/raid1/www/Hosts/bankrupt/TCRAP_Public/190118.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, January 18, 2019, Vol. 22, No. 013

                            Headlines


A U S T R A L I A

A.M.P.E SARL: First Creditors' Meeting Set for Jan. 25
AK HOMES: First Creditors' Meeting Set for Jan. 24
DBW PROPERTIES: First Creditors' Meeting Set for Jan. 30
LIBERTY SERIES 2017-2: Moody's Ups Class F Debt Rating to B1
SIMPSON AND CO: Second Creditors' Meeting Set for Jan. 25

SNAKK MEDIA: Second Creditors' Meeting Set for Jan. 24
STELLA DESIGN: Second Creditors' Meeting Set for Jan. 25


C H I N A

BEIJING KANG: Likely to Default on CNY1.56BB Corporate Bonds
CHINA AUTOMATION: S&P Withdraws 'CCC' LT Issuer Credit Rating
CHINA LIAONING: Significant Losses Cast Going Concern Doubt
GREENLAND HOLDING: Moody's Rates Proposed Sr. Unsec. Notes Ba2
KANGDE XIN: Moody's Lowers CFR to Ca, Outlook Negative

NEOGLORY HOLDINGS: Defaults on Exchange-Traded Bond Payment
WUZHOU INT'L: Moody's Withdraws Ca CFR on Insufficient Info


H O N G  K O N G

BRIGHTOIL PETROLEUM: Court to Hear Wind Up Petition on March 6
CENTURY SUNSHINE: Moody's Assigns B2 CFR, Outlook Stable


I N D I A

ANANDA EXPORTS: Ind-Ra Migrates 'B+' LT Rating to Non-Cooperating
BALAJI INTERNATIONAL: CARE Cuts Rating on INR2cr Loan to B
CREATOR POLY: Ind-Ra Migrates B Issuer Rating to Non-Cooperating
DAULAT FLOUR: CARE Migrates B+ Rating to Not Cooperating Category
DIGILOGIC SYSTEMS: Ind-Ra Migrates BB- Rating to Non-Cooperating

GDR EDUCATIONAL: CARE Lowers Rating on INR49.01cr Loan to D
GHANSHYAM DAS: CARE Lowers Rating on INR11.85cr LT Loan to D
JET AIRWAYS: Flags Bailout Options Including Change in Board
J D TALC: CARE Lowers Rating on INR5.16cr LT Loan to B
JODHANI EXPORTS: Ind-Ra Withdraws 'D' Rating on INR200MM Loan

JYOTI HOSPITAL: CARE Lowers Rating on INR5.58cr LT Loan to B
KURINJI SPINNING: Ind-Ra Migrates BB LT Rating to Non-Cooperating
LOTUS GEM: Ind-Ra Moves BB- LT Issuer Rating to Non-Cooperating
NIKHIL TOBACCOS: CARE Reaffirms B+ Rating on INR30cr LT Loan
NUTECH APPLIANCES: CARE Lowers Rating on INR3cr LT Loan to B

P. K. INDUSTRIES: CARE Lowers Rating on INR4cr LT Loan to D
P.N. WRITER: Ind-Ra Affirms BB+ LT Issuer Rating on INR720MM Loan
PARSVNATH DEVELOPERS: NCLT Admits Insolvency Plea vs. Unit
PHILIP D' COSTA: CARE Lowers Rating on INR3.67cr Loan to B+
PRACHI (INDIA): CARE Migrates B+ Rating to Not Cooperating

RAM RAGHU: CARE Reaffirms D Rating on INR4.26cr Long Term Loan
SAIBABA SOLVENT: Ind-Ra Affirms BB- Issuer Rating, Outlook Stable
SAIGON INFRATECH: CARE Maintains D Rating in Not Cooperating
SAGAR INDUSTRIES: Ind-Ra Moves BB- LT Rating to Non-Cooperating
SHAPE ENGINEERING: CARE Lowers Rating on INR10.50cr Loan to B
SHARMA CONSTRUCTION: CARE Lowers Rating on INR0.50cr Loan to B+

SHRINET AND SHANDILYA: CARE Lowers Rating on INR3cr Loan to B
SUNBEAM ENTERPRISES: CARE Lowers Rating on INR3.21cr Loan to B
SUPER MAX: CARE Migrates B Rating to Not Cooperating Category
TIRUPATI EXPORT: CARE Lowers Rating on INR9cr Loan to B
VARDAAN EXPORTS: CARE Maintains 'D' Rating in Not Cooperating

VERTEX CONSTRUCTION: CARE Reaffirms B Rating on INR0.50cr LT Loan
VHV BEVERAGES: CARE Reaffirms D Rating on INR16cr LT Loan
WRITER LIFESTYLE: Ind-Ra Assigns BB+ LT Rating to INR1.20BB Loan


P H I L I P P I N E S

HANJIN HEAVY: HHIC-Phil Filing Highlights Philippine Bank Risks
HANJIN HEAVY: Philippine President Open to Government Takeover


                            - - - - -


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


A.M.P.E SARL: First Creditors' Meeting Set for Jan. 25
------------------------------------------------------
A first meeting of the creditors in the proceedings of A.M.P.E
Sarl South Pacific Pty Ltd will be held on Jan. 25, 2019, at
11:00 a.m. at Christie Conferencing Centre, 1/320 Adelaide
Street, in Brisbane, Queensland.

Brendan J Nixon of SM Solvency Accountants was appointed as
administrator of A.M.P.E Sarl on Jan. 17, 2019.


AK HOMES: First Creditors' Meeting Set for Jan. 24
--------------------------------------------------
A first meeting of the creditors in the proceedings of AK Homes
Construction Pty Ltd will be held on Jan. 24, 2019, at 1:00 p.m.
at Ground Floor, 235 St Georges Terrace, in Perth, WA.

Hayden Leigh White, Matthew David Woods and Clint Peter Joseph of
KPMG were appointed as administrators of AK Homes on Jan. 14,
2019.


DBW PROPERTIES: First Creditors' Meeting Set for Jan. 30
--------------------------------------------------------
A first meeting of the creditors in the proceedings of DBW
Properties Pty Ltd will be held on Jan. 30, 2019, at 10:00 a.m.
at the offices of SV Partners, Level 17, 200 Queen Street, in
Melbourne, Victoria.

Richard John Cauchi and Michael Carrafa of SV Partners were
appointed as administrators of DBW Properties on Jan. 16, 2019.


LIBERTY SERIES 2017-2: Moody's Ups Class F Debt Rating to B1
------------------------------------------------------------
Moody's Investors Service has upgraded the ratings on five
classes of notes issued by Liberty Series 2017-2 Trust.

The affected ratings are as follows:

Class B, Upgraded to Aaa (sf); previously on Feb 7, 2018 Upgraded
to Aa1 (sf)

Class C, Upgraded to Aa3 (sf); previously on Feb 7, 2018 Upgraded
to A1 (sf)

Class D, Upgraded to A3 (sf); previously on Feb 7, 2018 Upgraded
to Baa1 (sf)

Class E, Upgraded to Ba1 (sf); previously on May 17, 2017
Definitive Rating Assigned Ba2 (sf)

Class F, Upgraded to B1 (sf); previously on May 17, 2017
Definitive Rating Assigned B2 (sf)

RATINGS RATIONALE

The upgrade was prompted by an increase in credit enhancement
from the note subordination available for the affected notes.

The transaction started paying down on a pro-rata and pari passu
basis among all rated notes from September 2018, while the
unrated notes will not be repaid until all the classes senior to
them have been fully repaid. As such, credit enhancement is
building up gradually.

The note subordination available for the Class B, Class C, and
Class D notes as of the October 2018 distribution date has
increased to 15.1%, 10.5%, 8.0%, respectively, from 12.2%, 8.3%
and 6.3% at the time of the last rating upgrade in February 2018
(based on the December 2017 distribution date).

For the Class E and Class F notes, the note subordination has
increased to 5.2% and 3.7% from 3.0% and 2.1% at closing. Note
subordination has only marginally changed since the October 2018
distribution date due to the pro-rata nature of the principal
paydown since then.

The rating action incorporates the scenario in which the
transaction would have started paying down on a pro-rata and pari
passu basis among all rated notes from May 2018 (based on the
step down conditions stipulated in the transaction documents) and
reflects the balance between the possibility that the capital
structure may in the future be adjusted towards the levels it
would have reached had pro-rata payments started in May 2018, and
the current capital structure. In the scenario based on pro-rata
principal payments taking place since May 2018, the note
subordination as of October 2018 for Class B, Class C, Class D,
Class E and Class F would have been 13.8%, 9.7%, 7.6%, 5.0% and
3.7%, respectively.

The performance of the transaction has been within expectations
since closing. Both scheduled and indexed loan to value ratios
have decreased. As of October 2018, 2.0% of the outstanding pool
was 30-plus day delinquent and 1.0% was 90-plus day delinquent.
The deal has incurred losses of less than 0.001% to date.

Based on the observed performance and outlook, Moody's has
maintained its expected loss assumption at 1.5% of the original
pool balance.

Moody's has decreased its MILAN CE assumption to 12.0% from 12.1%
since the last rating action, based on the current portfolio
characteristics.

The MILAN CE and expected loss assumption are the two key
parameters used by Moody's to calibrate the loss distribution
curve, which is one of the inputs into the cash-flow model.

The transaction is an Australian RMBS secured by a portfolio of
residential mortgage loans. A portion of the portfolio consists
of loans extended to borrowers with impaired credit histories or
made on a limited documentation basis.

The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
September 2017.

Factors that would lead to an upgrade or downgrade of the
ratings:

Factors that could lead to an upgrade of the ratings include (1)
performance of the underlying collateral that is better than
Moody's expectations, (2) no adjustment to the current capital
structure back to May 2018's level, and (3) deleveraging of the
capital structure.

Factors that could lead to a downgrade of the ratings include (1)
performance of the underlying collateral that is worse than
Moody's expectations, (2) decrease in the notes' available credit
enhancement, and (3) deterioration in the credit quality of the
transaction counterparties.


SIMPSON AND CO: Second Creditors' Meeting Set for Jan. 25
---------------------------------------------------------
A second meeting of creditors in the proceedings of Simpson and
Co Painting Pty Ltd has been set for Jan. 25, 2019, at 10:00 a.m.
at the offices of Hall Chadwick Chartered Accountants, at
Level 11, Allendale Square, 77 St Georges Terrace, in Perth, WA.

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

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by Jan. 24, 2019, at 5:00 p.m.

Cameron Shaw and Richard Albarran of Hall Chadwick Chartered
Accountants were appointed as administrators of Simpson and Co on
Dec. 24, 2018.


SNAKK MEDIA: Second Creditors' Meeting Set for Jan. 24
------------------------------------------------------
A second meeting of creditors in the proceedings of Snakk Media
Pty Ltd has been set for Jan. 24, 2019, at 10:00 a.m. at the
offices of KordaMentha, at Level 5 Chifley Tower, 2 Chifley
Square, 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 Jan. 23, 2019, at 4:00 p.m.

Rahul Goyal and Scott Langdon of KordaMentha were appointed as
administrators of Snakk Media on Dec. 10, 2018.


STELLA DESIGN: Second Creditors' Meeting Set for Jan. 25
--------------------------------------------------------
A second meeting of creditors in the proceedings of Stella Design
and Construction Pty Ltd has been set for Jan. 25, 2019, at 10:30
a.m. at the offices of BRI Ferrier Western Australia, at Level 1,
99-101 Francis Street, in Northbridge, WA.

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

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by Jan. 24, 2019, at 4:00 p.m.

Giovanni Maurizio Carrello of BRI Ferrier Western Australia was
appointed as administrator of Stella Design on Dec. 11, 2018.



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C H I N A
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BEIJING KANG: Likely to Default on CNY1.56BB Corporate Bonds
------------------------------------------------------------
SCMP.com reports that two weeks into 2019, five Chinese companies
are already likely to default on CNY3.5 billion (US$446.25
million) worth of debt, after a record US$17 billion default wave
took the country by storm in 2018 amid a worsening economic
slowdown and soaring refinancing costs facing the cash-starved
private sector.

According to SCMP.com, Beijing Kang Dexin Composite Material, a
hi-tech material firm that supplies optical film products to
Apple and carbon fibre materials to Mercedes-Benz, tumbled by its
maximum-allowed 10 per cent on January 15 to a record low of 6.46
yuan on the Shenzhen Stock Exchange. Its market cap has plummeted
58 per cent in the past two months to CNY23 billion from CNY54
billion, the report notes.

SCMP.com relates that the plunge came after the firm announced
it's likely to default on the payments of two corporate bonds
worth a combined CNY1.56 billion. One is due on Jan. 15, with an
amount of CNY1.04 billion, while the other will expire next
Jan. 21.

"The company has run into temporary cash flow problems since the
fourth quarter, due to macro financing difficulties and slow cash
collection of sales payments," Kang Dexin said Jan. 15 on the
Shenzhen exchange's online interaction platform, SCMP.com relays.

SCMP.com says Moody's Investors Service downgraded Kang Dexin's
ratings twice in 2018, citing concerns for the company's
worsening liquidity conditions, soaring refinancing costs, and
elevated ratios of shares pledged as collateral for loans, which
will increase the risks of a stock plunge when borrowers run into
trouble.

Two largest shareholders of Kang Dexin, which together hold a
third of the company, have pledged more than 98 per cent of their
respective shares as collateral, SCMP.com discloses citing public
information.

Kang Dexin is not the only firm facing a cash crisis, SCMP.com
says.

Since the start of this year, four Chinese companies have failed
to repay corporate bonds worth a total of CNY2 billion, three of
which are privately-owned companies, SCMP.com discloses citing
data from Wind Financial.

The firms are Neoglory Holding, Dalian Machine Tools Group,
Zhongpin Foods, and state-owned China Huayang Economic and Trade
Group (CHETG), SCMP.com discloses.

SCMP.com says the companies cited tighter bank lending, financing
difficulties facing the non-state-owned sector, and the
government's deleveraging campaign as main reasons for the
liquidity crisis.

SCMP.com notes that the intensive wave of bond failures looks
like a continuation of a default storm in 2018.

Last year, defaults on corporate bonds soared nearly fourfold
from 2017 to an all-time high of CNY120 billion. The value also
exceeded the combined amount of the previous four years, as
defaulted corporate bonds totalled CNY86 billion from 2014 to
2017, SCMP.com discloses.

According to SCMP.com, cash-starved companies have come up with
an innovative way to make repayments. Chuying Agro-Pastoral Group
said in November that it had reached an initial agreement with
creditors to repay the interest portion with ham or pork gift
packages.

"The record defaults in 2018 were triggered by the financial
deleveraging," wrote analysts from China International Capital
Corp in a recent research note, SCMP.com relays.

"The defaulters mostly have accumulated high debt in the past few
years and are heavily dependent on bond financing. When the
overall financial environment tightened, they ran into cash flow
problems."

SCMP.com relates that the analysts said new defaulters in 2018
are mostly from the private sector, making up 90 per cent of the
pool.

"Non state-owned enterprises typically face more difficulties in
accessing bank loans. They also have weaker corporate governance
and risk control."

Still, as refinancing costs soar for the entire corporate sector
"no industry is safe," the analysts, as cited by SCMP.com, said.

Zhang Ming, chief economist for Ping An Securities, said China's
credit bond default risks are likely to rise further in 2019,
SCMP.com states.

He said the defaults were likely to expand from manufacturing
firms to smaller property developers and local government's
financing platforms this year, SCMP.com adds.


CHINA AUTOMATION: S&P Withdraws 'CCC' LT Issuer Credit Rating
-------------------------------------------------------------
S&P Global Ratings withdrew its 'CCC' long-term issuer credit
rating on China Automation Group Ltd. (CAG) at the company's
request.

The outlook was negative at the time of the withdrawal,
reflecting S&P's view that CAG faces high refinancing and
liquidity risk over the next 12 months due to its significant
short-term debt maturities.


CHINA LIAONING: Significant Losses Cast Going Concern Doubt
-----------------------------------------------------------
China Liaoning Dingxu Ecological Agriculture Development, Inc.,
filed its quarterly report on Form 10-Q, disclosing a net loss of
$1,595,400 on $109,159 of net revenues for the nine months ended
September 30, 2018.

At September 30, 2018, the Company had total assets of
$6,881,335, total liabilities of $19,667,859, and $12,786,524 in
total stockholders' deficit.

Daniel Sobolewski, the Company's interim chief executive officer,
said, "The Company historically has experienced significant
losses and negative cash flows from operations. Further, the
Company does not have a revolving credit facility with any
financial institution. These factors raise substantial doubt
about the Company's ability to continue as a going concern."

The ability of the Company to continue as a going concern is
dependent on raising additional capital, negotiating adequate
financing arrangements and on achieving sufficiently profitable
operations.

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

                      https://bit.ly/2TUvWq5

China Liaoning Dingxu Ecological Agriculture Development, Inc.,
is engaged in growing mushrooms and marketing, producing and
selling mushrooms and related agricultural products. The Dalian,
China-based Company produces and sells three types of products:
fresh mushrooms, mushroom seeds and dried mushrooms.


GREENLAND HOLDING: Moody's Rates Proposed Sr. Unsec. Notes Ba2
--------------------------------------------------------------
Moody's Investors Service has assigned a Ba2 rating to the
proposed senior unsecured USD-denominated notes to be issued by
Greenland Global Investment Limited.

The notes will be issued under Greenland Global's medium-term
note (MTN) program ((P)Ba2), which is unconditionally and
irrevocably guaranteed by Greenland Holding Group Company Limited
(Ba1 stable).

The rating outlook is stable.

The proceeds from the proposed issuance will be used to refinance
Greenland Holding's existing debt and for general corporate
purposes.

RATINGS RATIONALE

"The new issuance will slightly extend Greenland Holding's debt
maturity profile and will not materially affect the company's
financial profile," says Danny Chan, a Moody's Analyst.

Moreover, the proposed notes will have a limited impact on the
company's leverage, because the majority of the proceeds will be
used to refinance existing debt.

Greenland Holding's Ba1 corporate family rating (CFR) reflects
its: (1) track record of delivering strong growth in its property
development business and leading market positions in key markets;
(2) highly diversified geographic coverage in China (A1 stable);
and (3) ability to manage market volatility through diversified
property product lines.

Another important rating driver is Greenland Holding's strong
ability to access funding due to its status as a local state-
owned enterprise.

A key constraint on Greenland Holding's rating is its debt-funded
growth strategy, which has resulted in weak credit metrics. The
company's rating is also tempered by the execution risks
associated with its fast growing non-property businesses.
Nonetheless, such concerns are partly mitigated by the company's
improving debt management over the past 12-18 months.

The Ba2 rating on the proposed notes reflects the risk of
structural subordination, given the fact that the majority of
claims are at the operating subsidiaries and have priority over
claims at the holding company in a bankruptcy scenario. In
addition, the holding company lacks significant mitigating
factors for structural subordination, reducing the likely
recovery rate for claims at the holding company level.

Moody's forecasts that Greenland Holding's contracted sales will
increase to around RMB430-RMB450 billion in 2019 from RMB387
billion in 2018, while its land acquisition spending will stay
below 30% of annual contracted sales.

As a result, Moody's expects that Greenland Holding's
revenue/adjusted debt will trend toward 130%-140% from 120% for
the 12 months ended June 30, 2018 and EBIT/interest will improve
to around 3.0x from 2.8x for the same period. These levels will
position the company appropriately at the Ba1 CFR rating band,
considering its large operating scale, strong access to funding,
and business diversification.

Greenland Holding's rating outlook is stable, reflecting Moody's
expectation that the company will continue to control its debt
growth and pace of land acquisitions, while growing its scale
over the next 12-18 months.

Moody's could upgrade Greenland Holding's rating if the company
can: (1) sustain its leading position in China's residential
market; (2) maintain prudent practices in its land acquisitions
and financial management; and (3) improve its credit metrics,
such that revenue/debt is above 140% and EBIT/interest is above
3.5x on a sustained basis.

On the other hand, Greenland Holding will face downward rating
pressure if the company shows: (1) weak sales performance or weak
collections on its sales proceeds; (2) a decline in profit
margins; (3) a sizeable increase in debt, arising from aggressive
expansion or land acquisitions; and/or (4) an increase in the
risk profile of its non-property businesses.

Moody's would consider downgrading the rating if the company's
credit metrics weaken, with revenue/adjusted debt below 100%, and
consolidated EBIT/interest coverage below 2.0x-2.5x on a
sustained basis.

A material reduction in the Shanghai government's ownership in
Greenland Holding, which would hurt the company's access to
funding, would also be negative for the rating.

Greenland Holding Group Company Limited is a China-based company
and state-controlled enterprise group. The Shanghai State-owned
Assets Supervision and Administration Commission is effectively
the largest shareholder of Greenland Holding. The company is
headquartered in Shanghai, with a focus on the real estate
sector. It also engages in other businesses, including
construction, finance and auto dealerships.


KANGDE XIN: Moody's Lowers CFR to Ca, Outlook Negative
------------------------------------------------------
Moody's Investors Service has downgraded Kangde Xin Composite
Material Group Co., Ltd.'s corporate family rating to Ca from B3.

At the same time, Moody's has downgraded to Ca from B3 the rating
on the $300 million senior unsecured notes issued by Top Wise
Excellence Enterprise Co., Ltd and guaranteed by KDX.

The outlook on the ratings remains negative.

Subsequently, Moody's will withdraw all its ratings due to
insufficient information.

RATINGS RATIONALE

The rating downgrade follows KDX's announcement of the default on
its domestic commercial paper issued in 2018 and due on January
15, 2019. The defaulted amount totaled RMB1.0 billion, and will
likely trigger cross default on its USD notes.

The Ca ratings and negative outlook reflect this default and
Moody's expectation of the high economic loss for bondholders
when compared to the original promises on payment.

Moody's has decided to withdraw the ratings because it believes
it has insufficient or otherwise inadequate information to
support the maintenance of the ratings.


NEOGLORY HOLDINGS: Defaults on Exchange-Traded Bond Payment
-----------------------------------------------------------
Caixin Global reports that troubled Chinese accessories retailer
Neoglory Holdings Group Co. Ltd. missed payments on another
exchange-traded bond, bringing its total defaults on eight bond
issues to more than CNY8.5 billion (US$1.25 billion).

According to Caixin, the Zhejiang-based conglomerate said on
Jan. 10 that it was unable to repay the remaining CNY100 million
due on a CNY1.1 billion, three-year unsecured bond issued in
2016.

Like many defaulting Chinese debt issuers, Neoglory was rated as
AA at the time it borrowed the money. In addition, the company
has more than CNY3.7 billion of bonds due in April, Caixin notes.

Caixin says Neoglory's financial woes came to light in September
when it missed payments on two bonds worth a total of CNY3
billion on the same day. The issuer's credit rating was
subsequently downgraded by United Credit Ratings Co. to CC, the
report notes. The rating company warned of default risks for more
Neoglory bonds because of a liquidity crunch.

Caixin relates that Neoglory later had to terminate its planned
acquisition of a controlling stake in China High Speed
Transmission Equipment, a Hong Kong-listed manufacturer.

According to the report, the company's billionaire owners, Zhou
Xiaoguang and her husband Yu Yunxin, also risk losing control
over their listed property arm as the shares they pledged as
collateral for loans face seizure by lenders.

Zhou holds 51% and Yu 49% of the company. Zhou, often called the
"queen of custom jewelry," was listed as the 23rd richest woman
entrepreneur in China with CNY17 billion of personal assets in
2017, Caixin discloses. The pair built Neoglory from a small
jewelry retailer to one of China's major private conglomerates
with businesses including property and finance. Zhou was also
elected as a delegate to the National People's Congress, the
country's legislature.

The company attributed last year's default to the effects of a
credit rating scandal that dented Neoglory's financing attempts.

A month before Neoglory's first default, regulators slapped a
one-year business ban on Dagong Global Credit Rating Co. Ltd.,
one of China's five top credit-rating companies after it was
found to have charged high fees for consulting services to
companies for which it also issued credit ratings, according o
Caixin. Neoglory was among the Dagong clients that paid for
expensive software from the rating company, Caixin learned.

But there were signs of a cash crunch long before the scandal
broke. In 2017, the company's operating cash flow dropped to a
negative CNY1.95 billion from CNY612 million in 2016, Caixin
recalls.

Caixin says the sharp decline in operating cash flow directly
affected the company's bond financing. In 2017, Neoglory issued
only two bonds. Its total bond financing dropped to CNY2 billion
in 2017 from CNY9 billion in the previous year.

As of last November, Neoglory had total assets of CNY81.1 billion
and total debt of CNY46.9 billion, Caixin discloses. Based on
those numbers, the company wouldn't appear to be insolvent. But
some investors said they suspect the company's financial figures
might be inflated.

Neoglory Holdings Group Co. Ltd. operates in the jewelry,
manufacturing, real estate, finance, Internet, investment, and
other sectors in China and internationally. It engages in the
commercial, tourism, and residential real estate development
business, as well as garden landscape, architectural decoration,
and other businesses. The company also researches, designs, and
manufactures slewing bearings; and invests in banking, insurance,
and microfinance companies, as well as in commercial factoring,
capital management, and funded and other licensed financial
institutions. In addition, it offers investment, wealth
management, inclusive finance, and consumer financial services;
and operates Poly-Cloud, Poly-Weaving Cloud, Poly Tong Yun,
VORES, and other enterprise-level service platforms.


WUZHOU INT'L: Moody's Withdraws Ca CFR on Insufficient Info
-----------------------------------------------------------
Moody's Investors Service has withdrawn Wuzhou International
Holdings Limited's Ca corporate family rating and the negative
outlook on the rating.

RATINGS RATIONALE

Moody's has decided to withdraw the rating because it believes it
has insufficient or otherwise inadequate information to support
the maintenance of the rating.

Wuzhou International Holdings Limited specializes in the
development and operation of wholesale markets and
multifunctional commercial complexes in China.



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


BRIGHTOIL PETROLEUM: Court to Hear Wind Up Petition on March 6
--------------------------------------------------------------
SCMP.com, citing court filing, reports that Brightoil Petroleum,
an oil trader turned energy operator, is facing a winding-up
petition for its Hong Kong-listed entity.

This is the latest development in the company's worsening
financial health after it delayed the release of its 2016
financial results - resulting in its shares being suspended from
trading on October 3, SCMP.com says. The company has yet to say
when it will release financial statements for 2016 and 2017.

If a winding-up petition is approved by court, all the company's
assets will be sold off and converted into cash in order to repay
its debts. A creditor, a shareholder or the firm itself can file
a winding-up petition against the company, according to local
rules, SCMP.com discloses.

A court hearing will be held on March 6, after the petition was
submitted by Broad Action, a company whose relationship with
Brightoil remains unclear, says SCMP.com.

According to SCMP.com, lawyers said Brightoil has not put up a
filing about the petition to the Hong Kong stock exchange, even
though local rules require immediate disclosure.

SCMP.com relates that the company built its business in trading
and bunkering crude oil, diesel and petrochemicals. In 2014, it
acquired the China unit of Anadarko Petroleum, a US company, for
US$1.08 billion, as it expanded into the upstream segment.

The acquisition, according to a report in the mainland Chinese
financial magazine Caixin, included a 40 per cent stake in an
oilfield in north China called Caofeidian.

But the company ran into financial difficulties in mid-2017 when
it was about to invest further in the oilfield, SCMP.com states.

CNOOC, a Chinese state-owned oil giant, owns 51 per cent of the
oilfield. To ensure Caofeidian's smooth development, CNOOC had
provided Brightoil with US$700 million in capital, SCMP.com
discloses citing a filing by Brightoil to the Hong Kong bourse on
Dec. 28, 2018.

Brightoil Petroleum (Holdings) Limited is a Hong Kong-based
investment holding company principally engaged in the provision
of petroleum products and marine bunkering services. The Company
operates through five segments. International Trading and
Bunkering Operation segment is engaged in the international
supply of petroleum.


CENTURY SUNSHINE: Moody's Assigns B2 CFR, Outlook Stable
--------------------------------------------------------
Moody's Investors Service has assigned a first-time B2 corporate
family rating to Century Sunshine Group Holdings Limited.

At the same time, Moody's has assigned a B2 senior unsecured
rating to Century Sunshine's proposed green bonds.

The outlook for the ratings is stable.

The bond rating reflects Moody's expectation that Century
Sunshine will complete the bond issuance upon satisfactory terms
and conditions, including proper registrations with the National
Development and Reform Commission in China (A1 stable).

The proceeds from the bonds will be used for refinancing and
investments.

RATINGS RATIONALE

"Century Sunshine's B2 corporate family rating reflects its long
track record of operating in the organic fertilizer industry,
good profitability -- stemming from its focus on specialized and
higher margin products -- and moderate debt leverage," says
Gerwin Ho, a Moody's Vice President and Senior Credit Officer.

Century Sunshine -- through its long track record of almost 20
years -- has built up the expertise to support the company's
growth.

The company's acquisition and consolidation in 2017 of Shandong
Hongri Chemical Joint Stock Company, Ltd., which has over 50
years of experience producing and selling fertilizers in China,
has further strengthened its operations in terms of its
production scale and distribution network.

Century Sunshine also demonstrates robust profitability. Its
adjusted EBITDA margin is high for its rating level, reaching
18.4% in the 12 months ended June 2018.

Its good profitability stems, as mentioned, from its focus on
specialized and higher margin products, namely functional and
organic fertilizers, and rare earth magnesium alloys.

Moody's expects its EBITDA margin to reach about 18.4% in the
next 12-18 months, which remains high for its rating level.

Century Sunshine has maintained moderate debt leverage, as
measured by adjusted debt/EBITDA, of 2.6x in the 12 months ended
June 2018. The company also has a track record of funding growth
through non-debt financing.

Moody's expects adjusted debt/EBITDA to rise to about 3.6x in the
next 12-18 months as debt rises to fund capital spending on the
company's fertilizer business in Jiangxi Province.

"At the same time, the rating is constrained by the company's
developing scale in competitive markets, negative free cash flow
-- driven by high capital spending -- and regulatory risks,"
adds Ho, also the Lead Analyst for Century Sunshine.

Century Sunshine operates in a competitive and fragmented
fertilizer market. Despite its long operating track record, the
company is still developing its scale because of its focus on
higher margin organic and functional fertilizers.

Moody's expects its share of the compound fertilizer market will
grow as it expands capacity and sales volume.

Century Sunshine posted negative free cash flow from 2013 to 2017
because of capital spending to expand its fertilizer and
magnesium product businesses, despite it having reported positive
cash flow from operations and having followed a prudent dividend
policy over the same period.

Moody's expects Century Sunshine to post negative free cash flow
in the next 12 to 18 months as it continues to expand its
fertilizer facility in Jiangxi Province and its magnesium
facility in Xinjiang.

Century Sunshine's businesses are affected by environmental and
operational safety laws and regulations in China, and any
inability to comply could hamper the company's production and
reputation, with operational and financial impacts.

The company's liquidity profile is weak. Its cash holding of
HKD1.02 billion at the end of June 2018 was insufficient to cover
its short-term debt of HKD1.04 billion.

Nonetheless, Moody's expects that the company can roll over its
debt with domestic banks, given its profitable operations, strong
market position and established relations with these banks. In
addition, it has proven access to offshore capital markets and
equity funding through its listing in Hong Kong.

Century Sunshine's senior unsecured rating is not affected by
subordination to claims at the operating company level as the
company's diversified business profile - with product exposures
to fertilizers and magnesium - mitigates structural subordination
risk.

The stable rating outlook reflects Moody's expectations that
Century Sunshine will increase its revenue as it expands its
capacity and maintain its profitability; its financial profile
will remain consistent with the current rating category over the
next 12-18 months; and it will be able to refinance its short-
term debt.

Century Sunshine's rating would likely be upgraded if the company
(1) continues to increase revenue as it expands its capacity and
maintain profitability, with an EBITDA margin above 20%; (2)
improves its credit metrics, such that adjusted debt/EBITDA falls
to 3.0x on a sustained basis; and (3) strengthens its liquidity,
such that its cash/short-term debt is above 100% on a sustained
basis.

The rating would likely be downgraded if (1) Century Sunshine is
unable to increase revenue as it expands its capacity; (2) its
profitability weakens significantly; (3) its credit metrics
deteriorate, such that adjusted debt/EBITDA exceeds 4.5x-5.0x on
a sustained basis; or (4) its liquidity weakens significantly.

Listed in Hong Kong in 2004, Century Sunshine Group Holdings
Limited manufactures and sells fertilizers, including the
general, ecological and functional varieties. The company is also
engaged in magnesium mining and magnesium alloy production
through Rare Earth Magnesium Technology Group Holdings Limited,
its Hong Kong main-board listed, 72.4%-owned subsidiary as of the
end of June 2018.



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


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

The instrument-wise rating action is:

-- INR70 mil. Fund-based limit migrated to Non-Cooperating
    Category with IND B+ (ISSUER NOT COOPERATING)/IND A4
    (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 17, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Established in 2010, Ananda Exports processes hair bundles at its
facility in Faridabad and exports them to wig and hair extension
manufacturers in Europe, China, Tunisia, Hong Kong and others.


BALAJI INTERNATIONAL: CARE Cuts Rating on INR2cr Loan to B
----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Balaji International, as:

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long-term Bank     2.00       CARE B; Issuer not cooperating;
   Facilities                    Revised from CARE B+; on the
                                 basis of best available
                                 information

   Short-term Bank    8.00       CARE A4; Issuer not cooperating;
   Facilities                    on the basis of best available
                                 information

CARE had, vide its press release dated September 4, 2017, placed
the rating(s) of Balaji International under the 'issuer non-
cooperating' category as Balaji International had failed to
provide information for monitoring of the rating. Balaji
International continues to be non-cooperative despite repeated
requests for submission of information through e-mails, phone
calls and a letter/email dated November 23, 2018, November 16,
2018 and November 13, 2018. 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.

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

The ratings have been revised by taking into account non-
availability of requisite information and no due-diligence
conducted with banker due to non-cooperation by Balaji
International with CARE'S efforts to undertake a review of the
rating outstanding. CARE views information availability risk as a
key factor in its assessment of credit risk. Further, the ratings
continue to remain constrained owing to small and declining scale
of operations, low profitability margins, leveraged capital
structure & weak debt coverage indicators and working capital
intensive nature of operations. The ratings are further
constrained by risk associated with foreign exchange fluctuation
risk, regulatory risk, business susceptible to the vagaries of
nature and fragmented and competitive nature of industry. The
ratings, however, draws comfort from experienced partners in
processing of rice and favorable manufacturing location.

Detailed description of the key rating drivers

Key Rating Weaknesses

Small and declining scale of operations: The scale of operations
of the firm has been fluctuating on y-o-y basis marked by total
operating income and gross cash accruals of INR97.25 crore and
INR1.05 crore, respectively, during FY15 (refers to the period
April 1 to March 31). The total operating income increased to
INR146.93 crore in FY14 as against INR136.85 crore in FY13 on
account of higher orders from the overseas customers and
stability in the prices of paddy. However, in FY15 the same
reduced to INR97.25 crore on account of fluctuation in the price
of paddy due to which the firm procured fewer paddies from the
local grain market and thereby selling/exporting rice in lower
quantity. Also the intense competition in the market affected the
sale of rice. Furthermore, in FY16, as per unaudited results, the
firm achieved total operating income of INR35 crore due to slow
down and intense competition in the market.

Low profitability margins, leveraged capital structure and weak
debt coverage indicators: The PBILDT margin of the firm improved
marginally but continues to remain low at 4.78% in FY15 as
against 4.63% in FY14 on account of low value addition and its
presence in highly fragmented and competitive industry. The PAT
margin of the firm remained weak and in line with PBILDT margin
at 0.30% in FY15. The capital structure of the firm remained
leveraged in past three years (FY13-FY15). The overall gearing
remained leveraged at 3.93x as on March 31, 2015, although it
improved from 8.56x as on March 31, 2014 on account of reduction
in working capital borrowings as on March 31, 2015. The debt
coverage indicators of the firm remained weak in FY15 on account
of high reliance on external borrowings during the year coupled
with low profitability. The interest coverage and total debt to
GCA of the firm stood weak at 1.29x and 20.41x, respectively, for
FY15 as against 1.25x and 33.76x, respectively, for FY14.

Working capital intensive nature of operations: The operations of
the firm are working capital intensive in nature marked by
operating cycle of 138 days in FY15. The firm was expecting
higher orders from the overseas market in FY15 but the same did
not materialize resulting in elongation in inventory period to
194 days for FY15. The firm offers credit period of around 60
days to its customers owing to high competition resulting in an
average collection period of 54 days in FY15. It procures the
paddy mainly on cash basis and from few suppliers it gets payable
period of around 3 months. The working capital limits of the firm
were fully utilized during the past 12 months ended April 30,
2016.

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

Foreign exchange fluctuation risk: The firm is mainly focused in
the export market and its export contribution to total sales
stood at ~89% for FY15. The raw material is completely procured
from the domestic markets. With initial cash outlay for
procurement in domestic currency and significant part of sales
realization in foreign currency, the firm is exposed to the
fluctuation in exchange rates. Though the firm hedges foreign
exchange fluctuation risk of up to 80% by entering into forward
contracts, the remaining 20% is unhedged. This exposes it to
sharp fluctuations in the foreign exchange rates which may impact
its profitability. The firm has availed packing credit in foreign
currency which acts as hedge against foreign exchange fluctuation
risk with initial outlay being in the same currency as the
currency in which sales are made and payment is received.
However, the risk is not mitigated completely because of time lag
between payment to creditors of raw material and realization of
receivables.

Regulatory risk: The Government of India (GoI) every year decides
a minimum support price (MSP) of paddy which limits the
bargaining power of the rice millers over the farmers. The
millers can sell rice at the market rates in the open market only
after they fulfill the levy quota. Frequent changes in the
government policies regarding imposition of ban on export and
minimum export price are an inherent risk for all the non-basmati
rice processors.

Business susceptible to the vagaries of nature: Rice being mainly
a 'kharif' crop is cultivated from June-July to September-
October, and the peak arrival of crop at major trading centers
starts in October. The output is highly dependent on the monsoon.
Unpredictable weather conditions could affect the domestic output
and result in volatility in the price of rice.

Key Rating Strengths

Experienced partners in processing of rice: The operations of the
firm are currently being managed by Mr. Amar Nath and Mr. Kailash
Chander, Mr. Amar Nath, father of Mr. Kailash Chander has an
experience of around 60 years through family run business and
group entity. He is also the partner in Shiv Shankar Rice Mills.
Mr. Kailash Chander has an experience of around 30 years in rice
trading and processing industry. He is also the proprietor of
Balaji Overseas.

Favorable manufacturing location: The firm is mainly engaged in
milling and processing of rice at Haryana. Haryana is one of the
highest producers of paddy in India, which ensures easy
availability of paddy. Furthermore, owing to its location, the
firm is able to cut on the freight component for procurement of
raw materials.

Haryana-based Balaji International was established as a
partnership firm in 1989 by Mr. Amar Nath, Mr. Kailash Chander,
Mrs. Achla Rani and Mrs. Parveen Kumari sharing profits and
losses in equal ratio. The firm is engaged in the milling and
processing of basmati rice with an installed capacity of 6 metric
ton per hour (MTPH) at its manufacturing unit located in
Kurukshetra Road, Sandholi, Pehowa. The firm procures raw
material (paddy) from local grain markets through commission
agents in Haryana and Uttar Pradesh. The firm mainly exports its
product to Middle East countries such as Jordan, Saudi Arabia,
Dubai, Kuwait, etc. The firm also sells its product domestically
to brokers and traders located in Haryana, Delhi and West Bengal
under the brand name "Sargam" and "Khushi". The by-product of
paddy, viz, husk, rice bran, and 'phak' is also sold in the
domestic market.

The firm has three associate concerns, namely, Balaji Overseas,
Shiv Shankar Rice Mills and Ishan International, all engaged in
milling of rice.


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

The instrument-wise rating actions are:

-- INR63.9 mil. Term loan due on January 2028 migrated to non-
     cooperating category with IND B (ISSUER NOT COOPERATING)
     rating;

-- INR37 mil. Fund-based working capital limits migrated to non-
     cooperating category with IND B (ISSUER NOT COOPERATING)/
     IND A4 (ISSUER NOT COOPERATING) rating; and

-- INR9.1 mil. Proposed-fund-based working capital limits
     migrated to non-cooperating category with Provisional IND B
     (ISSUER NOT COOPERATING)/Provisional IND A4 (ISSUER NOT
     COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 9, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Creator Poly Extrusions was incorporated on April 29, 2016 to set
up an industrial unit for manufacturing polymer items used in the
telecom industry and sewage applications, among others. The
current status of the project is not available. The company's
operations are managed by Narendra Chaudhary and Keerat
Chaudhary.


DAULAT FLOUR: CARE Migrates B+ Rating to Not Cooperating Category
-----------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Daulat
Flour Mill to Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       8.96       CARE B+; Stable; Issuer not
   Facilities                      cooperating; Based on best
                                   available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from Daulat Flour Mill to
monitor the rating(s) vide e-mail communications/ letters dated
December 14, 2018, December 11, 2018, December 4, 2018, October
23, 2018, October 4, 2018, September 13, 2018, etc. 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. The rating on Daulat Flour Mill's
bank facilities will now be denoted as CARE B+; Stable; ISSUER
NOT COOPERATING.

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

The rating take into account the constraints relating to firm's
small scale of operations coupled with low net worth base, low
profitability margins, leveraged capital structure, volatility in
raw material prices influenced by government policies on agro
commodity & monsoon dependent operations. The rating is further
constrained by risk associated with presence in highly
competitive industry & low entry barriers and partnership nature
of its constitution. The rating, however, draws comfort from
experienced management, growing scale of operations and moderate
operating cycle.

Detailed description of the key rating drivers

At the time of last rating on November 17, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weaknesses

Small scale of operations coupled with low net worth base: DFM's
scale of operations grew from INR20.15 crore in FY16 to INR23.12
crore in FY17 reflecting a growth rate of around 15% during FY16-
FY17. The growth in TOI was mainly attributed to increase in
quantity sold. Despite growth on y-o-y basis, The scale of
operations has remained small marked by total operating income of
INR23.12 crore and GCA of INR0.79 crore respectively, in FY17
(refers to the period April 1 to March 31). Furthermore, the net
worth base also remains relatively small at INR4.86 crore as on
March 31, 2017. The small scale limits the firm's financial
flexibility in times of stress and deprives it of scale benefits.
Further, during 7MFY18 (refers to the period April 1 to
October 31; based on provisional results), the firm has achieved
turnover of INR14.75 crore.

Low profitability margins and leveraged capital structure: The
firm operates in the highly fragmented nature of industry
characterized by intense competition with limited value addition.
In this segment, the profitability margins are normally low.
Thus, the PBILDT and PAT margins stood low at 6.20% and 0.44%
respectively in FY17. The capital structure of the firm as marked
by overall gearing ratio deteriorated and stood leveraged at
1.56x as on March 31, 2017 as against 1.30x as on March 31, 2016
mainly on account of higher utilization of working capital
borrowings as on balance sheet date coupled with increase in term
loan for the purchase of plant & machinery.

Volatility in raw material prices influenced by government
policies on agro commodity and monsoon dependent operations: DFM
is primarily engaged in processing of wheat products. The main
raw material needed for production of wheat flour is wheat.
Prices of wheat are subjected to government intervention since it
is an agricultural produce and staple food. Various restrictions
including minimum support price (MSP), control on exports, wheat
procurement policies for maintenance of buffer stocks etc. are
imposed to regulate the price of wheat in the market. The price
of wheat is also influenced by the supply scenario which is
susceptible to the agro-climatic conditions. Thus any volatility
in wheat prices can have direct impact on the profitability
margins of the firm. In addition to government policies on agro
commodity, agro-based industry is characterized by its
seasonality, as it is dependent on the availability of raw
materials, which further varies with different harvesting
periods.

Availability and prices of agro commodities are highly dependent
on the climatic conditions. Adverse climatic conditions can
affect their availability and leads to volatility in raw material
prices.

Highly competitive industry & low entry barriers: The flour
industry is highly fragmented with more than two-third of the
total number of players being unorganized. Due to low entry
barriers in the industry and low value added nature of
products, the flour mill units have limited flexibility over
pricing their products.

Key Rating Strengths

Experienced management with limited track record of operations:
The firm is currently being managed by Mr. Daulat Singh, his wife
Mrs. Omvati Singh and his son Mr. Raj Kumar Singh who have
limited experience of around 3 years in the processing business
of agri products through their association with this entity.
However, Mr. Daulat Singh has more than three decades of
experience in civil construction business. The partners have
ventured into agri processing industry due to the increasing
demand of packed food products due to changing needs of the
consumers. Further, the partners are supported by an experienced
team having an experience of more than a decade in the agri
processing industry.

Growing scale of operations and moderate operating cycle: DFM's
scale of operations grew from INR20.15 crore in FY16 to INR23.12
crore in FY17 reflecting a growth rate of around 15% during FY16-
FY17. The growth in TOI was mainly attributed to increase in
quantity sold. Further, the operating cycle of the firm stood
moderate as marked by 69 days for FY17. The firm is required to
maintain adequate inventory in the form of raw material to ensure
continues production due to seasonal availability of raw
material, resulting into an average inventory period of 77 days
for FY17. The firm allows an average credit period of 5 days to
its customers, whereas the firm purchases goods and raw material
mainly on cash or advance basis with maximum credit period
received of 7 days for FY17. However, the working capital
borrowings of the firm remained almost full utilized during the
past 12 months ending November, 2018.

Bulandshahr, Uttar Pradesh based Daulat Flour Mill (DFM) was
established in 2012 as partnership firm and commenced its
commercial operations in September, 2014. The firm is currently
being managed by Mr. Daulat Singh with his wife Mrs. Omvati Singh
and his son Mr. Raj Kumar Singh sharing profit and losses in the
ratio of 50:25:25 respectively. DFM is engaged in the processing
of wheat into wheat flour (atta), refined wheat flour (maida),
bran and semolina (suji). The company has an installed capacity
to process 100 ton of wheat per day as on March 31, 2017 from its
processing unit located in Bulandshahr, Uttar Pradesh. The main
raw material of the firm is wheat which is procured from local
farmers and commission agents. The firm sells its products to
wholesalers in North India states such as Delhi, Haryana and
Uttar Pradesh. DFM sells its products under the brand name of
"Double Chatta", "No.1 Daulat" and "Sanyog".


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

The instrument-wise rating actions are:

-- INR30 mil. Fund-based facilities migrated to non-cooperating
    category with IND BB- (ISSUER NOT COOPERATING) / IND A4+
    (ISSUER NOT COOPERATING) rating;

-- INR18 mil. Non-fund-based facilities migrated to non-
    cooperating category with IND A4+ (ISSUER NOT COOPERATING)
    rating; and

-- INR45 mil. Proposed non-fund-based facilities migrated to
    non-cooperating category with Provisional IND A4+ (ISSUER
    NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 14, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Digilogic Systems was incorporated in 2011. It offers systems,
solutions and products for the defense and aerospace industry.


GDR EDUCATIONAL: CARE Lowers Rating on INR49.01cr Loan to D
-----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
GDR Educational Society (GDRES), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long Term Bank       49.01      CARE D Revised from CARE BBB,
   Facilities                      Stable

Detailed Rationale & Key Rating Drivers

The revision in the rating assigned to the bank facilities of
GDRES takes into account on-going delays in debt servicing.

Detailed description of the key rating drivers

Key Rating weakness

Ongoing delays in debt servicing: There are on-going delays in
servicing of debt on account of stretched liquidity position.

GDRES was promoted in March 1997 by Late Shri Ghanshyam Das
Rungta, to establish engineering, management and pharmaceutical
colleges in the region of Bhilai and Durg (Chhattisgarh). Shri
Sourabh Rungta (Grandson of Late Shri Ghanshyam Das Rungta) is
the President of the Society and the day to day affairs are
managed by him with adequate support from eight other members and
a team of experienced teaching professionals. GDRES has two main
campuses in Bhilai and Durg and offers courses in engineering,
management, pharmacy, and education courses and allied sciences.


GHANSHYAM DAS: CARE Lowers Rating on INR11.85cr LT Loan to D
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Ghanshyam Das Rungta Foundation (GDRF), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long Term Bank       11.85      CARE D Revised from CARE BBB,
   Facilities                      Stable

Detailed Rationale & Key Rating Drivers

The revision in the rating assigned to the bank facilities of
GDRF takes into account on-going delays in debt servicing.

Detailed description of the key rating drivers

Key Rating weakness

Ongoing delays in debt servicing: There are on-going delays in
servicing of debt on account of stretched liquidity position.

Ghanshyam Das Rungta Foundation (GDRF), registered under
Societies Registration Act 1961, was established in November 27,
2008 by Mr. Santosh Rungta for developing and running educational
institutes in and around Chhattisgarh. The society commenced
operation in April, 2009 with two engineering institutes (named
Rungta College of Engineering & Technology and RSR Rungta College
of Engineering & Technology) and one general college (i.e. KD
Rungta College of Science & Technology). Subsequently in April
2012, the society commenced a school named Rungta International
School. The society offers diverse programmes across various
streams like engineering, computer application, commerce,
science, business administration and Arts. The campus of the
institutes is located at Bhilai and Raipur in Chhattisgarh. The
campuses of all the institutes are spread over an aggregate area
of 37 acres.

The engineering colleges are approved by AICTE (Ministry of HRD,
Govt. of India) and affiliated to Chhattisgarh Swami Vivekanand
Technical University, while general courses are affiliated to Pt.
Ravishankar Shukla University.


JET AIRWAYS: Flags Bailout Options Including Change in Board
------------------------------------------------------------
P R Sanjai and Saloni Shukla at Bloomberg News report that Jet
Airways India Ltd. is working with lenders to revamp its debt as
the struggling carrier tries to shore up its financials after
recording losses in nine of the past eleven years in a market
known for ultra-low fares.

The carrier is working on "various options on the debt-equity
mix, proportion of equity infusion," the Mumbai-based company
said in a statement on Jan. 16, Bloomberg relays.

Among options considered by the lenders led by State Bank of
India Ltd. is to seek INR35 billion of investment from Jet's
founder Naresh Goyal and Etihad Airways PJSC, which owns 24
percent in the company, before they restructure the debt, people
with knowledge of the matter said. They asked not to be
identified as the talks are private. No final decision has been
taken, Bloomberg notes.

According to Bloomberg, budget airlines have expanded
exponentially in India in the past decade, luring first-time
flyers and giving middle-class families an alternative to full-
service carriers like Jet, which offered lounges and free meals
on board. While one of the world's fastest-growing major aviation
markets, India has proven tough for airlines with premium carrier
Kingfisher Airlines collapsing and the state-owned Air India
needing repeated bailouts as cheaper fares failed to cover their
costs.

"The resolution plan is presently under active discussion amongst
the stakeholders," Jet said in the statement, Bloomberg relays.

Jet Airways has INR80.5 billion (US$1.1 billion) of debt and the
restructuring may lead to a change in the board of Asia's worst-
performing airline stock, Bloomberg notes.

Bloomberg says the carrier, which has accumulated more losses
than any other publicly-traded carrier in Asia apart from
Pakistan International Airlines Corp., has been in talks with
Etihad as well as the Tata Group for a rescue package. Potential
investors have sought the removal of Goyal from the board, the
people said. The bailout comes at a difficult time for Etihad as
it is itself cutting jobs and shrinking its fleet amid mounting
losses, Bloomberg states.

Jet Airways had INR16.8 billion of cash as of Sept. 30, according
to data compiled by Bloomberg. That compares with INR127 billion
at InterGlobe Aviation Ltd., which runs IndiGo, India's biggest
airline. Jet's shares have dropped 66 percent in the past year
making it Asia's worst performing airline stock.

The company's credit rating was cut to default this month after
saying it had missed a payment. The proposed equity infusion may
see Etihad's stake in the company increase to 49 percent, India's
BTVI channel reported on Jan. 14, Bloomberg says.

Bloomberg notes that Jet Airways, India's biggest full-service
airline, had failed to post a profit last year as fare wars
depressed revenue and turbulent oil prices led to a jump in
costs. A failed rescue will spell lost investments and mounting
losses for Jet's investors and more soured loans for lenders,
Bloomberg says.

                        About Jet Airways

Based in Mumbai, India, Jet Airways (India) Limited --
https://www.jetairways.com/EN/PH/Home.aspx -- provides passenger
and cargo air transportation services. It operates through two
segments, Air Transportation and Leasing of Aircraft. The company
also leases aircrafts. It operates flights to 64 destinations in
India and international countries, including Abu Dhabi,
Amsterdam, Bahrain, Bangkok, Colombo, Dammam, Dhaka, Doha, Dubai,
Hong Kong, Jeddah, Kathmandu, Kuwait, London Heathrow, Muscat,
Paris, Riyadh, Sharjah, Singapore, and Toronto. As of August 31,
2017, the company had a fleet of 113 aircraft, which includes a
mix of Boeing 777-300 ERs, Airbus A330-200/300 aircraft, Next
Generation Boeing 737s, and ATR 72-500/600s.

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 8, 2019, ICRA has revised the ratings on the bank facilities
of Jet Airways to [ICRA]D.

                      Amount
   Facilities       (INR crore)     Ratings
   ----------       -----------     -------
   Non-convertible      698.9       [ICRA]D; downgraded from
   Debenture                        [ICRA]C
   Programme

   Long-term Loans    4,970.0       [ICRA]D; downgraded from
                                    [ICRA]C

   Long-term, Fund-     645.0       [ICRA]D; downgraded from
   based Facilities                 [ICRA]C

   Long-term, Non-      700.0       [ICRA]D; downgraded from
   fund Based                       [ICRA]C
   Facilities

   Short-term, Non-   3,950.0       [ICRA]D; downgraded from
   fund Based                       [ICRA]A4
   Facilities

Rationale

The ratings downgrade considers the delays by the company in the
payment of the interest and principal installment due on
December 31, 2018 due to cash flow mismatches. There have been
delays in the implementation of the proposed liquidity
initiatives by the management, which have aggravated its
liquidity. The company has already been delaying its employee
salary payments and lease rental payments to the aircraft
lessors. Furthermore, the company has large debt repayments due
over December 2018 to March 2019 (INR1,700 crore), FY2020
(INR2,444.5 crore) and FY2021 (INR2,167.9 crore). The company is
undertaking various liquidity initiatives, which includes, among
others, equity infusion and a stake sale in Jet Privilege Private
Limited (JPPL), and the timely implementation of these
initiatives remain critical to its credit profile.


J D TALC: CARE Lowers Rating on INR5.16cr LT Loan to B
------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
J.D. Talc (JD), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       5.16       CARE B; Stable Issuer Not
   Facilities                      Cooperating; Revised from
                                   CARE B+; Stable on the
                                   basis of best available
                                   information

Detailed Rationale and Key Rating Drivers

The rating has been revised by taking into account no due-
diligence conducted due to non-cooperation by JD with CARE'S
efforts to undertake a review of the rating outstanding. CARE
views information availability risk as a key factor in its
assessment of credit risk. Further the rating continues to remain
constrained on account of small scale of operations, leveraged
capital structure and moderate debt coverage indicators. The
rating is further constrained on account of moderate liquidity
and susceptibility of profit margins to raw material price
volatility risk and foreign exchange fluctuation risk. The
rating, however, continues to derive strength from experienced
promoters, moderate profit margins.

Detailed description of the key rating drivers

At the time of last rating on December 18, 2017, the following
were the rating weaknesses and strengths.

Key Rating Weakness

Small scale of operations: Despite healthy growth of 32.87%
reported during FY17 by the firm in its TOI, overall scale of
operations stood small at INR12.61 crore.

Leveraged capital structure and moderate debt coverage
indicators: The capital structure of the firm stood leveraged
marked by an overall gearing ratio of 3.27 times as on March 31,
2017. However, debt coverage indicators stood moderate marked by
TD/GCA of 8.10 times as on March 31, 2017 on account of moderate
level of gross cash accruals against that of its debt level while
Interest coverage stood at 2.02 times during FY17 on account of
higher PBILDT and lower interest expenses.

Moderate Liquidity: Liquidity position stood moderate marked by
current ratio of 1.06 times as on March 31, 2017 while operating
cycle stood at 79 days during FY17.

Susceptibility of profit margins to raw material price volatility
risk and foreign exchange fluctuation risk: JD's main raw
material is soap stone lumps and it procures these raw materials
from its associate firm J D Minerals which is engaged in mining
of soap stone lumps and also procures from the domestic market.
Any adverse fluctuation in the material prices is likely to
impact the profit margins of JD.

JD is also engaged into export where they export to South Korea.
Exports stood at INR3.30 crore in FY17 which is 26% of TOI of
FY17. In absence of any active hedging policy, the firm is
exposed to foreign exchange rate fluctuation.

Key Rating Strengths

Experienced promoters: Mr. Rajendra Singh Daffoti holds total
experience of fourteen years in chemical industry through his
association with J D Minerals as a Proprietor. Other two partners
also hold moderate experience of four years in same line of
business.

Moderate profit margins: Overall profit margins stood moderate as
marked by PBILDT margin of 7.94% and PAT margin of 2.17% during
FY17.

Haldwani (Nainital)-based J.D. Talc (JD) is a partnership firm
established in 2013 by Mr. Rajendra Singh Daffoti. JD is engaged
into micronizing and supply of soap lumps and powder and operates
with an installed capacity of 50 Metric Tonnes Per Day (MTPD)
from its ISO 9001:2015 certified facility. These products has
application in making of paper, paints and coating, polyester
putties, pharmaceuticals, plastics and rubber, cosmetics. J D
Minerals is an associate firm which is promoted by Mr. Rajendra
Singh Daffoti in 2004 which is engaged into mining of soap stone
lumps and powder.


JODHANI EXPORTS: Ind-Ra Withdraws 'D' Rating on INR200MM Loan
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Jodhani
Exports' (Jodhani) bank loan rating in the non-cooperating
category and simultaneously withdrawn it as follows:

-- The IND D rating on the INR200 mil. Fund-based limits
    maintained in the non-cooperating category and withdrawn;

*Maintained in 'IND D (ISSUER NOT COOPERATING)' before being
withdrawn

KEY RATING DRIVERS

Jodhani did not participate in the rating exercise despite
continuous requests and follow-ups by the agency. Ind-Ra is no
longer required to maintain the ratings, as the agency has
received a no objection certificate from the rated facility's
lender.

COMPANY PROFILE

Established in 1989, Jodhani is a partnership firm, with its head
office in Mumbai and factories in Gujarat. The company is engaged
in the cutting, polishing and marketing of diamonds.


JYOTI HOSPITAL: CARE Lowers Rating on INR5.58cr LT Loan to B
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Jyoti Hospital Private Limited, as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       5.58       CARE B; Stable Issuer Not
   Facilities                      Cooperating; Revised from
                                   CARE B+; Stable on the basis
                                   of best available information

Detailed rationale and key rating drivers

The rating has been revised by taking into account no due-
diligence conducted due to non-cooperation by Jyoti Hospital
Private Limited with CARE'S efforts to undertake a review of the
rating outstanding. CARE views information availability risk as a
key factor in its assessment of credit risk. Further the rating
continues to remain constrained on account of modest scale of
operations and stressed liquidity position, reputational risk.
The rating is further constrained on account of fragmented nature
of industry leading to high competition with vigilant regulatory
bodies. The rating, however, continues to derive strength from
experienced and qualified management in the hospital industry,
comfortable capital structure with comfortable debt coverage
indicators.

Detailed description of the key rating drivers

At the time of last rating on December 13, 2017, the following
were the rating weaknesses and strengths.

Key Rating Weakness

Modest scale of operations and stressed liquidity position
The scale of operations of the company stood modest with Total
Operating Income (TOI) and PAT of INR20.16 crore and INR 1.18
crore respectively in FY17. During FY17, TOI of the company has
declined by 23.20% over FY16. During FY17, PBILDT margin of the
company has declined drastically over FY16 owing to write off of
bad debts. In line with decline in PBILDT, PAT margin of the
company has also declined over FY16 mainly on account of decrease
in PBILDT.  The liquidity position of the company stood weak as
marked by current ratio and quick ratio of 0.71x as on March 31,
2017.

Reputational risk: Healthcare is a highly sensitive sector where
any mishandling of a case or negligence on part of any doctor
and/or staff of the unit can lead to distrust among the masses.
Thus, all the healthcare providers need to monitor each case
diligently and maintain standard of services in order to avoid
the occurrence of any unforeseen incident. They also need to
maintain high vigilance to avoid any malpractice at any pocket.

Fragmented nature of industry leading to high competition with
vigilant regulatory bodies: The healthcare sector is highly
fragmented with few players in the organised sector. Barring a
few, most of the organized sector players have one or two
hospitals only. All these lead to high level of competition in
the business. Further, healthcare sector is highly regulated and
kept under the close vigilance of various regulatory bodies in
India like, Ministry of Health & Family Welfare, Central Drug
Standard Control Organization etc.

Key Rating Strengths

Experienced and qualified management in the hospital industry:
Dr. Vandana Bansal, Director, is MS, D.Phil (Gold Medalist), DGO,
FCGP Diploma in Endoscopic Surgery (Keil, Germany) by
qualification. She is one of the renowned Senior Gynecologist and
Obstetrician and is the first Laparoscopic and Hysteroscopic
Surgeon of Allahabad - since 30 years. The other director, Dr.
Arpit Bansal, son of Dr. Vandana Bansal, is MBBS, MS, FMAS, FCS
by qualification. He has around three years of experience.
Further the directors, are equally supported by Mr. Vinay Shukla,
who is accounts head of JHPL, he looks after the accounts and
finance function of JHPL.  The capital structure of JHPL stood
comfortable with an overall gearing of 0.54 times as on March 31,
2017. Further, debt service coverage indicators of the company
stood comfortable as reflected by total debt to GCA of 4.26 times
as on March 31, 2017.

Allahabad (Uttar Pradesh) based JHPL was formed as a private
limited company in 1994 by Late Dr. Ashwani Kumar Bansal and Dr.
Vandana Bansal. JHPL is operating a multi-specialty hospital and
infertility research centre, under the name of "Jeevan Jyoti
Hospital" at Allahabad having 300 beds which includes general
wards, private rooms and Intensive-Care Units (ICU) etc. The
hospital provides specialized services related to various medical
specialties viz. Infertility & IVF, Obstetrics & Gynaecology,
Dental, Pediatrics & Neonatology, Orthopaedics & Joint
Replacement, ENT, cardiology, urology, nephrology and neurology
etc.


KURINJI SPINNING: Ind-Ra Migrates BB LT Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Kurinji Spinning
Mills P Ltd.'s Long-Term Issuer Rating to the non-cooperating
category. The issuer did not participate in the rating exercise
despite continuous requests and follow-ups by the agency.
Therefore, investors and other users are advised to take
appropriate caution while using these ratings. The rating will
now appear as 'IND BB (ISSUER NOT COOPERATING)' on the agency's
website.

The instrument-wise rating actions are:

-- INR64.5 mil. Long-term loans due on March 2020 migrated to
    non-cooperating category with IND BB (ISSUER NOT COOPERATING)
    rating; and

-- INR149.5 mil. Fund-based working capital limit migrated to
    non-cooperating category with IND BB (ISSUER NOT COOPERATING)
    rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 2, 2018 Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Formed in 2005, Kurinji Spinning Mills manufactures cotton yarn.
It is promoted by Mr. T Ponnusamy, Mr. S Palanichamy and Mr. K
Ganeshan. The company is based in the Tirupur region of Tamil
Nadu.


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

The instrument-wise rating action is:

-- INR150 mil. Fund-based limits migrated to non-cooperating
    category with IND BB- (ISSUER NOT COOPERATING) / IND A4+
    (ISSUER NOT COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 23, 2017. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Set up in 2000 as a partnership firm, Lotus Gem is engaged in the
trading of cut and polished diamonds.


NIKHIL TOBACCOS: CARE Reaffirms B+ Rating on INR30cr LT Loan
------------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Nikhil Tobaccos, as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities          30.00       CARE B+; Stable Reaffirmed

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of Nikhil Tobaccos
are tempered by Satisfactory PBILDT Margins albeit thin PAT
margin,, leveraged capital structure and weak debt coverage
indicators, Vulnerability of the tobacco business to government
regulations and to climatic risks affecting tobacco availability,
working capital intensive nature of operations due to high
inventory holding period. Proprietorship nature of constitution
with inherent risk of withdrawal of capital The ratings, however,
derive its strengths Experience of the proprietor for more than
two decades in tobacco business, growth in total operating
income, reputed clientele base and favourable location for doing
business with stable outlook of firm's tobacco industry.

Going forward, ability of the firm to increase its scale of
operations and improve its profitability margins in competitive
environment, improve capital structure, debt coverage indicators
and working capital cycle are the key rating factors.

Detailed description of the key rating drivers

Key Rating Weaknesses

Satisfactory PBILDT Margins albeit thin PAT margin: The PBILDT
margin of the firm declined from 5.40% in FY17 to 4.52% in FY18
due to under absorption of fixed overheads due to decline in
average sales realisation. Though thin, the PAT margin of the
firm improved from 0.37% in FY17 to 0.76% in FY18 due to decrease
in interest costs and depreciation provisions.

Leveraged Capital structure and weak debt coverage indicators:
The capital structure of the firm marked by overall gearing ratio
has been leveraged and deteriorated from 3.14x as on March 31,
2017 to 5.97x respectively as on March 31, 2018 due to increase
in working capital bank borrowings to meet day to day operations.
The debt coverage indicators marked by Total debt/GCA and
interest coverage indicators, stood weak. TD/GCA deteriorated
from 76.84x in FY17 to 106.83x in FY18, due to increase in total
debt at back working capital bank borrowings and Interest
coverage of the firm also deteriorated from 1.11x in FY17 to
1.10x in FY18, due to Increase in interest cost.

Vulnerability of the tobacco business to government regulations
and to climatic risks affecting tobacco availability: Tobacco
products form a major source of revenue in the form of taxes to
both central as well as state government and hence there are
regular modifications in taxation laws/tax rates with respect to
the same. Due to the harmful nature of the product, the various
state governments have banned Manufacture and sale of various
tobacco products under the Food Safety and Standards (Prohibition
and Restrictions on Sales) Regulations, 2011 and availability of
tobacco is highly susceptible to the factors like area under
cultivation, Climatic risk, crop yield. Hence, the profitability
margins of the firm are vulnerable to government regulations on
tobacco products and availability of tobacco.

Working capital intensive nature of operations due to high
inventory holding period: The working capital cycle remained
intensive and improved from 176 days in FY17 to 150 days in FY18
due to decrease in average inventory days. The firm receives the
payment from its debtors within 5-10 days and the credit terms
provided by its creditors to the firm remained same at 5-10 days
in FY18. Working capital utilisation of the firm was 90% for the
last 12 months ended January 3, 2019.

Proprietorship nature of constitution with inherent risk of
withdrawal of capital: Constitution as a proprietorship has the
inherent risk and possibility of withdrawal of capital at a time
of personal contingency, which can adversely affect the capital
structure of the firm. Furthermore, proprietorships have
restricted access to external borrowings as credit worthiness of
the proprietor would be a key factor affecting the credit
decision of lenders in FY18 the proprietor have withdrawn the
capital to the extent of INR1.07 crore.

Key Rating Strengths

Experience of the proprietor for more than two decades in tobacco
business: Nikhil Tobaccos (NT) was established in 2012 as a
proprietorship firm, by Mrs. Suma Gutta. Mrs. Suma Gutta is a
graduate and having 11 years of experience in same line of
business. Further, her husband Mr. Vasu Babu who is actively
involved in the business of NT has worked for 20 years in the
same line of business. Further, her father-in-law is also into
same line of business and successfully running a proprietorship
firm for last 30 years. The above factors helped the firm in
approaching tobacco boards for purchasing tobacco in auction
platforms and to establish relationship with customers.

Growth in total operating income: The total operating income of
the firm is significantly improved from INR 55.36 crore in FY17
to INR 80.51 crore in FY18 at back of increase in sales volume
supported by enhanced working capital limits as the operations of
the firm are working capital intensive coupled with repetitive
orders from existing customers. The firm is also deriving
strength to increase sales value by further processing the
Virginia tobacco, which involves conditioning of tobacco with
heat and moisture, and finally re-drying the Virginia tobacco.
Through this process, the firm can store the tobacco and sell the
same when the market demand is high.

Reputed Clientele base and favourable location for doing tobacco
business: The firm has reputed client base like ITC Limited
(Rated CRISIL AAA; Outlook: Stable/CRISIL A1+ Reaffirmed on
September 20, 2018'), Alliance One Industries Prtivate Limited ,
Premier Tobacco Packers who are into the business of selling
cigarettes and exporting tobacco related products. The firm has
ease of approaching the suppliers of tobacco as the firm is
having its administrative office cum godown at Ongole which is
located in the major tobacco growing area in Andhra Pradesh.
Stable outlook of tobacco industry Cigarettes currently represent
one of the most popular forms of tobacco, accounting for nearly
90% of the global tobacco sales value. The global cigarette
market today represents a multi-billion dollar market and
according to IMARC group, its total revenues reached values worth
US$ 816 Billion in 2017, representing a CAGR of around 7% during
2009-2017. Despite falling volumes in developed markets as a
result of an increasing awareness on the harmful effects of
cigarette smoking, manufacturers have been able to increase value
growth. Factors driving the cigarette market include a continuous
increase in the prices of cigarettes and an increasing popularity
of premium products. Another major factor driving the growth is
the rising consumption of cigarettes in developing countries.
Owing to the aforementioned reasons, the outlook for tobacco
industry looks stable for the medium term.

Liquidity Analysis: The current ratio of the entity stood at
1.14x as on March 31, 2018 due to relatively higher stock as
compared to sundry creditors on closing balance sheet date ended
March 31, 2018. The firm has cash and bank balances of INR 0.27
crore as on March 31, 2018. On and average, the firm has 10% of
unutilized packing credit facility for meeting its liquidity
requirements.

Ongole based, Nikhil tobaccos (NT) was established in the year
2012 as a proprietorship concern by Mrs. Suma Gutta. Mr. G Suma
is an authorized licensed holder from Government of Andhra
Pradesh for processing and selling of Virginia tobacco. NT is
mainly engaged in processing and selling of Virginia tobacco. The
firm purchases the raw material i.e., Wet Virginia tobacco
through the competitive bidding process conducted by Tobacco
Board (TB) at Andhra Pradesh location. The TB collects the
tobaccos from farmers, who are licensed holder to grow any
particular tobacco. Further, these tobaccos are put in tender
process. After successfully winning the tender, the firm
processes the Virginia tobacco manually by separating the tobacco
leaves, with the help of local contractual workers. After
separation of tobacco leaves, the firm outsources the process
like threshing to its business partner i.e. Maddi Lakshmaiah Agro
Products located at Martur District, Andhra Pradesh. Threshing
process involves conditioning of tobacco with heat and moisture,
and finally re-drying the Virginia tobacco. MLAP further pack
these threshed tobaccos and delivers to NT for selling to various
clients. The processing unit for separation of tobacco leaves is
located at Tangutur, which is 20 km away from Ongole, where
tobacco is one of the major crops.

The firm has reputed client base like ITC Limited (Rated CRISIL
AAA; Outlook: Stable/CRISIL A1+' Reaffirmed on Septmber 20,
2018), Alliance One Industries Private Limited, Premier Tobacco
Packers, besides others.


NUTECH APPLIANCES: CARE Lowers Rating on INR3cr LT Loan to B
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Nutech Appliances (NTA), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long term Bank      3.00        CARE B; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE B+; Stable on the
                                   basis of best available
                                   information

   Short term Bank     3.00        CARE A4; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE A4 on the basis of best
                                   Available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from NTA to monitor the
rating(s) vide e-mail communications/letters dated December 17,
2018, December 11, 2018, November 20, October 23, 2018, October
4, 2018, September 14, 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 rating on
the basis of the best available information which however, in
CARE's opinion is not sufficient to arrive at a fair rating.
CARE's rating on Nutech Appliances' bank facilities will now be
denoted as CARE B; Stable; ISSUER NOT COOPERATING.

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

The rating has been revised by taking into account non-
availability of information and no due-diligence conducted due to
non-cooperation by Nutech Appliances with CARE'S efforts to
undertake a review of the rating outstanding. CARE views
information non-availability risk as a key factor in its
assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on January 22, 2018, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Small though growing scale of operations: The scale of operations
continues to remain small marked by total operating income (TOI)
and gross cash accruals of INR24.24 crore and INR0.29 crore in
FY17 (refers to the period April 1 to March 31). Furthermore, the
partners' capital base stood small at INR2.34 crore as on March
31, 2017. The small scale limits the firm's financial flexibility
in times of stress and deprives it of scale benefits.  Though,
the risk is partially mitigated by the fact that the scale of
operations has been growing continuously in the last 3 financials
years. For the period FY15-FY17, NTA's total operating income
increased from INR8.90 crore in FY15 to INR24.24 crore in FY17
reflecting a compounded annual growth rate (CAGR) of 65% owing to
increase in the quantity sold.  Furthermore, the firm has
achieved TOI of INR30.00 crore during 9MFY18 (refers to the
period April 1 to December 31, based on provisional results).

Weak financial risk profile: The profitability margins of the
firm has shown an erratic trend in the past three financial years
i.e. FY15-FY17 as the firm manufactures large variety of electric
products carrying varied profitability margins. PBILDT margin
stood at 6.75% in FY17 as against 5.08% in FY16 owing to change
in product mix. However, PAT margin has been declining on y-o-y
basis for the past three financial years mainly on account
increase in interest cost. PAT margin stood at 0.62% in FY17.

The capital structure of the firm continues to remain leveraged
mainly on account of low partner's capital base and high
dependence on bank borrowing to meet out the working capital
requirements. Overall gearing stood at 4.37x respectively as on
March 31, 2017. The same has shown deterioration from 4.79x
respectively as on March 31, 2016 on account of increase in
unsecured loans and higher utilisation of working capital bank
limits as on balance sheet date.

The coverage indicators of the firm continues to remain weak as
characterized by interest coverage and total debt to GCA of 1.26x
and 35.42x in FY17 as against 1.57x and 26.67x in Fy16. The
deterioration in the coverage indicators is on account of higher
debt levels resulting in higher interest cost.

Working capital intensive nature of operations: The operating
cycle of the firm stood elongated at 120 days for FY17 owing to
high inventory level and collection period. The firm extends
credit period of 3 to 4 months to its customers owing to high
competition prevailing in the industry. The same resulted into an
average collection period of 121 days for FY17. The firm
maintains inventory in the form of raw material for smooth
manufacturing process. Furthermore, being a manufacturer the firm
has to keep stock of finished goods inventory to meet out the
immediate demand of its customers. All this resulted into high
average inventory of 111 days for FY17. The firm receives an
average payable period of around 2-3 months from its suppliers.
The average working capital utilization of its sanctioned limit
remained almost fully utilized for the last 12 months period
ended December 2017.

Customer concentration risk: NTA is engaged in the manufacturing
of electric equipment's and NTA derives around 80% of its total
sales from a single customer. This also exposes the firm's
revenue growth and profitability to its customer's future growth
plans.

Intense competition in the industry due to low entry barriers
The firm operates in a highly competitive industry marked by the
presence of a large number of players in the organized as well as
unorganized sector. The competition in the domestic appliances
industry has been increasing since the last two-three years due
to factors like diversion of export focused production capacity
to cater to domestic market on the back of upheavals in the
advanced economies, import of cheaper equipment, especially from
China and large number of smaller players with limited capacity
entering in the industry due to the easy availability of
technology.

Key rating strengths

Experienced Partners: Mr. Varun Suri and Mr. Bhuvnesh Suri are
partners of NTA having around a decade of experience in electric
equipment's manufacturing industry through their association with
this entity. Mr. Varun Suri is a post graduate by qualification
and Mr. Bhuvnesh Suri is a graduate by qualification. Mr. Varun
Suri and Mr. Bhuvnesh Suri collectively look after the overall
operations of the firm.

Nutech Appliances (NTA) was incorporated in 2009 as a partnership
firm. The firm is currently being managed by Mr. Varun Suri and
Mr. Bhuvnesh Suri. The firm is engaged in the manufacturing of
the electrical appliances such as iron, mixers, gyser, emission
rods, cords etc. The firm has a combined installed capacity to
manufacture 23 crores units per annum as on March 31, 2017 at its
manufacturing unit located at Baddi, Himachal Pradesh. The raw
materials used in manufacturing are mainly metal such as iron &
copper, electrical wire, coils and other electric components
which are procured domestically. The firm primarily manufactures
for Tosiba Appliances Co Pvt Ltd. (TAC). Additionally, it also
caters to wholesalers and retailers located Delhi and near
regions.


P. K. INDUSTRIES: CARE Lowers Rating on INR4cr LT Loan to D
-----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
P. K. Industries (PKI), as:

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long-term Bank       4.00      CARE D; Issuer Not Cooperating;
   Facilities                     Revised from CARE BB-; Issuer
                                  Not Cooperating on the basis of
                                  Best available information

   Short-term Bank      6.00      CARE D; Issuer Not Cooperating;
   Facilities                     Revised from CARE A4; Issuer
                                  Not Cooperating on the basis of
                                  Best available information

Detailed Rationale & Key rating Drivers

CARE has been seeking information from PKI to monitor the ratings
vide e-mail communications/ letters dated January 1, 2019 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 available
information which however, in CARE's opinion is not sufficient to
arrive at a fair rating. Further, PKI has not paid the
surveillance fees for the rating exercise as agreed to in its
Rating Agreement. The ratings on PKI's bank facilities will now
be denoted as CARE D; ISSUER NOT COOPERATING.

Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while
using the above ratings.
The revision in the ratings of PKI takes into account owing to
delay in the debt servicing.

Detailed description of the key rating drivers

Key Rating Weakness

Delay in the debt servicing: The firm took ad-hoc limit in March
2018 for 3 month however the same was adjusted in October 2018.
Further, the account has been classified SMA-2.

Bhopal (Madhya Pradesh) based P. K. Industries (PKI) was formed
in 2000 as a proprietorship firm by Mr. Prashant K Gupta. The
firm is ISO 9001: 2008 certified entity and it is engaged into
the business of manufacturing of power and distribution
transformers. PKI manufactures transformers from capacity of 5
Kilo Volt Ampere (KVA) to 5 Mega Volt Ampere (MVA) and supplies
the same to State Electricity Boards (SEB's) in Madhya Pradesh
and Rajasthan and other private customers who take contract from
government departments.


P.N. WRITER: Ind-Ra Affirms BB+ LT Issuer Rating on INR720MM Loan
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed P.N. Writer &
Company Pvt Ltd.'s (PNW) Long-Term Issuer Rating at 'IND BB+'.
The Outlook is Negative.

The instrument-wise rating action is:

-- INR720 mil. (reduced from INR980 mil.) Term loan due on
    May 2026 affirmed with IND BB+/Negative rating.

Ind-Ra has taken a consolidated view of PNW and Writer Lifestyle
Private Limited (WLPL; 'IND BB+'/Negative) because of strong
legal and financial linkages between the entities. On March 29,
2018, PNW divested its entire stake of 100% in its Dubai-based
subsidiary (P.N. Writer and Company Ltd) as a part of the
business restructuring carried out at the group level. Hence,
Ind-Ra has excluded P.N. Writer and Company from its assumptions
to arrive at the ratings of PNW.

KEY RATING DRIVERS

The Negative Outlook reflects high consolidated debt levels and
the risk associated with the timely monetization of assets to
deleverage PNW and WLPL. The consolidated financial profile
remained weak in FY18.

The ratings reflect modest scale of operations, where revenue
fell 7% yoy to INR1,188 million in FY18, primarily due to a fall
in revenue of P.N. Writer and Company.

The ratings also reflect continued negative EBITDA, which was
INR55 million in FY18 (FY17: INR7.5 million), owing to high
operating cost incurred by the hospitality business.

The ratings further reflect a modest liquidity position.
Consolidated cash flow from operations remained negative at
INR429 million in FY18 (FY17: INR194.3 million) owing to
continued operating losses and high interest expenses.
Consolidated cash and cash equivalent was INR64.1 million in FY18
(FY17: INR158.3 million) against a scheduled consolidated debt
repayment of INR172 million in FY19. At a standalone level, PNW
has a scheduled debt repayment of INR54.3 million in FY19 that is
likely to meet through internal accruals. PNW had a cash and cash
equivalent of INR51 million at FYE18 (FYE17: INR158 million).

On a standalone basis, PNW has a small scale of operations. Its
revenue rose to INR71 million in FY18 from INR66 million in FY17,
driven by an increase in rental income. PNW reported EBITDA of
INR36 million for FY18 (FY17: INR30 million). The rise in EBITDA
was on account of low operating expenses. Moreover, PNW receives
interest income (FY18: INR51 million; FY17: INR7 million) on
loans and advances extended to its associates and subsidiaries.
At FYE18, PNW had a debt of INR759 million (FYE17: INR650
million), INR478.5 million of which was extended to WLPL in form
of loans and advances (INR315 million). The management has stated
that group company Writer Business Services Private Limited ('IND
A'/Stable) will extend tangible support to PNW, in case of
financial distress. Moreover, the management will sell owned
residential properties in Bandra, warehouses in Maharashtra and
land bank in Lonavala (around 84 acres) for INR400 million-500
million in the near-to-medium term. The proceeds to be generated
will be primarily used for reducing standalone debt.

The ratings, however, benefit from the likely support in the form
of loans and advances from Writer Business Services to PNW, in
case of financial distress. As per the management, Writer
Business Services is likely to infuse INR230 million in the form
of loans and advances in PNW during 4QFY19 to reduce standalone
debt.

RATING SENSITIVITIES

Negative: Any deterioration in the liquidity and a continued rise
in the leverage, amid weak earnings and negative cash flow
generation, all on a sustained basis, would lead to a downgrade.

Positive: An improvement in the occupancy level at Hilton Shillim
Estate Retreat & Spa, leading to positive cash flow generation
and deleveraging as against planned via accruals in view of the
sale of residential properties/land bank and villas, all on a
sustained basis, would lead to an upgrade.

COMPANY PROFILE

PNW is a part of Mumbai-based Writer Corporation group, which is
engaged in diversified businesses such as relocation services,
information and records management services, cash management
services and hospitality.

As a standalone entity, PNW's revenue source is rental from a
residential property in Bandra West, Mumbai (St. Leo Apartments;
a seven-storey building with an area 857 square meters) and some
commercial properties leased to Writer Business Services.

WLPL, a wholly owned subsidiary of PNW, undertakes the
hospitality business. It has a luxury spa, Hilton Shillim Estate
Retreat and Spa, in Lonavala, near Mumbai. Also, it carried out
the real estate business, where it is constructing villas in
Shillim, Lonavala, for sale.


PARSVNATH DEVELOPERS: NCLT Admits Insolvency Plea vs. Unit
----------------------------------------------------------
BloombergQuint reports that the National Company Law Tribunal has
given its approval to start the insolvency proceedings against
realty firm Parsvnath Developers' subsidiary, which is developing
a housing project in the national capital.

BloombergQuint relates that the NCLT, Delhi, has admitted an
insolvency petition filed by three homebuyers against the
subsidiary firm - Parsvnath Landmark Developers - for inordinate
delay in the development of this project and non-refund of their
payment.

According to BloombergQuint, the tribunal appointed Yash Jeet
Basrar as an interim resolution professional (RP) to run the
corporate insolvency resolution process of Parsvnath Landmark
Developers.

A two-member bench of the NCLT, headed by President Justice M M
Kumar, has directed that all the personnel connected with the
Parsvnath Landmark Developers, erstwhile directors, promoters or
any other person associated with the management must cooperate
with the RP in managing the affairs of the company, says
BloombergQuint.

BloombergQuint adds that the tribunal has also directed that in
case there is any violation committed by the ex-management or any
tainted/illegal transaction by ex-directors or anyone else the
interim resolution professional/resolution professional would be
at liberty to make appropriate application before it for passing
an appropriate order.

The NCLT has directed the Registrar of Companies to update the
status of 'corporate debtor' and specific mention regarding
admission of this petition must be notified on its portal,
BloombergQuint says.

According to BloombergQuint, the tribunal direction came over a
petition filed by Alka Agarwal and two others, who had booked
flat at La Tropicana project of Parsvnath Landmark Developers at
Khyber Pass in Delhi for a consideration of Rs 10.93 crore.

According to the flat buyer agreement executed between the
parties on October 1, 2009, Parsvnath Landmark Developers was to
hand over the possession within 36 months from the date of
commencement of construction with grace period of six months, the
report says.

However, even after the expiry of more than nine years,
construction of the said flat has not been commenced so far. The
buyer has several communications with the company either to hand
over the flat or return the money with interest as per the
agreement, BloombergQuint states.

The counsel for Parsvnath Landmark Developers did not participate
in the hearing, BloombergQuint notes.

However, in a written submission filed by its authorised
representative, it said that the application was not maintainable
and delay was on account of various clearances and the matter of
issue of ownership of the said land is still pending before the
Delhi High Court.

It further said that in the flat buyer agreement, it was agreed
that the construction of the flat would likely to be completed
within 36 month of commencement of construction on receipt of
sanction of building plans and all other requisite approvals for
construction. It also conceded that the buyers are not financial
creditors, adds BloombergQuint.


PHILIP D' COSTA: CARE Lowers Rating on INR3.67cr Loan to B+
-----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Philip D' Costa & Co. (PDC), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       3.67       CARE B+; Stable Revised from
   Facilities                      CARE BB-; Stable; ISSUER NOT
                                   COOPERATING

   Short-term Bank
   Facilities           4.00       CARE A4 Reaffirmed

Detailed Rationale & Key Rating Drivers

The ratings assigned to the bank facilities of PDC factors in
marginal increase in scale of operations with moderate order book
position, marginal improvement in profitability margins in FY18
(refers to the period April 1 to March 31.). However, the rating
continues to be tempered by small scale of operation, leveraged
capital structure, working capital intensive nature of business,
High competitive intensity in the government civil construction
segment and Customer concentration and geographical concentration
and absence of price escalation clause led to vulnerability of
margins. The ratings, however, continue to derive strength from
the experienced promoters, established relationship with the
customers.

Going forward, the ability of the firm to increase its scale of
operations by securing more contracts along with speedy execution
of same and better management of working capital would be the key
rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Leveraged capital structure and weak debt coverage indicators:
The capital structure of the firm stood negative as on March 31,
2018 on account of a negative net worth as a result of withdrawal
of capital by the partners to the extent of INR3.34 crore during
FY18 and an increase in total debt.

The debt coverage indicators marked by PBILDT interest coverage
and TD/GCA deteriorated and stood at 2.98x and 4.98x respectively
during FY18 on account of an increase in total debt resulting in
an increase in the interest cost during the year. The debt was
taken for the purchase of machinery for the implementation of the
projects. Further, due to the above reason and a decline in the
cash flows, resulting from delay in realization of receivables,
led to deterioration in total debt/ cash flow from operations to
24.57x during FY18 as against 0.62x in FY17.

Working capital intensive nature of operations: The firm mainly
executes the contracts for government authorities and generally
receives payment from 20-25 days from its clients and enjoys a
credit period of around 50-70 days for making payment to the
creditors. Hence, the operating cycle of the firm stood negative
at 43 days in FY18.

The current ratio of the firm stood at 0.73x as on March 31, 2018
as compared to 1.14x as on March 31, 2107 due to high account
payable and working capital bank borrowings as on March 31, 2018.
The firm had a cash and bank balance of INR3.91 crore as on
March 31, 2018. However, the liquidity position of the company is
stressed considering the account receivable and low cash balance.
The unutilized portion of cash credit facility remains almost ~5%
on an average for the 12-month period ending November 30, 2018.

High competitive intensity in the government civil construction
segment: The construction industry is highly fragmented in nature
with presence of large number of unorganized players and a few
large organized players which coupled with the tender driven
nature of construction contracts poses huge competition and puts
pressure on the profitability margins of the players. Further, as
the firm participates in tenders invited by government
departments, high competition and lower bargaining power
restricts its profitability margins.

Customer concentration and geographical concentration and absence
of price escalation clause led to vulnerability of margins
Client base of PDC is skewed towards government departments in
Karnataka. The firm derives majority of its income from KPWD.
Further, since PDC is a regional player which reflects
geographical concentration risk though it can take projects from
all over India. Further, in all the contracts, the firm does not
have any price escalation clause that led to vulnerability of
margins to fluctuation in materials as well as employee cost.

Key rating Strengths

Experienced partners: Mr. Philip D Costa, partner, has more than
four decades of experience in the industry and looks after the
overall affairs of the firm. He is supported by other partners
Mr. Ravikiran D Costa and Mr. Rovan D Costa who are graduates by
qualification and have up-to 5 years of experience in the
industry. Further, the partners are supported by a team of
experts for execution of contracts and other work.

Marginal improvement in scale of operations with moderate order
position: The total operating income of the firm had a healthy
improvement and increased by more than 250% in FY17 as compared
to FY16 on back of increase in work orders from the public works
department. There was a marginal improvement in total operating
income, by ~7%, from FY17 to FY18. The scale of operations
however stood small at INR35.58 crore in FY18 with a negative net
worth as on March 31, 2018 due to withdrawal of capital by the
partners during the year.

As on December 29, 2018, the order book stood at INR63 crore (as
against INR16.27 crore in FY16) forming about 1.77 times of FY18.
The said projects are expected to be completed by FY20. However,
the contracts do not have price escalation clause thus increasing
the risk arising out of adverse movement in the raw material
prices.

Marginal improvement in profitability margins: The profitability
of PDC improved and stood moderate with PBILDT and PAT margin of
12.29% and 3.10% respectively in FY18. During FY17, PBILDT margin
of the firm dipped by 144 bps over FY16 mainly due to increase in
labor charges during the year. With an improvement in TOI and PAT
level, GCA level of the firm grew from INR1.85 crore in FY16 to
INR2.20 crore during FY18 mainly due to an increase in the
depreciation charges as the firm has acquired new machinery for
the execution of the works contracts.

Liquidity position: The current ratio of the firm stood at 0.73x
as on March 31, 2018 as compared to 1.14x as on March 31, 2107
due to high account payable and working capital bank borrowings
as on March 31, 2018. The firm had a cash and bank balance of
INR3.91 crore as on March 31, 2018. However, the liquidity
position of the company is stressed considering the account
receivable and low cash balance. The unutilized portion of cash
credit facility remains almost ~5% on an average for the 12-month
period ending November 30, 2018.

Udupi-based (Karnataka) Philip D' Costa & Co. (PDC) was formed in
May 21, 2014 by Mr. Philip D' Costa as a partnership concern
along with Mr. Ravikiran D' Costa and Mr. Rovan D' Costa and
shares profit and loss in the ratio of 40:30:30. PDC is
registered as class-I civil contractor with KPWD.


PRACHI (INDIA): CARE Migrates B+ Rating to Not Cooperating
----------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Prachi
(India) Private Limited (PIPL) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank      15.00       CARE B+; Stable; Issuer not
   Facilities                      cooperating; Based on best
                                   available information

   Short-term Bank      3.00       CARE A4; Issuer not
   Facilities                      cooperating; Based on best
                                   available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from PIPL to monitor the
rating(s) vide e-mail communications/letters dated December 14,
2018, December 11, 2018, December 4, 2018, November 20, 2018,
etc. 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 rating on the basis of the best
available information which however, in CARE's opinion is not
sufficient to arrive at a fair rating. The ratings on Prachi
(India) Private Limited's bank facilities will now be denoted as
CARE B+; Stable/CARE A4; ISSUER NOT COOPERATING.

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

The ratings take into account the constraints relating to
company's modest scale of operations, low profitability margins,
leveraged capital structure, weak coverage indicators and working
capital intensive nature of operations. The ratings are further
constrained by its presence in competitive nature of industry
along with project execution risk with debt funding yet to be
tied up. The ratings, however, draws comfort from experienced
management and established marketing network.

Detailed description of the key rating drivers

At the time of last rating on February 6, 2018, the following
were the rating strengths and weaknesses:

(Updated based on limited information provided by the client).

Key Rating Weaknesses

Modest scale of operations: PIPL's scale of operations remained
modest marked by total operating income and gross cash accruals
of INR72.39 crore and INR1.42 crore, respectively, for FY18
(refers to the period April 1 to March 31). Furthermore, the net
worth base was also relatively small at INR7.12 crore as on March
31, 2018. The modest scale of operations and small net worth base
limits the company's financial flexibility in times of stress and
deprives it of scale benefits.

Low profitability margins, leveraged capital structure and weak
coverage indicators: The profitability margins of the company
remained low during the past three years (FY16-FY18) on account
of limited value addition and intense market competition given
the highly competitive nature of the industry. Further, high
interest burden on its bank borrowings also restricts the net
profitability of the company. PBILDT and PAT margin stood at
6.05% and 1.05% respectively during FY18. The capital structure
of the company stood leveraged for the past three balance sheet
dates (FY16-FY18) on account of high dependence on external
borrowings coupled with relatively small net worth base. Thus,
overall gearing ratio stood at 4.10x as on March 31, 2018.
Furthermore, debt coverage indicators as marked by interest
coverage and total debt to GCA stood weak for the past three
financial years i.e. (FY16-FY18) owing to high debt levels with
low profitability position. Interest coverage and total debt to
GCA stood at 1.80x and 20.54x during FY18.

Project execution risk with debt funding yet to be tied up: PIPL
had undertaken capital expansion of Rs 21.10 crore in order to
setup printing and binding unit in Kundli, Sonepat (Haryana). As
on December 31, 2017, the company had incurred INR8.19 crore
towards purchase of land, the same was proposed to be funded
through external borrowings and infusion of funds by promoters.
The bank debt with respect to the same was proposed to be tied
up. The commercial operations were expected to start in March,
2019. This exposes the company towards project execution in terms
of debt yet to be tied-up, completion of the project with-in the
envisaged time and cost. Moreover, due to debt funded capex and
given the small net worth base of the company at present the
capital structure of the company is expected to deteriorate going
forward. Due to non-cooperation by the client; CARE is unable to
comment on the current status of the project and operational
performance of the company.

Working capital intensive nature of operations: The operations of
the company continue to remain working capital intensive in
nature marked by an operating cycle of 97 days in FY18. Though,
the company normally allows a credit period of around 2-3 months
to its customers; as the realization happens once the books are
sold to customers. Furthermore, since majority of income accrue
during last quarter the same results into high receivables as on
balance sheet date. The company maintains sufficient stock of
inventory of around 2 months in form of raw material i.e. paper
for smooth running of its operation. Also, the company maintains
inventory in form of published books to meet the immediate
demands of its customers. The same resulted into an average
inventory of 60 days for FY18. The company receives an average
payable of around 4-6 months from the suppliers owing to long
standing relationship. The working capital limits of the company
remained almost fully utilized during past 12 months period
ending November, 2018.

Competitive nature of industry: The printing and publication
industry is characterized by a high level of fragmentation and
regional concentration, with very little differentiation in terms
of service offering. PIPL faces direct competition from various
organized and unorganized players in the market. There are number
of small and regional players who are located in and around area
and catering to the same market which has limited the bargaining
power of the company.

Key Rating Strengths

Experienced management: PIPL business risk profile is supported
by experienced directors; Mr. Mukesh Tyagi, Mr. Rakesh Tyagi and
Mrs. Savitri Tyagi; having nearly two decades of experience in
printing and publishing business through their association with
this entity.

Established marketing network: The company markets and sells its
entire range of products through a well-established network. The
company's marketing setup consists of more than 250 dealers and
distributors which also include reputed book distributors in the
domestic market. This provides a wide spread reach and additional
credibility to the products of the company. Moreover, the company
has carved out of publishing niche titles for nursery to class
12th. Also company's marketing personnel are present in each part
of the nation from where they approach to the educational
institutes, which helped them to get regular orders from them.

Delhi-based Prachi (India) Private limited (PIPL) was established
in 1999 by Mr. Mukesh Tyagi, Mr. Rakesh Tyagi and Mrs. Savitri
Tyagi. The company is primarily engaged in the distribution of
text books, study material for classes ranging from nursery to
class 12. The company outsourced the activities related to
printing, publishing and binding of books. The company supplies
its product to public schools, spread out across India.


RAM RAGHU: CARE Reaffirms D Rating on INR4.26cr Long Term Loan
--------------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Ram Raghu Healthcare Private Limited (RRH), as:

                    Amount
   Facilities     (INR crore)     Ratings
   ----------     -----------     -------
   Long-term Bank      4.26       CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

Detailed rationale and key rating drivers

The rating has been reaffirmed by taking into account no due-
diligence conducted due to non-cooperation by RRH with CARE'S
efforts to undertake a review of the rating outstanding. CARE
views information availability risk as a key factor in its
assessment of credit risk. Further the rating continues to remain
constrained on account of on- going delay in debt servicing,
small scale of operations coupled with net losses, leveraged
capital structure and weak liquidity indicators. The rating is
further constrained on account of competitive nature of industry
with a large number of established organized players. The rating,
however, continues to derive strength from experienced promoters
and satisfactory strength of medical staff to support operations
and positive outlook & high growth potential for the healthcare
sector.

Detailed description of the key rating drivers

At the time of last rating on February 14, 2018, the following
were the rating weaknesses and strengths. (Updated for the
information available from Registrar of Companies).

Credit Risk Assessment

Key Rating Weakness

On-going delay in debt servicing: There is normally delay of a
month in relation to the servicing of principal installment and
interest of term loan on account of stressed liquidity position.
CARE is unable to comment on it due to non-cooperation by the
client.

Small scale of operation coupled with net losses: The scale of
operation of the hospital stood small marked by total operating
income and Gross cash accruals at INR 4.95 crore and INR 0.97
crore respectively in FY18 (FY refers to the period April 01 to
March 31)). The small scale limits the RRH's financial
flexibility in times of stress and deprives it from scale
benefits.The hospital incurred losses in initial years of
operations due to inherent long gestation period for
stabilization of operations of hospital. RRH incurred net losses
of INR 0.80 crore mainly on account of interest and depreciation
expenses.

Leveraged capital structure and weak liquidity indicators: The
capital structure of the company stood leveraged for the past
three balance sheet dates (i.e. FY16-FY18) owing to debt funded
capex undertaken in the past coupled with low net worth base. As
on March 31, 2018; overall gearing ratio deteriorated and stood
at 3.59x as against 3.07x as on March 31, 2017 owing to erosion
of net worth base due to net losses incurred during the year.
Furthermore, liquidity ratios continue to remain weak as marked
by current ratio and quick ratio of 0.43x and 0.43x,
respectively, as on March 31, 2018.The cash and bank balance
stood at INR 0.79 crores as on March 31, 2018.

Competitive nature of industry with a large number of established
organized players: The healthcare industry is competitive with a
large number of established organized players and their growing
network of hospitals. The healthcare and specialty hospitals
sector mainly comprises of large national players, organized
regional players, Government hospitals, charitable trusts, and a
large number of nursing home and multi-specialty clinics making
it competitive. The competition is expected to intensify with the
expected entry of Public Private Partnerships in this segment.
Moreover, Healthcare is a highly sensitive sector where any
mishandling of a case or negligence on part of any doctor and/or
staff of the unit can lead to distrust among the masses. Thus,
all the healthcare providers need to monitor each case diligently
and maintain standard of services in order to avoid the
occurrence of any unforeseen incident. They also need to maintain
high vigilance to avoid any malpractice at any pocket.

Key Rating Strengths

Experienced Promoters and satisfactory strength of medical staff
to support operations: The Ram Raghu group has been managed by
Mr. Manish Bansal and Ms. Pooja Bansal and Dr. Parnita Bansal.
Dr. Parnita Bansal is gynecologist by profession with more than 2
decades of experience in the field of medicine. Mr. Manish and
Mr. Pooja, have considerable experience in different industry and
manages the overall administration functions of the hospital.
Also, the management is assisted by a team of 10 in-house
experienced doctors, 35 visiting doctors and around 70 support
staff available for RRH to support the hospitals day to day
operations.

Positive outlook & high growth potential for the healthcare
sector: Increasing urbanisation, improving demographics, rising
purchasing power necessary to afford quality medical treatments
and medicines are expected to drive increase in per capita health
expenditure. Furthermore, in the past few years, state
governments have spent larger proportion of their total
expenditure towards healthcare and related subjects. This
similarly results in higher demand in hospital as well as
educational services.

Uttar Pradesh based RRH was incorporated in January 2012. The
company was incorporated with an aim to run a hospital in the
name of Ram Raghu Hospital. It is being managed by Mr. Manish
Bansal, Mrs. Pooja Bansal and Dr. Parnita Bansal. The hospitals
are multi-specialty hospitals and trauma centre along with value
added services mainly comprising of 42 bedded general ward, 21
bedded private rooms and 37 bedded ICU, OPD, Operating rooms/
Labour room. The hospital has an in-house facility of CT scan, X-
ray, ultrasound machine, theatre sterile supply unit,
Mammography, Laboratory services etc.


SAIBABA SOLVENT: Ind-Ra Affirms BB- Issuer Rating, Outlook Stable
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Saibaba Solvent
Industries LLP's (SSI) Long-Term Issuer Rating at 'IND BB-'. The
Outlook is Stable.

The instrument-wise rating actions are:

-- INR52.79 mil. (reduced from INR86.99 mil.) Term Loan due on
    March 2022 affirmed with IND BB-/Stable rating;

-- INR25 mil. (reduced from INR100 mil.) Fund-based limits
    affirmed with IND BB-/Stable rating;

-- INR0.73 mil. Non-fund-based limits affirmed with IND A4+
    rating; and

-- INR109.2 mil. Proposed fund based* assigned with Provisional
    IND BB-/Stable rating.

* The ratings are provisional and shall be confirmed upon the
sanction and execution of loan documents for the above facilities
by MAPL to the satisfaction of Ind-Ra.

KEY RATING DRIVERS

The affirmation reflects SSI's continued moderate scale of
operations. Revenue increased to INR882.67 million in FY18 (FY17:
INR843.54 million) because of growth in demand. However, its
absolute operating profit decreased to INR40.87 million in FY18
(FY17: INR48.31 million) due to an increase in raw material
costs. The return on capital employed was 10% in FY18 (FY17:13%)
and the EBITDA margin stood at a modest 4.6% (FY17: 5.7%) due to
intense competition from organized and unorganized players.

Also, the company's credit metrics remain weak. The interest
coverage ratio (operating EBITDA/gross interest expense) worsened
to 2.7x (FY17: 3.3x), due to the decline in absolute operating
profit, while net debt ratio (adjusted net debt/operating
EBITDAR) improved marginally to 3.1x (FY17:3.5x) due to a decline
in the net debt availed by the company.

The ratings benefit from the improved liquidity position of the
company, with the maximum average utilization of the cash credit
facility standing at 80.6% for the 12 months ended December 2018.
In FY18, SSI had cash balance of INR1.46 million (FY17: INR0.72
million) and cash flow from operations turned positive at
INR52.32 million (negative INR36.4 million).

The ratings are further supported by the partners' experience of
more than a decade in the rice mill and de-oiled cake trading
business.

RATING SENSITIVITIES

Negative: Deterioration in the revenue and overall credit profile
on a sustained basis may lead to a negative rating action.

Positive: A significant improvement in revenue and improved
credit metrics on a sustained basis may lead to a positive rating
action.

COMPANY PROFILE

Incorporated in July 2014, SSI manufactures rice bran crude oil
and de-oiled cakes in Nagpur. The firm is partnered by Mr.
Santulal Kewalram Jamtani, Mr. Pradeep Sushilkumar Saraogi and
Ms. Lata Tulsidas Tajpuria.


SAIGON INFRATECH: CARE Maintains D Rating in Not Cooperating
------------------------------------------------------------
CARE had, vide its press release dated September 21, 2017, placed
the rating(s) of Saigon Infratech Private Limited under the
'issuer non-cooperating' category as Saigon Infratech Private
Limited had failed to provide information for monitoring of the
rating. Saigon Infratech Private Limited continues to be non-
cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
November 23, 2018, November 16, 2018 and November 13, 2018. 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.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long-term Bank      5.00       CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

   Short-term Bank    26.00       CARE D; 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(s).

The ratings have been reaffirmed by taking into account non-
availability of requisite information and no due-diligence
conducted due to non-cooperation by Saigon Infratech Private
Limited with CARE'S efforts to undertake a review of the rating
outstanding. CARE views information availability risk as a key
factor in its assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on September 21, 2017, the following
were the rating weakness:

The ratings have been revised on account of ongoing delays in
meeting the debt obligations.

Incorporated in 2011, SIPL is promoted by Mr. Neeraj Tyagi and
Mr. Abhimanyu Pratap Singh Tyagi. The company started its
commercial operations in June 2012 and is engaged in execution of
civil construction projects like construction of commercial
building, office complex, hard-scaping stone work and residential
projects for both private organizations and government
departments. The company procures its raw material, i.e., sand,
cement, steel bars etc. from domestic dealers and distributors.
The group companies of SIPL include Sai Shagun Buildtech Private
Limited and Saigon Traders & Contractors which are set up for the
real estate development.


SAGAR INDUSTRIES: Ind-Ra Moves BB- LT Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Sagar Industries
& Distilleries Private Limited's Long-Term Issuer Rating to the
non-cooperating category. The issuer did not participate in the
rating exercise despite continuous requests and follow-ups by the
agency. Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will now
appear as 'IND BB- (ISSUER NOT COOPERATING)' on the agency's
website.

The instrument-wise rating actions are:

-- INR200 mil. Fund-based facilities migrated to Non-Cooperating
    Category with IND BB- (ISSUER NOT COOPERATING) rating; and

-- INR90 mil. Non-fund-based facilities migrated to Non-
    Cooperating Category with IND A4+ (ISSUER NOT COOPERATING)
    rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 5, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.

COMPANY PROFILE

Incorporated in 1999, Sagar Industries & Distilleries
manufactures portable and non-portable alcohol at its facility in
Nashik, Maharashtra. The company has a total installed capacity
of 10 million liters per day.


SHAPE ENGINEERING: CARE Lowers Rating on INR10.50cr Loan to B
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Shape Engineering Co. Private Limited (SECPL), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       10.50      CARE B; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE B+; Stable on the basis
                                   of best available information

   Long/Short term       0.58      CARE B; Stable/CARE A4;
   Bank Facilities                 Issuer not cooperating;
                                   Revised from CARE B+;
                                   Stable/CARE A4 on the basis
                                   of best available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SECPL to monitor the
rating(s) vide e-mail communications/letters dated December 17,
2018, December 11, 2018, November 20, October 23, 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 rating on the basis of the
best available information, which however, in CARE's opinion is
not sufficient to arrive at a fair rating. CARE's ratings on
Shape Engineering Co. Private Limited's bank facilities will now
be denoted as CARE B; Stable/CARE A4; ISSUER NOT COOPERATING.

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

The rating has been revised by taking into account non-
availability of information and no due-diligence conducted due to
non-cooperation by Shape Engineering Co. Private Limited with
CARE'S efforts to undertake a review of the rating
outstanding. CARE views information non-availability risk as a
key factor in its assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on November 30, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Small and stagnant scale of operations: The total operating
income of the company remained small at INR10.71 crore for FY17;
refers to the period April 1 to March 31). Furthermore, the scale
of operations of the company remained low and stable in the last
2 financial years (FY17 and FY16). The small scale limits the
company's financial flexibility in times of stress and deprives
it from scale benefits. Further during 7MFY18 (refers to the
period April to October) the company has achieved a total
operating income of INR7.00 crores.

Concentrated though reputed customer base: SECPL's business risk
profile continues to be supported by association with various
reputed customers like METSO India (P) Ltd., ARVOAS Energy India
(P) Ltd., TOSHIBA JSW Power Systems (P) Ltd., BHEL Ranipur, etc,
through its regular supply of quality products. Moreover, reputed
customer base ensures timely realization of receivables. However,
the revenue share from the four customers accounted for 82% share
of TOI in FY17. This exposes the company towards customer
concentration risk. Any change in procurement policy of this
customer may adversely impact the business of the company. This
also exposes the company's revenue growth and profitability to
its customer's future growth plans.

Elongated operating cycle and Weak coverage indicators: The
operating cycle of the company elongated at 428 days during FY17
on account of high inventory holding and high collection period.
The raw -material as well as finished goods are subjected to
quality checks and requisite approvals from the customer before
processing and dispatching which resulted in high inventory
holding. Furthermore, significant portion of inventory is blocked
in work in progress due to customization and approvals from the
customers. All these resulted into a high average inventory
period of 368 days. The collection period of the company also
stood elongated at 147 days in FY17 on account of low bargaining
powers with its customers and it takes around 4-5 months in
realization.

The company receives an average credit period of around 2-3
months resulted into average creditors' period of 87 days for
FY17. Average working capital borrowings remained almost fully
utilized for the past 12 month period ending October, 2017.

The coverage indicators remained weak marked by interest coverage
and total debt to gross cash accruals of 1.68x and 10.49x
respectively for FY17 as against 2.12x and 7.52x in FY16. The
deterioration in the coverage indicators in on account of low
profitability levels resulting in lower GCA.

Susceptible to volatility in the prices of raw materials: The
main raw material used in production of plates and pipes is iron.
The raw material cost constituted about 60% of the total cost of
sales in FY17, thereby making profitability sensitive to raw
material prices mainly due to the reason that the major raw
material is commodity in nature and witness frequent price
fluctuations. The prices are driven by the international prices
which had been volatile in past. Thus any adverse change in the
prices of the raw material may affect the profitability margins
of the company.

Key Rating Strengths

Experienced promoters and long track record of operations: The
promoters of the company are Shri Sudhir Kumar Jain and Shri
Saurabh Jain. Shri Sudhir Kumar Jain has been engaged
in the manufacturing business since 1984. Shri Saurabh Jain who
has an experience of one and a half decades looks after
overall functioning of the organization. Nevertheless, long
experience of the promoters in the manufacturing industry has
led to establish good relationships with the customers and
suppliers.

Moderate profitability margins and capital structure: The
products manufactured by the company are technical in nature for
which engineering skills and precision designing is required. Due
to the technical nature of the job, the entry barriers are high
and the company enjoys comparatively low competition. The
profitability margins of the company stood moderate as marked by
PBILDT and PAT margin of 24.27% and 1.74% in FY17.  The capital
structure of the company stood moderate as marked by overall
gearing ratio stood at 0.71x as on March 31, 2017.

Uttarakhand based, Shape Engineering Compay (P) Ltd. (SECPL) was
established on November 9, 1984 as a private limited company and
is currently being managed by Mr. Shri Sudhir Kumar Jain and Mr.
Shri Suarabh Jain. The company is engaged in manufacturing of
turbine parts at its manufacturing unit located in Uttarakhand
having an installed capacity of 2,500 MTPA as on October 30,
2017. The products manufactured by company find application in
manufacturing of capital goods. The company procures raw
materials namely, M.S.Plates, Steel and Iron Ingots from the
domestic suppliers.


SHARMA CONSTRUCTION: CARE Lowers Rating on INR0.50cr Loan to B+
---------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Sharma Construction, as:

                   Amount
   Facilities    (INR crore)    Ratings
   ----------    -----------    -------
   Long-term Bank     0.50      CARE B+; Issuer not cooperating;
   Facilities                   Revised from CARE BB-; on the
                                basis of best available
                                information

   Short-term Bank    5.50      CARE A4; Issuer not cooperating;
   Facilities                   on the basis of best available
                                information

CARE had, vide its press release dated September 19, 2017, placed
the rating(s) of Sharma Construction under the 'issuer non-
cooperating' category as Sharma Construction had failed to
provide information for monitoring of the rating. Sharma
Construction continues to be non-cooperative despite repeated
requests for submission of information through e-mails, phone
calls and a letter/email dated November 23, 2018, November 16,
2018 and November 13, 2018. 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.

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

The ratings have been revised by taking into account non-
availability of requisite information and no due-diligence
conducted with banker due to non-cooperation by Sharma
Construction with CARE'S efforts to undertake a review of the
rating outstanding. CARE views information availability risk as a
key factor in its assessment of credit risk. Further, the ratings
continue to remain constrained owing to small scale of operations
with low net worth base, geographical and customer concentration
risks and highly competitive industry coupled with business risk
associated with tender-based orders. The ratings, however, draws
comfort from experienced proprietor, moderate PAT margins &
capital structure and moderate operating cycle.

Detailed description of the key rating drivers

Key Rating Weaknesses

Small scale of operations with low net worth base: The firm is a
small regional player involved in executing civil and road
construction contracts for PWD, Uttar Pradesh. The ability of the
firm to scale up to larger-sized contracts having better
operating margins is constrained by its comparatively low capital
base of INR3.90 crore as on March 31, 2015, and total operating
income of INR27.35 crore in FY15 (refers to the period April 1 to
March 31). Furthermore, in FY16 (based on provisional results),
the firm has achieved total sales of ~INR21 crore. The small
scale of operations in a fragmented industry limits the pricing
power and benefits of economies of scale.

Geographical and customer concentration risks: SCT has been
mainly undertaking construction orders mainly from PWD for Uttar
Pradesh region, the present unexecuted order is also concentrated
both customer wise and geographically. Since the orders are from
government departments hence any change in their policy towards
contract allotment can impact the operations of the firm.
Furthermore, most of the orders being executed are fixed price,
fixed time in nature and hence effective and timely execution of
the orders has a direct bearing on the margins attained.

Highly competitive industry along with business risk associated
with tender-based orders: SCT faces direct competition from
various organized and unorganized players in the market. There
are number of small and regional players and catering to the same
market which has limited the bargaining power of the firm and has
exerted pressure on its margins.

The firm majorly undertakes government contracts, which are
awarded through the tender-based system and lowest bidder gets
the work. The firm is exposed to the risk associated with the
tender-based business, which is characterized by intense
competition. Hence, going forward, due to increasing level of
competition and aggressive bidding, the profits margins are
likely to be under pressure in the medium term. The growth of the
business also depends on its ability to successfully bid for the
tenders and emerge as the lowest bidder. Furthermore, any changes
in the Government policy or Government spending on projects are
likely to affect the revenues of the firm.

Key Rating Strengths

Experienced proprietor: SCT is currently being managed by Mr.
Manmohan Sharma. He is an undergraduate by qualification and has
an experience of around one and a half decades in construction
business through his association with this entity.

Moderate PAT margins & capital structure: Though the PBILDT
margin remained low at around 5% for past two financial years,
ie, FY14 and FY15 on account of tender-driven nature of business
with limited ability to bid. However, the PAT margin stood
moderate at around 4% in FY14 and FY15. The capital structure of
the firm stood moderate as marked by overall gearing of around
0.50x on the last 2 balance sheet dates (FY14 & FY15). The
average working capital utilization remained around 55% utilized
for the past 12 months ended August 2016.

Moderate operating cycle: The operating cycle of the firm stood
negative for past two years, ie, FY14 and FY15. The firm
maintains inventory at different sites for the smooth running of
construction work and billing for the same is done on monthly
basis after receipt of approval by the respective client. The
firm receives an average payable period of around 15-20 days from
the suppliers. Furthermore, the firm normally receives payment
within 2-5 days of issuance of invoice.

SCT is a proprietorship firm established in 2002. The firm is
currently being managed by Mr. Manmohan Sharma. The firm is
engaged in the construction works which includes civil
construction and construction of roads. PCC executes contracts
mainly for PWD (Public Work Department) and Central Public Works
Department (CPWD) Uttar Pradesh. The main raw material for the
firm includes bitumen, crushed stone, dust sand, cement and tar
which the firm procures mainly from local dealers where project
is located.


SHRINET AND SHANDILYA: CARE Lowers Rating on INR3cr Loan to B
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Shrinet and Shandilya Constructions Private Limited (SSPL), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       3.00       CARE B; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE B+; Stable on the basis
                                   of best available information

   Short-term Bank     32.00       CARE A4; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE A4 on the basis of best
                                   Available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SSPL to monitor the
rating(s) vide e-mail communications/letters dated December 19,
2018, October 25, 2018, October 1, 2018, September 20, 2018,
September 13, 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 rating on the
basis of the best available information which however, in CARE's
opinion is not sufficient to arrive at a fair rating. CARE's
ratings on Shrinet And Shandilya Constructions Private Limited's
bank facilities will now be denoted as CARE B; Stable/CARE A4;
ISSUER NOT COOPERATING.

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

The rating has been revised by taking into account non-
availability of information and no due-diligence conducted due to
non-cooperation by Shrinet And Shandilya Constructions Private
Limited with CARE'S efforts to undertake a review of the rating
outstanding. CARE views information non-availability risk as a
key factor in its assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on September 29, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Small and fluctuating scale of operations: The company is a small
regional player involved in executing civil construction
contracts. The ability of the company to scale up to larger-sized
contracts having better operating margins is constrained by its
total operating income and GCA of INR 30.63 crore and INR 1.62
crore respectively in FY17 (FY refers to the period April 01 to
March 31).; based on provisional results). The small scale of
operations in a fragmented industry limits the pricing power and
benefits of economies of scale. Furthermore, company's total
operating income has been fluctuating over the past three years
(FY15-FY17) due to tender-driven nature of business. The total
operating income registered growth in FY17 over previous year
owing to increase in the number of orders executed.

Working capital intensive nature of operations: The operating
cycle of the company has stood at 85 days in FY17. The firm
maintains inventory in form raw material at different sites for
the smooth execution of orders. Further, the company raises bills
to its customers who take 3-4 months to realize owing delay is
clearance from government department. The company receives an
average payable period of around a month from its suppliers. The
working capital limits remained fully utilized during the 12
months ending August 2017. SSPL's has given significant loans and
advances to various entities which stood at INR24.73 crore as on
March 31, 2017. The same lead to weak liquidity position of the
company. Furthermore, any delay in realization of the same would
have an adverse impact on the financial risk profile of SSPL and
would continue to be a key rating sensitivity.

Highly competitive industry with presence of several organized
and unorganized players: SSPL faces direct competition from
various organized and unorganized players in the market. There
are a number of small and regional players in the industry, which
limits the bargaining power of the company and in turn exerts
pressure on its margins. Hence, going forward, due to increasing
level of competition and aggressive bidding, the profits margins
are likely to be under pressure in the medium term.

Business risk associated with tender-based orders: The company
majorly undertakes government projects, which are awarded through
the tender-based system. The company is exposed to the risk
associated with the tender-based business, which is characterized
by intense competition. The growth of the business depends on its
ability to successfully bid for the tenders and emerge as the
lowest bidder. Further, any changes in the government policy or
government spending on projects are likely to affect the revenues
of the company.

Key Rating Strengths

Experienced management: Mr. Sanjay Partap Singh has more than two
decades of experience in civil construction (Road and Building)
work through his association with SSPL. He handles the overall
operations of the company. He is supported Mr. Vishnu Saran
Singh, who has 19 years of experience in civil construction
through his association with SSPL. Prior to SSPL he used to work
as an independent government contractor.

Moderate profitability margins and capital structure: The
profitability margins of the firm stood moderate during last
three financial years (FY15-FY17). PBILDT margin stood at 11.21%
in FY17 as against 9.95% in FY16 on account of better margin
contacts executed. PAT margin improved and stood at above 2.98%
in FY17 as against 2.39% in FY16.  The capital structure of the
company stood moderate from the last three balance sheet dates.
Capital structure as marked by overall gearing improved and stood
at 0.96x as on March 31, 2017 as against 1.22x as on March 31,
2016. The improvement was on account of lower debt levels owing
to repayment of term loan & unsecured loans, and lower
utilization of working capital limits as on balance sheet date
coupled with higher tangible networth base owing to accretion of
profits to reserves.

Moderate order book: The unexecuted order book of the company
stood at INR65.50 crore as on September 28, 2017 which is
approximately 2.14 times of its total operating income of FY17.
The unexecuted orders have to be executed in next 24 months. The
moderate order book provides revenue visibility in the short to
medium term for the company.

Shrinet and Shandilya Construction Private Limited (SSPL) was
incorporated in July 10, 1998 by Mr. Sanjay Partap Singh. The
company is engaged in construction of roads and development work
like construction of drains and culvert. SSPL executes contracts
mainly for government departments like New Okhla Industrial
Development Authority (NOIDA), Office of Executive Engineer-
Irrigation Division, Road Division and Superintending Engineer-
Rural Engineering Department. The main raw material for the
company includes bitumen, crushed stone, dust sand, cement and
tar which the company procures mainly from local dealers where
project is located. The company procures bitumen from Indian Oil
Corporation.


SUNBEAM ENTERPRISES: CARE Lowers Rating on INR3.21cr Loan to B
--------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Sunbeam Enterprises (SBE), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       3.21       CARE B; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE B+; Stable on the basis
                                   of best available information

   Long/Short-term      1.29       CARE B; Stable/CARE A4; Issuer
   Bank Facilities                 not cooperating; Revised from
                                   CARE B+; Stable /CARE A4 on
                                   the basis of best available
                                   information

   Short-term Bank      5.50       CARE A4; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE A4 on the basis of best
                                   Available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SBE to monitor the
rating(s) vide e-mail communications/letters dated December 17,
2018, December 11, 2018, November 20, October 23, 2018,
October 4, 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 rating on the basis of the
best available information, which however, in CARE's opinion is
not sufficient to arrive at a fair rating. CARE's ratings on
Sunbeam Enterprise's bank facilities will now be denoted as
CARE B; Stable/CARE A4; ISSUER NOT COOPERATING.

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

The rating has been revised by taking into account non-
availability of information and no due-diligence conducted due to
non-cooperation by Sunbeam Enterprises with CARE'S efforts to
undertake a review of the rating outstanding. CARE views
information non-availability risk as a key factor in its
assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on December 29, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Small scale of operations: The scale of operations of the firm
has remained small marked by total operating income and gross
cash accruals of INR25.41 crore and INR1.35 crore respectively
during FY17( refers to the period April 01 to March 31).The small
scale limits the firm's financial flexibility in times of stress
and deprives it from scale benefits. The total operating income
of the company grew by 8.46%% in FY17 owing to higher quantity
sold. Further during 8MFY18 (refers to the period April 01 to
November 30; based on provisional results) the firm has achieved
a total operating income of INR14.48 crores.

Leveraged capital structure: The capital structure of the company
stood leveraged on account of higher dependence on the external
borrowing coupled with small capital base. The overall gearing
ratio stood above 3x as on the balance sheet date of the past
three financial years i.e. FY15-FY17.

Working Capital Intensive nature of operations: The operations of
the company are working capital intensive in nature as reflected
by higher average utilization of its sanctioned working capital
limits. The operating capital cycle however appears to be
comfortable primarily as the company receives a high payable
period of around 2-3 months from its suppliers. The company
generally maintains inventory of around two months in the form of
raw material for smooth production process and finished goods to
meet the immediate demand of its customers resulting in an
average inventory holding of 45 days for FY17. The company offers
a credit period of around 2 months to its customers resulting in
an average collection period of 55 days for FY17. The average
working capital borrowings of the company remained 90% utilized
during the past 12 months ending November 30, 2017.

Foreign exchange exposure: The firm is mainly focused in the
export market and its export contribution to total sales stood at
70% for FY17. The raw material is completely procured from
domestic markets. With initial cash outlay for procurement in
domestic currency and significant chunk of sales realization in
foreign currency, the firm is exposed to the fluctuation in
exchange rates.

Constitution of the entity being a partnership firm: SBE's
constitution as a partnership firm has the inherent risk of
possibility of withdrawal of the partner's capital at the time of
personal contingency and firm being dissolved upon the
death/retirement and insolvency of partners. Moreover,
partnership firms have restricted access to external borrowing,
as credit worthiness of partners would be the key factors
affecting credit decision for the lenders.

Competitive nature of industry: SBE faces direct competition from
various organized players in the market due to low entry barriers
and lower capital requirements. There are number of small and
regional players and catering to the same market which can exert
pressure on its margins.

Key Rating Strengths

Experienced Partners: The operations of the firm are currently
being managed by Mr. Aditya Mohan Chhabra, Mr. Amit Mohan
Chhabra, Mr. Nitin Mohan Chhabra and Ms. Ruby Chhabra. All the
partners are graduates by qualification and have an experience of
around two decades in the manufacturing industry through their
association with SBE.

Moderate profitability margins and coverage indicators: The
profitability margins of the firm stood moderate as marked by
PBILDT and PAT margin of around 9% and 1% respectively for the
past two financial years i.e. FY16-FY17. Owing to moderate
profitability resulting in moderate GCA the debt coverage
indicators stood moderate as marked by interest coverage and
total debt to GCA of around 2.50x and 7x respectively for the
past two financial years i.e.FY16-FY17

Delhi-based Sunbeam Enterprises (SBE) was established in 1994 as
a partnership firm and is currently being managed by Mr. Aditya
Mohan Chhabra, Mr. Amit Mohan Chhabra, Mr. Nitin Chhabra and Ms.
Ruby Chhabra sharing profit and losses equally. The firm is
engaged in manufacturing of metal products and components used in
health care industry, automobile accessories and office
furniture; at its manufacturing facility located in Gurgaon
(Haryana). The products manufactured by firm are exported and
also sold domestically to distributors of Suzuki, Omaxe. The firm
procures the raw-material such as cold rolled coils, plastic and
rubber components from local suppliers of Faridabad & Manesar.


SUPER MAX: CARE Migrates B Rating to Not Cooperating Category
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facility of Super
Max Affordable Housing Private Limited to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank      25.00       CARE B; Stable; Issuer not
   Facilities                      cooperating; Based on best
                                   available Information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from Super Max Affordable
Housing Private Limited to monitor the ratings vide emails dated
December 17, 2018, December 11, 2018, November 20, October 23,
2018, October 4, 2018, September 14, 2018 etc. 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 rating on the basis of the best available
information which however, in CARE's opinion is not sufficient to
arrive at a fair rating. CARE's rating on Super Max Affordable
Housing Private Limited's bank facilities will now be denoted as
CARE B; Stable; ISSUER NOT COOPERATING.

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

The rating continues to remain constrained on account of project
execution risk associated with ongoing sole residential real
estate project with high dependence on customer advances and bank
borrowings for funding and marketability risk. The rating is
further constrained by the inherent risks associated with the
real estate industry and exposure to local demand-supply dynamic
in the highly competitive market. The rating, however, draws
comfort from experienced promoters.

Detailed description of the key rating drivers

At the time of last rating on December 22, 2017, the following
were the rating strengths and weaknesses (Updated for the
information available from the client).

Key Rating Weakness

Project Execution risk associated with its on-going sole project:
SMPL is developing a residential project under the name of 'New
Town' at Kundli, Sonipat (Haryana) with a total project cost of
INR162.00 crore and proposed to be funded through customer
advances of INR117 crore term loan of INR25.00 crore and balance
from the promoters' contribution in the form of equity capital
and unsecured loans. The term loan for the same has been tied up.
The company is already in possession of the project land cost and
majority of the planning work in terms of initial project
preparedness has already been done by the company. However, in
terms of project execution, only 12% of the total cost has been
incurred as on December 2017 and the construction is at very
nascent stage. As on December 2017, the company has incurred a
total expenditure of INR20.00 crores, which was financed through
promoter's contribution.  Furthermore, timely completion of the
project remains a risk given dependency on customer advances.

Marketability Risk and competitive nature of industry: Total
expected sales realization would be INR175 crore and the company
has yet to start the booking and realization of customer
advances. These advances are further dependent on the company's
ability of timely execution of projects and market response. The
risk of marketing and selling of the flats is high as per
construction and booking of the same is yet to commence.
Moreover, the Indian real estate industry is highly fragmented in
nature with the presence of a large number of organized and
unorganized players spread across various regions. Many real
estate projects emerging in the same area being on the outskirts
of Delhi NCR as the land cost is comparatively lower, thereby
increasing competition. Furthermore, small players are also
coming with projects in these areas due to this advantage.

Inherent risk associated with real estate industry and exposure
to local demand-supply dynamic: The company is exposed to the
cyclicality associated with real estate sector which has direct
linkage with the general macroeconomic scenario, interest rates
and level of disposable income available with individuals. In
case of real estate companies, the profitability is highly
dependent on property markets. This exposes these companies to
the vagaries of property markets. A high interest rate scenario
could discourage the consumers from borrowing to finance the real
estate purchases and may depress the real estate market.
Furthermore, SMHL's business risk profile is constrained by its
exposure to any adverse changes in local laws. Also the sales of
real estate projects are dependent on dynamics of local demand
supply of real estate in that area and state government
regulations.

Key Rating Strengths

Experienced promoters: Super Max Affordable Housing Private
Limited is currently being managed by Mr. Jawahar Lal (Chairman),
Mr. Anil Kumar Garg (Director), Mr. Ankit Kumar (Director) and
Mr. Deepak Goel (Director). Mr. Jawahar Lal (Chairman) has an
experience of around two decades in the real estate industry
through his association with other group concerns engaged ion
treal estate development and other family run business. Mr. Anil
Kumar Garg (Director) has an experience of more than one and half
decade through his association with family run business. Both Mr.
Ankit Kumar (Director) and Mr. Deepak Goel (Director) have an
experience of around half a decade through his association with
family run business.

Super Max Affordable Housing Private Limited is incorporated in
June 2015 as Private Limited Company. The company is engaged in
in real estate development The company is currently developing a
residential project under the name 'The New Town' in Kundli,
Haryana. The project involves construction of commercial space
and residential apartments, spread across 11.43 acres of land.
The project would have 695 2-BHK flats, 48 2-BHK+Study flats and
also a commercial space of 7,000 sqft.


TIRUPATI EXPORT: CARE Lowers Rating on INR9cr Loan to B
-------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Tirupati Export and Import Corporation (TEIC), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       9.00       CARE B; Stable; Issuer not
   Facilities                      cooperating; Revised from
                                   CARE B+; Stable on the basis
                                   of best available information

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from TEIC to monitor the
rating(s) vide e-mail communications/letters dated December 18,
2018, November 20, 2018, October 23, 2018, October 3, 2018,
September 19, 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 rating on the
basis of the best available information which however, in CARE's
opinion is not sufficient to arrive at a fair rating. CARE's
ratings on Tirupati Export And Import Corporation's bank
facilities will now be denoted as CARE B; Stable; ISSUER NOT
COOPERATING.

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

The rating has been revised by taking into account non-
availability of information and no due-diligence conducted due to
non-cooperation by Tirupati Export And Import Corporation with
CARE'S efforts to undertake a review of the rating outstanding.
CARE views information non-availability risk as a key factor in
its assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on December 22, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Small though fluctuating scale of operations: The scale of
operations stood small marked by a total operating income and
gross cash accruals of INR32.78 crore and INR0.27 crore,
respectively, in FY17 (refers to the period April 01 to March
31). The small scale limits the company's financial flexibility
in times of stress and deprives it from scale benefits. Further
company's total operating income has been fluctuating over the
past three years (FY15-FY17). The total operating income
registered a decline on y-o-y basis in FY16 due to subdued demand
and registered a growth in FY17 on account of higher quantity
sold. Further, the firm achieved total operating income of
INR15.00 crore during 8MFY18 (refers to the period April 01 to
November 30).

Weak Financial risk Profile: The profitability margins stood low
as marked by PBILDT margin and PAT margin of 2.60% and 0.65%
respectively in FY17 as against 7.26% and 1.10% respectively in
FY16. The decline in the profitability margins was on account of
increase in cost of the traded product from around 91.66% of
total costs in FY16 to around 96.28% of the total cost in FY17.

The capital structure of TEIC stood leveraged as marked by
overall gearing of 5.01x as on March 31, 2017 as against 4.80x as
on March 32, 2016. The deterioration was on account of higher
utilization of sanctioned working capital borrowing limits as on
balance sheet date coupled with infusion in the form unsecured
loans to support growing scale of operations. Furthermore, the
coverage indicators of TEIC stood weak as marked by interest
coverage ratio and total debt to gross cash accruals of 1.46x and
46.77x respectively in FY17.

High collection period: The operating cycle of TEIC stood
elongated at 91 days in FY17 emanating from a high collection
period. The firm primarily sells to manufacturers of packing
materials and realizes the payment from its customers once the
inventory is sold. Further, being a highly competitive business,
the company has to give extended credit which resulted into
collection period of 112 days in FY17. The company maintains
inventory of around 2-4 weeks to meet the immediate needs of its
customers and receives a credit period of a month. The high
working capital requirements were met largely through bank
borrowings which resulted in almost full utilization of working
capital limits for the past 12 months period ended November 30,
2017.

Presence in a competitive industry: The trading industry is a
competitive industry wherein there is a presence of a large
number of players in the unorganized and organized sector. There
are a number of small and regional players catering to the same
market which limits the bargaining power that the company exerts
pressure on its margins. Smaller companies in general are more
vulnerable to intense competition due to their limited pricing
flexibility, which constrains their profitability as compared to
larger companies who have better efficiencies and pricing power
considering their scale of operations.

Key Rating Strengths

Experienced management and long track of operations: TEIC was
established in April, 1999 and has a long track record of almost
two decades in the trading of plastic granules. Mr. Balmukund
Jhunjhunwala is the proprietor of TEIC. He is a graduate by
qualification and has experience of almost three decades in the
trading industry though his association with TEIC and other
family businesses. He looks after the overall operations of the
firm.

Delhi-based Tirupati Export and Import Corporation (TEIC) was
established in April, 1999 as a proprietorship by Mr. Balmukund
Jhunjhunwala. Mr. Balmukund Jhunjhunwala looks after the overall
operations of the firm. TEIC is primarily engaged in the
wholesale trading of plastic granules which find application in
the packaging industry. The firm procures majority of the plastic
granules from Luxembourg and Singapore and sells them to
packaging manufacturers in Noida, Agra and Varanasi.


VARDAAN EXPORTS: CARE Maintains 'D' Rating in Not Cooperating
-------------------------------------------------------------
CARE had, vide its press release dated October 5, 2017, placed
the rating(s) of Vardaan Exports under the 'issuer non-
cooperating' category as Vardaan Exports had failed to provide
information for monitoring of the rating. Vardaan Exports
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated December 21, 2018, December 14, 2018 and
December 11, 2018. 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.

                    Amount
   Facilities     (INR crore)     Ratings
   ----------     -----------     -------
   Long-term Bank      14.00      CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

   Short-term Bank      1.00      CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

   Long-term/Short-     3.00      CARE D; Issuer not cooperating;
   term Bank                      Based on best available
   Facilities                     information

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

The ratings have been reaffirmed by taking into account non-
availability of requisite information and no due-diligence
conducted due to non-cooperation by Vardaan Exports with CARE'S
efforts to undertake a review of the rating outstanding. CARE
views information availability risk as a key factor in its
assessment of credit risk.

Detailed description of the key rating drivers

At the time of last rating on October 5, 2017, the following were
the rating weakness:

The ratings have been revised on account of ongoing delays in
meeting the debt obligations.

Vardaan Exports (VES) was established as a partnership firm in
2009 by Mr. J. B. Bansal and Mr. Sachin Garg with profit sharing
ratio of 3:7. The firm is engaged in milling, processing and
trading of basmati and non-basmati rice .VES procures paddy from
local grain markets through dealers and agents mainly from the
state of Punjab. VES sells its product under the brand name of
'Satkar' in Northern India viz. Haryana, Himachal, Delhi,
Rajasthan and Uttar Pradesh through commission agents. The firm
also does exports to Dubai and Saudi Arabia.


VERTEX CONSTRUCTION: CARE Reaffirms B Rating on INR0.50cr LT Loan
-----------------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Vertex Construction Company, as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       0.50       CARE B; Stable Issuer not
   Facilities                      cooperating; Based on best
                                   available information

   Long-term/short-     3.20       CARE B; Stable/CARE A4
   Term Bank                       Issuer not cooperating;
   Facilities                      Based on best available
                                   information

   Short-term Bank      1.30       CARE A4; Issuer not
   Facilities                      cooperating; Based on best
                                   available information

Detailed rationale and key rating drivers

The ratings have been reaffirmed by taking into account non-
availability of information due to non-cooperation by Vertex
Construction Company with CARE'S efforts to undertake a review of
the rating outstanding. CARE views information availability risk
as a key factor in its assessment of credit risk. Further the
ratings continues to remain constrained on account of small and
declining scale of operations, elongated collection period and
concentrated order book. The ratings are further constrained on
account of highly competitive industry with presence of several
organized and unorganized players and business risk associated
with tender-based orders and constitution as partnership. The
ratings, however, continues to derive strength from experienced
partners, moderate profitability margins and capital structure.

Detailed description of the key rating drivers

At the time of last rating on December 11, 2017, the following
were the rating weaknesses and strengths.

Credit Risk Assessment

Key Rating Weakness

Small and declining scale of operations: The scale of operations
remained small marked by total operating income (TOI) and gross
cash accruals of INR3.03 crore and INR0.52 crore respectively
during FY17 (FY refers to the period April 01 to March 31).
Moreover, the total operating income has been declining on y-o-y
basis for the past three financial years (FY15-17) owing to
tender driven nature of business and lowest bidder gets the
order. Since the firm did not get tenders in FY16 & FY17, there
was a substantial decline in the revenue booking on y-o-y basis.
Further, partners' capital base of the firm also stood low at
INR0.66 crore as on March 31, 2017. Small scale of operations
restricts the ability of the firm to scale up and bid for larger
sized contracts having better operating margins. Further, small
scale limits the firm's financial flexibility in times of stress
and deprives it from scale benefits.

Elongated collection period: VCC has elongated collection period
as evident from 144 days for FY17. The collection period remain
elongated since the main customers for the firm is semi-
government and private companies engaged in real estate industry
wherein the firm raises bills on the completion of certain
percentage of work and thereon which gets acknowledge by clients
after inspection of work done and further sale of the flats.
Further, the realization happens in stages after completion of
order/contract. However, at times due to procedural delays, there
is usually a delay in recovery of debtors. Entailing all lead to
high collection period.

Concentrated order book: The unexecuted order book of the firm as
on October 31, 2017 stood at Rs 28.35 crore, thereby giving
medium term revenue visibility. The tenor of the orders
undertaken by the firm is normally up to 18 months. However, the
order book is concentrated with single order and hence effective
and timely execution of the order has a direct bearing on the
margins attained. CARE cannot comment on it due to non-
cooperation by the client.

Highly competitive industry with presence of several organized
and unorganized players and business risk associated with tender-
based orders: VCC faces direct competition from various organized
and unorganized players in the market. There are number of small
and regional players and catering to the same market which has
limited the bargaining power of the firm and has exerted pressure
on its margins. Further, the award of contracts are tender driven
and lowest bidder gets the work. Hence, going forward, due to
increasing level of competition and aggressive bidding, the
profits margins are likely to be under pressure in the medium
term. The firm majorly undertakes semi-government and private
projects, which are awarded through the tender-based system. The
firm is exposed to the risk associated with the tender-based
business, which is characterized by intense competition. The
growth of the business depends on its ability to successfully bid
for the tenders and emerge as the lowest bidder.

Constitution as partnership: VCC's constitution as a partnership
firm has the inherent risk of possibility of withdrawal of the
partners' capital at the time of personal contingency and firm
being dissolved upon the death/retirement/insolvency of the
partners. Moreover, partnership firms have restricted access to
external borrowing which limits their growth opportunities to
some extent.

Key Rating Strengths

Experienced partners: VCC is currently being managed by Mr.
Rajendra kumar Aggarwal, who has vast experience of over four
decades in the construction business and trading industry through
his association with VCC and in his individual capacity. He looks
after the overall functions of the firm. He is further assisted
by his son Mr. Akshay Aggarwal, who assists him in managing the
overall operation of the firm.

Moderate profitability margins and capital structure:
Profitability margin of the firm largely depends upon nature of
project undertaken. Despite y-o-y decline in scale of operations;
profitability margins have been improving on y-o-y basis in the
last 3 years financial years i.e. FY15-FY17 as the firm executed
better margin contracts. Further, the capital structure of the
firm remained moderate owing to lower utilization of bank
borrowings on the balance sheet date. Overall gearing stood at
0.74x as on March 31, 2017. The capital structure is expected to
deteriorate further on account of additional debts that the firm
is will avail to finance the orders in hand.

Delhi based, Vertex Construction Firm (VCC) was established in
June 2011 as a partnership firm with the partners Mr. Rajendra
Kumar Aggarwal and Mr. Akshay Aggarwal sharing the profits and
losses equally. The firm is engaged in construction works which
involve construction of roads and civil construction (buildings).


VHV BEVERAGES: CARE Reaffirms D Rating on INR16cr LT Loan
---------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
VHV Beverages Private Limited (VHV), as:

                    Amount
   Facilities     (INR crore)     Ratings
   ----------     -----------     -------
   Long-term Bank     16.00       CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  information

Detailed rationale and key rating drivers

The rating has been reaffirmed by taking into account no due-
diligence conducted due to non-cooperation by VHV with CARE'S
efforts to undertake a review of the rating outstanding. CARE
views information availability risk as a key factor in its
assessment of credit risk. Further the rating continues to remain
constrained on account of ongoing delay in debt servicing.

Detailed description of the key rating drivers

At the time of last rating on October 05, 2018, following were
the rating weakness.

Credit Risk Assessment

Key Rating Weakness

Ongoing delay in debt servicing: There have been delays in the
debt servicing due to stressed liquidity position.

Haryana-based VHV was incorporated in 2012 and currently being
managed by Mr. Vinod Sehwag, Mrs Homi and Mrs Pooja Malhotra. The
company is engaged in the manufacturing of fruit beverages, soda
and mineral water. The main raw materials, ie, fruit pulp, along
with others like plastic caps, bottles, carbon dioxide are
procured from manufacturers based in Haryana region. The company
is currently selling the product pan India covering regions
namely Haryana, Rajasthan, Punjab, Uttar Pradesh and Delhi,
Kerala, Maharashtra, Gujarat and West Bengal through a dealer
network under the brand name "XALTA".


WRITER LIFESTYLE: Ind-Ra Assigns BB+ LT Rating to INR1.20BB Loan
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Writer Lifestyle
Private Limited (WLPL) a Long-Term Issuer Rating of 'IND BB+'.
The Outlook is Negative.

The instrument-wise rating action is:

-- INR1.20 bil. Term loans due on September 2022 affirmed and
     reassigned with IND BB+/Negative rating.

The rating action is based on a change in Ind-Ra's rating
approach for WLPL. Ind-Ra has reassigned a rating of 'IND BB+'
(earlier 'IND BB+(SO)') because the unconditional and irrevocable
corporate guarantee extended by P.N. Writer & Company Pvt Ltd.'s
(PNW; 'IND BB+'/Negative) to secure WLPL's bank debt can be
invoked only post the company commits a default. However, the
guarantee does indicate that the guarantor remains obligated to
debt servicing, albeit after default, indicating close linkages.

Ind-Ra has taken a consolidated view of PNW and WLPL because of
strong legal and financial linkages between the entities. On
March 29, 2018, PNW divested its entire stake of 100% in its
Dubai-based subsidiary (P.N. Writer and Company Ltd) as a part of
the business restructuring carried out at the group level. Hence,
Ind-Ra has excluded P.N. Writer and Company from its assumptions
to arrive at the ratings of PNW.

KEY RATING DRIVERS

The Negative Outlook reflects high consolidated debt levels and
the risk associated with the timely monetization of assets to
deleverage PNW and WLPL. The consolidated financial profile was
weak in FY18.

The ratings reflect modest scale of operations, where revenue
fell 7% yoy to INR1,188 million in FY18, primarily due to a fall
in revenue of P.N. Writer and Company.

The ratings also reflect negative EBITDA, which was INR55 million
in FY18 (FY17: negative INR7.5 million), owing to high operating
cost incurred by the hospitality business.

The ratings further reflect a modest liquidity position.
Consolidated cash flow from operations remained negative at
INR429 million in FY18 (FY17: INR194.3 million) owing to
continued operating losses and high interest expenses.
Consolidated cash and cash equivalent was INR64.1 million in FY18
(FY17: INR158.3 million) against a scheduled consolidated debt
repayment of INR172 million in FY19. At a standalone level, WLPL
has a scheduled debt repayment of INR118.1 million in FY19.

On a standalone basis, WLPL has a small scale of operations. Its
revenue rose to INR334 million in FY18 from INR301 million in
FY17, driven by a rise in the occupancy rate at Hilton Shillim
Retreat & Spa in Lonavala, Maharashtra, to 49% from 41%. The
occupancy rate rose to 52% in 1HFY19, with revenue standing at
INR189.5 million. The management expects the occupancy rate to
improve to about 65% in the near term. WLPL continued to report
negative EBITDA (FY18: INR86.3 million; FY17: INR60.2 million)
owing to high operating expenses. Amid negative EBITDA, WLPL
serviced its interest and principal debt obligations using
unsecured loans from PNW (FY18: INR478.5 million; FY17: INR315
million) and the promoters (INR789.9 million; INR799.9 million).
WLPL had a cash and cash equivalent of INR44 million at FYE18
(FYE17: INR15 million) and unutilized overdraft limits totalling
INR124 million at FYE18. The majority of WLPL's debt repayments
are due in FY21 (INR405.8 million) and FY22 (INR332.9 million);
the repayments are likely to be met using accruals generated from
the sale of villas.

WLPL is undertaking the construction of 20 villas (first phase:
10 villas; second phase: 10 villas) near Shillim, Lonavala,
Maharashtra, involving a cost of INR700 million, which is partly
being funded by the debt availed until FYE18 and the rest from
internal accruals. The construction of the first phase commenced
in April 2017. As of end-November 2018, about INR150 million of
the cost had been incurred. The company has completed the
superstructure for seven villas, and the plinth and
superstructure work is in progress for the three villas. WLPL
anticipates another INR50 million-INR60 million to be incurred on
the complete superstructure of the 10 villas during 4QFY19. The
management expects to receive occupancy certificate by FYE19,
subsequent to which it will initiate the sale of these villas.
The management does not expect any new bank debt in the near to
medium term.

The ratings, however, benefit from the likely support in the form
of loans and advances from PNW and group company Writer Business
Services Private Limited ('IND A'/Stable) to WLPL to make the
debt repayment. The management has stated that Writer Business
Services will extend tangible support to WLPL, in case of
financial distress.

RATING SENSITIVITIES

Negative: Any deterioration in the liquidity and a continued rise
in the leverage, amid weak earnings and negative cash flow
generation, all on a sustained basis, would lead to a downgrade.

Positive: An improvement in the occupancy level at Hilton Shillim
Estate Retreat & Spa, leading to positive cash flow generation
and deleveraging as against planned via accruals in view of the
sale of residential properties/land bank and villas, all on a
sustained basis, would lead to an upgrade.

COMPANY PROFILE

WLPL is a part of the Mumbai-based Writer Corporation group,
which is engaged in diversified businesses such as relocation
services, information and records management services, cash
management services and hospitality.

WLPL undertakes the hospitality business of the group. It owns a
luxury spa, Hilton Shillim Estate Retreat & Spa. WLPL commenced
the construction of a villa project in proximity to the spa in
April 2017.



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


HANJIN HEAVY: HHIC-Phil Filing Highlights Philippine Bank Risks
---------------------------------------------------------------
The filing for corporate rehabilitation by Hanjin Heavy
Industries and Construction Co. Philippines (HHIC-Phil) last week
highlights the risks to Philippine banks' asset quality from
concentrated loan portfolios, says Fitch Ratings. Local banks'
loans to HHIC-Phil are equivalent to only around 0.2% of system
loans, but some banks have more significant exposure, which could
put pressure on their ratings.

"We believe several of HHIC-Phil's creditor banks have been
monitoring the borrower, with some paring exposure in recent
years, even though loan classification and provisioning may not
have fully reflected the risks. Risk mitigation, such as
corporate guarantees and claims on assets, may help improve
recoverability. The parent company's latest financial results
show HHIC-Phil in a net asset position and there is reported
interest in its shipyard from Chinese companies. Nevertheless,
recoverability is uncertain. The parent company failed in an
attempt to sell HHIC-Phil in 2018, and the amount and timing of
any recoveries will depend on the rehabilitation plan, which may
take time to negotiate and execute. We expect affected banks to
incur additional provisioning on their exposures in the interim,"
Fitch says.

Rizal Commercial Banking Corp (RCBC) reportedly has the largest
exposure of around USD145 million, equivalent to 2.0% of its
gross loans. The full amount exceeds its 2017 net profit, and
provisioning on these loans could result in the bank reporting at
least one quarterly loss, implying some risk of capital
impairment, although we do not expect the bank to set aside the
full amount of its exposure. The exposure of the three largest
banks - BPI, BDO and Metrobank - is more manageable relative to
their loan books and pre-provision profits.

The problems at HHIC-Phil, the country's largest shipbuilder,
stem from the extended weakness in the global shipping industry
and financial issues at its Korean parent company, Hanjin Heavy
Industries & Construction, which has been undergoing corporate
restructuring since 2016. The sector- and company-specific causes
suggest this case is unlikely to indicate broader stress across
banks' loan books, even if we expect some knock-on effects for
HHIC-Phil's employees and local service industries.

Nevertheless, Philippine banks' prolonged period of rapid lending
growth may indicate elevated risk appetite and relaxed controls,
which will become more apparent as loans season or if the
operating environment weakens. We expect the Philippine economy
to remain among the strongest-growing in Asia-Pacific in 2019,
but asset quality could face further tests as the global economic
backdrop grows less favourable, with mid-tier banks likely to be
more at risk than the large players.

Fitch believes that some mid-sized banks in the Philippines have
shown higher growth appetite than the large banks in recent
years, driven by their ambitions of gaining market share.
Aggressive growth increases the potential for banks to take on
greater exposure to more vulnerable companies, which is a risk
that Fitch incorporates in its Philippine bank ratings. However,
further large impairments could lead us to reassess banks' risk
standards and controls, which could be negative for the ratings.

The larger banks have also exhibited appetite for growth, but
their larger capital bases, higher profitability and better
access to capital and funding put them in a stronger position to
withstand potential problems with large exposures. These
differences are reflected in our ratings - the larger banks are
rated 'BBB-' while the mid-tier banks are one notch lower, at
'BB+'.

                            About Hanjin

Korea-based Hanjin Heavy Industries & Construction Co.
established a shipyard in Subic, west of Manila, and delivered
its first vessel from the yard in July 2008. It uses the
Philippine yard to build big ships while its facility in
Korea focuses on smaller vessels.

Hanjin Heavy Industries and Construction Philippines, Inc. (HHIC-
Philippines) filed for voluntary rehabilitation on Jan. 8, 2019,
at the Olongapo City Regional Trial Court amid "heavy" financial
losses and debts amounting to about $400 million from local
banks.  The company reported that it also had $900 million in
debts with lenders in South Korea.

The Subic shipyard's assets have been valued at KRW1.84 trillion
(US$1.64 billion).  HHIC-Philippines employs 4,000 people.


HANJIN HEAVY: Philippine President Open to Government Takeover
--------------------------------------------------------------
Daphne Galvez at Inquirer.net reports that President Rodrigo
Duterte is "very receptive" to the idea of the Philippine
government taking over the operations of South Korean shipbuilder
Hanjin Heavy Industries and Construction Corp. in Subic, Defense
Secretary Delfin Lorenzana revealed on Jan. 16.

According to Inquirer.net, Mr. Lorenzana said the DND is looking
at the possibility of the country having its own ship-building
capacity.

"While we sympathize with the financial woes of Hanjin, we are
excited by this development because we see the possibility of
having our own ship-building capacity in the Philippines,
especially large ships like what is being built by Hanjin in
Subic," Inquirer.net quotes Mr. Lorenzana as saying during the
Senate budget deliberation of the Department of National Defense
(DND).  "I said 'why not take over the Hanjin and give it to the
Navy to manage?' So I brought this idea to the President last
night and he is very receptive to the idea," he added.

Inquirer.net relates that Mr. Lorenzana suggested that the
government could be a minority owner while a private company
could be a majority owner of the facility.

"This is really perfect for us. We are actually ordering ships
from abroad and if you can take this over then we can build our
own ships here. The Coast Guard is also in need of ships for
their use. So why not?," Mr. Lorenzana said.  "I think the
government can be a minority owner, and the majority owner will
be a civilian company," he added.

Senate Majority Leader Juan Miguel Zubiri, however, suggested
that the government own the majority stake with a private entity
handling the management of ship-building operations, relates
Inquirer.net.

Meanwhile, Senator Panfilo Lacson suggested that the Philippine
government take over Hanjin first and then just bid it out to
private companies as partners, Inquirer.net reports.

The Philippine Navy, meantime, conceded that they cannot take
over the entire Hanjin facility and operations.

"We cannot take over totally the entire Hanjin, a portion
probably, the Navy can take over," Inquirer.net quotes Philippine
Navy Vice Admiral Robert Empedrad as saying.

                            About Hanjin

Korea-based Hanjin Heavy Industries & Construction Co.
established a shipyard in Subic, west of Manila, and delivered
its first vessel from the yard in July 2008. It uses the
Philippine yard to build big ships while its facility in
Korea focuses on smaller vessels.

Hanjin Heavy Industries and Construction Philippines, Inc. (HHIC-
Philippines) filed for voluntary rehabilitation on Jan. 8, 2019,
at the Olongapo City Regional Trial Court amid "heavy" financial
losses and debts amounting to about $400 million from local
banks.  The company reported that it also had $900 million in
debts with lenders in South Korea.

The Subic shipyard's assets have been valued at KRW1.84 trillion
(US$1.64 billion).  HHIC-Philippines employs 4,000 people.



                             *********

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 2019.  All rights reserved.  ISSN: 1520-9482.

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

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



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