/raid1/www/Hosts/bankrupt/TCRAP_Public/180822.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, August 22, 2018, Vol. 21, No. 166

                            Headlines


A U S T R A L I A

AM LABOUR: Second Creditors' Meeting Set for August 28
AMTIA PTY: Second Creditors' Meeting Set for August 28
DENNIS JONES: Book Distributor Enters Into Liquidation
ITALO-AUSTRALIAN CLUB: First Creditors' Meeting Set for Aug. 30
KARALUNDI ABORIGINAL: Second Creditors' Meeting Set for Aug. 28

MAJELLA GROUP: First Creditors' Meeting Set for August 28
QUINTIS LIMITED: Loses NT Major Project Status for Sandalwood
R D KERRIDGE: Second Creditors' Meeting Set for August 28
ROSEMONT & CO: First Creditors' Meeting Set for Aug. 28


C H I N A

CEFC CHINA: Unit Defaults on CNY2.1 Billion Commercial Paper
FUFENG GROUP: Fitch Affirms 'BB+' LT IDR, Outlook Stable
HNA GROUP: Units Lose $10BB in Market Value After Resumptions
QINGDAO CHINA: S&P Lowers ICR to 'BB+', Outlook Stable
XINYUAN REAL ESTATE: S&P Alters Outlook to Neg. & Affirms 'B' ICR


H O N G  K O N G

HSIN CHONG: Fired as M+'s Main Contractor Over Alleged Insolvency
NOBLE GROUP: Deutsche Bank Offers to Buy Sr. Secured Bonds


I N D I A

ADDI ALLOYS: ICRA Raises Rating on INR11cr LT Loan to B+
ADORE SUITINGS: CARE Moves B Rating to Not Cooperating Category
AMBICA TIMBER: CARE Reaffirms B+/A4 Ratings on INR6cr Loan
BALAJI MOTORS: ICRA Maintains 'B' Rating in Not Cooperating
DHARANII COTTON: CARE Assigns B Rating to INR5.37cr LT Loan

GURUKRIPA PARBOILING: CARE Assigns B+ Rating to INR7cr LT Loan
IDBI BANK: S&P Places 'BB/B' For. Curr. ICRs on CreditWatch Neg.
JAGADEESH AND SHASHIREKHA: CARE Assigns B+ Rating to INR12cr Loan
JCT LIMITED: CARE Lowers Rating on INR158.28cr Loan to D
K. PATEL: CARE Assigns B Rating to INR24cr LT Loan

KNOWLEDGE EDUCATION: CARE Lowers Rating on INR8.5cr Loan to D
LUTON CERAMIC: ICRA Assigns B+ Rating to INR3cr Cash Loan
MAA MAHARANI: CARE Lowers Rating on INR6.07cr LT Loan to D
MAHESH LUMBER: ICRA Moves D Rating to Not Cooperating
MANMEET ALLOYS: ICRA Raises Rating on INR15cr LT Loan to B+

MOONLIGHT MARBLES: ICRA Reaffirms B- Rating on INR12cr Loan
PARAS FOODS: ICRA Maintains B Rating in Not Cooperating Category
PARTH CONCAST: ICRA Lowers Rating on INR20cr Term Loan to D
RADIANT TEXTILES: CARE Lowers Rating on INR40cr LT Loan to B+
RAINBOW INFRASTRUCTURE: CARE Assigns B+ Rating to INR4cr Loan

RAIPUR POWER: ICRA Lowers Ratings on INR390cr Loans to D
S M INTERIOR: CARE Moves B+ Rating to Not Cooperating Category
SAI RADHA: ICRA Reaffirms B+ Rating on INR17.50cr LT Loan
SANT FOODS: ICRA Moves B Rating to Not Cooperating Category
SAR SENAPATI: CARE Moves B- Rating to Not Cooperating Category

SHIVAM PIPE: ICRA Lowers Rating on INR5.50cr Cash Loan to D
SRI ADIPARASHAKTI: ICRA Assigns B+ Rating to INR7cr LT Loan
SRI MANJUNATHA: ICRA Maintains B Rating in Non-Cooperating
TRIKAAL LEASING: CARE Moves B+(FD) Rating to Non-Cooperating
VIKAS COTTON: ICRA Cuts Rating to D & Moves to Non-Cooperating


I N D O N E S I A

MODERNLAND REALTY: S&P Rates New US$150MM Sr. Unsec. Notes 'B'


M A L A Y S I A

UTUSAN MELAYU: Falls Into PN17 status on Loan Defaults


P H I L I P P I N E S

RURAL BANK OF LUNA: Placed Under PDIC Receivership


                            - - - - -


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


AM LABOUR: Second Creditors' Meeting Set for August 28
------------------------------------------------------
A second meeting of creditors in the proceedings of AM Labour Hire
Pty Ltd has been set for Aug. 28, 2018, at 10:00 a.m. at Level 34,
EY Centre, 200 George 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 Aug. 27, 2018, at 4:00 p.m.

Samuel John Freeman and Marcus William Ayres of Ernst & Young were
appointed as administrators of AM Labour on July 25, 2018.


AMTIA PTY: Second Creditors' Meeting Set for August 28
------------------------------------------------------
A second meeting of creditors in the proceedings of Amtia Pty Ltd
has been set for Aug. 28, 2018, at 11:00 a.m. at the offices of
BPS Recovery, Level 18, 201 Kent 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 Aug. 27, 2018, at 4:00 p.m.

Daniel John Frisken and Mitchell Ball of BPS Recovery were
appointed as administrators of Amtia Pty on July 23, 2018.


DENNIS JONES: Book Distributor Enters Into Liquidation
------------------------------------------------------
Linda Morris at The Sydney Morning Herald reports that the
collapse of a "stalwart" Melbourne book distributor has stranded
hundreds of tiny publishers and self-published authors in the
lead-up to the Christmas buying spree.

Dennis Jones & Associates has been the go-between for small
publishers and self-published authors and bookstores since its
formation in late 1991. It ceased trading last week and
voluntarily appointed a liquidator, according to SMH.

"It's been pretty devastating for many," said Juliet Rogers from
the Australian Society of Authors, which is representing the
interests of their members who are creditors as the liquidators
arrange the orderly wind-up of the company, SMH relays.

"As I understand it from the liquidators, there are 1300
creditors, most of whom will be tiny publishers and self-published
individual authors.

"Dennis Jones was the only person willing to give them a go and
although other players will pick up the best publisher lists, on
the whole, the individual authors are going to suffer. It could
also not have come at a worse time with Christmas just around the
corner."

According to SMH, liquidator Steven Kugel of Insolvency Experts
confirmed he was dealing with more than 1,300 creditors, including
one secured creditor and 15 employees, and around 500 debtors.

The role of the liquidator was to act for the benefit of all
creditors including employees, secured and unsecured creditors, he
said.

"In that regard, as liquidator, I will firstly deal with any
assets of the company as well as obtaining books and records.
Following that, I will undertake an investigation into
the affairs of the company to determine the reasons for its
failure . . . At this point, it will be decided if any dividend
can be paid to creditors," the report quotes Mr. Kugel as saying.

Publishers that had placed books with the company for distribution
were free to collect their stock, he said, as it is not considered
a company asset, SMH relates.

Ms. Rogers said she wasn't sure of the reasons behind the collapse
but "costs of the operation would have been high and the
administration intensive".

"I can only assume that it got to the stage where Dennis had no
choice but to walk. He has had a long book trade career and it is
not a decision he would have taken lightly."


ITALO-AUSTRALIAN CLUB: First Creditors' Meeting Set for Aug. 30
---------------------------------------------------------------
A first meeting of the creditors in the proceedings of Italo-
Australian Club (ACT) Limited will be held at Level 10,
60 Marcus Clarke Street, in Canberra City, ACT, on Aug. 30, 2018,
at 10:00 a.m.

Ezio Senatore of Eddie Senatore Advisory was appointed as
administrator of Italo-Australian Club on Aug. 30, 2018.


KARALUNDI ABORIGINAL: Second Creditors' Meeting Set for Aug. 28
---------------------------------------------------------------
A second meeting of creditors in the proceedings of Karalundi
Aboriginal Education Community Aboriginal Corporation has been set
for Aug. 28, 2018, at 11:00 a.m. at the offices of Pitcher
Partners, Level 11, 12-14 The Esplanade, in Perth, WA.

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 Aug. 27, 2018, at 4:00 p.m.

Daniel Johannes Bredenkamp and Renee O'Driscoll of Pitcher
Partners were appointed as administrators of Karalundi Aboriginal
on July 23, 2018.


MAJELLA GROUP: First Creditors' Meeting Set for August 28
---------------------------------------------------------
A first meeting of the creditors in the proceedings of Majella
Group Holdings Pty Ltd and Majella Capital Funds Management Pty
Ltd will be held at the offices of Hall Chartered Chartered
Accountants, Level 4, 240 Queen Street, in Brisbane, Queensland,
on Aug. 28, 2018, at 10:30 a.m. and 11:30 a.m., respectively.

Richard Albarran, Glenn Shannon and David Ingram of Hall Chadwick
were appointed as administrators of Majella Group on Aug. 16,
2018.


QUINTIS LIMITED: Loses NT Major Project Status for Sandalwood
-------------------------------------------------------------
Chris McLennan at Katherine Times reports that while hopes remain
Quintis Limited's sandalwood plantations will still flourish, it
has lost the NT's Government major project status.

Quintis has large plantations and an office in Katherine, the
report cites.

Katherine Times relates that the NT Government on Aug. 20 said
that following a comprehensive show cause process and extensive
review, it has withdrawn Major Project Status for Quintis
Limited's Indian Sandalwood expansion, because the expansion in NT
is not proceeding in the near future.

"This decision is made in accordance with the Major Project Status
Policy Framework, which sets out the process and requirements for
Major Project Status.

"The Government awards Major Project Status to private sector
initiated projects that are significant, complex and have
strategic impact.

"For the project proponent, the benefits of major project status
include whole of government support, coordination and
facilitation, assistance in identifying and mapping regulatory
approvals, project case management and facilitation of engagement
with the Australian Government through a central and single point
of contact," the government, as cited by Katherine Times, said.

Most recently, Quintis shareholders signed off on a plan to keep
the sandalwood producer afloat, the report notes.

With the support of secured creditors, McGrathNicol (the
receivers) successfully proposed a Deed of Company Arrangement to
the Voluntary Administrators that would see between AUD125 -
AUD175 million in new cash injected into the business to fund
operations on a long-term basis, according to Katherine Times.

Creditors voted for the Receivers' proposed Deed of Company
Arrangement to see the business emerge as a private company in a
strong financial position and well placed to continue its strategy
as the world's leading marketer, producer and seller of sandalwood
timber, oil and products, adds Katherine Times.

                          About Quintis

Quintis is Australia's largest sandalwood forestry management
company and manages 17 separate managed investment schemes.

Quintis employs approximately 500 staff at various locations
throughout Australia. Quintis manages nearly 13,000 hectares of
sandalwood plantations in northern Australia and owns a
distillery and pharmaceutical company to process the sandalwood
for the cosmetics, well-being and pharmaceutical industries. The
company was formed in 1997 and listed in 2007.

KordaMentha Restructuring partners Richard Tucker, Scott Langdon,
and John Bumbak were appointed as Voluntary Administrators of the
Quintis Group on Jan. 20, 2018 after Asia Pacific Investments DAC
exercised an option requiring Quintis to acquire 400 hectares of
plantations at a pre-determined price of AUD37 million, with
settlement required totake place on Feb. 2, 2018.  Quintis did
not have the financial resources to pay the put option.

As a result of the appointment of Administrators on Jan. 23,
2018, the secured bondholders appointed Jason Preston, Shaun
Fraser and Robert Brauer of McGrathNicol as Receivers and
Managers.


R D KERRIDGE: Second Creditors' Meeting Set for August 28
---------------------------------------------------------
A second meeting of creditors in the proceedings of R D Kerridge
Pty Ltd has been set for Aug. 28, 2018, at 11:00 a.m. at the
offices of Hall Chadwick Chartered Accountants, Level 4, 240 Queen
Street, in Brisbane, 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 Aug. 27, 2018, at 5:00 p.m.

David Allan Ingram of Hall Chadwick was appointed as administrator
of R D Kerridge on July 31, 2018.


ROSEMONT & CO: First Creditors' Meeting Set for Aug. 28
-------------------------------------------------------
A first meeting of the creditors in the proceedings of Rosemont &
Co. Pty Ltd will be held at the offices of Hayes Advisory,
Level 16, 55 Clarence Street, in Sydney, NSW, on Aug. 28, 2018, at
11:00 a.m.

Henry McKenna of Hayes Advisory was appointed as administrator of
Rosemont & Co. on Aug. 16, 2018.



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


CEFC CHINA: Unit Defaults on CNY2.1 Billion Commercial Paper
------------------------------------------------------------
South China Morning Post reports that CEFC Shanghai International
Group, a unit of China's largest private oil conglomerate CEFC
China Energy, said it failed to repay principal and interest on
CNY2.1 billion (US$306 million) worth of commercial paper due on
August 20.

According to the Post, the unit said it defaulted because
operations had been seriously affected by recent negative events
at the company, and it is actively raising funds to repay
investors.

The announcement was made in a statement via the Shanghai Clearing
House, the Post notes.

Earlier this month, CEFC China Energy, which is struggling to
repay mounting debts, put up property assets worth HK$3.3 billion
(US$420 million) in Hong Kong for sale in a tender that will close
on September 11, the report relays.

The Post notes that CEFC China had CNY98.3 billion of outstanding
debt as of July, and has already defaulted on three bonds in May
and June worth a total of CNY6.5 billion.

A creditors' committee has taken over its daily operations, as
chairman Ye Jianming has been detained for questioning regarding
the debts since February, the Post reported earlier.

The Post notes that the disposal in Hong Kong marks a reversal of
CEFC China's global shopping for properties and assets between
2015 and 2017, acquisitions that had drawn regulators' ire on the
capital outflows and runaway borrowings.

It is part of a sale of the worldwide network of the company's 89
property assets valued at CNY21.64 billion (US$3.19 billion) as of
March, including an apartment in Manhattan and a villa in Prague,
the Post reported in July.

CEFC China Energy Company Limited engages primarily in energy and
financial services businesses. It invests and develops upstream
and downstream of oil and gas fields, and petrochemicals in the
Middle East, Central Asia, and Africa. The company establishes
logistics chains, overseas storage, and transshipment terminals.
It also invests in securities, trusts, futures, banking, financial
assets transactions, leasing, factoring, direct risk management,
and online insurance.


FUFENG GROUP: Fitch Affirms 'BB+' LT IDR, Outlook Stable
--------------------------------------------------------
Fitch Ratings has affirmed China-based monosodium glutamate (MSG)
and xanthan gum producer Fufeng Group Limited's Long-Term Issuer
Default Rating at 'BB+'. The Outlook is Stable.

The rating reflects Fufeng's dominant position in the MSG market,
increasing contribution from amino-acid products other than the
core MSG product and a deleveraged financial profile. Fitch
expects the company's margins to recover after a weak 1H18
performance due to cost inflation as prices increase and free cash
flow (FCF) turns positive on lower capex since 2019. These factors
should allow the company to maintain a solid financial profile.

KEY RATING DRIVERS

Cost Inflation, Lower Margin: Fufeng 1H18 revenue increased 6.4%
to CNY6.6 billion but its gross margin declined 5.6 percentage
points to 17%. The significant margin drop was mainly due to the
increase in raw material prices, in particular, corn kernel costs,
which accounted for half of its total production cost. However,
Fitch believes the margin constraint is short-lived as Fufeng has
raised prices since the second quarter and corn kernel costs
stopped rising after March, which could benefit the company in the
second half. Fitch expects its gross profit margin to recover
towards 17.3% by end-2018 and improve to 18.6% by end-2021.

Continued Growth From Amino Acids: Fitch expects the sales growth
contributed by other amino-acid products to continue. The
proportion of amino-acid sales from non-MSG products has grown
from 43% in 2016 to 47% in 1H18, mainly driven by Threonine and
high-end amino-acid products. Fitch believes Fufeng's plan to keep
investing to improve the production process for its existing
products and launch new products every year will help the company
diversify its revenue stream and also increase gross margins due
to a more varied product mix.

Slow Recovery for Xanthan Gum: The xanthan-gum segment's
profitability has started to recover amid better market conditions
in the oil and gas industry, a key customer base. The segment's
gross margin fell from a peak of 58.3% in 2013 and bottomed at
15.9% in 2016 before rebounding to 32.1% in 1H18. However, Fitch
expects the overall impact on Fufeng to be limited due to a drop
in production as xanthan gum contributed only 7% of Fufeng's total
gross profit in 2017.

Land Disposal Improves Balance Sheet: Fufeng announced on
August 1, 2018 that it had entered into an agreement to sell its
land for an aggregate consideration of CNY1.8 billion and an
estimated net gain of CNY1 billion. The land is currently held by
Fufeng for investment purposes and is not required for the
development and growth of Fufeng's core business. Fitch believes
the realised cash can further reduce Fufeng's net leverage and in
turn strengthen the overall balance-sheet structure.

Financial Profile Remains Solid: Fufeng improved its FFO net
leverage ratio to 0.6x in 2017 after the full conversion of its
CNY975 million convertible bond and an equity placement of CNY679
million in net proceeds despite higher capex on the first phase of
construction for its new amino-acid plant in the Chinese city of
Qiqihar. Fitch expects net leverage to be reduced further to 0.5x
in 2018 after Fitch factors in the land disposal proceeds. Fitch
expects Fufeng to maintain positive FCF from 2019 given lower
capex requirements after the second construction phase of the
Qiqihar plant is completed in 2018.

DERIVATION SUMMARY

Fufeng's scale is in line with other 'BB' category peers, but it
has a strong business profile as the top global producer of MSG
and its position should improve with its diversification across
amino-acid products. Fufeng also has lower leverage relative to
peers and Fitch expects FCF to turn positive with lower capex
requirements from 2019. The closest peer among upstream food
producers would be Indonesia-based poultry producer PT Japfa
Comfeed Indonesia Tbk (BB-/Stable). Fufeng's higher rating is
justified by its stronger market position, larger scale, and
higher profitability.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within Its Rating Case for the Issuer

  - Amino-acid segment: sales contribution from non-MSG products
    increasing gradually from 48.6% in 2017 to 52% in 2021; 17.3%
    gross profit margin in 2018 improving to 18.6% by 2021 from
    improved MSG production efficiency and product-mix
    improvement from non-MSG products

  - Xanthan gum: flat sales, 30% gross profit margin in 2018-2021
    (2017: 29.2%)

  - Capex: CNY1.9 billion in 2018 and CNY1.0 billion from 2019

  - Dividend payout ratio: 30% in 2018-2021

RATING SENSITIVITIES

Developments That May, Individually or Collectively, Lead to
Positive Rating Action

  - No positive rating action will be considered until Fufeng
    significantly increases its scale and improves its product
    diversification

Developments That May, Individually or Collectively, Lead to
Negative Rating Action

  - FFO adjusted net leverage above 1.0x on a sustained basis
    (2017: 0.6x)

  - Negative FCF on a sustained basis

  - Sustained loss in MSG market share

  - Gross margin lower than 18% for a sustained period (2017:
    22.5%)

LIQUIDITY

Sufficient Liquidity: As at June 30, 2018, Fufeng had readily
available cash of CNY777 million and unused bank facilities of
CNY3.2 billion versus short-term borrowings of CNY2.8 billion, of
which CNY1.4 billion has to be repaid in 2H18. In addition, Fufeng
will receive land disposal proceeds of approximately CNY1 billion
in 2H18 and CNY790 million in 1H19.

FULL LIST OF RATING ACTIONS

Fufeng Group Limited

  - Long-Term Issuer Default Rating affirmed at 'BB+';

  - Senior unsecured rating affirmed at 'BB+'.


HNA GROUP: Units Lose $10BB in Market Value After Resumptions
-------------------------------------------------------------
Prudence Ho at Bloomberg News reports that six HNA Group Co. units
have lost about $10 billion in market value since their shares
resumed trading in the past few weeks, underscoring persisting
concerns about the conglomerate, which is saddled with one of the
biggest piles of debt in corporate China.

Bloomberg says total losses topped the milestone during early
trading in Shanghai and Shenzhen on Aug. 21, though they pared
back declines to about $9.8 billion as of the midday break.
According to Bloomberg, all the units have underperformed their
benchmark indexes since the share suspensions, with Hainan HNA
Infrastructure Investment Group Co. dropping the most by plunging
more than 45 percent in the past seven trading days.

The units had been suspended for months, citing major
restructuring plans, as the group sought to cope with surging
borrowing costs, Bloomberg relates. After accumulating more than
$85 billion in debt from a years-long acquisition spree, HNA is
now reversing course and has sold more than $17 billion in assets
this year. HNA Technology Co. is the last remaining suspended
subsidiary, pending the progress of a restructuring plan,
Bloomberg notes.

                            About HNA

China-based HNA Group Co. Ltd. offers airlines services. The
Company provides domestic and international aviation
transportation, air travel, aviation maintenance, and aviation
logistics services. HNA Group also operates holding, capital,
tourism, logistics, and other business.

Bloomberg News said HNA has been facing increasing pressure --
some banks are said to have frozen some unused credit lines to
HNA units after they missed payments -- after a debt-fueled
acquisition spree that left it with global assets ranging from
hotels and refrigerated trucks to aviation and car rentals.


QINGDAO CHINA: S&P Lowers ICR to 'BB+', Outlook Stable
------------------------------------------------------
S&P Global Ratings lowered its long-term issuer credit rating on
Qingdao China Prosperity State-owned Capital Operation (Group) Co.
Ltd. (QCP) to 'BB+' from 'BBB-'. S&P said, "We also lowered the
long-term issue rating on QCP's guaranteed bonds to 'BB+' from
'BBB-'. We then withdrew all the ratings at the company's request.
The outlook on the issuer credit rating was stable at the time of
the withdrawal."

S&P said, "We downgraded QCP to reflect the lackluster
profitability of the company's assets portfolio. We expect QCP's
profitability to remain low due to the company's role as a manager
of underperforming state-owned assets on behalf of the Qingdao
municipal government. At the same time, we believe that QCP's debt
would remain elevated due to the lack of clear plans to
deleverage. We therefore lowered our assessment of the company's
stand-alone credit profile to 'b' from 'b+'.

"The stable outlook at the time of withdrawal reflected our
expectation that QCP would continue to have a very high likelihood
of receiving extraordinary support from the government, if needed,
over the next 12 months."

The Qingdao municipal government fully owns QCP. The company
supports industrial development and upgrades in Qingdao.


XINYUAN REAL ESTATE: S&P Alters Outlook to Neg. & Affirms 'B' ICR
-----------------------------------------------------------------
S&P Global Ratings revised its rating outlook on Xinyuan Real
Estate Co. Ltd. to negative from stable. At the same time, S&P
affirmed its 'B' long-term issuer credit rating on the company and
its 'B-' long-term issue rating on its senior unsecured notes.
Xinyuan is a China-based property developer.

S&P said, "We revised the outlook to negative because we expect
Xinyuan's liquidity to weaken in the next 12 months, given
cyclical sales launches and sizable short-term maturities in 2019.
This is even though the company has carried out financing
activities so far this year, including the issuance of US$200
million offshore notes, and none of its onshore noteholders have
exercised their put options.

"We estimate Xinyuan's short-term debt may increase to Chinese
renminbi (RMB) 14 billion-RMB16 billion at the end of 2018. Our
estimate considers the normal rollover of project debts, RMB3.8
billion of puttable onshore bonds, and US$300 million of offshore
bonds due. At the end of the second quarter, the company had
RMB12.3 billion of debt maturing in the next 12 months. This
amount represents 52% of Xinyuan's total debt, and includes
puttable onshore bonds of RMB4.8 billion. The current weak market
sentiment adds to the company's refinancing risk, in our view."

Xinyuan's debt servicing ability will hinge on the proceeds from
contracted sales in the second half of 2018. The company's
contracted sales have been weak so far this year at RMB6.5
billion, which is just 33% of its full year target. This is partly
because Xinyuan had acquired the land for many of its projects in
2017 and it generally takes 10 months or more for the company to
obtain relevant pre-sales certificates. Xinyuan expects the
majority of the sales to occur in the last quarter of the year.

Uncertainties still surround Xinyuan's sales plan, which may
easily slip due to delays in construction or government approvals.
S&P also expects the company's cash collection to fall to about
75% or lower in 2018, from 85%-90% in 2016 and 2017, considering
the lengthier mortgage approvals and sales skewed toward the end
of the year.

S&P said, "We affirmed the rating because we expect Xinyuan's cash
balance and leverage to improve if the company successfully
executes its large new launches of around RMB21 billion in the
second half of 2018. Xinyuan is also seeking additional issuance
quotas from various funding channels, which could improve its
capital structure. We also anticipate that the company will
significantly reduce its land acquisitions in the next six to 12
months. Its current land bank should be sufficient for development
for the next two to three years.

"The negative outlook reflects our view that Xinyuan's liquidity
may weaken further in the next 12 months. The company's liquidity
hinges on the smooth execution of its sales plan and disciplined
land acquisitions, given its relatively small sales scale and land
reserve.

"We could lower the rating if Xinyuan's short-term debt increases
or its cash level depletes, such that its liquidity weakens. A
ratio of liquidity sources over uses of less than 1.0x would
indicate such weakness.

"We could also lower the rating if Xinyuan's ability to service
its debt deteriorates, which may be indicated by an EBITDA
interest coverage of less than 1.5x.

"We may revise the outlook back to stable if Xinyuan's liquidity
and debt servicing ability improve. A ratio of liquidity sources
over uses of sustainably over 1.2x and EBITDA interest coverage of
close to 2x could signal such an improvement."



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


HSIN CHONG: Fired as M+'s Main Contractor Over Alleged Insolvency
-----------------------------------------------------------------
Hong Kong Free Press reports that the main contractor of M+, the
West Kowloon Cultural District's contemporary art museum, was
fired by the government-appointed management authority on Friday
owing to alleged insolvency.

According to the report, the West Kowloon Cultural District
Authority (WKCDA) said in a press statement it has terminated its
contract with Hsin Chong Construction Company Limited over the
troubled project. Hsin Chong was awarded the HK$5.9 billion
contract for multiple buildings in September 2015 after a
selective tendering process.

"The decision to terminate the contract has been forced upon the
Authority due to the insolvency of [Hsin Chong] which has been
caused by the severe financial troubles facing its parent company,
Hsin Chong Group Holdings Limited," the statement read, HK Free
Press relays.

"In addition, the poor management performance of [Hsin Chong] has
led to significant delays in the work on site, for which the
Authority has not received substantiated claims for extension of
time," it added.

HK Free Press relates that the WKCDA said it has been aware of the
financial difficulties faced by Hsin Chong and its parent company
since late 2016.

The WKCDA was discovered last month to have bypassed Hsin Chong
and paid construction subcontractors directly. Construction work
at the West Kowloon Cultural District is funded by public money,
and originally the government was to pay Hsin Chong, who would in
turn pay subcontractors, the report says.

The report relates that Hsin Chong said at the time that WKCDA
paid subcontractors in lieu to ensure they remained confident in
the project and would continue their work.

The WKCDA said on Aug. 17 that an urgent tendering exercise is
underway for a new contractor, and is expected to take six to
eight weeks. It also said it hopes to retain all current
subcontractors.

According to HK Free Press, Hsin Chong Group Holdings, the parent
company of the construction contractor, issued a statement on Aug.
18 disputing the WKCDA's version of events.

"First, there is no evidence that [Hsin Chong] was insolvent.
Secondly, the financial condition of Hsin Chong Group Holdings,
[Hsin Chong's] parent company, was irrelevant insofar as the Main
Contract is concerned," the statement read.

The report relates that the parent company said that the
termination of the contract was not based on any valid reasoning,
and was therefore "incorrect."

It also said that it had not, up till Saturday, received any
formal notification of the termination from the WKCDA, the report
relays.

"The Group is disappointed with WKCDA's approach towards the
matter and their action. The Group has been in frequent and open
discussions with WKCDA on how our delivery of the project can be
further improved . . . Yet, without first notifying us, WKCDA
unilaterally chose to speak to the public," the parent company, as
cited by HK Free Press, said.

In a follow-up statement on Aug. 19, the WKCDA responded to Hsin
Chong by saying that a notice of contract termination was in fact
delivered. The notice was sent to Hsin Chong's address and the
company acknowledged receipt at 5:26 p.m. on Aug. 17, the WKCDA
said.

Hsin Chong Construction Company Limited's line of business
includes the construction of non-residential buildings.


NOBLE GROUP: Deutsche Bank Offers to Buy Sr. Secured Bonds
----------------------------------------------------------
Tom Beardsworth and David Yong at Bloomberg News report that
Deutsche Bank AG is doubling down on a bet that Noble Group Ltd.
will be able to pull off a $3.5 billion reorganization.

With less than a week to go before Noble shareholders vote on the
debt-restructuring plan, the German lender's London office is
offering to buy the company's senior unsecured bonds for 45% of
face value, according to a memorandum seen by Bloomberg. The bank
said any purchases would be on behalf of itself, and that the
tender process will increase support for the restructuring as any
notes acquired would be committed to the restructuring, Bloomberg
relays.

According to Bloomberg, Deutsche Bank emerged as a key backer of
Noble's turnaround as existing lenders shed exposure to the
commodities trader. It was one of the initial creditors to sign
onto the restructuring in March, agreeing to help provide Noble
with $600 million in trade finance and a $100 million hedging
facility. The German lender, along with ING Bank, held about 4
percent of existing senior claims as of March, according to a
statement at the time.

"Deutsche Bank is a finance provider to and active supporter of
the proposed restructuring of the Noble Group," Deutsche Bank's
Singapore-based spokeswoman Sarah Stabler said in an emailed
response to questions, Bloomberg relays. "The tender is part of
Deutsche Bank's normal market making activities."

By offering to buy more of the debt, Deutsche Bank is essentially
betting that investors are underestimating the potential payoff of
owning a reorganized Noble, Bloomberg notes. The deal, in which
creditors will swap their existing holdings for equity and new
debt, would hand creditors a 70-percent ownership stake. Existing
equity owners, including top shareholder Richard Elman, would have
their stakes diluted, according to Bloomberg.

Elman, who started the company in 1980s Hong Kong as a small
middleman to steelmakers before expanding it into a global
conglomerate, has committed to vote in favor of the plan,
Bloomberg says. The company also has irrevocable support from Abu
Dhabi-based shareholder Goldilocks Investment Co. and a consortium
including Value Partners Ltd. and Pinpoint Asset Management Ltd.

Bloomberg says Noble is approaching the end game in its drawn-out
restructuring after years of crisis, public sparring with
investors and billions in losses that culminated with a March
default on its debt. KPMG has warned that failure to secure the
restructuring plan could end in a liquidation that would give
creditors as little as 20 percent of face value, Bloomberg says.

Deutsche Bank's tender offer for the bonds expires on Aug. 24 and
Noble shareholders are set to vote on the plan on Aug. 27,
Bloomberg notes. The Wall Street Journal first reported on the
offer Aug. 17, says Bloomberg.

If the bank were to purchase bonds from undecided creditors, it
would shrink the roughly 14 percent of holdings that hadn't been
pledged to back the restructuring deal, according to Bloomberg.
The offer includes Noble's $379 million of 3.625 percent notes
that were due in March, as well as $1.18 billion of 6.75 percent
bonds maturing in 2020 and $750 million of securities due in 2022,
Bloomberg discloses.

                        About Noble Group

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
March 23, 2018, S&P Global Ratings lowered its long-term issuer
credit rating on Noble Group to 'D' from 'CC'.  S&P lowered the
ratings because Noble has missed the principal and coupon payment
for its 2018 notes due March 20, 2018. Noble also missed the
coupon payment on its 2022 notes due March 9, 2018.  In addition,
the company said it would not make the payments despite being
given 30-day grace periods to meet both obligations.  The failure
to make these payments will trigger cross-defaults on the
company's other obligations.  S&P does not expect Noble to meet
any outstanding obligations as the company preserves its assets
during the restructuring process. Noble is undergoing a debt
restructuring and S&P will conduct another review the company's
credit profile after the restructuring is complete.



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


ADDI ALLOYS: ICRA Raises Rating on INR11cr LT Loan to B+
--------------------------------------------------------
ICRA has upgraded its long-term rating from [ICRA]B to [ICRA]B+
for the INR11.00-crore fund-based limits of Addi Alloys Private
Limited (AAPL). ICRA has also reaffirmed its short-term rating at
[ICRA]A4 for the INR3.00-crore non-fund based limits of AAPL.
The outlook on the long-term rating is Stable. For arriving at the
ratings, ICRA has consolidated the business and financial risk
profiles of AAPL and its Group company - Manmeet Alloys Private
Limited - as these operate in similar lines of businesses, have
operational linkages, and share a common management. The companies
are together referred to as the Group.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Fund-
   based Cash Credit     11.00      [ICRA]B+ (Stable); upgraded
                                    from [ICRA]B (Stable)

   Short-term Non-
   fund Based             3.00      [ICRA]A4; reaffirmed

Rationale

ICRA's ratings revision considers the sustained improvement in
operating income of the Group in FY2018, despite the reduction in
gearing levels and improved debt coverage indicators. The rating
revision also factors in the improved steel industry outlook for
the near-to-medium term, which is expected to support cash flows
going forward. Moreover, the ratings derive comfort from the
Group's proximity to its suppliers and customers and the long
track record of the promoters in the steel industry.

However, the ratings continue to be constrained by the group's
moderate scale of operations, fragmented and competitive nature of
the steel industry because of low technological complexity of the
manufacturing process, and its vulnerability to fluctuations in
raw materials prices. The ratings also continue to take into
account the stretched liquidity position as reflected by low
cushion in fund-based limits Further, the ratings remain subdued
due to the moderate financial profile as reflected in the Group's
modest net worth, high gearing and moderate debt coverage
indicators.

Going forward, the Group's ability to further expand its scale of
operations as well as improve its operating margins and
maintaining an optimal working capital intensity will remain the
key rating sensitivities.

Outlook: Stable

ICRA believes that the Group will continue to benefit from the
extensive experience of its promoters. The outlook may be revised
to Positive if there is substantial increase in the Group's
profitability margins alongside a decline in debt levels. The
outlook may be revised to Negative if the cash accrual is lower
than expected, or there is any major decline in sales turnover, or
stretch in the working capital cycle weakens liquidity.

Key rating drivers

Credit strengths

Experienced promoters with long track record provides competitive
edge: The promoters of the Group have experience of two decades.
Such a long presence in the industry provides them a competitive
edge in establishing strong relationships with suppliers and
customers.

Proximity to steel product manufacturers provides competitive
advantage: The main raw materials used by the Group are ferrous
scrap and sponge iron, which are mainly imported. The finished
products like billets, ERW pipes and HR coils are sold to pipe
manufacturers and traders located in the vicinity of Punjab.

Established relationship with key customers and suppliers enables
firm to secure repeat orders: The Group, by virtue of its long
presence in the steel industry, has developed healthy
relationships with major suppliers and customers. This has
resulted in repeat orders from the same.

Credit challenges

Operations in intensely competitive and fragmented industry: The
steel industry is intensely competitive because of the low
technological complexity of the manufacturing process. Growth in
construction and real estate activity in northern India over the
last few years has led to the entry of numerous players in steel
product manufacturing. In terms of the installed capacity as well
as the scale of operations, it is a relatively small player
catering to a local market and is subject to competition from
regional players.

Exposure to price risk as inventory procurement is not always
order backed: The Group's product procurement is not always order
backed, which means that it procures scrap from suppliers and then
sells the same as per the demand for its products. Further, it
does not always have fixed-price agreements with its suppliers or
customers. In case of wide fluctuations in prices, it faces the
risk of buying at high prices and selling at relatively lower
prices.

Modest financial risk profile: The Group's modest financial
profile is reflected by its stretched liquidity position and weak
coverage indicators.

AAPL was set up in 1990 by Mr. Balbir Singh and his friends and
family members. The commercial production of the unit started in
1993. At present, Mr. Balbir Singh and Mr. Harjinder Singh are
actively involved in the business. The company manufactures ingots
with current manufacturing capacity of 21,000 MT per annum. The
company's manufacturing facility is located in Ludhiana.


ADORE SUITINGS: CARE Moves B Rating to Not Cooperating Category
---------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Adore
Suitings Private Limited (ASPL) to Issuer Not Cooperating
category.

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long-term Bank      5.73      CARE B; ISSUER NOT COOPERATING;
   Facilities                    Issuer Not Cooperating on the
                                 basis of best available
                                 information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information ASPL to monitor the ratings vide
e-mail communications dated July 6, 2018, June 21, 2018, June 14,
2018 and numerous phone calls. However, despite our repeated
requests, the firm has not provided the requisite information for
monitoring the ratings. In the absence of minimum information
required for the purpose of rating, CARE is unable to express
opinion on the rating. Furthermore, ASPL has not paid the
surveillance fees for the rating exercise as agreed to in its
Rating Agreement. In line with the extant SEBI guidelines CARE's
rating on ASPL bank facilities will now be denoted as CARE B;
ISSUER NOT COOPERATING.

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

The rating has been revised on account of continuous decline in
margins in last three financial years ended FY17. The rating,
further, continue to remain constrained on account of low profit
margins, moderate solvency position and weak liquidity position.
The rating, however, derives comfort from the experienced
management in the textile industry and location advantage by
virtue of being situated in textile cluster of Bhilwara.

Detailed description of the key rating drivers

At the time of last rating on April 13, 2017, the following were
the rating strengths and weaknesses (updated for the information
available from Registrar of Companies).

Key Rating Weaknesses

Financial risk profile marked by low profitability, moderate
solvency position and weak liquidity position: During FY17 PBILDT
margin stood at 5.52% and PAT margin stood at 0.40%. The capital
structure remained moderate with overall gearing of 1.69 times as
on March 31, 2017 improved from 1.86 times as on March 31, 2016
mainly due to less debt obligation. The liquidity position remains
stressed due to elongated operating cycle of 128 days in FY17
along with current and quick ratio of 1.39 times and 0.56 times as
on March 31, 2017.

Key Rating Strengths

Experienced management in the textile industry and location
advantage by virtue of being situated in textile cluster of
Bhilwara: ASPL is managed by its two directors, Mr. Abhay Kumar
Gokhru and Mr. Paras Mal Gokhru. Mr. Abhay Kumar Gokhru, aged 41
years, has around two decades of experience in textile industry
and looks after the overall management of the company. Mr. Paras
Mal Gokhru, aged 60 years, has around four decades of experience
in the textile industry and looks after the administrative
activities of the company. Due to long standing experience in the
textile industry, the company has developed good relation with
local raw material suppliers and has developed a network of around
10 agents which are spread across four states of India.

Adore Suitings Private Limited (ASPL) was incorporated in 2003 by
Mr.Paras Mal Gokhru and Mr.Roop Chand Gokhru of Bhilwara,
Rajasthan. ASPL is engaged in the business of manufacturing of
synthetic grey fabrics with an installed capacity of 19.20 Lakh
Meter Per Annum (LMPA) as on March 31, 2015 at its sole
manufacturing facility located at Bhilwara, Rajasthan, a textile
hub. It procures viscose indigenously from local market, weaves it
under its own manufacturing capacity and gets bleaching, printing,
dyeing and finishing work done on job-work basis from processing
houses. The company is also engaged in the trading of finished
synthetic fabrics and job work. The company markets its product
under the brand name 'Admire'.


AMBICA TIMBER: CARE Reaffirms B+/A4 Ratings on INR6cr Loan
----------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Ambica Timber Mart (ATM), as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term/Short-      6.00       CARE B+; Stable/CARE A4
   term Bank                        Reaffirmed
   Facilities

   Short-term Bank
   Facilities            0.30       CARE A4 Reaffirmed

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of ATM continue to
remain constrained on account of its fluctuating scale of
operations coupled with moderate profit margins, leveraged capital
structure, weak debt coverage indicators and moderate liquidity
position in FY18 (refers to the period of April 1 to March 31).
Furthermore, the ratings continue to remain constrained on account
of its partnership nature of constitution, its presence in highly
fragmented and competitive nature of industry, external
environmental risk along with the foreign exchange risk.  The
ratings, however, derives strength from experienced partners and
location advantage.

The ability of ATM to increase its scale of operations coupled
with improvement in profitability, capital structure along with
efficient management of its working capital requirements are the
key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Fluctuating scale of operations coupled with moderate profit
margins: During FY18 (Prov.)Total operating income (TOI) of ATM
has improved by 21% y-o-y and stood at INR8.35 as against INR6.92
crore during FY17 on account of marginal growth demand from the
customers. However, profit margins stood moderate marked by PBILDT
margin of 12.82% and PAT margin of 2.15% during FY18.

Leveraged capital structure and weak debt coverage indicators: On
the back of high debt level against that of low net worth base and
low level of cash accruals, capital structure continued to remain
leveraged while debt coverage indicators stood weak during FY18.

Moderate liquidity: During FY18, liquidity position stood moderate
marked by current ratio of 1.83 times as against 1.99 times during
FY17. Operating cycle continued to remain elongated and stood at
452 days on account of higher inventory days while average
utilization of its working capital limits remained at 80% during
past 12 months period ended July 2018.

Key Rating Strengths

Experienced Partners: Mr Kaushal Patel being an active partner of
ATM also holds a role in Green Impact Realties as a proprietor. He
holds diversified experience of more than two decades in trading
of timber, non-basmati rice and real estate development.

Ahmedabad (Gujarat) based Ambica Timber Mart (ATM) was established
as a partnership firm in 1969 and promoted by Mr Chandrakant Patel
and Ms Nirmalaben Patel. ATM is managed by four partners Mr.
Kaushal G Patel, Mrs. Mina K Patel, Mrs. Tirupati B Patel and Mr.
Parth B Patel since 1990. The firm is in the business of saw mill
& trading of teak woods.  ATM procures teak wood from domestic &
international markets (Tanzania, Sudan) & sells it furniture
manufacturer, dealers and saw mills of Gujarat & New Delhi.


BALAJI MOTORS: ICRA Maintains 'B' Rating in Not Cooperating
-----------------------------------------------------------
ICRA has maintained Balaji Motors (BM) bank facility rating in the
non-cooperating category.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Fund based Limit-     4.80      [ICRA]B (Stable) ISSUER NOT
   Term Loan                       COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Fund based Limit-     7.00      [ICRA]B (Stable) ISSUER NOT
   Cash Credit                     COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated Limit     0.20      [ICRA]B (Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

Rationale

The rating for the INR12.00 crore bank facilities of BM continues
to remain under 'Issuer Not Cooperating' category. The rating is
denoted as "[ICRA]B (Stable); ISSUER NOT COOPERATING".

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests by ICRA,
the entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available
information on the issuers' performance. Accordingly the lenders,
investors and other market participants are advised to exercise
appropriate caution while using this rating as the rating may not
adequately reflect the credit risk profile of the entity.

Established in 2004, Balaji Motors (BM) started commercial
operations from September 25, 2015 as an authorised dealer of
Mahindra & Mahindra Limited (MML). The firm sells and services
passenger and commercial vehicles besides selling spare parts and
accessories. BM also sells used vehicles through Mahindra First
Choice. BM has one 3-S facility (sales-services-spares), located
at Jagdalpur in the Bastar district of Chhattisgarh. Apart from
Bastar, the firm also operates in other surrounding districts -
Sukma, Bijapur, and Dantewada and is the sole MML dealer in those
districts. The firm is promoted by the Jagdalpur-based Kapoor
family.


DHARANII COTTON: CARE Assigns B Rating to INR5.37cr LT Loan
-----------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Dharanii Cotton Mills Private Limited (DCMPL), as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Bank
   Facilities             5.37      CARE B; Stable Assigned

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of DCMPL are primarily
tempered by small scale of operation with continuous decline in
Total Operating Income and profitability margins with net loss
incurred in FY17 (refers to period April 01 to March 31),
leveraged capital structure and weak debt coverage indicators,
susceptibility of margins to fluctuation in raw material prices
along with highly competitive industry along with Working Capital
intensive nature of Business.  However, the ratings derive comfort
from long track record of the company and experienced promoters in
manufacturing cotton yarn.

Going forward, the company's ability to improve its scale of
operations, profitability, capital structure and debt coverage
indicators along with efficient management of its working capital
requirements are the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weakness

Small scale of operation with continuous decline in Total
Operating Income and profitability margins with net loss incurred
during review period: DCMPL has a small size of operations marked
by total operating income of INR10.26 crore in FY17. The net-worth
of DCMPL declined and stood at INR0.14 crore as of
March 31, 2017 from INR0.26crore in March 31, 2016. The reduction
in net-worth corresponds with net loss being incurred year-on-year
during review period. Furthermore, the company has registered
continuous decline in the total operating income over the last
three year ended FY17 on account of unfavourable market condition
with fall in price of yarn. The PBILDT margin has been declining
year-on-year from 4.91% in FY15 to 4.75% in FY17 due to increasing
raw material cost along with declining scale of operations
resulting in under absorption of fixed overheads.

Furthermore, the PAT margin has been reducing year-on-year and the
company incurred net loss during review period due to declining
operating profit along with increasing financial expenses mainly
driven by high utilisation levels of working capital facilities.

Leveraged capital structure and weak debt coverage indicators:
The capital structure of DCMPL remains leveraged with an overall
gearing of 33.88 times as on March 31, 2017 deteriorated from
14.55 times as on March 31, 2016 mainly on account of increase in
unsecured loans and working capital bank borrowings. Furthermore,
debt service coverage indicators of the company stood weak with
total debt to GCA which stood at 25.06 times and interest coverage
of 1.67 times in FY17 due to declining profitability and cash
accruals over the years.

Susceptibility of margins to fluctuation in raw material prices:
Prices of viscose which are dependent upon the prices of raw
cotton and viscose are volatile in nature and depend upon various
factors. Any wide fluctuation in the price of its key raw material
and inability to timely pass on the complete increase in the
prices to its customers is affecting the company's profitability
margins.

Highly competitive industry: Textile is a cyclical industry and
closely follows the macroeconomic business cycles. High
competitive intensity in the textile industry, volatility of
cotton prices and sluggish demand outlook from developed markets
are the major cause of concern for the Indian textile industry.

Working Capital intensive nature of Business: The company has
registered moderate operating cycle of 69 days in FY17 as compared
to 52 days in FY16. Increase in operating cycle during FY17 was
due to increase in the average collection period to 33 days in
FY17 from 14 days in FY16 due to addition of new customers.
Furthermore, the company has marginally reduced their inventory
holding period to 57 days in FY17 from 61 days in FY16. The
company gets credit period of around 20-25 days from its suppliers
to manage operations. DCMPL has registered near full utilization
of the fund based facilities over the last 12 months ended May,
2018.

Key Rating Strengths

Long track record of the company and experienced promoters in
manufacturing Viscose yarn: The promoters of the company have long
experience of two decades in the yarn manufacturing and the
company has long track record of more than a decade in the
manufacturing of cotton and viscose yarn with established
relationship with domestic customers. The day-to-day activities of
the company are actively managed by Mr. Saravanan.

Dharani Cotton Mills Private Limited (DCMPL) was incorporated in
2004 by Mr. Arthanareswaran, Mr. V. Saravanan, Mr. A. P.
Visvanathan, Mr. P. Ponmudi, Mr. Venkateshwaran and Mr.
Venkatachalam in Erode, Tamil Nadu. The company is engaged in
manufacturing of viscose yarn with count range of 30-40 which are
used for garments and industrial uses. The installed capacity of
DCMPL stood at approx. 3,200 kilogram per day for viscose yarn.
The capacity utilization stood at 95% respectively as on May 30,
2018.


GURUKRIPA PARBOILING: CARE Assigns B+ Rating to INR7cr LT Loan
--------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Gurukripa Parboiling, as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Bank
   Facilities           7.00        CARE B+; Stable Assigned

Detailed Rationale & Key rating Drivers

The rating assigned to the bank facilities of Gurukripa Parboiling
is primarily constrained on account of project implementation risk
associated with its debt funded Greenfield project for rice
processing and seasonality associated with agro commodities in the
highly fragmented and government regulated industry. The rating
is, further, constrained on account of its constitution as a
partnership concern.

The rating, however, favorably takes into account the experienced
partners with strong group support, its location advantage and
eligibility for grant and assistance under the government scheme.

Successful implementation of project with ability of the firm to
timely initialize and stabilize its operations coupled with
achievement of envisaged level of TOI and efficient working
capital management are key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weakness

Project implementation risk: The firm undertook a Greenfield
project to set up rice mill with an installed capacity of 5 tonne
per hour. The firm had envisaged total project cost of INR10.45
crore towards the project to be funded through term loan of
INR4.00 crore and remaining through unsecured loans from promoters
and related parties along with partner's capital.

Seasonality associated with agro commodities in highly fragmented
and government regulated industry and constitution as a
partnership concern: As the firm is engaged in the business of
trading and processing of agriculture commodities, the prices of
agriculture commodities remained fluctuating and depend on
production yield, demand of the commodities and vagaries of
weather. Hence, profitability of the firm is exposed to
vulnerability in prices of agriculture commodities. The rice
milling industry is characterized by limited value addition,
highly fragmented and competitive in nature as evident by the
presence of numerous unorganized and few organized players. The
entry barriers in this industry are very low on account of low
capital investment and technological requirement. Due to this, the
players in the industry do not have any pricing power.

Further, the industry is characterized by high degree of
government control both in procurement and sales for rice.
Government of India (GoI) decides the Minimum Support Price (MSP)
payable to farmers and also procures rice under the levy route
from rice mills. The low net worth base makes its operations
highly susceptible to any business shock, thereby limiting its
ability to absorb losses or financial exigencies. Further, its
constitution as a partnership concern led to risk of withdrawal of
capital.

Key Rating Strengths

Experienced partners with strong group support: Mr Sunil Jain,
partner has more than 25 years of experience in the rice industry
and will look after the overall affairs of GPB. He is further
supported by other partners, Mr. Alok Jain and Mr Amit Jain having
more than a decade of experience in the industry. Further, they
are supported by a team of qualified and experienced employees in
smooth functioning of the firm.

GPB is also supported by its group concern, Alok Rice Mill which
is in same line of business since 1998.

Location advantage with eligibility for grant and assistance under
the government scheme: Rice Milling is the oldest and largest agro
processing industry in the country and demand is expected to
increase in coming years. The plant of GPB is located in
Waraseoni, which is the biggest paddy mandi of Madhya Pradesh and
thus its presence in the region results in benefit derived from
cheap and easy availability of raw material and low transportation
and storage cost.

GPB being a direct purchaser of paddy from farmers is eligible for
assistance under the VCA scheme of small farmers Agribusiness
Consortium (SFAC), New Delhi. This assistance is given for
promotion of the agro based industries. Further the firm is also
eligible for grant from Ministry for Food processing Industry.

Madhya Pradesh based Gurukripa Parboiling was formed in July, 2017
by Mr. Sunil Jain, Mr. Amit Jain and Ms. Sapana Jain sharing
profit and loss in the ratio of 40:30:30. GPB was formed with an
aim to set up a rice mill with an installed capacity of 5 tonne
per hour. The firm has envisaged a total cost of INR10.45 crore to
be funded through term loan of INR4.00 crore, promoter's fund both
by way of partner's capital as well as unsecured loans of INR6.45
crore. The project is expected to be completed by end of January
2019.


IDBI BANK: S&P Places 'BB/B' For. Curr. ICRs on CreditWatch Neg.
----------------------------------------------------------------
S&P Global Ratings placed its 'BB' long-term and 'B' short-term
foreign currency issuer credit ratings on India-based IDBI Bank
Ltd. on CreditWatch with negative implications. S&P also placed
its issue ratings on the bank's senior unsecured debt on
CreditWatch with negative implications.

S&P said, "We placed the ratings on CreditWatch due to uncertainty
regarding the bank's ability to meet its regulatory capital
requirement over the next few months. A deal with Life Insurance
Corp. of India (LIC) could resolve the capital breach, but the
transaction is still pending due diligence, and the quantum and
timing of any potential investment is unknown.

"We could lower our rating if the bank is unable to restore its
capital position in a timely fashion."

A net loss in the first quarter of fiscal 2019, combined with the
bank's buyback of additional tier-1 (AT1) capital instruments,
eroded IDBI's capital levels to below the regulatory minimum for a
banking license. Excluding the capital conservation buffer (CCB),
Indian banks are required to hold a minimum 7% tier-1 and 9% total
capital to risk-weighted assets (CRAR). IDBI's tier-1 capital of
6.18% and CRAR of 8.18% as of June 2018 are below the minimum
threshold. This breach could lead the Reserve Bank of India (RBI)
to impose stringent requirements on IDBI's activities. These could
include restricting new business including new loans origination,
and cutting off the bank's access to wholesale funds or costly
deposits.

S&P said, "We believe the breach is temporary because LIC is
likely to infuse capital into the bank by increasing its stake to
a minimum of 51%, from the current 7.98%. The deal, which has
reportedly received approvals from the regulators as well as the
government, is now at the due diligence stage and could be
finalized by September 2018.

"We note that the size of LIC's capital infusion has not been
confirmed. However, there has been market expectation that LIC
would be infusing about Indian rupee (INR) 120 billion into IDBI,
which in our view is sufficient to increase the bank's capital
levels to above the minimum requirements. A rating upside scenario
is possible if IDBI receives a substantially large amount of
capital than what is being quoted, uses it to clean up its balance
sheet, and improves its risk management practices.

"In our view, LIC is among the most important government-related
entities (GREs) in India, and plays a central role in meeting key
economic, social, and political objectives of the government. It
dominates India's life insurance sector (approximately 70% market
share) and is the only government-owned company in that segment.
The government guarantees all LIC policies. Moreover, LIC has on
numerous occasions acted on behalf of the government to invest in
public sector entities requiring financial support."

IDBI has a weak stand-alone credit profile (SACP) of 'b-' and has
been subject to the central bank's "prompt corrective action"
since May 2017. The bank's ratio of nonperforming loans, at 31% of
outstanding loans, is the highest among Indian banks in our rated
portfolio. IDBI reported a loss of about INR81 billion in fiscal
2018 (year ended March 31, 2018) and a further loss of INR24.1
billion in the first quarter of fiscal 2019. Due to a string of
losses brought about by high provisioning costs, the bank had
dipped into its CCB earlier.

S&P said, "Our issuer credit rating on IDBI is four notches higher
than its SACP reflecting a very high likelihood of government
support. IDBI is a state-owned bank and has been receiving ongoing
support from the government, which owns 85.96% stake in the bank
as of June 30, 2018. We expect the government will continue to
strongly support the bank and influence its strategy, whether the
majority stake is held directly by the government or by LIC.
Immediately after the deal, the government and LIC together would
own more than 90% of the bank.

"We do not think the bank could default in the next 12 months,
given the ongoing capital support from the government and high
confidence of the public in government-owned Indian banks. Our
view is based on the government's public commitment to support
public sector banks and not let any government-owned bank fail.
The public confidence is demonstrated in IDBI's stable funding
profile and ability to attract deposits. In fact, its daily
average balance of current and savings deposits continued to rise
in the past year, notwithstanding the weak performance.

"We aim to resolve the CreditWatch placement within the next three
months once we have clarity on capital received by the bank from
LIC or the government for restoring its capital ratios to above
regulatory minimum requirements.

"We could lower our ratings on the bank in the next three months
if the LIC deal does not go through and there is a delay in
capital infusion by the government such that the bank is unable to
restore capital levels in a timely fashion. In such a scenario,
the rating could go down by at least two notches.

"We could affirm our ratings if we believe that capital infusion
is sufficient to meet the regulatory capital requirements and S&P
Global Ratings' expected risk-adjusted capital ratio improves to
above 5%."


JAGADEESH AND SHASHIREKHA: CARE Assigns B+ Rating to INR12cr Loan
-----------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Jagadeesh and Shashirekha Jagadeesh Rural Godown, as:

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

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of Jagadeesh and
Shashirekha are primarily tempered by project implementation risk,
seasonality associated with agro industry and government regulated
industry. However, the rating derives comfort from experienced
promoter in agricultural promotional activities along with well
established associate companies in different business activities
for more than two decades, favorable location of the godown and
close proximity to access roadways for mass movement of goods
along with various Incentives provided by the government to
agricultural rural godown sector and achievement of financial
closure.

Going forward, the entity's ability to complete the project
without any cost and time over run and utilize the godown at
an optimum level of capacity and collect the rental income as
envisaged are key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Project implementation Risk: The project is undertaken for
construction of godown on a site measuring 6 acre and 08 Guntas.
The project is in the stage of completion as the major part of the
godown is already completed, however, completion of the project is
still dependent on completion and implementation of the
construction of sump, overhead tank, compound walls, internal
road, street lights, gate, rolling shutter and platforms,
electricity, plumbing at an total estimated cost of INR2 crore.
The project was started in April 2016 and commissioned in June
2017. Though the company has already begun to generate rental
income following the commissioning after June 2017, the ability of
the firm to complete the project without any cost or time over run
will remain critical from credit perspective.

Seasonality associated with agro commodities and government
regulated industry: As the business is engaged in relation to
agriculture commodities, the prices of agriculture commodities
remained fluctuating and depend on production yield, demand of the
commodities and vagaries of weather. Hence, profitability of is
exposed to vulnerability in prices of agriculture commodities.
Furthermore, the business of the company is highly fragmented and
competitive in nature as evident by the presence of numerous
players. Further, the industry is characterized by high degree of
government control as the project should be in conformity with the
Gramin Bhandaran Yojna (Rural Godown Scheme) announced by the
Government of India/ NABARD.

Key Rating Strengths

Experienced promoter in agricultural promotional activities along
with well-established associate companies in different business
activities for more than two decades Mr. Jagadeesh and Mrs.
Shashirekha Jagadeesh have been involved in agricultural business
activities in the past for more than two decades and have
established good contacts in the agricultural community in
Bangalore and Nelamangala. They have been living in Karnataka for
more than three decades. They are agriculturist and have developed
more than 20 acres of land in Byrashettihalli & Arjuna Bettahalli.
They are cultivating seasonal crops and also enjoy good rapport
among the progressive farming community of the surrounding
villages. Mr. Jagadeesh has associate companies in diversified
sectors in Constructions, dubbing services, etc. The joint owners
are getting income from farm house property, interest on savings
and deposits etc.

Locational advantage of the property: The location of the project
is safe and outside the municipal corporation area and close to
Bangalore - Tumkur National highway. The location of the godown is
ideally situated and is in close proximity to major grain markets
in Bangalore and near to 30 to 40 villages which are mainly in
need of facility to store agricultural produce. Poultry is also
one of the major activities in the area and there is adequate
scope for storing poultry raw materials. The promoters have
already begun to explore the potential through a tie-up with local
farmers for storing during off-seasons.  A term loan of INR12
crore has been sanctioned and financial closure has been achieved.

Various Incentives provided by the government to agricultural
rural godown sector: Loans to Agriculture food and agro processing
units have been classified under Agricultural activities for
priority sector Lending (PSL) as per the RBI guidelines issued on
23/04/2015. Under Section 35 AD of the income tax Act 1961,
deduction to the extent of 150% is allowed for expenditure
incurred on investment for operating warehousing facility for
storage of agricultural produce. No deduction of depreciation on
account of buildings is under the act for computing the total
income.

Mr. Jagadeesh and Mrs. Shashirekha Jagadeesh have embarked on a
project to establish two rural godowns under Integrated Scheme of
Agricultural Marketing (ISAM) with each having capacity of 29910
MT on a joint ownership concern. The first godown is located in
Byrashetti Halli & second godown in Arjuna Bettahali Village,
Kasaba hobli, Nelemanagala Taluk around 20 kms from Bangalore
city. The godown is being constructed on a family property
covering an area of 6 acres & 8 guntas. The implementation of the
project is in advanced stage. The estimated project cost is INR 16
crore, of which INR 12 crore is financed by way of term loan and
the remaining INR4 crore by way of own funds. The total area of
the godown works out to 1, 64,260 Sq. ft. The godown is being
constructed for storage of food grains, processed farm produce,
fertilizers, seeds and other agricultural commodities and to
facilitate loading and unloading of agricultural produce on rental
basis. The water requirement for godown would be met by the bore
well. The labour force nearby village will be employed for grain
handling work. Requisite approvals and clearances have been
obtained for power supply and panchayat licences.


JCT LIMITED: CARE Lowers Rating on INR158.28cr Loan to D
--------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
JCT Limited (JCT), as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Bank      158.28       CARE D Revised from CARE B;
   Facilities                       Stable

   Short-term Bank     136.27       CARE D Revised from CARE A4
   Facilities

   Medium term          20.00       CARE D (FD) Revised from
   instrument-                      CARE B (FD); Stable;
   Fixed Deposit                    Outlook Stable

Detailed Rationale & Key Rating Drivers

The revision in the ratings assigned to the bank facilities and
Fixed Deposit of JCT takes into account the delays in servicing of
its debt obligation on account of stretched liquidity position and
weak financial profile of the company. Going forward, the ability
of the company to improve its liquidity position and strengthen
its financial profile with improvement in operational performance
would remain the key rating sensitivity.

Detailed description of the key rating drivers

Key Rating Weaknesses

Delays in servicing of Debt Obligations: The company has delayed
in servicing of their interest and principal repayments
obligations on its term loan on account of stretched liquidity
position and weak financial profile of the company. The company
has incurred losses continuously for the past 2 years (negative
GCA in FY18) resulting in erosion of their Net Worth.

Weak financial risk profile: The total operating income of the
company has declined from INR839.40 crore in FY17 to INR764.88
crore in FY18, registering a decline of 8.88%. The moderation in
total operating income in FY18 is on account of subdued scenario
in the textile industry owing to increased cotton prices,
increased competition from the countries like Bangladesh and China
owing to higher imports. Further the industry is hampered by the
demonetization and GST effect which coupled with high raw material
cost (due to high crude oil prices used in the manufacturing of
synthetic fabrics and high raw cotton prices used in the
manufacturing of natural fabrics in FY18) has resulted in decline
in profitability margins throughout the industry. This has led to
lower capacity utilization, however, fixed overheads remaining the
same. PBILDT margin declined from 4.09% in FY17 to 2.57% in FY18.

Further, the losses of the company have increased from INR 17.26
crore in FY17 to INR 36.05 crore in FY18 due to weak operational
performance coupled with high interest and depreciation charges.
The continuous losses in FY17 and FY18 have resulted in erosion of
its netwoth from INR 56.71 crore in FY16 to INR 13.87 crore in
FY18.  The erosion in Networth has led to deterioration in overall
gearing of the company from 5.42x as on March 31, 2017,
deteriorated to 10.03x as on March 31, 2018.

Settlement with Foreign Currency Convertible Bonds (FCCBs)
holders: JCT as per consent terms as approved by High Court of
Chandigarh in June 2015 with FCCBs Holders was to pay USD
19.19 million (Principal and redemption premium of USD 15.00
million and defaulted interest of USD 4.19 million) in 10
installments commencing from October 5, 2017 to December 5, 2017
along with interest @ 6% pa. However, the dues of INR100.79 crore
(including interest of INR32.94 crore) was not paid by the company
due to cash crunch to FCCBs bondholders on due date. The company
and bondholders have reached on certain mutually agreed terms for
the settlement of dues which are only subjected to obtaining
necessary approvals from regulatory authorities including bankers
of the company. The Company proposes to settle these dues through
refinancing of its existing term loans and availing fresh funds.

Further, interest payable on FCCBs at 6% p.a. for the period upto
March 31, 2018 aggregating to USD5.32 million (equivalent to
INR34.89 crore) will be accounted when these unpaid amounts are
paid by the company and as such no provision has been made for
interest in the accounts as on March 31, 2018. These interest
charges due on March 31, 2018, is being accounted for on payment
basis instead of on accrual basis by the Company which is not in
line with Indian Accounting Standards and the provisions of the
Companies Act, 2013.

Key Rating Strengths

Experienced promoters and established position: JCT is the part of
Punjab-based Thapar group. As a part of the Thapar family
settlement, JCT went to Mr. M.M. Thapar. Mr. Samir Thapar, son of
Mr. M.M. Thapar, is the Chairman and Managing Director of the
company and looks after the day-to-day activities of the company.
Mr Thapar is supported by a team of experienced professionals. JCT
has long track record of more than six decades and has established
itself as a renowned brand in India. The promoters have supported
the company by infusing funds in the company as and when required.

JCT Limited (JCT) was incorporated as Jagatjit Cotton Textile
Mills Limited in October 1946 and subsequently renamed to JCT in
1989. JCT is the part of Punjab based Thapar group and is engaged
in the manufacturing of cotton, synthetic & blended fabrics and
nylon filament yarn at its integrated textile facility in Phagwara
(Punjab) and filament yarn facilities in Hoshiarpur (Punjab). JCT
has installed capacity of 1,50,000 meters per day of
cotton/blended fabrics and 50,000 meters per day of synthetic
fabrics at its plant at Phagwara and 16,000 Tonnes Per Annum (TPA)
of nylon filament yarn at Hoshiarpur plant.


K. PATEL: CARE Assigns B Rating to INR24cr LT Loan
--------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of K.
Patel Metal Industries Private Limited (KPMIPL), as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Bank
   Facilities            24.00      CARE B; Stable Assigned

   Short-term Bank
   Facilities             1.00      CARE A4 Assigned

Detailed Rationale

The rating assigned to the bank facilities of KPMIPL is
constrained by modest scale of operations along with low
profitability margins, leveraged capital structure and weak debt
coverage indicators, moderate operating cycle. The rating is also
constrained by its presence in the competitive nature of industry
and volatility in raw material prices. The aforesaid constraints,
however, partially offset the strength derived from experienced
promoters. The ability of KPMIPL to increase its overall scale of
operations and ability to improve the capital structure and
liquidity position by efficiently managing the operating cycle are
the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Modest scale of operations along with low profitability margins
KPMIPL scale of operations remained modest as marked by total
operating income and gross cash accruals of INR92.34 crore and
INR0.43 crore respectively, during FY17 (refers to the period
April 1 to March 31). The modest scale of operations and small net
worth base limits the company's financial flexibility in times of
stress and deprives it of scale benefits. Further, the
profitability margins of the company have been historically on the
lower side owing to low value addition nature and highly
competitive nature of industry the PBILDT margin of the company
stood low at 4.00% in FY17 as against 2.50% in FY16. Furthermore,
due to high interest cost and depreciation expense it posted net
losses.

Leveraged capital structure and weak debt coverage indicators: The
capital structure of the KPMIPL remained leveraged as on the
balance sheet date ending March 31, 2017 on account of high
reliance on external borrowings to meet working capital
requirements of the business. Overall gearing ratio stood at
11.49x as on March 31, 2017 showing deterioration from 8.80x as on
March 31, 2016. Furthermore, on account of low profitability
position, the debt coverage indicators of the company as marked by
interest coverage and total debt to GCA stood weak at 1.14x and
55.15x respectively for FY17.

Moderate operating cycle: The operating cycle of the company stood
moderate at 62 days for FY17. The company is required to maintain
adequate inventory in the form of raw materials for smooth
execution of its production process resulting in an average
inventory holding period of around 45 days for FY17. Further,
being a highly competitive business, the company has to give
liberal credit period of around two months and thus, the average
collection period stood around 58 days for FY17. Further, the
company mainly deals in advance and also receives LC backed credit
from its customers and for remaining creditors they receive an
average credit period of around 1-2 months from resulting in
average creditor's period of 41 days in FY17.

Volatility in raw material prices: Raw material constituted around
(82%) of the total cost of production for the last 2 years (FY16-
FY17). The company is exposed to the raw material price volatility
risk due to the volatility experienced in the prices of ingots and
copper wire & rods. They constitute a major component of the raw
material and hence any volatility in their prices has a direct
impact on the profitability margins of the company. Furthermore,
aluminum being a product of international importance, its price is
very volatile depending on the demand-supply situation in the
global markets. Any sudden spurt in these raw material prices
might not be passed on to the end customers, instantly, on account
of highly fragmented and competitive nature of the industry, which
could lead to decline in profitability margins.

Competitive nature of the industry: KPMIPL operates in highly
competitive industry characterized by the presence of large
number of players in the unorganized 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 company and
has exerted pressure on its margins.

Key Rating Strengths

Experienced promoters KPMIPL is promoted by Mr. Hitesh G. Patel,
Mr. Jitendra M. Patel, Mr. Nilesh G. Patel, Mr. Girish M. Patel, a
family run business. Mr. Jitendra M. Patel is Master in science
and has an accumulated experience of three and half decades in
manufacturing of copper wires through his association with this
entity and other associates. He is ably supported by other
directors who have an experience of more than two decade through
his association with this entity and other associates. They
collectively look after the overall operations of the company.
With the long standing industry experience, the directors have
established good relationship with the reputed customers.

KPMIPL was incorporated in July 1992 by Patel Family. The company
is engaged in the manufacturing of copper (80%) & aluminum wires
(20%) and strips i.e. bare, enameled, paper-covered, and fibre-
glass-covered copper wires and strips, which are used as
conducting materials in electrical motors, transformers, and
electric pumps. KPMIPL is a part of K Patel Group which has its
presence in manufacturing dyes, chemicals, pigments, copper wires,
and phytochemical extractions, and in construction and real
estate. The manufacturing facility of the company is located at in
Daman (Union Territory of Daman and Diu); with an annual installed
capacity of 3600 MTPA (Utilized Capacity 62.2%) as on March 31,
2017.


KNOWLEDGE EDUCATION: CARE Lowers Rating on INR8.5cr Loan to D
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Knowledge Education Foundation (KEF), as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long term Bank        8.50       CARE D Revised from CARE BB;
   Facilities                       Stable

Rating Rationale

The revision in the rating assigned to the bank facilities of KEF
mainly takes into account ongoing delays in debt servicing.

Detailed description of the key rating drivers

Key rating weakness

Ongoing delay in debt servicing: There have been delays in debt
servicing of term loan on account of stressed liquidity position.

Delhi based, Knowledge Education Foundation (Regd.) established in
2009 was promoted by Mr. Sunil Gupta (Managing Trustee and
Chancellor of society) for developing and operating education
institutes. Knowledge Education Foundation operates school under
the brand name of 'Delhi Public School (DPS)' in Bikaner,
Rajasthan under an agreement with The Delhi Public School Society
(DPS Society).

The school provides primary and secondary education from Nursery
to XII standard and is affiliated with CBSE (Central Board of
Secondary Education). As on January 31, 2018, the school had total
student strength of 1,380 and teacher strength of 75.


LUTON CERAMIC: ICRA Assigns B+ Rating to INR3cr Cash Loan
---------------------------------------------------------
ICRA has assigned the long-term rating of [ICRA]B+ to the INR2.00-
crore term loan facility and the INR3.00-crore cash credit
facility of Luton Ceramic Pvt. Ltd. ICRA has also assigned the
short-term rating of [ICRA]A4 to the INR1.00-crore non-fund based
limits of the company. The outlook on the long-term rating is
Stable.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Term Loan           2.00        [ICRA]B+ (Stable); Assigned
   Cash Credit         3.00        [ICRA]B+ (Stable); Assigned
   Bank Guarantee      1.00        [ICRA]A4; Assigned

Rationale

The ratings take into account the company's weak financial risk
profile marked by small-scale operations, leveraged capital
structure and below-average debt coverage indicators. Further, the
ratings factor in the highly fragmented nature of the tiles
industry that results in intense competition, and the exposure of
LCPL's profitability to volatility in raw material and fuel
prices. The ratings are also constrained by the exposure of the
company's operations to the cyclicality of the real-estate
industry, which is the main end-user sector.

The ratings, however, favorably factor in the experience of LCPL's
promoters in the ceramic industry and its proximity to raw
material sources by virtue of its presence in Morbi (Gujarat).

Outlook: Stable

ICRA believes LCPL will continue to benefit from the extensive
experience of its promoters in the ceramic industry. The outlook
may be revised to Positive if substantial growth in revenue and
profit, and better working capital management strengthen the
financial risk profile. The outlook may be revised to Negative if
cash accrual is lower than expected, which might delay the debt
servicing obligations; or if an adverse capital structure; or
major debt-funded capex; or a stretch in working capital cycle
weakens liquidity.

Key rating drivers

Credit strengths

Experience of promoters in ceramic industry: The key promoters of
the company, Mr. Gaurang Detroja, Mr. Mukesh Gami and Mr. Manish
Kumar Patel, have more than a decade of experience in the ceramic
industry through their association with other companies in the
ceramic industry.

Location-specific advantage: The manufacturing facility of the
company is in the ceramic hub of Morbi (Gujarat), which provides
easy access to quality raw materials such as body clay, feldspar
and glazed frit in Gujarat and Rajasthan.

Credit challenges

Weak financial risk profile: The company's scale of operations is
small - revenue was INR13.42 crore in FY2018 (provisional
figures). The financial risk profile remains weak, marked by a
high gearing of 6.84 times as on March 31, 2018 and below-average
debt coverage indicators - interest coverage was 2.48 times,
NCA/Debt was 12% and TD/OPBDITA was 5.35 times in FY2018.

Margins subject to pressure from intense competition and
cyclicality in real estate industry: The ceramic tile
manufacturing industry remains highly fragmented with competition
from the organised as well as the unorganised players, most of
which are in Gujarat and operate on low-cost structures, creating
pricing pressure. Further, the real estate industry accounts for
majority of the uptake in the ceramic tiles, and hence LCPL's
profitability and cash flows remain vulnerable to the cyclicality
in the real estate industry.

Vulnerability of profitability to fluctuations in raw material and
energy costs: Raw material and fuel are the two major components
that determine the cost competitiveness in the ceramic industry.
The company has, however, little control over the prices of its
key inputs such as natural gas/coal and raw materials. Thus,
LCPL's margins are expected to remain exposed to the movement in
raw material and gas/coal prices and its ability to pass on any
upward movements to its customers.

Luton Ceramic Pvt. Ltd. (LCPL) was incorporated as a private
limited company in 2014. The commercial operations of the company
commenced on February 2015. The key promoters, Mr. Gaurang
Detroja, Mr. Mukesh Gami and Mr. Manishkumar Patel, have an
experience of more than a decade in the ceramic industry through
their association with other entities engaged in the manufacturing
and trading of ceramic tiles. The company's manufacturing facility
is located at Morbi, Gujarat, which is a ceramic industry hub. The
company manufactures heavy duty parking tiles in two size variants
viz. 300mmx300mm and 380mmx380mm and has an installed capacity of
manufacturing 25,000 MT of tiles per annum.


MAA MAHARANI: CARE Lowers Rating on INR6.07cr LT Loan to D
----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Maa Maharani Rice Mill (MMRM), as:

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank       6.07      CARE D; Issuer not cooperating;
   Facilities                     Revised from CARE B+; Stable
                                  on the basis of best available
                                  information.

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from MMRM to monitor the rating
vide e-mail communications/letters dated April 30, 2018, June 5,
2018, June 18, 2018 and numerous phone calls. However, despite our
repeated requests, the firm 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 MMRM's
bank facilities will now be denoted as CARE D; ISSUER NOT
COOPERATING.

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

The revision in the rating assigned to the bank facilities of Maa
Maharani Rice Mill takes into account the on-going delay in debt
servicing of the firm.

Detailed description of the key rating drivers: On-going delay in
debt servicing: There are on-going delay in servicing of term loan
installments and interest.

Maa Maharani Rice Mill (MRM) was constituted as a partnership firm
via partnership deed dated April 01, 2013. However, the firm is
currently governed by the partnership deed dated August 31, 2016
and it is managed by Mr. Uma Shankar Singh, Mr. Avinash Singh and
Mr. Arvind Kumar Singh. The firm has commenced operations from
April 2014 onwards and it is into processing and milling of non-
basmati rice. The manufacturing facility of the firm is located at
Wazidpur, Bihar with an installed capacity of 38880 metric ton per
annum.


MAHESH LUMBER: ICRA Moves D Rating to Not Cooperating
-----------------------------------------------------
ICRA has moved the long-term rating for the bank facilities of
Mahesh Lumber Private Limited to the 'Issuer Not Cooperating'
category. The rating is now denoted as [ICRA]D ISSUER NOT
COOPERATING.

                        Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Fund-Based Limits     10.00      [ICRA]D ISSUER NOT
                                    COOPERATING; Rating moved
                                    to the 'Issuer Not
                                    Cooperating' category

   Non-fund Based        20.00      [ICRA]D ISSUER NOT
   Limits                           COOPERATING; Rating moved
                                    to the 'Issuer Not
                                    Cooperating' category

ICRA has been seeking information from the entity so as to monitor
its performance. Despite repeated requests by ICRA, the entity's
management has remained non-cooperative. The current rating action
has been taken by ICRA on the basis of the best available/dated
/limited information on the issuers' performance. Accordingly,
lenders, investors and other market participants are advised to
exercise appropriate caution while using this rating as it may not
adequately reflect the credit risk profile of the entity.

Mahesh Lumber Private Limited (MLPL) is a privately owned company
that was incorporated in September 2014. The company is managed by
Mr. Ashok Mittal and is a part of the Mahesh Group, which has been
trading timber since 1952. The company trades particularly in
German Pine Timber. The timber is procured either directly from
Germany or from various third party importers in India.


MANMEET ALLOYS: ICRA Raises Rating on INR15cr LT Loan to B+
-----------------------------------------------------------
ICRA has upgraded its long-term rating from [ICRA]B to [ICRA]B+
for the INR15.00-crore fund-based limits of Manmeet Alloys Private
Limited (MAPL). The outlook on the long-term rating is Stable. For
arriving at the ratings, ICRA has consolidated the business and
financial risk profiles of MAPL and its Group company - Addi
Alloys Private Limited - as these operate in similar lines of
businesses, have operational linkages and share a common
management. The companies are together referred to as the Group.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Fund       15.00       [ICRA]B+ (Stable); upgraded
   Based Cash Credit                from [ICRA]B (Stable)

Rationale

ICRA's ratings revision consider the sustained improvement in
operating income of the group in FY 2018 which has been
accompanied by reduction in gearing levels and improved debt
coverage indicators. The rating revision also factors in the
improved steel industry outlook for the near-to-medium term which
is also expected to support cash flows going forward. Moreover,
the ratings derive comfort from the Group's proximity to its
suppliers and customers and the long track record of the promoters
in the steel industry.

However, the ratings continue to be constrained by the the group's
moderate scale of operations, fragmented and competitive nature of
the steel industry because of low technological complexity of the
manufacturing process, and its vulnerability to fluctuations in
raw materials prices. The ratings also continue to take into
account the stretched liquidity position as reflected by low
cushion in fund-based limits Further, the ratings also remain
subdued by the moderate financial profile as reflected in the
moderate net worth, high gearing and moderate debt coverage
indicators.

Going forward, the Group's ability to further expand its scale of
operations as well as improve its operating margins and
maintaining an optimal working capital intensity will remain the
key rating sensitivities.

Outlook: Stable

ICRA believes that the Group will continue to benefit from the
extensive experience of its promoters. The outlook may be revised
to Positive if there is substantial increase in the Group's
profitability margins alongside a decline in its debt levels. The
outlook may be revised to Negative if the cash accrual is lower
than expected, or there is any major decline in sales turnover, or
stretch in the working capital cycle weakens liquidity.

Key rating drivers

Credit strengths

Experienced promoters with long track record provides competitive
edge: The promoters of the Group have experience of two decades.
Such a long presence in the industry provides them a competitive
edge in establishing strong relationships with suppliers and
customers.

Proximity to established industry of steel products provides
competitive advantage: The main raw materials used by the Group
are ferrous scrap and sponge iron which are mainly imported. The
finished products like billets, ERW pipes and HR coils are sold to
pipe manufacturers and traders located in the vicinity of Punjab.

Established relationship with key customers and suppliers enables
firm to secure repeat orders -- The Group, by virtue of its long
presence in the steel industry, has developed healthy
relationships with major suppliers and customers. This has
resulted in repeat orders from the same.

Credit challenges

Operations in intensely competitive and fragmented industry: The
steel industry is intensely competitive because of the low
technological complexity of the manufacturing process. The growth
in construction and real estate activity in northern India over
the last few years has led to the entry of numerous players in
steel product manufacturing. In terms of the installed capacity as
well as the scale of operations, is a relatively small player
catering to a local market and is subject to competition from
regional players.

Exposure to price risk as inventory procurement is not always
order backed: The Group's product procurement is not always order
backed, which means that it procures scrap from suppliers and then
sells the same as per the demand for its products. Further, it
does not always have fixed-price agreements with its suppliers or
customers. In case of wide fluctuations in prices, it faces the
risk of buying at high prices and selling at relatively lower
prices.

Modest financial risk profile: The Group's modest financial
profile is reflected by its stretched liquidity position and weak
coverage indicators.

MAPL was set up in 2005 by Mr Hanmeet Singh. Currently, Mr. Singh
actively looks after the business. The company engages in
manufacturing of MS rounds with a manufacturing capacity of 30,000
MT per annum. The company's manufacturing facility is located in
Ludhiana.

The primary raw material required in the manufacturing process is
MS ingots/billets which are sourced from the local manufacturers.
The credit period extended by suppliers is around 60 days. About
30% of the purchases are done from AAPL.

                          About the group

Addi Alloys Private Limited (AAPL) - AAPL was set up in 1990 by
Mr. Balbir Singh and his friends & family members. The commercial
production of unit started in 1993. Currently, Mr. Balbir Singh
and Mr. Harjinder Singh actively look after the business. The
company engages in manufacturing of ingots with current
manufacturing capacity of 21,000 MT per annum. The company's
manufacturing facility is located in Ludhiana.

The main raw material required is scrap which is sourced from
traders situated nearby. The credit period extended by suppliers
is around 45-50 days. AAPL earns entire revenue from domestic
sales. The company generally provides credit period of 50-60 days.


MOONLIGHT MARBLES: ICRA Reaffirms B- Rating on INR12cr Loan
-----------------------------------------------------------
ICRA has reaffirmed the long-term rating of [ICRA]B- on the
INR12.54-crore fund-based bank facilities of Moonlight Marbles
Private Limited (MMPL). The outlook on the long-term rating is
Stable.

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Term Loan          0.54       [ICRA]B- (Stable); reaffirmed
   Cash Credit       12.00       [ICRA]B- (Stable); reaffirmed

Rationale

ICRA's rating reaffirmation takes into account the stagnant
operating income and cash accruals in FY2018.This was accompanied
with falling operating margins. However, the net worth and gearing
improved during the period. ICRA's rating continues to take into
account the intensely competitive and low value-adding nature of
the marble processing industry, which results in thin
profitability. The rating also reflects the company's modest scale
of operations, elevated gearing levels and working capital
intensive operations caused by high debtors and inventory levels.
Nevertheless, the rating derives comfort from the long experience
of the promoters in the marble processing business, their
established relationships with customers and the satisfactory
demand outlook for marble products in India.

Going forward, the ability of the company to profitably increase
its scale of operations, maintain optimal working capital
intensity and improve its capital structure will be the key rating
sensitivity.

Outlook: Stable

ICRA believes that the company will continue to benefit from the
extensive experience of its promoters. The outlook may be revised
to Positive if there is substantial increase in the company's
profitability margins alongside a decline in its debt levels. The
outlook may be revised to Negative if cash accrual is lower than
expected, or there is any major decline in sales turnover, or
stretch in the working capital cycle weakens liquidity.

Key rating drivers

Credit strengths

Experienced promoters with long track record provides competitive
edge: The promoters of the company have experience of more than
two decades. Such a long presence in the industry provides the
company a competitive edge in establishing relationships with its
suppliers and customers.

Diversified client base with established customer relationship as
evident from the repeat orders: MMPL has a very diverse customer
base which mitigates the risk of client concentration.
Furthermore, due to better customer relationship the company
receives repeat orders.

Credit challenges

Fragmented and competitive nature of industry marked by presence
of large number of players: The marble manufacturing industry is
highly fragmented and competitive because of low technological
complexity of manufacturing process. This limits the pricing
flexibility of smaller players like MMPL.

Weak financial risk profile: The company is dependent on external
borrowings which results in its high gearing levels and weak
coverage indicators.

MMPL was established in 1990 and is involved in processing of
marbles. The manufacturing facility of the company is located at
Rajasamand, Rajasthan. It mainly sells its products in India, with
some exports to countries in Europe and the Middle East. MMPL
recorded a net profit after tax (PAT) of INR0.22 crore on an
operating income of INR30.50 crore in FY2017 as against a net
profit of INR0.30 crore on an operating income of INR30.20 crore
in the previous year. On a provisional basis, it reported a PAT of
INR0.40 crore on an operating income of INR30.91 crore in FY2018.


PARAS FOODS: ICRA Maintains B Rating in Not Cooperating Category
----------------------------------------------------------------
ICRA has maintained Paras Foods (PF) bank facility rating in the
non-cooperating category.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Cash Credit           8.00      [ICRA]B (Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain in the 'Issuer Not
                                   Cooperating' category

Rationale:

The rating for INR8.00-crore bank facility of PF continues to be
in the 'Issuer Not Cooperating' category. The rating is denoted as
[ICRA]B (Stable) ISSUER NOT COOPERATING]. ICRA has been seeking
information from the entity so as to monitor its performance.
Despite repeated requests by ICRA, the entity's management has
remained non-cooperative. The current rating action has been taken
by ICRA on the basis of the best available/dated/limited
information on the issuers' performance. Accordingly, lenders,
investors and other market participants are advised to exercise
appropriate caution while using this rating as it may not
adequately reflect the credit risk profile of the entity.

Incorporated in the 2005, Paras Foods is a partnership firm
engaged in processing and sorting of basmati and non basmati rice.
The firm's milling unit is based out of Karnal, Haryana, in close
proximity to the local grain market. The firm sells rice under its
registered brands in the domestic market - Mulberry and Namstey
Jee. The firm is also involved in export of rice. The management
has increased its focus on sales of rice under its own brand name
in order to increase its realization. The focus on branded rice
sales is expected to increase further in the current year. The
entity tries to differentiate itself by selling branded rice in
the domestic rice which are sold in different packs of 5, 10, 25
and 40kg respectively.


PARTH CONCAST: ICRA Lowers Rating on INR20cr Term Loan to D
-----------------------------------------------------------
ICRA has downgraded the ratings for INR26.01 crore bank facilities
of Parth Concast Limited to [ICRA]D ISSUER NOT COOPERATING from
[ICRA]BB ISSUER NOT COOPERATING. The ratings continue to remain in
the 'Issuer Not Cooperating' category.

                         Amount
   Facilities         (INR crore)     Ratings
   ----------         -----------     -------
   Fund-based Limits       6.0        [ICRA]D ISSUER NOT
   Cash Credit                        COOPERATING; Revised from
                                      [ICRA]BB (Negative) and
                                      continues to remain in the
                                      'Issuer Not Cooperating'
                                      Category

   Term Loans             20.0        [ICRA]D ISSUER NOT
                                      COOPERATING; Revised from
                                      [ICRA]BB (Negative) and
                                      continues to remain in the
                                      'Issuer Not Cooperating'
                                      Category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available
information on the issuers' performance. Accordingly the lenders,
investors and other market participants are advised to exercise
appropriate caution while using this rating as the rating may not
adequately reflect the credit risk profile of the entity, despite
the downgrade.

Rationale

The rating downgrade follows the delays in debt servicing by PCL
to the lender(s), as confirmed by them to ICRA.

PCL, incorporated in 2013, manufactures billets from sponge iron
with a total installed capacity of 90,000 Tonnes per annum (TPA),
the commercial operations of which began in October 2015. The
company is promoted by the Garg family of Ludhiana - Mr. N.D.
Garg, Mr. Vinod Garg and Mr. Balraj Garg.

During 9M FY2017, PCL reported a profit after tax (PAT) of INR2.6
crore on an operating income of INR127.3 crore, as per provisional
financials. For FY2016, the company reported a PAT of INR1.5 crore
on an operating income of INR63.5 crore, as per audited
financials.


RADIANT TEXTILES: CARE Lowers Rating on INR40cr LT Loan to B+
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Radiant Textiles Limited (RTL), as:

                     Amount
   Facilities     (INR crore)   Ratings
   ----------     -----------   -------
   Long-term Bank       40      CARE B+; Stable; Issuer not
   Facilities                   cooperating; Revised from
                                CARE BB-; Stable; On the basis
                                of best available Information

   Short-term Bank      10      CARE A4; Issuer not cooperating;
   Facilities                   Based on best available
                                Information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from RTL to monitor the rating
vide e-mail communications/ letters dated May 21, 2018, May 25,
2018, June 08, 2018, June 11, 2018, June 15, 2018, July 06, 2018,
July 11, 2018 and numerous phone calls. However, despite our
repeated requests, the company has not provided the requisite
information for monitoring the ratings. 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 Radiant
Textiles Limited's bank facilities will now be denoted as CARE B+;
Stable/CARE A4; ISSUER NOT COOPERATING.

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

The ratings have been revised on account of decline in the
profitability margins in FY17 (Audited; refers to the period
April 1 to March 31). The ratings are further constrained by the
leveraged capital structure, elongated operating cycle, RTL's
presence in a highly fragmented & competitive textile industry and
susceptibility of margins to fluctuations in raw material prices &
adverse foreign exchange movements. The ratings, however, derive
strength from the experienced & resourceful promoters, moderate
debt coverage indicators and diversified product profile &
customer base.

Detailed description of the key rating drivers

Key Rating Weaknesses

Declining profitability margins: RTL's PBILDT margin declined from
12.23% in FY16 to 9.61% in FY17, impacting the overall
profitability and gross cash accruals generated by the company
during the year.

Leveraged capital structure with elongated operating cycle: RTL
had a leveraged capital structure marked by the longterm debt-to-
equity ratio (D:E) and overall gearing ratio of 0.14x and 1.61x,
respectively, as on March 31, 2017. Furthermore, the operations of
the company are working capital intensive in nature marked by
elongated operating cycle of 113 days as on March 31, 2017.

Susceptibility of margins to fluctuations in raw material prices
and adverse foreign exchange movements: The profitability margins
of the company are susceptible to the fluctuations in raw material
prices. The operations of RTL are raw material intensive in nature
with the material cost constituting approximately 68% on an
average (of the total income) for the last three years.
Furthermore, the margins are also vulnerable to adverse
fluctuation in the foreign exchange rates, as during FY17, the
company earned approximately 81% of its total operating income
from exports.

Highly fragmented and competitive textile industry: The organised
sector is responsible for nearly 75% of installed capacity of the
yarn production and unorganized sector account for rest. This
leads to highly fragmented industry structure having high level of
competition and intense pricing pressures.

Key Rating Strengths

Experienced and resourceful promoters: RTL has been in the textile
business for more than half a decade which has helped it to
establish relationship with both its suppliers and customers. The
promoters of the company are having an experience of more than one
decade in the textile industry.

Moderate debt coverage indicators: The debt coverage indicators of
the company remained moderate as exhibited by interest coverage
ratio of 2.65x in FY17 and total debt to GCA of 6.53x as on March
31, 2017.

Diversified product profile and customer base: RTL is engaged in
the business of manufacturing different types of cotton yarn with
counts ranging from 12's to 36's which diversify its product
portfolio. The company caters to more than 50 domestic customers
spread across India through established network of its own
marketing personnel and dealers.

Radiant Textiles Limited (RTL) was incorporated in 2005 as a
public limited company (closely held) and started its commercial
production in January 2008 with 25,200 cotton ring spindles.
Subsequently, the capacity was enhanced to 52,800 spindles in
2011. The company is currently being managed by Mr Rajesh Goyal
(Managing Director), Mr Ramesh K. Garg (Chairman), Mr Mohan Lal
Kataria, Mr Varun Kumar and Mr Gian Chand Kataria. The company is
engaged in the business of manufacturing of various types of
cotton yarns and specialty yarns at its manufacturing facility
located in Samana, Punjab, with a total installed capacity of
14,000 metric tonnes per annum (MTPA) with 52,800 cotton ring
spindles, as on March 31, 2017. The company caters to the hosiery
industry, undergarments, T-Shirts & other industrial sectors.


RAINBOW INFRASTRUCTURE: CARE Assigns B+ Rating to INR4cr Loan
-------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Rainbow
Infrastructure Private Limited, as:

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long-term Bank
   Facility              4.00       CARE B+; Stable Assigned

   Short-term Bank
   Facility              8.00       CARE A4; Stable Assigned

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of Rainbow
Infrastructure are constrained by its small scale of operations
with low profitability margin, risk associated with participating
in tenders and intense competition in the industry, working
capital intense nature of business, volatility associated with
fluctuation in input prices. However, the aforesaid constraints
are partially offset by its experienced management and
satisfactory track record of operations, satisfactory order book
position providing revenue visibility and adequate leverage ratios
and satisfactory debt coverage indicators.

Going forward, ability to increase its order book position, scale
of operation and profitability margins and ability to manage
working capital effectively are the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Strengths

Experienced management & satisfactory track record of operations:
Rainbow Infrastructure Private Limited started its business from
December 2005 and thus has satisfactory track record of
operations. Mr. Suman Ghosh (Managing Director) and Mr. Tapoj Roy
Chowdhury (Director) who have around 26 years and 25 years of
experience respectively in civil construction industry, looks
after the day to day operations of the company. He is also
supported by other technical and non-technical professionals who
are having long experience in this industry.

Satisfactory order book position providing revenue visibility:
Rainbow Infrastructure Private Limited has satisfactory order book
position of INR60.00 crore (which is 2.63x of FY18 turnover,
provisional figure) as on June 30, 2018, which is expected to be
completed by December 2020.

Adequate leverage ratios and satisfactory debt coverage
indicators:  Capital structure of the company remained
satisfactory as marked by long term debt-equity ratio of 0.39x
(0.19x as on March 31, 2017) and overall gearing ratio of 1.31x
(1.09x as on March 31, 2017) as on March 31, 2018. Moreover, the
debt coverage indicators also remained moderate as marked by total
debt to GCA ratio of 5.26x (2.61x in FY17) in FY18. Interest
coverage ratio also remained satisfactory at 3.03x (4.79 in FY17)
in FY18 (Provisional).

Key Rating Weaknesses

Small scale of operation with low profitability margin: Rainbow
Infrastructure Private Limited is a small player in construction
industry with a PAT of INR0.55 crore (INR0.72 crore in FY17) on
total operating income of INR22.84 crore (INR23.34 crore in FY17)
in FY18 (Provisional). Net worth base of the company was INR3.35
crore as on March 31, 2018 (Provisional). The small size restricts
the financial flexibility of the company in terms of stress and
deprives it from benefits of economies of scale. Due to its small
scale of operations, the absolute profit levels of the company
also remained low. The profitability margins remained low marked
by PBILDT and PAT margins of 7.11% (FY17: 8.13%) and 2.42% (FY17:
3.09%), respectively, in FY18 (Provisional).

Risk associated with participating in tenders and intense
competition in the industry: The company has to bid for the
contracts based on tenders opened by the various governments and
public sector units. Upon successful technical evaluation of
various bidders, the lowest bid is awarded the contract. The
company receives projects which majorly are of a short to medium
tenure (i.e. to be completed within maximum period of one to two
years). Furthermore, orders are generally tender driven floated by
government units indicating a risk of non-receipt of contract in a
competitive industry. The outlook of construction sector appears
challenging in view of slow execution of the existing order book
in view of hindrances related to land acquisition, obtaining
requisite clearances, labour shortage and liquidity issues with
the clients, etc. Additionally, the sector is plagued with
elongated working capital cycle leading to increase in debt level
of construction companies.

Working capital intensive nature of business: The operations of
the company remained working capital intensive as the company
executes orders mainly for public sector units and government
departments. Due to its working capital intensive nature of
operations, the company stretches its payments to its suppliers.
Accordingly, the average utilization of working capital was high
at around 95% during last 12 months ended June 30, 2018.

Volatility associated with fluctuations in input prices: The major
input materials for the company are cement, steel structures, iron
structures, angles, bricks, sand, rods etc., the prices of which
are volatile. Further the orders executed by the company contain
price escalation clause on some of the orders and thus the company
mitigates price volatility of the input materials to some extent.
This apart, any increase in labour prices will also impact its
profitability being present in a highly labour intensive industry.

Rainbow Infrastructure Private Limited was incorporated in
December 2005 with an objective to enter into undertaking
infrastructure and civil construction business. Since its
inception, the company has been engaged in civil projects,
structural project, electrical project, EHV cable lying projects,
water and bridge construction business. Mr. Suman Ghosh (Managing
Director) and Mr. Tapoj Roy Chowdhury (Director) who have around
26 years and 25 years of experience respectively in civil
construction industry, looks after the day to day operations of
the company. He is also supported by other technical and non-
technical professionals who are having long experience in this
industry.


RAIPUR POWER: ICRA Lowers Ratings on INR390cr Loans to D
--------------------------------------------------------
ICRA has downgraded the ratings for INR390.01 crore bank
facilities of Raipur Power And Steel Limited to [ICRA]D ISSUER NOT
COOPERATING from [ICRA]BB/[ICRA]A4 ISSUER NOT COOPERATING. The
ratings continue to remain in the 'Issuer Not Cooperating'
category.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Fund-based Limits     97.50       [ICRA]D ISSUER NOT
                                     COOPERATING; Revised from
                                     [ICRA]BB (Negative) and
                                     continues to remain in the
                                     'Issuer Not Cooperating'
                                     category

   Term Loans            242.75      [ICRA]D ISSUER NOT
                                     COOPERATING; Revised from
                                     [ICRA]BB (Negative) and
                                     continues to remain in the
                                     'Issuer Not Cooperating'
                                     category

   Non-fund Based         22.00      [ICRA]D ISSUER NOT
   Limits                            COOPERATING; Revised from
                                     [ICRA]A4 and continues to
                                     remain in the 'Issuer Not
                                     Cooperating' category

   Unallocated Limits     27.75      [ICRA]D ISSUER NOT
                                     COOPERATING; Revised from
                                     [ICRA]BB (Negative) and
                                     continues to remain in the
                                     'Issuer Not Cooperating'
                                     category

ICRA has been trying to seek information from the entity so as to
monitor its performance, but despite repeated requests, the
entity's management has remained non-cooperative. The current
rating action has been taken by ICRA basis best available
information on the issuers' performance. Accordingly the lenders,
investors and other market participants are advised to exercise
appropriate caution while using this rating as the rating may not
adequately reflect the credit risk profile of the entity, despite
the downgrade.

Rationale

The rating downgrade follows the delays in debt servicing by RPSL
to the lender(s), as confirmed by them to ICRA.

Incorporated in 2007, RPSL manufactures sponge iron (capacity of
90,000 TPA), ferro alloys (30,000 TPA), iron ore pellets (400,000
TPA), billets (90,000 TPA), wire rods and HB wires (90,000 TPA
each) and has power generation capacity of 12 MW (6 MW waste heat
based and 6 MW coal based). RPSL's manufacturing plant is located
in Durg, Chattisgarh, where many steel-making units are located.
The products of the company are sold in nearby areas.

In FY2017, RPSL reported profit after tax (PAT) of INR21.6 crore
on an OI of INR527.2 crore, as per provisional financials. In
FY2016, the company reported PAT of INR16.5 crore on an OI of
INR520.2 crore, as per audited financials.


S M INTERIOR: CARE Moves B+ Rating to Not Cooperating Category
--------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of S M
Interior Private Limited (SMIPL) to Issuer Not Cooperating
category.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Long term Bank        7.00       CARE B+; Stable; Issuer not
   Facilities                       cooperating; based on best
                                    available information

   Short term Bank       2.90       CARE A4; Issuer not
   Facilities                       cooperating; based on best
                                    available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SMIPL to monitor the
ratings vide e-mail communications/letters dated April 18, 2018,
May 10, 2018, June 14, 2018 and numerous phone calls. However,
despite our repeated requests, the company has not provided the
requiste information for monitoring the rating. In the absence of
minimum information required for the purpose of rating, CARE is
unable to express opinion on the rating. In line with the extant
SEBI guidelines CARE's rating on SMIPL's bank facilities will now
be denoted as CARE B+/A4; Stable; ISSUER NOT COOPERATING.

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

Detailed description of the key rating drivers

The rating assigned to S M Interior Private Limited is constrained
by small scale of operations along with moderate profitability
margins, volatility in input prices, working capital intensive
nature of business, intense competition and tender driven process
risk and client concentration risk albeit reputed clientele. The
rating, however, derives strength from its experienced management.

Going forward, the company's ability to grow its scale of
operations and improve its profitability margins with efficient
management of its working capital shall be the key rating
sensitivities.

Key Rating Strengths

Experienced management: Mr. Sahabuddin Molla (Managing Director)
along with his wife Ms. Naima Parvin (Director) looks after
overall management of the company. Mr. Sahabuddin Molla has around
two decades of experience in civil construction and interior
designing business and is ably supported by Mr. Subhodip Talabhi
(Manager) and along with a team of experienced professional who
have rich experience in the same line of business.

Key Rating Weaknesses

Small scale of operation with moderate profitability margins:
SMIPL is a small player in construction industry with a PAT of
INR0.37 crore on total operating income of INR16.15 crore in
FY17 (FY refers to the period April 1 to March 31) and total
capital employed of INR9.62 crore as on March 31, 2017. This
apart, the profitability margins remained moderate during past
financial years. The small size restricts the financial
flexibility of the company in times of stress and deprives it from
benefits of economies of scale. Due to its small scale of
operations, the absolute profit levels of the company also
remained low resulting in lower cash accruals.

Volatility in input prices: The major input materials for the
company are bitumen, plywood, stone chips and aluminium the prices
of which are volatile. Further the orders executed by the company
does not contain price escalation clause and thus the company
remains exposed to the price volatility of the input materials.
This apart, any increase in labor prices will also impact its
profitability being present in a highly labor intensive industry.

Working capital intensive nature of business: The operations of
the company remained working capital intensive as the company
executes orders mainly for public sector units and government
departments. The average inventory period was around two months
during FY16 due to work uncertified by the customers. At the same
time payment comes around three months from the date of bill
raised. Due to its working capital intensive nature of operations,
the company stretches its suppliers. Accordingly the average
utilization of working capital was moderately on the higher side
at around 80% during last 12 months ended May 2017.

Risk associated with participating in tenders: The company has to
bid for the contracts based on tenders opened by the various
public sector units. Upon successful technical evaluation of
various bidders, the lowest bid is awarded the contract. The
company receives projects which majorly are of a short to medium
tenure (i.e. to be completed within maximum period of one to two
years). Furthermore, orders are generally tender driven floated by
government units indicating a risk of non-receipt of contract in a
competitive industry.

Intense competition in the industry: The outlook of construction
sector appears challenging in view of slow execution of the
existing order book in view of hindrances related to land
acquisition, obtaining requisite clearances, labour shortage and
liquidity issues with the clients, etc. Additionally, the sector
is plagued with elongated working capital cycle leading to
increase in debt level of construction companies. Apart from this
present economic slowdown is also having a negative bearing on the
construction sector which may also hinder the growth of the
company.

Client concentration risk albeit reputed clientele: SMIPL executes
orders mainly for various public sector units and government
departments like Tata Steel Limited, Haldia dock complex (KOPT),
Indian Railway (N.F.R) Irrigation & Waterways directorate (Govt of
W.B) etc. and earns revenue of about 62% of its total operating
income from the above clients which exposes it to client
concentration risk. However, the company has long standing
relationship with these clients which offset the risk to some
extent. Further the clients of the company are reputed government
and public sector players and hence, default risk is minimal.

S.M Interior Private Limited (SMIPL) was incorporated in 2011 by
Mr. Sahabuddin Molla. Since its inception, the company has been
engaged in civil construction works, mechanical works and interior
decoration projects. The company's main client includes Tata Steel
Limited, Haldia dock complex (Kolkata Port Trust), Irrigation &
Waterways directorate (Govt of West Bengal) and Axis Bank Limited.


SAI RADHA: ICRA Reaffirms B+ Rating on INR17.50cr LT Loan
---------------------------------------------------------
ICRA has reaffirmed the long-term rating at [ICRA]B+ for the
INR17.50-crore (enhanced from INR15.00 crore) fund-based facility
of Sai Radha Pharma (India) Private Limited (SRPL). The outlook on
the long-term rating is Stable.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term-
   Fund-based           17.50      [ICRA]B+ (Stable); Reaffirmed

Rationale

The rating reaffirmation remains constrained by the moderation in
the company's capital structure and coverage indicators in FY2018,
owing to sizeable debt-funded capital expenditure incurred during
the corresponding period. The rating continues to consider its
moderate financial profile as characterised by small scale of
operations, moderate coverage indicators and a leveraged capital
structure. The rating considers SRPL's exposure to regulatory
changes in the pharmaceutical industry and the highly fragmented
nature of the pharmaceutical distribution industry that restricts
its pricing flexibility to some extent. The rating also factors in
the high geographical concentration risk faced by the company as a
major portion of its revenues is derived from a few districts in
Karnataka.

The rating, nevertheless, derives comfort from the extensive
experience of the promoters in the pharmaceutical distribution
business. The extensive presence in the pharmaceutical segment,
coupled with its wide product portfolio, has facilitated the
company in establishing strong relationship with the key customers
and suppliers. The rating positively factors in the revenue growth
in the recent past, aided by commencement of new retail stores in
Mangalore and in Manipal during FY2017 and FY2018, respectively.
The rating also considers the improvement in SRPL's operating
margin in FY2018, as per provisional financials, supported by
increased income from higher-margin retailing operations. ICRA
notes the expected increase in its scale of operations, aided by
additional retail stores that are likely to be set up in the near
term.

Outlook: Stable

The Stable outlook reflects ICRA's expectation that the company
will continue to benefit from the extensive experience of the
promoters in the pharmaceutical distribution business and the
proven operational track record of the company in the segment. The
outlook may be revised to Positive if the company achieves
significant growth in revenues and reports an improvement in
profitability, supported by commencement of additional retail
outlets for pharmaceutical distribution. The outlook may be
revised to Negative if the company's cash accruals are lower than
anticipated or if the capital structure and coverage indicators
weaken beyond ICRA's expectations.

Key rating drivers

Credit strengths

Extensive experience of the promoter: SRPL's promoter, Mr. Manohar
Shetty, has an extensive experience of over two decades in the
pharmaceutical distribution industry. The established presence of
the promoter and the company in the pharmaceutical distribution
business has facilitated in developing strong
relationship with the key suppliers and customers.

Healthy growth in revenues in the recent past: SRPL's revenue grew
at a healthy rate of 16.1% and 31.0% in FY2018 and FY2017,
respectively, supported by the commencement of new retail stores
in Mangalore and Manipal. The higher revenue contribution of
retailing operations also resulted in an improvement in the
company's operating margin in FY2018. Going forward, the revenue
growth is likely to remain supported by SRPL's plan to expand its
pharmaceutical retailing operations by setting up additional
retail outlets in South Karnataka.

Credit challenges

Moderation in capital structure and coverage indicators: SRPL's
capital structure and coverage indicators witnessed moderation in
FY2018 owing to sizeable term loans availed mainly towards
purchase of a central warehouse located in Udupi, which was
earlier occupied by the company on a rental basis.

Fragmented nature of industry and high regulatory intervention
limits pricing flexibility: Given the highly fragmented nature of
pharmaceutical distribution business, the company's pricing
flexibility is limited. Besides, SRPL's operations are also
exposed to changes in regulatory policy pertaining to the
pharmaceutical industry.

High geographical concentration: With the company deriving a major
part of its revenues from Udupi, Mangalore and nearby areas, the
geographical concentration risk remains high.

Incorporated in 2012, SRPL is involved in the retail and wholesale
distribution of pharmaceutical products. The Sai Radha Group has
presence in pharmaceutical distribution since 1989 through a
retail store operated under a partnership firm Radha Medicals and
General Stores. In 2007, the Sai Radha Group ventured into
wholesale distribution business through acquisition of Panchavati
Pharma. With a view to consolidate the entire pharmaceutical
distribution business under one company, Mr. Manohar Shetty
started SRPL in January 2012. SRPPL has four retail stores at
present, two in Udupi and two in Mangalore. The wholesale segment
caters to retail medical stores, hospitals and doctors in and
around Udupi, Mangalore, Manipal and nearby regions. Some of its
major suppliers include Lupin Limited, Dr. Reddy's Laboratories,
Abbott Laboratories, Zydus Cadila, Mankind Pharma and Cipla
Limited, among others.


SANT FOODS: ICRA Moves B Rating to Not Cooperating Category
-----------------------------------------------------------
ICRA has moved the long-term rating for the bank facilities of
Sant Foods Private Limited to the 'Issuer Not Cooperating'
category. The rating is now denoted as [ICRA]B (Stable) ISSUER NOT
COOPERATING.

                       Amount
   Facilities        (INR crore)    Ratings
   ----------        -----------    -------
   Fund-Based Limits     15.00      [ICRA]B(Stable) ISSUER NOT
                                    COOPERATING; Rating moved
                                    to the 'Issuer Not
                                    Cooperating' category

ICRA has been seeking information from the entity so as to monitor
its performance. Despite repeated requests by ICRA, the entity's
management has remained non-cooperative. The current rating action
has been taken by ICRA on the basis of the best
available/dated/limited information on the issuers' performance.
Accordingly, lenders, investors and other market participants are
advised to exercise appropriate caution while using this rating as
it may not adequately reflect the credit risk profile of the
entity.

Sant Foods Private Limited (SFPL) was established in 2008. The
company mills rice at an installed capacity of 6 tons per hour.
The company has two sortex machines with the capacity of 5
tons/hour and 2 tons/hour. The company is managed by Mr. Pradeep
Wadhwa.


SAR SENAPATI: CARE Moves B- Rating to Not Cooperating Category
--------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Sar
Senapati Santaji Ghorpade Sugar Factory Limited (SSGSFL) to Issuer
Not Cooperating category.

                     Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long term Bank    265.79      CARE B-; Issuer not cooperating;
   Facilities                    Based on best available
                                 information

Detailed Rationale & Key Rating Drivers

CARE has reaffirmed the ratings CARE B-; Issuer Not Cooperating
based on best available information. However, despite our repeated
requests via email dated April 25, 2018, July 2, 2018, August 9,
2018 and numerous phone calls, the company has not provided the
requisite information for monitoring the ratings and the
management has remained non cooperative. The current rating action
taken by CARE is based on best available information. In the
absence of minimum information required for the purpose of rating,
CARE is unable to express opinion on the rating. In line with the
extant SEBI guidelines CARE's rating on SSGSFL, bank facilities
will now be denoted as CARE B-; ISSUER NOT COOPERATING.

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

SGSFL was incorporated on February 19, 2011 to undertake sugar &
sugar related production at Kolhapur. SGSFL is promoted by Mr.
Hasanrao Mushrif, chief promoter, along with Mr. Sajid Hasan
Mushirf, Managing Director (MD). SGSFL has a fully integrated cane
processing plant comprising sugar plant with crushing capacity of
4,800 tonnes of cane crushed per day (TCD), 30 Kilo Liters Per Day
(KLPD) distillery and bagasse fired co-generation unit of 22 mega-
watt (MW). The company has signed power purchase agreement (PPA)
with Maharashtra Electricity Distribution Company Limited (MSEDCL;
rated 'CARE A+ (SO)') for the off-take of the surplus power from
the co-generation unit of the plant post captive consumption.
During FY16, company expanded its sugar crushing capacity by 1,300
TCD taking its crushing capacity to 4,800 TCD for sugar season
2015-16. The company has crushed 6.91 Lakh MT of the sugar in the
Sugar Season 2017-18 at the recovery rate of the 12.11%.


SHIVAM PIPE: ICRA Lowers Rating on INR5.50cr Cash Loan to D
-----------------------------------------------------------
ICRA has downgraded the long-term rating from [ICRA]B- with a
Stable outlook to [ICRA]D for the INR3.50-crore term loan1,
INR5.50-crore cash-credit facility and INR2.00-crore non-fund-
based facility of Shivam Pipe Industries.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Fund-Based-Term       3.50       Rating downgraded to [ICRA]D
   Loan                             from [ICRA]B- (Stable)

   Fund-Based-Cash       5.50       [Rating downgraded to [ICRA]D
   Credit                           from [ICRA]B- (Stable)

   Non-fund Based-       2.00       Rating downgraded to [ICRA]D
   Bank Guarantee                   from [ICRA]B- (Stable)

Rationale

The rating revision primarily factors in the firm's irregularity
in debt servicing in recent months due to an adverse liquidity
position which aggravated post commissioning of its incremental
capacities in FY2018 as SPI has been unable to continue the
operations of its expanded capacities resulting in insufficient
cash-flow generation from the business. The rating also takes into
account the inherent cyclicality in the steel industry, which is
likely to keep profitability and cash flows of the firm volatile,
and the risks associated with SPI's status as a partnership firm,
which includes the risk of capital withdrawal.
ICRA, however, takes note of the moderate experience of the
promoters in steel pipe manufacturing industry and SPI's
eligibility for fiscal incentives under the North Eastern
Industrial and Investment Promotion Policy (NEIIPP) 2007 scheme,
which is likely to support its profitability to some extent. The
firm's ability to meet the additional working capital requirement
and ramp up scale of operations would remain critical to
regularisation of debt servicing, going forward.

Key rating drivers

Credit strengths

Moderate experience of the promoters in mild steel pipe
manufacturing industry: SPI is a partnership firm and started mild
steel (MS) pipe manufacturing operations in 2012. The partners'
moderate experience in the industry helped the firm establish its
presence in the steel tube business, to an extent.

Eligibility for fiscal incentives under the NEIIPP, 2007 likely to
support profitability: Due to its location in North East India,
SPI is entitled to various fiscal benefits and Government
subsidies under the North East Industrial and Investment Promotion
Policy (NEIIPP), 2007, which is likely to provide some support to
the firm's profitability and cash flows.

Credit challenges

Irregularities in debt servicing due to adverse liquidity
position: The firm's high working capital intensity of operations
and significant increase in working capital requirement for its
newly installed facilities led to a stretched liquidity condition.
This resulted in discontinuation of operations of the newly set-up
facilities. Hence, in the recent months the firm's cash flows
generated from business have been inadequate to meet the increased
debt servicing requirement arising from the debt-funded capital
expenditure incurred for capacity expansion.

Exposure to cyclicality associated with steel industry: The
profitability and cash flows of SPI would remain susceptible to
volatility in raw materials and finished goods prices, as inherent
in the steel business.

Risks associated with partnership nature of the firm: SPI is a
partnership firm, which inherits the risks associated with the
partnership nature of the firm, including the risk of capital
withdrawal.

SPI is a partnership firm, promoted by Guwahati-based Mr. Ratan
Lal Bhati and commenced operations in 2012. Its plant is located
at Kamalpur in Guwahati, wherein initially it had a manufacturing
capacity of 12,000 mtpa of mild steel pipes and steel tubular
poles. In April 2017, the firm commissioned additional MS pipe and
Galvanisation capacity of 12,000 mtpa each. However, the
operations of the expended capacity was discontinued subsequently.

In FY2017, the firm reported a net profit of INR0.48 crore on an
operating income of INR19.33 crore compared to a net profit of
INR0.95 crore on an operating income of INR17.19 crore in the
previous year.


SRI ADIPARASHAKTI: ICRA Assigns B+ Rating to INR7cr LT Loan
-----------------------------------------------------------
ICRA has assigned the long-term rating of [ICRA]B+ for the
INR10.00-crore fund-based facilities of Sri Adiparashakti Agro
Tech. The outlook on the long-term rating is Stable.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Long-term-Fund-
   Based-Cash Credit      7.00     [ICRA]B+ (Stable); Assigned

   Long-term-Fund-
   Based-Term Loan        1.00     [ICRA]B+ (Stable); Assigned

   Long-term-
   Unallocated            2.00     [ICRA]B+ (Stable); Assigned

Rationale

The assigned rating takes into account the financial profile of
the firm characterized by moderate scale of operations, thin
margins and low net worth. The rating also takes into account the
high competition in the industry with existence of large number of
rice mills, coupled with limited value-additive nature of the
business, constraining the pricing flexibility of the firm. The
rating factors in the susceptibility of revenues and profitability
to agro-climatic risks as the availability of paddy can be
affected by adverse weather conditions. The firm is also exposed
to the inherent risks associated with the partnership nature of
the firm, wherein any significant withdrawals from the capital
account can adversely impact the firm's net worth and capital
structure. The rating, however, derives comfort from the extensive
experience of the partners in rice milling industry, and its
established relationship with suppliers and customers.

The rating also factors in the proximity of the firm to paddy
growing areas in Raichur facilitating easy procurement of raw
materials. The rating also considers the improvement in the firm's
revenues over the last two fiscals, with stabilisation of
operations. Going forward, the firm's ability to scale up its
operations and sustain its improvement in profitability and debt
coverage indicators will be the key rating sensitivities.

Outlook: Stable

ICRA believes Adiparashakti Agro will continue to benefit from the
long experience of the partners in the business and the stable
demand outlook of the industry as rice is a staple food grain. The
outlook may be revised to 'Positive' if the scale of operations
and profitability improves resulting in healthy cash accruals.
Conversely, the outlook may be revised to 'Negative' if there is
any significant increase in debt-levels weakening the capital
structure and coverage indicators.

Key rating drivers

Credit strengths

Extensive experience of the partners in the rice-milling industry:
The partners have been involved in the rice-milling business for
over two decades through other sister entities. The experience of
the partners helps the firm in managing the business risks
effectively and the new firm benefits from the established
relationship that the partners enjoy with the suppliers and
customers.

Presence of the firm in a major paddy-growing area results in easy
availability of the raw-material: The firm's plant is located in
Raichur, which is surrounded by paddy-cultivation areas, resulting
in easy procurement of paddy with low transportation cost. All the
paddy requirements are met locally through direct purchases from
farmers.

Favorable demand prospects of rice: Demand prospects of the
industry are expected to remain good as rice is a staple food
grain in the country and India is the world's second-largest
consumer of rice.

Credit challenges

Moderate financial profile of the firm: The firm's financial
profile is characterised by moderate scale of operations with an
operating income of INR44.76 crore, thin margins with operating
margins of 3.36% owing to limited value-additive nature of the
business and low net-worth of INR3.90 crore in FY2018.

Intense competition in the industry keeps margins under check:
Rice-milling industry is highly competitive with presence of a
large number of organised and unorganised players. Intense
competition by large number of players limits the pricing
flexibility and margins of the firm.

Susceptibility to agro-climatic risks: The rice-milling industry
is susceptible to agro-climatic risks as adverse weather
conditions can affect the availability of the paddy. The margins
of the firm are also exposed to price fluctuations of paddy.

Risks inherent to the partnership nature of the firm: The firm is
exposed to risks associated with partnership firms including the
risk of capital-withdrawal which might adversely impact the
capital structure.

Incorporated in 2016, Sri Adiparashakti Agro Tech (Adiparashakti
Agro) is a partnership firm managed by Mr. M R Krishna and Mr. M R
Venkatesh. The commercials operation of the firm stared in
December 2016. The firm is engaged in milling and trading of rice,
broken rice, bran and husk. The firm procures majority of its
required raw material from farmers located in Raichur and its
neighbouring districts in Karnataka and sells them in the domestic
market. The firm sells Sona Masuri rice in bulk quantities under
the brand name Anmol and Aakash and has presence mainly in
Karnataka and Maharashtra. The firm's manufacturing facility is
located in Raichur in Karnataka with an aggregate installed
capacity of 6 tons per hour of milling. The firm is part of the
MRV group which also owns other entities in similar business.

In FY2018, the firm reported a net profit of INR0.81 crore on an
OI of INR44.76 crore compared to a net profit of INR0.85 crore on
an OI of INR22.18 crore in the previous year.


SRI MANJUNATHA: ICRA Maintains B Rating in Non-Cooperating
----------------------------------------------------------
ICRA has maintained Sri Manjunatha Spinning Mills Limits (SMSML)
bank facility rating in the non-cooperating category.

                      Amount
   Facilities       (INR crore)    Ratings
   ----------       -----------    -------
   Cash Credit          12.00      [ICRA]B(Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Term loan            10.47      [ICRA]B(Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Bank Guarantee        0.40      [ICRA]B(Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

   Unallocated Limits    5.29      [ICRA]B(Stable) ISSUER NOT
                                   COOPERATING; Rating continues
                                   to remain under 'Issuer Not
                                   Cooperating' category

Rationale

The rating of INR28.16-crorebank facilities of SMSML continues to
remain under 'Issuer Not Cooperating' category. The rating is now
denoted as "[ICRA]B(Stable) ISSUER NOT COOPERATING".

The rating is based on limited or no updated information on the
entity's performance since the time it was last rated in February
2017. The lenders, investors and other market participants are
thus advised to exercise appropriate caution while using this
rating as the rating does not adequately reflect the credit risk
profile of the entity. The entity's credit profile may have
changed since the time it was last reviewed by ICRA; however, in
the absence of requisite information, ICRA is unable to take a
definitive rating action.

As part of its process and in accordance with its rating agreement
with SMSML, ICRA has been trying to seek information from the
entity so as to monitor its performance, but despite repeated
requests by ICRA, the entity's management has remained non-
cooperative. In the absence of requisite information, and in line
with SEBI's Circular No. SEBI/HO/MIRSD4/CIR/2016/119, dated
November 01, 2016, ICRA's Rating Committee has taken a rating view
based on the best available information.

Sri Manjunatha Spinning Mills Limited (SMSML) was incorporated as
a private limited company on November 2, 2006. Later, SMSML was
converted to public limited company in November 3, 2010. The
company is based out of Guntur district in Andhra Pradesh; SMSML
stated its operation from February 2011 with 12,000 spindles and
is currently running at capacity of 17,856 spindles which was
increased from 16,800 spindles in May 2015.


TRIKAAL LEASING: CARE Moves B+(FD) Rating to Non-Cooperating
------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Trikaal
Leasing and Finance Limited (TLFL) to Issuer Not Cooperating
category.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Medium-term           2.87       CARE B+(FD); ISSUER NOT
   Instruments-                     COOPERATING; Based on best
   Fixed Deposit                    Available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from TLFL to monitor the rating
vide e-mail communications/letters dated June 7, 2018, May 1,
2018, April 26, 2018 and numerous phone calls. However, despite
our repeated requests, the company has not provided the requisite
information for monitoring the ratings. 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 Trikaal
Leasing and Finance Ltd's Fixed Deposit Programme will now be
denoted as CARE B+(FD); ISSUER NOT COOPERATING.

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

The rating takes into account its small size of operations and
high regional concentration, concentrated resource profile,
weak asset quality, low product diversification, inherent risk
associated with target lending segment. However, the rating
derives strength from the experience of the promoters in the
industry, comfortable capital adequacy levels and
satisfactory profitability margins.

Detailed description of the key rating drivers

At the time of last rating on April 7, 2017, the following were
the rating strengths and weaknesses (updated for the information
available from annual report from MCA):

Key Rating Weaknesses

Small size of operations and high regional concentration:
TLFL has small scale of operation spread over four districts of
Karnataka. The portfolio-outstanding as on March 31, 2017
was INR5.86 crore (PY: INR7.10 crore). Although strong presence in
a particular region helps the company to understand the dynamics
of the region, it is exposed to geographical concentration risk
with 100% of its portfolio concentrated in Karnataka.

Concentrated resource profile: Company's major source of funding
continues to be equity capital and fixed deposit from the public.
As on March 31, 2017, fixed deposits and equity finance about 60%
of the asset book.

Decline in Net Interest Margin: The NIM has improved from 5.05% in
FY16 to 5.44% in FY17, on account of shrinking portfolio. However
the company reported losses to the tune of INR0.18 crore as
against a profit of 0.09 crore in FY16 due to high operating
expenses and increased provisioning also impacted PAT. ROTA
declined to -2.58% owing to losses reported in FY17 as against
0.97% in FY16.

Weak asset quality: TLFL has weak asset quality with gross NPA%
and Net NPA% at 8.89% and 7.45%, respectively, as on March 31,
2015, deteriorating from gross NPA% and Net NPA% of 8.09% and
3.80% as on March 31, 2014.

Low product diversification: TLFL is primarily engaged in
financing of used Light Commercial Vehicles (LCV). As on
March 31, 2015, the outstanding loan portfolio stood at INR6.54
crore, completely financing used LCV's. However, during 9MFY16,
the company has diversified by financing new vehicles and used
heavy commercial vehicles. TLFL has financed 3 autos aggregating
to INR0.04 crore, around 6 to 7 used heavy commercial vehicles
aggregating to INR0.62 crore.

Key Rating Strengths

Experience of the promoters in the industry: Mr Ravi Deshpande,
the Managing Director of TLFL has over 23 years of experience in
managing pre-owned commercial vehicle finance business. He is a
post graduate in commerce and law, has served as group finance
manager for BEMCO Hydraulics Ltd for 10 years and general manager
finance at The Mysore Kirloskar Ltd for 5 years.Mr M.K. Shevade,
Director, is a Chartered Accountant, and has 45 years of
experience in audit and taxation. He is a director at the Poly
Hydron group of companies. Mr Ravi Deshpande manages the day-to-
day operations of the company.

Comfortable capital adequacy: The capitalization level of TLFL is
comfortable. However, the CAR witnessed moderation from 74.54% as
on March 31, 2013, to 66.21% as on March 31, 2015, and further to
61.40% as on December 31, 2015, due to increase in the loan
portfolio.

Trikaal Leasing & Finance Ltd (TLFL), is a Dharwad based Deposit
taking NBFC involved in business hire purchase of used commercial
vehicles to individuals in Karnataka. The company was incorporated
in June, 1992. TLFL has presence in four districts of Karnataka,
namely Hubli-Dharwad, Gadag, Haveri and Belgaum. Mr Ravi N
Deshpande is the Managing Director (CMD) who handles the day to
day operations of the company.


VIKAS COTTON: ICRA Cuts Rating to D & Moves to Non-Cooperating
--------------------------------------------------------------
ICRA has revised the rating of bank facilities of Vikas Cotton
Ginning & Pressing (VCGP) to [ICRA]D from [ICRA]B+ with stable
outlook. ICRA has also moved the ratings to the 'Issuer Not
Cooperating' category due to non submission of no default
statement. The rating is now denoted as "[ICRA]D ISSUER NOT
COOPERATING".

                     Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Fund based-        12.00      [ICRA]D ISSUER NOT COOPERATING;
   Cash Credit                   Revised from [ICRA]B+ (Stable)
                                 and moved to 'Issuer Not
                                 Cooperating' category due to
                                 non submission of no default
                                 statement

   Unallocated         5.10      [ICRA]D ISSUER NOT COOPERATING;
   Limits                        Revised from [ICRA]B+ (Stable)
                                 and moved to 'Issuer Not
                                 Cooperating' category due to
                                 non submission of no default
                                 statement

ICRA has been consistently following up with Vikas Cotton Ginning
& Pressing for obtaining the monthly 'No Default Statement' and
had also placed the ratings under review due to non submission of
NDS in the month of July 2018. However the entity's management has
remained non-cooperative.

Rationale

The rating downgrade follows the delays in debt servicing by Vikas
Cotton Ginning & Pressing to the lender, as confirmed by them to
ICRA.

Established in 2006, Vikas Cotton Ginning & Pressing (VCGP) is a
partnership firm owned and managed by Mr. Mahmadrafik Allarakha
Kaladiya, Mr. Afzal Allarakha Kaladiya and Mr. Amin Allarakha. The
manufacturing facility of the firm, located at Surendranagar,
Gujarat, is equipped with 42 ginning and one fully automatic
pressing machine, with a production capacity of 450 finished bales
per day. The firm also has five expellers for cottonseed crushing.
It also trades in castor seeds, cumin seeds, wheat, coriander and
other agro-products.



=================
I N D O N E S I A
=================


MODERNLAND REALTY: S&P Rates New US$150MM Sr. Unsec. Notes 'B'
--------------------------------------------------------------
S&P Global Ratings said that it has assigned its 'B' long-term
issue rating on the proposed US$150 million senior unsecured note
to be issued by PT Modernland Realty Tbk.'s (Modernland:
B/Negative/--) special-purpose vehicle, JGC Ventures Pte. Ltd. The
issuer credit ratings (ICR) and outlook on Indonesia-based
property developer Modernland are not affected by the company's
proposed issuance. Modernland will unconditionally and irrevocably
guarantee the proposed note.

The proposed transaction would remove near-term liquidity pressure
on Modernland and extend the company's debt-maturity profile. The
majority of the note proceeds will go toward refinancing
Modernland's near-term maturities, including the US$58 million
note due in August 2019. The remaining amount will go toward land
bank acquisition and general corporate purposes.

S&P said, "We believe the company's EBITDA interest coverage ratio
will still be commensurate with a 'B' issuer credit rating level
following a net increase of US$40 million of debt after the
transaction. Nevertheless, we expect Modernland to have limited
buffer for further increases in debt after the note issuance
without placing pressure on its credit metrics. We forecast
Modernland's EBITDA interest coverage after the issuance to remain
at 2.0x-2.1x over the next two years."

The 'B' rating on Modernland reflects the company's geographic and
project concentration, as well as dependence on lumpy land sales.
However, the company's sizable land bank and good position in
Jakarta support its credit profile.

The negative outlook reflects Modernland's growing short-term debt
and rising refinancing requirements over the next 12 months.

S&P said, "We would revise the outlook to stable if Modernland's
refinancing risk reduces. This would materialize if the company
refinances at least half of its 2019 maturities with long-dated
debt over the next three to six months. The outlook revision would
also be contingent upon Modernland demonstrating prudent spending
management, maintaining a sound liquidity buffer, and keeping its
EBITDA interest coverage above 2.0x.

"We could lower the rating, most likely by one notch, if
Modernland's liquidity weakens. This will most likely happen if
the company fails to at least partially refinance debt due in 2019
over the next three to six months with long-dated debt, while
maintaining sizable capital spending and depleting cash.

"We could also lower the rating if Modernland's capital spending
stays elevated and requires additional debt, or if its property
sales slow significantly. The EBITDA interest coverage falling
materially below 2.0x with no prospect of improvement would
indicate such deterioration."



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


UTUSAN MELAYU: Falls Into PN17 status on Loan Defaults
--------------------------------------------------------
The Sun Daily reports that Utusan Melayu (Malaysia) Bhd has been
admitted into the Practice Note 17 (PN 17) category after it
defaulted on payments to Maybank Islamic Bhd and Bank Muamalat
Malaysia Bhd.

The newspaper publisher told Bursa Malaysia that it had triggered
the prescribed criteria under paragraph 2.1 (f) of PN17 and is
required to submit a regularisation plan within 12 months from the
announcement date, Sun Daily relates.

In the event the company fails to comply with the obligations to
regularise its condition, its listed securities will be suspended
from trading on the 6th market day after the date of notification
of suspension by Bursa Securities and de-listing procedures will
be taken against it, the report says.

According to the report, Utusan Melayu recently announced that it
had defaulted on another two loan payments totaling
MYR1.18 million due to financial constraints after a loan default
of MYR2.96 million to Affin Bank.

It was also planning to undertake a private placement to raise up
to MYR2.1 million for the repayment of bank borrowings, the report
relates.

Sun Daily adds that Utusan Melayu said it is looking into
formulating a regularisation plan to address its PN17 status and
will make the necessary announcement on the regularisation plan in
due course.

Utusan Melayu (Malaysia) Berhad engages in the publication,
printing and distribution of newspapers. The Company's segments
include Publishing, distribution and advertisements, which is
engaged in publishing and distribution of newspapers, magazines
and books, and also indoor and outdoor advertising; Printing,
which is engaged in printing of magazines and books; Information
technology and multimedia, and Investment holding, management
services and others. It publishes newspapers, which include Utusan
Malaysia, Mingguan Malaysia, Kosmo! and Kosmo! Ahad. Its magazines
include Mastika, Saji, Infiniti and Wanita. The Company, through
its subsidiary, publishes educational books that cover all levels
of education, from pre-school to university. It also publishes
children's books and other general titles covering subjects, such
as religion and women's titles. Its other services include
transportation, audio video production and series, and archive and
research information services.



=====================
P H I L I P P I N E S
=====================


RURAL BANK OF LUNA: Placed Under PDIC Receivership
--------------------------------------------------
The Monetary Board (MB) of the Bangko Sentral ng Pilipinas (BSP)
prohibited Rural Bank of Luna (Apayao), Inc. from doing business
in the Philippines. Under Resolution No. 1332.A dated August 16,
2018, the MB directed the Philippine Deposit Insurance Corporation
(PDIC) as Receiver to proceed with the takeover and liquidation of
the bank. PDIC took over the bank on August 17, 2018.

Rural Bank of Luna is a five-unit rural bank with Head Office
located in San Isidro Norte, Luna, Apayao. Its four branches are
Abulug, Alcala, Allacapan and Buguey, all in Cagayan, Cagayan
Valley.

Latest available records show that as of June 30, 2018, Rural Bank
of Luna had 10,090 deposit accounts with total deposit liabilities
of PHP213.13 million. Total insured deposits amounted to PHP185.06
million equivalent to 86.8% of total deposits.

PDIC assured depositors that all valid deposits and claims shall
be paid up to the maximum deposit insurance coverage of
PHP500,000. Individual depositors with valid deposit accounts with
balances of PHP100,000 and below shall be eligible for early
payment and need not file deposit insurance claims, provided they
have no outstanding obligations with Rural Bank of Luna or have
not acted as co-makers of these obligations. These individual
depositors must ensure that they have complete and updated
addresses with the bank. They may update their addresses until
September 4, 2018 using the Mailing Address Update Forms to be
distributed by PDIC representatives at the bank premises.

For business entities and all other depositors who are required to
file claims for deposit insurance, the schedule for filing of
claims will be announced as soon as possible through posters in
the bank premises and in other public places, the PDIC
website,www.pdic.gov.ph, and PDIC's official Facebook account.

PDIC also reminded borrowers to continue paying their loan
obligations with the closed Rural Bank of Luna and to transact
only with designated PDIC representatives at the bank premises.

For more information on the requirements and procedures for filing
claims for deposit insurance and settlement of loan obligations,
all depositors and borrowers of the bank are enjoined to attend
the Depositors-Borrowers' Forum which will be held in venues near
the premises of the bank on August 29 to 31, 2018. Details will be
posted in the bank premises and in other public places.

Depositors and borrowers may communicate with PDIC Public
Assistance personnel stationed at the bank premises or call the
PDIC Public Assistance Hotlines at (02) 841-4630 to (02) 841-4631
or the Toll Free Hotline at 1-800-1-888-PDIC (7342) for those
outside Metro Manila. Inquiries may also be sent by e-mail to
pad@pdic.gov.ph or via private message to the official PDIC
Facebook account www.facebook.com/OfficialPDIC.




                             *********

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

Copyright 2018.  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.



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