TCRAP_Public/181109.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

           Friday, November 9, 2018, Vol. 21, No. 223

                            Headlines


A U S T R A L I A

AUSDRILL LIMITED: Moody's Hikes CFR to Ba2, Outlook Stable
AVERM PTY: Second Creditors' Meeting Set for Nov. 16
BARMINCO FINANCE: Moody's Hikes Rating on Sec. Notes to Ba3
C2 (MELBOURNE): Second Creditors' Meeting Set for Nov. 19
ENGINEERING STRUCTURE: First Creditors' Meeting Set for Nov. 16

FOODORA AUSTRALIA: Owes Workers AUD5.5MM in Wages, Superannuation
FOODORA AUSTRALIA: Second Creditors' Meeting Set for Nov. 16
K C S AGENCIES: First Creditors' Meeting Set for Nov. 19
NEOLIDO HOLDINGS: Liquidator Committed on Fraud Charges
PROJECT SUNSHINE III: S&P Alters Outlook to Neg. & Affirms B ICR

SINEC PTY: First Creditors' Meeting Set for Nov. 16


C H I N A

CHINA ORIENTAL: Fitch Withdraws BB LT IDR for Commercial Reasons
EHI CAR: Fitch's B+ IDR on Watch Neg. as Bond Maturity Looms
JUYANG GROUP: Fitch Withdraws B LT IDR Due to Lack of Information
OCEANWIDE HOLDINGS: Fitch Rates USD215 Million Sr. Notes B-
REDSUN PROPERTIES: S&P Assigns 'B' Long-Term ICR, Outlook Stable

YANGCHEN ORIENTAL: Fitch Lowers LT IDR to BB-, Outlook Stable


I N D I A

8K MILES: CARE Lowers Rating on INR25cr Term Loan to D
ANIL CONSTRUCTION: CRISIL Assigns B+ Rating to INR3.5cr Loan
ARIKKAT TRADES: CRISIL Migrates B+ Rating to Not Cooperating
ATHAVAN PAPER: CRISIL Assigns 'B' Rating to INR4.5cr LT Loan
BASSAIYA STEEL: CARE Maintains B Rating in Non-Cooperating

DALAS BIOTECH: CRISIL Hikes Rating on INR20cr Cash Loan to B
EXODUS FUTURA: CRISIL Migrates B+ Rating to Non-Cooperating
INNOVATIVE TECHNOLOGIES: CRISIL Rates INR13.5cr Cash Loan 'B+'
JPM EXPORTS: CARE Lowers Rating on INR50cr Loans to D
K.N. SRINIVASA: CRISIL Migrates B Rating From Not Cooperating

KHATKAR CONSTRUCTION: CRISIL Assigns B+ Rating to INR5cr Loan
MANGALAM ISPAT: CARE Assigns B+ Rating to INR11cr LT Loan
NAFREF ENGINEERS: CRISIL Lowers Rating on INR3.5cr Loan to D
PANDIYA AGRI: CRISIL Assigns B+ Rating to INR2.50cr Cash Loan
POOJA SPONGE: CRISIL Migrates D Rating to Non-Cooperating

RAJESH CONSTRUCTION: CRISIL Assigns B+ Rating to INR3.0cr Loan
RITISHA OILS: CRISIL Lowers Rating on INR10cr Cash Loan to D
S.K. COLD: CRISIL Assigns B+ Rating to INR5cr Cash Loan
SALAS PHARMACEUTICALS: CARE Cuts Rating on INR9.44cr Loan to B+
STANFORD EDUCATION: CARE Assigns B Rating to INR11.25cr Loan

TALAKSHI LALJI: CRISIL Suspends B+ Rating on INR7cr Packing Loan
TECH INDIA: CRISIL Assigns 'B' Rating to INR2.5cr LT Loan
V R CONSTRUCTIONS: CRISIL Migrates B+ Rating to Non-Cooperating
VAISHNAVI INFRACON: CRISIL Migrates B Rating to Non-Cooperating
VERTICE GLOBAL: CRISIL Migrates B- Rating to Not Cooperating

VISHNUSHIVA INFRASTRUCTURES: CRISIL Moves B+ to Non-Cooperating
YANTRA ESOLAR: CARE Lowers Rating on INR19.81cr LT Loan to B


J A P A N

TOSHIBA CORP: To Shed Assets, Cut 7,000 Jobs Over 5 Years


M O N G O L I A

DEVELOPMENT BANK: Moody's Affirms B3 Long-Term Issuer Rating


N E W  Z E A L A N D

EBERT CONSTRUCTION: Subcontractors May be Denied NZ$170,000


S I N G A P O R E

PUMA ENERGY: Moody's Revises Outlook on Ba2 CFR to Negative


S O U T H  K O R E A

GM KOREA: KDB to Seek 3-Way Talks, Union Over Spin-Off Plan


                            - - - - -


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


AUSDRILL LIMITED: Moody's Hikes CFR to Ba2, Outlook Stable
----------------------------------------------------------
Moody's Investors Service has upgraded the corporate family
rating of Ausdrill Limited to Ba2 from Ba3. Moody's has also
upgraded the rating on the senior unsecured notes issued by
Ausdrill Finance Pty Ltd and guaranteed by Ausdrill to Ba2 from
Ba3. The rating outlook is stable. Moody's rating action
concludes its review of Ausdrill's rating that was initiated on
August 15, 2018, when Ausdrill announced the acquisition of
Barminco Holdings Pty Ltd.

The upgrades follow Ausdrill's completion of the acquisition on
November 1, 2018.

RATINGS RATIONALE

"The rating upgrades reflect Ausdrill's significantly improved
credit profile as a result of the acquisition and its debt
reduction plans," says Shawn Xiong, a Moody's Analyst.

"The acquisition has strengthened Ausdrill's business profile in
terms of increased scale, product offerings, as well as
geographic diversity," adds Xiong.

Ausdrill has acquired Barminco for a total consideration of
around AUD697 million -- around AUD246 million of which funded by
issuance of shares to existing Barminco shareholders, and AUD25.4
million funded out of Ausdrill's existing cash balance. Ausdrill
will assume around AUD425.5 million of net debt from Barminco.
Barminco's USD350 million senior secured notes due May 2022 will
remain in place.

Ausdrill will pay down its USD300 million (AUD420 million) senior
unsecured notes due in November 2019, using the proceeds from its
AUD250 million equity raising, and with a revolving credit
facility drawdown of AUD200 million.

Ausdrill generated AUD887 million in revenue and AUD177 million
in reported EBITDA for the fiscal year ended June 30, 2018
(fiscal 2018). The company's Moody's-adjusted debt/EBITDA was
around 2.7x for fiscal 2018, improved from around 2.8x for fiscal
2017. Following the successful completion of the acquisition and
debt reduction, Moody's expects Ausdrill's financial leverage to
improve further to around 1.8x-2.0x for fiscal 2019.

WHAT COULD CHANGE THE RATING

Ausdrill's ratings are unlikely to be upgraded in the near
future, given the relatively small scale of the company and its
exposure to the volatile minerals industry.

Nevertheless, Ausdrill's CFR could experience positive rating
momentum if the company continues to grow its scale, product
offerings and maintain a track record of strong cash flow
generation and improved earnings, such that adjusted debt/EBITDA
is sutained below 1.5x.

Ausdrill's ratings could come under downward pressure if the
company fails to renew material contracts or win new contracts,
or if operating conditions deteriorate significantly, despite
Moody's expectations of stable conditions, and if adjusted
debt/EBITDA exceeds 2.5x.

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


AVERM PTY: Second Creditors' Meeting Set for Nov. 16
----------------------------------------------------
A second meeting of creditors in the proceedings of Averm Pty Ltd
has been set for Nov. 16, 2018, at 10:30 a.m. at 463 Scarborough
Beach Road, in Osborne Park, WA, on Nov. 16, 2018, at 10:30 a.m.

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 Nov. 15, 2018, at 5:00 p.m.

Simon Roger Coad of Ticcidew Insolvency was appointed as
administrator of Averm Pty on Oct. 12, 2018.


BARMINCO FINANCE: Moody's Hikes Rating on Sec. Notes to Ba3
-----------------------------------------------------------
Moody's Investors Service has upgraded Barminco Finance Pty Ltd's
senior secured notes to Ba3 from B1 and the senior secured rating
on its revolving credit facility to Ba2 from Ba3. The ratings
outlook is stable.

Moody's rating action concludes its review of Barminco Finance's
ratings that was initiated on August 15, 2018 when Ausdrill
Limited's acquisition of Barminco Holdings Pty Limited was
announced. Barminco Finance Pty Ltd is a wholly owned subsidiary
of Barminco Holdings Pty Limited. The upgrades follow Ausdrill's
completion of the acquisition on November 1, 2018.

RATINGS RATIONALE

"The rating upgrades reflect the strategic importance of Barminco
in the new Ausdrill group, and Barminco's enhanced access to
funding," says Shawn Xiong, a Moody's Analyst.

"Moody's also expects Ausdrill to provide operational and
financial support to Barminco in times of need" adds Xiong.

Ausdrill has acquired all of the equity and equity-like
instruments in Barminco in exchange for 150.7 million fully-paid
ordinary ex-dividend Ausdrill shares and AUD25.4 million in cash,
which equates to a total enterprise value of AUD697 million.

Following the completion of the acquisition, Barminco's USD350
million senior secured notes maturing in May 2022, as well as its
senior secured revolving credit facility - which remained largely
undrawn at June 30, 2018 - will be left in place as they are.
Barminco and its subsidiaries will remain a ring-fenced group
under the ownership of Ausdrill and will continue to have access
to its 50% share of earnings from African Underground Mining
Services (AUMS), a previous joint venture with Ausdrill.

Moody's expects Barminco will benefit from being part of the
combined group, which is larger in scale as well as more diverse
in its product offering and earnings profile.

Additionally, Barminco had a solid operating performance for
fiscal 2018 (the year ended June 30, 2018) on a standalone basis,
reporting revenue of AUD586 million and trading EBITDA of around
AUD117 million. Barminco's Moody's-adjusted debt/EBITDA was
estimated to register around 3.7x for fiscal 2018.

WHAT COULD CHANGE THE RATING

Barminco's ratings could experience positive momentum if the
company continues to maintain a track record of strong cash flow
generation and improved earnings, such that adjusted debt/EBITDA
is sustained below 3.5x on a standalone basis. Barminco's ratings
factor in operational and financial support from its parent
group, Ausdrill, so a material improvement in Ausdrill's credit
profile could also benefit Barminco's ratings.

Barminco's ratings could come under downward pressure if the
company fails to renew material contracts or win new contracts,
or if operating conditions deteriorate significantly, despite
Moody's expectation of stable conditions, and if adjusted
debt/EBITDA exceeds 4.25x. Additionally, a material reduction in
parental support from Ausdrill or a deteoriation in Ausdrill's
credit profile will also likely lead to a ratings downgrade.

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

Barminco Finance Pty Ltd is a wholly-owned subisidiary of
Barminco Holdings Pty Limited.

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

List of Affected Ratings:

Issuer: Barminco Holdings Pty Limited

  Corporate Family Rating, Withdrawn, previously rated B1

  Outlook, Changed to Withdrawn from Rating Under Review

Issuer: Barminco Finance Pty Ltd

  Senior Secured Bank Credit Facility (Local Currency), Upgraded
  to Ba2 from Ba3

  Senior Secured Regular Bond/Debenture (Foreign Currency),
  Upgraded to Ba3 from B1

  Outlook, Changed to Stable from Rating Under Review


C2 (MELBOURNE): Second Creditors' Meeting Set for Nov. 19
---------------------------------------------------------
A second meeting of creditors in the proceedings of C2
(Melbourne) Pty Limited has been set for Nov. 19, 2018, at 11:00
a.m. at Level 3, 326 William Street, Victoria.

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 Nov. 16, 2018, at 4:00 p.m.

Brent Leigh Morgan and Neil Stewart McLean of Rodgers Reidy were
appointed as administrators of C2 (MELBOURNE) on Sept. 14, 2018.


ENGINEERING STRUCTURE: First Creditors' Meeting Set for Nov. 16
---------------------------------------------------------------
A first meeting of the creditors in the proceedings of
Engineering Structure Retention Pty Ltd will be held at Chartered
Accountants Australia and New Zealand, at Level 18 Bourke Place,
600 Bourke Street, in Melbourne, Victoria, on Nov. 16, 2018, at
10:30 a.m.

Mathew Terence Gollant -- mathew@courtneyjones.com.au -- of
Courtney Jones & Associates was appointed as administrator of
Engineering Structure on Nov. 8, 2018.


FOODORA AUSTRALIA: Owes Workers AUD5.5MM in Wages, Superannuation
-----------------------------------------------------------------
Ewin Hannan at The Australian reports that administrators for
food delivery company, Foodora, have found the company
misclassified its casual workers as independent contractors and
owes more than AUD8 million in wages, superannuation and tax.

But taxpayers could be left with a substantial bill after
Foodora's parent company, the German-based Delivery Hero, said it
would pay just AUD3 million to cover its Australian debts,
despite forecasting revenues of AUD1.2 billion on Nov. 7, The
Australian relates.

In what unions described as a "world first", Worrells Solvency
and Forensic Accountants said they had "now reached the position
that . . . it is more likely than not that the majority of the
delivery riders and drivers should have been classified as at
least casual employees of the company rather than independent
contractors," according to the report.

The Australian relates that the administrators estimated the
workers area owed up to AUD5.54 million and taxpayers might have
to foot the bill by paying out more than AUD1.5 million in owed
wages through the Government's Fair Entitlements Guarantee
scheme.

"We have assumed the FEG may pay out 30 per cent of the total
quantum of the casual underpaid wages calculation, being an
amount of AUD1,577,006 in line with our investigations to date,"
the administrators' report said, The Australian relays.

According to The Australian, the administrators reported that the
Australian Taxation Office estimates it is owed AUD2.138 million,
Revenue NSW is owed AUD558,074, and revenue agencies in Victoria
and Queensland will make claims totalling AUD400,000.

Foodora announced in August it was pulling out of Australia and
subsequently appointed external administrators.

Foodora said it operated on the basis the majority of its riders
and drivers were contractors. But legal advice supporting the
position has not been provided to the administrators.

The Australian adds Transport Workers Union national secretary
Michael Kaine said the administrators' finding that the workers
had been misclassified was "an important day for workers not just
in Australia but worldwide".


FOODORA AUSTRALIA: Second Creditors' Meeting Set for Nov. 16
------------------------------------------------------------
A second meeting of creditors in the proceedings of Foodora
Australia Pty Ltd has been set for Nov. 16, 2018, at 11:00 a.m.
at the offices of Worrells Solvency & Forensic Accountants at
Suite 1, Level 15, 9 Castlereagh 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 Nov. 15, 2018, at 5:00 p.m.

Simon Cathro and Ivan Glavas of Worrells Solvency were appointed
as administrators of Foodora Australia on Aug. 17, 2018.


K C S AGENCIES: First Creditors' Meeting Set for Nov. 19
--------------------------------------------------------
A first meeting of the creditors in the proceedings of K C S
Agencies Pty Ltd will be held at the offices of McLeod & Partners
Level 9, 300 Adelaide Street, in Brisbane, Queensland, on
Nov. 19, 2018, at 10:00 a.m.

Bill Karageozis and Jonathan McLeod of McLeod & Partners were
appointed as administrators of K C S Agencies on Nov. 7, 2018.


NEOLIDO HOLDINGS: Liquidator Committed on Fraud Charges
-------------------------------------------------------
David John Leigh, 56, of Sherwood, Queensland, has been committed
by the Brisbane Magistrates' Court on fraud charges and will be
sentenced by the Brisbane District Court following an
investigation by the Australian Securities and Investments
Commission.

ASIC alleges that between July 25, 2017 and Nov. 9, 2017,
Mr. Leigh, as the co-liquidator of Neolido Holdings Pty Ltd,
dishonestly redirected AUD800,000 from the Neolido external
administration bank account into a bank account that he
controlled. Mr Leigh then used the funds for his own purposes.

Mr. Leigh, after formally entering a plea of guilty, was
committed for sentence before the Brisbane District Court on a
date to be fixed in relation to three counts of fraud under
section 408C(1)(D) of the Criminal Code 1899 (Qld).

Under section 408C(2A) of the Criminal Code 1899 (Qld), the
maximum penalty for an offence of fraud is 20 years' imprisonment
where the property value is at least AUD100,000.

The matter is being prosecuted by the Commonwealth Director of
Public Prosecutions.

Neolido Holdings Pty Ltd was a property development company based
in South Brisbane that was wound up on Nov. 25, 2005 pursuant to
a court order obtained by ASIC. On Oct. 14, 2010, Mr Leigh, who
was then a partner of PPB Advisory, was appointed as a co-
liquidator of the company.

On March 2, 2018, ASIC suspended Mr. Leigh's registration as a
company liquidator following receipt of an application by him,
formally lodged on Feb. 28, 2018. Mr. Leigh agreed to resign as
external administrator of all his current appointments and ASIC
exercised its powers to appoint replacement liquidators to 16
companies to which Mr. Leigh had been appointed as sole
liquidator.

On March 20, 2018, Mr Andrew Fielding and Ms. Helen Newman of BDO
Business Restructuring were appointed as co-liquidators of
Neolido.


PROJECT SUNSHINE III: S&P Alters Outlook to Neg. & Affirms B ICR
----------------------------------------------------------------
S&P Global Ratings revised its rating outlook to negative from
stable on Project Sunshine III Pty Ltd. S&P also affirmed the
long-term issuer credit rating on the company at 'B'.

At the same time, S&P affirmed its issue ratings on the company's
US$250 million term loan B (TLB) at 'B' and the recovery rating
at '4'.

Project Sunshine III Pty Ltd. is the holding company of Project
Sunshine IV Pty Ltd. and Sensis Pty Ltd., an Australia-based
publisher of print and digital directories.

S&P said, "We revised the outlook to negative to reflect our view
of the increased uncertainty over Project Sunshine's ability to
stabilize the structural decline of its core business.

"Project Sunshine faces significant and persistent structural
pressures in its core print directory business along with growing
digital competition, which we believe will continue through the
year ending June 30, 2019. In our opinion, the company's minimal
capital expenditure investment, in light of these difficult
trading conditions, indicate that a turnaround is unlikely.
Significant cost restructuring in recent years has enabled
margins to remain relatively stable. However, we believe the risk
that cost restructuring cannot keep pace with revenue declines
has increased.

"In our opinion, the advertising agreement between Telstra Corp.
Ltd. and Yellow Pages that is now negotiated annually, and the
escalating competition in print, have the potential to hasten
Project Sunshine's structural decline. In addition, we expect
Sensis' enforceable undertaking in May 2017, instigated by the
Australian Competition and Consumer Commission with regard to
automatic renewal and cancellation processes, to increase
customer churn.

"Underpinning the financial risk assessment on Project Sunshine
is the group's financial sponsor 70% ownership by Platinum
Equity. In our view, the financial sponsor owners will continue
to maximize cash generation given the structural decline, without
reinvesting these cash flows in new revenue streams, in line with
our rating expectations. Tempering this risk slightly is the
presence of a large minority shareholder, Telstra, which has a
30% share in the business, and our view that the group will
maintain adequate liquidity.

"We assume the group will apply the majority of free cash flow to
reduce debt and distribute shareholder returns, rather than
investing in new revenue streams. The company's use of free cash
flow to reduce debt under the cash sweep mechanism should offset
the likely reduction in EBITDA. As a result, we expect the group
to maintain relatively stable credit measures over the next two
years. We note, however, that the trailing debt-to-EBITDA
measures can materially understate financial leverage in a
structurally declining industry.

"The negative outlook reflects the challenging operating
conditions and increased uncertainty regarding Project Sunshine's
ability to maintain earnings stability in its structurally
declining business. Our base-case forecast assumes that the
company will continue to manage the revenue decline and
substantially achieve its targeted cost savings over fiscal 2019.
The negative outlook acknowledges the execution risks associated
with stabilizing revenue declines and maintaining EBITDA margins
such that the company can meet its debt servicing commitments.

"We could lower the rating if an acceleration of revenue decline
or an increased erosion of EBITDA margin lengthens the likely
payback period of the debt facilities from internally generated
cash flow. This could occur if we expect the debt-to-EBITDA ratio
to deteriorate toward 2.0x.

"We could also lower the rating if the structural deterioration
in earnings is greater than we expect, resulting in a rapid
tightening of the group's covenant headroom and heightening
liquidity pressures on the group."

The current rating does not anticipate any further
recapitalization. In the absence of significantly stabilized
internally generated cash flow, any such activity is likely to
create downward pressure on the rating.

A return to a stable outlook would be reliant on the company
stabilizing earnings, substantially executing targeted cost
savings, and maintaining margins such that the company can
sustainably generate positive free cash flow sufficient to pay
down debt facilities.


SINEC PTY: First Creditors' Meeting Set for Nov. 16
---------------------------------------------------
A first meeting of the creditors in the proceedings of Sinec Pty
Ltd, trading as "Westrucks" and "Westrucks Bodybuilders" will be
held at the offices of Cor Cordis, One Wharf Lane, Level 20, 171
Sussex Street, in Sydney, NSW, on Nov. 16, 2018, at 11:00 a.m.

Alan Walker and Andre Lakomy of Cor Cordis were appointed as
administrators of Sinec Pty Ltd on Nov. 6, 2018.



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


CHINA ORIENTAL: Fitch Withdraws BB LT IDR for Commercial Reasons
----------------------------------------------------------------
Fitch Ratings has affirmed China steel producer China Oriental
Group Company Limited's Long-Term Foreign-Currency Issuer Default
Rating and senior unsecured rating at 'BB'. The Outlook is
Stable.  At the same time, Fitch has chosen to withdraw the
rating of COG for commercial reasons.

KEY RATING DRIVERS

The ratings reflect COG's solid financial profile, driven by
strong free cash flow generation from its core steelmaking
business, which Fitch expects to continue with support from a
favourable domestic operating environment and COG's prudent
financial policies. The ratings are constrained by COG's
concentration in China's Hebei province, which is a focal point
for policymakers in terms of capacity shutdown and production
curtailment. Fitch believes this increases the likelihood of
policy-driven disruption to COG's steelmaking business and higher
spending on environmental-related equipment and upgrades.

DERIVATION SUMMARY

COG has a smaller size and slightly lower profitability than
Indian steelmakers, JSW Steel Limited (JSWS, BB/Stable) and Tata
Steel Limited (TSL, BB/Rating Watch Evolving, standalone: BB-),
as the Indian steelmakers have lower input and production costs
as well as iron ore self-sufficiency. COG's financial are
stronger than those of JSWS and TSL, as reflected in its strong
net cash position, whereas JSWS and TSL have net leverage of
around 4.0x-5.0x. COG's financial metrics are overall much better
than those of 'BB' and 'B' rated peers, and comparable with some
investment-grade steel producers.

KEY ASSUMPTIONS

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

  - Capex of CNY2 billion per year between 2018 and 2020.

  - Dividend pay-out of 40% per year between 2018 and 2020.

  - Fitch iron ore price forecast of USD60 per tonne in 2018
    and USD55 per tonne in 2019 and 2020.

  - Fitch hard coking coal price forecast of AUD185 per tonne in
    2018 and AUD140 per tonne in 2019 and 2020.


RATING SENSITIVITIES

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: COG has around CNY5.6 billion in cash and
cash equivalents and around CNY1.7 billion in total debt at end-
1H18. It also has CNY5.0 billion in unutilised banking
facilities.

RATING WITHDRAWALS

The ratings were withdrawn for commercial purposes.


EHI CAR: Fitch's B+ IDR on Watch Neg. as Bond Maturity Looms
------------------------------------------------------------
Fitch Ratings has placed eHi Car Services Limited's 'B+' Long-
Term Issuer Default Rating (IDR) and 'B+' senior unsecured rating
on Rating Watch Negative (RWN) to reflect the uncertainty of the
company's plans to refinance or repay its USD200 million bonds
maturing in December 2018.

eHi's ratings reflect the company's leverage and market position
as well as uncertainty about the industry's regulatory
environment.

KEY RATING DRIVERS

Refinancing Needs: eHi's USD200 million senior notes will mature
in December 2018 and need to be refinanced, as current cash on
hand is insufficient to repay the maturing bond. The company is
arranging a syndicated facility to refinance the maturing bond
and aims to complete the process by late November 2018.

Capex Drives Leverage: eHi's leverage has risen sharply in the
previous two years due to ongoing capital expenditure for
vehicle-fleet expansion. Its FFO adjusted net leverage rose to
4.3x in 2017, from 3.4x in 2016 and 0.8x in 2015. The company is
exploring options for reducing its cash outlay for vehicle
purchases, but Fitch believes deleveraging is not probable in the
next few years as eHi has to balance its financial metrics
against the need to maintain market share in a fast-growing
market.

Competitive Pressure, Regulatory Risk: China's car rental and
services market continues to change rapidly. eHi faces fierce
competition from peers, which may pressure profitability. China's
regulatory framework is also evolving and some changes may
adversely affect eHi's operations.

Potential Privatisation: eHi previously announced a potential
privatisation plan from a consortium formed by the chairman,
current shareholder, Crawford/Enterprise Rent-a-Car, and MBK
Partners, a private equity firm. A rival consortium backed by
Ctrip.com International, Ltd. tabled an alternative non-binding
takeover offer. The proposed privatisation led by the chairman's
group has been delayed and there is no clarity on the timing or
likelihood of the completion of the privatisation process. The
plan, if it proceeds, is likely to raise eHi's net leverage, but
Fitch expects the measure to stay within its negative triggers
under its base-case forecasts.

DERIVATION SUMMARY

eHi has a smaller operating scale and weaker financial profile
compared with other Fitch-rated car-rental operators, such as
Localiza Rent a Car S.A. (BB/Stable). No Country Ceiling, parent
and subsidiary or operating environment aspects affect the
rating.

KEY ASSUMPTIONS

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

Fitch's assumptions are dependent on the outcome of eHi's effort
in securing refinancing for the USD200 million bond due December
2018. Should the refinancing be unsuccessful, Fitch would
consider new assumptions.

  -- Net addition of 10,300 vehicles in 2018 and 2019
     (2017: 8,000)

  -- Stable average daily net revenue per available car

  -- EBITDA margin of 46%-48% in 2018-2021 (2017: 46%)

  -- Proposed privatisation not included in base-case assumptions

RATING SENSITIVITIES

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

  -- The Rating Watch Negative will be resolved pending the
     successful refinancing of eHi's USD200 million bond due
     December 2018.

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

  -- The ratings may be downgraded if eHi has not made meaningful
     progress towards refinancing the bond in one to two weeks.

LIQUIDITY AND DEBT STRUCTURE

Refinancing Needed: eHi's USD200 million senior notes will mature
in December 2018 and need to be refinanced, as current cash on
hand is insufficient for repayment.


JUYANG GROUP: Fitch Withdraws B LT IDR Due to Lack of Information
-----------------------------------------------------------------
Fitch has withdrawn Si Chuan Province JuYang Group Limited's
Long-Term Issuer Default Rating of 'B' with a Stable Outlook and
senior unsecured rating of 'B' with a Recovery Rating of 'RR4'.

KEY RATING DRIVERS

Fitch is withdrawing the ratings without affirmation as JuYang
has chosen to stop participating in the rating process.
Therefore, Fitch will no longer have sufficient information to
maintain the ratings. Accordingly, Fitch will no longer provide
ratings or analytical coverage for JuYang.

DERIVATION SUMMARY

Not applicable

KEY ASSUMPTIONS

Not applicable


RATING SENSITIVITIES

Rating sensitivities are not applicable as the ratings have been
withdrawn

LIQUIDITY

Not applicable


OCEANWIDE HOLDINGS: Fitch Rates USD215 Million Sr. Notes B-
-----------------------------------------------------------
Fitch Ratings has assigned China-based homebuilder Oceanwide
Holdings Co. Ltd.'s (B-/Stable) USD215 million 12% senior notes a
final rating of 'B-' and a Recovery Rating of 'RR4'.

The notes are issued by Oceanwide Holdings International
Development III Co., Ltd, Oceanwide's wholly owned subsidiary,
and are guaranteed by Oceanwide. The notes are rated at the same
level as Oceanwide's senior unsecured rating as they represent
the company's direct and senior unsecured obligations. The
assignment of the final rating follows the receipt of documents
conforming to information already received. The final rating is
in line with the expected rating assigned on October 29, 2018.

Oceanwide's ratings are constrained by its high leverage,
measured by net debt/adjusted inventory including available-for-
sale financial assets (AFS) and financial institution (FI)
investments, of 78.6% at end-2017. Fitch believes it will be
sustained above 70% as the small reduction of its net debt in the
first eight months of 2018 will not materially reduce its
leverage and its sales collection pace continues to be
constrained by China's restrictive policies.

Oceanwide's high leverage is partly offset by the improving
performance of its finance business that had an EBITDA of CNY3.1
billion in 2017, up from CNY1.1 billion in 2016. The growth
continued in 1H18 as the segment's gross profit rose by an
additional CNY250 million from 1H17. The improvement has
strengthened its non-development property EBITDA/interest paid
ratio to 0.4x in 2017 from 0.2x in 2016, which provides some
buffer in servicing its debt. Peers that have similar levels of
interest cover and reasonable leverage levels are rated 'B' or
above.

KEY RATING DRIVERS

Leverage Stays High: Oceanwide's leverage is one of the highest
among 'B' rated Chinese homebuilders. The company's weak credit
metrics are due to its investments in its FI subsidiaries and its
larger exposure to commercial-development properties that have a
longer cash-collection cycle. Fitch believes Oceanwide's leverage
will continue to rise over the next two years without equity
funding because of continued development expenditure for the 2.5
million sq m gross floor area of projects under construction, as
well as its high interest and tax burden that will amount to
CNY12 billion-15 billion a year in the next three years.

Slow Sales to Bottom: Fitch expects Oceanwide's sales efficiency,
measured by contracted sales to net debt excluding FIs, to remain
below 0.25x until 2019, longer than previously expected. The
stringent home-purchase policies and housing-price controls in
its key markets of Beijing and Shanghai have delayed sales in
these cities. As a result, Oceanwide's property sales more than
halved in 2017 from 2016 and Fitch estimates its contracted sales
to net debt ratio declined to 0.05x in 2017 from 0.16x in 2016.
Fitch believes Oceanwide's sales bottomed in 2017, albeit at a
very low level of under CNY6 billion.

Sales in 2018 year-to-date have exceeded 2017 levels, supported
by its projects in Shanghai, and management believes it can
generate CNY15 billion in sales for the year. Property sales in
2019 will rise further to CNY18 billion with contributions from
its US projects. Fitch believes Oceanwide's sales plan is
achievable but the sales-collection pace for its projects in
Shanghai and Beijing is less predictable. A slow cash collection
will continue to put pressure on its weak liquidity and high
leverage.

High Funding Pressure: Oceanwide had available cash at end-2017
of CNY9.6 billion, including CNY4.6 billion of cash in its FI
subsidiaries. This is inadequate to cover its large short-term
debt balance of CNY47.6 billion and its expectation of negative
free cash flow of CNY9 billion in 2018. The company's liquidity
position did not improve at end-1H18, when total cash was at
CNY16.8 billion, down from CNY19.3 billion at end-2017, while
short-term debt increased to CNY60.4 billion.

Growing Finance Businesses: Oceanwide's FI segment EBITDA
increase provides growing non-property development cash flow to
service its rising debt. The low net debt of its FI segment of
CNY1 billion at end-2017, unchanged from 2016, means Oceanwide
can comfortably upstream dividends from these businesses without
impairing their capital base. This is demonstrated by the
increase in shareholders' equity of the FI subsidiaries
attributable to Oceanwide to CNY25 billion by end-2017 from
CNY23.4 billion a year earlier.

Asset Base Supports Funding Access: Fitch believes Oceanwide
still has borrowing capacity, although its unencumbered assets of
CNY42 billion in 1H18 were lower than the CNY49 billion at end-
2017 mainly because more of its development properties have been
pledged. The company has pledged property and financial assets of
CNY95 billion as well as shares of its FI subsidiaries for CNY69
billion in secured debt.

DERIVATION SUMMARY

Oceanwide's rating is severely constrained by its ratio of
contracted sales to net debt excluding FIs of below 0.25x, which
is much weaker than the contracted sales/gross debt of all rated
homebuilders. Its poor cash generation has resulted in constantly
rising leverage, which reached 78.6% in 2017, making it the
highest leveraged among 'B' category peers.

Oceanwide's poor credit metrics are partly due to larger exposure
to commercial-development properties that have a longer cash-
collection cycle. Its slow-churn business model, however, means
that its land bank is much older and substantially undervalued
compared with those of fast-churn homebuilders. This also means
Oceanwide has one of the highest EBITDA margins among the 21
Fitch-rated peers in the 'B' category. Its margin is only
exceeded by that of LVGEM (China) Real Estate Investment Company
Limited (B/Stable) and China South City Holdings Limited
(B/Stable).

Oceanwide also has one of the strongest business profiles among
'B' category peers due to its diversification into a wide array
of finance businesses. Its non-property development EBITDA covers
0.4x of interest expenses, which supports its debt servicing.
Peers that have similar levels of interest coverage are rated 'B'
or above.

KEY ASSUMPTIONS

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

  - New land acquisitions limited to 0.5x of contracted sales'
    gross floor area

  - Contracted sales of CNY17 billion in 2018 and increases of
    25% per year thereafter

  - Property development EBITDA margin of 25%-40% in 2018-2020

  - Stable performance of finance segment

RATING SENSITIVITIES

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

  - Net debt/adjusted inventory including AFS and FI investment
    sustained below 70% (78.6% at end-2017)

  - Consolidated EBITDA margin sustained above 35% (27% in 2017)

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

  - Further weakening of Oceanwide's liquidity position

  - Non-property development EBITDA/interest paid sustained below
    0.25x (0.4x in 2017)

LIQUIDITY AND DEBT STRUCTURE

Refinancing Plan in Place: Oceanwide has secured new banking
facilities and raised funds through the sale of its development
properties and investment assets to supplement its liquidity
position. Selling stakes in its projects and subsidiaries to
strategic partners are also options being explored. The company
estimated it will be able to raise just under CNY40 billion in
2H18. Furthermore, CNY32 billion of its short-term debt at end-
1H18 was secured borrowings and Oceanwide can negotiate for a
rollover. Fitch believes Oceanwide had unencumbered assets of
CNY42 billion that can be collateralised to raise additional
secured borrowings.


REDSUN PROPERTIES: S&P Assigns 'B' Long-Term ICR, Outlook Stable
----------------------------------------------------------------
S&P Global Ratings assigned its 'B' long-term issuer credit
rating to Redsun Properties Group Ltd. The outlook is stable.

Hong Kong-listed Redsun is the sole platform for China-based Hong
Yang Group Ltd.'s property development business.

The rating reflects S&P's assessment that Redsun is a core
subsidiary of Hong Yang Group Co. Ltd. (B/Stable/--). Redsun is
the dominant contributor to the parent's core business. The
company is the sole platform for the group's property development
business, which S&P believes will remain the group's primary and
most important business segment in the next three years.
Therefore, the rating on Redsun will move in tandem with that on
Hong Yang.

Redsun's stand-alone credit profile (SACP) of 'b' reflects the
company's small operational scale and high geographical
concentration. It strong market position in Jiangsu province and
well-managed leverage during its current expansion phase temper
these weaknesses. Redsun contributes around 90% of Hong Yang's
revenue and EBITDA, and accounts for over 70% of the group's
total assets and debt. Redsun's leverage is moderately lower than
that of the group because a part of its equity is funded by debt
at the group level, and because of additional equity raised from
its recent IPO.

Redsun's July 2018 IPO in Hong Kong underscores the company's
importance within the group. In the listing process, Hong Yang
transferred the entire ownership of its domestic property
development platform Nanjing Red Sun Real Estate Development Co.
Ltd. to Redsun, such that Redsun will undertake all of the
group's property development business. Hong Yang's commercial
property business specializing in building material centers and
home refurbishing depots, as well as its property management
business remain under other group subsidiaries. Following the
IPO, Redsun is the sole listing platform and 72.3%-owned by the
group. S&P also believes Redsun's IPO has improved the company's
access to financing channels and its governance.

S&P said, "Our view of Redsun's business position mirrors that of
Hong Yang's. We expect Redsun to continue its fast scale
expansion in 2018 by entering into new geographical regions and
seeking joint venture (JV) cooperation. We expect the company's
attributable sales for 2018 to grow over 50% from 2017 to around
Chinese renminbi (RMB) 18 billion, supported by the visibility on
its launch plan. We also believe Redsun's reliance on its home
market of Nanjing will continue to decrease, with the city likely
generating less than 40% of sales in 2018, compared to nearly 65%
in 2016."

Redsun will likely maintain significant exposure to JVs. The
company intends to maintain an attributable ratio of about 50% of
its contracted sales. Most of Redsun's JV partners are well-
known, large-scale national developers such as Longfor Properties
Co. Ltd., Greenland Holding Group Co. Ltd., and Future Land
Development Holdings Ltd. These companies have solid development
capabilities and financing resources, which partly offset the
execution risks associated with off-balance-sheet projects, in
S&P's view.

S&P said, "We estimate that Redsun's leverage will stay at about
7x in 2018-2019, which is moderately lower than that of Hong
Yang. We define leverage as the company's debt-to-EBITDA ratio
after including the debt guarantee to its sister company and
proportional consolidation of JVs. The IPO proceeds will support
part of Redsun's RMB10 billion spending on land acquisition,
keeping leverage stable. The company intends to spend 50%-60% of
attributable sales on land bank accumulation in the next few
years as it aims for ambitious total contracted sales growth. We
see a possibility that leverage may slip, but believe that the
company can control the pace of expansion if market sentiment
starts to reverse. Its preference for land acquisition through
JVs with small attributions could also help moderate this risk.

"The stable outlook on Redsun mirrors that on its parent Hong
Yang. The outlook on Hong Yang reflects our expectation that the
group will achieve high contracted sales and revenue growth in
the next 12 months, without material deterioration in financial
leverage. It also reflects our expectation that Redsun's margin
will moderate and stabilize as the company increases the number
of its projects and improves its geographical diversity through
expansion outside of Jiangsu province.

"We could downgrade Redsun if we lower the rating on Hong Yang.

"We could lower the rating on Hong Yang if the company's debt-to-
EBITDA ratio after proportional consolidation deteriorates
materially from our expectation of 7x-8x in the next 12 months.
The deterioration may be due to weaker sales execution or more
aggressive debt-funded expansion. We could also lower the rating
on Hong Yang if the company's exposure to jointly controlled
entities increases faster than we expected such that its off-
balance-sheet debt grows significantly with unclear profitability
prospects.

"We may upgrade Redsun if we raise the rating on Hong Yang.

S&P could raise the rating on Hong Yang if: (1) the group's sales
growth and revenue recognition exceeds our expectation while it
maintains a controlled pace of debt growth; or (2) the group's JV
projects start to recognize revenue sooner than S&P had expected
such that its debt-to-EBITDA ratio after proportional
consolidation falls toward 5x on a sustainable basis.


YANGCHEN ORIENTAL: Fitch Lowers LT IDR to BB-, Outlook Stable
-------------------------------------------------------------
Fitch Ratings has downgraded China-based Yancheng Oriental
Investment & Development Group Co., Ltd's Long-Term Foreign- and
Local-Currency Issuer Default Ratings to 'BB-' from 'BB'. The
Outlook is Stable.

The ratings on the USD300 million 5.15% senior unsecured notes
due 2019, which were issued by Yancheng Oriental's wholly owned
subsidiary, Oriental Capital Company Limited, have also been
downgraded to 'BB-' from 'BB'.

The rating actions follow a downgrade of Fitch's internal
assessment of the creditworthiness of Yancheng municipality. The
linkage between Yancheng Oriental and the sponsor remains
unchanged. The bonds are downgraded in line with Yancheng
Oriental's IDR.

Fitch has classified Yancheng Oriental as a government-related
entity, reflecting the government's ownership and control and the
company's policy role in the urban development of the Yancheng
Economic-Technological Development Zone.

Yancheng Oriental is the flagship entity within Yancheng ETDZ,
home to one of three Sino-Korean industrial parks in China. The
company's key businesses include resettlement-housing
construction, infrastructure construction, and property leasing
and management within the zone.

KEY RATING DRIVERS

Fitch's downgrade has taken into account deterioration in
Yancheng municipality's budgetary performance and increasing
indebtedness. Fitch believes these factors may restrict the
city's financial flexibility. Under the top-down approach of the
GRE criteria, Fitch does not expect any weakening in the city's
incentive to provide extraordinary to Yancheng Oriental, if
needed.

'Strong' Status, Ownership and Control: Yancheng Oriental is
wholly owned by Yancheng municipality via the Yancheng ETDZ
Management Committee. Hence, the municipality has ultimate
control and oversight of the company through the appointment of
the company's board of directors and Yancheng ETDZ's management
committee. The attribute was assessed at only 'Strong' to reflect
the local government's indirect ownership and control.

'Strong' Support Record, Expectations: Fitch views the
government's recurring financial support as evidence of its
commitment towards Yancheng Oriental's expansion. Yancheng
Oriental's capital has been seeded by the government, as it is a
wholly owned GRE, including a CNY500 million capital injection in
2017.

'Moderate' Socio-Political Impact of Default: Yancheng Oriental
plays an important role in urban development within Yancheng
ETDZ. Hence, a default could have a negative impact on the
economic development of the ETDZ. The attribute strength
acknowledges that there is more than one urban developer within
Yancheng that can serve as a substitute, if needed.

'Strong' Financial Implications of Default: Yancheng Oriental is
the flagship GRE within the ETDZ. The company may not necessarily
be viewed as the government's proxy, considering its limited
geographical scope within the HTDZ. Nevertheless, Fitch believes
a default of Yancheng Oriental could have implications for the
city's reputation and hence financing for other GREs in Yancheng.

Weak Standalone Profile: Fitch believes Yancheng Oriental's
indicative standalone profile is at best 'B' category. The
company has a weak financial profile, characterised by large
capex, negative free cash flow and high leverage. Moreover,
Yancheng Oriental also faces inherent risks from its contract
work with the government, as its liquidity relies on the timely
repayment of substantial account receivables due from the
Yancheng government.

RATING SENSITIVITIES

A change in Fitch's perception of Yancheng municipality's ability
to provide subsidies, grants or other legitimate resources
allowed under China's policies and regulations could result in a
change in Yancheng Oriental's ratings.

Stronger socio-political implications of a default and record of
support, which enhance Yancheng municipality's incentive to
provide legitimate support to Yancheng Oriental, may trigger
positive rating action on Yancheng Oriental. A significant
weakening of socio-political implications of a default and
support record by the municipality, or a dilution of the
government's shareholding in Yancheng Oriental, may result in a
downgrade.

An improvement or deterioration of Yancheng Oriental's standalone
credit profile or liquidity position of could also result in a
rating change.



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


8K MILES: CARE Lowers Rating on INR25cr Term Loan to D
------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
8K Miles Software Services Limited ("8K Miles"), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term/Short-    10.00       CARE C; Stable/CARE A4 Revised
   Term Bank                       from CARE BB+; Negative/
   Facilities-                     CARE A4+
   Over Draft

   Long Term Bank      25.00       CARE D; Revised from CARE BB+;
   Facilities-                     Negative
   Term Loan

   Long term Bank      15.00       CARE D; Revised from CARE BB+;
   Facility-CC                     Negative
   Facility

   Proposed Non-       50.00       CARE C; Stable Revised from
   Convertible                     CARE BB+; Negative
   Debentures

Rating Rationale

The revision in ratings assigned to the corporate loan facility
of 8K Miles considers the recent delay in the interest servicing
on corporate loan. However, there are no delays in Cash Credit
(CC)/ Overdraft (OD) account. Other rating weaknesses include
auditor's qualification in the recent audit report regarding the
likelihood of material misstatement in the consolidated
financials and the continuing sharp decline in the market
capitalization of the company.

Detailed description of the key rating drivers

Key Rating Weakness

Delay in Debt Servicing: There has been delay in the interest
servicing obligation in the corporate loan facility. However,
there are no delays in CC and OD account.

Foreign exchange fluctuation risk: The company's revenues are
largely denominated in US Dollars (USD). Majority of the cost
payable (more than 90%) is also denominated in US dollars; hence,
fluctuations in foreign currency exchange rates will have
marginal impact on company's profitability in absence of any
formal hedging policy.

Presence in industry characterised by growing competition from IT
Majors and other small and medium players: The growing
competition exposes the company to inherent industry risks such
as ability to bag large-sized contracts and attrition of
personnel, which may result in lower growth rates. The moderate
scale of operations also restricts financial flexibility to an
extent. Furthermore, the company remains exposed to industry
specific risks of high attrition rates, wage inflation and
regulatory framework which can also put pressure on the margins.

8K Miles was originally promoted by Mr Venkatachari Suresh, Mr R.
S. Ramani and Mr M. V Bhaskar in the year 2008 with a view to
provide cloud computing and related services to companies in
United States of America (USA). The company also provides
software design and development, web services, consulting and
other services through its various subsidiaries. Over the years
8K Miles has developed various proprietary platforms such as
Cloud Ez Solution, Federal Identity Management systems on Multi-
Domain Identity Service (MISP) and Cloud ID Exchange (CIE)
platform among others which helps the company provide cloud based
solution to its clients. The company has technological
partnerships with Amazon Web Services, Microsoft Azure, IBM,
Google Cloud Platform and CA Technologies. They are one of the
preferred managed service partners for Amazon Web Services.


ANIL CONSTRUCTION: CRISIL Assigns B+ Rating to INR3.5cr Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Anil Construction (AC).

                        Amount
   Facilities         (INR Crore)    Ratings
   ----------         -----------    -------
   Proposed Short Term
   Bank Loan Facility        1       CRISIL A4 (Assigned)

   Proposed Long Term
   Bank Loan Facility        1       CRISIL B+/Stable (Assigned)

   Bank Guarantee            2.5     CRISIL A4 (Assigned)

   Cash Credit               3.5     CRISIL B+/Stable (Assigned)

The ratings reflect the firm's small scale of operation in an
intensely competitive industry, weak financial risk profile, and
geographic concentration risk in revenue. These weaknesses are
partially offset by the extensive experience of the partners.

Key Rating Drivers & Detailed Description

Weakness:

* Small scale of operations due to intense competition in the
civil construction industry: Intense competition continues to
constrain scalability, although revenue increased significantly
to around INR2.2 crore in fiscal 2018 from INR1 crore the
previous fiscal.

* Weak financial risk profile: Gearing was high at 3.2 times as
on March 31, 2018, mainly on account of low networth of INR1.29
crore; networth was small due to continuous capital withdrawal by
the firm. Debt protection metrics were modest, too, with interest
coverage and net cash accrual to total debt ratios at 1.14 times
and 0.02 time, respectively, in fiscal 2018. The metrics are
expected to slightly improve over the medium term, with repayment
of car loans.

* Geographic concentration risk in revenue: Projects are mainly
undertaken in Jharkhand, and growth in revenue depends on
regional impetus on infrastructure development. Any slowdown in
infrastructure spending in the region may impinge on revenue.

Strengths:

* Partners' extensive experience in the civil construction
industry: Benefits from the partners' experience of over 30 years
should continue to support business risk profile.

Outlook: Stable

CRISIL believes AC will continue to benefit from its partners'
extensive experience. The outlook may be revised to 'Positive' if
substantial increase in revenue, and stable operating margin
strengthen credit metrics. The outlook may be revised to
'Negative' if a decline in revenue or profitability weakens
financial risk profile, especially liquidity.

AC, a partnership firm in Koderma (Jharkhand), was established by
Mr Anil Pandey and Ms. Ajita Pandey. It undertakes civil
construction works mainly for government clients on a tender
basis.


ARIKKAT TRADES: CRISIL Migrates B+ Rating to Not Cooperating
------------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Arikkat
Trades and Exports (ATE) to 'CRISIL B+/Stable Issuer not
cooperating'.

                    Amount
   Facilities     (INR Crore)    Ratings
   ----------     -----------    -------
   Cash Credit          7        CRISIL B+/Stable (ISSUER NOT
                                 COOPERATING; Rating Migrated)

CRISIL has been consistently following up with ATE for obtaining
information through letters and emails dated October 5, 2018 and
October 9, 2018 among others, apart from telephonic
communication. However, the issuer has remained non-cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of ATE. Which restricts CRISIL's
ability to take a forward-looking view on the entity's credit
quality. CRISIL believes information available on ATE is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of ATE to 'CRISIL B+/Stable Issuer not cooperating'.

ATE was set up in 1995. ATE is into extraction and refining of
copra / copra cake. ATE has an oil refinery at Thrissur, Kerala.
It has an extraction capacity of 20tpd (tonne per day). ATE was
set up by by Mr Benny J Arikkat, Mr Rajesh Jose and Mr Manish
Varghese and its day to day operation are managed by them.


ATHAVAN PAPER: CRISIL Assigns 'B' Rating to INR4.5cr LT Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facility of Athavan Paper and Boards (APAB).

                     Amount
   Facilities      (INR Crore)      Ratings
   ----------      -----------      -------
   Proposed Cash
   Credit Limit          1.5        CRISIL B/Stable (Assigned)

   Proposed Long Term
   Bank Loan Facility    4.5        CRISIL B/Stable (Assigned)

The rating reflects exposure to risks related to implementation
and funding of ongoing project and intense competition. This
weakness is partially offset by the extensive experience of its
promoters in the paper industry.

Key Rating Drivers & Detailed Description

Weaknesses:

* Exposure to risks related to implementation and funding of
ongoing project: Operations are yet to commence and the firm will
require a large amount of capital to fund its ongoing project.
Timely commencement of operations and funding of project will be
a key rating sensitivity factors.

* Intense competition: The industry is highly fragmented with
presence of various mid-sized players. The company is expected to
face stiff competition from existing players in the industry and
shall constrain its business risk profile.

Strength:

* Extensive experience of promoters: Presence of over 12 years in
the paper industry has enabled the promoters to establish healthy
relationship with various suppliers and dealers which support its
business.

Outlook: Stable

CRISIL believes APAB will benefit from the experience of its
promoters. The outlook may be revised to 'Positive' if timely
completion of the project lead to substantial revenue and
profitability. The outlook may be revised to 'Negative' if
financial risk profile, particularly liquidity, weakens due to
delay in completion of project or lower-than-expected
productivity.

APAB is based in Dindigul, Tamil Nadu. The firm is setting up a
Kraft paper manufacturing facility with a total capacity of 25
tons per day. Operations are expected to commence from January
2019.


BASSAIYA STEEL: CARE Maintains B Rating in Non-Cooperating
----------------------------------------------------------
CARE has been seeking information Bassaiya Steel Corporation
(BSC), to monitor the ratings videe-mail communications dated
October 9, 2018, October 11, 2018, October 15, 2018 and numerous
phone calls. However, despite CARE's repeated requests, the firm
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 best available
information, which however, in CARE's opinion is not sufficient
to arrive at a fair rating. Further, BSC has not paid the
surveillance fees for the rating exercise as agreed to in its
Rating Agreement. The rating on BSC's bank facilities will now be
denoted as CARE B; ISSUER NOT COOPERATING.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long-term Bank       5.75      CARE B; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

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

Detailed Description of Key Rating Drivers

At the time of last rating on July 27, 2017, the following were
the rating strengths and weaknesses.

Key Rating Weakness

Modest scale of operations coupled with limited presence in iron
and steel industry: The scale of operations of BSC stood modest
as reflected by its Total Operating Income (TOI) in FY15 (FY
refers to the period April 1 to March 31).  Further, BSC has
limited presence in the iron and steel industry as it is engaged
in the trading of iron and steel sheets and plates.

Financial risk profile marked by thin profitability, weak
solvency position and weak liquidity position: The profitability
of the firm stood thin due to trading nature of the business
where margins are lower. During FY15, PBILDT margin of the firm
has decreased by 84 bps over FY14 due to increase in cost of
traded goods. Despite decrease in PBILDT margin, PAT margin stood
stable and stood at 0.14% in FY15 over FY14 due to
proportionately lower depreciation and interest expenses. The
capital structure of BSC stood moderately leveraged as on
March 31, 2015. Further, debt service coverage indicators stood
weak.

Key Rating Strengths

Experienced promoters and management: Mrs. Sunita Gupta,
proprietor, is assisted by her husband, Mr. Pradeep Gupta who
have wide experience of more than two decades in the diversified
business activities. BSC will be benefitted in terms of operation
being managed under the experienced management along with
established marketing and distribution arrangement of the firm in
the industry. Further, he is assisted by a team of qualified top
managerial personnel having long standing experience in the
industry.

Jaipur-based (Rajasthan) BSC was formed in 1997 by Mrs. Sunita
Gupta, however, major operations of the firm is managed by her
husband, Mr. Pradeep Gupta. BSC is primarily engaged in the
trading of iron & steel sheets and plates. The firm mainly caters
to the domestic market with sales concentrated predominantly in
Jaipur to various traders and end user manufacturing units. It
procures iron and steel sheets and plates mainly form dealers
located in Jaipur.


DALAS BIOTECH: CRISIL Hikes Rating on INR20cr Cash Loan to B
------------------------------------------------------------
CRISIL has upgraded its ratings on the bank facilities of Dalas
Biotech Limited (DBL) to 'CRISIL B/Stable/CRISIL A4' from 'CRISIL
D/CRISIL D'.

                     Amount
   Facilities      (INR Crore)     Ratings
   ----------      -----------     -------
   Cash Credit           20        CRISIL B/Stable (Upgraded
                                   from 'CRISIL D')

   Letter of Credit      20        CRISIL A4 (Upgraded from
                                   'CRISIL D')

   Proposed Long Term     3.91     CRISIL B/Stable (Upgraded
   Bank Loan Facility              from 'CRISIL D')

   Term Loan              1.68     CRISIL B/Stable (Upgraded
                                   from 'CRISIL D')

   Working Capital        9.41     CRISIL B/Stable (Upgraded
   Term Loan                       from 'CRISIL D')

The rating upgrade reflects utilization of the working capital
bank lines within limit.

The rating reflects working capital-intensive operations and
average financial risk profile.  These weaknesses are partially
offset by the extensive experience of the promoters in the
pharmaceutical industry.

Key Rating Drivers & Detailed Description

Weakness

* Working capital-intensive operations: The operations of the
company are working capital intensive as indicated by gross
current assets were high at 384 days as on March, 2018. This is
driven by large inventory of 254 days and receivables of 98 days,
as on March 31, 2018.

* Average financial risk profile: The company has average
financial risk profile marked by high total outside liabilities
to total networth of 2.9 times as on March, 2018. Further, the
interest coverage remained modest at 1.5 times in fiscal 2018.

Strength

* Extensive industry experience of the promoters and an
established customer base: The promoters have been in the
pharmaceutical industry for more than 18 years. This has helped
to build a healthy relationship with suppliers and customers.

Outlook: Stable

CRISIL believes DBL's business risk profile will continue to be
supported by the extensive experience of its promoters. The
outlook may be revised to 'Positive' if sustained increase in
revenues, improved working capital management and stable
operating profitability strengthens the financial risk profile.
The outlook may be revised to 'Negative' if stretch in working
capital cycle or large, debt-funded capital expenditure weakens
financial risk profile or if adverse regulatory changes affect
business volumes.

DBL, based in Bhiwadi, Rajasthan, manufactures APIs/bulk drugs.
The company was originally incorporated in 1989 as Aimil
Medicaments (India) Pvt Ltd, which was taken over by the current
promoters, Mr Atul Rajani and his father the late Mr Anil Rajani,
in fiscal 1999, when the name was changed. Its products vary from
fermentation-based enzymes, to both penicillin-based bulk
products and non-penicillin-based high-value drugs. Major
products include ampicillin and amoxicillin. The company has in-
house research and development facilities for manufacturing
enzymes.


EXODUS FUTURA: CRISIL Migrates B+ Rating to Non-Cooperating
-----------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Exodus
Futura Knit Private Limited (EFKPL) to 'CRISIL B+/Stable/CRISIL
A4 Issuer not cooperating'.

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Bank Guarantee        0.5      CRISIL A4 (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Cash Credit          10.5      CRISIL B+/Stable (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Proposed Fund-        7.72     CRISIL B+/Stable (ISSUER NOT
   Based Bank Limits              COOPERATING; Rating Migrated)

   Term Loan             1.18     CRISIL B+/Stable (ISSUER NOT
                                  COOPERATING; Rating Migrated)

CRISIL has been consistently following up with EFKPL for
obtaining information through letters and emails dated October 5,
2018 and October 9, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of EFKPL, which restricts
CRISIL's ability to take a forward looking view on the entity's
credit quality. CRISIL believes information available on EFKPL is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of EFKPL to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'

EFKPL, established in 2000, was taken over by the present
promoter, Mr Anil Bagaria, in 2006. The company manufactures
garments at its facility in Sonarpur, West Bengal.


INNOVATIVE TECHNOLOGIES: CRISIL Rates INR13.5cr Cash Loan 'B+'
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-
term bank facility of Innovative Technologies (Innovative).

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Cash Credit          13.5      CRISIL B+/Stable (Assigned)

The rating reflects extensive experience of the firm's partners,
the firm's established market position in the consumer durable
segment, under the brand, I-bell, and the moderate operating
margin. These strengths are offset by the average financial risk
profile and working capital-intensive operations.

Key Rating Drivers & Detailed Description

Weakness

* Average financial risk profile: Financial risk profile remains
constrained by the small networth of INR5.52 crore and gearing of
2.61 times estimated as on March 31, 2018. Debt protection
metrics were however comfortable, with interest coverage
estimated at 6.19 times during fiscal 2018.

* Working capital-intensive operations: Gross current assets are
estimated around 186 days as on March 2018, driven by higher
receivables and moderate inventory.

Strengths

* Extensive experience of the partners, and the firm's
established market position: The decade-long presence of the
firm's partners in the consumer durable business, has helped the
firm establish its brand presence across the state of Kerala.

* Moderate operating margin: Operating margin has been moderate
about 8.5%, supporting the business risk profile.

Outlook: Stable

CRISIL expects Innovative to maintain its growth momentum in the
medium term, backed by extensive experience of its partners. The
outlook may be revised to 'Positive' if the firm reports
substantial and sustained growth in revenue, maintains its stable
profitability, or improves its working capital management. The
outlook may be revised to 'Negative' if a decline in operating
margin, or any major working capital requirement, weakens
liquidity.

Innovative was formed in April 2016, as a partnership between Mr
TA Abbas and Mr T. Sajid. The firm has a unit for manufacturing
and assembling of electrical and electronic goods appliances such
as LED TVs, air-conditioners, washing machines and other white
goods. Products are sold under the firm's own brands 'Ibell' and
'Castor' across Kerala.


JPM EXPORTS: CARE Lowers Rating on INR50cr Loans to D
-----------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
JPM Exports Pvt Ltd (JPM), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities           45.00      CARE D Revised from CARE BB+;
                                   Stable

   Short-term Bank
   Facilities            5.00      CARE D Revised from CARE A4+

Detailed Rationale & Key Rating Drivers

The revision in the ratings assigned to the bank facilities of
JPM takes into account the overdrawals in cash credit account for
more than 30 days. The ratings continue to be constrained by the
small scale of operations, moderate financial risk profile marked
with leveraged capital structure, highly working capital
intensive nature of operations with long operating cycle and
intensively competitive and fragmented industry.  The ratings
however continue to draw strength from the long experience of the
promoters, low raw material price volatility risk due to back to
back procurement and stable order book position, reputed
clientele spread across various industries and increase in
margins in FY17 (refers to April 1 to March 31) due to shift from
piece rate manufacturing to assembly line of production.  Ability
to increase its scale of operations while maintaining
profitability and effective management of working capital are the
key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Overdrawal of cash credit facilities: The cash credit account of
the company is currently overdrawn for more than 30 days.

Small Scale of Operations: The scale of operations of the company
is small with turnover remaining low at around INR60 crore to
INR65 crore during last three years and capital employed of INR55
crore as on Mar'17. Small scale of operations restricts the
financial flexibility of the company in times of stress and it
suffers on account of economies of scale.

Moderate financial risk profile marked with leveraged capital
structure: Total operating income of JPM increased marginally
from INR60.30 crore in FY15 to INR63.36 crore in FY17. PBILDT
margin improved substantially from 8.85% in FY15 to 12.91% in
FY17 due to full year of operation of assembly production line
production system which has enhanced the operational efficiency.
Overall gearing deteriorated from 1.84x as on March 15 to 1.91x
in Mar'17 due to higher dependence on working capital borrowings
and unsecured loans from related parties.  Accordingly, TDGCA
also deteriorated from 9.71x in FY15 to 13.34x in FY17.

Highly working capital intensive nature of operations: The
operating cycle of JPM remained high due to high inventory
holding and processing period. Further, stringent quality checks
and testing in European labs added to the high inventory holding
period. The receivable collection period also hovers around
moderately at two months. On the other hand, payment to creditors
is done within a month for availing cash discounts which further
elongates the working capital cycle. Accordingly, working capital
cycle worsened from 150 days in FY15 to 256 days in FY17.

Intense competition & highly fragmented industry: The garment
industry is highly fragmented and dominated by a large number of
small scale unorganized players leading to high competition. Low
capital and technology requirements, small gestation period and
easy availability of raw materials leads to low entry barriers.
Although, industrial wear segment faces less competition due to
lesser number of players and JPM is an established player with
quality products and relation with reputed clientele, however its
casual wear segment experiences stiff competition.

Key Rating Strengths

Experienced promoters: The founding promoter of JPM Exports Pvt
Ltd (JPM), Mr. Dilip Madhogaria has more than two decades of
experience in manufacturing and exporting workwear. He has
several professional qualifications and is responsible for the
day to day management of JPM. During the period FY14 to FY17, the
promoters have infused INR 3.70 crore as quasi equity and INR
1.98 crore as unsecured loan from related parties.

Low raw material price volatility risk due to back to back
procurement and stable order book position: JPM has a policy to
procure raw materials only after the order has been confirmed
which acts as a hedge against any fluctuation in raw material
prices. JPM has a healthy order book position as on April 2017 in
industrial wear and casual wear segment.

Reputed clientele spread across various industries: JPM
manufactures different industrial garments like Fire Retardant,
High Visibility Clothing, Hospital Uniforms, Hotel uniforms,
Military wear, Tape Sealed garments, etc. and thus caters to
different industrial segments. In FY16, JPM ventured into
supplying casual wear to large reputed companies thereby aiding
stable diversification of revenue from garments.

Improvement in margins due to shift from piece rate manufacturing
to assembly line of production: In FY16, JPM changed its
manufacturing process from piece rate basis to assembly line of
production system and resultantly JPM would benefit from
increased operational efficiency due to higher output, quality
maintenance, lesser defects and mass production capability. The
enhancement in efficiency was reflected in operating profit as
PBILDT margin increased from 8.65% in FY16 to 12.85% in FY17.

JPM Exports Private Limited (JPM) incorporated on August 19, 2009
by Mr. Dilip Madhogaria, is engaged in manufacturing and export
of workwear and uniforms such as fire control units, hotels,
hospitals, military wear and casual wear. It is a Government of
India registered Star Export House. JPM has expanded its
operations through Bangladesh in 2013 and has also set up a
comprehensive assembly line of production at its leased facility
in Barasat, West Bengal in 2016.


K.N. SRINIVASA: CRISIL Migrates B Rating From Not Cooperating
-------------------------------------------------------------
Due to inadequate information, CRISIL, in line with SEBI
guidelines, had migrated the rating of K.N. Srinivasa (KNS) to
'CRISIL B/Stable/CRISIL A4 Issuer Not Cooperating'. However, the
management has subsequently started sharing requisite
information, necessary for carrying out comprehensive review of
the rating. Consequently, CRISIL is migrating the rating on bank
facilities of KNS from 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating' to 'CRISIL B/Stable/CRISIL A4'.

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Bank Guarantee        0.5      CRISIL A4 (Migrating From
                                  'CRISIL A4 ISSUER NOT
                                  COOPERATING')

   Overdraft             7.5      CRISIL B/Stable (Migrated From
                                  'CRISIL B/Stable ISSUER NOT
                                  COOPERATING')

   Proposed Overdraft    1.5      CRISIL B/Stable (Migrated From
   Facility                       'CRISIL B/Stable ISSUER NOT
                                  COOPERATING')

The ratings continue to reflect the firm's below-average
financial risk profile because of small networth and weak
liquidity, caused by stretched receivables from government
authorities. The ratings also factor its small scale of
operations in the highly fragmented civil construction industry,
and its susceptibility to risks inherent in tender-based
business. These weaknesses are partially offset by its
proprietor's extensive industry experience and his funding
support.

Key Rating Drivers & Detailed Description

Weakness

* Small scale of operations in a fragmented industry, and
exposure to risks related to its tender driven business: KNS's
scale of operations, reflected in estimated revenue of INR7 crore
for fiscal 2018, is small due to exposure to intense competition,
geographical concentration, and limited participation in the road
construction segment. The industry has a large number of players
executing small projects as low capital requirement attracts many
domestic contractors, leading to intense competition

* Below-average financial risk profile: The financial risk
profile is constrained by small networth and subdued debt
protection metrics. Large working capital debt and low
profitability will keep the financial risk profile weak over the
medium term.

Strength

* Proprietor's industry experience: Mr Srinivasa's experience of
around three decades in the civil construction business has
helped the firm get regular orders from government authorities,
establish healthy relationships with suppliers and customers, and
enter into the sub-contracting segment

Outlook: Stable

CRISIL believes KNS will continue to benefit from its
proprietor's extensive industry experience. The outlook may be
revised to 'Positive' if the financial risk profile, especially
liquidity, improves because of timely receipt of payments from
customers, or sizeable fund infusion by the proprietor. The
outlook may be revised to 'Negative' if liquidity deteriorates
because of further delays in payments by customers.

KNS was established in 1987 as a proprietorship firm by Mr KN
Srinivasa. Since its inception, the firm has undertaken contracts
in the civil construction field, primarily construction of roads
and water drainage systems for state government agencies


KHATKAR CONSTRUCTION: CRISIL Assigns B+ Rating to INR5cr Loan
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Khatkar Construction Co. (KCC).

                     Amount
   Facilities      (INR Crore)      Ratings
   ----------      -----------      -------
   Proposed Bank
   Guarantee            0.75        CRISIL A4 (Assigned)

   Bank Guarantee       2.25        CRISIL A4 (Assigned)

   Overdraft            5.00        CRISIL B+/Stable (Assigned)

The ratings reflect the firm's weak liquidity and susceptibility
to intense competition and to risks inherent in tender-based
business. These weaknesses are partially offset by the extensive
experience of KCC's partners in the construction industry and its
moderate capital structure.

Key Rating Drivers & Detailed Description

Weaknesses

* Modest scale of operations: KCC's scale of operations is
moderate in the highly competitive construction industry. The
firm's revenues have remained stable and stood at INR57 crs for
fiscal 2018.As significant revenue accrues from Haryana, KCC
remains susceptible to any unfavourable regulatory or political
changes or events in the region.

* Susceptibility to government policies: As revenue primarily
accrues from the government, the firm is exposed to the inherent
risks faced by government contractors. The firm faces uncertainty
right from the bidding stage till collection (post execution).

Strengths

* Partner's experience in the civil construction industry: The
firm is engaged in the civil construction activity including
roadwork and highway in and around Haryana. Mr. Satbir Singh is a
key partner who oversees the day to day operations of the firm
and has over a decade experience in the industry. The firm is a
registered class 1 contractor in the state government departments
and has undertaken several projects over the years.

Outlook: Stable

CRISIL believes KCC will continue to benefit from the extensive
experience of its partners and healthy outstanding orders. The
outlook may be revised to 'Positive' if increase in revenue and
profitability improves cash accrual and strengthens liquidity.
The outlook may be revised to 'Negative' in case of decline in
revenue or weakening of profitability, capital structure and debt
protection metrics.

Established in 2006, Bhiwani-based KCC is engaged in civil
construction works for the Haryana government. The partners, Mr
Satbir Singh, Mr Narender and Mr Rajbir, manage the operations.


MANGALAM ISPAT: CARE Assigns B+ Rating to INR11cr LT Loan
---------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Mangalam Ispat (MI), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities           11.00      CARE B+; Stable Assigned

   Short-term
   Facilities            2.00      CARE A4 Assigned

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of MI are constrained
by its constitution as a partnership entity, project
implementation risk, working capital intensive nature of business
and intensely competitive industry and cyclical industry. The
aforesaid constraints are partially offset by its experienced
management and strategic location of the plant. The ability of
the firm to complete the project without any cost & time overrun,
ability to achieve the projected scale of operations and
profitability as envisaged and ability to manage working capital
effectively would be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Constitution as a partnership entity: Mangalam Ispat, being a
partnership entity, is exposed to inherent risk of the partner's
capital being withdrawn at time of personal contingency and
entity being dissolved upon the death/insolvency of the partners.
Furthermore, partnership entities have restricted access to
external borrowing as credit worthiness of partners would be the
key factors affecting credit decision for the lenders.

Project implementation risk: MI proposes itself to be engaged in
manufacturing of MS Ingots and MS rods with manufacturing
capacity located at Bokaro Steel City, Jharkhand with an
aggregate project cost of INR13.19 crore, which is proposed to be
financed by way of promoter's contribution of INR10.19 crore and
term loan from bank of INR3.00 crore. The project is under
construction and INR7.00 crore towards the project has been
expensed as on September 30, 2018 which is funded by partner's
capital of INR 6.00 crore and term loan of INR 1.00 crore. The
project is expected to be operational from January, 2019. The
financial closure of the aforesaid term loan from the bank has
already been achieved and part of the term loan has been
disbursed. The ability of the firm to complete the project
without any cost or time over run will remain critical from the
credit risk perspective.

Working capital intensive nature of business: The operation of
the firm is expected to remain working capital intensive. As the
firm is engaged in manufacturing of alloys steel and iron casting
items, it is required to maintain a large quantity of raw
material inventory for period of two to three months to mitigate
the raw material price fluctuations risk and smooth running of
its production process. Furthermore, the firm has proposed to pay
its suppliers upfront for availing cash discounts.

Intensely competitive and cyclical steel industry: MI is entering
in MS ingots and MS rods manufacturing unit which is primarily
dominated by large players and characterized by high
fragmentation and competition due to the presence of numerous
players in India owing to relatively low entry barriers. High
competitive pressure limits the pricing flexibility of the
industry participants which induces pressure on profitability.
The fortunes of companies like MI from the alloy & iron steel
casting industry are heavily dependent on the mineral and
engineering. Steel consumption and, in turn, production mainly
depends upon the economic activities in the country. Slowdown in
these sectors may lead to decline in demand of steel & alloys.
Furthermore, all these industries are susceptible to economic
scenarios and are cyclical in nature.

Key Rating Strengths

Experienced management: Though, Mangalam Ispat was established in
August 2018, the partners of the firm have long experience in
similar line of business. Mr. Kamal Kumar Agrawal (aged 52
years), having more than three decades of experience in
transportation and trading of steel products looks after the day
to day activities of the business along with other partners with
adequate support from a team of experienced personnel.

Strategic location of the plant: The manufacturing unit of the
firm is located at Bokaro Steel City of Jharkhand which is an
important industrial hub and one of the main steel cities in
India. The place is rich in important minerals like iron ore,
dolomite, manganese, graphite, quartz, building stone, lead etc.
Most of the raw materials required by the firm are met from the
nearby location like Chhattisgarh and Jharkhand. Accordingly the
firm will be able to save simultaneously on transportation cost
and raw material consumption cost.

Mangalam Ispat (MI) was established as a partnership firm on
August, 2018. The firm is setting up an MS Ingot and MS rods
manufacturing unit at Bokaro Steel City, Jharkhand with an
expected installed capacity of 18,000 MTPA. The project cost was
INR13.19 crore, which was financed by way of promoter's
contribution of INR10.19 crore and term loan from bank of INR3.00
crore. The project is under construction and INR7.00 crore
towards the project has been expensed as on September 30, 2018
which is funded by partner's capital of INR 6.00 crore and term
loan of INR 1.00 crore. Moreover, the firm is expected to start
commercial operation from January, 2019. Mr. Kamal Kumar Agrawal
(aged 52 years), having more than three decades of experience in
transportation and trading of steel products looks after the day
to day activities of the business along with other partners with
adequate support from a team of experienced personnel.


NAFREF ENGINEERS: CRISIL Lowers Rating on INR3.5cr Loan to D
------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Nafref Engineers Private Limited (NAFREF; part of the NAFREF
group) to 'CRISIL D/CRISIL D' from 'CRISIL B-/Stable/CRISIL A4'.

                     Amount
   Facilities      (INR Crore)     Ratings
   ----------      -----------     -------
   Bank Guarantee        2.6       CRISIL D (Downgraded from
                                   'CRISIL B-/Stable')

   Cash Credit           3.5       CRISIL D (Downgraded from
                                   'CRISIL A4')

The downgrade reflects recent instance of overutilisation of cash
credit facility for over 30 days.

The group also has working capital-intensive operations and a
modest scale of operations. These weaknesses are partially offset
by the extensive experience of its promoters.

Analytical Approach

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of National Ref and Air Cond Engg
(National) and NAFREF. This is because the two companies,
together referred to as the NAFREF group, have a common
management and are in the same business. Moreover, NAFREF was
incorporated to take over the business of National, which is
likely to be wound up within a couple of years.

Key Rating Drivers & Detailed Description

Weaknesses

* Overutilisation of cash credit account: Cash credit account was
recently overutilised by more than 30 days.

* Modest scale of operations: Intense competition has kept scale
subdued, as reflected in an operating income of around INR10.03
crore in fiscal 2018. This limits bargaining power with customers
and suppliers and precludes benefits from economies of scale.

* Working capital-intensive operations: Operations are highly
working capital intensive, with gross current assets rising to
212 days as on March 31, 2018, led by large inventory of 121 days
and sizeable security deposits. Working capital requirement is
funded through external bank debt.

Strength

* Extensive experience of promoters: The three decade-long
experience of promoters in designing and commissioning air
conditioning plants and fire-fighting systems, their keen
understanding of business dynamics, and strong relationship with
suppliers and customers will continue to support business risk
profile.

Incorporated in 2013 and promoted by Mr Bal and his family,
NAFREF is engaged in engineering, procurement, and construction
of air conditioning plants and fire-fighting systems, and has
also started undertaking civil construction contracts for
government authorities. The company is also empanelled with
Military Engineering Services. Operations are managed by Mr Sital
Singh Bal.


PANDIYA AGRI: CRISIL Assigns B+ Rating to INR2.50cr Cash Loan
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' rating to
the long-term bank facility of Pandiya Agri Solutions Private
Limited (PASPL).

                        Amount
   Facilities        (INR Crore)    Ratings
   ----------        -----------    -------
   Proposed Long Term
   Bank Loan Facility     1.81      CRISIL B+/Stable (Assigned)

   Import Letter of
   Credit Limit           2.50      CRISIL A4 (Assigned)

   Cash Credit            2.50      CRISIL B+/Stable (Assigned)

   Cash Term Loan         0.19      CRISIL B+/Stable (Assigned)

The rating reflects Susceptibility to unfavorable government
regulations and to erratic rainfall and Exposure to risks related
to implementation and funding of the ongoing project. These
weaknesses are partially offset by the extensive experience of
the promoters in the fertiliser industry.

Key Rating Drivers & Detailed Description

Weaknesses

* Susceptibility to unfavorable government regulations and to
erratic rainfall: The fertiliser industry, being of strategic
importance, is highly regulated by the government, which controls
pricing (albeit indirectly), addition of capacity, and, to an
extent, distribution of fertilisers across regions. Furthermore,
profitability and growth of fertiliser companies depend on
agricultural output, which depends on monsoon. Although the
government's thrust on improving irrigation is expected to help,
the risk of poor monsoon prevails.

* Exposure to risks related to implementation and funding of the
ongoing project: Operations are yet to commence and the company
will require a large amount of working capital to support
operations. Timely commencement of operations and funding of the
project will be a key rating sensitivity factor.

Strength

* Extensive experience of the promoters: The promoters'
experience of over 20 years in the fertiliser industry and the
relationship forged with various suppliers and dealers over the
period should support PASPL's business risk profile over the
medium term.

Outlook: Stable

CRISIL believes PASPL will benefit from the experience of the
promoters from the fertilizer industry. The outlook may be
revised to 'Positive' if the project commences operations on
schedule and productivity is higher than expected, leading to
substantial revenue and profitability. The outlook may be revised
to 'Negative' if the financial risk profile, particularly
liquidity, weakens due to delay in completion of the project or
lower-than-expected productivity.

PASPL, established in March 2018, is promoted by Mr Sathish
Pandiya and Mr Anguswamy Pandian. The company trades in and
manufactures fertilisers.


POOJA SPONGE: CRISIL Migrates D Rating to Non-Cooperating
---------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Pooja Sponge
Private Limited (PSPL) to 'CRISIL D/CRISIL D Issuer not
cooperating'.

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Cash Credit            9       CRISIL D (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Letter of Credit       4       CRISIL D (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Term Loan              7       CRISIL D (ISSUER NOT
                                  COOPERATING; Rating Migrated)

CRISIL has been consistently following up with PSPL for obtaining
information through letters and emails dated October 5, 2018 and
October 9, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

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


Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of PSPL. Which restricts CRISIL's
ability to take a forward looking view on the entity's credit
quality. CRISIL believes information available on PSPL is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of PSPL to 'CRISIL D/CRISIL D Issuer not cooperating'.

PSPL was incorporated in 2002 in Rourkela and was initially
promoted by the Odisha-based Gupta family. The company was
acquired in 2006 by the Agarwal family. PSPL manufactures sponge
iron at its facility in Rourkela (kiln capacity of 200 tonne per
day) and also trades in steel flat and long products. Operations
are managed by director, Mr. Kavit Agarwal.


RAJESH CONSTRUCTION: CRISIL Assigns B+ Rating to INR3.0cr Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Rajesh Construction Company (RCC).

                      Amount
   Facilities       (INR Crore)    Ratings
   ----------       -----------    -------
   Term Loan             .03       CRISIL B+/Stable (Assigned)

   Proposed Term Loan    .22       CRISIL B+/Stable (Assigned)

   Bank Guarantee       4.75       CRISIL A4 (Assigned)

   Cash Credit/
   Overdraft facility   3.00       CRISIL B+/Stable (Assigned)

The ratings reflect the extensive experience of the partners in
the construction business and low counterparty risk as clients
are government entities. These strengths are partially offset by
a modest scale of operations with limited revenue diversity, an
average financial risk profile, and exposure to risks related to
the tender-based nature of business, which can lead to
fluctuation in revenue.

Key Rating Drivers & Detailed Description

Weakness

* Modest scale of operations with limited revenue diversity:
Operating income has been in the range of INR10-15 crs over the
past two years which reflects modest scale of operations. The
construction business accounts for 100% of the revenue which
indicates limited revenue diversity.

* Exposure to risks related to the tender-based nature of
business: The business is mainly tender based and hence dependent
on the ability to win bids. This can lead to fluctuation in
revenue.

* Average financial risk profile: The networth has remained
modest at INR3.27 cr as on March 31, 2018. However, being a
partnership firm, the company has the flexibility to infuse
capital as per requirements of the projects it is bidding for.
Also, interest coverage ratio is moderate at 3.3 times as on
March 31, 2018.

Strengths

* Extensive industry experience of the partners: The managing
partner, Mr Rajesh Chandrachud, has been in the construction
business for more than 20 years. This has helped to establish
relationships with suppliers and customers. Also, the status as a
Special Category I and AA class contractor helps to meet
technical criteria for tender bids.

* Low counterparty credit risk: Customers are only government
entities, thus limiting counterparty credit risks.

Outlook: Stable

CRISIL believes RCC will continue to benefit from the extensive
industry experience of its partners and moderate order book. The
outlook may be revised to 'Positive' in case of a significant
increase in the scale of operations while profitability is
maintained, leading to better-than-expected cash accrual and
improvement in liquidity. The outlook may be revised to
'Negative' if the financial risk profile, particularly liquidity,
deteriorates further, most likely because of larger-than-expected
working capital requirement, delays in realisation of receivables
and subsequent project execution, or larger-than-expected, debt-
funded, capex.

RCC is a partnership firm of Mr Rajesh Chandrachud, a civil
engineer, and his son, Mr Aditya Chandrachud. Mr Aditya
Chandrachud joined the family business in 2016. RCC primarily
constructs roads and lays sewerage pipelines for government
departments. The firm is registered as an AA class contractor
with the Mumbai Municipal Corporation, and as a class I
contractor with the Public Works Department (PWD) in Maharashtra,
the Maharashtra Jeevan Pradhikaran, and the road construction
departments of the governments of Jharkhand and Madhya Pradesh.


RITISHA OILS: CRISIL Lowers Rating on INR10cr Cash Loan to D
------------------------------------------------------------
CRISIL has downgraded the rating on the bank facilities of
Ritisha Oils Pvt Limited (ROPL) to 'CRISIL D/CRISIL D Issuer Not
Cooperating' from 'CRISIL B+/Stable/CRISIL A4 Issuer Not
Cooperating' as account is classified as NPA by banker.

                     Amount
   Facilities      (INR Crore)     Ratings
   ----------      -----------     -------
   Cash Credit           10        CRISIL D (Downgraded from
                                   'CRISIL B+/Stable ISSUER NOT
                                   COOPERATING')

   Letter of Credit      10        CRISIL D (Downgraded from
                                   'CRISIL A4 ISSUER NOT
                                   COOPERATING')

   Proposed Long Term     5        CRISIL D (Downgraded from
   Bank Loan Facility              'CRISIL B+/Stable ISSUER NOT
                                   COOPERATING')

CRISIL has been consistently following up with ROPL for obtaining
information through letters and emails dated March 31, 2018, and
September 28, 2018, among others, apart from telephonic
communication. However, the issuer has remained non cooperative.'

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of SCMC. This restricts CRISIL's
ability to take a forward looking view on the credit quality of
the entity. CRISIL believes that the information available for
ROPL is consistent with 'Scenario 1' outlined in the 'Framework
for Assessing Consistency of Information with CRISIL BB' category
or lower. Based on the last available information, CRISIL has
downgraded the rating on the bank facilities of ROPL to 'CRISIL
D/CRISIL D Issuer Not Cooperating' from 'CRISIL B+/Stable/CRISIL
A4 Issuer Not Cooperating' as account is classified as NPA by
banker.

The ratings downgrade reflects overdrawals in the working capital
facilities of the firm due to weak operating performance leading
to stretched liquidity profile.

In 2012, Mr. Ramit Jain set up Manidhari Oils Private Limited,
which trades in edible oils and has the same set of customers and
suppliers as ROPL.

ROPL was set up in 2009 by Mr. Ramit Jain. The company is based
in Delhi and trades in edible oils.


S.K. COLD: CRISIL Assigns B+ Rating to INR5cr Cash Loan
-------------------------------------------------------
CRISIL has assigned 'CRISIL B+/Stable/CRISIL A4' ratings to the
bank facilities of S. K. Cold Storage (SKCS).

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Proposed Cash
   Credit Limit          5        CRISIL B+/Stable (Assigned)
   Overdraft             0.25     CRISIL A4 (Assigned)
   Cash Credit           2.25     CRISIL B+/Stable (Assigned)
   Long Term Loan        2.50     CRISIL B+/Stable (Assigned)

The rating reflects a small scale of operations and an average
financial risk profile marked by small networth. These rating
weaknesses are partially offset by the extensive industry
experience of the partners.

Key Rating Drivers & Detailed Description

Weakness:

* Small scale of operations: Revenue is modest at around INR2.3
crore as of fiscal 2018. The cold storage current capacity is
94,000 quintals. Revenue is expected to be stable at around
INR2.5-3 crores over the medium term.

* Average financial risk profile: The networth is small,
estimated at around INR1 crore as on March 31, 2018. It is
expected to remain small over the medium term on account of
limited accretion to reserves as a result of small scale of
operations. The gearing was high at around 4 times as on
March 31, 2018 and debt protection metrics remained average.

Strengths:

* Extensive industry experience of the partners: The managing
partner, Mr Abhishek, has an experience of more than two decades
in the trading sector. This has enabled the firm to establish a
healthy relationship with suppliers and customers.

Outlook: Stable

CRISIL believes SKCS will continue to benefit from the extensive
industry experience of its partners. The outlook may be revised
to 'Positive' in case of an increase in the scale of operations
and profitability, leading to better-than-expected cash accrual
and hence improvement in the financial risk profile. The outlook
may be revised to 'Negative' in case of a decline in revenue or
profitability, or a stretched working capital cycle, resulting in
weakening of the financial risk profile, especially liquidity.

SKCS was established in 2014 and in engaged in providing cold
storage facility for potatoes in UP.


SALAS PHARMACEUTICALS: CARE Cuts Rating on INR9.44cr Loan to B+
---------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Salas Pharmaceuticals Private Limited (SPPL), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long term Bank       9.44       CARE B+; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE BB-; Stable; on the basis
                                   of best available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SPPL to monitor the
ratings vide letters/e-mails communications dated July 5, 2018,
September 3, 2018, October 3, 2018 and numerous phone calls.
However, despite CARE's 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 ratings on the basis of the publicly available
information which however, in CARE's opinion is not sufficient to
arrive at a fair rating. The ratings on SPPL's bank facilities
will now be denoted as CARE B+; Stable; ISSUER NOT COOPERATING*.
Users of these ratings (including investors, lenders and the
public at large) are hence requested to exercise caution
while using the above ratings.

The revision in the rating takes into account the decline in
profit levels, deterioration in capital structure and debt
coverage indicators. Further, the rating takes into account the
small scale of operations with moderate profit margins,
exposure to regulatory and raw material price volatility risk,
high geographical concentration, moderate capital structure
with strong debt coverage indicators and presence in price
controlled and competitive industry. The rating, however,
drives strength from experienced promoters with satisfactory
track record of operations, diversified product portfolio and
location advantage and positive outlook of Indian pharmaceutical
industry.

Detailed description of the key rating drivers

At the time of last rating on September 27, 2017, the following
were the rating strengths and weaknesses; (updated for the
information available from the annual report submitted by the
comapny)

Key Rating Weaknesses

Small scale of operations with moderate profit margins: The scale
of operation of the company remained small marked by its total
operating income of INR11.07 crore with a PAT of INR0.31 crore in
FY17 (refers to the period April 1 to March 31). Further, the
profit margin of the company remained moderate marked by PBILDT
margin of 9.78% (FY16: 9.21%) and PAT margin of 2.83% (FY16:
5.02%) in FY17.

Exposure to regulatory and raw material price volatility risk:
Pharmaceutical industry is a closely monitored and regulated
industry and as such there are inherent risks and liabilities
associated with the products and their manufacturing. Regular
compliance with product and manufacturing quality standards of
regulatory authorities is critical for selling products across
various geographies. Furthermore, the key raw materials required
for the manufacturing primarily include API (Active
Pharmaceuticals Ingredients) that constitute major cost of sales,
hence the company remains susceptible to commodity price
variation risks.

High geographical concentration: The geographical concentration
of the company is high as the company has presence only in Bihar,
Jharkhand, Uttar Pradesh, Odisha and West Bengal catering to the
demand from corporate hospitals and small-large nursing homes.
Further the company has generated around 81.79% of its total
revenue only from Bihar and Jharkhand in FY17 and thus the
company is exposed to high geographical concentration risk.

Moderate capital structure with strong debt coverage indicators:
The capital structure of the company remained moderate marked by
overall gearing ratio of 2.31x and debt-equity ratio of 1.86x as
on March 31, 2017. Furthermore, debt coverage indicators remained
moderate marked by interest coverage of 129.46x and total debt to
GCA of 9.16x in FY17.

Presence in price controlled and competitive industry:
Competitive pressure in domestic formulation market has been
rising steadily prompted by significant increase in investments
by domestic players in marketing efforts through expansion in
field force; on the other hand multinational companies have also
renewed their focus on India. Further, Government regulations,
including those implemented by the National Pharmaceutical
Pricing Authority (NPPA), may also squeeze the industry growth
and profitability. Though, domestic formulations segment is
expected to grow led by rise in chronic diseases, increasing per
capita income and improvement in access to healthcare facilities
along with growing penetration of health insurance.

Key Rating Strengths

Experienced promoters with satisfactory track record of
operations: SPPL started its commercial operations since November
2009 and thus has satisfactory track record of operations. Due to
satisfactory track record of operations, the promoters have
established satisfactory relationship with its clients.
Furthermore, the promoters, Mr. Prem Sagar, Mr. Suman Chaudhary,
Mr. Vindhya Prakash and Mr. Viresh Kumar Verma have more than 10
years of experience in pharmaceutical industry, look after the
day to day operations of the company. They are further supported
by a team of experienced professionals who are also having long
experience in the same line of business.

Diversified product portfolio and location advantage: The product
portfolio of SPPL has presence in various segments like
europsychiatry, general medicine, gynecology, orthopedics etc.
The company has also an established dealer/distributor network
comprising around 200 dealers or distributors and 70 field staffs
who take care of marketing.

The company has presence in Bihar, Jharkhand, Uttar Pradesh,
Odisha and West Bengal catering to the demand from corporate
hospitals and small-large nursing homes. The company has set up
the medicine manufacturing plant at Sikkim (falls under North
East Region) as Central Government announces special relieves in
registration, taxation and other regulation which helps the
company to reduce the manufacturing cost and easily penetrate the
pharma market. The Government has approved a package of fiscal
incentives and other concessions like excise duty exemption,
income tax exemption, capital investment subsidy, interest
subsidy, comprehensive insurance etc. for the North East Region
namely the 'East Industrial and Investment Promotion Policy
(NEIIPP), 2007', effective from 1.4.2007.

Positive outlook of Indian pharmaceutical industry: The Indian
pharmaceutical industry (IPI) is ranked 14th in value terms and
3rd in volume terms. It manufactures about 60,000 generic brands
across 60 different therapeutic categories, about 500 bulk drugs
and almost the entire range of formulations. The industry
constitutes about 2.5% of the global pharmaceutical production in
value terms. The industry has been growing at a healthy rate of
11-13% annually over the last few years with the growth in
exports outstripping steady growth in the domestic market.
Moreover, the Indian pharmaceutical formulation industry is set
to benefit from the impending patent expiry in the regulated
markets. Patent expiry of branded drugs will boost the demand for
Indian generic products. On the domestic front, the demand will
be driven by increasing per capita income, shift in disease
profile from acute to chronic diseases and huge potential for
expanding lower health insurance penetration in the country.

SPPL was incorporated on November 13, 2009 and promoted by Mr.
Prem Sagar, Mr. Suman Chaudhary, Mr. Vindhya Prakash and Mr.
Viresh Kumar Verma, having more than 10 years of experience in
formulations and active pharmaceutical ingredients (API).
Earlier, the main business of SPPL was marketing of products of
other pharmaceutical companies. Subsequently, it developed and
began manufacturing of its own formulation products (medicines)
on its own brand name, i.e. Salas since March 22, 2017. The
manufacturing plant of the company is located at Kharpani,
Mamring, South Sikkim, Sikkim with an installed capacity of 1.00
crore tablets and 0.25 crore capsules annually.


STANFORD EDUCATION: CARE Assigns B Rating to INR11.25cr Loan
------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of
Stanford Education Society (SES), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities          11.25       CARE B; Stable Assigned

Detailed Rating Rationale & Key Rating Drivers

The rating assigned to the bank facilities of SES is primarily
constrained on account of its modest scale of operations with
decline in profitability margins. The rating is, further,
constrained on account of its weak solvency position and the
regulatory risk associated with education sector.  The rating,
however, favorably take into account experienced management with
stable outlook of educational industry and comfortable liquidity
position.  The ability of the society to increase fresh
enrolments in school while improving its profitability margin and
improvement in solvency position would be the key rating
sensitivities.

Detailed description of the key rating drivers

Key Rating Weakness

Modest scale of operations with decline in profitability margins:
During FY18 (FY refers to period from April 1 to March 31), TOI
of the society has increased by 17.06% over FY17 however stood
modest at INR5.72 crore mainly due to increase in total number of
students in AY18 (AY refers to period from July 1 to June 30).
The margin of the society has witnessed continuous declined
during past three financial year ended FY18 owning to higher
employee cost as well as other administration expenses. During
FY18, SBID margin has significantly declined by 459 bps over FY17
owing to higher other expenses and stood moderate at 8.39%. Owing
to significant decline in SBID margin and higher depreciation and
interest expenses, SES has reported net loss of INR0.09 crore in
FY18 as against net loss of INR0.05 crore in FY17.

Weak solvency position: The capital structure of SES stood weak
with an overall gearing of 5.16 times as on March 31, 2018,
deteriorated from 4.83 times as on March 31, 2017 due to decline
in net worth base owing to loss occurred in FY18. Further, debt
service coverage indicators of SES stood weak with total debt to
GCA of 7.46 times as on March 31, 2018, deteriorated from 5.75
times as on March 31, 2017 mainly due to proportionately higher
decrease in GCA level than total debt level. Hence, interest
coverage ratio also declined from 3.41 times in FY17 to 2.74
times in FY18.

Regulatory risk associated with education sector: The main driver
for growth in the education sector is India's booming population
increasing at more than 2% annual rate and the increasing
propensity of the middle income class to spend on education. In
India, private sector participation in education was limited till
a few years ago. However, since the privatization of education
commenced in India, several private colleges and institutes have
been established in different parts of country. There is an
increasing preference for quality private educational
institutions amongst the urban population. In the absence of any
umbrella regulatory body governing K-12 schools and education
being covered under 'Concurrent List', regulation confusion
pervades with some states permitting "for profit" and others
forbidding "commercialization" of education.

Key Rating Strengths

Experienced management: The school of the society has long track
record of operations of more than a decade. All members look
after overall management of the school including financial
control, development plan etc. Further, Ms. Sadhna Walia,
Principal, B.Ed, M.Sc. by qualification, who has more than two
decades in the education industry and looks after educational
aspect of the school. Top management are assisted by team of 70
qualified teachers and staff of 10 members for general
administration. Society took term loan of INR10.80 crore to repay
purchase acquisition to exiting members.

Stable outlook of educational services industry: The education
sector in India is poised to witness major growth in the years to
come as India will have world's largest tertiary-age population
and second largest graduate talent pipeline globally by the end
of 2020. Currently, higher education contributes 59.70 per cent
of the market size, school education 38.10 per cent, pre-school
segment 1.60 per cent, and technology and multi-media the
remaining 0.60 per cent. Higher education system in India has
undergone rapid expansion.

Comfortable liquidity position: The fees realization structure of
the school is Bi-monthly basis. Hence operating cycle remained
comfortable during past years. Furthermore, the average
utilization of its working capital limit remained between 70%-75%
during past 12 months ended June 2018.

Stanford Education Society (SES) was formed as a society in 2005,
under the Madhya Pradesh Society Registration Act, 1973. However,
subsequently in FY18, new management took over the society. The
society was established with a view to establish and operate
school. Currently, SES is operating a school in the name of
Stanford International School (SIS) which is affiliated with
Central Board of Secondary Education (CBSE) to provide full time
education in English up to Senior Secondary level in Commerce and
Science Stream and located at Ujjain, Madhya Pradesh. SIS offers
classes Nursery to 12th in English Medium.

The society provides the transportation facility with fleet of 25
buses to the students.


TALAKSHI LALJI: CRISIL Suspends B+ Rating on INR7cr Packing Loan
----------------------------------------------------------------
CRISIL has revoked the suspension of its rating on the bank
facilities of Talakshi Lalji and Co. (TLC) and has assigned its
'CRISIL B+/Stable/CRISIL A4' ratings to the facilities. The
ratings were suspended through a rating rationale dated June 8,
2015, as the company had not provided the necessary information
for a rating review. It has now shared the requisite information,
enabling CRISIL to assign ratings to the bank facilities.

                       Amount
   Facilities        (INR Crore)    Ratings
   ----------        -----------    -------
   Bank Guarantee          .75      CRISIL A4 (Assigned;
                                    Suspension Revoked)

   Cheque Purchase         .05      CRISIL A4 (Assigned;
                                    Suspension Revoked)

   Foreign Discounting   10.00      CRISIL A4 (Assigned;
   Bill Purchase                    Suspension Revoked)

   Packing Credit         7.00      CRISIL B+/Stable (Assigned;
                                    Suspension Revoked)

The ratings reflect a modest scale of operations, an average
financial risk profile, and susceptibility to risks related to
the agriculture (agro)-based commodity business. These rating
weaknesses are partially offset by the extensive experience of
the partners in trading in agro commodities, and an established
relationship with suppliers and customers.

Key Rating Drivers & Detailed Description

Weaknesses:

* Modest scale of operations: The firm has adopted a prudent
approach to growth and hence despite being in the industry for
more than 40 years, the scale of operations has remained modest,
as reflected in turnover of INR32 crore in fiscal 2018. Further,
the agro-commodity trading business is highly fragmented, with a
large number of exporters in India. The intense competition and
presence of a large unorganised section of traders further
constrain the margins.

* Exposure to risks related to the agro-based commodity business:
Operating performance remains susceptible to external factors
such as erratic rainfall, soil and climatic conditions, diseases,
and prices of substitute crops. These factors impact availability
of raw material and working capital management.

Strengths:

* Extensive experience of the partners: The decade-long
experience of the partners in the agro industry, and their
healthy relationship with suppliers and customers in India and
abroad have helped increase business.

Outlook: Stable

CRISIL believes TLC will continue to benefit from the extensive
industry experience of its partners and established relationship
with suppliers and customers. The outlook may be revised to
'Positive' in case of a significant increase in the scale of
operations, while profitability margins are maintained and the
capital structure improved. The outlook may be revised to
'Negative' if the financial risk profile deteriorates, most
likely because of a sharp decline in profitability or revenue,
larger-than-expected debt-funded capital expenditure, or
deterioration in the working capital cycle.

TLC is a partnership firm established in 1959 by the Mumbai-based
Bheda family; operations are managed by Mr Rajiv Bheda along with
his brothers, Mr Rajesh Bheda and Mr Hiten Bheda. The firm
processes and trades in sesame seeds and groundnut kernels. It
also trades in other agro commodities such as chilly, cumin
seeds, and poha.


TECH INDIA: CRISIL Assigns 'B' Rating to INR2.5cr LT Loan
---------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the proposed
long-term bank facilities of Tech India Engineering and
Automation (TIEA).
                       Amount
   Facilities        (INR Crore)    Ratings
   ----------        -----------    -------
   Proposed Long Term
   Bank Loan Facility      2.5      CRISIL B/Stable (Assigned)

The rating reflects exposure to risks related to timely funding
of the project and its subsequent stabilization in operations and
the expected modest scale of operations. These weaknesses are
partially offset by benefits from extensive experience of
promoters in the electrical components business.

Key Rating Drivers & Detailed Description

Weakness

* Exposure to risks related to funding and stabilisation of the
project: The firm is currently in the project phase and external
funding is yet to be tied up. Operations are expected to commence
from fiscal 2020. Timely commencement and stabilization of the
cash flows will remain key rating sensitivity factors.

* Expected modest scale of operations in the initial phase: The
firm is expected to commence commercial operations only in April
2019. The revenues are expected to remain modest at around INR1-2
crores over medium term.

Strengths

* Extensive experience of promoters: The partners, have more than
7 years of experience in the electricals industry. The extensive
experience will continue to support the business risk profile

Outlook: Stable

CRISIL believes TIEA will continue to benefit from the
considerable experience of its promoters in the industry. The
outlook may be revised to 'Positive' if the project is
implemented in a timely manner without any significant cost
overrun, leading to continuous accretion to reserves. The outlook
may be revised to 'Negative' in case of any significant time or
cost overrun in commissioning the project, longer than expected
working capital cycle leading to deterioration in the financial
risk profile.

TIEA was established in 2018 as a partnership firm and in engaged
in manufacturing of electronic connectors.


V R CONSTRUCTIONS: CRISIL Migrates B+ Rating to Non-Cooperating
---------------------------------------------------------------
CRISIL has migrated the rating on bank facilities of V R
Constructions - Nellore (VRC) to 'CRISIL B+/Stable/CRISIL A4
Issuer not cooperating'.

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Bank Guarantee        10       CRISIL A4 (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Cash Credit            4.75    CRISIL B+/Stable (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Proposed Long Term      .25    CRISIL B+/Stable (ISSUER NOT
   Bank Loan Facility             COOPERATING; Rating Migrated)

CRISIL has been consistently following up with VRC for obtaining
information through letters and emails dated August 27, 2018,
September 29, 2018, October 5, 2018 and October 9, 2018 among
others, apart from telephonic communication. However, the issuer
has remained non cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of VRC, which restricts CRISIL's
ability to take a forward looking view on the entity's credit
quality. CRISIL believes information available on VRC is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of VRC to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'

VRC, established in 2000, is a partnership firm of G Raja Sekhar
Rao, G Lakshmi Rajyam, G Rambabu, M Ravi Kumar and P Srihari
Naidu. VRC, based in Nellore, Andhra Pradesh, undertakes civil
construction for road, irrigation and electrical segments.


VAISHNAVI INFRACON: CRISIL Migrates B Rating to Non-Cooperating
---------------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Vaishnavi
Infracon India Private Limited (VIIPL) to 'CRISIL B/Stable Issuer
not cooperating'.

                       Amount
   Facilities        (INR Crore)    Ratings
   ----------        -----------    -------
   Proposed Long Term       25      CRISIL B/Stable (ISSUER NOT
   Bank Loan Facility               COOPERATING; Rating Migrated)

CRISIL has been consistently following up with VIIPL for
obtaining information through letters and emails dated October 5,
2018 and October 9, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of VIIPL. Which restricts
CRISIL's ability to take a forward looking view on the entity's
credit quality. CRISIL believes information available on VIIPL is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of VIIPL to 'CRISIL B/Stable Issuer not cooperating'.

VVIPL was incorporated in 2009 by Mr B Panduranga Reddy. The
company is involved in construction and sale of residential and
commercial real estate projects in Hyderabad.


VERTICE GLOBAL: CRISIL Migrates B- Rating to Not Cooperating
------------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Vertice
Global Private Limited (Vertice) to 'CRISIL B-/Stable Issuer not
cooperating'

                     Amount
   Facilities      (INR Crore)    Ratings
   ----------      -----------    -------
   Cash Credit           2        CRISIL B- (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Long Term Loan       11.9      CRISIL B- (ISSUER NOT
                                  COOPERATING; Rating Migrated)

   Proposed Long Term     .1      CRISIL B- (ISSUER NOT
   Bank Loan Facility             COOPERATING; Rating Migrated)

CRISIL has been consistently following up with Vertice for
obtaining information through letters and emails dated July 25,
2018, October 5, 2018 and October 9, 2018 among others, apart
from telephonic communication. However, the issuer has remained
non cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of Vertice, which restricts
CRISIL's ability to take a forward looking view on the entity's
credit quality. CRISIL believes information available on Vertice
is consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of Vertice to 'CRISIL B-/Stable Issuer not
cooperating.

Set up in 2014 and started commercial production in fiscal 2017,
Vertice is engaged in manufacturing of Double Edged Blades (DE
Blades). The operations of the company are managed by Mr P.
Purushotham and Sai Teja Boddupalli. The plant is located in
Shamirpet Mandal Ranga Reddy, Hyderabad (Telangana).


VISHNUSHIVA INFRASTRUCTURES: CRISIL Moves B+ to Non-Cooperating
---------------------------------------------------------------
CRISIL has migrated the rating on bank facilities of Vishnushiva
Infrastructures (VI) to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'.

                     Amount
   Facilities      (INR Crore)     Ratings
   ----------      -----------     -------
   Cash Credit           7         CRISIL B+/Stable (ISSUER NOT
                                   COOPERATING; Rating Migrated)

   Letter Of Guarantee   0.75      CRISIL A4 (ISSUER NOT
                                   COOPERATING; Rating Migrated)

   Proposed Long Term    2.25      CRISIL B+/Stable (ISSUER NOT
   Bank Loan Facility              COOPERATING; Rating Migrated)

CRISIL has been consistently following up with VI for obtaining
information through letters and emails dated October 8, 2018 and
October 12, 2018 among others, apart from telephonic
communication. However, the issuer has remained non cooperative.

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

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL
failed to receive any information on either the financial
performance or strategic intent of VI. Which restricts CRISIL's
ability to take a forward-looking view on the entity's credit
quality. CRISIL believes information available on VI is
consistent with 'Scenario 1' outlined in the 'Framework for
Assessing Consistency of Information with CRISIL BB' rating
category or lower'.

Therefore, on account of inadequate information and lack of
management cooperation, CRISIL has migrated the rating on bank
facilities of VI to 'CRISIL B+/Stable/CRISIL A4 Issuer not
cooperating'.

Furthermore, the company has not paid the fee for conducting
rating surveillance as agreed to in the rating agreement.

VI, incorporated in March 2008, is a partnership firm, promoted
by Mr. B S Rana and family members. It mines coal and is
currently working as a subcontractor for Sadbhav Engineering Ltd.


YANTRA ESOLAR: CARE Lowers Rating on INR19.81cr LT Loan to B
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Yantra eSolar India Pvt Ltd (Yantra), as:

                   Amount
   Facilities    (INR crore)    Ratings
   ----------    -----------    -------
   Long-term Bank     19.81     CARE B; Stable [Outlook: Stable]
   Facilities                   Revised from CARE BB(SO)'; Stable
                                [Outlook: Stable]

Detailed Rationale & Key Rating Drivers

CARE has assessed the Yantra on a standalone basis due to
weakening of financial profile of the guarantor, which no longer
provides any credit enhancement. The rating revision factors in
decline in the operating income during FY18 (Provisional) (FY
refers to period April to March), leveraged capital structure
with erosion of networth on account of accumulated losses as on
March 31, 2018, low plant load factor (PLF) levels and inherent
risk associated with solar power project, which are susceptible
to climate at the site location. The rating is, however,
underpinned by experienced promoters having a diversified
business portfolio, low off-take and credit risk owing to the
long-term Power Purchase Agreement (PPA) with Gujarat Urja Vikas
Nigam Ltd (GUVNL), comfortable collection period and positive
outlook for renewable power industry.  The ability of Yantra to
improve its generation and timely realization of sale proceeds
are the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Decline in the operating income during FY18 due to low PLF levels
The operating income of the company has declined by 11% from
INR7.31 crore in FY17 to INR6.49 crore (Provisional) in FY18,
primarily on account of low PLF levels. The project has an
average PLF of 14.77% for the last 12 months ended September
2018. The company has reported net loss of INR2.05 crore in FY18
(Provisional) as against net loss of INR1.91 crore in FY17.

Leveraged capital structure with continuous erosion of networth:
The capital structure of the company is highly leveraged with
overall gearing at 2.47x as on March 31, 2018 as against 2.30x as
on March 31, 2017. The networth of the company has eroded due to
continuous losses for the past three years. However, the
promoters have infused INR0.31 crore during FY18 to support the
operations.

Inherent risk for Solar Power Project: The site receives an
average of solar radiation of 5.305 kWh per metre square per day.
The sunshine hours decides the amount of power generated by the
solar PV power plant. It is continuously variable on a daily
basis with seasonal variation throughout the year and may be
intermittent, influenced heavily by metrological conditions.

Key Rating Strengths

Experienced promoters: Yantra was promoted by Mr. Santosh
Varalwar (promoter of VVL) and Mr. Nixon Patel. The promoters
possess over more than two decades of entrepreneurial experience
in various domains which include pharmaceuticals, software, real
estate,
hospitality and others. They hold executive positions and have
served on boards of various companies. The company has
a qualified and experienced management team working on the
project. However, the promoters lack previous experience
in renewable energy segment.

Presence of long term PPA with Gujarat Urja Vikas Nigam Ltd
resulting in low off-take credit risk The company has entered
into Power Purchase Agreement (PPA) with Gujarat Urja Vikas Nigam
Ltd (GUVNL, rated CARE AA-; Stable/CARE A1+) in Dec, 2010 for a
period of 25 years from Commercial Operation Date (COD). GUVNL
will purchase power at INR 9.98/kWh for first 12 years and for
the subsequent 13 years the power cost will be INR7/kWh. The
project achieved COD on October 23, 2012 as against Scheduled
Commercial Operation Date (SCOD) of Dec. 31, 2011 and the total
operating capacity commissioned is 4.95 MW. The financial risk
profile of the purchaser is expected to ensure timely payments
for power purchases, largely mitigating the credit risk of off
taker.

Comfortable collection period: The company has been receiving
payments from Discom i.e. GUVNL within an average 5-7 days in
FY18 and H1FY19. Timely collection from off-taker remains
important from credit perspective of the company.

Positive outlook for renewable energy: The Indian renewable
energy sector is the fourth most attractive renewable energy
market in the world. Power generation from renewable energy
sources in India reached 85.65 billion units in FY18 (up to
January 2018). The Government of India has formulated an action
plan to achieve a total capacity of 60 GW from hydro power and
175 GW from other renewable energy sources (excluding large hydro
projects) by March, 2022, which includes 100 GW of Solar power,
60 GW from wind power, 10 GW from biomass power and 5 GW from
small hydro power. Solar installation in India is expected to
increase 360 per cent by 2020. India witnessed highest ever solar
power capacity addition of 5,525.98 MW and 467.11 MW of wind
power capacity addition in 2017-181. 15,000 biogas plants were
installed during the same time period.

Analytical approach: Standalone

There is a change in approach and CARE has assessed the Yantra
eSolar India Pvt Ltd (Yantra) on a standalone basis due to
weakening of financial profile of the guarantor (Vivimed Labs
Limited) which no longer provides any credit enhancement.
The ratings of Vivimed Labs Limited were revised to CARE D/CARE D
owing to delays in debt servicing.

Yantra eSolarIndia Pvt. Ltd. (Yantra), incorporated in August
2010, has been promoted by Mr. Santosh Varalwar [MD of Vivimed
Labs Ltd (VLL), who holds shares as nominee of VLL], Mr. Nixon
Patel of RAS Global Ltd and Mr. B. Ravi Kumar of GRV Estates P.
Ltd. The company was established to set up 5 MW Solar
Photovoltaic (PV) Grid Interactive Power plant in Charanka
Village, Santalpur Taluka, PatanDist of Gujarat. The project
achieved COD on October 23, 2012 as against Scheduled Commercial
Operation Date (SCOD) of Dec. 31, 2011. The project has been
completed at a total project cost of INR 84 crore (as against
proposed cost of INR72.5 crore). The company has entered into
Power Purchase Agreement (PPA) with Gujarat UrjaVikas Nigam Ltd.
for a period of 25 years from Commercial Operation Date (COD).
GUVNL will purchase power at INR 9.98/kWh.



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


TOSHIBA CORP: To Shed Assets, Cut 7,000 Jobs Over 5 Years
---------------------------------------------------------
Makiko Yamazaki at Japan Today reports that Toshiba Corp is
liquidating its British nuclear power unit and selling its U.S.
liquefied natural gas (LNG) business, as the once-mighty
industrial conglomerate seeks to unload troubled assets and
regain investors' confidence.

Japan Today relates that the plans are part of a new five-year
business strategy Toshiba announced on Nov. 8, which also
included 7,000 job cuts, or 5 percent of its workforce, over five
years.

According to the report, Toshiba has been trying to win back the
market's trust after a 2015 accounting scandal uncovered
widespread irregularities at the laptops-to-nuclear conglomerate
for years.

The scandal forced it to recognize huge cost overruns at now-
bankrupt U.S. nuclear unit Westinghouse, prompting it to sell its
prized memory chip unit earlier this year to a consortium led by
U.S. private equity firm Bain Capital and leaving it with few
growth businesses, Japan Today says.

"There had been reports about a possibility of selling non-
performing business and job cuts so such moves had been expected
at some point. But investors are taking heart," the report quotes
Hiroyuki Fukunaga, chief executive of Investrust, a financial
advice firm, as saying.  "The share buyback announcement worth up
to 40 percent of outstanding shares is definitely positive, too."

Japan Today notes that Toshiba had already promised a share
buyback of 700 billion yen earlier this year, but the timing had
been undecided. Its announcement on Nov. 8 appeared to outweigh a
weaker profit forecast - the company said it now expects a full-
year operating profit of JPY60 billion rather than a previous
estimate of JPY70 billion.

Toshiba has been trying to shed troubled assets that could have
exposed the Japanese company to future losses, the report states.

Japan Today says the decision to liquidate NuGen, however, would
be a blow to Britain's plans to build a nuclear plant that was
meant to provide 7 percent of the country's electricity. Reuters
was the first to report last month that Toshiba was considering
liquidating NuGen.

According to Japan Today, South Korea's state-run Korea Electric
Power Corp (KEPCO) has been in talks with Toshiba to buy a stake
in NuGen. South Korea's energy ministry said on Nov. 8 it will
closely coordinate with the British government on the NuGen
project, while monitoring the liquidation process with KEPCO.

On the LNG project, Toshiba said the buyer is China's ENN Energy
Holdings. It will be paying ENN $800 million to assume its
commitment to purchase 2.2 million tons per year of the fuel from
Freeport LNG in Texas, Japan Today reports.

The company has spent years trying to either sell the gas to
power customers or offload the business after signing the 20-year
contract to buy LNG from Freeport, adds Japan Today.

                       About Toshiba Corp.

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

As reported in the Troubled Company Reporter-Asia Pacific on
June 20, 2018, Moody's Japan K.K. upgraded Toshiba Corporation's
corporate family rating and senior unsecured debt rating to B1
from Caa1, and its subordinated debt rating to B3 from Ca.
The rating outlook is stable.  At the same time, Moody's has
affirmed Toshiba's commercial paper rating of Not Prime.
This rating action concludes the review for upgrade initiated on
May 18, 2018.



===============
M O N G O L I A
===============


DEVELOPMENT BANK: Moody's Affirms B3 Long-Term Issuer Rating
------------------------------------------------------------
Moody's Investors Service has affirmed Development Bank of
Mongolia LLC's B3 foreign currency long-term issuer rating with a
stable outlook.

At the same time, Moody's has upgraded DBM's Baseline Credit
Assessment (BCA) and Adjusted BCA to b3 from caa1, foreign
currency and local currency long-term Counterparty Risk Ratings
to B2 from B3, and long-term Counterparty Risk Assessment to
B2(cr) from B3(cr).

RATINGS RATIONALE

  - BCA and Adjusted BCA

The upgrade of DBM's BCA reflects the improvement in the bank's
asset risk and profitability, driven by robust economic recovery,
as well as ease of liquidity constraints, after the bank
successfully raised foreign currency debt sufficient to cover
maturities until 2022.

DBM's asset risk has improved, with its problem loans to gross
loans falling to 7.9% as of the end of June 2018 from 11.7% at
the end of 2015, driven by Mongolia's solid export growth of
13.6% in the first six months of 2018 on supportive commodity
prices.

DBM raised $500 million in debt from the international capital
markets in October 2018, an amount which is sufficient to cover
foreign currency debt maturities until 2022, lowering near to
medium term risks on foreign currency funding for the bank.

DBM's BCA of b3 reflects the bank's very strong capitalization,
after a capital injection by the government at the end of 2016,
modest but improving asset risk and profitability, after the
revision of the DBM Law to restrict lending to commercial
projects only. The BCA also reflects the bank's modest liquidity
and funding, a result of its policy mandate to lend to export-
oriented businesses and also because the bank does not take
deposits from retail customers.

Moody's does not incorporate any affiliate support in DBM's b3
Adjusted BCA.

  - Issuer rating

DBM's foreign currency long-term issuer rating reflects: (1) the
bank's BCA and Adjusted BCA of b3; (2) Moody's Basic Loss Given
Failure (LGF) analysis, which positions the Preliminary Rating
Assessment on senior unsecured bank debt at the same level as the
bank's Adjusted BCA; and (3) Moody's assumption that the bank
would receive support from the Government of Mongolia (B3 stable)
in times of need, but concluding that such an assumption results
in no uplift to DBM's ratings.

Moody's applies its Basic LGF approach in rating the securities
of Mongolian banks. In Moody's opinion, Mongolia does not have an
operational resolution regime.

DBM's ratings do not incorporate any uplift based on government
support, because the bank's Adjusted BCA is in line with the
sovereign rating of the Government of Mongolia. Nevertheless,
Moody's assumes government-backed support for the bank in terms
of probability of support.

Moody's assumption of government support reflects the full
support from the Government of Mongolia to DBM in times of need,
underpinned by the DBM Law, which stipulates DBM's clear public
policy mandate and government ownership. Article 18 states that
the government is a shareholder of DBM. Article 6 of the
legislation also states that the government shall make a decision
on contributing additional capital should DBM's reserves prove
insufficient to cover its losses.

The stable outlook on DBM's ratings reflects Moody's view that
the bank's credit fundamentals will remain robust over the next
12-18 months.

  - Counterparty Risk Assessment (CR Assessment) and Counterparty
Risk Rating (CRR)

The upgrades of DBM's CR Assessment and CRRs take into
consideration the upgrade of the bank's Adjusted BCA.

In particular, DBM's CR Assessment and CRRs take into
consideration: (1) the b3 Adjusted BCA; and (2) Moody' Basic LGF
analysis, which positions the Preliminary Rating Assessment of CR
Assessment and CRRs one notch above the bank's Adjusted BCA,
prior to government support; and (3) Moody's assumption of
government-backed support, but which results in a lack of ratings
uplift.

The CR Assessment do not incorporate any uplift from Moody's
assessment of government support for DBM in times of need,
because the assessments are equivalent to a ratings level above
that of the sovereign rating for the Government of Mongolia.

Moody's believes that senior obligations represented by the CR
Assessment are likely to be preserved to limit contagion,
minimize losses and avoid disruption of the bank's critical
functions.

The CRRs do not incorporate any uplift due to Moody's assessment
of government support for DBM in times of need, because the
assessments are equivalent to a ratings level above the sovereign
rating for the Government of Mongolia.

The CRRs also takes into consideration Moody's expectation that
the uncollateralized portion of the bank's non-debt counterparty
financial liabilities (CRR obligations) will receive preference
relative to junior depositors and senior unsecured creditors,
given the desire of government authorities to ensure the
continuity of a failing bank's operations.

WHAT COULD CHANGE THE RATINGS UP

DBM's foreign currency long-term issuer rating and BCA are at the
same level as the sovereign rating for the Government of
Mongolia. Positive actions on DBM's ratings are unlikely in the
absence of an upgrade of Mongolia's government rating.

WHAT COULD CHANGE THE RATINGS DOWN

Factors that could result in a downgrade of DBM's ratings
include: (1) a downgrade of Mongolia's sovereign rating; or (2) a
weakening in the strategic importance of DBM to the government,
as a result of which, Moody's would change its assessment on the
probability of government support.

Moody's could downgrade DBM's BCA if: (1) Mongolia's operating
environment weakens significantly, resulting in a deterioration
in its asset quality and capitalization; (2) profitability
weakens materially, owing to a high level of credit costs; and/or
(3) uncertainty rises in the bank's ability to repay its foreign
currency obligations.

Development Bank of Mongolia LLC is headquartered in Ulaanbaatar
and reported total assets of MNT3.74 trillion ($1.54 billion) at
December 31, 2017.

LIST OF AFFECTED RATINGS

  - Foreign currency long-term issuer rating affirmed at B3,
    outlook is stable

  - Local and foreign currency long-term Counterparty Risk
    Ratings upgraded to B2 from B3

  - Local and foreign currency short-term Counterparty Risk
    Ratings affirmed at NP

  - Long-term Counterparty Risk Assessment upgraded to B2(cr)
    from B3(cr)

  - Short-term Counterparty Risk Assessment affirmed at NP(cr)

  - BCA and Adjusted BCA upgraded to b3 from caa1

  - Outlook is stable



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


EBERT CONSTRUCTION: Subcontractors May be Denied NZ$170,000
-----------------------------------------------------------
Julie Iles at Stuff.co.nz reports that some subcontractors left
out of pocket with the collapse of Ebert Construction could be
denied a total of NZ$170,000 because of a "data entry error".

And whether they get any money back hinges on an impending High
Court decision, Stuff says.

According to Stuff, High Court judge Peter Churchman's reserved
decision will decide which of 152 subcontractors can be repaid
from a NZ$3.6 million fund held in trust for them.

But several of the subcontractors could miss out because there
was a "data entry error" when Ebert processed their contracts -
instead filing them as ones signed before a law change, the
report states.

Stuff says under changes to the Construction Contracts Act, which
came into effect last April, construction contractors are
required to keep retention payments in a trust for
subcontractors.  These are a portion of a subcontractor's payment
held back for a time to guarantee faulty workmanship is fixed.
Held in trust, the payments are considered the legal property of
the subcontractor and in the event the company collapses they are
not able to be distributed to secured creditors.

Ebert owes its unsecured creditors about NZ$34 million, plus
another NZ$9.3 million in retention money, but in reality there's
only a NZ$3.69 million fund to dip into, which is about NZ$1
million short of the NZ$4.5 million subcontractors should have
had set aside under the law, Stuff discloses.

Stuff says 21 subcontractors that signed contracts with the
company after the law change did not have their retentions put
into the fund, causing the nearly NZ$1 million short change.

This was either because of a "data entry error" or because Ebert
stopped setting aside retentions in the two months before its
collapse, in some cases it was not even calculated what the
retention payment should have been, according to Stuff.

It is up to Judge Churchman to decide whether these 21
subcontractors are eligible under the new legislation to the
retentions fund, the report relates.

According to the report, the judge said he was likely to deal
with the classification issues in his decision. "It may be that I
have to issue a decision in principle on those and follow that up
with reasons which I can't guarantee when I'll actually be able
to issue those." Those excluded because of a the computational
error were the "most difficult of the categories" to rule on, the
report says.

These subcontractors were owed an estimated NZ$170,000 in
retentions, said Rachel Pinny, counsel for receivers PWC, Stuff
relays.

The judge also said he intended to grant the application for the
receivers to be appointed by the court, and rule on whether
receiver's costs should be capped at NZ$150,000, adds Stuff.

According to PwC, subcontractors were not expected to be paid
anything beyond what was in the NZ$3.69 million fund.

The company had less than NZ$10,000 in its other accounts at the
time of its collapse.

Auckland Ventilation Services has the largest claim for
retentions, making up 14 per cent of the fund or NZ$546,808,
Stuff discloses.

Stuff adds that the company's lawyer Craig Andrews argued that
allowing the 21 subcontractors whose retentions were not included
in the fund to make a claim to it would "do violence to those
that did have it put aside".

"The aim here is to get some money out before Christmas, it's not
doing anybody any good sitting in a bank account," Stuff quotes
receiver Lara Bennet as saying.

                    About Ebert Construction

New Zealand-based Ebert Construction Limited provided
construction management services. It offered design management,
value engineering, cost planning, programming, construction
management, health and safety management, quality management, and
project reporting services.

Lara Bennett, John Fisk and Richard Longman from PwC were
appointed receivers to Ebert Construction Limited in July 2018 as
a result of a request made by the Ebert Board of Directors to its
bank.

At the time of PwC's appointment, the company was involved in 15
active projects, employed 100 staff and was forecasting turnover
of NZ$171 million in the year through March 2019, according to NZ
Herald.

Some NZ$640,000 was owed to staff as preferential creditors, with
a further NZ$1.3 million owed to employees on an unsecured basis,
NZ Herald disclosed citing receivers' first report.

NZ Herald said Ebert co-founder and managing director Kevin Hale
is also a secured creditor, owed NZ$3.5 million, which he loaned
to the business on July 24 as a short-term measure before new
capital was raised from other shareholders.



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


PUMA ENERGY: Moody's Revises Outlook on Ba2 CFR to Negative
-----------------------------------------------------------
Moody's Investors Service affirmed Puma Energy Holdings Pte.
Ltd's Ba2 corporate family rating and Ba2-PD probability of
default rating. Moody's also affirmed the Ba2 ratings assigned to
the senior unsecured notes issued by Puma International Financing
S.A. and guaranteed by Puma Energy. Concurrently, Moody's changed
the outlook on all ratings to negative from stable.

RATINGS RATIONALE

The revision of the rating outlook to negative from stable
largely reflects the uncertainty that is weighing on Puma
Energy's operating performance in the near term, particularly in
Angola (B3 stable) where the group generated around 20% of its
gross profit in 2017. Moody's believes that Puma is likely to
post a year-on-year decline in reported EBITDA of more than 20%
in 2018, which would lead to an increase in financial leverage
with Moody's adjusted total debt to EBITDA rising above 5x at
year-end against 4.6x in 2017.

Since the start of 2018, Puma has been facing challenging trading
conditions in some of its key markets amid the ongoing
depreciation of emerging market currencies against the dollar.
This led the group to post a 23% decline in EBITDA to $288
million in H1 2018.

More specifically, the contribution from its Angola-based
operations has been affected by the freeze on refined oil product
prices imposed in March 2018 by the Angolan government in the
context of its macroeconomic stabilisation programme. This
followed the decision taken by the National Bank of Angola to
exit the exchange rate peg to the US dollar earlier in the year,
which has led to a 56% depreciation in the Angolan kwanza against
the US dollar year to date. As a result, Moody's expects Puma's
gross profit in Angola to more than halve in 2018, against $270
million posted in 2017.

In addition, Puma's Downstream results in Australia (16% of the
group's Downstream gross profit in 2017) have been depressed by
intensifying competitive pressures, higher credit card sales
effected at a discount, as well as increased personnel costs
incurred by the group following the conversion of some of its
CoDo retail sites to the CoCo model. Also, Midstream EBITDA (15%
of group total) was affected by the loss of the Ghana pipeline
concession.

In H2 2018, Puma's results will be again pressured by the
continuing oil price freeze in Angola and further depreciation of
the kwanza against the US dollar, as well as the tough
competitive environment in Australia. Moody's expects Puma's
reported EBITDA to fall to around $560 million in 2018 (i.e. 24%
down year-on-year) and leverage metrics to weaken with Moody's
adjusted total debt to EBITDA rising to around 5.2x at year-end
against 4.6x in 2017.

Further ahead, any future recovery in Puma's profitability will
largely depend on whether the Angolan authorities decide to bring
the price of refined oil products back in line with international
markets. In this context, Moody's notes that the government of
Angola requested an economic programme from the IMF, which could
be supported by an Extended Fund Facility (EFF) to help shore up
the country's fiscal and external position.

As part of the negotiations that were scheduled to start in
October 2018, Moody's expects the IMF to make a number of
recommendations to the Angolan government. These will likely
include adjusting domestic fuel prices to reflect changes in
international fuel prices and the exchange rate while introducing
an automatic price adjustment mechanism, as well as liberalising
the import of refined oil products into Angola (currently a
monopoly of the country's national oil company Sonangol).

While the adoption of any of the measures and the timing of their
implementation remain highly uncertain at this stage, they would
support a recovery in Puma's financial results. That said, should
a favourable outcome fail to materialise within the next 3-6
months, Puma Energy's Ba2 ratings would clearly be at risk.

In H1 2018, despite lower EBITDA generation, a $24 million
working capital inflow combined with a 43% cut in capex to $112
million and the sale of a 20% interest in the Langsat bitumen
terminal in Malaysia for $24 million, helped the group generate a
small cash surplus of $7 million before debt financing.

In the near-term, Moody's expects Puma to focus on preserving
cash flow by tightly managing working capital and keeping capital
expenditure close to its H1 2018 level. This should enable the
group to be mildly free cash flow positive in 2018, and keep
within the financial covenants governing its bank facilities by
containing the increase in its financial leverage.

In this context, Moody's views Puma's current liquidity position
as satisfactory. At the end of June 2018, Puma held cash balances
of approximately $579 million and had total availabilities under
committed credit lines of $955 million, of which $520 million
under revolving credit facilities expiring within twelve months.
In addition, Puma continues to have access to a $500 million
committed shareholder loan from Trafigura.

WHAT COULD CHANGE THE RATING UP/DOWN

Puma Energy's ratings could be downgraded should the prospects
for a sustained recovery in operating profitability that would
enable the group to lower adjusted total debt to EBITDA close to
4.5x times, fail to materialise within the next 3-6 months.

While unlikely at this juncture considering the negative outlook,
the continued expansion and diversification of the group's
geographic footprint together with consistent positive free cash
flow generation after capex and dividends resulting in a
permanent reduction in Moody's adjusted total debt to EBITDA
ratio below 3.5x could lead to an upgrade.

The principal methodology used in these ratings was Midstream
Energy published in May 2017.

Puma Energy Holdings Pte. Ltd ("Puma Energy") is an integrated
midstream and downstream oil products group active in Africa,
Latin America, North East Europe, the Middle East and Asia-
Pacific. Trafigura Beheer BV, a global commodity and logistics
firm, established Puma Energy in 1997 as a storage and
distribution network in Central America, and the company has
since grown into a global network operating across 49 countries
worldwide, with approximately 7.6 million cubic metres of storage
capacity and a network of approximately 3,105 retail service
stations across Africa, Latin America, and Australia. In the
twelve months to the end of June 2018, Puma Energy sold 24.0
million cubic metres of oil products and its facilities handled
almost 15.7 million cubic metres of petroleum products.

Trafigura (not rated), a global commodities trader, continues to
own 49.3% of Puma Energy. Sonangol (not rated), the state-owned
national oil company of Angola, is Puma's other major shareholder
with a 27.9% stake. In addition, Cochan Holdings LLC owns 15.5%
with the remaining owned by private investors.



====================
S O U T H  K O R E A
====================


GM KOREA: KDB to Seek 3-Way Talks, Union Over Spin-Off Plan
-----------------------------------------------------------
Yonhap News Agency reports that the head of the state-run Korea
Development Bank (KDB) said on Nov. 8 he will propose three-way
talks with GM Korea and its labor union amid a deepening spat
over the carmaker's plan to spin off its research unit.

Yonhap relates that Lee Dong-gull, governor of the KDB, told
reporters that the proposal will be officially delivered to GM
Korea and the union later in the day [Nov. 8] or Friday [Nov. 9].

If held, the three-way talks involving the KDB, GM Korea's
second-largest shareholder, would help them find "meaningful
means" to resolve the dispute, Mr. Lee said.

According to Yonhap, shareholders of GM Korea approved the spin-
off plan last month, sparking concerns that the U.S. carmaker may
keep only its research facility in South Korea and eventually
shut down its manufacturing facilities here.

The KDB criticized GM Korea for unilaterally pushing ahead with
the spin-off plan, the report states.

In February this year, GM unveiled a restructuring plan for the
loss-making GM Korea, including shuttering one of its four plants
in South Korea.

Yonhap relates that GM and the KDB signed a binding pact in May
on the rescue package for GM Korea. Under the agreement, the KDB
pledged to inject US$750 million, while GM will provide $3.6
billion in fresh loans to keep GM Korea afloat.

The agreement prohibits GM from selling any stake in GM Korea
over the next five years and limits GM's right to sell shares or
assets for 10 years.

Of the $750 million, the KDB injected $375 million into GM Korea
in June, and the remaining half will not be provided "if a
majority of people" call on the KDB do so, the governor said.

GM Korea Co. is the South Korean unit of General Motors Co.
The U.S. automaker owns 77 percent of GM Korea while KDB owns a
17 percent stake. GM's main Chinese partner, SAIC Motor Corp,
controls the remaining 6.0 percent.

GM Korea continued to post net losses worth an accumulated
KRW3.134 trillion from 2014-2017 due to lower demand for its
models, according to Yonhap News.



                             *********

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
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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
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