'B+' Rating to Non-Cooperating
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Raj Regency's
Long Term Issuer Rating to the non-cooperating category.  The
issuer did not participate in the rating exercise despite
continuous requests and follow-ups by the agency.  Therefore,
investors and other users are advised to take appropriate caution
while using these ratings.  The rating will now appear as
'IND B+(ISSUER NOT COOPERATING)' on the agency's website.  The
instrument-wise rating action is:

   -- INR60 mil. Term loan migrated to non-cooperating category

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on 3
May 3, 2016.  Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in December 2014, Raj Regency is a hotel located in
Rajnandgaon, Chhattisgarh.  It has 23 rooms and facilities such
as coffee shop, bar, restaurant and banquet.  It is managed by
partners Surinder Kaur Bhatia, Harjeet Singh Bhatia and Jasvindar
Singh Bhatia.


RANK CRANES: Ind-Ra Affirms 'BB+' Long-Term Issuer Rating
---------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Rank Cranes
Private Limited's (RCPL) Long-Term Issuer Rating at 'IND BB+'.
The Outlook is Stable.  The instrument-wise rating actions are:

   -- INR30 mil. (increased from INR13.70) fund-based working
      capital limits affirmed with 'IND BB+/Stable' rating; and

   -- INR50 mil. non-fund-based working capital limits affirmed
      with 'IND A4+' rating

                        KEY RATING DRIVERS

The ratings reflect RCPL's continued small scale of operations,
as evident from its revenue of INR187 million in FY17 based on
provisional financials and INR151 million in FY16.  The revenue
improved in FY17 because of the healthy execution of work orders.

However, the ratings are supported by RCPL's continued strong
credit metrics, due to low debt.  Gross interest coverage
improved to 8.2x in FY17 (FY16: 7.5x) and net financial leverage
reduced to 0.7x (1.0x), due to an improvement in operating
EBITDA.  The ratings are also supported by the company's strong
operating EBITDA margins (FY17: 8.8%; FY16: 8.5%) and comfortable
liquidity position, with 72.37% average utilization of the fund-
based working capital limits during the seven months ended April
2017.

Moreover, the company's founders have an experience of more than
two decades in the crane manufacturing and assembly business.

                       RATING SENSITIVITIES

Positive: An improvement in the scale of operations and a
substantial increase in profitability, along with maintenance of
its credit metrics, could lead to a positive rating action.

Negative: Deterioration in profitability, leading to
deterioration in overall credit metrics, could lead to a negative
rating action.

COMPANY PROFILE

RCPL was incorporated in 1983 by Mr. N Ramesh Babu and Mr. S A
Narasimha Raju; it manufactures and assembles industrial cranes
and other material handling equipment used in various industries
such as engineering, cement, coal, steel and power.  The
company's manufacturing facility is located in Bollaram
(Telangana).


RELIANCE COMMUNICATIONS: CARE Cuts Rating on INR9,322cr Loan to D
-----------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Reliance Communications Limited (RCOM), as:

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long term Bank        9,322      CARE D Revised from CARE BB
   Facilities                       (Credit Watch with Developing
                                    Implications)

   Short term Non-       8,034      CARE D Revised from CARE A4
   Fund based                       (Credit Watch with Developing
   facilities                       Implications)

   Long term instruments   750      CARE D Revised from CARE BB
   (NCD)                            (Credit Watch with Developing
                                    Implications)

   Short term debt       2,880      CARE D Revised from CARE A4
   Issue                            (Credit Watch with Developing
                                    Implications)

Rating Rationale

The revision in the ratings assigned to the bank facilities, NCD
issue and short term debt issue of RCOM takes into account delays
in the servicing of its debt obligations as a result of
significant stress on its cash flows and high levels of debt
repayments. The company has delayed the interest as well as
principal repayments due on its Non-Convertible debentures. The
NCD installment of INR375 crore due on Feb. 7, 2017, was paid on
10th April 2017 by the company. The company is currently in
discussions with the lenders of its bank facilities for
restructuring / refinancing its debt which is due for repayment.
The company has witnessed significant deterioration in its
financial profile and liquidity profile over the past six months
due to a significant increase in the competitive intensity in the
telecom industry.

Detailed description of the key rating drivers

Key Rating Weakness
Delay in servicing of debt obligation: RCOM had delayed in
servicing of its debt obligations due to severe deterioration in
the financial and liquidity profile coupled with high debt
service obligations.

Analytical approach: Considering the strong operational and
financial linkage with the subsidiaries, the consolidated
financials of RCOM are considered for analysis purpose.

Reliance Communications Limited (RCOM), founded by late Mr.
Dhirubhai H Ambani, is the flagship company of the Reliance Group
(Reliance Group), led by Mr. Anil Dhirubhai Ambani. RCOM is one
of India's leading integrated telecommunications service
providers with a customer base of around 87.7 million as at
December 31, 2016. RCOM's corporate clientele includes over
39,000 Indian and multinational corporations including small and
medium enterprises and over 290 global, regional and domestic
carriers. It has an established pan-India, integrated (wireless
and wireline), convergent (voice, data and video) digital network
that can support the entire communications value chain, covering
over 21,000 cities and towns and over 400,000 villages. RCOM owns
and operates one of the largest IP enabled connectivity
infrastructure, comprising over 280,000 kilometres of fibre optic
cable systems in India, USA, Europe, Middle East and the Asia
Pacific region. RCOM offers Nationwide Direct-To-Home (DTH)
service through its wholly owned subsidiary, Reliance Big TV
Limited in over 8,350 towns across the country. Using MPEG 4
technology, it offers close to 250 channels and 10 Radio channels
along with host of Interactive services. The company is currently
in the process of carving out its wireless business and merging
it with Aircel. As per the announcement made by the company on
the wireless business, RCOM and Maxis Communications Berhad
(MCB), the promoters of Aircel, will hold 50% each in the merged
entity, with equal representation on board. RCOM has also signed
a definitive agreement with Brookfield Infrastructure Group for
sale of the company's tower business. Subsequent to the
completion of these transactions, the company plans to repay an
aggregate amount of Rs 25,000 crore to the lenders, leading to a
substantial reduction in its debt. RCOM is presently engaged in
discussions with its lenders to obtain their requisite consents
for the two transactions and to refinance scheduled instalments
falling due in the interim period up to Sept. 30, 2017.

RCOM's FY17 total income stood at INR19,949 crore (Rs. 21,819
crore in FY16) and loss at the PAT (Profit After Tax) level of
INR,1283 crore (PAT of INR705 crore in FY16).


RIDDI SIDDI: CARE Assigns B+ Rating to INR1.0cr LT Bank Loan
------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Riddi
Siddi Timber Private Limited (RST) as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities             1.00       CARE B+; Stable Assigned

   Short-term Bank
   Facilities             8.40       CARE A4 Assigned

Detailed Rationale

The ratings assigned to the bank facilities of RST are primarily
constrained by its small and fluctuating scale of operations and
low profitability margin and leveraged capital structure. The
rating is further constrained by foreign exchange fluctuation
risk with RST's presence in a highly fragmented and competitive
industry coupled with high dependence on the real estate sector.
The ratings, however, continue to take comfort from experienced
management in trading of wood & wood products, moderate operating
cycle and location advantage in terms of easy accessibility to
traded products.

Going forward; the ability of the company to profitably increase
its scale of operations while maintaining its capital structure
along with the ability to manage exchange rate fluctuations shall
be the key rating sensitivities.

Detailed description of the key rating drivers

Key rating weaknesses
Small scale of operations with low net worth base: The scale of
operations of the company stood small and fluctuating for the
last 3 financial years (FY14-FY16 - refers to the period April 1
to March 31), evident by the total operating income of INR23.04
crore in FY14 increasing to INR34.33 crore and then decreasing to
INR19.21 core in FY16. The small scale of operations limits the
company's financial flexibility in times of stress and deprives
it from scale benefits.

Low Profitability Margins and leveraged capital structure: The
firm's profitability margins have been historically on the lower
side owing to the low value addition and highly competitive
nature of the industry. This apart, interest burden on working
capital borrowing also restricts the net profitability of the
firm. The
capital structure of the company stood leveraged on account of
high proportion of LC-backed creditors since the company
purchases mostly backed by Letter of credit.

Foreign currency fluctuation risk: The company is mainly
importing raw material and it's completely sold in the domestic
market. Therefore, RST's profitability margins are exposed to
volatility in foreign exchange.

Presence in a highly competitive nature of industry and
dependence on the real estate sector: The timber trading sector
is highly competitive, comprising a large number a large number
of players in the organized segment as a result of low entry
barriers. Furthermore, the timber industry is primarily dependent
upon the demand of real estate and construction sector across the
globe.

Key rating strengths
Experienced promoters in trading of wood & wood products: Mr.
Anand Mittal and Mr. Kamal Kumar are the promoters of RST. Mr.
Anand Mittal and Mr. Kamal Kumar have a decade of experience in
wood and wood product industry.

Moderate operating cycle: RST maintains sufficient stock raw
material inventory for uninterrupted production process and
finished goods inventory to meet the immediate demand of its
customers. Furthermore, it maintains average credit term of
around a month both with its customers and suppliers. The working
capital limits remained around 35% utilized for the 12-month
period ended February, 2017.

Location advantage in terms of easy accessibility to traded
products: Proximity of the company's warehouse to the port of
Kandla reduces the logistics issues associated with wood, which
is a bulky commodity and also offers the advantage of lower
freight costs.

Delhi-based Riddi Siddi Timber Private Limited (RST) was
incorporated in July, 2012. The company is being managed by Mr.
Anand Mittal and Mr. Kamal Kumar. RST is engaged in trading and
sawing of timber wood at its processing facility located in
Gandhidham (Gujarat). The company imports the raw material of
timber logs from agents based in New Zealand and also procures
them domestically from agents based in Gujarat. RST sells the
products i.e. timber logs, lumber and saw dust to wholesalers and
manufacturers located across Haryana, Maharashtra, Delhi and
Gujarat.

In FY16, RST has achieved a total operating income (TOI) of
INR19.21 crore with PAT of INR0.06 crore as against total
operating income (TOI) of INR34.33 crore and PAT of INR0.08 crore
in FY15. In FY17, the company achieved total operating income of
INR21.00 crore till February 28, 2017 with 11MFY17 (based on
provisional results).


S H MARINE: CRISIL Upgrades Rating on INR10MM Packing Loan to B+
----------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
S H Marine Exim (SHM) to 'CRISIL B+/Stable' from 'CRISIL
B/Stable', and reaffirmed the short-term rating at 'CRISIL A4'.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bill Discounting
   under Letter of
   Credit                   8       CRISIL A4 (Reaffirmed)


   Packing Credit          10       CRISIL B+/Stable (Upgraded
                                    from 'CRISIL B/Stable')

The rating upgrade reflects improvement in gearing to 1.6 times
as on March 31, 2016, from 5.1 times in the previous year
following capital infusion of INR1.8 crore. Though gearing is
expected to weaken with ramp-up in operations, it will remain
average at less than 2.5 times over the medium term. The upgrade
also factors in sustained improvement in liquidity; the firm has
repaid its entire term debt as on March 2017 and cash accrual is
expected to be steady at INR0.6-0.7 crore per annum over the
medium term.

The ratings reflect SHM's small scale of operations and modest
financial risk profile because of small networth and modest debt
protection metrics. These weaknesses are partially offset by the
extensive experience of its promoters in the seafood industry and
established customer relationship.

Key Rating Drivers & Detailed Description

Weakness

* Small scale of operations
With an estimated turnover of INR73 crore for fiscal 2017, scale
remains modest in the intensely competitive seafood business.
Scale of operations will remain subdued over the medium term.

* Modest financial risk profile
Networth is estimated to be small at INR3.5 crore as on March 31,
2017, while debt protection metrics are likely to be modest, with
interest coverage and net cash accrual to total debt ratios of
1.8 times and 6%, respectively, for fiscal 2017.

Strengths

* Extensive experience of promoters and established customer
relationship
Presence of more than three decades in the shrimp processing
industry has enabled the promoters to establish healthy
relationship with customers across geographies.

Outlook: Stable

CRISIL believes SHM will continue to benefit over the medium term
from its promoters' extensive experience. The outlook may be
revised to 'Positive' if higher-than-expected profitability
results in better financial risk profile. The outlook may be
revised to 'Negative' if liquidity deteriorates on account of
stretch in working capital cycle, lower-than expected accrual, or
sizeable, debt-funded capital expenditure.

Set up in 2012 in Ernakulam, Kerala, as a partnership firm by Mr.
Ahammed Mohammed Gafoor and his family members, SHM processes and
exports shrimps, squids, and cuttlefish.

Net profit was INR0.1 crore on revenue of INR44.5 crore in fiscal
2016, against a net profit of INR0.2 crore on an operating income
of INR15.6 crore for fiscal 2015.


SHARMA CONSTRUCTION: CRISIL Reaffirms B+ Rating on INR5MM Loan
--------------------------------------------------------------
CRISIL has reaffirmed its 'CRISIL B+/Stable/CRISIL A4' ratings on
the bank facilities of Sharma Construction Co. (SCC).

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee          3        CRISIL A4 (Reaffirmed)

   Cash Credit             5        CRISIL B+/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility      2.8      CRISIL B+/Stable (Reaffirmed)

   Standby Letter of
   Credit                  1.2      CRISIL B+/Stable (Reaffirmed)

The rating continues to reflect the firm's modest scale and
working capital intensity in operations in the competitive civil
construction industry, and geographic concentration in revenue
profile. These weaknesses are partially offset by the
proprietor's extensive experience and healthy relationships with
customers, and the firm's moderate financial risk profile.

Key Rating Drivers & Detailed Description

Weakness

* Modest scale of operations in the intensely competitive civil
construction industry: Intense competition and the tender-driven
nature of business will continue to constrain scalability.
Revenue was INR13 crore in fiscal 2017. However, unexecuted
orders of INR23 crore as on April 30, 2017 (to be executed in the
next 18-20 months), should support moderate growth in revenue
over the medium term.

* Geographical concentration in revenue profile: Operations
continue to be concentrated in western Punjab, with SCC deriving
its entire revenue from the region. Customers include the Public
Works Department of Punjab, Central government authorities and
municipal corporations. Geographic concentration risk is likely
to persist.

* Working capital intensity in operations: Sizeable gross current
assets and inventory of 350 and 170 days, respectively, as on
March 31, 2017, keep operations working capital intensive.

Strengths

* Extensive experience of proprietor
Benefits from the two-decade-long experience of the proprietor,
Mr Rajinder Attri, and his family, in the civil construction
industry, and their healthy relationships with suppliers and
customers should continue to support the business.

* Moderate financial risk profile:
With a low total outside liabilities to tangible networth ratio
(estimated around 0.82 time as on March 31, 2017, and expected at
0.7-0.6 time over the medium term) and average debt protection
metrics (interest coverage ratio was 1.88 times for fiscal 2017),
financial risk profile is likely to remain moderate.

Outlook: Stable

CRISIL believes SCC will continue to benefit over the medium term
from its proprietor's extensive experience. The outlook may be
revised to 'Positive' if increase in revenue and prudent working
capital management leads to higher-than-expected net cash
accrual. Conversely, the outlook may be revised to 'Negative' if
financial risk profile weakens on account of decline in revenue
and profitability, any large, debt-funded capital expenditure, or
increase in working capital requirement.

SCC, a proprietorship firm set up by Mr Rajinder Attri in 1991 in
Sangrur, Punjab, undertakes civil construction contracts, mainly
of roads. It is registered as a Class I contractor. Customers
include the Public Works Department of Punjab, Central government
authorities and municipal corporations.

SCC reported profit of INR0.53 crore on net sales of INR13 crore
in fiscal 2017, against a book profit of INR0.26 crore on net
sales of INR10.43 crore in fiscal 2016.

Status of non-cooperation with previous CRA
SCC has not cooperated India Ratings and Research Private
Limited, which marked its ratings as suspended vide a release
dated October 21st, 2016. The reason provided by India Ratings
and Research Private Limited was non-furnishing of information by
SCC for monitoring the ratings.

SCC has not cooperated India Ratings And Research Private
Limited, which marked its ratings as non-cooperative vide a
release dated May 2nd, 2017. The reason provided by India Ratings
and Research Private Limited was non-furnishing of information by
SCC for monitoring the ratings.


SHIV JYOTI: CARE Assigns 'B' Rating to INR6.48cr LT Loan
--------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Shiv
Jyoti Rice Mills (SJRM), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities              6.48      CARE B; Stable Assigned

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of Shiv Jyoti Rice
Mills (SJRM) is primarily constrained on account of its modest
scale of operations with moderate profitability margins, weak
solvency position and working capital intensive nature of
operations. The rating is, further, constrained on account of
seasonality associated with agro commodities, its presence in
the highly fragmented and government regulated industry and
constitution as a partnership concern.

The rating, however, derives strength from the experienced
partners in the agro processing industry. The ability of the firm
to increase its scale of operations with improvement in
profitability and efficient management of working capital would
be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weakness

Modest scale of operations and constitution as a partnership
concern

The scale of operations of the firm stood modest with TOI
decreased by 25% over FY15 mainly on account of decrease in the
prices of rice. The low net worth base makes its operations
highly susceptible to any business shock, thereby limiting its
ability to absorb losses or financial exigencies. Furthermore,
its constitution as a partnership concern led to risk of
withdrawal of capital.

Moderate profitability margins, weak solvency position and
working capital intensive nature of operations
Due to agro commodity nature of the business, the profitability
of the firm stood moderate. During FY16, the PBILDT margin of the
firm improved over FY15. The capital structure of the firm stood
highly leveraged with an overall gearing stood very high as on
March 31, 2016, deteriorated as against FY15 mainly on account of
disbursement of new term loan as well as higher utilization of
working capital bank borrowings. The business of the firm is
working capital intensive nature of operations being present in
the processing of agriculture commodities industry. The operating
cycle of the firm stood elongated in FY16, due to increase in
inventory holding period.

Key Rating Strengths
Experienced partners in the agro processing industry
Mr Chiman Lal Garg and Mr. Vijay Kumar Goyal, key partners of the
firm, have more than three decades of experience in the
processing and trading of agricultural commodities industry. They
look after overall affairs of the firm and are assisted by
experienced management team. With the long-standing presence of
the partners in the industry, the partners have established
relationship with the customers as well as suppliers.

Hanumangarh-based (Rajasthan) SJRM was formed in July, 1999 as a
partnership concern by three partners who are sharing profit &
loss equally. SJRM is mainly engaged in the processing of basmati
and non-basmati paddy. The processing plant of the firm has an
installed capacity of 4 tons per hour (TPH) for processing of
paddy as on March 31, 2017. The firm purchases paddy from traders
as well as mandis and sells rice (both basmati and non-basmati
rice) to exporters located in Delhi and Punjab. It also markets
rice under the brand name of "Mastani".

During FY16 (FY refers to the period April 1 to March 31), SJRM
reported a Total Operating Income (TOI) of INR17.01 crore (FY15:
INR22.76 crore) with a PAT of INR0.02 crore (FY15: INR0.02
crore).  As per FY17 provisional results the firm has reported
TOI of INR32.61 crore.


SHREE JAYA: Ind-Ra Assigns 'BB+' Long-Term Issuer Rating
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Shree Jaya
Laboratories Pvt Ltd (SJLPL) a Long-Term Issuer Rating of
'IND BB+'.  The Outlook is Stable.  Instrument-wise rating
actions are:

   -- INR90 mil. Fund-based working capital limits assigned with
      'IND BB+/Stable/IND A4+' rating; and

   -- INR60 mil. Non-fund-based working capital limits assigned
      with 'IND A4+' rating

                        KEY RATING DRIVERS

The ratings reflect SJLPL's moderate scale of operations and
credit metrics, and volatile EBITDA margin.  As per provisional
financials for FY17, revenue decreased to INR1.006 billion from
INR1,055 million in FY16 on account of lower orders, as
management was focusing on getting the US Food and Drug
Administration (FDA) license.  However, Ind-Ra expects revenue to
improve in FY18 as the management plans to distribute finished
dosage form products in the US, Canada and Europe on receipt of
the FDA certificate.
Gross interest coverage (operating EBITDA/gross interest expense)
deteriorated to 2.6x in FY17 (FY16: 3.1x) and net financial
leverage (total adjusted net debt/operating EBITDA) to 2.0x
(1.5x) due to a decrease in the EBITDA margin to 5.4% (7.7%).
The EBITDA margin was in the range of 5.4-8.4% during FY14-FY17
owing to fluctuations in raw material prices.  Ind-Ra expects the
credit metrics to stretch in FY18 on account of debt-funded capex
for installing additional reactors.

The ratings also factor in the company's tight liquidity position
with 92.1% average peak utilization of fund-based facility over
the 12 months ended April 2017.

However, the ratings derive support from SJLPL's promoter's
experience of over two decades in the pharmaceutical industry.

                       RATING SENSITIVITIES

Negative: A substantial decline in the top line and operating
profitability leading to a sustained deterioration in the overall
credit metrics will lead to a negative rating action.

Positive: A significant increase in the scale of operations and
operating profitability, leading to a sustained improvement in
the credit metrics could be positive for the ratings.

COMPANY PROFILE

Incorporated in 2007, SJLPL manufactures chemical and
intermediates and distributes in the domestic markets.  The
company's manufacturing unit, located in Nalgonda, has 55-60
reactors with an installed capacity of 70 tons per month and
utilizes 75% of installed capacity.


SHREE RANI: CARE Assigns B+ Rating to INR12cr Long Term Loan
------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Shree
Rani Sati Overseas Private Limited (SRSO), as:

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Long-term Bank
   Facilities              12        CARE B+; Stable Assigned

Detail Rationale

The rating assigned to the bank facilities of Shree Rani Sati
Overseas Private Limited (SRSO) is primarily constrained by small
scale of operations coupled with low net worth base and leveraged
capital structure with weak coverage indicators. The rating, is
further, constrained by SRSO's working capital intensive nature
of operations, fragmented and competitive nature of industry,
regulatory policy risk and business susceptible to the vagaries
of nature. The rating constraints are partially off-set by
support from the experienced promoters in processing of rice,
growing scale of operations and moderate profitability margins.

Going forward, the ability of the company to scale up its
operations while maintain the profitability margins and
registering improvement in capital structure shall be the key
rating sensitivities of the company.

Detailed description of the key rating drivers

Key rating weakness
Small scale of operations coupled with low net worth base:
Despite, the growth registered on y-o-y basis in last two
financial years (FY15-FY16 - refers to the period April 1 to
March 31), the scale of operations stood small which limits the
firm's financial flexibility in times of stress and deprives it
from scale benefits.

Leveraged capital structure: The capital structure of the company
stood leveraged for the past two balance sheet dates (i.e. FY15-
FY16) on account of high dependence on external borrowings for
managing working capital requirements of the business.
Furthermore, the coverage indicators stood weak for the past two
financial years i.e. FY15-FY16 owing to high debt level against
the profitability position.

Working capital intensive nature of operations: The operations of
the firm continues to remain working capital intensive in nature
as the peak paddy procurement season is during November to
January during which the company builds up raw material inventory
to cater to the milling and processing of rice throughout the
year resulting in average inventory period of 82 days for FY16.
The company receives payment in around 15-20 days from its
customers and receives a credit period of around two months from
its creditors. The high working capital requirements were met
largely through bank borrowings which resulted in around 90%
utilization of its sanctioned working capital limits for 12
months ended December 31, 2016.

Business susceptible to the vagaries of nature: Paddy is the
major raw material and the peak paddy procurement season is
during November to January during which the firm builds up raw
material inventory to cater to the milling and processing of rice
throughout the year. The monsoon has a huge bearing on crop
availability which determines the prevailing paddy prices.

Fragmented and competitive nature of the industry: The commodity
nature of the product makes the industry highly fragmented, with
numerous players operating in the unorganized sector with very
less product differentiation. Furthermore, the concentration of
rice millers around the paddy growing regions makes the business
intensely competitive.

Key rating Strengths
Experienced promoters in processing of rice: The company is being
managed by experienced promoters having rich experience varied up
to two decades in trading and processing of rice.

Moderate profitability margins
The profitability margin of the company marked by PBILDT stood
moderate for the FY16 (FY refers to April 1 to March 31) owing to
increase in sale of basmati rice which fetch higher margins.
Furthermore, PAT margins improved in FY16 to 1.58% owing to
deferred tax provisioning in FY15.

Uttar Pradesh based Shree Rani Sati Overseas Private Limited
(SRSO) was incorporated in 2013 and started its commercial
operations from April 2014. The company is engaged in milling,
processing and trading of basmati and non-basmati rice. The
processing unit of the company is located in Haidergarh, Uttar
Pradesh with an installed capacity of 70,080 metric ton per annum
(MTPA) as on March 31, 2016. The company procures paddy from
local grain markets through dealers and agents mainly from the
state of Uttar Pradesh. SRSO sells the product the under the
brand name "Maharani Super Gold" to wholesalers and traders in
Northern India viz. Haryana, Himachal, Delhi, Rajasthan and Uttar
Pradesh.

In FY16, SRSO has achieved a total operating income (TOI) of
INR47.74 crore, as against TOI of INR38.04 crore in FY15. The
company has achieved TOI of INR36.00 crore in 9MFY17 (refer to
period April 1 to December 31, based on provisional results).


SHREE SAINATH: CRISIL Reaffirms 'B' Rating on INR7.7MM Loan
-----------------------------------------------------------
CRISIL's ratings on bank facilities of Shree Sainath Textiles Pvt
Ltd (SSTPL) continues to reflect its weak financial risk profile,
its modest scale of operations and vulnerability to volatility in
cotton prices and changes in government policy. There rating
weaknesses are partially offset by promoters experience in the
textile industry along with the funding support.

                       Amount
   Facilities         (INR Mln)    Ratings
   ----------         ---------    -------
   Bank Guarantee         .5       CRISIL A4 (Reaffirmed)
   Cash Credit           7.0       CRISIL B/Stable (Reaffirmed)
   Term Loan             7.7       CRISIL B/Stable (Reaffirmed)

Key Rating Drivers & Detailed Description

Weakness

* Weak financial risk profile
SSTPL's financial risk profile is weak marked by high gearing and
modest net worth estimated at 5.8 times and 2.7 cr as on
March 31, 2017. While the gearing is expected to gradually with
steady accretion to reserves, CRISIL believes that SSTPL's
financial risk profile is still expected to remain constrained
due to continued high reliance on external bank debt.

* Modest scale of operations
SSTPL has modest scale of operations, reflected in sales of
around INR85 cr in fiscal 2017, due to initial phase of
operations and limited capacity. The company has ginning capacity
of 350 bale per day. The cotton ginning industry is largely
unorganised with the presence of several small players. CRISIL
believes that the business risk profile of the company is
expected to remain constrained due to the modest scale of
operations.

* Vulnerability to volatility in cotton prices and changes in
government policy
Due to fragmentation and intense competition in the industry, the
players have limited pricing power and are market followers for
pricing, thus leading to low and volatile operating margin.
Operating margin is expected to remain low at around 3.5 percent
thereby constraining the overall business risk profile.

Strengths

* Promoters experience in the textile industry along with the
funding support
The promoters of SSTPL have been in the cotton industry for more
than 10 years. Over the years, the promoter has developed good
insight into the cotton industry. The firm benefits from the
extensive experience of its promoters and their understanding of
the dynamics of the local market, and established relationships
with various suppliers, farmers and customers. Additionally
continued fund support from the promoter has also helped the
company to fund its incremental working capital and capital
expenditure (capex) requirements. CRISIL believes that SSTPL will
continue to benefit from the extensive industry experience of its
promoter over the medium term.

Outlook: Stable

CRISIL believes SSTPL will continue to benefit over the medium
term from the promoters' extensive experience in the textile
industry. The outlook may be revised to 'Positive' if the company
ramps up its operations significantly, while improving
profitability margin, resulting in improved cash accrual, or
significant improvement in the capital structure driven by
sizeable fresh fund infusion by the promoters. Conversely, the
outlook may be revised to 'Negative' if the financial risk
profile, especially liquidity, deteriorates due to lengthening of
the working capital cycle or lower-than-expected revenue or cash
accrual.

SSTPL, based in Nagpur (Maharashtra), was set up by Mr. Sayaji
Jadhao and Manish Vaidya and family. The company gins and presses
cotton. It has a manufacturing capacity of 350 cotton bales per
day near Nagpur. The company has also set up a unit to convert
single yarn into double yarn, which has started operations in
2016-17 (refers to financial year, April 1 to March 31).

The estimated profit after tax (PAT) was INR0.23 cr in fiscal
2017 on an estimated net sales of INR85 cr as against a net loss
of INR0.97 cr on net sales of INR71.7 cr in fiscal 2016.


SHRESID INTERIORS: CRISIL Reaffirms B- Rating on INR3.5MM Loan
--------------------------------------------------------------
CRISIL has been consistently following up with Shresid Interiors
Private Limited (SIPL) for obtaining information through letters
and emails dated January 20, 2017, and February 10, 2017, among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee         4.5       CRISIL A4 (Issuer Not
                                    Cooperating; Reaffirmed)

   Cash Credit            3.5       CRISIL B-/Stable (Issuer Not
                                    Cooperating; Reaffirmed)

'The investors, lenders and all other market participants should
exercise due caution while using the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING'. These ratings lack a
forward looking component as it is arrived at without any
management interaction and is based on best available or limited
or dated information on the company.

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Shresid Interiors Private
Limited. This restricts CRISIL's ability to take a forward
looking view on the credit quality of the entity. CRISIL believes
that the information available for Shresid Interiors Private
Limited is consistent with 'Scenario 1' outlined in the
'Framework for Assessing Consistency of Information with Crisil B
Rating category. Or Lower' Therefore, on account of inadequate
information and lack of management co-operation, CRISIL is
Reaffirming the rating at 'CRISIL B-/Stable/ CRISIL A4'.

SIPL, incorporated in 1995, is promoted by Delhi-based Mr. Sanjiv
Lamba. The company undertakes turnkey projects, primarily
interior designing for hospitality and real estate projects; it
also trades in ready-made furniture through its retail showroom
in Delhi.


SOMULA CONSTRUCTIONS: CARE Assigns 'B' Rating to INR7.5cr Loan
--------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Somula
Constructions Private Limited (SCPL), as:

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Long-term Bank
   Facilities              7.5      CARE B; Stable Assigned

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of SCPL is constrained
by the company's small scale of operations with tender-based
nature of operations, short-term revenue visibility from order
book position, significant decline in total operating income with
net loss incurred during FY16 (refers to period April 1 to
March 31), leveraged capital structure and weak debt coverage
indicators and elongated operating cycle. The rating, however, is
underpinned by the experience of the promoter for more than a
decade in construction industry.

Going forward, the company's ability to increase its scale of
operations, improve the profitability margins and capital
structure, execute the project in timely manner and manage
working capital requirements efficiently are the key rating
sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Significant decline in TOI with net loss during FY16
Total operating income (TOI) of the company increased from
INR1.85 crore in FY14 to INR19.78 crore in FY15 at the back of
increased amount of works executed during the year and also
increased amount of trading supplies being done by the company.
However, TOI of the company reduced significantly to INR2.12
crore during FY16 due to no execution of civil works during FY16.
Furthermore, the revenues were generated from trading of coal
during FY16. However, the company achieved TOI of around INR10
crores during 11MFY17 (Provisional) which was derived from
execution of civil works at Tirupathi and trading sales as well.

The PBILDT margin of the company stood fluctuating during FY14-16
due to the nature of business i.e. construction works where in
few works executed in an year were billed in next financial year
coupled with fluctuating cost of materials. Furthermore, with
fluctuating PBILDT margin coupled with high amount of interest
costs, the company incurred net loss of INR0.30 crore and cash
losses of INR0.29 crore during FY16.

Small scale of operations with leveraged capital structure and
weak debt coverage indicators
SCPL was incorporated in the year 2008 and since, then is engaged
in execution of civil projects from government departments.
Despite, the moderate track record of the company, the scale of
operations of the company is relatively small marked with reduced
level of total operating income (TOI) at INR2.12 crore during
FY16 coupled with moderate net worth base of INR1.78 crore as on
March 31, 2016. Furthermore, the overall gearing ratio of the
company stood leveraged during the review period with year-on-
year deterioration and stood at 4.34x as on March 31, 2016 due to
high utilization of working capital limits along with low net
worth base. The total debt/GCA of the company stood negative at
43.44 times due to cash loss incurred by the company incurred
during FY16. The interest coverage also stood weak at 1.17x in
FY16 due to low operational profit and high interest expenses.

Tender based nature of operations and elongated operating cycle
The company receives 90% of its work orders from government
organizations. All the government works executed by the company
are tender-based. Total operating income of the company is
dependent on the promoter's ability to bid the tenders
successfully. Furthermore, profitability margins come under
pressure because of competitive nature of the industry. However
the promoter's long experience in the industry for more than one
decade mitigates the risk to an extent. Nevertheless, there are
numerous fragmented & unorganized players operating in the
segment which makes the civil construction space highly
competitive.

The company's operating cycle days stood significantly high in
the range of 436 days during FY15 and FY16 due to higher level of
inventory days of the company. Average inventory days of the
company stood high during review period due to higher amount of
work-in-progress projects and reduced amount of revenues
registered by the company during FY16. The average working
capital utilization is 90%for the last 12 months ended February
28, 2017.

Short-term revenue visibility from order book position
The company has an order book of INR8.50 crore as on February,
2017 which translates to 4.01x of total operating of FY16. The
orders have short-term tenure and are likely to be completed by
March 2017. The said order book is related to irrigation works of
INR0.5 crore and remaining orders are related to supply of coal
and steel.

Key Rating Strengths

Experience of the promoter for more than one decade in
construction industry
The company was established and managed by Mr. Somula Venkata
Prasad Reddy with around 15 years of experience in civil
construction works. Mr. Somula Venkata Prasad Reddy has been
handling road construction works and maintenance works under R&B
and Panchayath Raj. The industry experience of the promoter has
helped the company in procuring contracts from government
organizations.

Somula Construction Private Limited (SCPL) was incorporated by
Mr. Somula Venkata Prasad Reddy (Managing Director) and his wife
Mrs Venkata Subbalakshmi Somula in the year 2008 as a Private
Limited company. SCPL is a Kurnool based company engaged in civil
construction works such as laying roads and irrigation works for
government organizations covering Road & Buildings Department
(R&B) and Panchayat Raj which are procured through tenders. The
company is a Class I contractor and currently has an order book
worth around INR8.50 crore as on February, 2017 to be executed by
March 2017. Beside civil construction works, the company is also
engaged in trading of coal and steel in Andhra Pradesh region
from past two years. The company generates around 60% of its
total revenues from trading activities and balance 40% from
execution of civil construction works.

In FY16, TA reported a net loss of INR0.29 crore on a total
operating income of INR2.12 crore, as against a PAT and TOI of
INR0.12 crore and INR19.78 crore respectively in FY15.


SPENZZER CERAMIC: CRISIL Reaffirms B- Rating on INR4.96MM Loan
--------------------------------------------------------------
CRISIL has reaffirmed its ratings on the bank facilities of
Spenzzer Ceramic Private Limited (SCPL) at 'CRISIL B-
/Stable/CRISIL A4'.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Bank Guarantee          1        CRISIL A4 (Reaffirmed)

   Cash Credit             3        CRISIL B-/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility      3.54     CRISIL B-/Stable (Reaffirmed)

   Term Loan               4.96     CRISIL B-/Stable (Reaffirmed)

The ratings continue to reflect SCPL's modest scale of operations
in the intensely competitive ceramics industry, weak liquidity
owing to high debt obligation vis-a-vis accrual and large working
capital requirements. The ratings also factor in a below-average
financial risk profile. These weaknesses are partially offset by
promoters' extensive experience, and proximity of the
manufacturing facilities to raw material and labour sources.
Analytical Approach

CRISIL has treated unsecured loans from promoters as neither debt
nor equity as they are expected to be retained.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations in the intensively competitive
industry: Small scale is reflected in its sales of INR8.7 crore
in fiscal 2017 in the competitive industry, with several
organised and unorganised players.

* Weak liquidity: Modest accrual, working capital-intensive
operations, and high debt obligation constrain liquidity.

* Large working capital requirement: Operations are working
capital intensive, with gross current assets of about 10 months.

Strengths

* Promoters' extensive experience: Promoters have been in the
ceramic industry for around a decade through other entities, and
have hence gained insight into local market dynamics and also
established relationships with suppliers and customers.

* Proximity to raw material and labour sources: Manufacturing
unit in Morbi derives significant benefits such as easy access to
clay (key raw material), and availability of contractors and
skilled labourers, and gas and power. Also, transportation cost
is low as unit is close to Kandla and Mundra ports.

Outlook: Stable

CRISIL believes SCPL will continue to benefit over the medium
term from its partners' extensive experience. The outlook may be
revised to 'Positive' if higher sales leads to large cash
accrual, strengthening liquidity. Conversely, the outlook may be
revised to 'Negative' if lower cash accrual, or stretch in
working capital cycle or any large, debt-funded capital
expenditure weakens the financial risk profile.

SCPL, set up in 2014, manufactures ceramic wall-glazed tiles. The
production facilities in Morbi, Gujarat, have a capacity of
30,000 tonne per month. SCPL commenced commercial operations in
July 2015.

During fiscal 2017, had a provisional loss of INR0.16 crore on
sales of INR8.7 crore against INR0.48 crore and INR5.9 crore,
respectively, in the previous fiscal.


SRI SWAMI: CRISIL Reaffirms B+ Rating on INR25MM Cash Loan
----------------------------------------------------------
CRISIL has reaffirmed its rating on long term bank facilities of
Sri Swami Chitrath Rice Mills (SSCRM) at 'CRISIL B+/Stable'.

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit            25        CRISIL B+/Stable (Reaffirmed)

The ratings reflect the firm's weak financial risk profile and
working capital-intensive operations. These rating weaknesses are
partially offset by the extensive experience of SSCRM's partners
in the rice industry and their financial support.

Key Rating Drivers & Detailed Description

Weakness

* Weak financial risk profile: SSCRM has weak financial risk
profile marked by high total outside liabilities to tangible net
worth estimated at 8.5 times and low net worth estimated INR5.2
crore as on March 31, 2017. Debt protection metric is weak with
adjusted interest coverage estimated at 1.4 times for fiscal
2017. The metrics will remain at similar level over the medium
term due to low accretion to reserves owing to weak net
profitability and moderate growth in operating income.

* Working capital intensive operations: The working capital
requirement is large with gross current asset estimated at 216
days due to large inventory requirement estimated at 175 days and
moderate debtor level estimated at 50 days as on March 31, 2017.
The inventory requirement is large due to high paddy procurement
in October-March period owing to seasonal nature of paddy crop.
The firm receives moderate credit period from suppliers estimated
at 45 days as on March 31, 2017.

Strengths

* Extensive experience of partners and their financial support:
The partners have extensive experience of more than 2 decades as
commission agent in Punjab, which has helped to establish
relations with customers and suppliers. The partners support the
liquidity through unsecured loans estimated at INR11.75 crore as
on March 31, 2017.

Outlook: Stable

CRISIL believes SSCRM will continue to benefit over the medium
term from its partners' extensive industry experience; however,
its financial risk profile will remain constrained over this
period by high gearing and below-average debt protection metrics.
The outlook may be revised to 'Positive' in case of improvement
in the financial risk profile, driven most likely by higher-than-
expected cash accrual or improved working capital management.
Conversely, the outlook may be revised to 'Negative' in case of
lower-than-anticipated cash accrual or a substantial increase in
working capital requirement.

SSCRM was established as a partnership firm in 2010, promoted by
Mr Vakeel Chand. The firm processes and sells basmati rice. Its
facility at Fazilka, Punjab, has milling and sorting capacities
of 4 tonnes per hour each.

Profit after tax was INR39 lakhs over operating income of INR83
crore in fiscal 2016 vis-a-vis profit after tax of INR37 lakhs
over operating income of INR66 crore in fiscal 2015.


SRINIVASAN CHARITABLE: Ind-Ra Rates INR2.370BB Bank Loans 'D'
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has rated Srinivasan
Charitable & Educational Trust's (SCET) bank facilities as:

   -- INR2.370 bil. Bank loans assigned with 'IND D' rating

                         KEY RATING DRIVERS

The rating reflects SCET's irregularity in debt servicing in FY17
due to its strained liquidity profile.

                          RATING SENSITIVITIES

The rating could be upgraded if the loan obligations are serviced
in a timely manner for at least one quarter.

COMPANY PROFILE

SCET established in 2006 by Shri. A. Srinivasan.  The trust runs
five educational institutions in Tamil Nadu.  SCET offers
engineering, polytechnic, nursing and medical courses and
operates a hospital in Perambalur district.


SRINIVASAN HEALTH: Ind-Ra Assigns 'D' Rating on INR1.8BB Loans
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has rated Srinivasan Health &
Educational Trust's (SH&ET) bank facilities as:

   -- INR1.800 bil. bank loans assigned with 'IND D' rating

                         KEY RATING DRIVERS

The rating reflects SH&ET's irregularity in debt servicing in
FY17 due to its stressed liquidity position.

                          RATING SENSITIVITIES

Positive: The rating could be upgraded if the loan obligations
are serviced in a timely manner for at least one quarter.

COMPANY PROFILE

SH&ET was founded by A. Srinivasan in 2009 with an objective to
promote, set up and run charitable institutions, educational
institutions and hospitals.  Srinivasan has sponsored other
trusts such as Srinivasan Charitable and Educational Trust, and
Dhanalakshmi Srinivasan Charitable and Educational Trust.  These
group trusts run engineering, medical and polytechnic colleges.


TIRUPATI PADDY: CRISIL Assigns 'B' Rating to INR10MM Loan
---------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long term
bank facilities of Tirupati Paddy Products (TPP).

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit              2       CRISIL B/Stable
   Warehouse Receipts      10       CRISIL B/Stable

The rating reflects the firm's modest scale of operations and
average financial risk profile. These rating weaknesses are
partially offset by the extensive experience of the proprietor.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations in highly fragmented industry: The
firm's scale of operations has remained modest at around INR81.20
crores in FY17. The fragmented nature of business and modest
scale of operations limits TPP's ability to bargain with the
suppliers and customers, leading to pressure on operating
margins.

* Average financial risk profile: Financial risk profile is
average marked by high TOL/TNW of 30.47 times as on March 31,
2017.  Debt protection metrics are moderate, with interest
coverage ratio of 2.26 times for fiscal 2017.

Strengths

* Extensive experience of proprietor: Presence of more than two
decades in the agriculture commodity trading business through
other firms has enabled the proprietor to understand market
dynamics and establish strong relationship with customers and
suppliers.

Outlook: Stable

CRISIL believes TPP will continue to benefit over the medium term
from the extensive experience of its proprietor. The outlook may
be revised to 'Positive' if a substantial improvement in
financial risk profile driven by higher-than-expected growth in
revenue leads to high cash accrual, or if proprietor infuses
capital and working capital is efficiently managed. The outlook
may be revised to 'Negative' if lower-than-expected cash accrual
or larger-than-expected working capital requirement or debt-
funded capital expenditure puts further pressure on liquidity.

Incorporated in 2011, as a proprietorship firm, Tirupati Paddy
Products is engaged in trading of agriculture products such as
wheat, maize, paddy and rice. The company is managed by Mr.
Chandrakesh Yadav. The company has its registered office in
Mohali, Punjab.

TPP reported a book profit of INR0.42 crore on net sales of
INR81.20 crore for fiscal 2017 against a book profit of INR0.14
crore on net sales of INR19.43 crore for fiscal 2016.


VAYAS MULTI-TRADING: CRISIL Reaffirms B+ Rating on INR8.22MM Loan
-----------------------------------------------------------------
CRISIL has reaffirmed its 'CRISIL B+/Stable' rating on the long-
term bank facility of Vayas Multi-trading Pvt Ltd (VMTPL;
formerly known as Lotus Bullion Private Limited).

                       Amount
   Facilities         (INR Mln)     Ratings
   ----------         ---------     -------
   Cash Credit            8.22      CRISIL B+/Stable (Reaffirmed)


The rating continues to reflect the company's small scale of
operations, low operating margin, and susceptibility to intense
competition in the gold bullion and jewellery segment, to changes
in government regulations, and to volatility in gold prices.
These weaknesses are partially offset by healthy financial risk
profile because of comfortable total outside liabilities to
tangible net worth (TOLTNW) ratio and adequate debt protection
metrics, and sound risk management policies.

Key Rating Drivers & Detailed Description

Weakness

* Susceptibility to intense competition in the gold bullion and
jewellery segment, to changes in government regulations, and to
volatility in gold prices: : The bullion trading industry is
highly competitive and fragmented because of low entry barriers
due to limited capital requirement, low fixed expenses, and easy
availability of gold. VMTPL derives most of its revenue from gold
jewellery trading which has limited value addition, resulting in
low operating margin of 0.9-1.0%.

* Small scale of operations and constrained operating margin:
Revenue showed a muted growth to INR181 crore in fiscal 2017 from
INR177 crore in fiscal 2016. VMTPL does not have an established
brand or presence in the retail segment, which constrained
operating margin to around 1% in fiscal 2017.

Strengths

* Healthy financial risk profile: TOLTNW ratio is estimated at a
comfortable 1.59 times as on March 31, 2017. Debt protection
metrics were adequate, with interest coverage ratio at 1.9 times
for fiscal 2017.

* Sound risk management policies: VMTPL has minimal inventory.
The company follows the replenishment model, wherein it orders
the same quantity of bullion that it sells on that particular
day. Hence, its entire inventory is order-backed. Its customers,
are largely gold retailers and small retail clients, and make
spot payments, and there is no customer concentration risk.

Outlook: Stable

CRISIL believes VMTPL will continue to benefit from its
promoter's extensive industry experience, and its established
customer relationships. The outlook may be revised to 'Positive'
if sustainable increase in revenue and operating profitability
leads to substantially stronger cash accrual, while the capital
structure remains comfortable. The outlook may be revised to
'Negative' if a sharp decline in revenue or profitability, or any
large, debt-funded capital expenditure weakens the financial risk
profile.

VMTPL is mainly into wholesale trading of gold jewellery, diamond
jewellery, and cut and polished diamonds. It was incorporated as
Kanhai Diamond Manufacturing Pvt Ltd in January 2003 in Delhi by
Mr Umesh Garg. In March 2005, the company's name was changed to
Lotus Bullions Pvt Ltd. It got its present name in 2017. The
promoter family has been trading in gold jewellery since 50
years.

VMTPL reported a profit after tax (PAT) of INR22 lacs on net
sales of INR177.96 crores for 2015-16, as against a PAT of INR35
lacs on net sales of INR210.87 crores for 2014-15.



=========
J A P A N
=========


STEMCELL HOLDINGS: MaloneBailey Raises Going Concern Doubt
----------------------------------------------------------
Stemcell Holdings, Inc., filed with the U.S. Securities and
Exchange Commission its annual report on Form 10-K, disclosing a
net income of $1.40 million on $3.28 million of total revenues
from related parties for the year ended December 31, 2016,
compared with a net loss of $4,998 on $nil of total revenues from
related parties for the year ended in 2015.

MaloneBailey, LLP, in Houston, Texas, states that the Company
first generated revenues in the year ended December 31, 2016 and
98% of the revenues were from related parties, which raises
substantial doubt about its ability to continue as a going
concern.

The Company's balance sheet at December 31, 2016, showed $3.23
million in total assets, $1.87 million in total liabilities, and
total equity of $1.36 million.

A copy of the Form 10-K is available at:

                       https://is.gd/hBi4r8

Stemcell Holdings, Inc., through its subsidiary, Stemcell Co.,
Ltd., engages in the regenerative medicine-related business,
which includes culturing, storing, and delivery of stem cells.
The Company is headquartered in Tokyo, Japan.


TOSHIBA CORP: Western Digital to Settle for 19.9% Stake in Unit
---------------------------------------------------------------
Nikkei Asian Review reports that Western Digital has offered to
acquire less than 20% of Japanese partner Toshiba's memory chip
arm, compromising on its prior demand for a majority stake in a
bid to get negotiations moving.

In addition to limiting its stake in Toshiba Memory to 19.9%, the
American hard-drive maker will scrap plans to eventually turn the
unit into a subsidiary, Nikkei relates. Western Digital CEO Steve
Milligan is expected to discuss the proposal with Toshiba
President Satoshi Tsunakawa in Japan this week, according to the
report.

Nikkei says the U.S. company is teaming with a consortium
including the public-private Innovation Network Corp. of Japan,
the government-backed Development Bank of Japan and major Toshiba
lenders to purchase Toshiba Memory. Western Digital will discuss
increasing the offer to around JPY2 trillion ($18 billion) -- the
Japanese conglomerate's asking price.

Nikkei relates that Western Digital has opposed the sale of the
memory unit to any third party and insisted on taking a
controlling stake, seeking to maintain joint chipmaking
operations in Japan. This demand has met resistance from Toshiba,
which worries that the ensuing antitrust reviews would keep it
from completing the sale by the end of its fiscal year in March.
The conglomerate aims to use the proceeds to shore up finances
badly damaged by losses on U.S. nuclear operations. Japan's
industry ministry has also raised objections, fearing that key
technology could leak overseas.

The spat has escalated in recent weeks, Nikkei notes. Western
Digital filed a request for arbitration in mid-May to block the
sale, arguing that Toshiba's transfer of its interest in joint
ventures with the American company to Toshiba Memory violated
related agreements, recalls Nikkei. Toshiba took back the stakes
on June 3, aiming to render this argument moot, adds Nikkei.

                           About Toshiba

Toshiba Corporation (TYO:6502) -- http://www.toshiba.co.jp/-- is
a Japan-based manufacturer involved in five business segments.
The Digital Products segment offers cellular phones, hard disc
devices, optical disc devices, liquid crystal televisions, camera
systems, digital versatile disc (DVD) players and recorders,
personal computers (PCs) and business phones, among others.  The
Electronic Device segment provides general logic integrated
circuits (ICs), optical semiconductors, power devices, large-
scale integrated (LSI) circuits for image information systems and
liquid crystal displays (LCDs), among others.  The Social
Infrastructure segment offers various generators, power
distribution systems, water and sewer systems, transportation
systems and station automation systems, among others.  The Home
Appliance segment offers refrigerators, drying machines, washing
machines, cooking utensils, cleaners and lighting equipment.  The
Others segment leases and sells real estate.

As reported in the Troubled Company Reporter-Asia Pacific on
on March 21, 2017, that S&P Global Ratings has lowered its long-
term corporate credit rating on Toshiba Corp. two notches to
'CCC-' from 'CCC+' and lowered the senior unsecured debt rating
three notches to 'CCC-' from 'B-'.  Both ratings remain on
CreditWatch with negative implications. Also, S&P is keeping its
'C' short-term corporate credit and commercial paper program
ratings on the company on CreditWatch negative.  The long- and
short-term ratings on Toshiba have remained on CreditWatch with
negative implications since December 2016, when S&P also lowered
the long-term ratings because of the likelihood that the company
might recognize massive losses in its U.S. nuclear power
business; S&P kept them on CreditWatch negative when it lowered
the long- and short-term ratings in January 2017.


TOSHIBA CORP: Shares Up as Broadcom Has Priority to Buy Chip Unit
-----------------------------------------------------------------
Peter Wells at The Financial Times reports that Toshiba Corp. is
one of the best performers among Japan's biggest companies
following reports Broadcom is close to being granted priority
rights for the troubled conglomerate's prized flash memory unit.

Toshiba this month began final talks with the US chip maker,
which has been working with private equity firm Silver Lake, the
FT relates citing Japan's Asahi newspaper.

The FT says competition for the Nand memory business, which is
expected to fetch at least JPY2 trillion ($20 billion), remains
hot. According to the report, Foxconn founder Terry Gou said he
had won the financial backing of Apple and Amazon in its bid for
the unit. Foxconn has previously indicated it would be willing to
pay up to JPY3 trillion for the business.

Toshiba shares were up 2.1% on June 6, but had gained as much as
4.2% in morning trade, the FT discloses. They were the third-best
performer in the Nikkei 225, which tracks Japan's biggest
companies and was down 0.7%.

                          About Toshiba

Toshiba Corporation (TYO:6502) -- http://www.toshiba.co.jp/-- is
a Japan-based manufacturer involved in five business segments.
The Digital Products segment offers cellular phones, hard disc
devices, optical disc devices, liquid crystal televisions, camera
systems, digital versatile disc (DVD) players and recorders,
personal computers (PCs) and business phones, among others.  The
Electronic Device segment provides general logic integrated
circuits (ICs), optical semiconductors, power devices, large-
scale integrated (LSI) circuits for image information systems and
liquid crystal displays (LCDs), among others.  The Social
Infrastructure segment offers various generators, power
distribution systems, water and sewer systems, transportation
systems and station automation systems, among others.  The Home
Appliance segment offers refrigerators, drying machines, washing
machines, cooking utensils, cleaners and lighting equipment.  The
Others segment leases and sells real estate.

As reported in the Troubled Company Reporter-Asia Pacific on
on March 21, 2017, that S&P Global Ratings has lowered its long-
term corporate credit rating on Toshiba Corp. two notches to
'CCC-' from 'CCC+' and lowered the senior unsecured debt rating
three notches to 'CCC-' from 'B-'.  Both ratings remain on
CreditWatch with negative implications. Also, S&P is keeping its
'C' short-term corporate credit and commercial paper program
ratings on the company on CreditWatch negative.  The long- and
short-term ratings on Toshiba have remained on CreditWatch with
negative implications since December 2016, when S&P also lowered
the long-term ratings because of the likelihood that the company
might recognize massive losses in its U.S. nuclear power
business; S&P kept them on CreditWatch negative when it lowered
the long- and short-term ratings in January 2017.



===============
M A L A Y S I A
===============


MAXBIZ CORP: Court Charges Former Shareholder of Insider Trading
----------------------------------------------------------------
The Star Online reports that Datuk Andrew Leong Wye Keong, a
former substantial shareholder of delisted Maxbiz Corp Bhd, has
been charged by the Kuala Lumpur Sessions Court with four counts
of insider trading.

According to the Star, the Securities Commission (SC) said Leong
was charged under section 188(2)(a) of the Capital Markets and
Services Act 2007 (CMSA) for disposing of 2.13 million units of
Maxbiz shares in his son's account on Dec. 30, 2010.

Leong was also charged with disposing 8.1 million more Maxbiz
shares in his own account between Dec. 30, 2010 and Jan. 18,
2011, while in possession of inside information, the Star
relates.

"The material non-public information for the first three charges
relates to the decrease in Maxbiz's shareholders' equity that
brought it close to being classified as financially distressed.

"The material non-public information in the fourth charge
concerns the classification of Maxbiz as a Practice Note 17
(PN17) company. Maxbiz was previously listed on the Main Market
of Bursa Malaysia before its delisting on March 26, 2012."

The Star relates that the SC said Leong claimed trial on May 29,
with judge Zulqarnain Hassan fixing bail at MYR600,000 with two
sureties.

"Insider trading is punishable with an imprisonment term not
exceeding 10 years and a fine of not less than MYR1 million under
the CMSA."

According to the Star, the SC also alleged that Leong had
obtained the inside information from Datuk Vincent Leong Jee Wai,
the managing director of Maxbiz at the material time.

Jee Wai was earlier charged on May 22 at the Kuala Lumpur
Sessions Court with communicating inside information to Leong. If
found guilty, he faces up to 10 years in prison and a fine of not
less than MYR1 million, the Star discloses.

                      About Maxbiz Corporation

Maxbiz Corporation Berhad is a Malaysia-based company engaged in
investment holding and provision of management services to the
subsidiaries.  The principal activities of the subsidiaries are
commercial dyeing for fabrics and supply of chemicals.

Bursa Securities had delisted Maxbiz in March 2012. The company
was plagued by financial problems and scandals since it took over
the listing status of Geahin Engineering Bhd via a reverse
takeover in 2004, the Star Online discloses.

For the financial year ended Dec. 31, 2011, the company reported
a net loss of MYR13.43 million compared with a net loss of
MYR2.39 million in the previous corresponding period.  Revenue
was lower at MYR2.35million compared with MYR7.19 million the
previous year.



====================
N E W  Z E A L A N D
====================


HEALTH SERVICES: A.M. Best Affirms 'B' FSR; Outlook Positive
------------------------------------------------------------
A.M. Best has affirmed the Financial Strength Rating of B (Fair)
and the Long-Term Issuer Credit Rating of "bb+" of Health
Services Welfare Society Limited (New Zealand), trading as Accuro
Health Insurance.  The outlook of these Credit Ratings (ratings)
is positive.

The ratings reflect Accuro's adequate risk-adjusted
capitalization and improved operating performance over the past
five years.  The company has a good business profile in New
Zealand's retail medical insurance sector.

Accuro's adequate risk-adjusted capitalization, as measured by
Best's Capital Adequacy Ratio (BCAR), is due to its favorable
liquidity position and conservative investment portfolio.  The
company improved its underwriting performance through a reduction
in its operating expense ratio and favorable results from its
current product offerings.

An offsetting rating factor is the company's relatively high
underwriting leverage.  Net premium earned remained at three
times capital, which leaves the level of capitalization
relatively more sensitive to higher-than-expected claims
experience.

Positive rating actions could occur if the company continues to
generate positive operating results while maintaining an adequate
risk-adjusted capitalization.  Negative rating actions may occur
if the company's risk-adjusted capitalization deteriorates
significantly due to underwriting deficit.



===============
P A K I S T A N
===============


PAKISTAN: Commitment Re-Assertion to Moderate Deficits Credit Pos
-----------------------------------------------------------------
Moody's Investors Service says that the Pakistan government's (B3
stable) re-assertion of its commitment to moderate deficits when
it released its FY2018 budget is credit positive for the
sovereign, but the level of execution risk for the budget is
high.

In his budget speech on May 26, Finance Minister Ishaq Dar
announced a 4.1% of GDP fiscal deficit target for FY2018, similar
to the 4.2% provisional estimate for FY2017, and much lower than
a peak of more than 8.1% of GDP in FY2013.

Commitment to moderate deficits is credit positive for Pakistan
whose debt burden, at nearly 67% of GDP in 2016, and large gross
borrowing requirements, at nearly 32% of GDP, are constraints on
the sovereign rating.

The budget targets higher development spending-led growth.
Implementation of the budget measures -- as stated in the federal
budget for the fiscal year ending June 2018 -- would support
Pakistan's credit profile by helping to relieve supply-side
infrastructure bottlenecks, which constrain the country's
economic development.

However, budget execution risk is high, given ambitious GDP
growth and revenue assumptions, as well as limited institutional
capacity to spend development funds.

In particular, Moody's expects further revenue collection
shortfalls and pressure to increase current spending before the
2018 general election.

Moody's conclusions are contained in its just-released report on
Pakistan, "Budget Commitment to Moderate Deficit Is Credit
Positive; Targets Are Ambitious".



=================
S I N G A P O R E
=================


MARBLE II: Fitch Assigns 'BB' IDR; Outlook Stable
-------------------------------------------------
Fitch Ratings has assigned Singapore-based Marble II Pte. Ltd.
Long-Term Foreign- and Local-Currency Issuer Default Ratings
(IDR) of 'BB'. The Outlook is Stable. The agency has
simultaneously assigned an expected 'BB(EXP)' rating to the
company's proposed senior notes, which are secured by Marble I
Pte. Ltd.'s 100% equity stake in Marble II.

The final rating on the notes is contingent upon the receipt of
final documents conforming to information already received. The
proposed notes are rated in line with Marble II's Long-Term
Foreign-Currency IDR as they will represent its direct,
unconditional, secured and unsubordinated obligations. Proceeds
will be used to refinance Marble II's existing debt, prefund six
months of interest on the proposed notes, cover transaction fees
and other expenses incurred in the note issuance and pay
dividends to Marble II's ultimate shareholders, The Blackstone
Group LP (A+/Stable) and GIC Private Limited.

The notes will be structurally subordinated to any future debt at
India-based IT service provider, Mphasis Limited, in which Marble
II owns a 60.4% stake, and Marble II's other operating
subsidiaries. However, the subsidiaries have a working capital
loan of USD40 million and have limited room for additional
indebtedness within the terms of the proposed notes.

KEY RATING DRIVERS

Moderate Market Position: Marble II's ratings reflect its mid-
tier position in the global IT services industry and modest cost
and technology advantage over peers. Its ratings are supported by
solid long-term relationships with key customers, given the
moderate-to-high costs to its customers to switch to competitors,
strong domain expertise in the banking, financial services and
insurance sectors, stable revenue buoyed by minimum revenue
guarantees from Hewlett Packard Enterprise (HPE, BBB+/Stable)
related clients, including DXC Technology Company (BBB+/Stable),
HP Inc. (BBB+/Stable) and Micro Focus International plc.

High Customer Concentration: Marble II has high customer
concentration; its top-10 clients contribute 55% of its revenue,
if Fitch excludes HPE-related clients. However, this risk is more
than offset by, at least in the medium term, the revenue
guarantees from its HPE-related customers of USD990 million in
the next five years. The company also has a strong record of
retaining solid relationship with key customers, with an average
tenor of 14 years.

Expanding Direct-Channel Revenue: Fitch expects revenue from key
strategic customers excluding HPE-related clients, to increase
strongly over the next three years, significantly influenced by
Marble II's strong relationships with strategic clients and
opportunities from Blackstone portfolio companies. Fitch believes
the overlap in the Blackstone portfolio's industries and
geography to help Mphasis increase its revenue faster than the
industry average of 9%-11% annually. Fitch expects Marble II to
continue to generate a majority of its revenue from non-HPE
clients (financial year to end-March 2017: 76%).

Strong FCF at Mphasis: Fitch expects Mphasis to continue
generating positive FCF with a 5%-7% margin due to its low capex
with capital intensity likely to be 1%-2%, modest working capital
requirement, rising revenue and stable margins. Mphasis is likely
to maintain a healthy balance sheet with minimal debt, similar to
most India-based IT services companies. Mphasis only had USD40
million (INR2.6 billion) in working capital loans against cash
and cash equivalents of USD464 million, including mutual fund
investments, as of end-March 2017. However, this amount decreased
after its April 2017 share buyback programme.

Proportionate Consolidation, Higher Leverage: Marble II's debt
service ability depends on dividends up-streamed from Mphasis.
Fitch analyse the Marble group by proportionally consolidating
Mphasis due to the substantial level of minorities. On this
basis, Fitch expects Mable II's FFO-adjusted net leverage to
increase to 5.0x at end-March 2018, from 1.1x at end-March 2017
after the proposed note issuance. However, higher operating cash
flow and FCF should enable this leverage to fall below 3.0x by
end-2020. Marble II will have limited ability to take on
additional debt above the proposed notes due to the incurrence
covenant on its notes of debt/EBITDA of 3.5x on a 100%
consolidated basis (post-issuance debt/EBITDA: 3.6x), excluding a
USD60 million carve-out.

Lower H1B Visa Dependence: Any restrictions on US H1B temporary
working visa approvals would negatively affect Indian IT
companies, including Marble II. Fitch does not expects a complete
H1B ban or major restrictions on outsourcing from the US, but
stricter rules or delays in granting visas would increase labour
costs for on-site staff. However, Marble II has a lower exposure
to such visa issues compared with peers. Its visa filing of
labour condition applications as a percentage of total employees,
at 3.5%, is among the lowest of peers (industry average: 10%).

DERIVATION SUMMARY

Marble II's credit rating of 'BB' is supported by its market
position as a mid-tier Indian IT services provider, which Fitch
believes to be stronger than that of HT Global IT Solutions
Holdings Limited (BB-/Stable) in terms of operating scale, domain
expertise - especially in the banking, financial services and
insurance sectors - and higher utilisation rate. In addition, the
company's master service agreement with HPE, with a minimum
revenue guarantee of USD990 million for the next five years with
a total tenor of 11 years, provides some visibility of revenue
generation.

The stronger business profile is somewhat constrained by Marble
II's weaker financial profile, as its proportionately
consolidated financials have higher leverage than that of HT
Global. If the proposed notes issue proceeds, Marble II's FFO net
leverage will increase to 5.0x, compared with HT Global's 4.6x on
a like-for-like basis.

Mable II's credit profile is constrained by its smaller scale and
lack of technology and cost leadership compared with leading
Indian IT companies. Fitch believes it has limited capacity to
win the largest IT orders due to its smaller scale and inability
to deliver a full IT services portfolio. Nevertheless, it has
demonstrated the ability to build strong customer relationships
within its niche.

KEY ASSUMPTIONS

- Revenue growth of 8%-10% over the next two years
- Operating EBITDAR margin to remain flat at around 15%-16%
- Capex/revenue to remain low at around 2% from 2018
- Marble II to maintain a minimum interest coverage ratio of at
least 1.0x, excluding interest reserve accounts

RATING SENSITIVITIES

Developments that may, individually or collectively, lead to
negative rating action include:

- Higher-than-expected shareholder returns, greater competition
or
  loss of key customers leading to deterioration in
proportionally
  consolidated FFO-adjusted net leverage to above 5.0x.
- Operating EBITDAR margin declining below 15% for a sustained
  period

Developments that may, individually or collectively, lead to a
positive rating action include:

- An improvement in proportionally consolidated FFO-adjusted net
  leverage to below 3.0x on a sustained basis
- An improved market position, demonstrated by higher
  profitability and lower customer concentration. Fitch is
  unlikely to consider an upgrade until Fitch can confidently
  forecast FCF of over USD125 million (financial year ended March
  2017: USD50 million), given the company's small size.

LIQUIDITY

Adequate Liquidity: Mphasis's liquidity was adequate as of end-
March 2017, with cash and cash equivalents of USD96 million
comfortably covering total debt of USD40 million, which was all
short-term obligations. In addition, the company has substantial
investments in open-ended liquid mutual funds of around USD349
million (INR22.7 billion), most of which Fitch treated as readily
available cash. Marble II had cash and cash equivalents of
USD11.5 million at end-March 2017, of which USD9.2 million was
restricted, against a USD15.7 million acquisition loan, which is
payable within a year. The company is looking to refinance the
loan with the proposed notes.


MARBLE II: Moody's Assigns First-Time Ba2 Corporate Family Rating
-----------------------------------------------------------------
Moody's Investors Service has assigned a first-time Ba2 corporate
family rating (CFR) to Marble II Pte. Ltd. (Marble II), the
special-purpose investment holding company formed by Blackstone
Group and GIC Pte Ltd (unrated) to invest in the IT solutions
provider, Mphasis Limited (unrated).

At the same time, Moody's has assigned a Ba2 rating to Marble
II's proposed notes due 2022. The proceeds from the notes will be
used to repay existing debt at Marble II, pay a dividend to
shareholders, and also prefund the first 6 months of interest
payments on the notes.

The rating outlook is stable.

RATINGS RATIONALE

"Marble II's Ba2 corporate family rating is supported by its
60.4% controlling interest in Mphasis, strong revenue visibility,
strong cash flow generation, and Mphasis' solid liquidity
profile," says Saranga Ranasinghe, a Moody's Assistant Vice
President and Analyst.

Mphasis generates around 77% of its revenue from the US and
around 48% from the banking, capital markets. The company should
continue to benefit from the sustained reliance on outsourcing
and the increase in IT spending by global enterprises on new age
digital technology, such as Cloud and Big Data.

"Moody's expects this increasing expenditure on emerging
technologies to continue to be a key driver of growth for
Mphasis," adds Ranasinghe, who is also the lead analyst for
Marble II.

As a percentage of revenue, NewGen services in Mphasis' largest
customer segment, Direct International, increased to 44% in the
12 months ended March 2017 (FY2017) from 36% for FY2015.

However, the industry is highly competitive and is exposed to
policy uncertainties in key markets; for example, the US and
Europe have implemented measures to restrict the entry of foreign
workers and increase the creation of jobs for their own citizens.
However, Moody's expects any regulatory changes around H1B visas
to have a limited impact on Mphasis given only approximately 7%
of total employees worked under a H1B visa.

At the same time, Mphasis' strategic partnership with Hewlett
Packard Enterprise Company (HP, Baa2 stable) guarantees $990
million of revenues for the first 5 years of the 11 year contract
and provides revenue visibility. The contractual guaranteed
nature of the HP revenue base supports Mphasis' credit profile
and provides the company with a unique advantage over its rated
peers.

The ratings also reflect Mphasis' high level of customer
concentration risk. Its top 5 customers account for about 40%
revenue, while the top 10 customers account for around 55% of
revenue. While this is a key risk, it is balanced by long-term
relationships with these customers and the integrated nature of
its services into customer operations.

Marble II's proposed notes due 2022 are structurally subordinated
to the creditors and cash flows of Mphasis, but will represent
most of the total debt in the consolidated capital structure.
Accordingly, debt service at Marble II will depend on dividends
from Mphasis.

The Ba2 ratings reflect Moody's expectation that Mphasis will not
increase its borrowings and that dividend flow, combined with
high initial levels of liquidity at Marble II, which benefits
from the prefunding of 6 months of interest requirements, will
provide adequate interest coverage for note holders.

At the same time, Moody's expects Mphasis to maintain its strong
liquidity profile. It had cash and cash equivalents of around
INR30 billion at the end of March 2017. Pro forma for the share
buyback of INR11.1 billion, it maintains strong liquidity levels
of around INR19 billion (approximately $290 million). Moody's
expects Mphasis to generate around INR11 billion of cash flow
from operations, sufficient to cover around INR5.5 billion of
capital expenditure and dividends.

Moreover, Moody's expects the bond indenture to provide
meaningful protections to note holders in the form of dual
incurrence tests at Marble II and Mphasis. Marble II will not be
allowed to incur incremental debt unless consolidated debt/EBITDA
is below 3.5x. Mphasis will be allowed to incur debt up to 40% of
EBITDA, but all instances must also be in compliance with the
consolidated incurrence test.

Leverage, on a fully consolidated pro forma basis, will be
roughly 3.0x at close (4.4x pro-rata for Marble II's 60.4% share
of EBITDA). There is limited headroom available under the
covenant for additional debt.

Furthermore, given the strong level of free cash flow generation
and Mphasis' stated objectives of organic growth, Moody's does
not expects the two companies to incur any incremental debt in
the next 12-18 months.

However, given the private equity ownership, Moody's expects the
financial strategy to favor shareholder-friendly initiatives
within the confines of the proposed bond documents.

The stable outlook reflects Moody's expectation for strong
revenue growth, while current strong EBITDA margins will continue
over the next two years to support deleveraging to below 3.0x on
a fully consolidated basis. Further, the ratings reflect Moody's
expectations that dividend payments by Mphasis to Marble II,
combined with existing interest reserves at Marble II, will
comfortably cover Marble II's debt service requirements on an
ongoing basis.

The ratings are well positioned at Ba2. Any upward rating
momentum is unlikely in the short term. However, in the medium
term, the ratings could be upgraded if Mphasis continues to grow
and diversifies its customer base. Leverage would also likely
need to be maintained below 2.5x on a consolidated basis.
Further, Moody's would expects the company to maintain strong
cash generation, such that free cash flow less share buy backs/
total consolidated debt stays above 15%.

The ratings could be downgraded if overly aggressive business
acquisitions or higher-than-expected shareholder distributions
cause gross leverage to exceed 3.5x on a sustained basis.

Additionally, if liquidity were to deteriorate at Mphasis, such
that cash stays below USD180 million and free cash flow less
share buy backs is negative, then the ratings could be
downgraded.

The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.

Marble II is 100% owned by Marble I Pte Ltd (unrated). In turn,
Marble I is owned 86% by Blackstone Group and the rest by the
Singapore wealth fund, GIC Pte Ltd (unrated). Marble II has 60.4%
ownership of Mphasis II. There are no operations at Marble II and
its sole asset is its investment in Mphasis stock.

Mphasis Limited is an Indian outsourced IT solutions provider. It
provides application maintenance & other services (36%),
application development (24%), knowledge process (15%),
infrastructure management services (14%), transaction processes
(7%), as well as service/technical help desk and other services
(4%).


                             *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


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.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro and
Peter A. Chapman, Editors.

Copyright 2017.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$775 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Peter Chapman at 215-945-7000 or Joseph Cardillo at 856-381-8268.



                 *** End of Transmission ***