TCRAP_Public/190201.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, February 1, 2019, Vol. 22, No. 023

                            Headlines


A U S T R A L I A

CHOOSE NATURAL: Second Creditors' Meeting Set for Feb. 8
HALIFAX INVESTMENTS: Shortfall Swells to AUD15MM to AUD25MM
HARD ROCK: First Creditors' Meeting Set for Feb. 8
IBRED PTY: First Creditors' Meeting Set for Feb. 11
OVERSTAR HOLDINGS: Second Creditors' Meeting Set for Feb. 8


C H I N A

BOHAI STEEL: Creditors Approve Bankruptcy Reorganization Plan
CHINA MINSHENG: Defaults on Principal Repayment of CNY3BB Note
CHUYING AGRO-PASTORAL: Pig Breeder is Running Low on Pigs
GREENTOWN CHINA: Moody's Rates Proposed USD Perpetual Notes Ba3
JIANGSU NEWHEADLINE: Fitch Affirms and Then Withdraws BB IDR

YANZHOU COAL: Fitch Raises LT IDR to BB-, Outlook Stable


I N D I A

A-1 COLD: CARE Migrates B+ Rating to Not Cooperating Category
ADHUNIK INDUSTRIES: Ind-Ra Raises Long Term Issuer Rating to BB
AGRAWAL STRUCTURE: Ind-Ra Moves BB LT Rating to Non-Cooperating
AISHWARYA IMPEX: Ind-Ra Migrates BB- LT Rating to Non-Cooperating
BLUE AUTOWORLD: CARE Assigns B+ Issuer Rating; Outlook Stable

CARE TECH: Ind-Ra Gives B+/A4 Ratings to INR20MM Loan
CHABBRA'S ASSOCIATES: Ind-Ra Affirms BB on INR200MM Loan
CHANDRA HASNI: Ind-Ra Gives B+ Ratings to INR150MM Loans
CLUB 29: CARE Migrates 'D' Rating to Not Cooperating Category
D.P. GARG: Ind-Ra Withdraws B+ LT Issuer Rating on INR115MM Loan

DHARTI DREDGING: CARE Migrates D Rating to Not Cooperating
DOLPHIN OFFSHORE: CARE Assigns C Rating to INR25.50cr LT Loan
ENCORP POWERTRANS: Ind-Ra Affirms BB+ on INR240MM Capital Limits
GARG GRANITES: CARE Maintains B+ Rating in Not Cooperating
GARG INDUSTRIES: Ind-Ra Retains BB- LT Rating in Non-Cooperating

GOODWEAR FASHION: Ind-Ra Affirms 'BB' on INR4.53MM Loan
JALARAM INDUSTRIES: CARE Moves 'B+' Rating to Not Cooperating
JAYA POULTRY: Ind-Ra Migrates 'B' LT Rating to Non-Cooperating
JET AIRWAYS: SBI Set to Acquire 15% Stake in Carrier
JET AIRWAYS: May Turn to Adani Group for Investment

JUNEJA SONS: CARE Assigns 'B' Rating to INR9.12cr LT Loan
K.K LEISURES: CARE Migrates B Rating to Not Cooperating Category
K&R RAIL: Ind-Ra Lowers Long Term Issuer Rating to 'BB+'
KISHORE INFRASTRUCTURES: Ind-Ra Lowers LT Issuer Rating to BB+
L.C. INDUSTRIES: CARE Assigns B+ Rating to INR5cr LT Loan

LONDON STAR: CARE Migrates D Rating to Not Cooperating Category
METTU CHINNA: CARE Migrates B Rating to Not Cooperating Category
OM SREE PAPERTEK: Ind-Ra Affirms BB on INR225MM Loan Due 2024
P.M. AGRO: CARE Migrates D Rating to Not Cooperating Category
PRAKASH CORRUGATED: CARE Migrates D Rating to Not Cooperating

PRASAD LIFESPACES: CARE Migrates B+ Rating to Not Cooperating
RELIGARE ENTERPRISES: Ind-Ra Withdraws BB- Rating, Outlook Stable
RICOH INDIA: Ind-Ra Affirms 'D' LT Issuer Rating on INR2BB NCDs
RIDCOR INFRA: Ind-Ra Lowers Senior Project Bank Loans Rating to D
SAMARTH COMMODITIES: CARE Migrates B+ Rating to Not Cooperating

SANEE INFRASTRUCTURE: CARE Moves B- Rating to Not Cooperating
SARA SPINTEX: CARE Migrates D Rating to Not Cooperating Category
SHREE JAGDAMBA: CARE Reaffirms B+ Rating on INR16.32cr Loan
SHREE VENKATESH: Ind-Ra Withdraws 'BB' on INR160MM Term Loan
SHRI RAM: CARE Migrates B+ Rating to Not Cooperating Category

SHRINATH COTTON: CARE Lowers Rating on INR6.03cr Loan to D
SIR BIOTECH: Ind-Ra Migrates BB+ Issuer Rating to Non-Cooperating
SONALE FABRICS: Ind-Ra Assigns BB on INR6MM LongTerm Loans
SRI BALAJI: CARE Migrates B Rating to Not Cooperating Category
SUN STEEL: Ind-Ra Migrates BB- Issuer Rating to Non-Cooperating

SVERA AGRO: CARE Assigns B+ Rating to INR15cr LT Loan
THERMO PRODUCTS: CARE Moves D Rating to Not Cooperating Category
TIRUMALA DALL: CARE Moves B+ Rating to Not Cooperating Category
VADALIA FOODS: Ind-Ra Migrates B Issuer Rating to Non-Cooperating


N E W  Z E A L A N D

MAHANA ESTATE: Assets Sold to Booster for Undisclosed Price


S R I  L A N K A

SRI LANKA TELECOM: Fitch Withdraws B IDR for Commercial Reasons


                            - - - - -


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


CHOOSE NATURAL: Second Creditors' Meeting Set for Feb. 8
--------------------------------------------------------
A second meeting of creditors in the proceedings of Choose Natural
Food Pty Ltd, formerly trading as "Bee Bubbles", "The Bunyip
Beekeeper", "Hope Cottage Soaps", has been set for Feb. 8, 2019,
at 10:30 a.m. at the offices of Australian Institute of Company
Directors Melbourne, at Optus Centre, Level 26, 367 Collins
Street, in Melbourne, Victoria.

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

Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by Feb. 7, 2019, at 4:00 p.m.

Grahame Ward and Domenic Calabretta of Mackay Goodwin were
appointed as administrators of Choose Natural on Jan. 3, 2019.


HALIFAX INVESTMENTS: Shortfall Swells to AUD15MM to AUD25MM
-----------------------------------------------------------
NZ Herald reports that the voluntary administrators of collapsed
Australian derivatives trader Halifax have estimated the
deficiency in the company's assets to be between AUD15 million and
AUD25 million, up from an original estimated shortfall of AUD10
million-AUD20 million.

According to the Herald, administrators Morgan Kelly, Phil Quinlan
and Stewart McCallum, of Ferrier Hodgson, said they had been
considering the options for the timely return of shareholder
funds.

How much of that shortfall relates to New Zealand investors is not
yet clear, although the administrators said client funds totaling
NZ$44 million on one of three investment platforms used by Halifax
were identified as held by New Zealanders, the Herald relates.

The options were a deed of company arrangement (DOCA) or placing
Halifax into liquidation, the Herald says.

On November 23, Halifax's investor account balances totalled
approximately AUD211 million, the Herald discloses.

"We estimate that there is a deficiency in the assets on hand to
support these balances of approximately AUD15 million to AUD25
million," Mr. Kelly said in the report.

The Herald says initial investigations indicated that the
deficiency had accumulated over at least the last 24 months.

Factors impacting the final shortfall include unrealised profit or
loss positions in relation to open trades, currency fluctuations
and ongoing market fluctuations, the Herald adds.

The exact size will only be known once all investor positions have
been closed out, the report said.

While the Australian Financial Services License and the
Derivatives Issuer License (New Zealand) have been suspended by
the Australian Securities and Investment Commission and the
Financial Markets Authority, investors are still able to close out
their positions during the suspension, the report said, the Herald
relays.

The Herald adds that the administrators have undertaken an initial
analysis of the funds flow process on the Halifax's "MT4" and
"MT5" platforms.

"The process of allocating and tracing individual investor funds
will likely be a complex and lengthy process," the report said.

The administrators said they expected to further update investors
in mid to late February, the Herald relays.

                           About Halifax

Halifax Investment Services Pty Ltd was a financial services
licensee headquartered in Sydney with a partially-owned subsidiary
in Auckland, New Zealand.

Morgan Kelly, Stewart McCallum and Phil Quinlan, of Ferrier
Hodgson, were appointed as joint voluntary administrators of
Halifax, appointed on Nov. 23, 2018.  They were also appointed
administrators of Halifax New Zealand on Nov. 27, 2018.


HARD ROCK: First Creditors' Meeting Set for Feb. 8
--------------------------------------------------
A first meeting of the creditors in the proceedings of Hard Rock
Developments Pty Ltd will be held on Feb. 8, 2019, at 3:00 p.m. at
the offices of PCI Partners Pty Ltd, at Level 8, 179 Queen Street,
in Melbourne, Victoria.

Philip Newman of PCI Partners Pty Ltd was appointed as
administrator of Hard Rock Developments on Jan. 29, 2019.


IBRED PTY: First Creditors' Meeting Set for Feb. 11
---------------------------------------------------
A first meeting of the creditors in the proceedings of:

   - Ibred Pty Ltd
   - Ibred Opra Pty Ltd
   - Ibred Caz Pty Ltd
   - Ibred Professional Pathways Pty Ltd
   - Now Nation of Wellbeing Pty Ltd

will be held on Feb. 11, 2019, at 10:00 a.m. at the offices of SV
Partners, at 22 Market St, in Brisbane, Queensland.

David Michael Stimpson of SV Partners was appointed as
administrator of Ibred Pty on Jan. 30, 2019.


OVERSTAR HOLDINGS: Second Creditors' Meeting Set for Feb. 8
-----------------------------------------------------------
A second meeting of creditors in the proceedings of Overstar
Holdings Pty Ltd, trading as Muzz Buzz Riverton, has been set for
Feb. 8, 2019, at 10:30 a.m. at the offices of Worrells Solvency
and Forensic Accountants, at Level 4, 15 Ogilvie Road, in Mount
Pleasant, 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 Feb. 7, 2019, at 5:00 p.m.

Simon Cathro and Mervyn Kitay of Worrells Solvency & Forensic
Accountants were appointed as administrators of Overstar Holdings
on Oct. 29, 2018.



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


BOHAI STEEL: Creditors Approve Bankruptcy Reorganization Plan
-------------------------------------------------------------
China Knowledge reports that representatives of Bohai Steel's more
than 100 creditors have approved a bankruptcy reorganization plan
to restructure the debt-ridden company.

China Knowledge relates that the approval comes three years after
the company was wrecked by a debt crisis and may allow its
creditors to recover its US$36 billion worth of debts and may even
allow the company to revive its business.

According to the report, Bohai Steel's bankruptcy reorganization
is China's largest ever effort to bailout a financially crippled
company after the National Development and Reform Commission
assessed the case and deemed the company still worthy of a rescue.

The reorganization effort will involve 48 companies under the
Bohai Steel umbrella and will see the liquidation of another 160
subsidiaries, China Knowledge discloses.

As of April last year, Bohai Steel and its subsidiaries had US$36
billion worth of outstanding debts but only US$17 billion worth of
assets, leading the company's bankruptcy administrators to come up
with a 10-year plan to restructure company.

Under the plan, Bohai Steel's assets will be divided into 17
companies with its core steel business assets and another 31
companies with non-core assets. The core business arms which is
worth US$8.7 billion will be partially sold to private steel
manufacturer Tangshan Delong Co., with the latter also agreeing to
invest another US$3 billion into Bohai Steel to repay debts and
support its business operations.

Bankruptcy administrators hope that the new investor will be able
to revitalize Bohai Steel's business and allow it to qualify for a
public listing in 2023, which will allow some of its creditors to
exit.

As for the company's non-core assets, these will be sold to bad
loan manager China Cinda Asset Management Co., to be repackaged
into a trust product and generate yields for creditors.

                          About Bohai Steel

Bohai Steel Group Co Ltd is a steelmaker based in northeast
China.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 29, 2018, China Money Network said Bohai Steel Group, a
debt-stricken state-owned enterprise, has entered bankruptcy
proceedings as Tianjin Higher People's Court accepted its
creditor Tianjin Seri Machinery Equipment Corp., Ltd.'s
application to reorganize Bohai Steel Group on August 24.


CHINA MINSHENG: Defaults on Principal Repayment of CNY3BB Note
--------------------------------------------------------------
China Knowledge reports that China Minsheng Investment Group
(CMIG) has failed to make a partial repayment of an CNY3 billion
private placement note, raising concerns that there may be more
defaults to come.

China Knowledge relates that investors of the note which has a
coupon of 5.2% were set to receive their money back earlier on
Jan. 29 but have yet to receive payment from the company, marking
the first time the company has failed to make a loan repayment on
time.

According to the report, CMIG which is an investment group owned
by 59 private Chinese companies has said that it is working on
repayment procedures and declined to make any further comments on
the issue.

The group which depends heavily on short-term loans from banks and
bond issuances to conduct its investment business is now facing a
liquidity crisis as Chinese regulators are putting increasing
pressure on companies to reduce their debt and leverage, the
report says.

As a result, the company is facing difficulties in rolling over
its old debts and secure new financing sources. Last week, a bond
issued by the company which will mature in December 2020,
plummeted by nearly 30% in a single day over concerns of the
company's increasing likelihood to default on its repayments,
Chinal Knowledge recounts.

The company currently has more than 10 outstanding bond issuances
with more than CNY14 billion worth of debt set to mature this year
in the bond market, the report discloses.

                         About China Minsheng

China Minsheng Investment Group is a private equity firm. The
firm seeks to invest in solar energy industry, manufacturing,
sustainable energy, renewable energy, real estate, and business
jet services. The firm seeks to invest in Europe and the United
States.


CHUYING AGRO-PASTORAL: Pig Breeder is Running Low on Pigs
---------------------------------------------------------
Carrie Hong at Bloomberg News reports that the beleaguered Chinese
company that made news last year paying its bond investors in ham
instead of cash has a new problem: it's running low on pigs.

The cash crunch that left Chuying Agro-Pastoral Group Co. unable
to service some of its debt has now intensified to the point that
it's unable to buy enough feed, Bloomberg relates citing an
announcement on the Shenzhen Stock Exchange. The pork producer
said that contributed to its pigs' death rate being higher than
expected, Bloomberg relays.

It's the latest twist for the small-cap company that's been
challenged on multiple fronts, from the spread of African swine
fever -- which has seen more than 900,000 hogs culled across the
country -- to an economic slowdown to a deleveraging drive by
policy makers that's tightened credit flows to weaker borrowers,
Bloomberg states.

Bloomberg relates that the Zhengzhou, central China-based company
revised its 2018 performance forecast to a net loss of CNY2.9
billion (US$433 million) to CNY3.3 billion, wider than previously
anticipated, it said in the statement on Jan. 30.

More pain may be looming: Chuying Agro has CNY2.3 billion of bonds
it needs to repay this year, according to data compiled by
Bloomberg. A call to the company's securities department went
unanswered, the report notes.

According to Bloomberg, struggling Chinese firms have been getting
innovative in their efforts to appease investors. A financing
platform under HNA Group Co. offered investors air tickets rather
than cash for debt repayment last year.

In Chuying Agro's case, the company said in November that holders
of CNY271 million of its debt agreed to take ham or pork gift
packages instead of interest payments. Owen Gallimore, head of
credit strategy from Australia & New Zealand Banking Group,
quipped that "payment in kind becomes PIH (Pay In Ham)," Bloomberg
relays.

Based in Zhengzhou, China, Chuying Agro-Pastoral Group Co., Ltd.,
produces pork and poultry products. The Company provides pig
breeding, slaughtering, frozen pork distribution, feed
manufacturing, chicken egg supply, and cold chain logistics
services. Chuying Agro-Pastoral Group also conducts grain products
purchasing and warehousing businesses.


GREENTOWN CHINA: Moody's Rates Proposed USD Perpetual Notes Ba3
---------------------------------------------------------------
Moody's Investors Service has assigned a Ba3 senior unsecured debt
rating to the proposed USD senior perpetual capital securities to
be issued by Champion Sincerity Holdings Limited and irrevocably
and unconditionally guaranteed by Greentown China Holdings
Limited.

Greentown plans to use the proceeds of the new USD notes issuance
to refinance existing indebtedness and for general working capital
purposes.

RATINGS RATIONALE

"The proposed note issuance will not have a material impact on
Greentown's credit metrics, because the proceeds will mainly be
used to refinance existing debt," says Celine Yang, a Moody's
Assistance Vice President and Analyst.

Greentown's Ba3 corporate family rating continues to reflect its
standalone credit strength and a two-notch rating uplift, based on
Moody's expectation that the company will receive extraordinary
financial support from China Communications Construction Group
(Limited) (CCCG), its largest shareholder, in times of financial
distress.

Greentown's B2 standalone credit strength reflects its (1) well-
established market position in property development in Hangzhou
City and Zhejiang Province, (2) long operating track record, in
particular, its established brand name, quality products and land
bank with 70% of saleable value located in first and second tier
cities, (3) improved financial management and access to funding as
part of CCCG; and (4) adequate liquidity.

However, the B2 standalone credit strength is constrained by its
improving but still moderate financial metrics, as a result of
debt-funded growth and operating challenges stemming from its
growth through joint ventures and associates.

The Ba3 rating for the notes reflects the following factors:

(1) Moody's considers the proposed perpetual securities as pure
    debt instruments and accordingly, does not apply any equity
    treatment to these securities.

(2) The perpetual securities will be irrevocably and
    unconditionally guaranteed by Greentown, which implies that
    the rating on the perpetual securities is closely linked to
    Greentown's rating.

(3) The securities will rank pari passu with all other present
    and future senior obligations of Greentown.

The positive ratings outlook reflects Moody's expectation that
Greentown will maintain financial discipline, generate steady
growth in contracted sales and control its debt growth, while
pursuing an expansion strategy in the coming 12-18 months.

Greentown's ratings could be upgraded if the company (1) continues
to show prudence in its financial management and land acquisition
strategy; and (2) improves its debt leverage, such that
revenue/adjusted debt - including its share in joint ventures and
associates - is maintained above 60%-70% and EBIT/interest -
including shares in joint ventures and associates
-- is maintained above 2.5x.

A downgrade of Greentown's ratings is unlikely in the near term,
given the positive ratings outlook. However, the outlook could
return to stable, if the company's credit metrics are unlikely to
improve to levels that will support an upgrade over the next 12-18
months.

The principal methodology used in this rating was Homebuilding And
Property Development Industry published in January 2018.

Greentown China Holdings Limited is a major property developer in
China, with a primary focus in Hangzhou City and Zhejiang
Province.

At June 30, 2018, the company had 106 projects with a total gross
floor area of 32.97 million square meters (sqm), with 20.73
million sqm attributable to the company.


JIANGSU NEWHEADLINE: Fitch Affirms and Then Withdraws BB IDR
------------------------------------------------------------
Fitch Ratings has affirmed Jiangsu NewHeadLine Development Group
Co., Ltd.'s Long-Term Foreign- and Local-Currency Issuer Default
Ratings at 'BB'. The Outlook is Stable. Fitch has also chosen to
withdraw the ratings for commercial reasons.

Jiangsu NHL is a wholly state-owned entity responsible for
infrastructure development in the Lianyungang Economic and
Technological Development Zone (ETDZ) and Lianyungang
Municipality's eastern urban area. Lianyungang is a city in
Jiangsu province, which sits on China's eastern coast.

KEY RATING DRIVERS

'Strong' Status, Ownership and Control: Jiangsu NHL is ultimately
wholly owned by the Lianyungang municipal government. The
municipal government delegates the supervision of Jiangsu NHL to
the Management Committee of Lianyungang ETDZ. Jiangsu NHL is
registered as a wholly state-owned limited liability company under
China's Company Law. Under the company's current legal status, its
major decisions (such as mergers and acquisitions, spin-offs,
bankruptcy and liquidation) require approval from Lianyungang
municipality. The full ownership and tight control by the
government is offset by the government's delegation of the
company's management to the Lianyungang ETDZ.

'Strong' Support Track Record and Expectations: Jiangsu NHL's main
customer is Lianyungang ETDZ Management Committee, which accounted
for 84% of turnover for 2017 (2016: 95%). According to Jiangsu
NHL, Liangyungang ETDZ is committed to provide at least CNY400
million in subsidies each year from 2016 to 2020 to support the
entity's operations. For 2015, 2016, 2017 and 1Q18, NHL received
subsidies of CNY585 million, CNY659 million, CNY519 million and
CNY79 million, respectively. Jiangsu NHL usually needs to raise
debt and pay for expenses related to construction in advance, thus
the consistent financial support from the government is vital to
its operation. In addition, receivables of more than CNY22 billion
were due from the government (more than half of the total assets)
at end-2017. Fitch assesses the support record and expectation
attribute as 'Strong' as the regular financial support is offset
by a lack of a debt guarantee.

'Moderate' Socio-Political Implications of Default: Jiangsu NHL is
an important entity for developing large urban infrastructure
projects and providing ancillary services in Lianyungang ETDZ. It
helps to implement the development plan of Lianyungang
municipality and Lianyungang ETDZ's management committee.
Nonetheless, if Jiangsu NHL were to default, the government would
be able to continue maintenance of existing infrastructure with
limited or temporary disruption, given the availability of
substitutes.

'Strong' Financial Implications of Default: Jiangsu NHL has a
large amount of receivables due from Lianyungang ETDZ and its
finance bureau. A default by the company would hint at the
government's difficulty in providing timely support even if it
were willing to do so. A default by Jiangsu NHL is likely to have
a significant impact on the availability and cost of both domestic
and foreign financing option for the Liangyungang municipal
government and/or its government-related entities.

'B' Category Standalone Credit Profile: Jiangsu NHL's revenue
mainly comes from the Lianyungang ETDZ Management Committee, but
the company has limited or no price-setting power, resulting in
the Revenue Defensibility attribute being assessed at 'Mid-Range'.
Fitch considers operating risk as 'Weak' as the timing of material
capital expenditure is usually directed by the government. Fitch
also assesses the financial profile as 'Weak' due to the
persistent negative operating cash flow and high total debt-to-
adjusted EBITDA ratio of more than 20x. Overall, the issuer's
standalone credit profile is in the 'B' rating category at best.

RATING SENSITIVITIES

No longer relevant as the ratings have been withdrawn.


YANZHOU COAL: Fitch Raises LT IDR to BB-, Outlook Stable
--------------------------------------------------------
Fitch Ratings has upgraded China-based Yanzhou Coal Mining Company
Limited's Long-Term Foreign-Currency Issuer Default Rating to 'BB-
' from 'B+'. The Outlook is Stable. Fitch has also upgraded
Yanzhou Coal's senior unsecured rating to 'BB-' from 'B+'/'RR4'.

The upgrade was driven by improvement in the consolidated credit
profile of Yanzhou's immediate parent, Yankuang Group., Ltd., as
its Fitch-defined cash flow from operations (CFO) has turned
positive since 2017 and its FFO adjusted net leverage has
declined. Fitch has assessed Yankuang Group's consolidated credit
profile using a bottom-up approach from its standalone credit
profile that reflects potential support from its ultimate parent,
Shandong State-owned Assets Supervision and Administration
Commission (SASAC), as per Fitch's Government-Related Entities
Rating Criteria. Yanzhou's rating is aligned with the consolidated
credit profile of Yankuang Group as Fitch has assessed that the
linkage between the two entities is strong, underpinned by their
solid operational ties, as per the agency's Parent and Subsidiary
Rating Linkage criteria.

KEY RATING DRIVERS

Parent's Strong State Linkage: Yankuang Group's relationship with
Shandong SASAC is reflected in its position as one of the Chinese
province's two key provincial coal suppliers, the second-largest
employer and fourth-largest domestic bond issuer. Fitch assesses
Yankuang Group's status, ownership and control as 'Strong'.
Yankuang Group is 70%-owned by Shandong SASAC, while Shandong
Guohui Investment Co., Ltd and Shandong Provincial Council for
Social Security Fund together own the remaining 30%. The Shandong
provincial government effectively controls Yankuang Group's board
and key senior management and has a strong influence over the
group's major strategies and investment decisions.

Fitch assesses Yankuang Group's track record and expectation of
support as 'Moderate' as tangible government support has been
limited. Support mainly included annual subsidies of CNY200
million-400 million and zero-cost land injections, with the
group's financial profile kept at persistently weak levels.

Strong Financial Impact of Default: Fitch assesses the socio-
political implications from a default as weak because most of
Shandong's coal demand is met by supply from other provinces;
around two-thirds of Yankuang Group's coal capacity is outside
Shandong. The financial implications from a default are assessed
as 'Strong' due to Yankuang Group's status as one of the
province's biggest state-owned entities (SOE) and its fourth-
largest domestic bond issuer.

Strong Parent-Subsidiary Linkage: Yanzhou is 51.81%-owned by
Yankuang Group and holds most of the group's high-quality assets
as its sole listing platform. Yanzhou contributed 59% of the
group's coal production and around 74% of its EBITDA in 2017.
Operational ties are significant, reflected in a high degree of
overlap in key board members and management between the two
entities. The group centralises treasury functions within a
finance company, which is 90%-owned by Yanzhou.

Upgrade in Yankuang's Standalone Assessment: Yankuang's CFO
recovered to CNY4.8 billion in 2017, boosted by strong coal and
methanol prices, and climbed higher in 9M18 after staying negative
for many years. Fitch expects Yankuang's FFO adjusted net leverage
to improve to 7.4x-8.5x in 2018-2020, from 11.3x at end-2016,
making its financial metrics more in line with other Fitch-rated
Chinese state-owned commodity companies with standalone credit
profiles in the 'B' category. Yankuang's standalone credit profile
is supported by its large scale, geographical diversification of
production, long reserve life and cost position while constrained
by leverage that is still considered high.

Financial Improvement: Yanzhou's free cash flow improved to CNY2.6
billion in 2017 and Fitch estimates it stayed positive in 2018.
Fitch expects that to continue in the following years based on its
assumptions of coal prices in line with the government-set range,
larger methanol capacities and lower capex. The company reduced
its FFO adjusted net leverage to 4.4x by end-2017 and Fitch
expects the leverage metric to stay around 4.0x in 2019-2021.
Fitch thinks disciplined capex and acquisition may be the key for
further deleveraging. Fitch has also upgraded Yanzhou's standalone
credit profile to 'BB-' from 'B+'.

Margin Expansion on Higher ASP: The average selling price (ASP) of
coal produced by Yanzhou rose 9.5% to CNY541/tonne in 9M18 from
2017. The unit cost of Yanzhou's coal-mining segment rose 3.1% in
1H18 to CNY264/tonne from 2017, which Fitch considers reasonable
as some costs were related to the higher coal price. Fitch
estimates Yanzhou's dollar margin, or its gross profit per tonne
of coal, rose in 2018 although it may drop in 2019-2021 as medium-
term coal prices are likely to fall into the CNY500/tonne-
570/tonne range set by the National Development and Reform
Commission.

Fitch expects China's tight coal supply to ease in 2019 on its
assumption of declining coal demand. The impact of demolishing
obsolete capacities on coal supply may not be as strong in 2019-
2020 as it was in 2016-2018 as most of the capacity reduction
targets for China's 13th Five-Year Plan (2016-2020) have been met.

Capex Likely to Have Plateaued: Fitch believes capex of both
Yanzhou and its parent peaked in 2018 as most of the major green-
field mines under construction in previous years have been
completed. Fitch also expects the two second-phase methanol
projects in Yulin and Ordos to be completed in the first half of
this year. The annual capex of Yanzhou may fall to CNY6.0 billion-
7.0 billion in the coming years, provided there are no large new
coal mines in the pipeline. Fitch thinks the company is also
taking a more cautious stance in its financial-segment
investments, evident from the lower cash outflow on acquisitions
in 9M18.

DERIVATION SUMMARY

Yanzhou's rating is equalised with the consolidated credit profile
of Yankuang Group based on the strong linkage between the two
entities as per Fitch's Parent and Subsidiary Rating Linkage
criteria. Yankuang Group's consolidated credit profile
incorporates an uplift based on Fitch's Government-Related
Entities Rating Criteria. Shandong SASAC owns 70% and effectively
controls Yankuang Group, which is one of the province's key SOEs
as well as one of its largest employers and domestic bond issuers.

KEY ASSUMPTIONS

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

  - QHD 5500Kcal coal price to average CNY570 per tonne in 2019,
    CNY550/tonne in 2020 and CNY540/tonne in 2021

  - Unit coal production cost increased by 3.6% in 2018 and
    remaining flat thereafter

  - Capex averaging CNY7.5 billion in 2018-2021 and following a
    downward trend

RATING SENSITIVITIES

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

  - Stronger likelihood of support from Shandong province to
    Yankuang Group

  - FFO adjusted net leverage of Yankuang Group to stay below 6x
    on a sustained basis

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

  - Cash flow from operations of Yankuang Group turning negative

Sensitivities for Yanzhou's standalone credit profile of 'BB-':

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

  - FFO adjusted net leverage below 3.5x on a sustained basis
    (end-2017: 4.4x)

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

  - FFO adjusted net leverage above 4.5x for a sustained period

LIQUIDITY

Sufficient Liquidity: Yanzhou's readily available cash rose to
CNY23.7 billion by end-1H18 (end-2017: CNY21.1 billion), almost
enough to cover its debt maturing within one year of CNY26.7
billion (end-2017: CNY27.8 billion). Yanzhou also had total
undrawn bank credit facilities of CNY46.2 billion as of 1H18.
Fitch expects the company to continue to benefit from strong
access to domestic funding sources due to its large SOE status.
FFO fixed-charge coverage improved to 4.2x in 2017 (2016: 2.3x) as
a result of stronger cash flow from a recovery in coal prices.



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


A-1 COLD: CARE Migrates B+ Rating to Not Cooperating Category
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of A-1
Cold Storage Private Limited to Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       5.55       CARE B+; Stable Issuer not
   Facilities                      cooperating; based on best
                                   available information

CARE has been seeking information from A-1 Cold to monitor the
rating vide e-mail communications/letters dated December 24, 2018
December 26, 2018, December 27, 2018 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of best available information which however, in
CARE's opinion is not sufficient to arrive at fair rating. The
rating on A-1 Cold Storage 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.

Detailed Description of Key Rating Drivers

At the time of last rating on December 15, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weakness

Short track record of the company: The company was incorporated in
the year 2015 and started its project activities in 2017. The
company is in the initial stages of operations and is expecting to
complete its ongoing project in November 2018 and start commercial
operations from December 2018. The level of project execution and
operations by the management of the company is yet to be seen.

Project implementation risk and stabilization of operations: The
directors of the company are setting up the cold storage with a
total estimated cost of the project is INR8.92 crore which is to
be funded through a bank term loan of INR5.55 crore and rest of
the INR3.37 crore from promoter's fund. Till date, the company has
incurred INR0.77 crore for land registration and development
purpose. The commercial operations of the company are expected to
start from December 2018.

Key Rating Strengths

Experience of the promoters for more than two decade in
agricultural industry: ACSPL is promoted by Mrs. Duvvuru Varija
(Managing Director) and Mrs. Bollu Hymavathi (Director). The
directors are well qualified wherein Mrs. Duvvuru Varija, aged 67,
is a post graduate, having experience of 24 years in agricultural
business. The company is likely to get benefited by its qualified
and experienced promoters.

Location advantage of the plant: The plant location of the company
is located in horticultural crops growing area and having good
network with farmers and growers. There is abundant availability
of raw materials such as chillies, mango, tamarind etc. in the
proposed area of the district.

Stable outlook of cold chain industry: Growing annually at 28%,
the total value of cold chain industry in India is expected to
grow going forward driven by increased investments, modernization
of existing facilities, and establishment of new ventures via
private and government partnerships. India's cold chain industry
is still evolving, not well organized and operating below
capacity. The Indian cold chain market is highly fragmented with
more than 3,500 companies in the whole value system. Organized
players contribute only ~8%-10% of the cold chain industry market.
Cold stores are the major revenue contributors of the Indian Cold
Chain industry and are majorly used for storing potatoes. However,
the market is gradually getting organized and focus towards
multipurpose cold storages is rising.

A1 Cold Storage Private Limited (ACSPL) was incorporated in the
year 2015 with its registered office at Somajiguda, Hyderabad. The
promoters of the company are Mrs. Duvvuru Varija (Managing
Director) and Mrs. Bollu Hymavathi (Director). Both the directors
have experience for more than two decades in agricultural
business.

Presently, the company is establishing a cold storage plant at
Jadcherla village, Mahabubnagar District, Telangana with the
total project cost of INR8.92 crore which is to be funded through
a bank term loan of INR5.55 crore and balance of INR3.37 crore
from promoter's fund. Till date, the company has incurred INR0.77
crore for land registration and development purpose. ACSPL
is planning to start its commercial operations from December 2018.
The company is expected to preserve fruits, vegetables and
other agricultural products like seeds post completion of cold
storage plant.


ADHUNIK INDUSTRIES: Ind-Ra Raises Long Term Issuer Rating to BB
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has upgraded Adhunik
Industries Limited's (AIL) Long-Term Issuer Rating to 'IND BB'
from 'IND B-'. The Outlook is Stable.

The instrument-wise rating actions are:

-- INR873 mil. (reduced from INR893 mil.) Fund-based limits
     upgraded with IND BB/Stable rating; and

-- INR516.5 mil. (reduced from INR546.5 mil.) Non-fund-based
     limits upgraded with IND A4+ rating.

KEY RATING DRIVERS

The upgrade reflects an improvement in AIL's revenue along with a
slight improvement in its credit metrics. However, the scale of
operations remains medium, while metrics continue to be at
moderate levels because of modest and volatile operating margins.
This is due to competition and price fluctuations in input and
realization of finished goods.

AIL's revenue grew 28.4% yoy to INR4,807 million in FY18, on
account of an increase in sales volume to 184,579mt (FY17:
132,204mt). The company's production volume increased to 178,881mt
in FY18 (FY17: 142,098mt), with capacity utilization improving to
105.2% (83.6%). Net leverage (adjusted net debt/operating EBITDAR)
was 2.78x in FY18 (FY17: 3.8x) and interest coverage was 1.66x
(1.4x). The slight improvement was due to an increase in absolute
EBITDA to INR250.98 million in FY18 (FY17: INR233 million) and a
reduction in debt level to INR724.90 million (INR901 million), led
by scheduled debt repayments and lower working capital
requirements. EBITDA margin fell to 5.22% in FY18 (FY17: 6.23%;
FY16: 6.63% ; FY15: 9.37%), because of an increase in raw material
and manufacturing expenses.

The ratings factor in AIL's moderate working capital cycle and
liquidity position. The net working capital cycle shortened to 87
days in FY18 (FY17: 110 days), on account of better management of
working capital needs. AIL procures raw material (MS billet) from
its group company Adhunik Corporation Ltd d as well as other local
suppliers and offers a credit period in the range of 50-65 days to
its customers. The cash flow from operation turned positive in
FY18 to INR189.76 million (FY17: negative INR172 million) on
account of the increase in absolute EBITDA and efficient working
capital management. The working capital limits were utilized at an
average maximum of 70.2% over the 12 months ended December 2018.

RATING SENSITIVITIES

Positive: Sustained growth in the revenue as well as margins
leading to improved credit metrics will be positive for the
ratings.

Negative: Sustained deterioration in the credit profile will be
negative for the ratings.

COMPANY PROFILE

Kolkata-based company, AIL manufactures rolled products mainly TMT
bars, rounds and wire rods at its plant located in Durgapur, West
Bengal. In 1HFY19, AIL's revenue were INR3219.24 million and
EBITDA was INR116.60 million.


AGRAWAL STRUCTURE: Ind-Ra Moves BB LT Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Agrawal Structure
Mills 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:

-- INR200 mil. Fund-based working capital limits migrated
    to non-cooperating category with IND BB (ISSUER NOT
    COOPERATING) rating; and

-- INR100 mil. Non-fund-based working capital limits migrated to
    non-cooperating category with IND A4+ (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

Agrawal Structure Mills was incorporated in November 1995 as a
private limited company. It is engaged in the manufacturing and
trading of mild steel billets and steel structural in Urla
Industrial Area, Raipur.


AISHWARYA IMPEX: Ind-Ra Migrates BB- LT Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Aishwarya Impex'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:

-- INR150 mil. Fund-based working capital limit migrated to non-
    cooperating category with IND BB- (ISSUER NOT COOPERATING) /
    IND A4+ (ISSUER NOT COOPERATING) rating; and

-- INR58.5 mil. Term loan limit due on March 2024 migrated to
    non-cooperating category with IND BB- (ISSUER NOT
    COOPERATING) rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
January 25, 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 2011, Aishwarya Impex initially provided cold storage
rental services. It ventured into the trading of prawns in January
2015 and the processing of shrimps in FY18.


BLUE AUTOWORLD: CARE Assigns B+ Issuer Rating; Outlook Stable
-------------------------------------------------------------
CARE Ratings has assigned CARE B+ (Is) issuer rating to Blue
Autoworld Private Limited (BAPL). Outlook is stable.

The issuer rating is subject to the BAPL maintaining overall
gearing of 1x as on March 31, 2018.

Detailed description of the key rating drivers

The ratings assigned to the bank facilities of Blue Autoworld
Private Limited (BAPL) is constrained by small scale of operation,
moderate financial risk profile, thin profitability margin due to
trading nature of business, dependence on fortunes of TVS Motor
Company Limited with low bargaining power, working capital
intensive nature of operation and presence in intensely
competitive industry. The ratings however, draws comfort from
experienced promoter, exclusive authorized dealer of TVS Motor
Company Limited and improvement in financial performance during
FY16 (refers to period from April 1 to March 31) to FY18. Going
forward the ability of the company to increase scale of operation,
improve profitability margin and efficient management of working
capital will remain the key rating sensitivities.

Key Rating Weakness

Small scale of operation: The overall scale of operation of BAPL
continued to remain at low marked by total operating income of
INR33.31 crore. BAPL is a relatively small player in sale, service
and spares supply of two wheelers with total capital employed of
INR9.94 crore as on March 31, 2018 (as against INR7.19 crore in
FY16). The small size of the company restricts the financial
flexibility in times of stress. Moderate financial risk profile:
The capital structure of the company remained moderate marked by
Overall gearing and total debt/ GCA of 0.55x and 11.63x
respectively as on March 31, 2018 as against 0.28x and 12.03x
respectively as on March 31, 2016.

Working capital intensive nature of operations and tight liquidity
position: BAPL receives inventory against immediate payments to
the principal. The dealers are required to hold an inventory of
around a month and the sales proceeds are collected within a week
as part of the customers are retail clients who opt for vehicle
financing. The working capital requirement of the company is
mainly funded through bank borrowings.

Dependency on fortunes of principal with low bargaining power:
Dealers lack bargaining power due to its dependence on such large
principal that set policies, targets and link incentive based
income to satisfactory compliance of such policies and the
financial risk profile of the company has a high degree of
correlation with the performance of OEM's vehicles in the market
and their ability to launch new products.

Presence in an intensely competitive industry: The automobiles
industry is very competitive on the back of the presence of a
large numbers of players dealing with similar products. Moreover,
in order to capture the market share, the auto dealers offer
better buying terms like providing credit period or allowing
discounts on the purchase. Such discounts offered to the customers
create a margin pressure and negatively impact the earning
capacity of the company.

Key Rating Strengths

Experienced promoters: BAPL was promoted by Malda based Mr.
Panchanan Misra in 2010. Mr. Panchanan Misra has around a decade
of experience in retailing of two wheeler and its spares spares.
The day to day affairs of the company is looked after by Mr.
Panchanan Misra along with the support from a team of experienced
professional.

Exclusive authorised dealer of TVS Motor Company: BAPL is
associated with TVS Motor Company Limited (TVS) since 2011 as a 3S
authorized dealer for entire Malda region in West Bengal. TVS is
one of the leading players in two wheelers automobile segment.
Currently, BAPL operates 8 showrooms spread across Malda region in
West Bengal. BAPL has also appointed 8 sub-dealers under it. The
segment wise revenue break up is provided below.

Renewable based dealership agreements: The dealership agreement
between BAPL and TVS is valid for one year, thereafter subject to
automatic renewal for one year. The latest agreement is renewed on
July 25, 2018 which is valid for a period of one year from
October 1, 2018 to September 30, 2019. However, the agreements
have been renewed regularly in the past since 2011.

Improvement in financial performance during FY16 to FY18: The
total operating income of BAPL grew at a CAGR of 23.67% to
INR33.31 crore in FY18 as against INR21.78 crore in FY16. PBILDT
margin improved from 1.35% in FY16 to 2.49% in FY18. On absolute
basis the company reported PBILDT of INR0.83 crore in FY18 as
against INR0.29 crore in FY16. Interest coverage deteriorated from
2.50x in FY16 to 1.83x in FY18. The company earned GCA of INR0.30
crore in FY18 as against nil term debt repayment.

Liquidity

The liquidity position of the company continued to remain tight as
evident from the average utilization of its fund based working
capital limit at approx.. 97% during the past twelve months ending
December 2018. BAPL had free cash and bank balance of INR0.31
crore as on March 31, 2018. Current ratio of BAPL was comfortable
at 1.74x as on March 31, 2018.


CARE TECH: Ind-Ra Gives B+/A4 Ratings to INR20MM Loan
-----------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned CARE TECH (CT) a
Long-term Issuer Rating of 'IND B+'. The Outlook is Stable.

The instrument-wise rating actions are:

-- INR20 mil. Fund-based working capital limits assigned with
    IND B+/ Stable/IND A4 rating;

-- INR5 mil. Non-fund-based working capital limits assigned with
    IND A4 rating;

-- INR26.8 mil. Term loan due on March 2028 assigned with
    IND B+/Stable rating;

-- INR35 mil. Proposed term loan* assigned with Provisional
    IND B+/Stable rating; and

-- INR30 mil. Proposed fund-based working capital limits*
    assigned with Provisional IND B+/Stable/Provisional IND A4
     rating.

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

KEY RATING DRIVERS

The ratings reflect CT's modest scale of operations. The revenue
increased to INR88.4 million in FY18 (FY17: INR34.9 million),
mainly due to higher sales of manufactured precision machinery
components to its biggest client - Wipro Enterprises Limited. The
firm has indicated revenue of INR150 million in 8MFY19. The return
on capital employed was 18% in FY18 (FY17: 14%) and the EBITDA
margin fell to an average 16.3% (26.6%), on account of a decline
in job work from Wipro Enterprises.

The ratings also factor in CT's moderate credit profile. The net
leverage improved to 3.9x in FY18 (FY17: 4.7x) and interest
coverage (operating EBITDA/gross interest expense) improved to
2.3x (1.9x). Despite the decline in the EBITDA margin, the credit
metrics improved because of the rise in absolute EBITDA owing to
the increase in scale of operations.

In addition, the ratings reflect the firm's tight liquidity
position. Its peak utilization of the working capital limits was
around 96% during the 12 months ended December 2018. Furthermore,
the net working capital cycle of the firm lengthened to 81 days in
FY18 (FY17: 49 days) as debtor days increased to 111 days (87
days). The firm had modest unrestricted cash balance of INR0.2
million as on 31 March 2018 (INR0.1 million as on March 31, 2017).
Its cash flow from operations stood at a negative INR6.3 million
in FY18 (FY17: INR10.0 million).

Moreover, the firm is exposed to customer concentration risk, as a
majority of the revenue is derived from Wipro Enterprises. The
ratings also reflect the partnership nature of the firm.

The ratings, however, are supported by the partners' experience of
around two decades in the manufacturing of precision machinery
components, which has enabled the company to establish strong
relationships with customers and suppliers.

RATING SENSITIVITIES

Negative: A decline in the scale of operations and/or absolute
EBITDA, leading to deterioration in the credit metrics, all on a
sustained basis, will be negative for the ratings.

Positive: A substantial increase in the scale of operations with
improvement in the absolute EBITDA, leading to an improvement in
credit metrics, all on a sustained basis, will lead to a positive
rating action.

COMPANY PROFILE

Established in 2010, CT manufactures precision machinery
components for hydraulic machineries.


CHABBRA'S ASSOCIATES: Ind-Ra Affirms BB on INR200MM Loan
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has revised Chabbra's
Associates' (CA) Outlook to Positive from Stable while affirming
its Long-Term Issuer Rating at 'IND BB'.

The instrument-wise rating actions are:

-- INR200 mil. (increased from INR135 mil.) Fund-based limits
    affirmed; Outlook revised to Positive from Stable with
    IND BB/Positive rating; and

-- INR385.0 mil. (increased from INR200 mil.) Non-fund-based
    limits affirmed with IND A4+ rating.

KEY RATING DRIVERS

The Outlook revision reflects Ind-Ra's expectations of a
substantial improvement in CA's revenue in FY19 and beyond. The
agency's forecast is based on an unexecuted order book of
INR6,820.6 million (8.9x of FY18 revenue) as on October 31, 2018,
which provides strong revenue visibility for the medium term,
along with  revenue from toll plaza collection, which commenced
from June 2018. In FY18, revenue grew 70.5% yoy to INR770.3
million due to the timely and high execution of work orders. CA
has indicated revenue of INR867.31 million in 8MFY19.

However, the scale of operations remains medium. Also, CA faces
customer concentration risk, as outstanding orders from Greater
Hyderabad Municipal Corporation account for 40% (INR2,701 million)
of the total unexecuted order book.

The ratings also reflect the moderate geographical concentration
risk, given that CA's projects are based in Andhra Pradesh,
Telangana and Jharkhand, and the partnership nature of the firm.

The ratings continue to be supported by CA's strong credit metrics
because of healthy EBITDA margins. In FY18, gross interest
coverage (operating EBITDAR/gross interest expense) improved to
4.2x in FY18 (FY17: 2.4x), owing to a fall in gross interest
expense and growth in absolute EBITDA due to the substantial
increase in the scale of operations. The net financial leverage
(total adjusted net debt/operating EBITDAR) deteriorated
marginally to 1.1x in FY18 (FY17: 0.6x), due to an increase in the
utilization of short-term fund-based limits at the year end. The
company's RoCE was 17.3% in FY18 (FY17: 16.2%) and the EBITDA
margin stood at 8.3% (12%). The margin declined in FY18 on account
of an increase in sub-contract expenses.

The ratings also factor in CA's comfortable liquidity. The average
maximum fund-based limit utilization has been around 66% over the
12 months ended December 2018.  The cash flow from operations
turned positive to INR9.0 million (FY17: negative INR32.9 million)
as on March 31, 2018 because of an improvement in the net working
capital cycle.  The net cash conversion cycle improved to 90 days
in FY18 (FY17: 109 days) due to an improvement in the inventory
holding period. The unrestricted cash balance stood at INR0.9
million in FY18 (FY17: INR0.7 million). The company does not have
any major term debt obligations and capex would largely be funded
through internal accruals over the medium term.

Additionally, the promoters have experience of over two decades in
civil construction (buildings and roads).

RATING SENSITIVITIES

Negative: A decline in the scale of operations and/or operating
profitability, leading to deterioration in the credit metrics and
liquidity, could cause the Outlook to be revised to Stable.

Positive:  A substantial increase in the revenue, along with an
improvement in the credit metrics, all on sustained basis, could
be positive for the ratings.

COMPANY PROFILE

Established in February 1997, CA is a partnership firm based in
Secunderabad, Hyderabad. The firm is primarily involved in civil
construction. It also operates a toll plaza. It is promoted by Mr.
Suresh Kumar Chabbra, Mr. Ramesh Kumar Chabbra and Mrs. Vidya Devi
Chabbra.


CHANDRA HASNI: Ind-Ra Gives B+ Ratings to INR150MM Loans
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Chandra Hasni
Ispat Private Limited (CIPL) a Long-Term Issuer Rating of 'IND
B+'. The Outlook is Stable.

The instrument-wise rating actions are:

-- INR80 mil. Fund-based working capital limit assigned with
    IND B+/Stable rating; and

-- INR70 mil. Term loan due on April 2025 assigned with
    IND B+/Stable rating.

KEY RATING DRIVERS

The ratings reflect CIPL's small scale of operations as reflected
by revenue of INR87 million in FY18 (FY17: INR68.80 million). The
increase in revenue was on account of an increase in sale of mild
steel pipes and strips. The company's return on capital employed
was 1% in FY18 and operating margin was modest at around 2.17%
(FY17: 2.03%).

However, the ratings are supported by CIPL's strong credit metrics
as indicated by high interest coverage (operating EBITDA/gross
interest expense) of 8.95x in FY18 (FY17: 9.33x). The company was
net debt negative in FY17-FY18 due to the absence of external
borrowings. However, Ind-Ra expects the credit metrics to
deteriorate marginally owing to the company's upcoming debt-funded
capex plan.

The ratings further derive support from the directors' more than
one decade of experience in the iron and steel industry.

RATING SENSITIVITIES

Negative: Decline in the revenue leading to deterioration in the
credit metrics, all on a sustained basis, will be negative for the
ratings.

Positive: A sustained improvement in the revenue will be positive
for the ratings.

COMPANY PROFILE

Incorporated in 2005, CIPL manufactures thermo-mechanically
treated bars. The company is setting up a rolling mill with
installed capacity of 1,00,000mtpa and an induction furnace plant
with a capacity of 60,000MTPA.


CLUB 29: CARE Migrates 'D' Rating to Not Cooperating Category
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Club 29
Private Limited (CPL) to Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank      12.13      CARE D, Issuer Not Cooperating;
   Facilities                     Based on best available
                                  Information

   Short term Bank      0.75      CARE D, Issuer Not Cooperating;
   Facilities                     Based on best available
                                  Information

CARE has been seeking information from CPL to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, December
18, 2018, January 2, 2019 and January 4, 2019 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 CPL's bank facility and 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 ratings take into account the continuous delays in debt
servicing obligations.

Detailed description of the key rating drivers

At the time of last rating on April 5, 2018, the following were
the rating strengths and weaknesses.

Key Rating Weaknesses

Delay in debt servicing obligations: There have been continuous
delays in debt servicing obligations. The delays were on
account of weak liquidity position.

CPL incorporated in January 2012, is a Mont Vert Group venture
based out of Wakad, Pune and is focused on providing a
recreational indoor centre. Club29 is a recreational facility that
provides facilities such as restaurant banquets halls,
gymnasium facility, sports lounge consisting of badminton court,
squash court, Table-Tennis tables, swimming pool,
bowling alley, billiards tables and fuzz ball tables etc.


D.P. GARG: Ind-Ra Withdraws B+ LT Issuer Rating on INR115MM Loan
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained D.P. Garg
Exports (Pvt.) Ltd.'s Long-Term Issuer Rating in the non-
cooperating category and has simultaneously withdrawn the rating.

The instrument-wise rating actions are:

-- The IND B+ on the INR115.00 mil. Fund-based working capital
    limits* maintained in Non-Cooperating Category and withdrawn;
    and

-- The IND A4 rating on the INR5.00 mil. Non-fund-based limits#
    maintained in Non-Cooperating Category and withdrawn.

* Maintained in 'IND B+ (ISSUER NOT COOPERATING)' / 'IND A4
(ISSUER NOT COOPERATING)' before being withdrawn

# Maintained in 'IND A4 (ISSUER NOT COOPERATING)' before being
withdrawn

KEY RATING DRIVERS

D.P. Garg Exports 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 rating as the agency has
received a no-objection certificate from the rated facility's
lender.

COMPANY PROFILE

Established in 1998 and promoted by BM Garg, D.P. Garg Exports
manufactures and exports hinges and ironmongery at its facility in
Noida.


DHARTI DREDGING: CARE Migrates D Rating to Not Cooperating
----------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Dharti
Dredging and Infrastructure Ltd (DDIL) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank      79.96      CARE D; Issuer not cooperating;
   Facilities                     Based on best available
                                  Information

   Long-term/Short-   208.00      CARE D; Issuer not cooperating;
   Term Bank                      Based on best available
   Facilities                     Information

CARE has been seeking information from DDIL to monitor the rating
vide e-mail communications/letters from August 22, 2018 to
January 9, 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 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 Dharti
Dredging and Infrastructure Ltd.'s bank facilities will now be
denoted as CARE D; ISSUER NOT COOPERATING.

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

The ratings assigned to the bank facilities of Dharti Dredging and
Infrastructure Ltd (DDIL), takes into account delays in servicing
of debt obligation owing to stretched liquidity position of the
company led by delay in realization of receivables.

Detailed description of the key rating drivers

At the time of last rating on November 24, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weaknesses

Stretched liquidity position with delay in debt servicing: DDIL
had been experiencing stretched collection period in the last
three years led by significant delay in receipt of payments from
its clients. The average collection period has elongated to 311
days during FY17. Consequently, due to the inability of the
company to realize its receivables in a timely manner, there have
been delays in servicing the debt obligations. Deterioration of
capital structure and weak debt coverage indicators: Overall
gearing of the company has weakened from 0.92x as on March 31,
2016 to 1.06x as on March 31, 2017, due to the additional loan
availed by the company. Furthermore, in view of high debt
outstanding and lower gross cash accruals, total debt to gross
cash accruals (TDGCA) have also deteriorated from 4.82x during
FY16 to 6.96x during FY17.

Key Rating Strengths

Experienced promoter with long track record: The promoter; Mr. A.
Rajendra (Chairman and Managing Director) has long standing
experience of 20 years in the industry and looks after day to day
activities of the company. Under his leadership, the company has,
over the years, diversified into trenching and back-filling works
for the oil and gas industry for domestic as well as international
clients.

Improved margins at operating level albeit stable operating
income: Total operating income of the company remained stable at
INR249.25 crore, (marginal growth of 1.40%) during FY17 against
INR245.80 crore during FY16. Even though, the PBILDT margin
improved by 255 bps, PAT margin came down by 329 to 1.72% during
FY17 (against 5.01% during FY16) on account of higher interest
expenses.

Incorporated in 1993, Dharti Dredging and Infrastructure Ltd
(DDIL) is a Hyderabad-based company engaged in the work of
dredging, mainly capital dredging. In addition to dredging
activities, the company also undertakes trenching and back filling
works related to offshore pipeline installation, road embankment
projects, de-weeding of lakes, land reclamation etc. DDIL has
executed dredging projects in India, the Middle East, Myanmar and
Indonesia. DDIL commenced its operations with one dredging unit at
Paradeep Fishing Harbor in 1993. Over the years, it has executed
various dredging projects and post amalgamation with MDPL (Marine
Dredging Pvt. Ltd) DDIL owns a fleet of 16 dredgers (mostly cutter
suction dredgers).


DOLPHIN OFFSHORE: CARE Assigns C Rating to INR25.50cr LT Loan
-------------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Dolphin
Offshore Enterprises India Limited (DOEIL), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long term fund
   based bank
   facilities          25.50       CARE C; Stable Assigned

   Short term non-
   fund based bank
   facilities          61.75       CARE A4 Assigned

   Short term fund
   based bank
   facilities-
   overdraft           14.00       CARE A4 Assigned

   Fixed Deposit
   Programme            5.00       CARE C (FD); Stable Assigned

Detailed rating rationale & key rating drivers

The ratings assigned to the bank facilities of DOEIL are
constrained by stretched liquidity position due to long operating
cycle, weak operating performance, predominance of a single
customer, exposure to weak subsidiaries along with intense
competition from larger players in the offshore segment. The
ratings however derive strength from the vast experience of the
promoters in the industry and track record in execution of
offshore projects.

The ability of DOEIL to efficiently manage the liquidity more
efficiently and carry out timely servicing of debt shall be the
key sensitivities.

Detailed description of key rating drivers

Key Rating Weaknesses

Weak operating performance: DOEIL has been incurring losses (both
on standalone & consolidated basis) continuously since the last 5
financial years ending March 31, 2018. The revenues and profits of
the company continued to decline due to its limitations to procure
orders amidst stiff competition from the international players.

Exposure to weak subsidiaries which are also facing challenges:
DOEIL has two wholly-owned subsidiaries; DOEIL has two wholly
owned subsidiaries Dolphin Offshore Shipping Ltd (DOSL)
and Dolphin Offshore Enterprises (Mauritius) Private Limited
(DOEML). Both the companies are into ship owning and chartering
activity. The subsidiaries have required regular financial support
in the form of loans/ guarantees from parent in order to carry out
its operations. DOEML is also involved in legal dispute with one
of the overseas charter customers who have filed for bankruptcy.

Predominance of a single customer: Fortunes of the company are
largely dependent on its major customer ONGC from where it derives
more than 95% of its total income.

Key Rating Strengths

Experienced management and diverse range of services offered:
The management of DOEIL has more than 30 years of experience in
the offshore industry. Over the years, the management has
diversified the profile of the company from providing diving
services to the underwater engineering services, vessel
management, vessel repairs and EPC contracting. Mr. Satpal Singh
(MD & CEO) is a Civil Engineer, specializing in the design of
offshore structures and has an experience of over 30 years. Mr.
Navpreet Singh, (Joint Managing Director & CFO) is a Chartered
Accountant by qualification and has over 30 years of experience.

Liquidity Analysis

Weak liquidity position: The operating cycle of DOEIL increased
from around 338 days in FY17 to 437 days in FY18. This was mainly
because a large amount of the funds were blocked in the debtors
some of which are outstanding for a long period. This has resulted
in intense pressure on existing bank limits.

Dolphin Offshore Enterprises (India) Ltd. (DOEIL) is the flagship
company of the Dolphin Group and is listed on BSE and
NSE. It is in the business of providing a complete range of
offshore support services to the oil and gas industry.


ENCORP POWERTRANS: Ind-Ra Affirms BB+ on INR240MM Capital Limits
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Encorp Powertrans
Private Limited's (EPPL) Long-Term Issuer Rating at 'IND BB+'. The
Outlook is Stable.

The instrument-wise rating actions are:

-- INR240 mil. Fund-based working capital limits affirmed with
    IND BB+/Stable/IND A4+ rating; and

-- INR310 mil. Non-fund-based working capital limits affirmed
    with IND A4+ rating.

KEY RATING DRIVERS

The affirmation reflects EPPL's continued medium scale of
operations, despite a 7.8% yoy growth in revenue to INR1,168.4
million on account of increasing order book and higher order
execution. Ind-Ra expects revenue to increase further in the near
term due to a strong order book of INR1,450 million (1.2x of FY18
revenue) as of December 2018, which is to be executed by December
2019. During 9MFY19, revenue was INR1,025 million.

The company's return on capital employed was 13% in FY18 and
EBITDA margin was average at 7.7% (FY17: 9.1%). The decline in
margin was due to the company's strategy to drive sales by
competitive bidding as well as a steep increase in price of its
key raw material (steel). Ind-Ra expects the EBITDA margin to
remain at 8%-9% in FY19.

The ratings continue to factor in EPPL's modest credit metrics.
Interest coverage (operating EBITDA/gross interest expense)
deteriorated to 1.6x in FY18 (FY17: 2.3x), on account of an
increase in gross interest expenses coupled with a decline in
operating EBITDA. However, net financial leverage (adjusted net
debt/operating EBITDA) improved to 4.0x in FY18 (FY17: 4.5x), on
account of lower utilization of the working capital limits at the
end of the year, along with scheduled debt repayments. For FY19,
Ind-Ra expects the credit metrics to remain at similar level.

EPPL had a modest liquidity position as indicated by 84% and 47%
average peak utilization of the cash credit and non-fund based
limits, respectively, for the 12 months ended December 2018.
However, during 2QFY19-3QFY19, the cash credit limits were fully
utilized. Cash flow from operations turned positive to INR64.8
million in FY18 from negative INR226 million in FY17 because of an
improvement in the net working capital cycle. Net cash conversion
cycle improved to 117 days in FY18 (FY17: 152 days), on account of
improvement in receivable and inventory days. At end-March 2018,
the company had a cash balance of INR2.8 million (FYE17: INR3.4
million).

The ratings are, however, supported by the company's promoters'
around a decade-long experience in the fabrication of power
transmission towers, resulting in secured orders, amid intense
competition.

RATING SENSITIVITIES

Negative: Decline in the revenue and/or EBITDA margin leading to
deterioration in the credit metrics, all on a sustained basis,
and/or any deterioration in the net cash conversion cycle leading
to a stressed liquidity will be negative for the ratings.

Positive: A substantial growth in revenue and/or a rise in the
EBITDA margin, leading to an improvement in the credit metrics on
a sustained basis could lead to a positive rating action.

COMPANY PROFILE

Formed in 2008, EPPL is primarily engaged in the fabrication of
power transmission towers. It also undertakes galvanization work
for fabricated steel structures. Its manufacturing facility is
located at Tarapur, Maharashtra.


GARG GRANITES: CARE Maintains B+ Rating in Not Cooperating
----------------------------------------------------------
CARE had, vide its press release dated January 18, 2019, placed
the rating of Garg Granites Private Limited (GGPL) under
the 'issuer non-cooperating' category as GGPL had failed to
provide information for monitoring of the rating and had not
paid the surveillance fees for the rating exercise as agreed to in
its Rating Agreement . GGPL continues to be non-cooperative
despite repeated requests for submission of information through e-
mails, phone calls and a letter/email dated August 28, 2018,
November 1, 2018 and November 12, 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       7.50      CARE B+; Stable; Issuer not
   Facilities                     cooperating; Based on best
                                  available information

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

Detailed description of the key rating drivers

At the time of last rating on September 21, 2017, the following
were the rating strengths and weaknesses.

Key Rating Weakness

Financial risk profile marked by modest scale of operations with
moderate profitability: The scale of operations of the company
stood at a modest level with Total Operating Income (TOI) of
INR14.25 crore and PAT of INR0.01 crore in FY17 (provisional)
along with low net worth base of INR4.52 crore as on March 31,
2017. The profitability of the company stood moderate with PBILDT
and PAT margin of 11.39% and 0.06% respectively in FY17. PBILDT
margin of the company has marginally declined by 8 bps in FY17
over FY16 mainly on account of increase in administration and
selling cost. Further, PAT margin has also declined in FY17 over
FY16 mainly due to increase in depreciation cost. Till July 31,
2017, the company has achieved a turnover of INR4.00 crore.

Leveraged solvency position and stressed liquidation position:
The capital structure of the company stood leveraged with an
overall gearing of 1.72 times as on March 31, 2017, improved from
6.32 times as on March 31, 2016 on account of decrease in total
debt and considering of unsecured loans from promoters and
relatives as a quasi-equity. Further, the debt service coverage
indicators stood weak with interest coverage ratio of 1.32 times
in FY17 and total debt to GCA stood at 23 times as on March 31,
2017. The liquidity position of the company stood working capital
intensive with 95% utilization of its working capital bank
borrowings during last 12 months ended July 2017. Further, the
operating cycle stood elongated at 297 days in FY17 mainly due to
high inventory holding period and collection period, which offset
to an extent by increase in creditor period. GGPL maintains higher
inventory level partly due to nature of the product necessitating
storage of minimum level of stocks of different types/shades and
partly due to dependence on bulky imported goods requirement to
cater demand on prompt and regular basis. Liquidity ratio stood
moderate marked by current ratio of 1.48 times and quick ratio of
0.64 times as on March 31, 2017.

Risk associated with availability of raw material and foreign
exchange fluctuation: The quality of raw material (i.e. granite
block, sandstone, lime stone, marble etc.) has a high degree of
heterogeneity since it is a natural resource extracted from mines.
The inherent risk associated with this industry is that it is very
difficult to procure the same quality of stones from the mines on
a consistent basis. The company procures raw material based on the
requirement of the order from various places, viz. local suppliers
in Rajasthan and through imports mainly from Italy, Turkey and
Egypt. The availability of the appropriate quality and quantity of
the raw material depends upon the mining operations as marbles and
stones are natural products with limited reserves. Further, the
GGPL's profitability margins are susceptible to fluctuation in
foreign exchange fluctuations, since the company import more than
50% of raw material requirement and it does not have any active
hedging policy.

Presence in a highly competitive marble industry and linkage to
cyclical real estate sector: Currently size of the Indian Marble
Industry is INR20,000 crore and it is considered to be highly
fragmented with presence of large number of organized and
unorganized player. The industry is concentrated in Rajasthan and
Gujarat and majority of the processing units are clustered around
the mining area. The entry barriers to the industry are very low
and the operating margin is susceptible to new capacity additions
in the industry. The industry is primarily dependent upon demand
from real estate and construction sector across the globe. The
real estate industry is cyclical in nature and is exposed to
various external factors like the disposable income, interest rate
scenario, etc. Any adverse movement in the macro-economic factors
may affect the real estate industry and in turn business
operations of GGPL.

Key Rating Strengths

Experienced promoters with established track record of operations
in the marble industry: Overall operations of GGPL are managed by
Mr. Sanjay Garg and Ms. Rachna Garg. Mr Sanjay Garg, director, who
have around three decades of experience in the marble industry. He
looks after finance and sales & marketing function of the company.
He gets assistance from Mr Aditya Garg who is post graduate by
qualification and executive director in the company. He has around
four years of experience with the company. Ms Rachna Garg,
director, looks after administrative function of the company and
has more than two decades of experience in the marble industry.
She is also proprietor of EAC. Further, the company has qualified
tier-II management to support the promoters.

Location advantage with ease of availability of raw material and
labour: GGPL's processing facility of marbles is situated in
Rajasthan which has the largest reserve of marbles in India with
estimated reserves of 1,100 million tons accounting of more than
91% of the total marble reserves of the country. There are many
units located in the cities of Rajasthan mainly in Udaipur,
Chittorgarh and Kishangarh which are engaged in the business of
mining and processing of marbles. Further, skilled labour is also
easily available by virtue of it being situated in the marble belt
of India. Further, the company has import license. The company
procures marble blocks from domestic market as well as imports the
same from Italy, Egypt and Turkey for processing.

Kishangarh (Rajasthan) based Garg Granites Private Limited (GGPL)
was incorporated in 1993 by Mr Sanjay Garg along with his family
members. GGPL is engaged in the business of processing of marble
blocks as well as trading of finished marble slabs and tiles. The
processing plant of the company is located at Kishangarh and has
an installed capacity to process 3.00 Lakh Cubic Feet Per Annum
(LCFPA) of marble slabs and tiles. The company procures majority
of raw material from Italy, Egypt and Turkey.


GARG INDUSTRIES: Ind-Ra Retains BB- LT Rating in Non-Cooperating
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Garg
Industries' (GI) Long-Term Issuer Rating of 'IND BB- (ISSUER NOT
COOPERATING)' in the non-cooperating category and has
simultaneously withdrawn it.

The instrument-wise rating actions are:

-- INR135.00 mil. Fund-based working capital limits maintained
    in 'IND BB- (ISSUER NOT COOPERATING)' and withdrawn; and

-- INR5.00 mil. Non-Fund-based maintained in IND A4+ (ISSUER NOT
    COOPERATING) before being withdrawn.

KEY RATING DRIVERS

GI 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 rating as the agency has received a no-
objection certificate from the rated facility's lender.

COMPANY PROFILE

Established in 1948 and managed by BM Garg, Garg Industries
manufactures and exports steel hinges (square butt hinges, back
flap hinges and piano hinges), staples, nuts, bolts, brackets and
others.


GOODWEAR FASHION: Ind-Ra Affirms 'BB' on INR4.53MM Loan
-------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Goodwear Fashions
Pvt. Ltd.'s (GFPL) Long-Term Issuer Rating at 'IND BB'. The
Outlook is Stable.

The instrument-wise rating actions are:

-- INR88 mil. Fund-based limits affirmed with IND BB/Stable/
    IND A4+ rating;

-- INR4.53 mil. (reduced from INR29.4 mil.) Term loan due on
    October 2022 affirmed with IND BB/Stable rating; and

-- INR11 mil. (increased from INR1 mil.) Non-fund based affirmed
    with IND A4+ rating.

KEY RATING DRIVERS

The affirmation reflects an improvement in GFPL's revenue and
credit metrics. Revenue grew to INR338.67 million in FY18 (FY17:
INR336.70 million), on account of an increase in sales volume.
Interest coverage (operating EBITDA/ gross interest expense)
improved to 3.27x in FY18 (FY17: 2.27x) on the back of a decline
in interest cost, while net leverage (gross debt/ operating
EBITDA) improved to 2.50x (2.78x) because of decline in total
debt.

However, the scale of operations remains small and metrics
moderate.

Also, the company continues to report modest EBITDA margin because
of high competition. The margins fell to 9.40% in FY18 (FY17:
9.75%) due to an increase in other expense and personnel expenses.
Its return on capital employed was 7.72% in FY18 (FY17: 7.63%).

The ratings continue to factor in GFPL's moderate liquidity
position, as reflected by 89.03% average utilization of working
capital limits over the 12 months ended December 2018. Also, its
net working capital cycle elongated to 118 days in FY18 (FY17: 113
days) due to a rise in inventory days and debtor days.

However, the ratings are supported by the company's directors'
more than two decades of experience in the garment industry.

RATING SENSITIVITIES

Negative: A decline in EBITDA margin leading to deterioration in
credit metrics, all on a sustained basis, could lead to a negative
rating action.

Positive: Sustained revenue growth, along with improved credit
metrics, could lead to a positive rating action.

COMPANY PROFILE

Incorporated in 1988, GFPL manufactures high-end woven and knitted
interlinings. Its 800,000 meters per month capacity is located at
Uttarakhand. It is owned and managed by Ved Paul Kapoor and Vishal
Kapoor.


JALARAM INDUSTRIES: CARE Moves 'B+' Rating to Not Cooperating
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Jalaram
Industries (JI) to Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank       6.90      CARE B+; Stable, Issuer Not
   Facilities                     Cooperating; Based on best
                                  Available Information

CARE has been seeking information from JI to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, December
18, 2018 and January 8, 2019 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 JI's
bank facility and 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 ratings.

The ratings take into account the small scale of operations with
low profitability margins, moderate capital structure and weak
debt coverage indicators. The rating is further constrained by
working capital intensive nature of operation, vulnerability to
fluctuation in prices of raw material, its presence in highly
fragmented and regulated industry, and partnership nature of
constitution.

The rating, however, derives strength from the long track record
of the operations, experienced partners and location advantage
emanating from proximity to raw material.

Detailed description of the key rating drivers

At the time of last rating on June 27, 2018 the following were the
rating strengths and weaknesses.

Key Rating Weaknesses

Small scale of operations with low profitability margins: The
income from operations of the firm though improved
remained small at INR41.03 crore in FY17 and total capital
employed of INR7.79 crore as on March 31, 2017, thus limiting
financial flexibility of the company in times of stress. Moreover,
the company has achieved a turnover of INR67.71 crore in FY18
(Provisional) showing a y-o-y growth of 66%. With business
operations of processing of pulses, entailing low value
additions, the entity's profit margins stood low.

Moderate capital structure and weak debt coverage indicators: The
capital structure of the firm remained moderate with overall
gearing ratio of 1.09x as on March 31, 2017 owing to dependence on
external borrowings. Moreover, with moderate gearing level and low
profit margins, the debt coverage indicators of the entity stood
weak.

Working capital intensive nature of operation: The operations of
the firm are working capital intensive in nature with gross
current asset days of 89 days during FY17 with funds majorly
blocked in inventory. The working capital requirements are met by
the cash credit facility availed by the entity utilization of
which remained high.

Vulnerability to fluctuation in raw material prices: 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 lead to volatility in raw material prices.

Presence in a highly fragmented and regulated industry: The
competitive nature of agro-product processing industry due
to low entry barriers, high fragmentation and the presence of a
large number of players in the organized and unorganized
sector translate in inherent thin profitability margins. Further,
the raw material prices are regulated by government to
safeguard the interest of farmers, which in turn limits the
bargaining power of the millers.

Partnership nature of constitution: Being a partnership firm, JI
is exposed to the risk of withdrawal of capital by partners
and limited excess to financial market. This limits the financial
flexibility of the firm.

Key Rating Strengths

Experienced partners with long track record of operations: Ji is
currently managed by Mr Jayesh H Chandrana, Mr Haribhai N
Chandrana and Mr Arunbhai N Chandrana, having an average
experience of more than three and a half decades in agro
industries. The partners look after the overall function of the
firm with adequate support from a team of experienced
professionals. Long experience of the partners has supported the
business risk profile of the entity to a large extent. Further,
the firm is in the business since more than one and a half
decades, which resulted in establishing good relationship with its
customers and suppliers.

Locational advantage emanating from proximity to raw material:
JI's unit has close proximity to local grain markets of Wardha,
major raw material procurement destinations for the entity. This
ensures easy raw material access and smooth supply of raw
materials at competitive prices and lower logistic expenditure for
JI.

JI based out of Wardha, Maharashtra is a partnership concern was
established in January 2001. The entity is engaged in the business
of processing of pulses at its processing facility located at
Wardha, Maharashtra with an installed capacity of processing 50
tonnes of pulses per day.


JAYA POULTRY: Ind-Ra Migrates 'B' LT Rating to Non-Cooperating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Jaya Poultry
Farm'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:

-- INR85.1 mil. Term loan due on September 2027 migrated to non-
    cooperating category with IND B (ISSUER NOT COOPERATING)
    rating; and

-- INR40 mil. Fund-based working capital 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
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

Incorporated in November 2017, Jaya Poultry Farm is a partnership
firm engaged in the business of poultry layer farming.


JET AIRWAYS: SBI Set to Acquire 15% Stake in Carrier
----------------------------------------------------
Bloomberg News reports that Jet Airways India Ltd., the carrier
that is struggling under a pile of debt, may get some respite.

India's largest lender State Bank of India is set to swap part of
its loans into a stake of at least 15 percent in Jet Airways,
people with knowledge of the matter said. Other creditors to the
carrier also plan similar conversions of some debt into equity to
help keep the carrier alive, they said, Bloomberg relays.

Under a new rescue proposal for India's biggest full-service
airline, founder Chairman Naresh Goyal's stake would fall below 20
percent from 51 percent currently, the people said, asking not to
be identified as the information isn't public, Bloomberg relays.
Etihad Airways PJSC, the foreign partner with a 24 percent stake,
is expected to infuse additional funds to take its holding to more
than 40 percent, they said.

Bloomberg says an agreement that keeps the beleaguered airline
flying would safeguard about 23,000 jobs and save Prime Minister
Narendra Modi the embarrassment of a collapse months before
general elections. The Mumbai-based carrier, which has struggled
with profitability in an increasingly competitive market, has
piled on $1.1 billion in debt and fallen behind on paying loans
and salaries, Bloomberg discloses.

"Lenders led by SBI have managed the process quickly and with a
strategic intent of delivering a rescue package which works for
the stakeholders," Bloomberg quotes Kapil Kaul, South Asia head of
CAPA Centre for Aviation, as saying. "The key will be the
composition of the board and quality of the new directors and the
overall governance architecture. This to me is most critical."

A final decision hasn't been taken as a deal is still being
negotiated, the people said, Bloomberg relays.

Bloomberg notes that Jet Airways has called an extraordinary
general meeting on Feb. 21 in Mumbai, to seek shareholders
approval to increase its authorized share capital by issuing
equity and preferred shares.

The company's shares have fallen 68 percent in the past year
making it the worst performing share in the BI Asia Pacific
Airlines index. They dropped 0.7 percent on Jan. 29, Bloomberg
notes.

According to Bloomberg, the Mumbai-based carrier, which started
operations more than two decades ago after India ended state
monopoly in aviation, has been under pressure to offer discounted
fares on its premium flights with the entry of budget carriers.
Market leader IndiGo and others, with their on-time, no-frills
services, lured customers away from Jet, resulting in its slide
into losses, the report says.

Bloomberg says Jet Airways hasn't seen profit in all but two of
the past 11 years, and has seen its market share more than halve
to about 14 percent from its heyday.

It wasn't just the competition that weighed on its earnings. The
highest fuel prices in Asia, thanks to local taxes of as much as
30 percent, and fluctuations in oil prices dealt a blow as well,
Bloomberg states. The tough conditions led to the collapse of
Kingfisher Airlines earlier this decade, while state-owned Air
India has survived on government bailouts. Budget carrier SpiceJet
Ltd. ran out of cash in 2014 before it was rescued by one of its
founders.

The carrier is working on "various options on the debt-equity mix,
proportion of equity infusion," the airline said in a statement on
Jan. 16, adding the restructuring may lead to a change in the
board of the company, adds Bloomberg.

                        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
Dec. 28, 2018, ICRA revised the ratings on certain bank
facilities of Jet Airways (India) Limited to [ICRA]C from
[ICRA]B. The rating downgrade considers delays in the
implementation of the proposed liquidity initiatives by the
management, further aggravating its liquidity, as reflected in
the delays in employee salary payments and lease rental payments
to the aircraft lessors. Moreover, the company has large debt
repayments due over the next four months (December-March) of
FY2019 (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 is a key rating
sensitivity.  Moreover, the company continues to witness a stress
in its operating and financial performance.


JET AIRWAYS: May Turn to Adani Group for Investment
---------------------------------------------------
Manisha Singhal at Financial Express reports that Jet Airways
promoter-chairman Naresh Goyal is understood to have approached
the Adani Group with a proposal to invest in his ailing airline,
which is in dire need of funds. As is known, Jet was earlier in
talks with Tata Group but it seems the talks did not lead to any
concrete result with the latter keen on investing only if Goyal
relinquished his control over the carrier. FE could not confirm
with the Adani Group if it has been approached by the Jet
promoters with a bailout plan.

According to FE, the latest development comes after earlier this
month the Abu Dhabi-based Etihad Airways put strict conditions for
infusing funds into the cash-strapped airline. Etihad, which
currently holds 24% stake in Jet, has offered an investment
proposition in the carrier at INR150 per share, a huge discount to
Jet's current trading price, to raise its stake to 49% but wants
exemption from an open offer, FE relays.

FE relates that Etihad also wanted that Goyal's stake should come
down to around 22% from the current 51% and he and his family
should have no role in the running of the airline. The conditions
were outlined in a letter by Etihad CEO Tony Douglas to the State
Bank of India chairman Rajneesh Kumar. The SBI is the lead lender
to Jet.

In response to Etihad's offer, Goyal also wrote to the SBI
chairman offering to invest up to INR700 crore in the airline as
well as pledge all his shares on the condition that his stake does
not fall below 25%. He also said that should it fall below 25%, he
should be given a chance to raise it without having to go through
the mandatory open offer, according to the report.

On December 31, 2018, Jet had defaulted on a loan repayment to the
consortium of banks. Sources in the know of development told FE
that with lessors grounding Jet's plane due to non-payment, Goyal
has begun scouting for alternate sources of funds. On Tuesday, the
lessors grounded at least four of Jet's aircraft forcing the
airline to cancel flights.

FE says Adanis have earlier explored investing in the aviation
space and were looking at budget carrier SpiceJet when former
promoters Marans were looking for a buyer almost five years ago.
Jet Airways declined comment over the development. In response to
FE's query, Etihad said that it does not comment on rumours and
speculation.

Jet, in a corporate announcement on Jan. 28, informed the stock
exchanges of an EGM to be held on February 21 to approve increase
in its authorised share capital from INR200 crore to INR2,200
crore, FE adds.

                        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
Dec. 28, 2018, ICRA revised the ratings on certain bank
facilities of Jet Airways (India) Limited to [ICRA]C from
[ICRA]B. The rating downgrade considers delays in the
implementation of the proposed liquidity initiatives by the
management, further aggravating its liquidity, as reflected in
the delays in employee salary payments and lease rental payments
to the aircraft lessors. Moreover, the company has large debt
repayments due over the next four months (December-March) of
FY2019 (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 is a key rating
sensitivity.  Moreover, the company continues to witness a stress
in its operating and financial performance.


JUNEJA SONS: CARE Assigns 'B' Rating to INR9.12cr LT Loan
---------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Juneja
Sons Steel Processors (JSS), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities           9.12       CARE B; Stable Assigned

Detailed Rationale & Key Rating Drivers

The rating assigned to the bank facilities of JSS is constrained
by small scale of operations along with low PAT margin, leveraged
capital structure, weak debt coverage indicators and working
capital intensive nature of operations. The rating is further
constrained by firm's presence in highly fragmented and
competitive nature of industry and proprietorship nature of
constitution. The rating, however, take comfort from the
experience of proprietor.

Going forward, the ability of JSS to profitably increase its scale
of operations while improving its overall solvency position
and efficiently managing its working capital requirements would
remain the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Weaknesses

Small scale of operations with low net-worth base and
profitability margins: The firm's scale of operations remained
small marked by Total Operating Income (TOI) of INR25.93 crore in
FY18 (refers to the period of April 1 March 31)and net-worth base
of INR1.48 crore as on March 31, 2018. Additionally, JSS's gross
cash accruals were relatively small at INR0.52 crore for FY18. The
small scale limits the firm's financial flexibility in times of
stress and deprives it from scale benefits. Furthermore, the firm
has reported total operating income of INR10.00 crore in 8MFY19
(Provisional). The PBILDT margin stood moderate at 5.62% in FY18.
The PBILDT margin improved from 4.03% in FY17 owing to improved
sales realization. However, PAT margin stood below unity level
during last three financial years owing to high interest and
depreciation costs.

Leveraged capital structure and weak debt coverage indicators: JSS
has a leveraged capital structure marked by overall gearing ratio
of 6.22x as on March 31, 2018 on account of high dependence upon
borrowings to meet various business requirements and low net-worth
base. The overall gearing ratio deteriorated from 1.53x as on
March 31, 2017 due to additional loans availed in FY18 along with
higher utilization of working capital limits as on last balance
sheet date and also due to withdrawal of funds amounting to
INR1.86 crore in FY18.  Furthermore, the debt coverage indicators
stood weak marked by interest coverage ratio of 1.55x in FY18 and
total debt to GCA ratio of 17.73x for FY18. (PY: 1.57x and 12.19x
respectively).

Working capital intensive nature of operations: The average
operating cycle of the firm stood at 87 days for FY18 (PY: 66
days). The firm is required to maintain adequate inventory of
finished goods to meet the bulk demand of customers resulting into
average inventory period of 51 days for FY18 (PY: 40 days). The
firm offers a collection period of around two and a half months to
its customers due to its presence in competitive nature of
industry which resulted into average collection period of 71 days
for FY18 (PY: 69 days). On the supplier side, the firm usually
deals on cash basis, however, receives a credit period of around
3-4 months from few of its suppliers resulting into average
creditor period of 34 days for FY18 (PY: 42 days). The working
capital limit remained fully utilized for the last 12 months
period ended November, 2018.

Constitution of the entity being a proprietorship firm: JSS's
constitution as a proprietorship firm has the inherent risk of
possibility of withdrawal of the proprietor's capital at the time
of personal contingency and firm being dissolved upon the
death/retirement/insolvency of proprietor.

Highly fragmented and competitive nature of industry: The spectrum
of the iron and steel industry in which the firm operates is
highly fragmented and competitive marked by the presence of
numerous large and small players in India. Hence, the players in
the industry do not have any pricing power and are exposed to
competition induced pressures on profitability. This apart, its
products are subjected to the risks associated with the industry
like cyclicality and price volatility.
Key rating strengths

Experienced proprietor: JSS was established in 2010 and its day to
day operations are looked after by the proprietor himself. Mr.
Jagmeet Singh Juneja has an industry experience of almost two
decades gained through his association with JSS and Juneja Sheets
Private Limited (JSP; from 2000-2012; engaged in similar business
operations). The proprietor has adequate acumen about various
aspects of business, which is likely to benefit the firm in the
long run.

Juneja Sons Steel Processors (JSS) was established in April 2010
as a proprietorship concern and is currently being managed by Mr.
Jagmeet Singh Juneja. JSS is engaged in the processing (mainly
cutting) of iron and steel products like H.R. and C.R. coils,
sheets, strips, bars, plates, channels, angles etc. at its
facility located at Ludhiana, Punjab, having a total processing
capacity of 70,000 tonnes of products per annum, as on September
30, 2018. Besides JSS, the proprietor is engaged in another group
concern namely, Radiant Auto Comp (RAC) was established as
partnership firm in 2017 and is engaged in manufacturing of auto
components.


K.K LEISURES: CARE Migrates B Rating to Not Cooperating Category
----------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of K.K
Leisures and Tourism International Private Limited (KKLTIPL) to
Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long term Bank      11.00       CARE B; Stable; Issuer Not
   Facilities                      Cooperating; Based on best
                                   available information

CARE has been seeking information from KKLTIPL to monitor the
rating vide e-mail communications dated October 11, 2018, November
7, 2018, December 20, 2018 and numerous phone calls. However,
despite CARE's repeated requests, the company has not provided the
requisite information for monitoring the rating. In the absence of
minimum information required for the purpose of rating, CARE is
unable to express opinion on the rating. In line with the extant
SEBI guidelines CARE's rating on KKLTIPL'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.

Detailed description of the key rating drivers

At the time of last rating on September 25, 2017, the following
were the rating strengths and weaknesses.

Key Rating Weakness

Small Scale of operations: KKLTIPL owns and operates hotels across
Kerala. The major chunk of the revenues is collected through the
sales of liquor, which contribute around 50% of the total sales in
these hotels followed by the room rent which contribute around 30%
of the total revenues.

High regulatory risk in hospitality business: The hospitality
business of the company is exposed to high regulatory risk,
evident from the ban on serving of liquor in 3 and 4 star hotels
in Kerala during FY15 and the ban on liquor on National highways
during FY17.

Weak capital structure: The networth of the company eroded and
stood negative at INR0.09 crore as on March 31, 2017 (Prov) as a
result of declining income due to the ban on liquor on 3 and 4
star hotels in Kerala. The interest coverage also stood low at
0.58x (PY: 0.11x) during FY17.

Limited Geographical Diversification: The firm primarily has all
its operations concentrated in the state of Kerala. In FY 15
Kerala faced the ban on serving liquor in 3 stars and 4 star
hotels along with the closure of 732 bars in Kerala and then again
in FY16 the sales of the firm went down on account of the ban of
liquor on National highways which affected the sales of liquor in
the hotels of the concerned firm which heavily depend on the sales
of liquor for generating revenues.

Key Rating Strengths

Vast experience of promoters and strong group support:
K.K. Leisures and Tourism International Private Limited (KKLTIPL)
is a part of KK Group of companies with KK Builders (rated CARE
BB; Stable/CARE A4) as their flagship entity. KKLTIPL is managed
by company's Managing Director Mr.K.K. Mohandas and director
Mr.K.K. Radhakrishnan. The promoters have an experience of more
than 2 decades of managing construction and hospitality business
in the region of Kerala. The promoters constantly provide support
for the working capital requirements of the company with timely
infusion of funds in the form of unsecured loans.

KKLTIPL, incorporated on September 17, 2017 is engaged in the
hoteling business and has star hotels with brand name BROAD BEAN.
The company owns and operates hotels across Kerala which includes
Resort & Ayurvedic Spa with 5 star facilities, Munnar, Idukki
district, Four Star hotel at Vytilla Kochi in Ernakulam District
(erstwhile Nyle Plaza), Three star hotel at Chakkrakkal in Kannur
district and Three Star hotel at Kakkayangad in Kannur district.
The day to day operation of the company is managed by Mr. K.K.
Mohandas and Mr. K.K. Radhakrishnan.


K&R RAIL: Ind-Ra Lowers Long Term Issuer Rating to 'BB+'
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded K&R Rail
Engineering Limited's (KREL, erstwhile Axis Rail India Limited)
Long-Term Issuer Rating to 'IND BB+' from 'IND BBB-' while
migrating the ratings to the non-cooperating category. The Outlook
is Stable. The issuer did not participate in the surveillance
exercise despite continuous requests and follow ups by the agency.
Thus, the rating is on the basis of best available information.
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 downgraded and migrated to
    non-cooperating category with IND BB+ (ISSUER NOT
    COOPERATING)/Stable/IND A4+ (ISSUER NOT COOPERATING) rating;
     and

-- INR415 mil. Non-fund-based facilities downgraded and migrated
    to non-cooperating category with IND A4+ (ISSUER NOT
    COOPERATING) rating.

Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best available information.

KEY RATING DRIVERS

The downgrade reflects Ind-Ra's expectation that KREL's credit
profile would deteriorate in FY19 because of a fall in revenues
since end-FY18 owing to slower execution of orders in 1HFY19. The
company had an order book of INR1,244 million to be executed by
1QFY19; of this, it was able to execute only INR626.9 million till
end-1HFY19. As a result, the revenue fell to INR308 million in
1HFY19 (1HFY18: INR591.5 million; FY18: INR807 million; FY17:
INR1,083 million).

The company's interest coverage deteriorated to 1.7x in FY18
(FY17: 3.9x) because of a decline in the absolute EBITDA to INR11
million (INR18 million) due to the slow execution of orders. The
net leverage improved to a negative 7.3x in FY18 (FY17: 0.2x) due
to an increase in the cash balance to INR85 million (INR0.01
million).

The ratings are constrained by the company's weak margins. The
return on capital employed decreased to a negative 1% in FY18
(5%), and the EBITDA margin declined to 1.4% (1.6%) due to an
increase in overheads.

The ratings also reflect a decline in the company's cash flow from
operations to a negative INR144 million in FY18 (FY17: INR101
million) due to a stretched net cash conversion cycle of 169 days
in FY18 (FY17: 45 days). However, the cycle improved to 152 days
in 1HFY19.

The ratings have been migrated to the non-cooperating category as
the company has not provided Ind-Ra with revised projection data,
management certificate regarding timely debt servicing, rationale
for the above changes in financials and information related to
working capital utilization for the last 12 months.

RATING SENSITIVITIES

Positive: An improvement in the revenue and profitability, leading
to an improvement in the credit metrics, on a sustained basis,
will be positive for the ratings.

Negative: Any further decline in the revenue or profitability,
leading to deterioration in the credit metrics or tightness in
liquidity, will be negative for the ratings.

COMPANY PROFILE

Incorporated in July 2010, KREL constructs railway sidings for
private companies.


KISHORE INFRASTRUCTURES: Ind-Ra Lowers LT Issuer Rating to BB+
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Kishore
Infrastructures Private Limited's (KIPL) Long-Term Issuer Rating
to 'IND BB+' from 'IND BBB-'. The Outlook is Stable.

The instrument-wise rating actions are:

-- INR160 mil. Fund-based facilities downgraded with
    IND BB+/Stable/IND A4+ rating;

-- INR800 mil. Non-fund-based facilities downgraded with IND A4+
    rating; and

-- INR40 mil. Proposed fund-based facilities* downgraded with
    Provisional IND BB+/Stable/Provisional IND A4+ rating.

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

KEY RATING DRIVERS

The downgrade reflects deterioration in KIPL's credit metrics to a
modest level in FY18 from the comfortable level in FY17 and lower
revenue in FY18 and 1HFY19 than Ind-Ra's expectations, as
uncertainty over the goods and services tax slab affected order
book execution. The agency expected revenue growth in view of a
strong order book position of the company as of October 2017
KIPL's interest coverage (operating EBITDA/gross interest expense)
was 1.6x in FY18 (FY17: 3.6x) and net leverage (total adjusted net
debt/operating EBITDA) was 1.5x (negative 0.2x). The deterioration
in the credit metrics was due to a decline in absolute EBITDA to
INR47 million in FY18 (FY17: INR90 million), an increase in
adjusted net debt to INR74 million (INR58 million) and a rise in
gross interest expenses to INR29 million (INR25 million).

KIPL's revenue declined 18% yoy to INR678 million in FY18 and
stood at INR533 million in 1HFY19. The scale of operations
declined to small from modest.

The ratings are constrained by the modest liquidity of KIPL,
indicated by an average fund-based limit utilization of 93% and
non-fund based limit utilization of 86% for the 12 months ended
December 2018. The company's cash flow from operations remained
negative at INR90.16 million in FY18 (FY17: INR2.47 million),
mainly due to changes in working capital.

The ratings continue to be constrained by KIPL's exposure to the
concentration risk, given the company largely executes rural
electrification work-related projects in Maharashtra, Madhya
Pradesh, Uttar Pradesh, Jharkhand and Rajasthan.

The ratings, however, are supported by KIPL's healthy EBITDA
margin, which was 6.89% in FY18 (FY17: 10.87%). The fall in the
margin was due to an increase in variable cost. In addition, the
company's return on capital employed was 20% in FY18 (FY17: 64%).

The ratings are also supported by the promoters' experience of
over eight years in undertaking rural electrification works.

RATING SENSITIVITIES

Negative: A further stretch in the liquidity position and a
decline in the revenue and/or the EBITDA margin, leading to
deterioration in the credit metrics, on a sustained basis, will be
negative for the ratings.

Positive: A substantial improvement in the revenue, the EBITDA
margin and the credit metrics, on a sustained basis, along with
the procurement of new orders, providing medium-term revenue
visibility, could lead to a positive rating action.

COMPANY PROFILE

Incorporated in May 2010, KIPL is mainly engaged in the execution
of electrical distribution, transmission and civil construction
projects.


L.C. INDUSTRIES: CARE Assigns B+ Rating to INR5cr LT Loan
---------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of L.C.
Industries Private Limited (LCIP), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long Term Bank       5.00       CARE B+; Stable Assigned
   Facilities

   Long term/Short      3.00       CARE B+; Stable/CARE A4
   Term Bank                       Assigned
   Facilities

Detailed rationale and key rating drivers

The rating assigned to the bank facilities of LCIP is constrained
by its small though growing scale of operations, leveraged capital
structure and coverage indicators, working capital intensive
nature of operations and weak liquidity indicators. The rating is
further constrained on account of fragmented and competitive
nature of industry. The rating, however, draws comfort from
experienced management and moderate profitability margins.

Going forward; ability of the company to increase the scale of
operations while improving its profitability margins and
capital structure shall be its key rating sensitivity.

Detailed description of the key rating drivers

Key Rating Weakness

Small though growing scale of operations: The operations of the
company remained small as evident from total operating income and
gross cash accruals of INR11.76 crore and INR0.12 crore,
respectively in FY18 (refers to the period April 1 to March 31).
Furthermore, the company's net worth base also remains relatively
small at INR0.12 crore as on March 31, 2018. The small scale
limits the company'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 is growing
continuously. For the period FY16-FY18, LCI's total operating
income grew from INR1.15 crore in FY17 to INR11.76 in FY18 crore
reflecting a compounded annual growth rate (CAGR) of 219.78%
owing to higher quantity sold.

Leveraged capital structure and coverage indicators: The capital
structure of the company stood leveraged owing to higher
dependence on external borrowings and small net worth base as
marked by overall gearing which stood at 40.09x for the balance
sheet date of FY18. Further, higher dependence on external
borrowings resulted in weak coverage indicators as marked by
interest coverage ratio and total debt to GCA of 1.50x and 40.85x
during FY18.

Working capital intensive nature of operations and weak liquidity
indicators: Operations of the company are working capital
intensive in nature marked by operating cycle of 63 days. The
company has to maintain minimum inventory of its products to meet
the demand of its customers resulting in inventory period of 65
days for FY18. Though the company usually sells for cash but to
some customers it gives credit upto 16 days while procuring the
raw material on cash basis and getting a low credit period of a
month from the suppliers. The working capital limits of the
company were almost fully utilized during the past 12 months ended
November 30, 2018.  Further, the liquidity indicators stood weak
as marked by current and quick ratio of 0.96x and 0.87x
respectively as on March 31, 2018. The cash and bank balances
stood at INR2.35 crore as on March 31, 2018.

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. The raw material (wheat) prices are
regulated by government to safeguard the interest of farmers,
which in turn limits the bargaining power of the wheat millers.

Key Rating Strengths

Experienced Management: LCI's operations are currently being
managed by Mr. Sanjay Kesarwani and Mr. Shobhit Kesarwani. Mr.
Sanjay Kesarwani is graduate by qualification and has accumulated
experience of around two decades through his association with the
group concern L.C Foods Limited. Mr. Shobhit Kesarwani is graduate
by qualification and has an experience of around one and half
decade through his association with the group concern. In
addition, the operations of the company are smoothly carried out
by a team of managers and professionals who have requisite
experience in their respective fields.

Moderate profitability margins

The profitability margins of the company stood moderate as marked
by PBILDT margin, which stood at 3.04% in FY18. However, high
financial charges and depreciation cost restricted the net
profitability of the company at 1.01% in FY18.

Uttar Pradesh based, L. C. Industries Private Limited (LCI) was
established in 2013 as a private company and is currently managed
by Mr. Sanjay Kesarwani and Mrs. Shobhit Kesarwani. LCI is engaged
in the trading of wheat flour (atta), refined wheat flour (maida),
bran, semolina (suji) and choker. The company procures these
traded products from farmers and market in Uttar Pradesh and
further sells these products to the traders who are situated in
Uttar Pradesh nearby regions.


LONDON STAR: CARE Migrates D Rating to Not Cooperating Category
---------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of London
Star Diamond Company (India) Private Limited (LSDCPL) to Issuer
Not Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term/Short     10.80       CARE D/CARE D; ISSUER NOT
   Term Bank                       COOPERATING; Based on best
   Facilities                      available information

   Short-term Bank     12.85       CARE D; ISSUER NOT
   Facilities                      COOPERATING; Based on best
                                   available information

CARE has been seeking information from LSDCPL to monitor the
ratings vide e-mail communications/ letters dated January 4, 2019,
January 9, 2019 and January 10, 2019 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the ratings. In
the absence of minimum information required for the purpose of
rating, CARE is unable to express opinion on the rating. In line
with the extant SEBI guidelines CARE's rating on LSDCPL's bank
facilities will now be denoted as CARE D/CARE D; ISSUER NOT
COOPERATING.

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

Detailed description of the key rating drivers

At the time of last rating on July 13, 2017, the following were
the rating strengths and weaknesses (updated for the
information available from Banker):

Key Rating Weaknesses

Delay in debt servicing: As per the interaction with the banker,
the account has turned NPA.

Incorporated in 1964, London Star Diamond Company (India) Private
Limited (LSDCPL) is engaged in trading of cut and polished
diamonds. It also does trading of rough diamonds. The company is
not a DTC sight-holder and it procures the diamonds primarily from
the domestic market and also imports from Belgium. The major
customers of LSDCPL for its cut and polished diamonds comprise of
wholesalers who in turn sell the polished diamonds to jewellery
manufacturers. LSDCPL is predominantly an export oriented firm
with around 90% of its overall revenues earned from exports
(mainly in Japan, Hongkong and Belgium) and remaining from
domestic market.


METTU CHINNA: CARE Migrates B Rating to Not Cooperating Category
----------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Mettu
Chinna Mallareddy Godowns (MCMG) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       7.27       CARE B; Stable; Issuer Not
   Facilities                      Cooperating; Based on best
                                   available information

   Short-term           0.23       CARE A4; Issuer Not
   Bank Facilities                 Cooperating; Based on best
                                   available information

CARE has been seeking information from MCMG to monitor the rating
vide e-mail communications/letters dated September 26, 2018,
October 3, 2018, December 24, 2018 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
the absence of minimum information required for the purpose of
rating, CARE is unable to express opinion on the rating. In line
with the extant SEBI guidelines, CARE has reviewed the rating on
the basis of publicly available information which however, in
CARE's opinion is not sufficient to arrive at fair rating. The
rating on Mettu Chinna Mallareddy Godowns'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.

Detailed description of the key rating drivers

At the time of last rating October 18, 2017 the following were the
rating strengths and weaknesses:

Key Rating Weakness

Small scale of operations with low net worth base and fluctuating
total operating income: The firm has a track record of around six
years, however, the total operating income (TOI) of the firm
remained low at INR2.04 crore in FY17 (Provisional) with low net
worth base of INR6.77 crore as on March 31, 2017 (Provisional) as
compared to other peers in the industry. Furthermore, the total
operating income of the MCMG decreased from INR1.88 crore in FY15
to INR0.38 crore in FY15 due to low occupancy level of warehouse
on account of reduced crop in FY16. However, the total operating
income of the firm increased to INR2.04 crore due to increase in
occupancy level from Andhra Pradesh State Warehousing Corporation.
During H1FY18, the firm has achieved total operating income of
INR1.20 crore.

Weak debt coverage indicators: The debt coverage indicators of the
firm remained weak during review period marked by total debt/GCA
stood at 46.92x due to low cash accruals and high debt levels (the
firm availed term loan for construction of warehouse and lending
the same for rental purpose where the profit levels are thin). Due
to the above said factor the PBILDT interest coverage also
remained weak and stood at 1.46x in FY17 (Provisional).

Highly fragmented industry with intense competition from large
number of players: The firm is engaged in providing ware house for
lease rental purpose to Andhra Pradesh State Warehousing
Corporation which is highly fragmented industry due to presence of
large number of organized and unorganized players in the industry
resulting in huge competition.

Constitution of the entity as a partnership firm with inherent
risk of withdrawal of capital: MCMG, being a partnership firm, is
exposed to inherent risk of the partner's capital being withdrawn
at time of personal contingency and firm being dissolved upon the
death/retirement/insolvency of the partners. Moreover, partnership
firm business has restricted avenues to raise capital which could
prove a hindrance to its growth

Geographic concentration risk: The client profile of MCMG is
limited to the state of Andhra Pradesh, exposing the firm to
geographical concentration risk.

The nine godowns of the firm are all located in Andhra Pradesh and
concentrated in area surrounding East Godavari District.

Key Rating Strengths

Reasonable track record of the entity and experience of the
partners for more than two decades: MCMG was established in the
year 2011 and promoted by Mr. Ch. Venkata Krishna Rao (Managing
Partner) along with his wife Mrs. Ch. Lakshmi. Mr. Ch. Venkata
Krishna Rao is a qualified post graduate and has more than two
decades of experience in the trading of chillies.

Satisfactory profit margins albeit fluctuations during review
period: The PBILDT margin of the firm has been satisfactory,
however, fluctuating during review period. The firm has incurred
cash losses during FY16 due to decrease in crop productivity
resulted in decline in rental income from warehouse. However, the
firm turnaround from loss to profit and achieved PAT margin of
5.98% in FY17.

Moderate capital structure along with Comfortable operating cycle
days: The capital structure of the firm improved and remained
moderate on account of debt comprise of only long term loan. The
overall gearing ratio improved from 1.18x as on March 31, 2016 to
0.85x as on March 31, 2017 (Provisional) due to repayment of term
loan and unsecured loans coupled with increase in tangible
networth. The operating cycle of the firm remained comfortable
during review period. The firm is engaged in providing warehouse
for rental purpose hence there will not be any creditors further
the firm receives the payment from its customers first week of
every month. Due to the above said factor, the operating cycle
remained comfortable.

Andhra Pradesh based, Mettu Chinna Mallareddy Godowns(MCMG) was
established as a partnership firm in the year 2011 and
promoted by Mr. Ch. Venkata Krishna Rao and Mrs. Ch. Lakshmi. The
firm is engaged in providing ware house for lease rental
purpose to Andhra Pradesh State Warehousing Corporation. The
property is built on total land area of 18 acres comprising of
nine godowns having storage capacity for food crops like paddy
around 45000 MT and each godown having storage capacity of
5000MT.


OM SREE PAPERTEK: Ind-Ra Affirms BB on INR225MM Loan Due 2024
-------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Om Sree Papertek
Private Limited's (OSPPL) Long-Term Issuer Rating at 'IND BB'. The
Outlook is Stable.

The instrument-wise rating actions are:

-- INR225 mil. Term loan due on March 2024 affirmed with
    IND BB/Stable rating;

-- INR180 mil. Fund-based limit assigned with IND BB/Stable/
    IND A4+ rating; and

-- INR20 mil. Non-fund-based limit assigned with IND A4+ rating.

KEY RATING DRIVERS

The affirmation reflects the timely commencement of OSPPL's kraft
paper manufacturing unit in July 2018 with a slight cost overrun
of INR52.7 million. The company has reported INR535.3 million of
revenue during July to November 2018 and expects it to be around
INR900 million by March 2019. The company has a small order book
of INR45 million, to be executed by end-January 2019. EBITDA
margin was 18.2% and ROCE was 17%, interest coverage (operating
EBITDA/gross interest expense) was 4.4x and net leverage (adjusted
net debt/operating EBITDAR) was 3.7x in 5MFY19.

Ind-Ra expects the company's financial and credit profile to be
modest in FY19, based on the 5MFY19 numbers. OSPPL's debt service
coverage is likely to be 2.9x in FY20. Ind-Ra expects the credit
metrics to improve in FY20, due to the scheduled repayment of a
term loan. Also, FY20 will be the first full year of operations.

The ratings are supported by OSPPL's comfortable liquidity with
fund-based facilities being utilized at an average of 51% in the
five months ended December 2018. The company has unutilized credit
lines of INR55.4 million and cash balance of INR4.9 million.

The ratings are also supported by the plant's locational advantage
in terms of the availability of raw materials. Also, its promoters
have around two decades of experience in the paper manufacturing
business.

RATING SENSITIVITIES

Positive: A significant increase in the revenue and EBITDA
margins, leading to an improvement in the credit metrics, on a
sustained basis, could be positive for the ratings.

Negative: A decline in the revenue and EBITDA margin leading to
deterioration in credit metrics, on a sustained basis, will be
negative for the ratings.

COMPANY PROFILE

Incorporated in August 2016, OSPPL runs a 200tpa kraft paper
manufacturing unit in Dillai Kulcharam village (Telangana). The
company is promoted by Mr. Chamanbhai Patel Chaturbhai, Mr. Gautam
Devajibhai Kotadiya, Mr. Hardik Patel, Mr. Rajesh Marvaniya, Mr.
Shankar Patel and Mr. Vipul Patel.


P.M. AGRO: CARE Migrates D Rating to Not Cooperating Category
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of P. M.
Agro Products Private Limited (PAPL) to Issuer Not Cooperating
category.

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

CARE has been seeking information from PAPL to monitor the
rating(s) vide e-mail dated November 26, December 10, December 28
and numerous phone calls. However, despite CARE's repeated
requests, the firm has not provided the requisite information for
monitoring the ratings. In line with the extant SEBI guidelines,
CARE has reviewed the rating on the basis of the best available
information which however, in CARE's opinion is not sufficient to
arrive at a fair rating. Further, PAPL has not paid the
surveillance fees for the rating exercise as agreed to in its
Rating Agreement. The rating on PAPL'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 rating assigned to the bank facilities of PAPL is continue to
be remained constrained on account of delay in debt servicing.

Detailed description of the key rating drivers

Key rating weaknesses

Delay in debt servicing: As per banker interaction, the account
has turned NPA.

PAPL was incorporated as a private limited company in 2010 to take
over the proprietorship business of M/s P.M Dal Udyog (PDU). PAPL
is engaged in processing and trading of Arhar Dal (Toor dal) and
trading of dal chuni (used as cattle feed) and sells its product
under the brand name Baba Gold, Rasoi Gold, Son Pari and Ganga
Yamuna.


PRAKASH CORRUGATED: CARE Migrates D Rating to Not Cooperating
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Prakash
Corrugated Products (PCP) to Issuer Not Cooperating category.

                   Amount
   Facilities    (INR crore)     Ratings
   ----------    -----------     -------
   Long Term         22.31       CARE D; Issuer Not Cooperating;
   facilities                    Based on best available
                                 Information

   Short Term         0.02       CARE D; Issuer Not Cooperating;
   facilities                    Based on best available
                                 Information

CARE has been seeking information from PCP to monitor the rating
vide e-mail communications/letters dated October 16, 2018,
November 16, 2018, January 8, 2019 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of the best available information which however, in
CARE's opinion is not sufficient to arrive at a fair rating. The
rating on PCP's bank facilities and/or instruments will now be
denoted as CARE D; ISSUER NOT COOPERATING.

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

The ratings take into account the delay in servicing of debt
obligations by the firm.

Detailed description of the key rating drivers

At the time of last rating on March 16, 2018, the following were
the rating weaknesses

Delays in debt servicing: As per banker interaction, there have
been delays in servicing of interest and principal on long
term debt and the account has been classified as NPA. Timely
repayment of debt is the key rating sensitivity.

PCP was established in September 2001, as a proprietorship concern
and is involved in manufacturing of make to order corrugated
boxes. PCP's unit is located at Verna, Goa with the total
installed capacity of 10,000 metric tonnes of corrugated boxes per
annum (MTPA) of different sizes as per order. Moreover, PCP has
in-house 'Flexo Printing' facility for printing on the boxes.


PRASAD LIFESPACES: CARE Migrates B+ Rating to Not Cooperating
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Prasad
Lifespaces LLP (PLLP) 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

CARE has been seeking information from PLLP to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, December
18, 2018 and December 18, 2018 and numerous phone calls. However,
despite CARE's repeated requests, the firm has not provided the
requisite information for monitoring the ratings.  In line with
the extant SEBI guidelines, CARE has reviewed the rating on the
basis of the best available information which however, in CARE's
opinion is not sufficient to arrive at a fair rating. The rating
on PLPL's bank facility and 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 ratings.

The rating takes into account the project execution risk, low
booking status and high dependence on customer advances.
The rating is further constrained on account of its presence in a
highly competitive and cyclical real estate industry with a
changing regulatory framework.

The rating, however, derives strength from the extensive
experience of the promoters in real estate development along
with the track record of the group, receipt of approvals and
clearances and strategic location of the project.

Detailed description of the key rating drivers

At the time of last rating on December 14, 2017, the following
were the rating strengths and weaknesses.

Key Rating Weaknesses

Project execution risk emanating from low booking status: The
total cost of the project is expected to be INR44.71 crore which
is proposed to be funded by promoter's contribution of INR5.50
crore, term loan of INR15 crore and customer advance of INR24.21
crore. As on March 31, 2017, the firm has incurred 15.12% of the
total project cost which was funded through promoter's
contribution of INR5.50 crore, and remaining through customer
advances. Furthermore, the firm has sold ~23% of the total
saleable area and has registered 42.2% of the sold area.

Funding risk with receivables covering only 25% of residual
construction cost and debt: The receivables from the sold
inventory of the project cover only 25.51% of residual
construction cost, outstanding debt and interest payments. Hence,
the firm faces a funding risk. Hence, the ability of the entity to
complete the project as per schedule within the envisaged cost and
achieve the project sales at the assumed price will be critical
from credit perspective.

Cyclical nature of the real estate industry: The firm is exposed
to the cyclicality associated with the real estate sector which
has direct linkage with the general macroeconomic scenario,
interest rates and level of disposable income available with
individuals. A high interest rate scenario could discourage the
consumers from borrowing to finance the real estate purchases and
may depress the real estate market.

Presence in a competitive environment: The real estate industry in
India is highly fragmented with most of the real estate developers
having region-specific presence. PLLP also faces competition from
other real-estate projects in the area. However, Kothrud being a
well-developed area has limited upcoming projects.

Key Rating Strengths

Long track record and experience of the promoters: The firm is
promoted by Mr. Prasad Tatawar and Mr. Swati Tatawar having an
experience of about 7 years in the real estate business. The
promoters have developed around 12 lakh square feet (lsf) in the
past.

Strategic location of the projects: The project is located near
Chandni Chowk junction of Pune and is also well connected to the
nearby IT hubs of Hinjewadi, Baner and Wakad with the Pune Mumbai
Expressway. The area is also apt for the working class of Pirangut
MIDC located a little ahead of Bhukum. Various educational
institutes like Symbiosis, Sanskruti School, Indus International,
etc are also located nearby.

Receipt of approvals and clearances for the projects: The firm has
received all the necessary clearances and approvals for the
projects related to land acquisition and construction. The
requisite sanction plan of the buildings of the said project has
been approved by the Pune Collectorate. The firm has registered
its projects under MAHA-RERA (Maharashtra Real Estate Regulatory
Authority).

PLLP is established in year 2015, and is engaged in the business
of real estate development. The firm is a SPV formed specifically
for execution of the proposed residential project, "Pyramid
County" at Bhukum, Pune and is promoted by Mr. Prasad Tatawar and
Mr. Swati Tatawar.


RELIGARE ENTERPRISES: Ind-Ra Withdraws BB- Rating, Outlook Stable
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn Religare
Enterprises Limited's (REL) Long-Term Issuer Rating of 'IND BB-'.
The rating was on Rating Watch Negative (RWN).

The instrument-wise rating action is:

-- The IND BB- rating on the INR500 mil. Short-term debt
     (commercial paper) are withdrawn;

KEY RATING DRIVERS

The ratings have been withdrawn because there is no rated debt
instrument outstanding.

Ind-Ra will no longer provide ratings or analytical coverage for
the company.

COMPANY PROFILE

REL is a non-bank finance company, whose subsidiaries are engaged
in various businesses such as lending to small and medium
enterprises (Religare Finvest Limited; 'IND BB'/RWN), housing
finance (Religare Housing Development Finance Corporation; 'IND
BB-'/RWN), retail security broking (Religare Broking Limited; 'IND
A4+'/RWN) and health insurance (Religare Health Insurance
Company). The institutional equities and capital markets business
(Religare Capital Markets Limited) has been deconsolidated from
REL's balance sheet since October 1, 2011.


RICOH INDIA: Ind-Ra Affirms 'D' LT Issuer Rating on INR2BB NCDs
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed Ricoh India
Limited's Long-Term Issuer Rating at 'IND D'.

The instrument-wise rating action is:

-- INR2.0 bil. Non-convertible debentures (NCDs) due on
    September 10, 2020 ISIN INE291B08028 coupon rate 7.0%
    issued on September 11, 2014 affirmed with IND D rating.

KEY RATING DRIVERS

The affirmation reflects continued and ongoing defaults in debt
servicing by Ricoh India. According to the auditor's report and
announcements on the Bombay Stock Exchange, the company has been
defaulting on its NCD interest payments since March 2018.

Pursuant to the withdrawal of the financial support to Ricoh India
by its parent (Japan-based Ricoh Company Limited, a global player
in office imaging and solutions and industrial products) in
October 2017, all the loans outstanding from the banks as cash
credit and working capital demand loan that were covered by a
standby letter of credit issued by the parent were demanded by the
bankers. Ricoh Company paid the outstanding amounts totalling
INR12.9 billion to the banks. The amounts were classified as
unsecured loan from related party in Ricoh India's books. In
addition, Ricoh Company announced in October 2017 that it would
not supply additional hardware and accessories to Ricoh India,
unless pending payments were made.

As of March 2018, Ricoh India had an outstanding debt of INR14.9
billion: an unsecured loan of INR12.9 billion to Ricoh Company,
7.0% INR2 billion NCDs due to Ricoh Asia Pacific Pte Limited due
to be repaid in a single repayment on September 10, 2020, and
half-yearly interest payments due in March and September. In the
absence of formal terms and conditions, no interest has been
accrued on unsecured borrowings of INR12.9 billion.

In November 2017, independent directors resigned to protest
against the withdrawal of the financial support, leading to the
dissolution of the board of directors and the audit committee.
Given Ricoh India had no financial support and had a negative net
worth (FY18: INR22.6 billion; FY17: INR13.7 billion), Ricoh India
applied to National Company Law Tribunal. The company is currently
undergoing the corporate insolvency resolution process and being
managed by a resolution professional.

Ricoh India reported FY18 financials with a delay on November 22,
2018. It did not submit financial results for 2QFY18, 3QFY18,
4QFY18, 1QFY19 and 2QFY19. According to the qualified audited
financial statements published by Ricoh India for FY18, revenue
was INR6.8 billion (FY17: INR12.2 billion), EBITDA loss was
INR2.77 billion (INR1.7 billion) and net loss was INR8.9 billion
(INR3.3billion). FY18 financials were qualified for weakness in
internal controls, lack of audit evidences, appropriateness of
provisions made, going concern status and others by the auditors.

RATING SENSITIVITIES

Positive: Clarity on business continuity and timely debt servicing
for at least three consecutive months could lead to an upgrade.

COMPANY PROFILE

Ricoh India provides copier-based laser multi-function printers in
India. Ricoh Company and NRG group have a shareholding of 46.04%
and 27.56% in Ricoh India, respectively.


RIDCOR INFRA: Ind-Ra Lowers Senior Project Bank Loans Rating to D
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded the rating of
RIDCOR Infra Projects Limited's (RIPL) senior project bank loans
to 'IND D' from 'IND B+' while resolving the Rating Watch Negative
(RWN) as follows:

-- INR2,977.2 bil. (outstanding INR2,769.4 bil. as on Dec. 31,
    2018) Senior project bank loans (long-term) due on
    Dec. 31, 2029 downgraded; Off RWN with IND D rating.

KEY RATING DRIVERS

The rating action reflects the non-repayment of interest and
principal by RIPL.

RATING SENSITIVITIES

Positive: Timely debt servicing for at least three consecutive
months could result in a positive rating action.

COMPANY PROFILE

RIPL, a wholly owned subsidiary of Road Infrastructure Development
Company of Rajasthan Limited  (a 50:50 joint venture between
Infrastructure Leasing & Financial Services Limited ('IND D')  and
the government of Rajasthan), was incorporated to develop, design,
finance, construct, operate and maintain Phase-III project
stretches under the mega highways project. The Phase-III projects
comprise the 65.5km Mathura-Bharatpur-Gangapur-Bhadoti stretch
starting from the Uttar Pradesh border and running up to the
117.32km Rawatsar-Nohar-Bhadra at the Haryana border.


SAMARTH COMMODITIES: CARE Migrates B+ Rating to Not Cooperating
---------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Samarth
Commodities Merchants Private Limited (SCMPL) to Issuer Not
Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank      6.00        CARE B+; Stable; Issuer not
   Facilities                      cooperating; Based on best
                                   available information

CARE has been seeking information from SCMPL to monitor the rating
vide e-mail communications/letters dated October 3, 2018,
December, 24, 2018, January 2, 2019 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of the publicly available information which however,
in CARE's opinion is not sufficient to arrive at a fair rating.
The rating on SCMPL'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.

Detailed description of the key rating drivers

At the time of last rating in March 29, 2018, the following were
the rating strengths and weaknesses:

Key Rating Weaknesses

Small scale of operations with moderate profit margins: The scale
of operations of the company remained small marked by total
operating income of INR44.34 crore (Rs.68.71 crore in FY16) with a
PAT of INR1.37 crore (Rs.0.09 crore in FY16) in FY17. Further, the
total operating income of the company declined in FY17 due to low
trading income from iron and steel products. Furthermore, the
total capital employed has also remained low at INR13.98 crore as
on March 31, 2017. The company has booked revenue of INR36.70
crore during 8MFY18.  Volatility in prices of traded goods: SCMPL
purchases trading goods (i.e. billets, pig iron and sponge iron)
from domestic market for trading on stock & sale basis. Moreover,
few purchases happen depending on receipt of confirmed orders from
its clients also. Since the prices of the trades goods are
volatile in nature and it is basically determined by demand supply
situation at a particular time. Thus the company is exposed to
price volatility in the traded goods. However, the management has
stated that some of the sales are made based on back-to-back
orders, insulating the company from price volatility to a certain
extent. Furthermore, the company is also exposed to volatility in
prices of shares.

Working capital intensive nature of business: The operation of
SCMPL is working capital intensive marked by its high collection
period. The company allows credit of around two months to its
customers due to its low bargaining power as compared to its
customers. Further the company maintains stock of traded goods for
timely supply of its clients demand. However, the company
stretches its creditors due to its long relationship with them
which mitigates its working capital intensity to a certain extent.
The average utilization of fund based limit remained moderately on
the higher side at about 70% during last twelve months ending on
November 30, 2017.

Intensely competitive industry: Trading industry is a very
fragmented and competitive space with presence of huge small
players operating in the same region due to low capital
requirement. In such a competitive scenario smaller companies like
SCMPL in general are more vulnerable on account of its limited
pricing flexibility.

Key Rating Strengths

Experienced promoters with long track record of operations: SCMPL
is into trading business since 2003 and thus has more than a
decade of track record of operations. Being in the same line of
business since long period, the promoters have built up
established relationship with its clients and the company is
deriving benefits out of this. Mr. Prabhat Kumar Sinha (aged, 67
years) has more than two decade of experience in the same line of
business looks after the day to day operations of the company. He
is supported by other director Mr. Shriniwas Agarwal who also has
more than a decade of experience in the same industry.

Satisfactory profitability margins: Considering the trading nature
of operations, the profit margins of the company remained
satisfactory marked by PBILDT margin of 16.63% and PAT margin of
3.10% in FY17. Furthermore, the PBILDT margin improved
significantly in FY17 mainly due to increase in revenue from
shares trading where margin remains high. Furthermore, the PAT
margin also improved in FY17 on account of higher increase in
PBILDT level and low capital charges.

Moderate capital structure with satisfactory debt coverage
indicators: The capital structure of the company improved but the
same remained moderate marked by debt equity and overall gearing
ratios of 0.25x and 1.11x respectively as on March 31, 2017. The
leverage ratios were improved as on March 31, 2017 due to lower
utilization of fund based limits and accumulation of surplus into
reserves. The debt coverage indicators of the company remained
satisfactory marked by interest coverage of 8.13x and total debt
to CGA of 5.35x in FY17. Further, the interest coverage ratio has
improved in FY17 on account of low interest charges. Furthermore,
the total debt to CGA also improved in FY17 due to low debt levels
and high cash accrual.

Incorporated in December 2003, Samarth Commodities Merchants
Private Limited (SCMPL) was promoted by Mr. Prabhat Kumar Sinha
and Mr. Shriniwas Agarwal of Rourkela, Odisha. Since its
inception, SCMPL has been engaged in trading of iron and steel
like billets, pig iron and sponge iron. Furthermore, the company
is also engaged in shares trading business which contributed
revenue of around 12% (2.56% in FY16) of total operating income in
FY17.

Liquidity position

The liquidity position of the entity remained stretched marked by
high utilization of its working capital limits as confirmed by its
banker.


SANEE INFRASTRUCTURE: CARE Moves B- Rating to Not Cooperating
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Sanee
Infrastructure Private Limited (SIPL) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       2.90       CARE B-; Stable; Issuer not
   Facilities                      cooperating; based on best
                                   available information


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

CARE has been seeking information from SIPL to monitor the
rating(s) vide e-mail dated November 11, November 29, January 1
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. Further, SIPL has not paid
the surveillance fees for the rating exercise as agreed to in its
Rating Agreement. The rating on SIPL'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 assigned to the bank facilities of Sanee
Infrastructure Private Limited (SIPL) are primarily constrained on
account of its modest scale of operations with net and cash loss
in FY17, leveraged capital structure and stressed liquidity
position. The ratings, further, constrained on account of moderate
order book position and presence in the highly competitive
government civil construction industry.  The ratings, however,
favorably take into account the vide experience of the qualified
promoters in the civil construction industry.

Detailed description of the key rating drivers

At the time of last rating on January 18, 2018, the following were
the rating strengths and weaknesses.

Key Rating Weakness

Modest Scale of operations along with net and cash loss in FY17
and moderate order book position: During FY17, the scale of
operations of the company stood modest marked by Total Operating
Income (TOI) of INR3.82 crore mainly on account of lower execution
of contracts due to suspension of the registration certification
for two years. With significantly decline in TOI, SIPL has
registered operating loss as well as net loss and cash loss in
FY17. After revocation of order, SIPL got three work orders of
INR52.57 crore. The on-going projects of the company are likely to
be executed within a period of 18 months, providing medium term
revenue visibility.

Weak solvency position and stressed liquidity position: The
solvency position of SIPL stood leveraged marked by overall
gearing of 2.05 times as on March 31, 2017. Further, the operating
cycles of the company has elongated mainly on account of higher
debtors as on balance sheet date.

Presence in highly competitive civil construction industry: The
construction industry is highly fragmented in nature with presence
of large number of unorganized players and a few large organized
players coupled with the tender driven nature of construction
contracts poses huge competition and puts pressure on the
profitability margins of the players.

Key Rating Strengths

Experienced and qualified management with long track record of
operations: Mr. Nilay Jain, Director, BE by qualification have
more than two decade of experience in the civil construction
industry and looks after overall affairs of the company. Mrs Nisha
Jain, Director, has also 15 years of experience in the industry
and looks after finance and accounts of the company. They are
assisted by their son, Mr Neel Jain, who B.tech by qualification
and looks after administration of the company. With long track
record of operation of the company since 2002, the company has
established relations with private players as well as government
departments.

Bhopal-based (Madhya Pradesh) Sanee Infrastructure Private Limited
(SIPL) was formed in 2002 by Mr Nilay Jain and Mrs Nisha Jain as a
private limited company to carry out the construction of building
and roads. The company mainly executes contracts of construction &
maintenance of roads majorly in the state of Madhya Pradesh.


SARA SPINTEX: CARE Migrates D Rating to Not Cooperating Category
----------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Sara
Spintex India Private Limited (SPPL) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank     36.36       CARE D, Issuer Not Cooperating;
   Facilities                     Based on best available
                                  information

   Short term Bank     2.00       CARE D, Issuer Not Cooperating;
   Facilities                     Based on best available
                                  information

CARE has been seeking information from SPPL to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, November
14, 2018 and December 18, 2018 and numerous phone calls. However,
despite CARE's repeated requests, the firm has not provided the
requisite information for monitoring the ratings. In line with the
extant SEBI guidelines, CARE has reviewed the rating on the basis
of the best available information which however, in CARE's opinion
is not sufficient to arrive at a fair rating. The rating on SPPL's
bank facility and 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 ratings take into account the continuous delays in debt
servicing obligations.

Detailed description of the key rating drivers

At the time of last rating on November 10, 2017 the following were
the rating strengths and weaknesses.

Key Rating Weaknesses

Delay in debt servicing obligations: There have been continuous
delays in debt servicing obligations. The delays were on
account of weak liquidity position.

SSPL was incorporated in the year March 2011; however, commenced
with the commercial production from April 2013. The company is
engaged in business of manufacturing of cotton yarn of various
types like ring spurn yarns, slub yarn and core spun yarn.


SHREE JAGDAMBA: CARE Reaffirms B+ Rating on INR16.32cr Loan
-----------------------------------------------------------
CARE Ratings reaffirmed ratings on certain bank facilities of
Shree Jagdamba Rice Mills (SJRM), as:

                     Amount
   Facilities      (INR crore)    Ratings
   ----------      -----------    -------
   Long term Bank       16.32     CARE B+; Stable Reaffirmed
   Facilities

Detailed Rationale and key rating drivers

The rating assigned to the bank facilities of SJRM continues to be
constrained by its modest scale of operations, low profitability
margins, weak debt coverage indicators and weak liquidity
position. The rating is further constrained by susceptibility to
fluctuation in raw material prices and monsoon dependent
operations, partnership nature of constitution and fragmented
nature of industry coupled with high level of government
regulation. The rating, however, derives strength from experienced
proprietor, moderate capital structure and favorable location of
plant.

Going forward, the ability of the firm to increase its scale of
operations while improving its profitability margins and
overall solvency position shall be the key rating sensitivities.

Detailed description of the key rating drivers

Key Rating Strengths

Experienced partners

SJRM's operations are currently being managed by Mr. Om Prakash
Garg, Mrs Sunita Garg, Mr Pankaj Kumar and Mr. Pardeep Garg, a
family run business. Mr. Om Prakash Garg has an experience of more
than four decades through his association with this entity and its
group concern. He is ably supported by his two sons, namely Mr.
Pankaj Kumar and Mr. Pardeep Garg having an experience of one
decade through their association with this entity.

Moderate capital structure: The capital structure of the firm is
moderate as reflected by overall gearing ratio of 1.38x as on
March 31, 2018. It improved from 1.85x as on March 31, 2017 mainly
on account of repayment of term loans in FY18 and lower
utilization of working capital limits as on last balance sheet
date as compared to previous year.

Favorable manufacturing location: SJRM is mainly engaged in
milling and processing of rice. The main raw material (Paddy) is
procured from grain markets, located mainly in Haryana. The firm's
processing facility is situated in Haryana which is one of the
highest producers of paddy in India. Its presence in the region
gives additional advantage over the competitors in terms of easy
availability of the raw material as well as favorable pricing
terms.

Key Rating Weaknesses

Modest scale of operations with low profitability margins: The
total operating income of the firm increased from INR64.66 crore
in FY17 to INR83.68 crore in FY18 at an annual growth rate of
29.42% owing to higher quantities sold due to increase in orders
received from existing customers. However, the same continues to
remain modest. The modest scale of operations limits the firm's
financial flexibility in times of stress and deprives it from
scale benefits. The profitability margins stood weak marked by
PBILDT margin of 3.21% and PAT margin of 0.06% in FY18. The PBILDT
margin declined from 4.17% in FY17 to 3.21% in FY18 owing to
increase in raw material costs. However, due to decline in
interest and depreciation costs in percentage terms, PAT margin
stood stable at 0.06% in FY18 (0.05% in FY17).

Weak debt coverage indicators: The debt coverage indicators
remained weak marked by interest coverage ratio of 1.42x in FY18
and total debt to GCA ratio of 19.04x for FY18. The interest
coverage ratio deteriorated marginally from 1.48x in FY17 to 1.42x
in FY18 due to increase in interest cost in FY18 owing to higher
utilization of working capital limits during the year. The total
debt to GCA ratio improved from 22.88x for FY17 to 19.04x for FY18
due to decline in debt levels of the firm in FY18.

Weak liquidity position: The average operating cycle of the firm
stood elongated at 96 days for FY18 [PY: 132 days]. SJRM is
required to maintain adequate inventory mainly in the form of raw
material to ensure smooth production process as well as maintain
stock of finished products in order to meet the demand of
customers which resulted in average inventory period of 98 days
for FY18 [PY: 133 days]. The same improved as compared to previous
year due to decrease in unsold finished goods. The firm generally
extends credit period of around one week to its customers,
resulting into average collection period of 6 days for FY18 (PY: 6
days). The firm receives similar credit period of around 10 days
from suppliers. The working capital limits remained fully utilized
for the last 12 months period ended December 2018. Further, quick
ratio stood weak at 0.15x as on March 31, 2018 and free cash and
bank balance stood at INR0.54 crore as on March 31, 2018.

Susceptibility to fluctuation in raw material prices and monsoon
dependent operations: Agro-based industry is characterized by its
seasonality, due to its dependence on raw materials whose
availability is affected directly by the vagaries of nature.
Adverse climatic conditions can affect their availability and
leads to volatility in raw material prices. Any sudden spurt in
raw material prices may not be passed on to customers completely
owing to firm's presence in highly competitive industry.

Partnership nature of constitution: SJRM'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/insolvency of partner(s). Moreover,
partnership firms have restricted access to external borrowing as
credit worthiness of partner(s) would be the key factors affecting
credit decision of the lenders.

Fragmented nature of industry coupled with high level of
government regulation: 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 raw material (paddy) prices are regulated by
government to safeguard the interest of farmers, which in turn
limits the bargaining power of the rice millers.

Shree Jagdamba Rice Mills (SJRM) was established in June 2008 as a
partnership firm and is managed by Mr. Om Prakash Garg and his
family members Mrs. Sunita Garg, Mr. Pankaj Kumar and Mr. Pradeep
Garg sharing profit and losses in the ratio of 20%, 20%, 30% and
30% respectively. They collectively look after the overall
operations of the firm. SJRM is engaged in processing of paddy
with an installed capacity of 60,000 tonnes per annum (TPH) of
paddy as on December 31, 2018 at its unit located at Kaithal,
Haryana. The firm is also engaged in milling and trading of rice
(income from trading constituted 25% in FY18). The firm procures
the raw material (paddy) from grain markets in Haryana, Delhi and
Uttar Pradesh through commission agents and sells its product to
wholesalers and traders located in Rajasthan, Maharashtra,
Karnataka, West Bengal, Delhi, Uttar Pradesh, Punjab & Gujarat.


SHREE VENKATESH: Ind-Ra Withdraws 'BB' on INR160MM Term Loan
------------------------------------------------------------
India Ratings and Research (Ind-Ra) has affirmed and withdrawn
Shree Venkatesh Realties' (SVR) Long-Term Issuer Rating of 'IND
BB'. The Outlook was Stable.

The instrument-wise rating action is:.

-- The IND BB rating on the INR160 mil. Term loan* due on
    September 2018 affirmed & withdrawn.

*Affirmed at 'IND BB'/Stable before being withdrawn

KEY RATING DRIVERS

The affirmation reflects the continued salability risk faced by
SVR's ongoing project, Lake Life, in Pune. Lake Life is an 11-
storey project with 161 residential, 28 commercial and six
bungalow units. The project is being jointly developed by SVR and
landowners, with revenue sharing of 61.8% and 38.2%, respectively.
SVR has so far sold 116 units (97 residential and 19 commercial);
at end-September 2018, sales had stood at 108 units (89
residential and 19 commercial). The firm has collected 75.4% of
the total sales value of INR373.9 million.

The total project cost is INR674 million, funded by debt of INR160
million in debt, promoter contribution of INR170 million in and
customer advances worth INR344 million. As of September 2018, the
promoters had infused the entire funding. The company completed
the project construction in June 2018.

The ratings continue to be supported by the promoters' strong
track record of 18 completed projects in Pune and their combined
experience of over two decades in the real estate sector.

Ind-Ra is no longer required to maintain the ratings, as the
agency has received a no objection certificate from the company's
lenders. This is consistent with the Securities and Exchange Board
of India's circular dated March 31, 2017 for credit rating
agencies.

COMPANY PROFILE

SVR is a Pune-based partnership firm engaged in real estate
development.


SHRI RAM: CARE Migrates B+ Rating to Not Cooperating Category
------------------------------------------------------------- CARE
Ratings has migrated the rating on bank facilities of Shri Ram
Comtrade Private Limited (SRCPL) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank      6.00        CARE B+; Stable, Issuer Not
   Facilities                      Cooperating; Based on best
                                   Available Information

   Short-term Bank     7.50        CARE A4; Issuer Not
   Facilities                      Cooperating; Based on best
                                   available information

CARE has been seeking information from SRCPL to monitor the rating
vide e-mail communications/letters dated October 3, 2018,
December, 24, 2018, January 2, 2019 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of the publicly available information which however,
in CARE's opinion is not sufficient to arrive at a fair rating.
The rating on GRI's bank facilities will now be denoted as 'CARE
B+; Stable; ISSUER NOT COOPERATING' and 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.

Detailed description of the key rating drivers

At the time of last rating in December 26, 2017, the following
were the rating strengths and weaknesses:

Key Rating Weaknesses

Small scale of operations with low profit margins: The scale of
operations of the company remained small marked by total operating
income of INR56.83 crore (Rs.57.77 crore in FY16) with a PAT of
INR0.13 crore in FY17. Further, the total operating income of the
company witnessed an erratic trend during last three years (FY15-
FY17) on account of sluggish demand of its products in the end
user industry. Furthermore, the total capital employed has also
remained low at INR12.06 crore as on March 31, 2017. Furthermore,
the profit margins of the company remained low marked by PBILDT
margin of 1.81% and PAT margin of 0.23% in FY17 mainly due to its
trading nature of operations. The PBILDT margin improved in FY17
by 105 bps due to lower cost of operations. The PAT margin also
improved in FY17 on account of higher increase in PBILDT level
vis-a-vis increase in capital charges.

Volatility in prices of traded goods: SRCPL purchases trading
goods (i.e. sand, cement, iron, steel, household pipes and
pipe fittings etc.) from domestic market for stock & sale basis.
Since the prices of the trades goods are volatile in nature
and it is basically determined by demand supply situation at a
particular time. Thus the company is exposed to price
volatility in the traded goods.

Working capital intensive nature of business: The operations of
SRCPL remained working capital intensive marked by its moderate
collection and inventory period in FY17. The company allows credit
of around two months to its customers to boost up its revenue in
an intensely competitive industry. Further the company maintains
stock of traded goods for timely supply of its clients demand.
Accordingly the average utilization of fund based limit remained
on the higher side at about 90% during last twelve months ending
on November 30, 2017. Moreover, the company stretches its
creditors due to its long relationship with them which mitigates
its working capital intensity to a certain extent.

Moderate capital structure with moderate debt coverage indicators:
The capital structure of the company remained moderate as on last
three account closing dates. Further, the overall gearing ratio
has deteriorated to 0.99x as on March 31, 2017 due to higher
utilization of working capital limits. Furthermore, the debt
coverage indicators of the company also remained moderate in the
last three years. The interest coverage ratio although
deteriorated marginally in FY17 due to increase in interest
expenses but the same stood satisfactory at 1.27x in FY17. Total
debt to GCA remained weak at 37.74x in FY17 due to high debt
levels.

Intensely competitive industry: SRCPL is engaged in the trading of
building construction materials which is primarily dominated by
large players and characterized by high fragmentation and
competition due to the presence of numerous players in India owing
to relatively low entry barriers. High competitive pressure limits
the pricing flexibility of the industry participants which induces
pressure on profitability.

Key Rating Strengths

Satisfactory track record of operations and experienced promoters:
SRCPL is into trading of building construction
materials since 2012 and thus has satisfactory track record of
operations. Mr. Abhishek Agarwal is associated with the
company since its inception and has two decades of experience in
civil construction industry along with trading of clothes,
fabrics, textiles, dress materials. He is supported by other
director Ms. Pinkey Agrawal who also has more than a decade
of experience in the same industry along with business experience
in trading of clothes, fabrics, textiles, dress materials
etc.

Incorporated in December 2012, Shri Ram Comtrade Private Limited
(SRCPL) was promoted by Mr. Abhishek Agarwal and Mr. Pinkey
Agrawal of Ranchi, Jharkhand. Since its inception, SRCPL has been
engaged in trading of construction materials like cement, iron &
steel, different types of pipes and pipe fittings.

Liquidity position

The liquidity position of the entity remained stretched marked by
high utilization of its working capital limits as confirmed
by its banker.


SHRINATH COTTON: CARE Lowers Rating on INR6.03cr Loan to D
----------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Shrinath Cotton Industries (SCI), as:

                     Amount
   Facilities      (INR crore)   Ratings
   ----------      -----------   -------
   Long-term Bank      6.03      CARE D; Issuer not cooperating;
   Facilities                    Based on best available
                                 Information Revised from
                                 CARE B+; Stable

Detailed Rationale & Key Rating Drivers

CARE has been seeking information from SCI to monitor the
rating(s) vide e-mail communications/ letters dated August 31,
2018, October 1, 2018, November 13, 2018, January 2, 2019, January
15, 2019, January 16, 2019 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 ratings 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 SCI's
bank facilities will now be denoted as CARE D; ISSUER NOT
COOPERATING.

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

The rating has been revised on account of on-going delays in debt
repayments owing to weak liquidity position.

Detailed description of the key rating drivers

Key Rating Weaknesses

Ongoing delay in debt servicing: SCI has been irregular in
servicing its debt obligation due to weak liquidity position of
the firm. There have been overdrawals in the cash credit account
for more than 30 days.

SCI is a partnership firm established in 2006 by three partners
Mr. Keshavlal Popat, Mr. Bharat Popat and Mrs. Raksha Popat which
was later reconstituted with the retirement of Mr. Keshavlal
Popatas on January 18, 2011. It is now managed by Mr. Bharat Popat
and Mrs. Raksha Popat and has its manufacturing facility at Amreli
district, Gujarat. SCI is engaged in the cotton ginning and
pressing business. The firm is ISO 9001:2008 certified and
Technology Mission on Cotton (TMC) approved firm by the Ministry
of Textile, GOI. As on March 31, 2017, SCI had a total installed
capacity of 24,000 bales of cotton and 6,133 metric tonne per
annum (MTPA) of cotton seed.


SIR BIOTECH: Ind-Ra Migrates BB+ Issuer Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Sir Biotech India
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:

-- INR15 mil. Term loan-1 due on March 2018 migrated to Non-
     Cooperating Category with IND BB+ (ISSUER NOT COOPERATING)
     rating;

-- INR506.25 mil. Term loan-2 due on March 2028 migrated to Non-
     Cooperating Category with IND BB+ (ISSUER NOT COOPERATING)
     rating;

-- INR568.75 mil. Term loan-3 due on March 2028 migrated to Non-
     Cooperating Category with IND BB+ (ISSUER NOT COOPERATING)
     rating;

-- INR325.0 mil. Term loan-4 due on March 2027 migrated to Non-
     Cooperating Category with IND BB+ (ISSUER NOT COOPERATING)
     rating; and

-- INR150 mil. Non-fund-based facility migrated to Non-
     Cooperating Category with IND A4+ (ISSUER NOT COOPERATING)
     rating.

Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
February 8, 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 1995, Sir Biotech India is engaged in the trading
of iron ore, plastic polymer, raw cotton, copper rods, alkaline
battery and metal products, and the processing of peanuts.
Moreover, it is engaged in the hospitality and real estate
businesses.


SONALE FABRICS: Ind-Ra Assigns BB on INR6MM LongTerm Loans
----------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Sonale Fabrics
Private Limited (SFPL) a Long-Term Issuer Rating of 'IND BB'. The
Outlook is Stable.

The instrument-wise rating actions are:

-- INR6 mil. Long-term loans due on December 2020 assigned with
    IND BB/Stable rating; and

-- INR165 mil. Fund-based limits assigned with IND BB/Stable/
    IND A4+ rating.

KEY RATING DRIVERS

The ratings reflect SFPL's tight liquidity, indicated by an
average maximum fund-based limit utilization of 98% for the 12
months ended December 2018, due to the working capital-intensive
nature of business. SFPL's working capital cycle elongated to 101
days in FY18 (FY17: 101 days) owing to a long inventory holding
period of 80-90 days and high debtor days of 70-100 days. SFPL
makes payments to suppliers in 20-30 days. Moreover, SFPL had a
cash balance of INR1 million at FYE18 (FYE17: INR0.5 million). In
addition, its cash flow from operation was INR4 million in FY18
(FY17: INR1 million). As of FY18, SFPL does not have any term debt
obligation. As informed by the management, the company does not
have any debt-funded capex plans for the near term.

The ratings further reflect the weak credit metrics of SFPL due to
high working capital requirements. Its interest coverage
(operating EBITDA/gross interest expense) was 1.4x in FY18
(FY17:1.4x; FY16:1.4x), with its net leverage (total adjusted net
debt/operating EBITDAR) standing at 4.4x (4.9x; 4.9x).

The ratings also reflect the volatile, albeit average, EBITDA
margin of SFPL due to a fluctuation in raw material prices. Its
EBITDA margin was 5.6%-6.5% in FY16-FY18. SFPL's return on capital
employed was 15% in FY18 (FY17: 14%).

However, the ratings are supported by a sustained increase in
revenue, driven by a rise in orders from customers. Its revenue
raised to INR879 million in FY18 from INR874 million in FY17 and
INR785 million in FY16. The scale of operations is medium.

The ratings benefit from the promoters' experience of over three
decades in the yarn manufacturing business.

RATING SENSITIVITIES

Negative: A fall in the EBITDA margin, leading to deterioration in
the credit metrics, all on a sustained basis, could be negative
for the ratings.

Positive: A rise in the revenue and the profitability, leading to
an improvement in the credit metrics, all on a sustained basis,
could be positive for the ratings.

COMPANY PROFILE

SFPL was formed in 1987 by Mr. Kantilal C Rajpurohit. The company
is engaged in the trading and manufacturing of shirts and suits.
It has a monthly manufacturing capacity of 0.5 million-0.7 million
meters.


SRI BALAJI: CARE Migrates B Rating to Not Cooperating Category
--------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Sri
Balaji Trading Corporation (SBTC) to Issuer Not Cooperating
category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank       6.00       CARE B; Stable, Issuer not
   Facilities                      cooperating

CARE has been seeking information from SBTC to monitor the rating
vide e-mail communications/letters dated January 3, 2019,
January 7, 2019, January 8, 2019 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the rating. In
the absence of minimum information required for the purpose of
rating, CARE is unable to express opinion on the rating. In line
with the extant SEBI guidelines, CARE has reviewed the rating on
the basis of best available information which however, in CARE's
opinion is not sufficient to arrive at fair rating. The rating on
Sri Balaji Trading Corporation's bank facilities will now be
denoted as CARE B; Issuer not Cooperating; ISSUER NOT COOPERATING.

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

Detailed description of the key rating drivers
At the time of last rating on September 13, 2017 the following
were the rating strengths and weaknesses:

Key Rating Weakness

Moderate revenue and low profit margins: The total operating
income of the firm has been fluctuating over the last three years
ending FY16 (Prov.). The operating income is linked to demand and
supply functions in cotton market coupled with opportunities in
buying and selling of cotton lint and cotton yarn. The total
operating income of the firm increased from INR27.27 crore in FY14
to INR35.11 crore in FY15 led by stable demand in cotton market.
However, the same reduced to Rs, 32.32 crore in FY16 (Prov.) due
to lower demand of the cotton products during the year. The PBILDT
margin also has been fluctuating over the last three financial
years mainly on account of fluctuation in raw material prices of
traded goods. PBILDT margin dipped by 52 bps to 1.15% in FY15 over
FY14 and increased by 27 bps to 1.42% in FY16 (Prov.). In line
with increased PBILDT, PAT level also increased during FY15,
however, PAT margin remained stable at 0.21% due to reduction in
capital charge. During FY16, increase in PBILDT level resulted in
increase in PAT level and PAT margin of the firm.

Constitution of the entity as a Sole proprietorship firm: SBTC,
being a Sole proprietorship firm, is exposed to inherent risk of
the proprietor's capital being withdrawn at time of personal
contingency and firm being dissolved upon the death/
retirement/insolvency of the proprietor. Moreover, the
business also has restricted avenues to raise capital which could
prove a hindrance to its growth.

Volatility in raw material prices: Prices of raw cotton are highly
volatile in nature and depend upon the factors like area under
cultivation, crop yield, international demand-supply scenario,
export quota decided by the Government and inventory carry forward
of the previous year. During FY15, raw cotton and cotton yarn
prices fell below Minimum Support Price (MSP). This in-turn
affected the profit margins of the company.

Weak financial capital structure and debt protection metrics: The
capital structure of the firm is weak and has been constantly
deteriorating during past three financial years ended FY16
(Prov.). The overall gearing of SBTC deteriorated from 3.47x as on
March 31, 2014 to 3.65x as on March 31, 2015 and further to 4.56x
as on March 31, 2016 (Prov.) on account of increase in debt levels
due to increase in working capital utilization coupled with
increase in unsecured loans from the related parties. The Total
Debt/GCA has been weak over the years, however, improved from
77.55x as on March 31, 2014 to 69.04x as on March 31, 2015 due to
marginal increase in GCA levels. However, the same deteriorated to
82.29x as on March 31, 2016 (Prov.) due to increase in debt levels
during the year. Interest coverage ratio declined during FY15 and
FY16 due to increased debt level, particularly working capital
utilization.

Seasonal nature of availability of raw material resulting in
working capital intensive nature of operations Cotton in India is
grown mainly during two major agricultural season Kharif (June to
September) and Rabi (November to April). The millers have to stock
enough raw cotton by the end of the each season as the price and
quality is better during the harvesting season. Moreover, the raw
cotton is procured from the farmers and CCIL generally against
cash payments or with a minimal credit period of 15-30 days while
the millers have to extend credit to the associate company
(Vantage Spinners Private Limited) and other clients around 30
days resulting in moderate dependence on working capital
utilization. Furthermore, as the firm operates in cotton industry,
it has to maintain average inventory of around 60-90 days
considering the fluctuations in the price of raw cotton. The
average utilization of fund based working capital limits of the
firm was utilized (70%) during the last 12 months period ended
April 30, 2016.

Key Rating Strengths

Experience of promoter for more than five years in cotton trading
industry: SBTC was promoted by Mrs. Potluri Sitaratnam, who is a
first generation entrepreneur and is having more than 5 years of
experience in the field of cotton lint and cotton yarn traders.
Through her experience in cotton industry, she has
established healthy relationship with the key suppliers, customers
and also with the dealers which facilitates the trading
business among the various regions.

Adequate raw material availability due to geographical advantage
SBTC is located in the Krishna district in Andhra Pradesh which is
close to Guntur, one of the major cotton growing areas
in Andhra Pradesh and it is also well connected to Warangal and
Khammam which are prominent cotton growing region in Andhra
Pradesh, thus there is ample availability of raw material. Cotton
is a seasonal crop and available only during the period of October
to April.

Stable industry outlook

The cotton and textile industry is expected remain stable in FY17
which is led by stable spinning margins of cotton yarn segment,
range-bound cotton prices and favourable domestic and export
demand for downstream fabrics and garments sector. Stability of
cotton prices depends upon global factors such as China's strategy
on releasing its cotton inventories and domestic factors such as
cotton production and inventory policy of government procurement
agencies. Similarly, an improvement in realisations of manmade
yarn, and consequently margins would lead to a revision in the
outlook for the synthetic textile sector. On the supply side, the
cotton cultivation is not expected to get affected by the decline
in the domestic price as the cotton cultivation remains attractive
to the farmers the profit per quintal for cotton remains high
amongst the competing crops. However, even if the domestic cotton
production declines by up-to around 15% to around 33 million
bales, the domestic cotton position will remain adequate at around
1-2 month of consumption which will keep the cotton stocks
comfortable and prices range-bound.

Sri Balaji Trading Corporation (SBTC) was promoted by Mrs. Potluri
Sitaratnam in year 2011 as a sole proprietorship firm. SBTC is
engaged in trading of cotton lint and cotton yarn. The firm
primarily supplies cotton lint to one of its group companies;
Vantage Spinners Private Limited (VSPL) [rated CARE B+ as on
February 22, 2016], which is engaged in manufacturing of cotton
yarn and has an installed capacity of 31,500 spindles and also to
other spinning units located in Krishna District, Andhra Pradesh.
Further, SBTC has diversified the supplies of cotton lint to
cotton manufacturing units in the major cotton growing region
situated in Andhra Pradesh, Tamil Nadu, Telangana and Kerala.

In FY16(prov), SBTC had a Profit after Tax (PAT) of INR0.08crore
on a total operating income of INR32.32 crore, as against
PAT and TOI of INR0.07 crore and INR35.11 crore, respectively, in
FY15.


SUN STEEL: Ind-Ra Migrates BB- Issuer Rating to Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Sun Steel
Industries 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:

-- INR60 mil. Fund-based limits migrated to non-cooperating
    category with IND BB- (ISSUER NOT COOPERATING) rating; and

-- INR115 mil. Non-fund-based limits migrated to non-cooperating
    category with IND A4+ (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

Sun Steel Industries was incorporated by Mr. R.K. Sharma in 1973.
The company is engaged in the fabrication and erection of
transmission towers in West Bengal, Assam, and other north-eastern
states. SSIPL is also engaged in the trading of iron products.


SVERA AGRO: CARE Assigns B+ Rating to INR15cr LT Loan
-----------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Svera
Agro Limited (SAL), as:

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long-term Bank
   Facilities           15.00      CARE B+; Stable Assigned

Detailed Rationale and key rating drivers

The rating assigned to the bank facilities of SAL is constrained
by its small scale of operations with low net worth base & low
profitability margins and weak solvency position. The rating is
further constrained by exposure to raw material price volatility,
funding risk and execution risk associated with the project and
company's presence in highly competitive and fragmented industry.
The ratings, however, derive strength from experienced promoters
and moderate liquidity position.

Going forward, the ability of the company to improve its scale of
operations while improving its profitability margins and
overall solvency position and ability of the company to complete
its project on time and within cost estimates would
remain the key rating sensitivity.

Detailed description of the key rating drivers

Key Rating Strengths

Experienced promoters in the food and food products industry SAL
was incorporated in 1996 as a public limited company however, the
operations started in April 2017. It is currently being looked
after by Mr. Sukhwant Singh, Ms. Harpreet Kaur and Mr.Mahiner
Singh Malhotra as directors. The directors have a total work
experience ranging from two decades to three decades in the food
products industry which they have gained through SAL and group
concern - Bawa Masala Company Private Limited and other regional
entities. This has led to management's better understanding of the
market and establishment of strong relationships with suppliers as
well as customers.

Moderate liquidity position: The average operating cycle of the
company stood short at 5 days for FY18. The company maintains
inventory in the form of raw material to ensure smooth production
process and finished goods to meet the demands of the customers
timely resulting into average inventory period of 45 days for
FY18. The company generally sells its goods on cash basis,
however, to some of the customers, credit period of around one
month is provided which resulted in average collection period of 2
days for FY18. On the supplier side, the company receives a
payment period of one to two months resulting into average
creditor period of 41 days for FY18. Further, the free cash and
bank balance stood at INR1.91 crore as on March 31, 2018.

Key Rating Weaknesses

Small scale of operations with low net worth base and low
profitability margins: Owing to first year of operations, the
scale of operations of the company stood low marked by total
operating income (TOI) of INR30.96 crore in FY18 and net worth
base of INR1.63 crore as on March 31, 2018. Furthermore, gross
cash accruals stood relatively low at INR0.45 crore in FY18. The
small scale limits the financial flexibility of the company in
times of stress and deprives it of scale benefits. The company
achieved sales of INR27.00 crore in 9MFY19 (Prov.). Further, the
PBILDT margin and PAT margin of the company stood low at 1.90% and
0.67% respectively in FY18 owing to company's presence in highly
competitive and fragmented nature of industry.

Weak solvency position: The capital structure of the company stood
leveraged marked by overall gearing ratio of 3.31x as on March 31,
2018 on account of dependence upon external borrowings to finance
the various requirements of the company Further, the total debt to
GCA ratio stood weak at 11.95x for FY18. However, interest
coverage ratio stood comfortable at 20.34x in FY18.

Funding risk & Execution risk: The total cost of setting up the
unit is approx. INR15.00 crore. As on date, INR7.00 crore has been
incurred on the project through working capital borrowings and
current liabilities. The project will be fully operational by
April'19. Term loan of INR10.00 crore is yet to be sanctioned.
Therefore, the company is exposed to funding risk as well as
execution risk.

Presence in highly competitive industry with susceptibility of its
margins to volatile raw material prices: The highly localized
nature of Indian food processing industry has increased its
fragmentation. Further, due to the ever increasing size of the
Indian middle class, MNCs have been trying to penetrate and expand
their market share, by way of innovative strategies like
competitive pricing, aggressive advertisement campaign, celebrity
endorsements and others, thereby increasing the competition. The
raw materials are agro-commodities. The prices of such raw
materials are highly fluctuating in nature, as seasonality affects
the availability and prices to a large extent. Further due to
competitive intensity, the ability of SAL to pass-on the entire
increase in cost to its customers remains limited and creates
pressure on its profitability.

The entity based in New Delhi, was incorporated in 1997 as a
public limited company. However, the operations stated in April
2017. The company is currently being managed by Mr. Sukhwant
Singh, Ms. Harpreet Kaur and Mr. Mahinder Singh Malhotra. SAL is
engaged in manufacturing, processing, grinding and blending of
spices at its manufacturing facility located in Sonipat, Haryana
with a total installed capacity of manufacturing 6260 tonne per
annum as on December 31, 2018. The product line includes all types
of spices like Chaat Masala, Garam Masala, Chana Masala, etc. It
sells the blended spices under the brand name - NARPA. Besides
SAL, the directors are also associated with the group concern -
Bawa Masala Company Private Limited, which is into similar
business since 1993.


THERMO PRODUCTS: CARE Moves D Rating to Not Cooperating Category
----------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Thermo
Products Private Limited (TPPL) to Issuer Not Cooperating
category.

                    Amount
   Facilities     (INR crore)    Ratings
   ----------     -----------    -------
   Long Term          5.33       CARE D; Issuer Not Cooperating;
   Facilities                    Based on best available
                                 information

   Short Term         0.50       CARE D; Issuer Not Cooperating;
   Facilities                    Based on best available
                                 information

CARE has been seeking information from TPPL to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, October
16, 2018, December 6, 2018 and numerous phone calls.
However, despite CARE's repeated requests, the firm has not
provided the requisite information for monitoring the ratings. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of the best available information which however, in
CARE's opinion is not sufficient to arrive at a fair rating. The
rating on TPPL's bank facilities and/or instruments 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 ratings take into account the ongoing delays in servicing of
interest and principal on the term loan availed by the
Company.

Detailed description of the key rating drivers

At the time of last rating on December 7, 2018, the following were
the rating strengths and weaknesses

Key Rating Weakness

Delay in debt servicing obligations: As per the interaction with
the banker, there are ongoing delays in repayment of
principal and interest portion of term loan. Timely repayment of
debt is the key rating sensitivity.

Pune (Maharashtra) based TPPL, incorporated in 2004 is promoted by
Mr. Mukesh Agarwal and Mr. Omprakash Agarwal. The company is
engaged in the manufacturing of packaging material viz. EPS
(Expanded Polystyrene or Styrofoam popularly known as thermocol)
buffers at its manufacturing facility located at Sanaswadi, Pune
with an installed capacity of 3000 metric tonne per annum. EPS
buffers, manufactured by TPPL find application in the packaging of
consumer durable goods. TPPL is a part of the Prakash group of
companies which is engaged in the manufacturing of packaging
material for more than three decades through other group companies
"Prakash Corrugated Pune Private Limited" and "Shree Bhagwan Tubes
& Containers Private Limited".


TIRUMALA DALL: CARE Moves B+ Rating to Not Cooperating Category
---------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of
Tirumala Dall Udyog (TDU) to Issuer Not Cooperating category.

                     Amount
   Facilities      (INR crore)     Ratings
   ----------      -----------     -------
   Long term Bank       7.00       CARE B+; Stable, Issuer Not
   Facilities                      Cooperating; Based on best
                                   Available Information

CARE has been seeking information from TDU to monitor the ratings
vide e-mail communications/letters dated October 4, 2018, November
14, 2018 and December 18, 2018 and numerous phone calls. However,
despite CARE's repeated requests, the firm has not provided the
requisite information for monitoring the ratings. In line with the
extant SEBI guidelines, CARE has reviewed the rating on the basis
of the best available information which however, in CARE's opinion
is not sufficient to arrive at a fair rating. The rating on TDU's
bank facility and 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 ratings.

The ratings take into account the small scale of operations with
thin profit margins, leveraged capital structure and weak debt
service coverage indicators.  The rating is further constrained by
working capital intensive nature of operations, vulnerability to
fluctuation in raw material prices along with its presence in
highly fragmented and regulated industry and constitution of
entity as a proprietorship firm limiting financial flexibility in
times of stress.

The rating, however, derives strength from long experience of the
promoter with long track record of operations, locational
advantage emanating from proximity to raw material and support
from group with presence in related businesses.

Detailed description of the key rating drivers

At the time of last rating on December 5, 2017 the following were
the rating strengths and weaknesses.

Key Rating Weaknesses

Small scale of operations with thin profit margins: The operations
of the entity remained small with total operating income of
INR38.98 crore in FY17 and low networth base of INR1.38 crore as
on March 31, 2017 thus limiting financial flexibility of the
entity in times of stress. Moreover, by being in the business of
processing of pulses, entailing low value additions, the entity's
profitability margins stood low.

Leveraged capital structure with weak debt service coverage
indicators: The relatively low net worth base of the entity
led to increased reliance on working capital borrowings and
unsecured loans to support its business operations, hence
resulting in leveraged capital structure. Moreover, with low
profitability and high debt profile, the debt coverage
indicators of the entity remained weak.

Working capital intensive nature of business: Operations of the
entity remained working capital intensive with high gross current
assets of 97 days in FY17 owing to high inventory period. The
working capital requirements are met by the cash credit facility
availed by the entity utilization of which remained high.

Vulnerability to fluctuation in raw material prices: 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 lead
to volatility in raw material prices.

Presence in highly fragmented and regulated industry: The
competitive nature of agro-product processing industry due to low
entry barriers, high fragmentation and the presence of a large
number of players in the organized and unorganized sector
translate in inherent thin profitability margins. Further, the raw
material prices are regulated by government to safeguard the
interest of farmers, which in turn limits the bargaining power of
the millers.

Constitution as a proprietorship firm limiting financial
flexibility: TDU, being a proprietorship concern, is exposed to
inherent risk of proprietor's capital being withdrawn at times of
personal contingency and limited ability to raise capital.
Moreover, poor succession planning may result in dissolution of
firm.

Key Rating Strengths

Experienced proprietor with long track record of operations: TDU
is currently managed by Mrs. Vijayalaxmi Bholla. She is well-
versed with the intricacies of the business on the back of about
one and a half decades of experience in agro based industries
through the associate concerns. She looks after the overall
function of the firm and is ably supported by a team of qualified
professionals. Long experience of the proprietor has supported the
business risk profile of the entity to a large extent. Further,
the firm is in the business since past one and a half decade,
which resulted in establishing good relationship with its
customers and suppliers.

Locational advantage emanating from proximity to raw material:
TDU's unit has close proximity to local grain markets of Nagpur,
major raw material procurement destinations for the entity.
Furthermore, the plant is having good transportation facilities
and other requirements like good supply of power, water etc.
Accordingly, TDU has locational advantage in terms of proximity to
raw material and connectivity.

Support from group with presence in related businesses: The firm
belongs to a group of seven entities managed by Mr. Ramanrao
Bholla and Mrs. Vijayalaxmi Bholla. Furthermore, TDU benefits from
the marketing and distribution network of its various group
entities and extensive experience and established relations of its
proprietors.

Nagpur based, TDU was established in March 27, 2003 and is
promoted by Vijayalaxmi Bholla. TDU is engaged in processing of
pulses (chana dal and daliya) with its processing facility located
at Nagpur, Maharashtra. Apart from this, the entity is also into
trading of food grains (around 10-15% of total operating income).
The entity procures the raw material from farmers during the peak
season while during the off season it procures raw material from
domestic suppliers based in Nagpur, Chikli, etc. and further sells
the finished products in the domestic market.


VADALIA FOODS: Ind-Ra Migrates B Issuer Rating to Non-Cooperating
-----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Vadalia Foods'
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:

-- INR70 mil. Fund-based working capital limit migrated to non-
     cooperating category with IND B (ISSUER NOT COOPERATING)/
     IND A4 (ISSUER NOT COOPERATING) rating; and

-- INR171 mil. Term loan due on September 2021 to May 2023
     migrated to non-cooperating category with IND B (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

Established in July 2013, Gujarat-based Vadalia Foods is engaged
in food processing and manufacturing of packaged snacks. The
firm's partners have around two decades of experience in cotton
trading and ginning, cement manufacturing, laminates
manufacturing, etc.



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


MAHANA ESTATE: Assets Sold to Booster for Undisclosed Price
-----------------------------------------------------------
Jamie Gray at NZ Herald reports that Wellington-based financial
services firm Booster and Nelson's Seifried Estate have bought
most of the assets of winery and tourism business Mahana Estate,
which went into receivership last year.  The sale price was not
disclosed, the report says.

Mahana was placed in receivership last September when a previous
sale fell through and a stoush between shareholders spiraled into
litigation.

The Herald reported at the time angry scenes between Mahana
director Glenn Schaeffer and two Las Vegas businessmen and casino
owners, James Murren and Daniel Lee. This turned into a lengthy
court battle, which resulted in Mr. Schaeffer being ordered to pay
US$2.3 million.

The Herald relates that Booster has also bought Mahana Estate's
Upper Moutere 2,589 square metre four-level winery, which is
capable of crushing 600 tonnes of grapes annually and is sustained
by its own on-site cellaring facility and bottling plant, estate
agent Bayleys said in a statement.

The acquisition includes Mahana's cellar door tasting room and
retail outlet, which also operates as restaurant, the report says.

A lodge featuring three residences capable of accommodating 14
guests at a time within the Mahana winery estate is still being
marketed for sale, according to the Herald.

The two winery asset sales were brokered by viticulture and winery
specialist Mike Poff of Bayleys Marlborough.

The Herald says the property went on sale after it was tipped into
receivership in September after struggling for three years with a
lawsuit brought by Las Vegas casino moguls against its sole
director and majority shareholder, Glenn Schaeffer.

"It has been particularly encouraging to see the Mahana Estates'
assets bought back into New Zealand domiciled ownership from their
previous North American proprietor structure," the report quotes
Mr. Poff as saying.

Bayleys was in talks with a number of commercial accommodation
providers who had previously expressed interest in solely
acquiring Mahana's lodge assets, the report relates.

"It has been a delicate process managing the sell-down of the
various Mahana real estate and business assets in a strategic
programme delivering the best possible returns for the receiver
Korda Mentha and the various creditors. But there is one more
piece of the jigsaw to go," Mr. Poff, as cited by the Herald,
said.

                     About Mahana Estates

Nelson-based vineyard and hospitality provider, Mahana Estates
(previously Woollaston Estates), set in the hills above
Nelson, has been operating for 18 years as an established,
vertically integrated winery and includes 30 hectares of mixed
grape vineyards, state of the art gravity flow winery and
bottling plant, cellar door, restaurant and event space.


The company was placed into receivership on Sept. 28, 2018.
KordaMentha partners, Brendon Gibson and Natalie Burrett have
been appointed Receivers.

Receivers last year said the business owed about $20 million to a
related company that developed the vineyard and winery, the Herald
discloses.  Rabobank was also owed $3.2 million, the receivers
from KordaMentha said. Trade creditors are owed a further $223,000
and employees are claiming $41,696.



================
S R I  L A N K A
================


SRI LANKA TELECOM: Fitch Withdraws B IDR for Commercial Reasons
---------------------------------------------------------------
Fitch Ratings has affirmed Sri Lanka Telecom PLC's Long-Term
Foreign- and Local-Currency Issuer Default Ratings at 'B'. The
Outlook is Stable. The agency has simultaneously withdrawn the
ratings for commercial reasons.

The ratings were withdrawn with the following reason for
Commercial Purposes

KEY RATING DRIVERS

Ratings Constrained by Sovereign: Prior to the withdrawal, SLT's
IDRs were constrained by Sri Lanka's IDRs of 'B' as per Fitch's
Government-Related Entities Rating Criteria, as the state holds a
majority stake in SLT directly and indirectly, and exercises
significant influence on its operating and financial profile.
SLT's second-biggest shareholder, Malaysia's Usaha Tegas Sdn Bhd
at 44.9%, has no special provisions in its shareholder agreement
to dilute the government's significant influence over SLT.

Strong State Linkages: Fitch sees SLT's status, ownership and
control by the Sri Lankan sovereign as 'Strong'. The state's
ownership gives it significant influence over operating and
financial policies. Fitch views the support record and
expectations for the likelihood of state support for SLT as
'Strong', given its strategic importance in expanding the
country's fibre infrastructure. Historically, SLT has not required
tangible financial support due to its healthy financial profile.

State's Incentive to Support: Fitch sees the socio-political
implications of a default by SLT as 'Moderate' due to the presence
of three other privately owned telcos. However, it could affect
the fixed-line market because SLT acts as a policy company to
invest in fibre networks across the island to support the
government's vision of fibre-based internet for all households.
Fitch also sees the financial implications of a default as
'Strong', as a financial default by SLT may have an impact on the
availability and cost of financing options for other government-
related entities.

High Capex, Negative FCF: Fitch expects SLT to have negative free
cash flow (FCF) during 2019-2020 (estimated 2018 negative FCF of
LK2 billion-3 billion) as cash flow from operations may be
insufficient to fund large capex plans to expand the fibre
infrastructure and 4G mobile networks. Fitch expects SLT's 2019
capex to remain high, at around 28%-30% of revenue (2018
estimated: 30%), as it aims to complete its 4G population coverage
to around 95% by end-2019. However, managment expects its
capex/revenue to decline to around 18%-20% in 2019.

Fitch expects SLT to continue to invest in expanding fibre
coverage as it aims to connect about 1 million homes by 2020-2021,
from the 70,000 homes currently enabled. SLT would typically need
to lay fibre for at least 2 million homes for half of the
households to be connected. Fitch expects SLT's fibre investments
to have low returns due to the country's low broadband tariffs.
Dividends are likely to remain around LKR1.6 billion-1.8 billion
in the next two to three years.

Data-Driven Growth: Fitch expects revenue to grow by a mid-single-
digit percentage during 2019-2020 (barring any tax shocks), driven
by data and fixed-broadband growth. Fitch expects 4G smartphone
penetration to improve from the current 25% with the proliferation
of cheaper Chinese phones. Revenue rose strongly by 6.5% in the
first nine months of 2018, driven by fixed-broadband and mobile
usage after a temporary usage slump in 2017 due to higher taxes on
voice and data. Fitch expects the government's recent announcement
on the removal of floor rates for voice call charges to have only
a limited impact on growth.

Industry Consolidation: Fitch believes the recently announced
merger between Hutchison Telecommunications Lanka (Private) Ltd
and Etisalat Lanka (Private) Ltd is likely to relieve some
competitive pressures that have undermined telecom companies'
revenue and EBITDA growth in recent years. The merger is pending
regulatory approval. Industry consolidation is likely to provide
some relief from pricing pressure, especially in the data segment
where telcos have not been able to fully capture the strong growth
in data traffic.

Stable Sector Outlook: Fitch's outlook for the Sri Lankan telco
sector is stable as Fitch expects the mean net leverage for SLT
and mobile market leader, Dialog Axiata PLC (AAA(lka)/Stable), to
remain stable at around 1.4x in 2019. Fitch expects the sector's
cash generation to improve, driven by higher mobile and broadband
data usage, which will be insufficient, however, to fund the large
capex requirement, leading to negative FCF. Fitch also expects
average operating EBITDAR margins to remain stable at around 34%
(2018 estimate: 34%), driven by improving economies of scale in
the data and home broadband segment, offsetting the negative
impact of the changing revenue mix.

DERIVATION SUMMARY

SLT's 'BB' standalone credit profile, assessed by Fitch prior to
the rating withdrawal, is stronger than that of its owner,
reflecting the company's market-leading position in fixed-line
services and second-largest position in mobile, along with its
ownership of an extensive optical-fibre network. The standalone
profile is also underpinned by its mid-single-digit percentage
growth prospects, moderate estimated 2018 FFO adjusted net
leverage of 1.7x and stable operating EBITDAR margin.

SLT has lower exposure to the crowded mobile market and more
diverse service platforms than Dialog. However, Dialog has a
larger revenue base, better operating EBITDAR margins, lower
forecast FFO adjusted net leverage and a better FCF profile than
SLT.

KEY ASSUMPTIONS

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

  - Revenue to grow by the mid-single-digit percentage, driven
    by fixed-broadband and mobile-data services in 2018-2019.

  - Capex/revenue to remain high at around 28%-30% as SLT expands
    its fibre and 4G network.

  - Operating EBITDAR margin to remain stable at around 29%-30%.

  - Effective tax rate of 28%.

  - Dividend payout of LKR1.6 billion-1.8 billion per year.

RATING SENSITIVITIES

No longer relevant as the ratings have been withdrawn.



                             *********

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
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Information contained herein is obtained from sources believed
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