/raid1/www/Hosts/bankrupt/TCRAP_Public/221006.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
Thursday, October 6, 2022, Vol. 25, No. 194
Headlines
A U S T R A L I A
ATHENA TRUST 2021-1PP: Fitch Hikes Rating on Class F Notes to B+sf
BAKERY PROJECT: First Creditors' Meeting Set for Oct. 10
BLUESTONE MORTGAGES: Fitch Keeps B Rating on F Debt on Observation
CUBE FOODS: First Creditors' Meeting Set for Oct. 10
GARDENSCAPE DESIGN: Second Creditors' Meeting Set for Oct. 12
GRIFFIN COAL: Owes AUD1.4 Billion to Indian Lenders
MAXICOSINIK PTY: First Creditors' Meeting Set for Oct. 7
PRINT RITE: Second Creditors' Meeting Set for Oct. 10
TRITON TRUST 2018-1: Fitch Keeps B+ Rating on E Debt on Observation
ZENBLY PTY: Sudden Collapse Due to Tough Market Conditions
[*] Norton Rose Names Scott Atkins as Fin'l. Restructuring Co-Head
B A N G L A D E S H
BANGLADESH: Fitch Affirms 'BB-' Foreign Currency IDR
C H I N A
E-HOUSE CHINA: Files for Chapter 15 Bankruptcy Protection in N.Y.
REDCO PROPERTIES: Fitch Lowers LT Foreign Currency IDR to 'CC'
YUNNAN ENERGY: Fitch Affirms 'BB+' Rating on Sr. Unsecured Debt
I N D I A
ACUITY INDIA: CARE Keeps D Debt Rating in Not Cooperating
AEGIS VALUE: Insolvency Resolution Process Case Summary
ALLFLEX PLASTICS: CARE Keeps C Debt Rating in Not Cooperating
AMBICA AGRO: CARE Keeps B- Debt Rating in Not Cooperating
ANNAPURNA PET: CARE Lowers Rating on INR19.30cr LT Loan to D
ARDEE HI-TECH: Insolvency Resolution Process Case Summary
ASHTECH BUILDPRO: CARE Keeps B- Debt Rating in Not Cooperating
AYKA MOULD: CARE Keeps D Debt Ratings in Not Cooperating
BENGAL ANTIBIOTICS: CARE Keeps D Debt Ratings in Not Cooperating
BHAGIRATH DAIRY: CARE Keeps D Debt Rating in Not Cooperating
BHAGWATI STONE: CARE Keeps B- Debt Rating in Not Cooperating
BHAVANI WIRE: CARE Lowers Rating on INR5cr LT Loan to B-
C ESWARA: CARE Keeps B- Debt Rating in Not Cooperating Category
C GOPAL: CARE Keeps B- Debt Rating in Not Cooperating Category
CARITOR TECH PARK: Voluntary Liquidation Process Case Summary
CHAKKRA COAL: CARE Keeps B+ Debt Rating in Not Cooperating
CHETAN ALLOYS: CARE Keeps C Debt Rating in Not Cooperating
CORAGGIO HOLDINGS: Voluntary Liquidation Process Case Summary
D.K. PROJECT: CARE Keeps B+ Debt Ratings in Not Cooperating
DAWER SONS: CARE Lowers Rating on INR7cr LT Loan to B-
DURGA AUTOMART: CARE Keeps B- Debt Rating in Not Cooperating
DURGA AUTOMOTIVES: CARE Keeps B- Debt Rating in Not Cooperating
DWARKA METROHILLS: CARE Keeps C Debt Rating in Not Cooperating
FAIRDEAL VINTRADE: Insolvency Resolution Process Case Summary
GREENKO ENERGY: S&P Upgrades ICR to 'BB-', Outlook Stable
GS OILS LIMITED: Liquidation Process Case Summary
KATHPAL DAIRIES: CARE Keeps D Debt Rating in Not Cooperating
KHARIKATIA TEA: Liquidation Process Case Summary
LAVASA CORP: Homebuyers' Bid to Reject Resolution Plan Nixed
MAILHEM ENVIRONMENT: CARE Keeps B- Debt Rating in Not Cooperating
MAX GRANITO: Insolvency Resolution Process Case Summary
METRO CONCRETE: Insolvency Resolution Process Case Summary
MODERN CONSTRUCTION: CARE Keeps B- Debt Rating in Not Cooperating
RADIANT BAR: CARE Keeps B+ Ratings in Not Cooperating Category
RJ BIO-TECH: Insolvency Resolution Process Case Summary
RNR CONSTRUCTIONS: CARE Lowers Rating on INR6cr LT Loan to B-
RNR IMPORTS: CARE Keeps D Debt Rating in Not Cooperating
RODAS IMPEX: CARE Lowers Rating on INR18.58cr LT Loan to B+
SAKTHI PAPERS: CARE Keeps D Debt Ratings in Not Cooperating
SARA SPINTEX: CARE Keeps D Debt Rating in Not Cooperating Category
SHREEJI DISTRIBUTORS: CARE Lowers Rating on INR10cr LT Loan to B
TOPSGRUP SERVICES: Liquidation Process Case Summary
UNITED SYSTEMS: CARE Lowers Rating on INR3cr LT Loan to D
UNIVERSAL SEMICONDUCTORS: Voluntary Liquidation Case Summary
VIJAI SPINNERS: Liquidation Process Case Summary
I N D O N E S I A
BAYAN RESOURCES: Fitch Withdraws 'BB-' Foreign Currency IDR
N E W Z E A L A N D
J FUSION: Creditors' Proofs of Debt Due on Oct. 28
LICHFIELD MOTORS: Creditors' Proofs of Debt Due on Nov. 3
NAGIDAC EARTHMOVING: Court to Hear Wind-Up Petition on Oct. 20
SILVER BACK: Creditors' Proofs of Debt Due on Nov. 27
TIMELESS CUTS: Creditors' Proofs of Debt Due on Oct. 29
S I N G A P O R E
ANTUIT HOLDINGS: Creditors' Proofs of Debt Due on Nov. 5
ATLANTIC ESBJERG: Commences Wind-Up Proceedings
EUROAUTOMOBILE: Relinquishes Alfa Romeo Distributorship
FUNCREATE PTE: Creditors' Proofs of Debt Due on Nov. 5
TANAR TRADING: Creditors' Proofs of Debt Due on Nov. 7
THREE ARROWS: More Than 300 NFTs Moved from Fund Linked to Company
- - - - -
=================
A U S T R A L I A
=================
ATHENA TRUST 2021-1PP: Fitch Hikes Rating on Class F Notes to B+sf
------------------------------------------------------------------
Fitch Ratings has upgraded three note classes and affirmed nine
from Athena 2021-1PP Trust and Athena 2021-2PP Trust. Fitch has
also removed both transactions' class F notes from Under Criteria
Observation (UCO), on which they were placed on June 6, 2022.
The transactions are backed by pools of first-ranking Australian
conforming residential full-documentation mortgage loans originated
by Athena Mortgage Pty Limited. The notes were issued by Perpetual
Corporate Trust Limited in its capacity as trustee.
The upgrades are supported by the build-up of credit enhancement
since closing. Athena 2021-1PP's class F notes have been upgraded
due to a reduction of the largest obligor test, driven by a
criteria change, which resulted in the notes being constrained by
three notches at 'B+sf', where previously the notes were
constrained at 'Bsf'.
Debt Rating Prior
---- ------ -----
Athena 2021-1PP Trust
A AU3FN0062709 LT AAAsf Affirmed AAAsf
B AU3FN0062717 LT AA+sf Upgrade AAsf
C AU3FN0062725 LT A+sf Upgrade Asf
D AU3FN0062733 LT BBB+sf Affirmed BBB+sf
E AU3FN0062741 LT BB+sf Affirmed BB+sf
F AU3FN0062758 LT B+sf Upgrade Bsf
Athena 2021-2PP Trust
A AU3FN0065389 LT AAAsf Affirmed AAAsf
B AU3FN0065397 LT AAsf Affirmed AAsf
C AU3FN0065405 LT Asf Affirmed Asf
D AU3FN0065413 LT BBBsf Affirmed BBBsf
E AU3FN0065421 LT BBsf Affirmed BBsf
F AU3FN0065439 LT Bsf Affirmed Bsf
KEY RATING DRIVERS
Resilient Asset Performance: There were no loans in arrears at
end-July 2022 for both transactions, tracking well below Fitch's
2Q22 Dinkum RMBS Index's 30+ day and 90+ day arrears of 0.82% and
0.45%, respectively. Transaction performances have been strong with
no losses in the trusts.
The 'AAAsf' weighted-average foreclosure frequency (WAFF) for
Athena 2021-1PP is 6.1%, driven by the weighted-average (WA)
unindexed loan/value ratio (LVR) of 51.0% and investment loans of
17.4% of the pool. The 'AAAsf' WA recovery rate (WARR) of 34.5% is
driven by the portfolio's WA indexed scheduled LVR of 47.0% and WA
portfolio loss floor at 'AAAsf' of 4.0%.
The 'AAAsf' WAFF for Athena 2021-2PP is 6.2%, driven by the WA LVR
of 51.0%, under Fitch's methodology and investment loans of 14.4%
of the pool. The 'AAAsf' WARR of 36.0% is driven by the portfolio's
WA indexed scheduled LVR of 49.9% and WA portfolio loss floor at
'AAAsf' of 4.0%.
Liquidity Risk Mitigated: Structural features for both trusts
include liquidity facilities sized at 1.5% of the rated note
balance, with a floor of AUD450,000. This is sufficient to mitigate
Fitch's payment interruption risk. Principal draws are available to
fund income shortfalls before the liquidity facility is drawn. The
rated notes can withstand relevant Fitch stresses applied in our
cash flow analysis.
Originator Adjustment due to Limited Performance Data: Mortgages
were originated by Athena in its ordinary course of business.
Athena is a non-bank mortgage lender established in 2017 with
operations in Sydney, Australia. Fitch undertook an operational
review and found that the operations of the originator and servicer
were comparable with market standards. Fitch has applied a 5%
increase to our base foreclosure frequency due to limited
originator-specific performance data.
Tight Labour Market to Support Outlook: Performance is underpinned
by Australia's continued economic growth and a tight labour market,
despite increasing interest rates. GDP grew 3.6% in the year to
June 2022 and unemployment was at 3.5% in August 2022. Fitch
expects GDP growth to slow to 1.9% in 2023 with unemployment
increasing to 4.1%, reflecting the global slowdown and the lagged
impact of the Reserve Bank of Australia's aggressive monetary
tightening.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
The transactions' performance may be affected by changes in market
conditions and the economic environment. Weakening asset
performance is strongly correlated with increasing levels of
delinquencies and defaults that could reduce credit enhancement
available to the notes.
Downgrade Sensitivity
Unanticipated increases in the frequency of defaults and loss
severity on defaulted receivables could produce loss levels higher
than Fitch's base case and are likely to result in a decline in
credit enhancement and remaining loss-coverage levels available to
the notes. Decreased credit enhancement may make certain note
ratings susceptible to negative rating action, depending on the
extent of the coverage decline. Hence, Fitch conducts sensitivity
analysis by stressing a transaction's initial base-case
assumptions.
The rating sensitivity section provides insight into the
model-implied sensitivities the transaction faces when assumptions
- WAFF or WARR - are modified, while holding others equal. The
modelling process uses the modification of default and loss
assumptions to reflect asset performance in up and down
environments. The results should only be considered as one
potential outcome, as the transaction is exposed to multiple
dynamic risk factors.
Athena 2021-1PP
Notes: Class A / B / C / D / E / F
Rating: AAAsf / AA+sf / A+sf / BBB+sf / BB+sf / B+sf
Increase defaults by 15%: AAAsf / AA+sf / Asf / BBB+sf / BB+sf /
B+sf
Increase defaults by 30%: AAAsf / AAsf / Asf / BBBsf / BBsf / B+sf
Reduce recoveries by 15%: AAAsf / AA+sf / Asf / BBB+sf / BBsf /
B+sf
Reduce recoveries by 30%: AAAsf / AAsf / A-sf / BBBsf / BB-sf /
B+sf
Increase defaults by 15% and reduce recoveries by 15%: AAAsf / AAsf
/ A-sf / BBBsf / BB-sf / B+sf
Increase defaults by 30% and reduce recoveries by 30%: AAAsf / A+sf
/ BBB+sf / BB+sf / Bsf / Bsf
Athena 2021-2PP
Notes: Class A / B / C / D / E / F
Rating: AAAsf / AAsf / Asf / BBBsf / BBsf / Bsf
Increase defaults by 15%: AAAsf / AA-sf / A-sf / BB+sf / BB-sf /
below Bsf
Increase defaults by 30%: AAAsf / A+sf / BBB+sf / BB+sf / B+sf /
below Bsf
Reduce recoveries by 15%: AAAsf / AA-sf / BBB+sf / BB+sf / B+sf /
below Bsf
Reduce recoveries by 30%: AAAsf / A+sf / BBBsf / BBsf / B+sf /
below Bsf
Increase defaults by 15% and reduce recoveries by 15%: AAAsf / A+sf
/ BBBsf / BBsf / B+sf / below Bsf
Increase defaults by 30% and reduce recoveries by 30%: AAAsf / Asf
/ BB+sf / B+sf / below Bsf / below Bsf
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
An upgrade could result from macroeconomic conditions, loan
performance and credit losses that are better than Fitch 's
baseline scenario or sufficient build-up of credit enhancement that
would fully compensate for credit losses and cash flow stresses
commensurate with higher rating scenarios, all else being equal.
Upgrade Sensitivity
Athena 2021-1PP
The class A notes are at 'AAAsf', which is the highest level on
Fitch's scale. The rating cannot be upgraded.
However, results for the remaining rated notes are as follows:
Note: B / C / D / E / F
Rating: AA+sf / A+sf / BBB+sf / BB+sf / B+sf
Decrease defaults by 15% and increase recoveries by 15%: AAAsf /
AAsf / Asf / BBBsf / B+sf
The sensitivity of the class F note is constrained by five notches
due to the large obligor test.
Athena 2021-2PP
As the class A notes are at 'AAAsf', upgrade sensitivity stresses
for these notes are not relevant. However, results for the
remaining rated notes are as follows:
Note: B / C / D / E / F
Rating: AAsf / Asf / BBBsf / BBsf / Bsf
Decrease defaults by 15% and increase recoveries by 15%: AA+sf /
A+sf / A-sf / BB+sf / B+sf
The sensitivity of the class F note is constrained by two notches
due to the large obligor test.
USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10
Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset
pools and the transactions. Fitch has not reviewed the results of
any third-party assessment of the asset portfolio information as
part of its ongoing monitoring.
Prior to the transactions closing, Fitch sought to receive a
third-party assessment conducted on the asset portfolio
information, but none was available for these transactions.
As part of its ongoing monitoring, Fitch conducted a review of a
small targeted sample of the originator's origination files and
found the information contained in the reviewed files to be
adequately consistent with the originator's policies and practices
and the other information provided to the agency about the asset
portfolio.
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
BAKERY PROJECT: First Creditors' Meeting Set for Oct. 10
--------------------------------------------------------
A first meeting of the creditors in the proceedings of The Bakery
Project Pty Ltd will be held on Oct. 10, 2022, at 3:00 p.m. at the
offices of Mackay Goodwin at Suite 12.02, Level 12, 20 Bridge
Street in Sydney.
Grahame Ward and David Hurst of Mackay Goodwin were appointed as
administrators of the company on Sept. 27, 2022.
BLUESTONE MORTGAGES: Fitch Keeps B Rating on F Debt on Observation
------------------------------------------------------------------
Fitch Ratings has affirmed one note class of the Bluestone
Mortgages Warehouse Trust, and maintained five Under Criteria
Observation (UCO). The transaction is backed by a pool of
first-ranking Australian residential conforming and non-conforming
mortgage loans. All mortgages were originated by Bluestone Group
Pty Ltd and the notes were issued by Permanent Custodians Limited
in its capacity as trustee of Bluestone Mortgages Warehouse Trust.
The class B, C, D, E and F notes were placed UCO on 2 June 2022
following the publication of Fitch's APAC Residential Mortgage
Rating Criteria. Fitch has maintained the UCO as the transaction is
being restructured. These notes will be reviewed after the
finalisation of the restructure and no later than 2 December 2022.
Debt Rating Prior
---- ------ -----
Bluestone Mortgages
Warehouse Trust
A LT AAAsf Affirmed AAAsf
B LT AAsf Under Criteria Observation AAsf
C LT Asf Under Criteria Observation Asf
D LT BBBsf Under Criteria Observation BBBsf
E LT BBsf Under Criteria Observation BBsf
F LT Bsf Under Criteria Observation Bsf
TRANSACTION SUMMARY
The transaction is a warehouse that purchases receivables on a
revolving basis during an availability period. The current term for
the availability period expires in November 2022; however, it can
be extended at the request of the manager and the subsequent
agreement of the financiers, and is subject to eligibility criteria
and pool parameters. The transaction will move to sequential
principal payment if amortisation and sequential trigger events are
subsisting.
Payment of the class A, B, C, D, E and F additional interest is
excluded from its rating analysis, as the additional interest for
the notes is subordinated below losses at all times. Non-payment of
additional residual interest will not lead to an event of default,
as outlined in the transaction documentation.
KEY RATING DRIVERS
Stable Asset Performance: The 30+ day and 90+ day arrears at
end-July 2022 were 2.5% and 1.1%, respectively, and above Fitch's
2Q22 Dinkum Non-Conforming RMBS Index of 1.2% and 0.4%. Losses
remained low, with all losses covered by excess spread.
Credit Enhancement (CE) Supports Ratings: Cash flow and asset
modelling was not performed for this review, in line with Fitch's
APAC Residential Mortgage Rating Criteria. The transaction has an
availability period, and therefore Fitch's analysis is based on a
proxy pool, which was stressed based on pool parameters in the last
model run in April 2022, and historical data to reflect Fitch's
expectation of the pool's future composition. These include maximum
obligor exposure, maximum loan size, maximum percentage of low
documentation mortgages and interest-only loans.
Class B, C, D, E and F were placed UCO on 2 June 2022 following the
publication of Fitch's APAC Residential Mortgage Rating Criteria.
Fitch has maintained the UCO as the transaction is being
restructured. These notes will be reviewed after the finalisation
of the restructure and no later than 2 December 2022.
Low Operational and Servicing Risk: Bluestone is a non-bank lender
with extensive experience in originating, servicing and managing
its mortgage portfolio. Fitch undertook an operational review and
found that the operations of the originator and servicer were
comparable with market standards and that there were no material
changes that may affect Bluestone's ongoing ability to undertake
administration and collection activities.
Bluestone's collection timelines, policies, procedures and
origination practices are largely in line with those of other
lenders in Australia. However, its lending has historically
targeted a greater portion of low-documentation, self-employed
borrowers in comparison with the general mortgage market.
Tight Labour Market to Support Outlook: Performance is supported by
Australia's continued economic growth (GDP growth for the year to
June 2022 was 3.6%) and tight labour market (unemployment for
August 2022 was 3.5%), despite rising interest rates. Fitch expects
GDP growth to slow to 1.9% in 2023 with unemployment increasing to
4.1%, reflecting the global slowdown and the lagged impact of the
Reserve Bank of Australia's aggressive monetary tightening.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
A deterioration in macroeconomic fundamentals and consumers'
financial positions in Australia beyond Fitch's expectations, where
available CE cannot compensate for the higher credit losses and
cash flow stresses, all else being equal. Unanticipated increases
in the frequency of defaults and loss severity on defaulted
receivables could produce loss levels higher than Fitch's base case
and are likely to result in a decline in CE and remaining
loss-coverage levels available to the notes. Decreased CE may make
certain note ratings susceptible to negative rating action,
depending on the extent of the coverage decline. Hence, Fitch
conducts sensitivity analysis by stressing a transaction's initial
base-case assumptions.
The rating sensitivity section provides insight into the
model-implied sensitivities the transaction faces when assumptions
- weighted-average foreclosure frequency or weighted-average
recovery rate - are modified, while holding others equal. The
modelling process uses the modification of default and loss
assumptions to reflect asset performance in up and down
environments. The results should only be considered as one
potential outcome, as the transaction is exposed to multiple
dynamic risk factors.
The rating sensitivity for the resolution of the UCO status will be
Fitch's completion of its analytical work reviewing the ratings
under its new criteria and the new transaction structure.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. Fitch has not reviewed the results of any
third-party assessment of the asset portfolio information or
conducted a review of origination files as part of its ongoing
monitoring.
Prior to the transaction closing, Fitch sought to receive a
third-party assessment conducted on the asset portfolio
information, but none was made available to Fitch for this
transaction. As part of its ongoing monitoring, Fitch conducted a
review of a small targeted sample of the originator's origination
files and found the information contained in the reviewed files to
be adequately consistent with the originator's policies and
practices and the other information provided to the agency about
the asset portfolio.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis, according to its applicable rating methodologies,
indicates that it is adequately reliable.
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
CUBE FOODS: First Creditors' Meeting Set for Oct. 10
----------------------------------------------------
A first meeting of the creditors in the proceedings of Cube Foods
Australia Pty Ltd will be held on Oct. 10, 2022, at 4:00 p.m. at
the offices of Mackay Goodwin at Suite 12.02, Level 12, 20 Bridge
Street in Sydney.
Grahame Ward and David Hurst of Mackay Goodwin were appointed as
administrators of the company on Sept. 27, 2022.
GARDENSCAPE DESIGN: Second Creditors' Meeting Set for Oct. 12
-------------------------------------------------------------
A second meeting of creditors in the proceedings of Gardenscape
Design (Dubbo) Pty Ltd has been set for Oct. 12, 2022, at 11:00
a.m. virtually via Zoom Meeting.
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 Oct. 11, 2022, at 5:00 p.m.
Steven John Priest of Chamberlain's SBR was appointed as
administrator of the company on Sept. 6, 2022.
GRIFFIN COAL: Owes AUD1.4 Billion to Indian Lenders
---------------------------------------------------
ABC News reports that Griffin Coal, a failed coal mine at the
centre of a growing crisis affecting Western Australia's
electricity system, owes a group of Indian banks more than AUD1.4
billion, according to an audit of the company's finances.
In a report filed with the corporate regulator, Jeremy Nipps from
Melbourne-based liquidator Cor Cordis, found Griffin Coal owed
AUD1.41 billion to secured creditors through a trustee known as
Certane, ABC relays.
It is understood Certane acts on behalf of an Indian banking
syndicate led by ICICI Bank, which has been the ultimate owner of
the coal mine near Collie south of Perth since Indian firm Lanco
Infratech hit the wall in 2017.
A further AUD33 million was owed to more than 230 other unsecured
creditors including the WesTrac heavy machinery business controlled
by Kerry Stokes' Seven Group, the Australian Taxation Office,
mining giant Glencore and dozens of small companies from Collie,
ABC discloses.
According to ABC, revelations about the size of the debt sparked
calls from politicians and analysts for the banks to "come clean"
on their losses to stem the pain for Collie and head off a
potential disaster in WA's biggest electricity grid.
It also comes after the banks put Griffin into receivership with
consultancy Deloitte last month in a bid to stymie attempts by a
disaffected customer to seize control of the mine.
ABC relates that South West Upper House Liberal MP Steve Thomas
said it was unacceptable that such an important part of WA's
economy was mired in crisis because a group of banks seemed
unwilling to accept their mistakes.
Dr. Thomas said suggestions in the liquidator's report that Griffin
had recoverable assets worth about AUD200 million were likely to be
grossly overvalued.
Regardless, he said they would go practically nowhere towards
paying the money owed to the Indian lenders.
"I think it's time for the companies in charge of this to come
clean," ABC quotes Dr. Thomas as saying. "It's time for people to
be told the true financial situation of Griffin Coal.
"There are just not sufficient financial assets to get anywhere
near the amount of debt that this company owes.
"It's only the embarrassment of a few executive directors of the
ICICI Bank, in my view, and their need to keep hidden from their
colleagues the disaster that they have presided over, that has kept
this company alive for the past few years."
According to the report, the plight of Griffin, which is believed
to have lost money ever since Lanco Infratech paid more than AUD700
million for the asset in 2010, has been thrust into the spotlight
amid rising fears for the security of WA's power system.
The mine is also supposed to supply the nearby Worsley Alumina
refinery, which is considered the jewel in the crown of ASX-listed
miner South32, ABC relays.
However, Griffin's failure to supply contracted volumes to Worsley
last month prompted South32 to make the extraordinary announcement
it was seeking to import coal from overseas to maintain its
operations.
Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing. Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth. The Company is
producing more than three million tons of coal per year. Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.
MAXICOSINIK PTY: First Creditors' Meeting Set for Oct. 7
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Maxicosinik
Pty Ltd and Maxiflo Pty Ltd will be held on Oct. 7, 2022, at 10:30
a.m. at the offices of Pilot Partners at Level 10, 1 Eagle Street
in Brisbane.
Bradley Vincent Hellen of Pilot Partners was appointed as
administrator of the company on Sept. 26, 2022.
PRINT RITE: Second Creditors' Meeting Set for Oct. 10
-----------------------------------------------------
A second meeting of creditors in the proceedings of Print Rite
Australia Pty Ltd has been set for Oct. 10, 2022, at 11:00 a.m. via
telephone conference only.
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 Oct. 7, 2022, at 5:00 p.m.
Kenneth Michael Whittingham and Brett Stephen Lord of Kroll
Advisory Co were appointed as administrators of the company on
Sept. 2, 2022.
TRITON TRUST 2018-1: Fitch Keeps B+ Rating on E Debt on Observation
-------------------------------------------------------------------
Fitch Ratings has maintained five classes Under Criteria
Observation (UCO) from Triton Trust No. 9 NTX Warehouse Series
2018-1, on which they were placed UCO on June 2, 2022 following
the publication of Fitch's APAC Residential Mortgage Rating
Criteria. Fitch has maintained the UCO as the transaction is being
restructured. These notes will be reviewed after the finalisation
of the restructure and no later than December 2, 2022.
The transaction consists of notes backed by a pool of first-ranking
Australian residential mortgages originated by Columbus Capital Pty
Limited. The notes were issued by Perpetual Corporate Trust Limited
as trustee for Triton Trust No.9 NTX Warehouse Series 2018-1.
Debt Rating Prior
---- ------ -----
Triton Trust No.9 NTX
Warehouse Series 2018-1
A LT AAsf Under Criteria Observation AAsf
B LT Asf Under Criteria Observation Asf
C LT BBBsf Under Criteria Observation BBBsf
D LT BBsf Under Criteria Observation BBsf
E LT B+sf Under Criteria Observation B+sf
TRANSACTION SUMMARY
The transaction is a warehouse that purchases receivables on a
revolving basis during an availability period. The current term for
the availability period expires in October 2022; however, it can be
extended at the request of the manager and the subsequent agreement
of the financiers, and is subject to eligibility criteria and pool
parameters. The transaction will move to sequential principal
payment if an amortisation event is subsisting.
Payment of class A subordinated interest and of class B, C, D and E
residual interest is excluded from our rating analysis. Class A
subordinated interest is subordinated below losses if an
amortisation event is subsisting, while class B, C, D and E
residual interest is subordinated below losses when the outstanding
asset balance is below AUD16.5 million. Non-payment of subordinated
or residual interest will not lead to an event of default, as
outlined in the transaction documentation.
KEY RATING DRIVERS
Resilient Asset Performance: Both 30+ and 90+ day arrears were 0.4%
of the pool as of end-July 2022, against 0.82% and 0.45%,
respectively, for Fitch's 2Q22 Dinkum RMBS Index. Transaction
performance has been strong, with no losses since closing.
Credit Enhancement (CE) Supports Ratings: Cash flow and asset
modelling was not performed for this review, in line with Fitch's
APAC Residential Mortgage Rating Criteria. The transaction has an
availability period, so Fitch's analysis is based on a proxy pool
stressed to pool parameters provided by Columbus Capital and
further stressed by Fitch. Stress levels were defined on originator
and historical data and Fitch's forward-looking view. Stresses were
applied to a number of portfolio characteristics to reflect the
historical portfolio composition and Fitch's expected future
portfolio composition of the pool.
Class A, B, C, D and E notes have documented minimum CE percentages
of 6.5%, 4.0%, 2.5%, 1.45% and 0.95%, respectively, during the
availability period. The transaction employs a sequential structure
after the availability period, with no pro rata pay down permitted.
The transaction also benefits from a liquidity reserve sized at
1.4% of the outstanding note balance, subject to a documented floor
of AUD375,000.
Operational and Servicing Risk Consistent with Market Standard:
Columbus Capital is a non-bank financial institution that commenced
lending in 2006 and specialises in Australian residential mortgage
lending, third-party loan servicing and trust management. Fitch
undertook an operational review and found that the operations of
the originator and servicer were comparable with market standards
and that there were no material changes that may affect Columbus
Capital's ongoing ability to undertake origination, administration
and collection activities.
Tight Labour Market to Support Outlook: Performance is supported by
Australia's continued economic growth (3.6% GDP growth for the year
to June 2022) and tight labour market (3.5% unemployment in August
2022), despite rising interest rates. Fitch expects GDP growth to
slow to 1.9% in 2023, with unemployment increasing to 4.1%,
reflecting the global slowdown and the lagged impact of the Reserve
Bank of Australia's aggressive monetary tightening.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
A deterioration in macroeconomic fundamentals and consumers'
financial positions in Australia beyond Fitch's expectations, where
available CE cannot compensate for the higher credit losses and
cash flow stresses, all else being equal. Unanticipated increases
in the frequency of defaults and loss severity on defaulted
receivables could produce loss levels higher than Fitch's base case
and are likely to result in a decline in CE and remaining
loss-coverage levels available to the notes. Decreased CE may make
certain note ratings susceptible to negative rating action,
depending on the extent of the coverage decline. Hence, Fitch
conducts sensitivity analysis by stressing a transaction's initial
base-case assumptions.
The rating sensitivity for the resolution of the UCO status will be
Fitch's completion of its analytical work reviewing the ratings
under its new criteria and the new transaction structure.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
Macroeconomic conditions, loan performance and credit losses that
are better than Fitch's expectations or sufficient build-up of CE
that would fully compensate for credit losses and cash flow
stresses commensurate with higher rating scenarios, all else being
equal.
The rating sensitivity for the resolution of the UCO status will be
Fitch's completion of its analytical work reviewing the ratings
under its new criteria and the new transaction structure.
DATA ADEQUACY
Fitch has checked the consistency and plausibility of the
information it has received about the performance of the asset pool
and the transaction. There were no findings that were material to
this analysis.
Prior to closing, Fitch sought to receive a third-party assessment
conducted on the asset portfolio information, but none was made
available for this transaction.
As part of its ongoing monitoring, Fitch reviewed a small targeted
sample of the originator's origination files and found the
information contained in the reviewed files to be adequately
consistent with the originator's policies and practices and the
other information provided to the agency about the asset
portfolio.
Overall, and together with any assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis, according to its applicable rating methodologies,
indicates that it is adequately reliable.
ZENBLY PTY: Sudden Collapse Due to Tough Market Conditions
----------------------------------------------------------
News.com.au reports that a technology start-up called Zenbly Pty
Ltd, which created and serviced operating systems for Australian
gyms, had collapsed suddenly and unexpectedly because of tough
market conditions.
ASIC records obtained by news.com.au show that Zenbly went into
administration on April 7 this year and went into liquidation
shortly afterwards.
News.com.au notes that the company's failure appeared a surprise to
everyone, including the company's director.
Zenbly's liquidators, Alan Walker and Glenn Livingstone of WLP
Restructuring, wrote that the company's sudden collapse was brought
on by demand of a large debt to be paid, news.com.au notes.
According to a report, an early investor in the company, Vicex
Holdings Proprietary Limited, wanted its stock converted into
dollars in April.
Although its convertible notes was valued at AUD1.85 million,
Zenbly was unable to gather together the funds and appointed
administrators soon after.
Zenbly collapsed owing AUD2.6 million to 18 creditors, news.com.au
discloses citing the administrator's report.
The company was founded in mid-2019 and didn't make a profit for
the last three years.
The report relates that in 2020, Zenbly had a net loss of
AUD93,000. The following year, it had a larger liability of
AUD372,000. The last financial year, it made AUD173,000. Its
operating expenses were AUD1.9 million and the firm made a net loss
of AUD1.7 million.
Zenbly's failure occured due to several reasons, according to the
report, including launching an expensive software that took too
long to turn a profit, poor management of expenses and reliance on
outside funding to keep the company afloat because it was
undercapitalised, news.com.au discloses.
At its peak, Zenbly's director valued the company's intellectual
property at between AUD8 and AUD12 million.
However, administrators ended up selling Zenbly's software for just
AUD500,000 to another tech outfit, adds the report.
The liquidators Mr. Walker and Mr. Livingstone did not respond to
repeated requests from news.com.au for comment.
[*] Norton Rose Names Scott Atkins as Fin'l. Restructuring Co-Head
------------------------------------------------------------------
Global law firm Norton Rose Fulbright announced on Oct. 4 that
Australian partner Scott Atkins has been appointed global co-head
of financial restructuring and insolvency, alongside US-based
partner Howard Seife.
Scott and Howard lead a global team of bankruptcy, financial
restructuring and insolvency lawyers at the forefront of the most
significant cross-border restructuring and insolvency cases
involving complex multi-jurisdictional issues and regional
insolvency laws.
Scott is a leading lawyer in one of the most reputable
restructuring and insolvency practices in the Asia-Pacific region,
having been repeatedly recognised as Australia's only 'Eminent
Practitioner' for this category in the Chambers and Partners
regional legal rankings.
Along with this work, Scott is also the chair and head of risk
advisory for the firm in Australia and president and an inaugural
fellow of INSOL International, as well as chair of INSOL's Asian
Advisory Council. He is a member of the International Insolvency
Institute and a Fellow of the Australian Academy of Law. Scott is
the immediate past president of the Australian Restructuring
Insolvency and Turnaround Association.
Scott brings a long history of advising on international matters.
He led a team, working with the Asian Development Bank and the
Union Supreme Court of Myanmar, to draft a new insolvency and
restructuring framework for Myanmar, culminating in the passage of
Myanmar's Insolvency Law in February 2020 – a transformative and
economically important piece of legislation. This has led to
similar current advisory work for Scott and the firm in Armenia.
Norton Rose Fulbright global chief executive partner Gerry Pecht
commented:
"We are thrilled to have Scott join Howard in leading this globally
renowned team for our clients and our firm. Bankruptcy, financial
restructuring and insolvency is a major focus of our cross-border
work, and we are fortunate to be trusted by multi-national clients
to advise on their most complex matters. Scott’s history of
leading insolvency associations, and the unique perspective he has
gained from helping countries to modernise their insolvency
regimes, will be an enormous benefit to our clients and people."
Scott Atkins commented:
"Through the remainder of 2022 and into next year, we expect
greater economic headwinds as the result of inflationary pressure,
governments winding back COVID support measures and continuing
geo-political unrest, supply chain constraints and rising interest
rates. These factors will see an increase in cross-border and
domestic restructuring and insolvency matters, which we are well
placed to help our clients navigate. I am honoured to join Howard
in leading our global financial restructuring and insolvency team
at this important time for our clients and the firm."
===================
B A N G L A D E S H
===================
BANGLADESH: Fitch Affirms 'BB-' Foreign Currency IDR
----------------------------------------------------
Fitch Ratings has affirmed Bangladesh's Long-Term Foreign-Currency
Issuer Default Rating (IDR) at 'BB-' with a Stable Outlook.
KEY RATING DRIVERS
Strong Growth, Weak Structural Profile: The rating reflects
Bangladesh's strong growth prospects, government debt that is below
the 'BB' median and a manageable external debt repayment profile.
This is balanced by low government revenue, low per capita income,
a weak banking sector and deficient governance indicators. The
Stable Outlook reflects its view that the move to greater
exchange-rate flexibility and the prospect of continued support
from external official creditors will help Bangladesh navigate a
challenging external environment posed by the Ukraine war and
rising global interest rates.
Reduced Pressure on International Reserves: Foreign-exchange
reserves fell by 16% to USD38.9 billion in 8M22 amid surging
imports and foreign-currency (FX) intervention by the central bank.
However, Fitch believes pressure on reserves should ease following
policy measures to curb imports, a hike in administered fuel prices
of nearly 50% and greater exchange-rate flexibility. Fitch also
expects the current-account deficit to narrow to 3.0% of GDP in
2023 and 2.3% in 2024, from 4.0% in 2022, with FX reserves
averaging at USD34 billion, or 4.7 months of current external
payments, in 2023-2024.
There are, however, downside risks to its forecasts from a renewed
surge in global fuel and food costs stemming from the
Russia-Ukraine war. The FX reserve buffer is adequate relative to
external financing needs, including external debt repayments, but
limited transparency in reserve management could increase
uncertainty and hurt the credibility of the policy framework. The
actual level of available liquid FX reserves could be lower than
gross figures suggest, since a portion is allocated to the Export
Development Fund and Bangladesh Investment Development Fund.
IMF Programme, Manageable Debt Service: Fitch said, "We believe
Bangladesh is negotiating an IMF programme, possibly for 2023, to
finance climate change-related measures. We do not think the
country faces refinancing stress in the near term, but an IMF
programme could support its external position and benefit policy
credibility. Bangladesh's external debt service is low relative to
peers, averaging at 6% of current external receipts over 2023-2024,
against the 12% 'BB' median. External refinancing risk is reduced
by the external-debt creditor composition, at 53.8% multilateral
and 46.2% bilateral."
Strong Growth Prospects: Fitch expects economic activity to slow to
5.0% in the fiscal year ending June 2023 (FY23), given the
temporary measures to contain imports and curb electricity
consumption. However, growth should pick up to 6.4% in 2024 as
these measures are eased along with a fall in commodity prices. The
recovery from the Covid-19 pandemic has continued, with GDP
expanding by 7.3% in FY22. Growth has been broad based; supported
by private consumption with the aid of remittances, government
spending, investment and a surge in ready-made garment exports of
35% yoy.
Government Debt Below Peer Median: Bangladesh's government debt/GDP
ratio is much lower than the 'BB' median. Its baseline assumptions
forecast government debt to increase moderately to 38.3% of GDP by
FY24. This is significantly below the projected 54.3% of the 'BB'
median. Fiscal risks include sustained fiscal slippage, the
extension of forbearance measures to the banking sector and
potential contingent liabilities owing to the debt of state-owned
enterprises.
Low Government Revenue: The general government revenue/GDP ratio,
at 9.8% in FY22, is a key credit weakness and much below the 27.3%
'BB' median. The already low revenue base could be further
undermined by measures contained in the FY23 budget, including a
corporate tax cut without offsetting measures. The budget targets a
deficit of 5.5% of GDP. The deficit could undershoot the
government's target, as has occurred in the past, but its FY23
economic growth forecast trails the government's 7.5%, meaning that
the budget deficit is likely to slightly exceed the government's
target.
Weak Banking-Sector Governance: Fitch regards the health of
Bangladesh's banking sector and governance standards as weak,
especially among public-sector banks. Official data reveals that
the system's gross non-performing loan (NPL) ratio reached 8.5% by
end March-2022, from 7.9% at end-2021. The NPL ratio of state-owned
commercial banks, at 20.0%, is substantially higher than the 5.8%
of private-sector banks, but the ratios could rise further once
forbearance measures are withdrawn.
Bank capitalisation is thin relative to prevailing market risks and
Fitch believes the banking sector could be a source of contingent
liability for the sovereign if credit stress intensifies. The
system's capital adequacy ratio (CAR) stood at 11.4% as of March
2022, against 11.08% at end-2021, while the CAR of state-owned
banks was 6.8%, up from 3.7%.
Structural Indicators Weaker than Peers: Bangladesh falls in the
23rd percentile on the World Bank's composite governance score,
compared with 47th for the 'BB' median. Foreign direct investment
is constrained by large infrastructure gaps, although government
projects in the next few years could bode well for investment. The
security situation in Bangladesh has improved in recent years and
is now of less concern to foreign visitors, although the risk of a
recurrence and political turmoil remains.
ESG - Governance: Bangladesh has an ESG Relevance Score of '5' for
both Political Stability and Rights and the Rule of Law,
Institutional and Regulatory Quality and Control of Corruption.
These scores reflect the high weight that the World Bank Governance
Indicators (WBGIs) have in its proprietary Sovereign Rating Model.
Bangladesh has a low WBGI ranking in the 23rd percentile,
reflecting the relatively weak rights for participation in the
political process and institutional capacity, uneven application of
the rule of law and a high level of corruption.
RATING SENSITIVITIES
123456789012345678901234567890123456789012345678901234567890123456
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- External Finances: Increased external vulnerabilities, for
instance, through a sustained drop in FX reserves or a
sustained widening of the current account deficit that
creates risks to economic stability.
- Public Finances: A sustained and rapid rise in government
debt over the medium term, for example, due to continued
fiscal easing, the absence of structural improvements in
public finances or the crystallisation of contingent
liabilities related to banks or other state-owned
enterprises.
- Macro: Weaker medium-term growth prospects, for example,
due to loss of competitiveness of key economic sectors,
such as ready-made garments, lower remittances or a
deterioration in internal security.
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- Public Finances: Increased confidence in Bangladesh's
capacity to deliver fiscal consolidation and debt
stabilisation over the medium term, for example,
through a sustained improvement in the structure of
public finances in terms of a higher revenue base
and lower contingent liabilities.
- Structural: Significant improvement in institutional
capacity and the implementation of measures to
address economic vulnerabilities, including
weaknesses in the banking sector.
SOVEREIGN RATING MODEL (SRM) AND QUALITATIVE OVERLAY (QO)
Fitch's proprietary SRM assigns Bangladesh a score equivalent to a
rating of 'BB' on the Long-Term Foreign-Currency IDR scale.
Fitch's sovereign rating committee adjusted the output from the SRM
to arrive at the final Long-Term Foreign-Currency IDR by applying
its QO, relative to SRM data and output, as follows:
Structural: -1 notch to reflect weak institutional capacity and
limited progress in addressing fiscal and broader economic issues,
including long-standing vulnerabilities in the banking sector in
terms of governance, asset quality and capitalisation.
Fitch's SRM is the agency's proprietary multiple regression rating
model that employs 18 variables based on three-year centred
averages, including one year of forecasts, to produce a score
equivalent to a Long-Term Foreign-Currency IDR. Fitch's QO is a
forward-looking qualitative framework designed to allow for
adjustment to the SRM output to assign the final rating, reflecting
factors within its criteria that are not fully quantifiable and/or
not fully reflected in the SRM.
ESG CONSIDERATIONS
Bangladesh has an ESG Relevance Score of '5' for Political
Stability and Rights as WBGIs have the highest weight in Fitch's
SRM and are therefore highly relevant to the rating and a key
rating driver with a high weight. As Bangladesh has a percentile
rank below 50 for the respective Governance Indicator, this has a
negative impact on the credit profile.
Bangladesh has an ESG Relevance Score of '5' for Rule of Law,
Institutional & Regulatory Quality and Control of Corruption as
WBGIs have the highest weight in Fitch's SRM and are therefore
highly relevant to the rating and are a key rating driver with a
high weight. As Bangladesh has a percentile rank below 50 for the
respective Governance Indicators, this has a negative impact on the
credit profile.
Bangladesh has an ESG Relevance Score of '4' for Human Rights and
Political Freedoms as the Voice and Accountability pillar of the
WBGIs is relevant to the rating and a rating driver. As Bangladesh
has a percentile rank below 50 for the respective Governance
Indicator, this has a negative impact on the credit profile.
Bangladesh has an ESG Relevance Score of '4' [+] for Creditor
Rights as willingness to service and repay debt is relevant to the
rating and is a rating driver for Bangladesh, as for all
sovereigns. As Bangladesh has 20 plus year record without a
restructuring of public debt - as captured in its SRM variable -
this has a positive impact on the credit profile.
Except for the matters discussed above, the highest level of ESG
credit relevance, if present, is a score of 3. This means ESG
issues are credit-neutral or have only a minimal credit impact on
the entity, either due to their nature or to the way in which they
are being managed by the entity.
Entity Rating Prior
------ ------ -----
Bangladesh LT IDR BB- Affirmed BB-
ST IDR B Affirmed B
LC LT IDR BB- Affirmed BB-
LC ST IDR B Affirmed B
Country Ceiling BB- Affirmed BB-
=========
C H I N A
=========
E-HOUSE CHINA: Files for Chapter 15 Bankruptcy Protection in N.Y.
-----------------------------------------------------------------
Bloomberg Law reports that E-House China Enterprise Holdings Ltd on
Oct. 3 filed for Chapter 15 bankruptcy in Manhattan, a move that
gives it protection from creditors in the US while it works out a
restructuring elsewhere.
According to Bloomberg Law, the real estate agency, which counts
China Evergrande Group among its key customers, is undergoing a
debt restructuring in the Cayman Islands.
The Chapter 15 filing prevents creditors from seizing the company's
US assets while its Cayman restructuring plays out, the report
notes.
E-House is a China-based real estate transaction service provider.
REDCO PROPERTIES: Fitch Lowers LT Foreign Currency IDR to 'CC'
--------------------------------------------------------------
Fitch Ratings has downgraded China-based homebuilder Redco
Properties Group Ltd's Long-Term Foreign-Currency Issuer Default
Rating (IDR) to 'CC' from 'CCC-'. Fitch has also downgraded the
senior unsecured ratings to 'CC' from 'CCC-', with the Recovery
Ratings remaining at 'RR4'.
The downgrades follow Redco's weakened liquidity and heightened
debt servicing risk to its short term capital market maturities. In
addition, there have been market news reports that the company
missed an interest payment due in August and the 30-days grace
period has expired.
Fitch was unable to verify the non-payment of interest and the
company has not provided further information to Fitch beyond the
public announcements.
Fitch is withdrawing the ratings as Redco has chosen to stop
participating in the rating process. Therefore, Fitch will no
longer have sufficient information to maintain the ratings.
Accordingly, Fitch will no longer provide ratings or analytical
coverage for Redco.
KEY RATING DRIVERS
Uncertain Bond Interest Payment: Redco has not made any public
statements in response to market news that the company missed an
interest payment due on 6 August 2022 on its REDPRO 11.0% US dollar
notes maturing in August 2023. Fitch was unable to verify the
accuracy of this news.
Heightened Debt Servicing Risk: Fitch believes that the company may
not be able to access the capital market in the short term and
expect it to rely on cash on hand and internal cash flow to address
upcoming maturities in 2023. Redco at end-June 2022 had
unrestricted cash of CNY2.9 billion (excluding restricted cash of
CNY5.5 billion), which was insufficient to cover its short-term
borrowings of CNY6.7 billion, including senior notes of CNY3.1
billion due in a year.
Weak Contracted Sales: Redco's total contracted sales fell by 39%
yoy in 8M22 to CNY17.9 billion. Fitch believes sales recovery
remains uncertain in the near term. The weak sales will continue to
hamper the company's cash flow generation and build-up of its
liquidity buffer.
DERIVATION SUMMARY
Redco's ratings reflect the increasing debt servicing risks amid
market reports about its non-payment of the bond interest.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within Its Rating Case for the Issuer:
- Deteriorating contracted sales in line with negative market
sentiment;
- No land acquisitions.
KEY RECOVERY RATING ASSUMPTIONS
The recovery analysis assumes that Redco would be liquidated in a
bankruptcy because it is essentially an asset-trading company.
Fitch has assumed a 10% administrative claim in line with
criteria.
Fitch uses a multiple assumption tool to derive a 4x EBITDA
multiple to estimate the going-concern value. The nature of
homebuilding means the liquidation value approach always results in
a much higher value than the going-concern approach.
Liquidation Approach
The liquidation estimate reflects Fitch's view of the value of
balance-sheet assets that can be realised in sale or liquidation
processes conducted during a bankruptcy or insolvency proceeding
and distributed to creditors.
- 80% advance rate applied to accounts receivable. This treatment
is in line with its recovery rating criteria.
- 20% advance rate applied to investment properties. Redco's
investment property portfolio mainly consists of commercial
buildings in Tier 2 and Tier 3 cities and has an implied yield
of 1%-2%. Fitch considers a 20% advance rate as appropriate
because the implied rental yield on the liquidation value of
the portfolio would improve to 6%, which would be considered
acceptable in a secondary market transaction.
- 50% advance rate applied to property, plant and equipment,
which mainly consist of buildings, the value of which is
insignificant.
- 56% advance rate applied to net inventory. Redco's inventory
mainly consists of completed properties held for sales,
properties under development (PUD) and deposits/prepayments for
land acquisitions. Different advance rates were applied to
these different inventory categories to derived the blended
advance rates for net inventory
- 70% advance rate applied to completed properties held for sale.
Completed commodity housing units are closer to readily
marketable inventory. Redco's gross margin was 10%-15% in 1H22,
which is a similar level to the industry. Therefore, an advance
rate of 70% was applied.
- 50% advance rate applied to PUD. Unlike completed projects, PUD
are more difficult to sell. These assets are also in various
stages of completion. A 50% advance rate was applied. The PUD
balance - prior to applying the advance rate - is net of
margin-adjusted customer deposits.
- 50% advance rate applied to joint venture (JV) net assets. JV
assets typically include a combination of completed units, PUD
and land bank. A 50% advance rate was applied in line with the
baseline advance rate for inventories.
- 0% advance rate applied to excess cash. China's homebuilding
regulatory environment means that available cash, including
pre-sales regulated cash, is typically prioritised for project
completion which includes payment for trade payables. Net
payables (trade payables - available cash) are included in the
debt waterfall ahead of secured debt. However, Fitch does not
assume available cash in excess of outstanding trade payables
would be available for other debt servicing purposes and
therefore the advance rate for excess cash is 0%.
The allocation of value in the liability waterfall results in
recovery corresponding to 'RR1' for the senior unsecured offshore
bonds. However, the Recovery Rating is capped at 'RR4' because,
under Fitch's Country-Specific Treatment of Recovery Ratings
Criteria, China falls into Group D of creditor friendliness, and
instrument ratings of issuers with assets in the group are subject
to a soft cap at the issuer's IDR.
RATING SENSITIVITIES
Rating sensitivities are not applicable, given the withdrawal of
the ratings.
LIQUIDITY AND DEBT STRUCTURE
Tight Liquidity: Redco at end-June 2022 had unrestricted cash of
CNY2.9 billion (excluding restricted cash of CNY5.5 billion), which
is insufficient to cover its short-term borrowings of CNY6.7
billion, including senior notes of CNY3.1 billion due in a year.
ISSUER PROFILE
Redco, founded in 1992 as a construction and decoration business,
has ventured into property sales, and construction and
project-management services. Property sales accounted for over 90%
of the company's revenue in 2020 and 2021.
ESG CONSIDERATIONS
Redco has an ESG Relevance Score of '4' for Financial Transparency
due to a lack of disclosure relating to a possible non-payment of
interest and its debt servicing plan, which has a negative impact
on the credit profile, and is relevant to the ratings in
conjunction with other factors.
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
Entity/Debt Rating Recovery Prior
----------- ------ -------- -----
Redco Properties
Group Ltd LT IDR CC Downgrade CCC-
LT IDR WD Withdrawn CC
senior unsecured LT CC Downgrade RR4 CCC-
senior unsecured LT WD Withdrawn CC
YUNNAN ENERGY: Fitch Affirms 'BB+' Rating on Sr. Unsecured Debt
---------------------------------------------------------------
Fitch Ratings has affirmed Yunnan Provincial Energy Investment
Group Co., Ltd.'s (YEIG) Long-Term Foreign-Currency Issuer Default
Rating (IDR) and senior unsecured rating at 'BBB-'. At the same
time, Fitch has affirmed YEIG's wholly subsidiary Yunnan Energy
Investment (HK) Co. Limited's (YEIHK) Long-Term IDR at 'BBB-'. The
Outlook on both IDRs remains Negative.
Fitch also affirmed the ratings on YEIG's US dollar notes at 'BBB-'
and the rating on the senior perpetual securities at 'BB+'. The
notes and securities were issued by YIEHK's 100% subsidiary Yunnan
Energy Investment Overseas Finance Company Ltd. The notes are
unconditionally and irrevocably guaranteed by YEIG or YEIHK. YEIG
provides credit support via a keepwell deed and deed of equity
interest purchase and investment undertaking to the
YEIHK-guaranteed notes.
The Negative Outlook on YEIG reflects downward pressure on Fitch's
internal assessment of Yunnan provincial government's
creditworthiness, due to weakening finances and rising debt from an
already high level, amid a slowing economy, a sharp decline in land
sales and recurring Covid-19 shocks.
The government has forged ahead in resolving Yunnan Health &
Cultural Tourism Holding Group Co., Ltd.'s (Yunnan H&C) debt
pressure, a major risk impeding YEIG's and other large Yunnan
government-related entities' (GRE) funding access. The Yunnan
State-owned Assets Supervision and Administration Commission
(SASAC) and Yunnan H&C are working with creditors to optimise
Yunnan H&C's debt through deleveraging, increasing debt stability
and early repayment of high-cost debt.
Fitch's view Yunnan H&C's debt optimisation plan, if executed
successfully, as positive for Yunnan GREs' funding access, but it
is premature to determine the extent and duration of the
improvement for YEIG. YEIG's access to medium-to-long-term debt
financing has recovered gradually since 2H21, with Yunnan H&C and
YEIG repaying their outstanding offshore bonds in 1H22. YEIG's
declining debt costs, evident in the rates on its domestic bond
issues and offshore borrowings, reflect improved market
acceptance.
Fitch assesses YEIG's ratings on the four factors in Fitch's GRE
Rating Criteria. This results in Fitch rating YEIG using a top-down
approach, notching down YEIG's rating from its internal assessment
of Yunnan's creditworthiness, reflecting a strong likelihood of
government support. YEIHK's ratings are equalised with YEIG's
reflecting strong legal linkage under the Parent and Subsidiary
Linkage Rating Criteria.
KEY RATING DRIVERS
'Very Strong' Status, Ownership, Control: YEIG is more than 90%
indirectly owned by the Yunnan SASAC, with 83.1% held through
Yunnan Provincial Investment Holdings Group Co. Ltd. (YIG). Yunnan
SASAC directly controls YEIG's strategy and key financial and
investment decisions. YEIG has aligned with Yunnan's economic
development policies by expanding into renewable power, salt
production, natural gas distribution, coal mining, logistics and
investing in other provincial state-owned enterprises (SOEs).
'Weak' Support Record: The assessment reflects Fitch's view that
although the Yunnan government has provided support through equity
and asset injections in the past, support has been insufficient to
keep YEIG's standalone credit profile (SCP) at a reasonably strong
level. In addition, YEIG's investments in weaker Yunnan SOEs in
recent years have generated little cash return and increased its
financial burden.
'Moderate' Socio-Political Implications of Default: YEIG holds
minority shareholdings in large hydropower projects and has low
sales volume in natural gas, making a default less critical to
Yunnan's energy security than that of other provincial energy
companies. However, a default may impair YEIG's ability to invest
in provincial assets, including natural gas pipelines, logistics
and renewable power projects, and the upgrade or consolidation of
coal mines.
'Strong' Financial Implications of Default: YEIG is one of the
province's largest SOEs and borrowers. It is also Yunnan's largest
offshore bond issuer with the lowest funding costs historically. A
financial default by YEIG would severely impair debt funding for
other provincial SOEs.
Operational Improvement: Fitch expects YEIG to generate positive
cash flow from operations (CFO) from 2022 after prolonged net
outflow. CFO turned positive in 1H22 on improved profit and higher
dividend income. Coal mining profit rose strongly in 2021 and 1H22
on high coal prices, offsetting lower power-generation profit in
1H22. Gross profit from silicon products also rose strongly in 1H22
as capacity ramped up.
YEIG received a CNY750 million dividend in 1H22 from its 15% in
Yunchuan Hydropower, which holds Wudongde and Baihetan hydropower
stations with 26.2GW total capacity. It plans to sell its 15% to
China Yangtze Power Co., Ltd. (CYPC, A+/Stable) for CYPC's stock
and CNY8.05 billion cash, likely in 2023.
Ambitious Renewable Power Plan: YEIG is committed to investing in
wind and solar energy in the next few years to serve Yunnan's
renewable power targets. Power consumption has outpaced capacity
installation in the province since 2017. YEIG's listed subsidiary
Yunnan Energy Investment Co., Ltd has raised CNY1.87 billion from a
share placement to fund development of 1.57GW of wind power, with
decent profitability based on expected tariffs and generation.
The province targets installation of 50GW solar power in the next
three years while YEIG is mandated to undertake 20GW. Fitch expects
aggressive capex from YEIG in solar power despite some
uncertainties on tariff and development cost.
SCP Assessed as 'b-': Fitch expects YEIG's historically weak credit
metrics, due partly to its sizeable equity investments in other
provincial SOEs, to improve over the medium term. YEIG's
EBITDA/interest paid coverage has hovered around 1.0x-1.2x in the
past four years, and Fitch expects it to improve to 1.3x in 2022
and further to 1.4x in 2024, on strength in coal prices, potential
consolidation of Jinma Group's financials from 2023, profit
contribution from renewable power and lower average funding cost.
Financial Adjustments: YEIG reports investment income as revenue
and includes it in CFO as it treats investment as core business.
Fitch has adjusted YEIG's 2021 financials by removing CNY7.65
billion investment gains from EBITDA and adding it to respective
investment income accounts, including income from associate
companies and asset sale gains. Fitch has also adjusted the cash
flow statement by moving CNY1.85 billion profit from investment
disposals from CFO to cash flow from investment. These adjustments
have led to lower EBITDA and CFO by Fitch standards against YEIG's
reporting.
DERIVATION SUMMARY
YEIG's rating is linked to, but not equalised with, Fitch's
internal assessment of the creditworthiness of Yunnan province,
under its GRE criteria. Its assessment of 'Very Strong' status,
ownership and control can be compared with the 'Strong' assessment
for Gansu Province Electric Power Investment Group Co., Ltd. (GPI,
BBB-/Stable), reflecting a higher degree of government involvement
in YEIG's strategy and operations, including more frequent and
significant asset restructurings to align YEIG's strategy with the
government's agenda. The assessment of 'Weak' for the support
record, against 'Moderate' for GPI, reflects insufficient
government support to YEIG to strengthen its cash flow or relieve
its debt burden, which leads to YEIG's weaker financial metrics and
bond market access compared with GPI.
The assessment of 'Moderate' for socio-political implications of
default is in line with that for GPI, which also has a low market
share in provincial power supply. Fitch assesses the factor as
'Strong' for Zhejiang Provincial Energy Group Company Ltd.
(A+/Stable) due to its significantly higher power-generation market
share in Zhejiang province. The assessment of 'Strong' financial
implications of default is in line with that for GPI, as both
entities are large provincial energy SOEs that are regarded as
close to being proxy government borrowers, and they enjoying lower
funding costs than many other provincial SOEs.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within Its Rating Case for the Issuer:
- Sales of 15% in Yunchuan Hydropower to CYPC in exchange of
230.48 million shares of CYPC and CNY8.05 billion cash in
2023;
- Installation of 1.57GW of wind power capacity by 2023 followed
by annual solar power installation of 3GW;
- Additional gross profit contribution of around CNY1.0 billion
a year from Jinma Group from 2023;
- Profit from salt and chemicals production remain flat;
- Average funding cost to trend down gradually from 2022;
- Higher annual capex of above CNY10 billion from 2023 to
support renewable power development.
RATING SENSITIVITIES
Factors that could, individually or collectively, lead to positive
rating action/upgrade:
- Fitch may revise the Outlook to Stable if the negative
sensitivities below are not met.
Factors that could, individually or collectively, lead to negative
rating action/downgrade:
- Lowering of Fitch's internal assessment of Yunnan
province's credit worthiness;
- Unsuccessful execution of Yunnan H&C's debt optimisation
plan, albeit of low probability, resulting in a material
impairment of YEIG's funding access;
- Sustained deterioration of YEIG's EBITDA/interest paid
ratio below 1.0x;
- Weaker likelihood of support from Yunnan province to YEIG.
LIQUIDITY AND DEBT STRUCTURE
Recovery of External Funding Access: YEIG had readily available
cash of CNY18.0 billion at end-1H22 (end-2021: CNY9.5 billion),
against short-term debt of CNY66.5 billion (end-2021: CNY61.4
billion). YEIG owns shares of A-share listed companies with total
market value of around CNY64 billion (based on end-1H22 holdings
and current share prices), which offer additional financial
flexibility. It also has undrawn bank facilities of CNY50.3 billion
as of end-August 2022.
YEIG has close to CNY34.6 billion of onshore and offshore bonds due
in the next 12 months. YEIG's access to bond markets has
strengthened since 2Q22 after YIG and H&C repaid their US dollar
notes in March and April, respectively. Its issuance of CNY4.5
billion and CNY4.0 billion long-term (mostly two-year maturity)
domestic bonds in 2Q22 and 3Q22 (excluding CNY5.0 billion
exchangeable bonds) shows recovery from only CNY1.5 billion in
1Q22, while coupon rates have recovered to 4.8%-4.9% recently from
above 5.5% in 2021-1H22, although still much higher than the
3.0%-3.5% level in 1H20.
YEIG also issued USD230 million of 5.5% senior unsecured notes in
April and signed USD290 million of sustainability-linked syndicated
loans with a secured overnight financing rate-based floating rate
in September this year. These are sufficient to refinance the
USD300 million bonds due in November 2022. It is also in talks with
more banks and funds for additional financing to address its USD300
million bond maturities in 2023 (including USD150 million senior
perpetual securities).
ISSUER PROFILE
YEIG is the sole provincial energy platform in Yunnan, southern
China. It holds shares in major hydropower stations for the
provincial government. It has thermal and alternative energy power
plants, too. YEIG is also a major salt manufacturing and
distribution platform and natural gas distributor.
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
Entity/Debt Rating Prior
----------- ------ -----
Yunnan Provincial Energy
Investment Group Co., Ltd. LT IDR BBB- Affirmed BBB-
senior unsecured LT BBB- Affirmed BBB-
Yunnan Energy Investment
(HK) Co. Limited LT IDR BBB- Affirmed BBB-
Yunnan Energy Investment
Overseas Finance Company
Ltd.
senior unsecured LT BBB- Affirmed BBB-
senior unsecured LT BBB- Affirmed BBB-
senior unsecured LT BB+ Affirmed BB+
=========
I N D I A
=========
ACUITY INDIA: CARE Keeps D Debt Rating in Not Cooperating
---------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Acuity
India Resorts Private Limited (AIRPL) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 8.37 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 20, 2021,
placed the rating(s) of AIRPL under the 'issuer non-cooperating'
category as AIRPL 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. AIRPL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 5, 2022, June 15, 2022, June 25, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Incorporated in August, 2012, Acuity India Resorts Private Limited
(AIRPL) is engaged into hospitality business in the name of '7
Seasons Resorts & Spa' which is operating a Resort, banquet,
restaurant and Spa. It is located at Khambhaliya-Dwarka highway,
Lakhabawal, Jamnagar, Gujarat.
AEGIS VALUE: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Aegis Value Homes Limited
55, 2nd FLoor, Lane-2
Westend Marg, Saidullajab
Near Saket Metro Station
New Delhi South Delhi
DL 110030
IN
Insolvency Commencement Date: September 22, 2022
Court: National Company Law Tribunal, Meerut Bench
Estimated date of closure of
insolvency resolution process: March 21, 2023
Insolvency professional: Hemi Gupta
Interim Resolution
Professional: Hemi Gupta
24, Medi Center
Opp. Eves Petrol Pump
Hapur Road, Meerut
U.P. 250002
E-mail: hemigupta@rediffmail.com
- and -
B-84, Takshila Colony
Garh Road
Near Medical College
Meerut U.P. 250004
E-mail: cirp.aegis@gmail.com
Classes of creditors: Real Estate Allottees (Home buyers)
Insolvency
Professionals
Representative of
Creditors in a class: Mr. Sandeep Goel
Mr. Abhay Kumar
Mr. Vimal Kumar
Last date for
submission of claims: October 6, 2022
ALLFLEX PLASTICS: CARE Keeps C Debt Rating in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Allflex
Plastics LLP (APL) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 14.94 CARE C; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 0.60 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 7, 2021,
placed the rating(s) of APL under the 'issuer non-cooperating'
category as APL 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. APL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 23, 2022, June 2, 2022, June 12, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Established in December 2014, Allflex Plastics LLP (APL) was
promoted by Mr. Kamlesh Thakkar and Mr. Rushab Thakkar for setting
up a manufacturing unit of flex banner. After successfully setting
up its plant, the firm has commenced its manufacturing operations
from April 2016. Prior to manufacturing operations, the firm was
dealing with securities trading. The manufacturing facility of the
firm is located at Howrah, West Bengal with aggregate installed
capacity of 14400 pieces of flex banner per annum.
AMBICA AGRO: CARE Keeps B- Debt Rating in Not Cooperating
---------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Shree
Ambica Agro Industries Private Limited (SAAIPL) continue to remain
in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.27 CARE B-; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 1.00 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 23, 2021,
placed the rating(s) of SAAIPL under the 'issuer non-cooperating'
category as SAAIPL 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. SAAIPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 8, 2022, June 18, 2022, June 28, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
SAAIPL was initially established as a partnership firm in February
1998 in the name of Shree Ambica Agro Industries (SAAI) to run a
cotton ginning and pressing business at Balangir in the state of
Odisha. In December 2005, SAAI was converted into a private limited
company and rechristened as SAAIPL. The company is engaged in
ginning and pressing of raw cotton, purchased from local farmers to
produce cotton bales and cotton seeds. The production facility of
the company situated at Balangir, Odisha, has an installed capacity
of 30,024 MTPA.
ANNAPURNA PET: CARE Lowers Rating on INR19.30cr LT Loan to D
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Annapurna Pet Private Limited (APPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 19.30 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE B-; Stable
Short Term Bank 11.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category Revised from
CARE A4
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 24,
2021, placed the rating(s) of APPL under the 'issuer
non-cooperating' category as APPL 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. APPL
continues to be noncooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 10, 2022, July 20, 2022, July 30, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings have been revised on account of non-availability of
requisite information as well as on account of delays in debt
servicing recognized from publicly available information.
Incorporated in 2011, by Mr. Vijay Bajoria, Mr. Vimal Bajoria, Mr.
Krishna Tulsian, Mr. Suresh Murarka & Mr. Sunil Goyal, Annapurna
Pet Private Limited (APPL) is engaged in manufacturing of
polyethylene terephthalate (PET) pre-forms and bottle caps, used in
the manufacturing of plastic bottles/containers. The company
commenced commercial operations from March 1, 2013. The entity has
manufacturing facility located at Valsad (Gujarat).
ARDEE HI-TECH: Insolvency Resolution Process Case Summary
---------------------------------------------------------
Debtor: M/s Ardee Hi-Tech Private Limited
9-30-4, Balaji Nagar Siripuram
Visakhapatnam 530003
Andhra Pradesh
Insolvency Commencement Date: September 15, 2022
Court: National Company Law Tribunal, Amaravati Bench
Estimated date of closure of
insolvency resolution process: March 13, 2023
(180 days from commencement)
Insolvency professional: Kantipudi Venkata Raju
Interim Resolution
Professional: Kantipudi Venkata Raju
D.No. 4-198, Manikya Nagar
Valasapakala Kakinada 533005
East Godavari District
Andhra Pradesh
E-mail: kantipudiven@gmail.com
Last date for
submission of claims: September 30, 2022
ASHTECH BUILDPRO: CARE Keeps B- Debt Rating in Not Cooperating
--------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Ashtech
Buildpro India Private Limited (ABPL) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 14.50 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 6, 2021,
placed the rating(s) of ABPL under the 'issuer non-cooperating'
category as ABPL 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. ABPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 22, 2022, June 1, 2022, June 11, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Uttar Pradesh based Ashtech Buildpro India Private Limited (ABPL)
was incorporated in June, 2013. The company is managed by Mr
Sandeep Kumar Jindal, Mr Shiv Kumar Jindal and Mr Atul Goel. The
company is engaged in manufacturing of Autoclaved Aerated Concrete
(AAC) blocks, panels, prefabricated structures, ready-made mortar
and ready-made plaster.
AYKA MOULD: CARE Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Ayka Mould
Tech Industries Limited (AMTIL) continue to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.43 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.50 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 21, 2021,
placed the rating(s) of AMTIL under the 'issuer non-cooperating'
category as AMTIL 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. AMTIL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 6, 2022, June 16, 2022, June 26, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Daman-based Ayka Mould Tech Industries Limited (AMTIL) was
incorporated by Mr. Sahil Basir Shaikh, Mr. Asfaq Basir Shaikh, Ms.
Samimbanu Basirbhai Shaikh and Ms. Sahnaj Sahil Shaikh. The entity
is established to carry on the business of manufacturing plastic
crates, plastic chairs and other plastic products from its sole
manufacturing facility located in Daman, with an installed capacity
of 15 tons of plastic goods per day. AMTIL completed its project in
June, 2017, with a total cost of INR5.60 crore and a debt-equity
mix of 2.37 times, while it commenced its commercial production
from June, 2017 onwards. While, it imports Polypropylene
(PP)/High-density polyethylene (HDPE)/Low-density polyethylene
(LDPE) granules from UAE as well as purchases domestically, it
sells it finished products to various traders in India.
BENGAL ANTIBIOTICS: CARE Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Bengal
Antibiotics (BA) continue to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.20 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.60 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 26,
2021, placed the rating(s) of BA under the 'issuer non-cooperating'
category as BA 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. BA continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
July 12, 2022, July 22, 2022, August 1, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
M/s. Bengal Antibiotics (BA) was set up as a proprietorship entity
in Dec. 1990 by Mr. Samir Samaddar of Hooghly District, West
Bengal. The entity is mainly engaged in manufacturing of
pharmaceutical formulation products which is sold to state health &
family welfare departments and also to wholesalers within the
state. The entity receives the formulations from the Directorate of
Drugs Control, West Bengal and the drugs are manufactured
post-approval from the department. The orders from the government
departments are tender backed and comprise 70% of the overall sales
and the remaining comes from open market. BA caters only to
domestic market within the state with product portfolio primarily
concentrated in anti-biotic, antiinflammatory and multi-vitamin
segment. The manufacturing facility is located at Jirat in Hooghly
district of West Bengal with an aggregate installed capacity of
3600 lakh tablets per annum and oral liquid 3,00,000 litres per
annum and meets the stringent good manufacturing practices (GMP)
and Good Laboratory Practice (GLP) norms.
BHAGIRATH DAIRY: CARE Keeps D Debt Rating in Not Cooperating
------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Bhagirath
Dairy Private Limited (BDPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 12.60 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 9, 2021,
placed the rating(s) of BDPL under the 'issuer non-cooperating'
category as BDPL 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. BDPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 25, 2022, June 4, 2022, June 14, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Nagaur (Rajasthan) based Bhagirath Dairy Private Limited (BDPL) was
incorporated in 2012 by Mr Bhagirath Ram Choudhary along with his
family members. BDPL has commenced its operations from October,
2016. The company is engaged in the business of processing of milk
and milk products. The plant of the company is located at Luni
Tehsil, Jodhpur District (Rajasthan).
BHAGWATI STONE: CARE Keeps B- Debt Rating in Not Cooperating
------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Bhagwati
Stone Industries (BSI) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 12.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 1.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated September 24,
2021, placed the rating(s) of BSI under the 'issuer
non-cooperating' category as BSI 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. BSI
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated August 10, 2022, August 20, 2022, August 30,
2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Uttarakhand based Bhagwati Stone Industries (BSI) was established
in 2009 as a partnership firm. The partners of the firm are Mr.
Vinay Kumar Mittal, Mr. Akshay Bansal, Mr. Prerit Bansal, Mr.
Rachit Bansal, sharing profit and losses equally. The firm is
currently being managed by Vinay Kumar Mittal, Mr. Akshay Bansal.
The firm crushes and processes river bed material (RBD), boulders
into stone chips, stone grits and sand stone that find usage in the
construction industry.
BHAVANI WIRE: CARE Lowers Rating on INR5cr LT Loan to B-
--------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of Sri
Bhavani Wire Industries (SBWI), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category and
revised from CARE B; Stable
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 20,
2021, placed the rating(s) of SBWI under the 'issuer
non-cooperating' category as SBWI 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. SBWI
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 6, 2022, July 16, 2022, July 26, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned to the bank facilities of SBWI have been
revised on account of non-availability of requisite information.
Vishakhapatnam based, Sri Bhavani Wire Industries (SBWI) is a
partnership firm, established in 2012 by Mr. K. Eswara Rao and Mr.
K. Naresh Kumar. Mr. K. Eswara Rao is the managing partner of the
firm and manages the day to day operations. The firm is engaged in
manufacturing of mild steel wires (MS Wires & GR Wires) and trades
in iron and steel rebars. SBWI's manufacturing facility has an
installed wire drawing capacity of around 4000 metric tons (MTS)
per annum.
C ESWARA: CARE Keeps B- Debt Rating in Not Cooperating Category
---------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of C Eswara
Reddy And Co (CERC) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 7.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 26,
2021, placed the rating(s) of CERC under the 'issuer
non-cooperating' category as CERC 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. CERC
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 12, 2022, July 22, 2022, August 1, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Andhra Pradesh based, C. Eswara Reddy & Co (CERC), was incorporated
in the year 1998 with its registered office at
Hyderabad. The partners of the firm are Mr. Eswara Reddy (Managing
partner) and prabhakar Reddy (partner) and others. They have
experience of more than four decades in construction industry. The
firm is primarily engaged in civil construction works relating to
bridges, roads. The firm procures the online tenders from state
government of Andhra Pradesh. It procures the raw material like
Bitumen, metal etc from Chennai and local market. At present, the
firm has order book position of Rs.81.12 crore as on May 16, 2018
and the same is likely to be completed by June 2019.
C GOPAL: CARE Keeps B- Debt Rating in Not Cooperating Category
--------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of C Gopal
Reddy And Company (CGRC) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.80 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 2.00 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 26,
2021, placed the rating(s) of CGRC under the 'issuer
non-cooperating' category as CGRC 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. CGRC
continues to be noncooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 12, 2022, July 22, 2022, August 1, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Tadipatri (Andhra Pradesh), based C Gopal and Company was
established in 2004 as partnership firm by Mr. C Gopal Reddy
(Managing Partner), Mr. T. Chiranjeeva Reddy, Mr. B Ramasubba Reddy
and other 17 family members. However, the firm was reconstituted
during 2013 by retirement of 19 partners other than Mr. C Gopal
Reddy and admission of Ms. C Lakshmidevi, Mr. C Vishnu Vardhan
Reddy and Ms. C Mounika. The firm continued its operations under
same style and engaged in civil engineering works of roads and
building for state g vernment of Andhra Pradesh and Telangana.
CARITOR TECH PARK: Voluntary Liquidation Process Case Summary
-------------------------------------------------------------
Debtor: Caritor Tech Park India Private Limited
Mena Kampala Arcade, 7A
7th Floor A Block
New No. 18 & 20, Old No. 113
Sir Thyagaraya Road
T Nagar Chennai
Tamil Nadu 600017
India
Liquidation Commencement Date: September 22, 2022
Court: National Company Law Tribunal, Coimbatore Bench
Insolvency professional: Vasudevan Gopu
Interim Resolution
Professional: Vasudevan Gopu
G.V. Enclave 18/30, Ramani Street
K.K. Pudur, Saibaba Colony
4th Right Opp. Road to Saibaba
Colony Hotel Annapoorna Road
Coimbatore 641038
Tamil Nadu, India
E-mail: vasudevangopu.ip@gmail.com
vasudevanacs@gmail.com
Tel: 0422-4347063
Last date for
submission of claims: October 22, 2022
CHAKKRA COAL: CARE Keeps B+ Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Chakkra
Coal India Private Limited (CCIPL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 0.43 CARE B+; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
To remain under ISSUER NOT
COOPERATING category
Short Term Bank 15.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 30, 2021,
placed the rating(s) of CCIPL under the 'issuer non-cooperating'
category as CCIPL 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. CCIPL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 15, 2022, June 25, 2022, July 5, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Chakkra Coal India Private Limited (CCIPL) was established as a
partnership firm in 2001 and later converted into a private limited
company in 2012. CCIPL is engaged in wholesale trading of coal
mainly for Paper, Chemical, Sugar and Steel Industries. Coal is
imported as well as domestically sourced. The company is based in
Madurai, Tamil Nadu having major operations at the ports of
Tuticorin, Chennai, Karaikal, Mangalore, Krishnapatnam and
Vishakhapatnam. Majority of imports are from Indonesia and South
Africa and caters to customers mainly in South India.
CHETAN ALLOYS: CARE Keeps C Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Chetan
Alloys Private Limited (CAPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 CARE C; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 28, 2021,
placed the rating(s) of CAPL under the 'issuer non-cooperating'
category as CAPL 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. CAPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 13, 2022, June 23, 2022, July 3, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Chetan Alloys Private Limited (CAPL) was incorporated in May 2011
by Mr.Chetan Maheshwari and Satish Maheshwari and commercial
operations commenced from October 2012. Business of group entity,
ShekharImpex, where Mr.Sureshbhai Maheshwari was proprietor, was
transferred to CAPL in 2011. CAPL has its Head office in Delhi and
Branch office at Jamnagar. It deals in the scrap products of
ferrous metals and non-ferrous metals like aluminum, bronze, zinc,
titanium etc. CAPL obtains sales orders from its customers and
procures the products from prime suppliers of India.
CORAGGIO HOLDINGS: Voluntary Liquidation Process Case Summary
-------------------------------------------------------------
Debtor: Coraggio Holdings Private Limited
C/o ICICI Venture Funds Mgmt Co. Ltd.
ICICI Venture House
AM Marg, Prabhadevi
Mumbai, MH 400025
IN
Liquidation Commencement Date: September 26, 2022
Court: National Company Law Tribunal, Mumbai Bench
Insolvency professional: Sriram Parthasarathy
Interim Resolution
Professional: Sriram Parthasarathy
Old No. 28 (New No. 10)
3rd Cross Street
R.K. Nagar
Raja Annamalai Puram
Chennai, Tamil Nadu 600028
E-mail: srirampcs@gmail.com
Tel: 95660330077
Last date for
submission of claims: October 26, 2022
D.K. PROJECT: CARE Keeps B+ Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of D.K.
Project Private Limited (DPPL) continue to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.50 CARE B+; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
To remain under ISSUER NOT
COOPERATING category
Short Term Bank 25.00 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 23, 2021,
placed the rating(s) of DPPL under the 'issuer non-cooperating'
category as DPPL 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. DPPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 8, 2022, June 18, 2022, June 28, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Incorporated in 2004, DPPL is a closely held company promoted by
Mr. Dilip Kumar Ghosh and Mr. Dipak Kumar Gope. The company
undertakes civil construction of roads, runways and buildings,
mainly in West Bengal, and is empanelled with CPWD, PWD (West
Bengal) and Military Engineer Services (MES) – Government of
India (Ministry of Defence) as "SS" Class (Super Special Class)
contractor. Prior to 2004, the business was carried on under the
name of M/s. D. K. Enterprises as a sole proprietorship firm since
1987. DPPL is a family managed business and the day-to-day
operation of the company is looked after by Mr. Dilip Kumar Ghosh,
Managing Director and Mr. Dipak Kumar Gope, Whole-time Director.
DAWER SONS: CARE Lowers Rating on INR7cr LT Loan to B-
------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Dawer Sons Private Limited (DSPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category and
revised from CARE B; Stable
Short Term Bank 1.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 6, 2021,
placed the rating(s) of DSPL under the 'issuer non-cooperating'
category as DSPL 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. DSPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 22, 2022, June 1, 2022, June 11, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings assigned to the bank facilities of DSPL have been
revised on account of non-availability of requisite information.
The rating also considers decline in scale of operation and overall
profitability during the FY21.
Delhi based, Dawar Sons Private Limited (DSPL) was incorporated in
October 1993. The company is currently promoted by Mr. Madan Lal
Dawer, Mr. Pawan Dawer, Mr. Vikas Dawer, Ms. Renu Dawer, Ms. Saroj
Dawer and Mr. Raghav Dawer. The company is engaged in manufacturing
of artificial leather (rexine) which finds its application in
manufacturing of footwear, leather bag, sofa etc.
DURGA AUTOMART: CARE Keeps B- Debt Rating in Not Cooperating
------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Durga
Automart (DA) continues to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
To remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 26,
2021, placed the rating(s) of Durga Automart (DA) under the 'issuer
non-cooperating' category as DA 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. DA
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 12, 2022, July 22, 2022, August 1, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Durga Automart (DA), was established in the year 2015, however,
started its operation from December 2016 is a Malda based entity,
promoted by the Chitlangia family. Durga Automart (DA) is an
authorized dealer for TATA Motors Limited (TML) for commercial
vehicle with its main showroom located at Naldubi, Dist- Malda
(West Bengal). Currently, the firm has one showroom located at
Malda. Apart from that the firm also has customer sales points at
Raiganj, Islampur, and Balurghat. The firm also has a container
workshop at Patiranpur, Dakshin Dinajpur. Mr. Manish Kumar (aged 46
years) having around two decades of experience in the automobile
industry. He looks after the overall management of the firm, with
adequate support from other partners and a team of experienced
personnel.
DURGA AUTOMOTIVES: CARE Keeps B- Debt Rating in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Sri Durga
Automotives (SDA) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 17.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 5.55 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 23,
2021, placed the rating(s) of SDA under the 'issuer
non-cooperating' category as SDA 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. SDA
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
Letter/email dated July 9, 2022, July 19, 2022, July 29, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Andhra Pradesh based, Sri Durga Automotives (SDA) was incorporated
in the year 1999 as a Sole proprietorship firm by Mr. S.
Mallikarjuna Rao. Further in 2007 SDA was reconstituted as
partnership firm with two partners Mr. S. Mallikarjuna Rao
(Managing partner) and Mr. S. Durga Prasad Rao- (Executive
Partner). The firm is an authorized dealer of Mahindra and Mahindra
Ltd. The Firm is engaged in sale of tractors, two-wheelers and
construction equipment and spare parts as well as servicing of
vehicles.
DWARKA METROHILLS: CARE Keeps C Debt Rating in Not Cooperating
--------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Dwarka
Metrohills Hospital Private Limited (DMHPL) continues to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.35 CARE C; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 06, 2021,
placed the rating(s) of DMHPL under the 'issuer non-cooperating'
category as DMHPL 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. DMHPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 22, 2022, June 1, 2022, June 11, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Varanasi based, Dwarka Metro Hills Hospital Private Limited (DMHPL)
was incorporated in December, 2011 as a private limited company by
the name of Metro Heart Hospital Private Limited, however, the name
was changed to its current name, Metro Hills Hospital Private
Limited in October, 2012 which was further changed to Dwarka Metro
Hills Hospital Private Limited in FY19. DMHPL is currently being
promoted by Mr. Vinit Kumar Singh, Mrs. Rita Singh and Mrs. Monika
Singh. The company will operate a multispecialty hospital having
various departments for general medicine, general surgery, urology,
neurology, radiology, gynecology, nephrology, ophthalmology,
orthopedics, physiotherapy, etc. along with 24 hours pharmacy and
lab services and is located in Chandauli (Uttar Pradesh) with
proposed capacity of 160 beds.
FAIRDEAL VINTRADE: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: Fairdeal Vintrade Private Limited
P.S. Srijan, Tech Plot No. 52
6th Floor, Unit No. 601
Sector-V, Salt Lake City
Kolkata 700091
West Bengal, India
Insolvency Commencement Date: September 27, 2022
Court: National Company Law Tribunal, Kolkata Bench
Estimated date of closure of
insolvency resolution process: March 25, 2023
Insolvency professional: Rasik Singhania
Interim Resolution
Professional: Rasik Singhania
Chitrakoot Building
Room No. 98, 9th Floor
230A, AJC Bose Road
Kolkata, West Bengal 700020
E-mail: rasik.singhania@gmail.com
fairdeal.cirp@gmail.com
Last date for
submission of claims: October 11, 2022
GREENKO ENERGY: S&P Upgrades ICR to 'BB-', Outlook Stable
---------------------------------------------------------
On Oct. 4, 2022, S&P Global Ratings raised its long-term issuer
credit rating on Greenko Energy Holdings to 'BB-' from 'B+'. S&P
also raised its issue rating on the senior secured notes the
company guarantees to 'BB-' from 'B+'.
The stable outlook reflects S&P's view that Greenko will improve
its operating performance to about P90 (meeting expected power
generation levels at least 90% of the time), backed by a larger and
diversified portfolio of assets.
Greenko's more diversified portfolio will support better operating
performance and cash flows. S&P believes the company's
differentiated business position with significant resource
diversity, stabilizing operating performance and a strategy of
unique fee-based pumped storage solutions will collectively result
in more stable and resilient cash flows.
Stabilizing wind performance and an increasingly diversified
portfolio will improve Greenko's overall portfolio performance. S&P
expects above P90 performance of 873 megawatts (MW) from its Orix
Corp. wind assets and a recovery in industrywide wind performance
in the fiscal year ending March 31, 2023, to boost Greenko's
overall wind performance closer to P90. Historically, Greenko's
wind generation has been patchy with large variability.
The upcoming acquisition of the 1.2 GW Teesta Urja Ltd. (Teesta)
hydro power facility in Sikkim will further enhance Greenko's
resource diversity, with generation sources spread across wind,
solar, and hydro at 46%, 25%, and 29%, respectively. This resource
diversity is almost unmatched compared with other Indian players
focusing on renewables. The Teesta asset has demonstrated stable
performance close to P90 estimates, and S&P expects the inclusion
of this large-scale hydro asset to help stabilize Greenko's
operating performance. Greenko has acquired 34% of Teesta's
shareholding to date and it expects the deal to be completed by the
end of fiscal 2023 (delayed from March 2022), pending some
administrative approvals.
Greenko's portfolio performance is stabilizing around P90. Its
stabilized portfolio of about 5.3 gigawatts (GW) capacity at the
end of fiscal 2022 and moderating wind portfolio underperformance
of P90 estimates (2.3% in fiscal 2022 compared with 4.6% in fiscal
2021) led to near P90 performance at portfolio level (-1.5% from
P90 estimates). Moreover, although Greenko's foray into storage
solutions is still nascent, it will boost revenue without assuming
resource risk. The company will start its fixed-fee-based pumped
storage solution for commercial and industrial customers in fiscal
2024, upon commissioning of its first storage project.
S&P said, "We expect Greenko's receivable position to temporarily
stabilize over the next 12 months with collection of overdues. The
Indian government's Late Payment Surcharge scheme is likely to
provide temporary relief to Greenko, reducing working capital drag.
We forecast neutral working capital movement in fiscal 2023 and
working capital outflow of US$80 million in fiscal 2024. This is a
significant improvement from our earlier estimates of negative
US$150 million annual working capital requirements." However, the
surcharge scheme does not fully resolve the structural weaknesses
at state distribution companies and Greenko will remain exposed to
the risk of the weak counterparties and further payment delays.
Greenko will temporarily benefit from the recent late payment
surcharge scheme as weaker counterparties, particularly Andhra
Pradesh state distribution companies, have started to clear their
overdues with monthly payments of about US$20 million. S&P expects
the distribution companies to make timely payments over a 12-month
period (starting from August 2022), which will reduce Greenko's
large receivables; the distribution companies in the state of
Andhra Pradesh account for 54% of outstanding receivables as of
March 31, 2022.
Greenko's increasing exposure to offtakers with better credit
quality, such as Solar Energy Corp. of India Ltd. and NTPC Ltd.,
will also support timely collections. S&P expects these offtakers
to account for 30% of Greenko's revenue in fiscal 2025 with the
commissioning of new projects. Fee-based pumped storage solutions
to commercial and industrial customers will further improve the
receivable profile.
Execution risk will be manageable for Greenko's construction of
large-scale integrated projects for renewable energy storage. We
believe the company has good execution capabilities to scale up its
growth pipeline of storage projects. Commissioning of Greenko's
first storage project in Andhra Pradesh is on track for December
2023 and the company has secured sufficient funding for the 1.2 GW
project (10.8 GWh), which costs about US$1 billion. The project
comprises a solar farm, wind farm, and a pumped storage
hydroelectricity facility--for storing energy, thereby providing
reliable and flexible power to offtakers. While the project is the
first of a kind plant in India and the largest project Greenko has
undertaken, it is an established technology globally that involves
constructing a closed-loop hydro project with a small catchment
area.
The company is also pursuing its second integrated project for
renewable energy storage in Karnataka (1.26 GW with 10 GWh
capacity) with expected commissioning by the end of fiscal 2025.
Project cost is likely to be US$900 million with a funding mix of
25% equity and 75% debt.
Leverage remains elevated as Greenko continues to seek growth
projects. The company will incur significant capital expenditure
(capex) of about US$380 million in fiscal 2023 and US$500 million
in fiscal 2024 as it constructs the storage projects. Greenko's
ratio of funds from operations (FFO) to debt will remain weak but
could improve to 5%-6% over fiscal years 2024 and 2025, compared
with our estimate of 3.4% in fiscal 2023. This is assuming
portfolio performance is in line with P90 estimates and the company
completes the acquisition of Teesta by end of fiscal 2023.
Incremental earnings from Teesta and the integrated storage
projects in Andhra Pradesh state could also offset high capex and
working capital needs, such that the FFO cash interest coverage
improves to 1.50x-1.65x over fiscal years 2024 and 2025.
S&P said, "Equity funding for these growth projects has already
been committed and we expect Greenko will continue to receive
sufficient funding and capital support from its sponsors (GIC Pte.
Ltd., Abu Dhabi Investment Authority, and Orix Corp.). Equity
commitment of US$328 million is also in place to fund the upcoming
Teesta acquisition. We have seen a good record of timely equity
infusion over the past few years to prefund growth investments.
"The stable outlook reflects our expectation that Greenko will
improve its operating performance to around P90, backed by its
larger and diversified portfolio of assets. We expect the company
to manage its execution risks on the projects under construction,
and the Teesta acquisition to be completed by the end of fiscal
2023 without material delays.
"We also expect GIC and other sponsors to provide timely funding
support for Greenko's growth capex and any significant working
capital needs. We expect the company's FFO cash interest coverage
to improve to above 1.50x over fiscal years 2024 and 2025, compared
with an estimate of 1.35x in fiscal 2023."
S&P may lower the rating if Greenko's FFO cash interest coverage
does not improve toward 1.50x. This could happen if:
-- The company's operating performance is weaker than P90;
-- Greenko's receivables considerably worsen; or
-- It undertakes higher debt-funded capex or acquisitions than we
expect without appropriate equity support.
S&P said, "We believe an upgrade is unlikely over the next 12-24
months because Greenko's operating performance or growth
aspirations can delay deleveraging. Nevertheless, we may raise the
rating on Greenko if the company reduces its leverage such that its
FFO-to-debt ratio rises above 9% on a sustainable basis. The
factors that can collectively contribute to such an improvement
include strong sponsor support with significant equity infusions to
the company which leads to deleveraging, material improvement in
its receivables, consistently strong operating performance at above
P90, and disciplined growth."
ESG credit indicators: E-2, S-2, G-2
S&P said, "ESG factors have an overall neutral influence on our
credit rating analysis of Greenko. The company has an operational
portfolio of about 5.3 GW, which is 100% from renewable sources. It
has at least 1 GW capacity each in wind, hydro, and solar projects,
geographically diversified across India. Its cash flows benefit
from the must-run status of renewable energy in India, which
largely insulates the company from unexpected drops in the demand
for power. Historically, the company has generation volumes lower
than P90 estimates (generation levels that are expected to be
achieved in nine out of 10 years when assessed over a one-year
period), which indicates resource risk."
GS OILS LIMITED: Liquidation Process Case Summary
-------------------------------------------------
Debtor: M/s G S Oils Limited
H.No. 4-5-3, Station Road
Adilabad, Telangana 504001
India
Liquidation Commencement Date: September 26, 2022
Court: National Company Law Tribunal, Hyderabad Bench
Date of closure of
insolvency resolution process: September 11, 2022
Insolvency professional: Gonugunta Murali
Interim Resolution
Professional: Gonugunta Murali
H.No. 16-11-19/4, G-1
Sri Laxmi Nilayam
Saleem Nagar Colony
Malakpet, Hyderabad
Telangana 500036
E-mail: gmurali34@gmail.com
- and -
MSKM Group, 11th Floor
1209 Vasavi MPM Grand
Yellareddyguda Road
Ameerpet, Hyderabad 500038
E-mail: gsolirp@gmail.com
Last date for
submission of claims: October 26, 2022
KATHPAL DAIRIES: CARE Keeps D Debt Rating in Not Cooperating
------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Kathpal
Dairies (KD) continues to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 19.60 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated September 23,
2021, placed the rating(s) of KD under the 'issuer non-cooperating'
category as KD 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. KD continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
August 10, 2022, August 19, 2022, August 29, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Kathpal Dairies (KDS) is a proprietorship firm established in
October, 2010 by Mr. Rakesh Kumar. KDS is engaged in processing of
milk which includes pasteurization and chilling at its facility
located in Moga, Punjab.
KHARIKATIA TEA: Liquidation Process Case Summary
------------------------------------------------
Debtor: Kharikatia Tea & Industries Limited
CF-366, Salt Lake City Sector-1
Kolkata 700064, West Bengal
Liquidation Commencement Date: September 21, 2022
Court: National Company Law Tribunal, Kolkata Bench
Date of closure of
insolvency resolution process: May 29, 2022
Insolvency professional: Birendra Kumar Tripathi
Interim Resolution
Professional: Birendra Kumar Tripathi
60/2/1 Hari Padda Dutta Lane
Golf View Apartment
Flat No. 7, 3rd Floor
Kolkata 700033
West Bengal
E-mail: bkt9000@gmail.com
cirp.kharikatiatea@gmail.com
Last date for
submission of claims: October 21, 2022
LAVASA CORP: Homebuyers' Bid to Reject Resolution Plan Nixed
------------------------------------------------------------
The Economic Times reports that the National Company Law Tribunal
(NCLT) has dismissed a petition filed by around 368 homebuyers who
had purchased properties from Lavasa Corporation.
ET says the petition had alleged misconduct in the corporate
insolvency resolution process (CIRP) of the company and
mistreatment of the homebuyers as a class of creditors.
The homebuyers, in their petition, had sought the tribunal's
intervention to declare the resolution plan submitted by Darwin
Platform Infrastructure in violation of the Insolvency and
Bankruptcy Code (IBC) and prayed to reject the revival plan, which
was earlier approved by the lenders of the company.
Homebuyers submitted that the liquidation value derived and
presented to the committee of creditors (CoC) is notional and does
not represent the fair value and that the resolution professional
completely neglected his duty to calculate the liquidation value
for each homebuyer before putting the plan to vote, notes the
report.
The NCLT Mumbai bench is of the view that this is a belated stage
for the homebuyers to raise allegations against the authorised
representative, especially after the CoC has voted in favour of the
resolution plan with an overwhelming majority of 96.14% voting
share, according to ET.
Moreover, the authorised representative has already voted in favour
of the plan and a change in this decision would not influence the
results in a substantial manner given that the homebuyers hold a
7.45% voting share in the CoC, the report adds.
Lavasa Corporation Limited develops and manages a hill city in
India. Its portfolio includes R&D and training centers, IT and
biotech industry, KPOs and those related to art, fashion, and
animation companies; hospitality, tourism, health, education, and
IT and ITES industries; lakeside apartments, villas, rental
housing, and retiree housing; and studio apartments, starter homes,
and workforce apartments.
Lavasa is a subsidiary of construction major Hindustan Construction
Company (HCC) and has been undergoing insolvency proceedings at the
National Company Law Tribunal, Mumbai, since August 2018.
MAILHEM ENVIRONMENT: CARE Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Mailhem
Environment Private Limited (MEPL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 2.62 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 3.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 6, 2021,
placed the rating(s) of MEPL under the 'issuer non-cooperating'
category as MEPL 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. MEPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 22, 2022, June 1, 2022, June 11, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
MEPL is a private limited company and was incorporated in June
1995. The company is engaged in the business designing,
manufacturing and erecting biogas plants, with a capacity varying
from 100 kg/day to 50 tons/ day. It is also engaged in operation &
maintenance of centralized and decentralized solid waste
management.
MAX GRANITO: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Max Granito Private Limited
Survey No. 139/Paiki
National Highway 8-A
Taluka Morbi Dist.
Rajkot Jambudiya
Gujarat 363642
Insolvency Commencement Date: September 23, 2022
Court: National Company Law Tribunal, Ahmedabad, Division Bench
Court-1
Estimated date of closure of
insolvency resolution process: March 19, 2023
Insolvency professional: Mr. Dakshesh Pravinchandra Choksi
Interim Resolution
Professional: Mr. Dakshesh Pravinchandra Choksi
Agarwal & Choksi
303-305 Vrajbhumi Complex
Nr. Prarthana Flats
B/H Shilp Bldg.
Off C G Road
Navrangpura, Ahmadabad
Gujarat 380009
E-mail: ca.dakesh@gmail.com
cirp.maxgranito@gmail.com
Last date for
submission of claims: October 7, 2022
METRO CONCRETE: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Metro Concrete Private Limited
322, 3rd Floor, Westend Mall
Distt Centre, Janakpuri
New Delhi 110058
Insolvency Commencement Date: September 23, 2022
Court: National Company Law Tribunal, Bench-IV, New Delhi
Estimated date of closure of
insolvency resolution process: March 21, 2023
(180 days from commencement)
Insolvency professional: Rakesh Kumar Jindal
Interim Resolution
Professional: Rakesh Kumar Jindal
House No. 3656/6, Gali No. 6
Narang Colony, Tri Nagar
Near Rose Garden
New Delhi 110035
E-mail: iprakesh.jindal@gmail.com
- and -
70-D, 3rd Floor, Pocket-A
Vikas Puri Extension
New Delhi 110018
E-mail: cirp-mcpl@efficaxindia.com
Last date for
submission of claims: October 6, 2022
MODERN CONSTRUCTION: CARE Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Modern
Construction Company (MCC) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 6.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 10.00 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated August 24,
2021, placed the rating(s) of MCC under the 'issuer
non-cooperating' category as MCC 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. MCC
continues to be noncooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 10, 2022, July 20, 2022, July 30, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Modern Construction Co., (MCC) was established as a partnership
firm in 1992 by Mr. Raj Kumar Agarwala and Mrs. Anita Devi Agarwala
of Assam. Since its inception, the firm has been engaged in civil
construction activities in the segment like roads and bridges etc.
MCC participates in tenders and executes orders for the public
works department, PMGSY and various other state and central
projects. Mr. Raj Kumar Agarwala (aged about 60 years), has more
than two decades of experience in civil construction industry,
looks after the day to day operations of the firm. He is supported
by other partners Mrs. Anita Devi Agarwala (aged about 55 years)
who also has more than two decades of experience in this line of
business. The partners are supported by a team of experienced
professionals.
RADIANT BAR: CARE Keeps B+ Ratings in Not Cooperating Category
--------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Radiant Bar
Private Limited (RBPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 CARE B+; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 2.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 2, 2021,
placed the rating(s) of RBPL under the 'issuer non-cooperating'
category as RBPL 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. RBPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 18, 2022, May 28, 2022, June 7, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Uttarakhand, Haridwar – based Radiant Bar Private Limited (RBPL)
was incorporated in November, 1997 as a closely-held public limited
company names Radiant Bar Limited. The company is currently managed
by Mr Shah Mohd Rana and Mr Noor Saleem Rana. RBPL is part of "Rana
Group" which has diversified business such as rolling mills,
induction furnaces, paper mill, sponge iron plant and refractory
plant. RBPL is engaged in manufacturing of long steel products,
viz, Mild Steel (M.S.) angles, channels, bars and rounds.
RJ BIO-TECH: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: R J Bio-Tech Limited
GUT No. 245, Bidkin
Tq. Paithan, Aurangabad
MH 431105
IN
Insolvency Commencement Date: September 22, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: March 21, 2023
Insolvency professional: Mr. Anurag Kumar Sinha
Interim Resolution
Professional: Mr. Anurag Kumar Sinha
Flat No. 3602, Redwood (Tower No. 7)
Runwal Greens
Mulund-Goregaon Link Road
Bhandup (West), Mumbai City
Maharashtra 400078
E-mail: aksinhaip3@gmail.com
- and -
AAA Insolvency Professionals LLP
144 B, 14th Floor, Mittal Court
Nariman Point 400021
E-mail: rjbiotech.ibc@gmail.com
Last date for
submission of claims: October 6, 2022
RNR CONSTRUCTIONS: CARE Lowers Rating on INR6cr LT Loan to B-
-------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of RNR
Constructions Private Limited (RCPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 6.00 CARE B-; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category and
Revised from CARE B; Stable
Short Term Bank 8.00 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 28, 2021,
placed the rating(s) of RCPL under the 'issuer non-cooperating'
category as RCPL 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. RCPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 13, 2022, June 23, 2022, July 3, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution
while using the above rating(s).
The ratings assigned to the bank facilities of RCPL have been
revised on account of non-availability of requisite information.
The ratings further consider decline in operating income and
overall profitability during FY21 over FY20.
RNR Constructions Private Limited (RCPL) was incorporated in the
year 1996 by Mr. B. Nagaraj and Mrs R. Prema who are the directors
of the company. The company is a class-I registered contractor and
engaged in execution of construction works for government entities
which include construction of administrative buildings, hospital
buildings, hostel buildings, etc. majorly in the State of
Karnataka.
RNR IMPORTS: CARE Keeps D Debt Rating in Not Cooperating
--------------------------------------------------------
CARE Ratings said the rating for the bank facilities of RNR Imports
& Exports (Partnership) (RIEP) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Short Term Bank 12.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated September 3,
2021, placed the rating(s) of RIEP under the 'issuer
non-cooperating' category as RIEP 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. RIEP
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 20, 2022, July 30, 2022, August 10, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
RNR Imports & Exports (RIEP) was established in October 2017 as a
Proprietorship firm and converted to partnership firm in December
2017. The firm is promoted by Mrs. Madhavi Latha, Mrs. Aruna Kumari
and Mr. Ravinder Reddy. The firm is managed by Mrs. Madhavi Latha,
who is an MBA graduate and has more than two decades of experience
in packing industry in edible oils segment and is also a director
in Vyshnavi Fillers Private Limited, which is engaged in
manufacturing of 15Kg capacity empty tins, small cans and barrels
used for packing of edible oils. The registered office of the firm
is located at Guntur, Andhra Pradesh. RIEP is engaged in trading of
Rice and ethanol to African countries. The firm purchases, rice
from Raipur and Chhattisgarh, and Ethanol from Pune. The firm
purchases from the wholesaler located in and around Gunture and
directly export to foreign countries like Ghana. Also, in 8MFY19
the firm has achieved a turnover of INR5.00 crore. The financial
closure of the firm has achieved in January 2018 and the firm has
started its commercial in February 2018.
RODAS IMPEX: CARE Lowers Rating on INR18.58cr LT Loan to B+
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Rodas Impex
Private Limited (RIPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 18.58 CARE B+; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term Bank 1.50 CARE A4; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 9, 2021,
placed the rating(s) of RIPL under the 'issuer non-cooperating'
category as RIPL 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. RIPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 25, 2022, June 4, 2022, June 14, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Bhilwara based (Rajasthan) Rodas Impex Private Limited (RIPL) was
incorporated in August, 2001 as a private limited company by Mr.
Jugal Kishore Chamodi and Mr. Vinod Chamodi along with family
members. RIPL is engaged in the business of manufacturing of grey
fabrics as well as trading of grey and finished fabrics.
SAKTHI PAPERS: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Shri
Sakthi Papers India Private Limited (SSPIPL) continue to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 49.50 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 4.70 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 28, 2021,
placed the rating(s) of SSPIPL under the 'issuer non-cooperating'
category as SSPIPL 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. SSPIPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 13, 2022, June 23, 2022, July 3, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
Shri Sakthi Papers (India) Private Limited (SSPIPL) originally
incorporated as Sakthi Saradha Papers (India) Private Limited in
May 2004 by Mr. P. Swaminathan and family based out of Coimbatore,
Tamilnadu, is engaged in the manufacture of paper for newsprint,
writing paper for note books, white paper for printing and book
publication. The business was originally constituted as a
proprietorship entity in 1968 by Mr. P. Panchapakesaiyer (father of
Mr. P. Swaminthan) by name Shakthi Paper Mart (SPM), which was into
trading of imported paper. SSP has own sales depot in Tirupur,
Salem, Kolikode and in Ernakulum whereas sales in Chennai, Madurai
and Sivakasi are carried out through dealers.
SARA SPINTEX: CARE Keeps D Debt Rating in Not Cooperating Category
------------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Sara
Spintex India Private Limited (SSIPL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 36.36 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 2.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 9, 2021,
placed the rating(s) of SSIPL under the 'issuer non-cooperating'
category as SSIPL 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. SSIPL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 25, 2022, June 4, 2022, June 14, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
SSIPL 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.
SHREEJI DISTRIBUTORS: CARE Lowers Rating on INR10cr LT Loan to B
----------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Shreeji Distributors Pharma Private Limited (SDPPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 CARE B; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category and
revised from CARE B+; Stable
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 21, 2021,
placed the rating(s) of SDPPL under the 'issuer non-cooperating'
category as SDPPL 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. SDPPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 6, 2022, June 16, 2022, June 26, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The ratings have been revised on account of non-availability of
requisite information. The rating also considers decline in scale
of operations and profitability with increase in overall debt in
FY21 as compared to FY20.
Shreeji Distributors Pharma Private Limited (SDPPL) is a private
limited company incorporated on February 22, 2006. SDPPL is engaged
into the business of distribution and marketing of wide range of
pharmaceutical and healthcare products viz. medicine and surgical
equipment's etc. SDPPL having it's registered and corporate and
office located at Wadala, Mumbai.
TOPSGRUP SERVICES: Liquidation Process Case Summary
---------------------------------------------------
Debtor: Topsgrup Services and Solutions Limited
5, Royal Palms Golf & Country Club
Aarey Milk Colony, Goregaon (E)
Mumbai 400065
Liquidation Commencement Date: September 27, 2022
Court: National Company Law Tribunal, Mumbai Bench
Date of closure of
insolvency resolution process: September 21, 2022
Insolvency professional: Mr. Anshul Gupta
Interim Resolution
Professional: Mr. Anshul Gupta
Flat No. 1501, Tower no. 4
Spring Grove Towers
Lokhandwala Township
Kandivali East
Mumbai 400101
E-mail: contactanshulgupta@gmail.com
- and -
410, 4th floor
Bluerose Industrial Estate
Near Metro Mall and Tata Power
Petrol Pump
Western Express Highway
Borivali (E) 400066
E-mail: topsgrup.ip@gmail.com
Last date for
submission of claims: October 21, 2022
UNITED SYSTEMS: CARE Lowers Rating on INR3cr LT Loan to D
---------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
United Systems And Projects (India) Private Limited (USPPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 3.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE B; Stable
Short Term Bank 9.50 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category and Revised from
CARE A4
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 23, 2021,
placed the rating(s) of USPPL under the 'issuer non-cooperating'
category as USPPL 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. USPPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 8, 2022, June 18, 2022, June 28, 2022 and September 22, 2022.
In line with the extant SEBI guidelines, CARE Ratings Ltd. has
reviewed the rating on the basis of the best available information
which, however, in CARE Ratings Ltd.'s opinion is not sufficient to
arrive at a fair rating.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The rating assigned to the bank facilities of USPPL have been
revised on account of delays in debt servicing recognized from
Annual report of FY21, available from registrar of the companies.
Incorporated in May 2010, United Systems and Projects (India)
Private Limited (USPPL) is engaged in manufacturing and providing
services such as designing, engineering, supply, fabrication,
erection, commissioning of fuel oil handling system, low pressure
piping, structural steel fabrication and bulk storage tanks. The
products and services of the company find application in power and
oil sector companies. USPPL operates through two divisions: i)
Products – sells manufactured products such as fuel oil handling
system, low pressure piping, structural steel fabrication and bulk
storage tanks ii) Projects – offers entire portfolio of services
i.e. designing, engineering, supply, fabrication, erection,
commissioning of fuel oil handling system, low pressure piping,
structural steel fabrication and bulk storage tanks The company has
both its manufacturing unit and corporate office located in
Hyderabad. The installed capacity of the manufacturing plant is 100
tons per month and presently, it is operating at 80% capacity
utilization.
UNIVERSAL SEMICONDUCTORS: Voluntary Liquidation Case Summary
------------------------------------------------------------
Debtor: Universal Semiconductors India Private Limited
# 496/4 2nd Floor, 10th Cross
Near Bashyam Circle
Sadashivanagar
Bangalore 560080 KA
Liquidation Commencement Date: September 26, 2022
Court: National Company Law Tribunal, Bengaluru Bench
Insolvency professional: Mr. Ratnakar Shetty
Interim Resolution
Professional: Mr. Ratnakar Shetty
RPAR & Co LLP
# 16, Level 3
Skyline Towers, 7th Cross
Sampige Road, Malleswaram
Bangalore 560003
E-mail: rcshetty.co@gmail.com
Tel: 9986404040
Last date for
submission of claims: October 25, 2022
VIJAI SPINNERS: Liquidation Process Case Summary
------------------------------------------------
Debtor: M/s Vijai Spinners (RJPM) Private Limited
Rajapalayam
18A, Pughalendhi Road
Cotton Market
Rajapalayam 626117
Liquidation Commencement Date: September 19, 2022
Court: National Company Law Tribunal, Chennai Bench
Date of closure of
insolvency resolution process: September 18, 2022
Insolvency professional: Arumugam Arumugam
Interim Resolution
Professional: Arumugam Arumugam
1/56, Market Road
Devi Stores 1st Floor
Kelambakkam 603103
OMR, Chennai
E-mail: arumuru2008@gmail.com
-liqvs2022@gmail.com
arumuru2020@gmail.com
Mobile: +918015240147
Last date for
submission of claims: October 22, 2022
=================
I N D O N E S I A
=================
BAYAN RESOURCES: Fitch Withdraws 'BB-' Foreign Currency IDR
-----------------------------------------------------------
Fitch Ratings has affirmed PT Bayan Resources Tbk's Long-Term
Foreign-Currency Issuer Default Rating (IDR) at 'BB-' with a
Positive Outlook and has simultaneously withdrawn the rating.
The Positive Outlook reflects its expectation that Bayan's
operational scale will improve and ease operating risks from
weather-related issues after the company completes the construction
of a hauling road connecting its key concession, Tabang, with the
Mahakam river as well as the expansion of its barging and related
infrastructure in 2023. The haul road will help Bayan avoid
disruption in barging coal down a small river during periods of low
water levels.
Bayan's rating reflects a solid financial profile with a debt-free
position, low-cost mining operations and long reserve life.
Fitch has chosen to withdraw the ratings on Bayan for commercial
reasons. Accordingly, Fitch will no longer provide ratings or
analytical coverage for Bayan.
KEY RATING DRIVERS
Production to Rise: Construction Delayed: Fitch expects Bayan's
annual production to exceed 40 million tonnes (mt) by 2024 (1Q22:
6.9mt; 2021: 37.6mt), subject to the timely completion of the
construction of the 101km haul road, new barge loading and other
facilities. Construction was impacted by rainfall in 4Q21 and 1Q22
and the company now expects to complete the work by end-2023,
instead of its original plan of September 2022. Bayan expects the
new infrastructure to support annual production of up to 60mt and
aims to produce around 45mt by 2023.
Rising Regulatory Risk: Fitch said, "We believe Indonesia's
month-long export ban on coal in January 2022 highlights increased
regulatory risk, especially for miners that are not compliant with
domestic market obligations (DMOs). However, we do not expect the
ban to significantly affect Bayan's 2022 performance. Bayan
declared a force majeure on some of its contracts in January 2022.
This hurt sales, but we expect the company to recoup some lost
volume in subsequent months, limiting losses. All coal miners are
mandated to sell at least 25% of output locally under the DMO
regulations."
Bayan's main mine, Bara Tabang, has paid a penalty of USD11.3
million for not being DMO compliant in the last three years. It
also recorded USD9.3 million in accruals in 1H22. The company
expects to be fully compliant with its DMO obligations in 2022 for
its approved production quota of 37mt. Fitch expects regulatory
risk from the DMO to be manageable, given Bayan's record, and
forecast annual production volume to increase. However, risks
remain, as production is subject to yearly government approval.
Strong Financial Profile; Falling Capex: Fitch said, "We expect
Bayan's financial profile to remain strong, with a net cash
position over the medium term. We forecast Bayan to generate annual
free cash flow before dividends of over USD1 billion until 2023,
declining to around USD500 million thereafter with the moderation
in our coal-price assumptions. This should provide adequate
headroom to absorb any levies for DMO non-compliance. We expect
Bayan's dividend pay-out to stay at around 90% of net income in the
medium term; it paid dividends of USD990 million in 1H22, or 82% of
2021 net profit."
Bayan's key cash outlay is capex for infrastructure of around
USD350 million for the next two years. Capex in later years will
mainly comprise maintenance spending of about USD40 million
annually.
Long Reserve Life: Bayan has one of the largest reserves among
Indonesian coal-mining peers, with proven and probable reserves of
1.7 billion tonnes as of end-2021. This translates into a reserve
life of around 41 years under our base-case average annual
production rate of 41mt between 2022 and 2025.
Limited Asset Diversity: Tabang, including the North Pakar site,
accounts for around 85% of Bayan's annual production and probable
reserves. This concession had proven reserves of 919mt at end-2021,
providing a reserve life of around 25 years under its base-case
average annual production rate of 35mt between 2022 and 2025. The
contribution from Tabang is likely to remain high in the medium
term, accounting for most of the output increase in the next few
years.
Low-Cost Position: Fitch expects Bayan's EBITDA per tonne to remain
above that of most rated peers due to the low-cost structure of its
key Tabang concession. The Tabang operation benefits from an
average life-of-mine strip ratio of 3.6x (1Q22: 4.4x, 2021: 3.9x)
and a well-connected infrastructure and logistics network. Fitch
expects the average cash cost to stay at above USD30/tonne after
2023, translating to EBITDA/tonne of around USD16. EBITDA/tonne is
likely to peak at USD66 in 2022 (2021: USD43). The low-cost mining
operations provide a buffer against a coal price downturn.
Diversified Customer Base: Bayan's customers are more
geographically diversified than those of most peers, which should
continue to support stable demand for its coal. Bayan's main export
markets in 2021 were the Philippines (29% of total sales volume),
China (16%), South Korea (15%) and India (10%). The company also
has a diverse product offering, as its coal ranges from Tabang's
4,000-4,300kcal low-sulphur and ash content coal to high calorific
value (over 6,000kcal) coal from its other mines.
DERIVATION SUMMARY
Bayan's closest peer is PT Indika Energy Tbk (BB-/Stable), as it
has a similar operational risk profile. Indika's comparable
production scale, albeit with a longer uninterrupted operating
record at its main Kideco Jaya Agung coal mine, is offset by
Bayan's better cost position and larger reserves. Bayan's financial
profile is stronger, as Fitch expects a continued net cash
position, against its forecast for Indika's FFO net leverage of
around 2x after 2022. The Positive Outlook on Bayan reflects its
expectation that it will improve its scale and reduce operating
risks after it completes its infrastructure enhancements.
PT Golden Energy Mines Tbk (GEMS, B+/Positive) has higher reserves
and a longer reserve life than Bayan, but Bayan's higher rating
reflects its larger production scale and better cost structure. Our
expectation that GEMS' production scale will increase to be more in
line with a notch-higher rating in the next 12 months is reflected
in the Positive Outlook.
KEY ASSUMPTIONS
Fitch's Key Assumptions Within Its Rating Case for the Issuer
- Gradual increase in production volume to around 43mt by 2024.
- Coal price assumptions in line with Fitch's mid-cycle Newcastle
6000kcal price assumptions, adjusted for the difference in
calorific value. Newcastle per tonne coal price assumption of
USD360 for 2022, USD240 for 2023, USD90 for 2024 and USD83 for
2025
- Average cash cost of around USD40/tonne until 2023, dropping to
around USD35 thereafter
- Total capex of around USD500 million during 2022-2024,
including both expansion and maintenance capex.
- Average dividend pay-out ratio of 90% for the next four years.
RATING SENSITIVITIES
No longer relevant, as the ratings have been withdrawn
LIQUIDITY AND DEBT STRUCTURE
Robust Liquidity: Bayan's liquidity benefits from a strong cash
balance of around 620 million at end-June 2022. It has no debt
maturities, with a debt-free profile. The projected cash flow from
operations can comfortably cover planned capex over the next
three-to-four years. Bayan's liquidity also benefits from access to
around USD280 million in undrawn committed working-capital
facilities, with a maturity of beyond 12 months as of end-March
2022. This further supports Bayan's flexibility to absorb
unforeseen expenses.
ISSUER PROFILE
Bayan, whose thermal coal-mining assets are all based in Indonesia,
produced 37.6mt of coal in 2021.
ESG CONSIDERATIONS
Unless otherwise disclosed in this section, the highest level of
ESG credit relevance is a score of '3'. This means ESG issues are
credit-neutral or have only a minimal credit impact on the entity,
either due to their nature or the way in which they are being
managed by the entity.
Entity/Debt Rating Prior
----------- ------ -----
PT Bayan Resources Tbk LT IDR BB- Affirmed BB-
LT IDR WD Withdrawn BB-
=====================
N E W Z E A L A N D
=====================
J FUSION: Creditors' Proofs of Debt Due on Oct. 28
--------------------------------------------------
Creditors of J Fusion Limited are required to file their proofs of
debt by Oct. 28, 2022, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on Sept. 28, 2022.
The company's liquidator is:
Brenton Hunt
PO Box 13400
City East
Christchurch 8141
LICHFIELD MOTORS: Creditors' Proofs of Debt Due on Nov. 3
---------------------------------------------------------
Creditors of Lichfield Motors (2009) Limited are required to file
their proofs of debt by Nov. 3, 2022, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on Sept. 28, 2022.
The company's liquidators are:
David Sean Webb
Colin David Owens
Deloitte
Level 18, Deloitte Centre
80 Queen Street
Auckland 1010
NAGIDAC EARTHMOVING: Court to Hear Wind-Up Petition on Oct. 20
--------------------------------------------------------------
A petition to wind up the operations of Nagidac Earthmoving Limited
will be heard before the High Court at Dunedin on Oct. 20, 2022, at
10:00 a.m.
Farmlands Co-operative Society Limited filed the petition against
the company on Sept. 1, 2022.
The Petitioner's solicitor is:
Charlotte Louise Houghton
Anderson Lloyd
Anderson Lloyd House
Level 3, 70 Gloucester Street
Christchurch 8013
SILVER BACK: Creditors' Proofs of Debt Due on Nov. 27
-----------------------------------------------------
Creditors of Silver Back Builders Limited are required to file
their proofs of debt by Nov. 27, 2022, to be included in the
company's dividend distribution.
The High Court at Wellington appointed Janet Sprosen and Leon
Francis Bowker of KPMG as liquidators on Sept. 27, 2022.
TIMELESS CUTS: Creditors' Proofs of Debt Due on Oct. 29
-------------------------------------------------------
Creditors of Timeless Cuts Limited and Hair Corner Limited are
required to file their proofs of debt by Oct. 29, 2022, to be
included in the company's dividend distribution.
The company commenced wind-up proceedings on Sept. 19, 2022.
The company's liquidator is Kelera Nayacakalou.
=================
S I N G A P O R E
=================
ANTUIT HOLDINGS: Creditors' Proofs of Debt Due on Nov. 5
--------------------------------------------------------
Creditors of Antuit Holdings Pte. Ltd. are required to file their
proofs of debt by Nov. 5, 2022, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on Sept. 29, 2022.
The company's liquidators are:
Kon Yin Tong
Aw Eng Hai
c/o 24 Raffles Place
#07-03 Clifford Centre
Singapore 048621
ATLANTIC ESBJERG: Commences Wind-Up Proceedings
-----------------------------------------------
Members of Atlantic Esbjerg Pte. Ltd., Meridian Maritime Pte. Ltd.,
Teras Conquest 2 Pte. Ltd., Teras Fortress 2 Pte. Ltd., Teras 281
Pte. Ltd., and Teras 375 Pte. Ltd., on Sept. 27, 2022, passed a
resolution to voluntarily wind up the operations of Atlantic
Esbjerg et al.
The liquidators are:
Ng Kian Kiat
Goh Wee Teck
8 Wilkie Road
#03-08 Wilkie Edge
Singapore 228095
EUROAUTOMOBILE: Relinquishes Alfa Romeo Distributorship
-------------------------------------------------------
The Business Times reports that Euroautomobile has been unable to
achieve commercial viability of its Alfa Romeo distributorship due
to prevailing market conditions, parent company EuroSports Global
said in a bourse filing on Oct. 4.
It is for this reason that the company has moved to inform Alfa
Romeo's manufacturer Fiat Auto of its intention to relinquish their
agreement to be the brand's importer and distributor in Singapore,
it pointed out.
According to BT, the announcement came hours after The Straits
Times reported that Komoco Holdings is set to take over the
exclusive distributorship next year. The newspaper also noted that
EuroAutomobile has shut down its Alfa Romeo showroom at Leng Kee
Autopoint and laid off four sales staff on Sept. 30.
BT relates that EuroSports, in the latest disclosure, said the
group is in the midst of negotiating with Fiat Auto on a mutual
termination agreement. Further announcements will be made on the
effective date of the agreement's relinquishment, it added.
It also stated, while the showroom has shut down, EuroAutomobile,
which has held the distributorship since 2004, will continue to
operate a workshop as an independent service provider.
EuroSports, meanwhile, stressed its view that the relinquishment is
"in the best interests of the group", to restructure its overall
business portfolio for long-term sustainable growth, BT relays.
"The group will focus on its existing Lamborghini automobile
distribution business and development of Scorpio Electric brand
electric motorcycles," it added.
BT adds that EuroSports also said the relinquishment is not
expected to have any material impact on the net tangible assets per
share and earnings per share of the company for the current
financial year.
FUNCREATE PTE: Creditors' Proofs of Debt Due on Nov. 5
------------------------------------------------------
Creditors of Funcreate Pte. Ltd. are required to file their proofs
of debt by Nov. 5, 2022, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on Sept. 29, 2022.
The company's liquidator is:
Mitani Masatoshi
c/o 10 Anson Road
#14-06 International Plaza
Singapore 079903
TANAR TRADING: Creditors' Proofs of Debt Due on Nov. 7
------------------------------------------------------
Creditors of Tanar Trading Pte. Ltd. are required to file their
proofs of debt by Nov. 7, 2022, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on Sept. 27, 2022.
The company's liquidators are:
Leow Quek Shiong
Gary Loh Weng Fatt
Seah Roh Lin
c/o BDO Advisory Pte. Ltd.
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
THREE ARROWS: More Than 300 NFTs Moved from Fund Linked to Company
------------------------------------------------------------------
Bloomberg News reports that more than 300 non-fungible tokens
(NFTs) were moved out of a crypto address associated with Starry
Night Capital, an NFT-focused fund launched by the co-founders of
now-bankrupt crypto hedge fund Three Arrows Capital.
It is the first time the NFTs have been transferred since the main
crypto wallet belonging to Starry Night Capital shifted almost all
digital tokens to a new address about four months ago, the report
says. Blockchain data firm Nansen tweeted on Oct. 4 that some of
the NFTs that moved include Pepe the Frog NFT Genesis, which was
sold for 1,000 ether, or about US$3.5 million (SGD5 million), on
Oct. 5, 2021. Ether has since dropped about 62 per cent.
According to ST, Three Arrows co-founders Zhu Su and Kyle Davies
started Starry Night Capital during the height of the NFT craze
last year. They have since been sparring with the court-appointed
liquidators charged in June with unwinding their assets. Some
estimates had placed the value of the collection at US$35 million.
Advisory firm Teneo was appointed by a British Virgin Islands court
to liquidate Three Arrows. Bloomberg reported previously that the
Singapore High Court granted a petition by Teneo to have greater
insight into Three Arrows' remaining assets.
Three Arrows, which operated from Singapore until earlier this
year, collapsed after the implosion of the Terra algorithmic
stablecoin in May sent cryptocurrencies tumbling.
About Three Arrows Capital
Three Arrows Capital Ltd. was an investment firm engaged in
short-term opportunities trading, and is heavily invested in
cryptocurrency, funded through borrowings.
As of April 2022, the Debtor was reported to have over $3 billion
of assets under its management.
Three Arrows Capital Ltd. was incorporated as a business company
under the laws of the British Virgin Islands. Its sole shareholder
owning all of its "management shares" is Three Arrows Capital Pte.
Ltd., which previously operated as a regulated fund manager in
Singapore until 2021, when it shifted its domicile to the BVI, as
part of a global corporate plan to relocate operations to Dubai.
The Debtor borrowed digital and fiat currency from multiple lenders
to fund its cryptocurrency investments. After cryptocurrency lost
99% of its value, and then prices of other cryptocurrencies had
rapid declines, the Debtor reportedly defaulted on its
obligations.
On June 24, 2022, one of the Debtor's many creditors -- DRB Panama
Inc. -- filed an application to appoint joint provisional
liquidators -- and thereafter, full Liquidators -- in the Eastern
Caribbean Supreme Court in the High Court of Justice (Commercial
Division) located in BVI. The application was assigned claim number
BVIHCOM2022/0117.
Subsequently, on June 27, 2022, the Debtor filed its own
application for the appointment of joint liquidators before the BVI
Commercial Court.
On June 29, 2022, the Honorable Mr. Justice Jack of the BVI
Commercial Court appointed Russell Crumpler and Christopher Farmer
of Teneo (BVI) Limited as joint liquidators of Three Arrows Capital
Ltd.
On July 1, 2022, liquidators of Three Arrows Capital filed a
Chapter 15 bankruptcy in the U.S. (Bankr. S.D.N.Y. Case No.
22-10920) to seek recognition of the BVI proceedings. Judge Martin
Glenn is the case judge. Latham & Watkins, led by Adam J. Goldberg
is counsel in the U.S. case.
The law firm of Ogier, led by Grant Carroll, is advising the
liquidators in the BVI proceedings.
*********
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-
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Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
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Editors.
Copyright 2022. All rights reserved. ISSN: 1520-9482.
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