/raid1/www/Hosts/bankrupt/TCRAP_Public/221017.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
Monday, October 17, 2022, Vol. 25, No. 201
Headlines
A U S T R A L I A
BOSS CIVIL: First Creditors' Meeting Set for Oct. 26
ESQUE GROUP: First Creditors' Meeting Set for Oct. 24
GREEN CIVIL: First Creditors' Meeting Set for Oct. 20
PARADISE MOTOR: First Creditors' Meeting Set for Oct. 24
PMH MANUFACTURING: First Creditors' Meeting Set for Oct. 24
C H I N A
CHINA EVERGRANDE: Debt Crisis Sets Off Losses, Layoffs & Defaults
WUHAN AOSHAN: Wuhan Govt, SOEs Buy Housing to Ease Cash Crunch
I N D I A
ARKIN CREATIONS: Insolvency Resolution Process Case Summary
ASHOKA CHENNAI: Ind-Ra Hikes Term Loan Rating to 'C'
BEEPEE ENTERPRISE: CARE Keeps D Debt Ratings in Not Cooperating
BEHARI HANUMANA: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
BEML MIDWEST: Insolvency Resolution Process Case Summary
DASHRATH SINGH: CARE Lowers Rating on INR12.50cr LT Loan to D
DYNAMIC REFRACTORIES: CARE Keeps D Debt Ratings in Not Cooperating
ESMARIO EXPORT: Ind-Ra Gives BB LT Issuer Rating, Outlook Stable
GREATWALL CORPORATE: CARE Keeps D Debt Ratings in Not Cooperating
GVK POWER: NCLT Admits Firm for Corporate Resolution
KALRA OVERSEAS: Insolvency Resolution Process Case Summary
LEARNFINITY TECHNOLOGIES: Voluntary Liquidation Case Summary
MB SPONGE: Ind-Ra Keeps 'BB' LT Issuer Rating in Non-Cooperating
MEENAKSHI HATCHERIES: CARE Keeps C Debt Rating in Not Cooperating
MEGHAAARIKA IMPEX: CARE Keeps D Debt Ratings in Not Cooperating
MOTHERS PRIDE: Insolvency Resolution Process Case Summary
NAGAYYA MAKKIMANE: CARE Keeps C Debt Rating in Not Cooperating
ORIENT STEEL: Ind-Ra Withdraws 'BB+' LongTerm Issuer Rating
PALAPARTHI SUPER: CARE Keeps D Debt Rating in Not Cooperating
PANACEA MEDICAL: Ind-Ra Withdraws 'BB+' LongTerm Issuer Rating
PANNA AMANGANJ: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
PREMIER SPINTEX: CARE Keeps D Debt Ratings in Not Cooperating
PROTOCOL MARINE: Insolvency Resolution Process Case Summary
PRUDENTIAL HOTELS: Liquidation Process Case Summary
PS STEEL: Ind-Ra Gives BB+ LT Issuer Rating, Outlook Stable
RAVINDRA KUMAR: CARE Keeps C Debt Rating in Not Cooperating
RITZY CHEMICALS: CARE Keeps D Debt Ratings in Not Cooperating
SACHIKA TRADING: Insolvency Resolution Process Case Summary
SADBHAV BHAVNAGAR: Ind-Ra Lowers Term Loan Rating to 'B'
SADBHAV RUDRAPUR: Ind-Ra Lowers Term Loan Rating to 'B-'
SALASAR AUTOCRAFTS: CARE Keeps C Debt Rating in Not Cooperating
SARNA MARBLES: CARE Keeps D Debt Rating in Not Cooperating
SD ENGINEERSTECH: Insolvency Resolution Process Case Summary
SEKAR CONSTRUCTIONS: CARE Keeps C Debt Rating in Not Cooperating
SERGI TRANSFORMER: Voluntary Liquidation Process Case Summary
SHIVAM AUTOTECH: CARE Lowers Rating on INR372.86cr Loan to B
SHUBHGRAH METALS: CARE Keeps C/A4 Debt Ratings in Not Cooperating
SINHGAD TECHNICAL: CARE Keeps D Debt Ratings in Not Cooperating
SURYA WIRES: CARE Lowers Rating on INR10cr LT Loan to D
TAXUS INFRASTRUCTURE: Insolvency Resolution Process Case Summary
UTTAM GALVA: NCLT Approves ArcelorMittal Unit's Resolution Plan
WHITE HOUSE: CARE Keeps D Debt Ratings in Not Cooperating
WHITEFIELDS APPAREL: CARE Keeps D Debt Ratings in Not Cooperating
ZENIL TRADERS: Insolvency Resolution Process Case Summary
N E W Z E A L A N D
LJ MASONS: Court to Hear Wind-Up Petition on Oct. 20
LZ LIGHTING: Creditors' Proofs of Debt Due on Nov. 14
PRITAM HOLDINGS: Court to Hear Wind-Up Petition on Oct. 31
RUAPEHU ALPINE: Financial Strife Puts Ohakune in Limbo
RUAPEHU ALPINE: PwC Appointed as Administrators
TURNHAM AGRICULTURE: Court to Hear Wind-Up Petition on Oct. 27
P A K I S T A N
PAKISTAN: Seeks Rescheduling of US$27 Billion in Bilateral Debt
P H I L I P P I N E S
LASURECO: Tops List of Power Firms w/ Problematic Overdue Account
S I N G A P O R E
AGINCOURT RESOURCES: Commences Wind-Up Proceedings
EIGHT STARS: Creditors' Meeting Set for Oct. 28
KYUDENKO SOUTH: Members' Final Meeting Set for Nov. 17
LINGCO MARINE: Creditors' Proofs of Debt Due on Oct. 28
REALLYWORKS PTE: Court to Hear Wind-Up Petition on Nov. 4
V I E T N A M
CADOVIMEX SEAFOOD: Initiates Bankruptcy Procedures Due to Losses
- - - - -
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A U S T R A L I A
=================
BOSS CIVIL: First Creditors' Meeting Set for Oct. 26
----------------------------------------------------
A first meeting of the creditors in the proceedings of Boss Civil
Aust Pty Ltd will be held on Oct. 26, 2022, at 11:00 a.m. at the
offices of O'Brien Palmer at Level 9, 66 Clarence Street in
Sydney.
Daniel Frisken of O'Brien Palmer was appointed as administrator of
the company on Oct. 14, 2022.
ESQUE GROUP: First Creditors' Meeting Set for Oct. 24
-----------------------------------------------------
A first meeting of the creditors in the proceedings of Esque Group
Pty Ltd will be held on Oct. 24, 2022, at 10:30 a.m. via
teleconference only.
Kathleen Vouris and Richard Albarran of Hall Chadwick were
appointed as administrators of the company on Oct. 12, 2022.
GREEN CIVIL: First Creditors' Meeting Set for Oct. 20
-----------------------------------------------------
A first meeting of the creditors in the proceedings of Green Civil
Con Pty Ltd will be held on Oct. 20, 2022, at 11:00 a.m. via
teleconference facilities.
Sule Arnautovic and John Vouris of Hall Chadwick were appointed as
administrators of the company on Oct. 11, 2022.
PARADISE MOTOR: First Creditors' Meeting Set for Oct. 24
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Paradise
Motor Homes (QLD) Pty Limited will be held on Oct. 24, 2022, at
9:45 a.m. at Level 9, Wyndham Building, 1 Corporate Court in
Bundall.
Jason Tang and Barry Wight of Cor Cordis were appointed as
administrators of the company on Oct. 12, 2022.
PMH MANUFACTURING: First Creditors' Meeting Set for Oct. 24
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of PMH
Manufacturing Pty Limited will be held on Oct. 24, 2022, at 10:30
a.m. at Level 9, Wyndham Building, 1 Corporate Court in Bundall.
Jason Tang and Barry Wight of Cor Cordis were appointed as
administrators of the company on Oct. 12, 2022.
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C H I N A
=========
CHINA EVERGRANDE: Debt Crisis Sets Off Losses, Layoffs & Defaults
-----------------------------------------------------------------
The Wall Street Journal reports that when China Evergrande Group
began struggling under a mountain of debt last year, it quietly set
off a chain reaction across the country.
Chinese authorities prevented a disorderly collapse of the
real-estate colossus, but Evergrande's distress has spread across
China's housing market and many related industries, the Journal
relates. The situation has worsened this year into what is now a
full-blown property downturn that has become a major drag on
China's economy.
According to the Journal, companies in sectors including
construction services and building materials such as steel and
paint have absorbed large losses from Evergrande's inability to pay
its bills. Some of them have laid off workers and delayed paying
their own bills to other businesses, which are also suffering as a
result.
The Journal relates that many individuals who plowed their savings
into unfinished homes by Evergrande have been in limbo for more
than a year, with little clarity on when they will get the homes
they were promised.
New apartment sales by the country's top developers have tumbled on
a year-over-year basis for 15 consecutive months, with no
turnaround in sight, the report notes.
In the once-booming dollar junk-bond market, investors have mostly
stopped supplying funds to Chinese real-estate companies after
Evergrande became the largest-ever Asian junk-bond issuer to
default on its international debt in late 2021, the Journal notes.
Losses are continuing to pile up for bond investors, as dozens of
developers have failed to refinance their debt, adds the Journal.
About China Evergrande
China Evergrande Group is an integrated residential property
developer. The Company, through its subsidiaries, operates in
property development, investment, management, finance, internet,
health, culture, and tourism markets.
Evergrande had CNY1.97 trillion (US$311 billion) of liabilities at
the end of June 2021. Once China's biggest developer by sales,
Evergrande fell into distress as cash dried up and the group
overstretched itself on borrowings and ventures into car
manufacturing.
Evergrande hired outside financial advisers Houlihan Lokey and
Admiralty Harbour Capital in September 2021 to engage with
creditors soon after it ran into a liquidity squeeze. It has since
worked with more advisers in the past two months by turning to
China International Capital Corp, BOCI Asia and Zhong Lun Law Firm
on its debt workout plan.
As reported in the Troubled Company Reporter-Asia Pacific on Oct.
13, 2022, Moody's Investors Service has withdrawn China Evergrande
Group's (Evergrande) corporate family rating and senior unsecured
ratings, the CFRs of Hengda Real Estate Group Company Limited and
Tianji Holding Limited, and Scenery Journey Limited's backed senior
unsecured ratings.
WUHAN AOSHAN: Wuhan Govt, SOEs Buy Housing to Ease Cash Crunch
--------------------------------------------------------------
Caixin Global reports that some local governments and state-owned
enterprises (SOEs) in China are buying unsold apartments, in a bid
to ease the ongoing cash crunch plaguing the country's property
market.
A district natural resources and planning bureau in Wuhan, capital
of Hubei province, bought 200 residential units from a local
developer earlier this year, Caixin discloses citing an agreement
published on the provincial government's procurement portal. The
purchase was seen as a bailout for the cash-strapped builder, Wuhan
Aoshan Shengda Real Estate Co. Ltd, Caixin relates.
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I N D I A
=========
ARKIN CREATIONS: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Arkin Creations Private Limited
H-127, First Floor, Residency Greens
Greenwoods City, South City
Gurgaon 122001
Haryana, India
Insolvency Commencement Date: October 11, 2022
Court: National Company Law Tribunal, Chandigarh Bench
Estimated date of closure of
insolvency resolution process: April 5, 2023
(180 days from commencement)
Insolvency professional: Satyendra Sharma
Interim Resolution
Professional: Satyendra Sharma
M-3, Block No. 51
Anupam Plaza-II, First Floor
Above Axis Bank, Sanjay Place
Agra 282002
Uttar Pradesh, India
E-mail: satyendrasirp@gmail.com
cirp.arkincreations@gmail.com
Last date for
submission of claims: October 25, 2022
ASHOKA CHENNAI: Ind-Ra Hikes Term Loan Rating to 'C'
----------------------------------------------------
India Ratings and Research (Ind-Ra) has upgraded GVR Ashoka Chennai
ORR Limited's (GACOL) term loan to 'IND C' from 'IND D (ISSUER NOT
COOPERATING).'
The instrument-wise rating action is:
-- INR6,294* bil. (reduced from INR10.80 bil.) Term loan due on
September 30, 2029 upgraded with IND C rating.
*outstanding as of June 30, 2022
The upgrade reflects the timely debt servicing track record since
April 1, 2022 following the almost full realization of ninth
annuity payment (received in two tranches on January 6, 2022 and
March 9, 2022) and the 10th annuity (except for a deduction of
INR0.1 million) on June 28, 2022 with a delay of 59 days. The
lenders have indicated that the payments are on time since April 1,
2022 and a minor penal interest amount appearing in the bank
statements are technical in nature. The project had adequate funds
in the trust and the retention account to make the debt servicing
dues since April 1, 2022.
Key Rating Drivers
Liquidity - Poor: The company's liquidity is poor due to erratic
nature of the annuity receipts from the counterparty along with
less than unity debt service coverage ratio over FY23-FY25, as per
Ind-Ra's base case, and a lack of adequate liquidity to mitigate
the extent of delays in annuity receipts observed historically. The
annuity track record has been erratic in the past with an average
delay of 75 days and a maximum delay of 148 days. Even the ninth
annuity was received in two tranches on January 6, 2022 and March
9, 2022 against the due date of October 31, 2021. The unsecured
loans totaling INR677 million injected over FY18-FY20 by Ashoka
Buildcon Limited and the surplus accruals generated over FY18-22
helped the project fund two months delay in receipt of the 10th
annuity. The project had a balance of INR846 million as of August
17, 2022 to be utilized for the principal repayment due on
September 30, 2022 and the interest payments until December 2022.
However, the company will have a shortfall in meeting the principal
repayment due in December 31, 2022, if the annuity due for October
31, 2022 is delayed beyond 31 December 2022.
The rating takes note of the defined annuity amount to be received,
semi-annually on April 30 and October 31, from the Department of
Highways and Minor Ports Development and the government of Tamil
Nadu subject to maintaining the road in line with the
concessionaire operations and maintenance (O&M) and maintenance
obligations mentioned in the concession agreement.
The agency has factored in the O&M expense in line with the actual
expense incurred in FY22 while also considering the provision for
major maintenance (MM) over FY26-FY27. The management has indicated
that the MM activity will be due only in FY27 since the roads are
opened for use in February 2021. The O&M activity is undertaken by
the third-party contractor, ARC Construction. Any significant
increase in O&M costs, as the O&M contract is not a fixed price
contract and early necessity for MM expenditure will further affect
the liquidity of the project.
The National Infrastructure Investment Fund announced the
acquisition of GACOL from Ashoka Buildcon and GVR Infra Projects
Ltd in April 2022. GACOL expects the acquisition to be completed on
receiving the necessary approvals from the stakeholders.
Rating Sensitivities
Positive: Minimum debt service coverage ratio above 1x, a
substantial increase in liquidity and a stable track record of the
receipt of annuity without any significant deductions will lead to
a positive rating action.
Negative: A delay in the receipt of annuity beyond 31 December 2022
and/or a significant deduction in the upcoming annuity payments
will lead to a negative rating action.
Company Profile
GACOL is a special purpose vehicle incorporated by GVR Infra
Projects and Ashoka Buildcon to develop and operate a six-lane road
project- Chennai Outer Ring Road Phase II- in Chennai, Tamil Nadu.
It has a 20-year concession, which expires in March 2034, from the
Highways and Minor Ports Development and the government of Tamil
Nadu to implement the project under the build-operate-transfer
annuity model.
BEEPEE ENTERPRISE: CARE Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Beepee
Enterprise Private Limited (BEPL) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 12.18 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.30 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 2, 2021,
placed the rating(s) of BEPL under the 'issuer non-cooperating'
category as BEPL 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. BEPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 18, 2022, June 28, 2022, July 8, 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).
BEPL was incorporated in 2003 and promoted by Poddar family.
Company is manufacturer, supplier and exporter of linen i.e of bed
sheets, table cloths, serviettes, chair covers, table linen,
duvets, mats and other customized linen etc. the product find its
application in textile and hospitality industry (Hotels, Hospital
and Airlines).
BEHARI HANUMANA: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained GVR Behari
Hanumana Tollway Private Limited's (GBHTPL) term loan ratings in
the non-cooperating category. The issuer did not participate in the
rating exercise despite continuous requests and follow-ups by the
agency. Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will
continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the
agency's website.
The detailed rating action is:
-- INR1,086.9 bil. Term loan (Long-term) due on October 2025
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The ratings were last reviewed on
August 17, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
Company Profile
GVR Behari Hanumana Tollway, which is wholly owned by GVR Infra
Projects Ltd, has been granted a 15-year
design-build-fund-operate-transfer concession by Madhya Pradesh
Road Development Corporation for the two-laning of the
Behari-Hanumana section from 110km of NH-75(E) to 243km of NH-7.
BEML MIDWEST: Insolvency Resolution Process Case Summary
--------------------------------------------------------
Debtor: BEML Midwest Limited
8-2-684/3-55, Shrinivas Nilayam
Banjara Green Colony
Road No. 12, Banjara Hills
Hyderabad, Telangana 500034
Insolvency Commencement Date: October 4, 2022
Court: National Company Law Tribunal, Hyderabad Bench
Estimated date of closure of
insolvency resolution process: April 2, 2023
Insolvency professional: Padma Priyanka Vangala
Interim Resolution
Professional: Padma Priyanka Vangala
2-2-1150/1A & 1B, Flat No. 504
HSR KBR Enclave, Street No. 16
Tilak Nagar, Brahmin Hostel Lane
New Nallakunta, Hyderabad 500044
E-mail: priyapoluri@gmail.com
- and -
1-10-17, Chapas Prashanthi Niketan
Flat No. 301, Street No. 4
Ashok Nagar, Hyderabad 500020
E-mail: ip.bemlmidwest@gmail.com
Last date for
submission of claims: October 18, 2022
DASHRATH SINGH: CARE Lowers Rating on INR12.50cr LT Loan to D
-------------------------------------------------------------
CARE Ratings has migrated the rating on bank facilities of Shri
Dashrath Singh Chauhan (SDSC) to Issuer Not Cooperating category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 12.50 CARE D; ISSUER NOT COOPERATING
Facilities Revised from CARE BB-; Stable
and moved to ISSUER NOT
COOPERATING category
Short Term Bank 23.96 CARE D; ISSUER NOT COOPERATING
Facilities Revised from CARE A4 and moved
to ISSUER NOT COOPERATING
category
Detailed rationale and key rating drivers
CARE Ratings Ltd. has been seeking information from SDSC to monitor
the rating(s) vide e-mail communications dated September 15, 2022,
August 22, 2022, August 10, 2022, August 3, 2022, July 14, 2022
among others and numerous phone calls. However, despite our
repeated requests, the entity has not provided the requisite
information for monitoring the ratings. 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. The rating on SDSC's bank facilities will now be denoted as
CARE D; ISSUER NOT COOPERATING.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The revision in the rating assigned to the bank facilities of SDSC
is primarily due to delays observed in servicing debt obligations.
Detailed description of the key rating drivers
Key rating weaknesses
* Delays in debt servicing: SDSC has exhibited over-utilization in
its cash credit facility and delays in servicing its working
capital term loan due to poor
liquidity position.
Chhindwara, Madhya Pradesh based Shri Dashrath Singh Chauhan (SDSC)
is proprietorship firm established in 1980. The firm is engaged in
the business of retailing of alcohol. SDSC undertakes retail trade
of Indian made foreign liquor (IMFL), country liquor (CL) etc and
holds retail license for liquor shops in the state of Madhya
Pradesh. The shops are allotted in Madhya Pradesh by the state
government through a competitive bidding process for a period of
one year. The firm has license for 117 shops in Chhindwara, Sausar,
Pandhurna, Parasiya, Amarwada, Damua, Chand, Chorai,Tamia etc. in
the state of Madhya Pradesh during FY21. The associate concerns of
SDSC include Aditya Raj which is engaged in Stone Crushing business
and Hotel Aditya Residency which operates a Hotel.
DYNAMIC REFRACTORIES: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Dynamic
Refractories (DR) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 8.00 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 DR under the 'issuer non-cooperating'
category as DR 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. DR 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).
Bhilwara (Rajasthan) based Dynamic Refractories (DR) was formed as
a proprietorship concern by Mrs. Sharda Sharma in 2002. DR is
primarily engaged in the business of manufacturing of insulation
bricks, fire bricks and other varieties of bricks which finds its
application as lining in furnace from its sole manufacturing
facility located at Bhilwara. The plant of the company has an
installed capacity of manufacturing of insulating bricks of 74.40
lakh bricks per annum, fire bricks of 5.50 lakh bricks per annum
and other varieties of bricks aggregating at 9.30 lakh bricks per
annum as on March 31, 2016.
ESMARIO EXPORT: Ind-Ra Gives BB LT Issuer Rating, Outlook Stable
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Esmario Export
Enterprises Private Limited (EEEPL) a Long-Term Issuer Rating of
'IND BB'. The Outlook is Stable.
The instrument-wise rating actions are:
-- INR100 mil. Fund-based working capital limits assigned with
IND BB/Stable/IND A4+ rating; and
-- INR75 mil. Non-fund-based working capital limits assigned with
IND A4+ rating.
Key Rating Drivers
The ratings reflect EEEPL's small scale of operations even as its
revenue rose to INR333.29 million in FY22 (FY21: INR239.52 million)
on the lifting of export restrictions post COVID-19. In FY23,
Ind-Ra expects revenue to improve further on further relaxation.
FY22 numbers are provisional in nature.
The ratings also factor in EEEPL's modest EBITDA margin of 7.27% in
FY22 (FY21: negative 9.55%) with a return on capital employed of
8%. In FY22, the EBITDA margin increased due to unrestricted
business operations. In FY23, Ind-Ra expects the EBITDA margin to
remain at a similar level.
The ratings also reflect EEEPL's moderate credit metrics as
reflected in the interest coverage (operating EBITDA/gross interest
expenses) of 3.19x in FY22 (FY21: negative 2.29x) and the net
leverage (adjusted net debt/operating EBITDAR) of 3.32x (negative
3.35x). In FY22, the interest coverage improved due to a decline in
the interest cost; however, the net leverage deteriorated due to an
increase in external borrowing during FYE22. In FY23, Ind-Ra
expects the credit metrics to remain at a similar level in the
absence of any capex plan.
Liquidity Indicator - Stretched: The net working capital cycle
stood at 333 days in FY22 (FY21: 292 days) due to an increase in
debtor days to 121 (94). EEEPL's average maximum utilization of
fund-based limits was 68.92% and that of the non-fund based was
59.91% during the 12 months ended August 31, 2022. EEEPL does not
have any capital market exposure. The cash flow from operations
stood at INR5.34 million in FY22 (FY21: negative INR3.5 million).
Furthermore, the free cash flow stood at INR0.02 million in FY22
(FY21: negative INR1.16 million). The cash and cash equivalents
stood at INR18.21 million at FYE22 (FYE21: INR7.32 million).
However, the ratings are supported by the promoter's nearly 57
years of experience in the trade export industry. This has
facilitated the company to establish strong relationships with
customers as well as suppliers.
Rating Sensitivities
Positive: A significant increase in the scale of operations, while
maintaining the overall credit metrics and liquidity profile, all
on a sustained basis, could lead to a positive rating action.
Negative: A decline in the scale of operations, leading to
deterioration in the overall credit metrics with the interest
coverage falling below 2x and deterioration in the liquidity
profile, could lead to negative rating action.
Company Profile
EEEPL was incorporated in 1968 by George Joseph Fernandez. In 2010,
it was taken over by M/s. Esmario Export Enterprises Pvt Ltd.in the
company trades boats, boat engines and spares. It also processes
and exports frozen sea foods.
GREATWALL CORPORATE: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Greatwall
Corporate Services Private Limited (GCSPL) continues to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.79 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 1.00 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities 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 GCSPL under the 'issuer non-cooperating'
category as GCSPL 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. GCSPL 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 2003, Pune-based (Maharashtra) GCSPL is engaged in
providing security services, facility management services and
manpower & staffing services to corporate and government entities.
GVK POWER: NCLT Admits Firm for Corporate Resolution
----------------------------------------------------
The Economic Times reports that the bankruptcy court on Oct. 10
admitted GVK Power (Goindwal Sahib) Ltd for corporate resolution
and insolvency proceedings based on a petition filed by Axis Bank.
This is the second company of the GVK group, after GVK Industries
to be admitted for insolvency proceedings.
The Hyderabad bench of the National Company Law Tribunal (NCLT)
gave an oral judgement on Oct. 10, while a complete judgement order
is yet to be uploaded on its website, ET relates.
According to the report, GVK Power and Infrastructure Ltd, the
parent company of GVK Power (Goindwal Sahib), informed the stock
exchange that it would challenge the order at the National Company
Law Appellate Tribunal. The company has a debt of around INR3,000
crore, said a senior bank official.
If the appellate authority does not grant any relief, the interim
resolution professional will immediately take charge of the
company's affairs, the parent company disclosed to the exchange.
GVK Power (Goindwal Sahid) operates two thermal power plants in
Punjab of 270mw each. It has a power purchase agreement (PPA) with
Punjab State Power Corporation Ltd. GVK Power has tied up with Coal
India for the supply of coal under Shakti Policy.
In October last year, the state government terminated GVK on the
grounds that its charges a higher tariff, ET recalls. The
termination of PPA by the then Congress government was an election
promise made by the state government. The Punjab state had signed
PPA with GVK Power when Shiromani Akali Dal – BJP was in power.
The cancellation of PPA resulted in a series of litigations between
the company and the state government.
GVK Power (Goindwal Sahib) Limited (GPGSL) is a wholly-owned
subsidiary of GVK Energy Limited, which in turn is the subsidiary
of GVK Power and Infrastructure Limited (GVKPIL), the flagship
company of GVK group. GPGSL has implemented a 540 MW (2*270 MW),
coal-fired thermal power project at Goindwal Sahib, District Tarn
Taran, Punjab.
KALRA OVERSEAS: Insolvency Resolution Process Case Summary
----------------------------------------------------------
Debtor: Kalra Overseas & Precision Engineerng Limited
Office No. 411/412, City Point
Street No. 17, Boat Club Road
Pune, Maharashtra 411001
India
Insolvency Commencement Date: October 11, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: April 8, 2023
(180 days from commencement)
Insolvency professional: Gajesh Labhchand Jain
Interim Resolution
Professional: Gajesh Labhchand Jain
501, Clifton Society
Shastri Nagar
Raviraj Oberoi Marg
Andheri West
Mumbai 400053
E-mail: gajeshjain@gmail.com
- and -
C-602, Remi Biz Court
Off Veera Desai Road
Azad Nagar, Andheri West
Mumbai 400053
E-mail: cirp.kalraoverseas@gmail.com
Last date for
submission of claims: October 24, 2022
LEARNFINITY TECHNOLOGIES: Voluntary Liquidation Case Summary
------------------------------------------------------------
Debtor: Learnfinity Technologies Private Limited
258 A, Rajguru Nagar
Ludhiana 141012
Punjab, India
Liquidation Commencement Date: October 10, 2022
Court: National Company Law Tribunal, Bengaluru Bench
Insolvency professional: Venkata Subbarao Kalva
Interim Resolution
Professional: Venkata Subbarao Kalva
#41/1, 11th Cross
8th Main, 2nd Block
Jayanagar, Bengaluru 560011
E-mail: subbaraocs@gmail.com
Mobile: +91-8147238639
Last date for
submission of claims: November 8, 2022
MB SPONGE: Ind-Ra Keeps 'BB' LT Issuer Rating in Non-Cooperating
----------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained MB Sponge and
Power Limited's Long-Term Issuer Rating of 'IND BB' in the
non-cooperating category and has simultaneously withdrawn it.
The instrument-wise rating actions are:
-- INR112 mil. Fund-based limits-CC* maintained in non-
cooperating category and withdrawn;
-- INR4 mil. Fund-based limits-ODBD# maintained in non-
cooperating category and withdrawn; and
-- INR21 mil. Non-fund-based limits# maintained in non-
cooperating category and withdrawn.
*Maintained at 'IND BB (ISSUER NOT COOPERATING)' before being
withdrawn
#Maintained at 'IND A4+ (ISSUER NOT COOPERATING)' before being
withdrawn
Key Rating Drivers
Ind-Ra has maintained the ratings in the non-cooperating category
because the issuer did not participate in the rating exercise,
despite requests by the agency and has not provided information
pertaining to full-year financial performance for FY19, FY20, FY21
and FY22, sanctioned bank facilities and utilization levels,
business plan and projections for the next three years, information
on corporate governance, and management certificate.
Ind-Ra is no longer required to maintain the ratings, as the agency
has received a no-objection certificate from the lenders. This is
consistent with the Securities and Exchange Board of India's
circular dated March 31, 2017 for credit rating agencies. Ind-Ra
will no longer provide analytical and rating coverage.
Company Profile
Incorporated in 2004, MB Sponge and Power manufactures sponge iron
at its facility in Burdwan, West Bengal. The facility has a
manufacturing capacity of 60,000 million tons per annum.
MEENAKSHI HATCHERIES: CARE Keeps C Debt Rating in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Meenakshi
Hatcheries (MH) continues to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 4.00 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 September 24,
2021, placed the rating(s) of MH under the 'issuer non-cooperating'
category as MH 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. MH 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).
K Meenakshi Hatcheries (MH) was established in December 2015 and
promoted by Mr BSSNV Krishna and his family members. The firm has
started a shrimp hatchery unit. MH is doing hatchery (Shrimp) and
sell the shrimp seed to shrimp farmers located in and around Andhra
Pradesh. The process of shrimp seed production involves four stages
(Maturation, Spawning and Hatching, Larval rearing and post larval
rearing). It takes around 40 days for entire process to complete.
The firm has started commercial operations from April 2016 as
envisaged.
MEGHAAARIKA IMPEX: CARE Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Meghaaarika
Impex Private Limited (MIPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 80.00 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 16, 2021,
placed the rating(s) of MIPL under the 'issuer non-cooperating'
category as MIPL 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. MIPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 1, 2022, June 11, 2022, June 21, 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).
MIPL is closely-held company incorporated in April 2011 by Sethi
family. The company started its operations in January 2014 and is
engaged in trading of industrial chemicals/plasticizers like
polyvinyl chloride (PVC) resin, phthalic anhydride, 2-ethyl hexanol
(2EH), Iso-Butyl Alcohol (IBA), melamine, acetone, chlorinated
paraffin wax etc. These chemicals are crude oil derivatives and
find application in wood polish, printing ink, paints, washing PVC
medical and surgical products, wires & cables, non-toxic food
containers, erasers, leather cloth, perfumes, vinyl flooring,
footwear and PVC shower curtain etc.
MOTHERS PRIDE: Insolvency Resolution Process Case Summary
---------------------------------------------------------
Debtor: Mothers Pride Education Institution Private Limited
11/77, West Punjabi Bagh
New Delhi 11002
Insolvency Commencement Date: October 12, 2022
Court: National Company Law Tribunal, New Delhi Bench, Court II
Estimated date of closure of
insolvency resolution process: April 9, 2023
Insolvency professional: Ganga Ram Agarwal
Interim Resolution
Professional: Ganga Ram Agarwal
14254, ATS One Hamlet
Sector 104, Noida
Gautam Buddha Nagar
Uttar Pradesh 201301
E-mail: ganga.manjuagarwal@gmail.com
- and -
AAA, Insolvency Professionals LLP
E-10A, Upper Ground Floor
Kailash Colony, Greater Kailash
New Delhi 110048
E-mail: motherspeipl.ibc@gmail.com
Last date for
submission of claims: October 26, 2022
NAGAYYA MAKKIMANE: CARE Keeps C Debt Rating in Not Cooperating
--------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Nagayya
Makkimane Shetty (NMS) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.00 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 August 13,
2021, placed the rating(s) of NMS under the 'issuer
non-cooperating' category as NMS 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. NMS
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated June 29, 2022, July 9, 2022, July 19, 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).
Karnataka based, Nagayya Makkimane Shetty (NMS) was established as
a proprietorship firm in 2005 by Mr. Nagayya Makkimane Shetty. NMS
is engaged in civil construction works like construction and
improvements of roads and drainage works relating to Public Works
Department (PWD), Directorate of Municipal Administration (DMA),
Karnataka Power Corporation Limited (KPCL), City Municipal Council
(CMC), Panchayatiraj Engineering, Department (PRED), and Mangaluru
City Corporation (MCC) etc. in the Karnataka state. The firm
purchases materials like cement, steel, metal and Tar from local
suppliers located in and around Karnataka. NMS procures work orders
through online government tender websites.
ORIENT STEEL: Ind-Ra Withdraws 'BB+' LongTerm Issuer Rating
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn Orient Steel and
Industries Limited's (OSIL) Long-Term Issuer Rating of IND BB+
(ISSUER NOT COOPERATING).
The instrument-wise rating actions are:
-- The 'IND BB+' rating on the INR80 mil. Fund-based limits is
withdrawn; and
-- The 'IND BB+' rating on the INR120 mil. Non-fund-based limits
is withdrawn.
Key Rating Drivers
Ind-Ra is no longer required to maintain the ratings, as the agency
has received a no-dues certificate from the lenders. Ind-Ra will no
longer provide analytical and rating coverage for OSIL.
Company Profile
Incorporated in 1956, OSIL manufactures steel castings, cold rolled
formed section, hot rolled products and cold rolled products. The
company has two manufacturing units – one each in Howrah, West
Bengal and Faridabad, Haryana, with a total production capacity of
152,200mtpa.
PALAPARTHI SUPER: CARE Keeps D Debt Rating in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Palaparthi
Super Speciality Hospitals Private Limited (PSSHPL) continues to
remain in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 70.00 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 28, 2021,
placed the rating(s) of PSSHPL under the 'issuer non-cooperating'
category as PSSHPL 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. PSSHPL 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).
Incorporated in September 2011, Palaparthi Super Speciality
Hospital Private Limited (PSSH) has been promoted by Dr. Silas J.
Charles and his wife MrsVasantha Charles. PSSH has set up a
super-specialty hospital under the banner 'Hope International
Hospital' with 350 beds capacity (74 beds in Intensive Care Unit
(ICU) and 276 beds in General ward) in Kakinada, Andhra Pradesh.
The hospital has commenced its operations from November 1, 2015.
PANACEA MEDICAL: Ind-Ra Withdraws 'BB+' LongTerm Issuer Rating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn Panacea Medical
Technologies Private Limited's (PMTPL) Long-Term Issuer Rating of
'IND BB+'. The Outlook was Stable.
The instrument-wise rating actions are:
-- The 'IND BB+' rating on the INR110 mil. Proposed fund-based
working capital limits is withdrawn;
-- The 'IND BB+' rating on the INR150 mil. Proposed non-fund-
based working capital limits is withdrawn; and
-- The 'IND BB+' rating on the INR80 mil. Proposed term loans is
withdrawn.
Key Rating Drivers
The issuer has requested the agency to withdraw the rating as it
did not avail the facilities as envisaged and the facilities had
remained unassigned and unutilized for availing debt. Ind-Ra,
therefore, is no longer required to maintain the rating, and has
withdrawn the same.
Company Profile
Incorporated in March 1999, PMTPL designs and develops equipment
for use of diagnosis and treatment of cancer and allied disease.
The radiotherapy equipments are capital in nature and are sold to
cancer institutes and hospitals. PMPTL has developed and has
received regulatory clearance including USFDA for the radiation
therapy machine. It has also a US patent granted, which will enable
it to sell globally, including the US.
PANNA AMANGANJ: Ind-Ra Keeps 'D' Loan Rating in Non-Cooperating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained GVR Panna
Amanganj Tollway Private Limited's term loan rating in the
non-cooperating category. The issuer did not participate in the
rating exercise despite continuous requests and follow-ups by the
agency. Therefore, investors and other users are advised to take
appropriate caution while using the rating. The rating will
continue to appear as 'IND D (ISSUER NOT COOPERATING)' on the
agency's website.
The instrument-wise rating actions are:
-- INR870.7 mil. Term loan (Long-term) due on November 2025
maintained in non-cooperating category with IND D (ISSUER NOT
COOPERATING) rating.
Note: ISSUER NOT COOPERATING: The rating was last reviewed on
August 17, 2018. Ind-Ra is unable to provide an update, as the
agency does not have adequate information to review the ratings.
Company Profile
GVR Panna Amanganj Tollway has been granted a 15-year
design-build-fund-operate-transfer concession by Madhya Pradesh
Road Development Corporation Limited for the expansion of a 58.18km
part of the Panna-Amanganj section of State Highway-47 into two
lanes.
PREMIER SPINTEX: CARE Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Premier
Spintex Private Limited (PSPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 19.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 1.35 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 PSPL under the 'issuer non-cooperating'
category as PSPL 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. PSPL 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).
ASMPL is promoted by Mr. Haresh Trivedi and his wife Mrs. Parul
Haresh Trivedi along with Mr. Hirabhai Ahir and Mrs.Jyotiben Ahir
to enter into the cotton spinning business in June 2014. The
company has changed its name to Premier Spintex Private Limited
(PSPL) from January 21, 2022. PSPL is undertaking green-field
project to set up a spinning mill to manufacture cotton carded yarn
in Dholka (Ahmedabad) to manufacture 24's, 30's & 34's count cotton
carded yarn with installed capacity of 13,056 spindles per annum.
PROTOCOL MARINE: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Protocol Marine Services Pvt. Ltd.
1502/A, 15th Floor Universal Magestic
P.L. Lokhande Marg, Chembur (W)
Mumbai 400043
Insolvency Commencement Date: October 10, 2022
Court: National Company Law Tribunal, Mumbai/Nagpur Bench
Estimated date of closure of
insolvency resolution process: April 9, 2023
(180 days from commencement)
Insolvency professional: Swapnil Mukund Agrawal
Interim Resolution
Professional: Swapnil Mukund Agrawal
102-201, Krushna Kunj
Plot No. 10-C
Near Tilak Nagar Ground
Nagpur 440010
E-mail: swapnil.ip845@gmail.com
Last date for
submission of claims: October 21, 2022
PRUDENTIAL HOTELS: Liquidation Process Case Summary
---------------------------------------------------
Debtor: Prudential Hotels Private Limited
No. 5, E-Block
Local Shopping Centre
Masjid Moth, Greater Kailash-II
New Delhi 110048
Liquidation Commencement Date: October 6, 2022
Court: National Company Law Tribunal, New Delhi Bench VI
Date of closure of
insolvency resolution process: September 20, 2022
Insolvency professional: Kailash Chand Gupta
Interim Resolution
Professional: Kailash Chand Gupta
First Floor, 14
Rani Jhansi Road
New Delhi 110055
E-mail: ipkcgupta@gmail.com
cirp.prudentialhotels@gmail.com
Last date for
submission of claims: November 5, 2022
PS STEEL: Ind-Ra Gives BB+ LT Issuer Rating, Outlook Stable
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned P.S. Steel Tubes
Limited (PSSTL) a Long-Term Issuer Rating of 'IND BB+'. The Outlook
is Stable.
Key Rating Drivers
The rating reflects PSSTL's medium scale of operations as indicated
by revenue of INR5,027 million in FY22 (FY21: INR3,776.201 million,
FY20: INR4,049.24 million). The growth in revenue was owing to an
increase in sales realizations to INR69,397.83 per metric ton in
FY22 (FY21: INR50,268.27 per metric ton), despite a marginal
decline in the sales volume to 72,450 metric tons per annum (mtpa;
75,121mtpa), as the company diversified its product portfolio post
COVID-19 to gas pipelines, metal crash barriers and powdered coated
pipes to mitigate intense competition. FY22 financials are
provisional.
The rating also factor in the company's modest and volatile EBITDA
margin on account of the intense price-based competition, resulting
from the fragmented nature of the industry. Despite the revenue
increase, the EBITDA margin declined to 4.53% in FY22 (FY21: 5.21%)
due to an increase in raw material prices. The company's return on
capital employed was 9.1% in FY22 (FY21: 7.5%).
The rating is also constrained by PSSTL's weak credit metrics due
to high short- and long-term external borrowings. The gross
interest coverage (operating EBITDA/gross interest expenses)
improved to 1.7x in FY22 (FY21: 1.4x) and the net leverage (total
adjusted net debt/operating EBITDAR) to 5.6x (6.7x) due to
repayment of long-term loans and an increase in the absolute EBITDA
to INR228 million (INR196.73 million). Ind-Ra expects the credit
metrics to improve further in FY23 owing to the scheduled debt
repayments of INR126.2 million in FY23 and INR103.4 million in
FY24.
Liquidity Indicator – Stretched: The company's average maximum
use of the fund-based limits was 97.09% for the 12 months ended
August 2022. The cash and cash equivalents stood at INR28.42
million at FYE22 (FYE21: INR29.09 million). The cash flow from
operations declined to INR47.64 million (FY21: INR50.31 million)
due to unfavorable changes in working capital. Consequently, the
free cash flow declined to INR42.98 million in FY22 (FY21: INR43.07
million). Ind-Ra expects the cash flow from operations and free
cash flow to remain at similar levels in the near-to-medium term
due to a likely stable working capital cycle and absence of any
major debt-led capex plan. The company has an elongated working
capital cycle of 90-120 days as it manufactures around 200
varieties of pipes. The working capital cycle improved to 93 days
in FY22 (FY21: 112 days) with the normalization of the inventory
holding period to 66 days (86 days). Furthermore, PSSTL increased
its working capital limits by INR100 million to INR860 million in
FY22, of which INR50 million was disbursed in March 2022. Ind-Ra
expects a debt service coverage ratio of 1.1x and 1.0x for FY23 and
FY24, respectively, (FY22: 1.3x).
However, the rating is supported by the promoters' nearly four
decades of experience in the manufacturing of steel pipes, leading
to strong relationships with customers as well as suppliers.
Rating Sensitivities
Positive: An improvement in the liquidity position and credit
metrics with the net leverage reducing below 4.0x on a sustained
basis while maintaining the scale of operations will be positive
for the rating.
Negative: Deterioration in liquidity or credit metrics with the net
leverage remaining above 5.0x on a sustained basis will be negative
for the rating.
Company Profile
Incorporated in 1989, PSSTL manufactures steel pipes and tubes. The
company has two plants located in Bhilai (Chhattisgarh) having a
capacity of 56,000mtpa and Khanav (Maharashtra) of 70,000mtpa. It
specializes in production of oxygen lancing pipes, mild steel
electric resistance welded black and galvanized pipes/tubes, square
and rectangular hollow sections, scaffolding pipes, and steel tubes
for idlers and belt conveyors, boiler tubes and air pre-heater
tubes.
RAVINDRA KUMAR: CARE Keeps C Debt Rating in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Ravindra
Kumar Singh (RKS) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.00 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 August 31,
2021, placed the rating(s) of RKS under the 'issuer
non-cooperating' category as RKS 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. RKS
continues to be non-cooperative despite repeated requests for
submission of information through e-mails, phone calls and a
letter/email dated July 17, 2022, July 27, 2022, August 6, 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).
Set up as a proprietorship firm in 2015, Ravindra Kumar Singh (RKS)
is engaged in the construction of shopping mall cum commercial
complex in Saharsa, Bihar. The proposed mall to be set up on a plot
measuring 14.53 Kattha with a built up area of 57,325 sq.ft. The
proposed mall would comprise of 42 small shops for sale,
hypermarket, banquet hall, food court and multiplex for rent or
lease. The project is estimated to be set up at a cost of INR15.32
crore which is proposed to be financed by way of proprietor
contribution of INR6.32 crore and term loan of INR9.00 crore. The
firm has already invested INR7.0 crore towards land & site
development, building, civil works etc. till April 30, 2017 which
is met through proprietor contribution of INR3.85 crore and term
loan availed by the firm from State Bank of India of INR3.15 crore.
The project is expected to be operational from April, 2019. Mr.
Ravindra Kumar Singh (aged 63 years), having over three decades of
experience and looks after the overall management of the firm with
adequate support from a team of experienced personnel.
RITZY CHEMICALS: CARE Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Ritzy
Chemicals Private Limited (RCPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term/ 315.00 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 16, 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
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 1, 2022, June 11, 2022, June 21, 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).
About the company Incorporated in 1992, RCPL is promoted and
closely held by the Sethi family (PCL group). It is engaged in
manufacturing and trading of PVC resin, Phthalic Anhydride, 2-Ethyl
Hexanol (2EH), Iso-Butyl Alcohol (IBA), Polymer additives and
various other allied chemicals. Located in Daman, RCPL's
manufacturing facility has a capacity of manufacturing 96,000 MTPA
as on March 31, 2018 of solvents and softeners which find their
application in wood polish, printing ink, paints, washing PVC
medical and surgical products etc.
SACHIKA TRADING: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: M/s Sachika Trading Private Limited
E-203, Kailash Industrial Complex
Veer Savarkar Marg, Park Site
Vikhroli (W), Mumbai
MH 400079
Insolvency Commencement Date: October 3, 2022
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: April 3, 2023
Insolvency professional: Rakesh Kumar Relan
Interim Resolution
Professional: Rakesh Kumar Relan
B1/701, Ganga Satellite
Wanowarie, Near Kedari Petrol Pump
Pune, Maharashtra 411040
E-mail: rakeshkrelan@gmail.com
- and -
2501-A, Transcon Triumph
Off Link Road, Andheri West
Mumbai 400053, Maharashtra
E-mail: rp.sachikatradingpvtltd@gmail.com
Last date for
submission of claims: October 22, 2022
SADBHAV BHAVNAGAR: Ind-Ra Lowers Term Loan Rating to 'B'
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Sadbhav
Bhavnagar Highway Private Limited's (SBHPL) rupee term loan (RTL)
to 'IND B' from 'IND BB+' while maintaining the rating on Rating
Watch Negative (RWN).
The detailed rating action is:
-- INR3.931 bil. RTL-I due on April 2034* downgraded; maintained
on RWN with IND B/RWN.
*Based on the actual scheduled commercial operations date (COD)
Analytical Approach: Ind-Ra has analyzed SBHPL's standalone credit
profile to arrive at the rating. The unsecured loans are fully
subordinated to the senior ranking RTL, and therefore, have not
been considered as additional debt in Ind-Ra's analysis. Any
deviation from this arrangement will be negative for the rating.
The rating action reflects the poor progress of the project despite
limited pending works and weakened credit profile of the sponsor -
Sadbhav Infrastructure Project Limited (SIPL; 'IND C(ISSUER NOT
COOPERATING)'), leading to the non-creation of debt service reserve
account (DSRA) as well as negating the possibility of timely
creation of the same. SBHPL is also exposed to the inherent risk of
deduction in annuities as seen in past annuities, due to the
sluggish project progress which can weaken its debt coverage
indicators. The project progress has been below par, largely due to
a weakening of the engineering, procurement and construction (EPC)
contractor's - Sadbhav Engineering Limited (SEL; 'IND D (ISSUER NOT
COOPERATING)') - credit profile.
The company has received a provisional commercial operations date
(COD) on the partial length effective February 28, 2020 and five
annuities from the National Highways Authority of India (NHAI; 'IND
AAA'/Stable), albeit with some deductions.
Key Rating Drivers
Significant Delay in Project Execution: According to the settlement
agreement, the company was awarded a provisional COD for 34km
effective from February 28, 2020, and the entire project was to be
completed by September 30, 2021. As per management, 100% of the
work front was available and 95% (45km) of the work had been
completed by July 31, 2022. The construction progress has been
sluggish in the past six months with limited incremental works,
majorly due to stretched liquidity at SEL.
Management expects project completion by end-October to
mid-November 2022. Management had earlier estimated the project to
achieve completion in May 2022, which was then revised to July
2022.
The company is in receipt of extension of time (EOT) from the NHAI
project director (PD) until September 2022. Ind-Ra will monitor the
progress of the project and any significant delay beyond the
stipulated timelines would be a rating sensitivity.
SBHPL faced delays in the past on account of multiple issues such
as delays in land handover by the NHAI (delay due to higher
compensation sought by land owners, multiple owners' issues),
sponsor liquidity issues and other force majeure events. The
company has received all the grants. Ind-Ra believes some
construction risk persists as not much incremental progress has
been seen during the past six months, and because of the
deteriorating financial profile and stretched liquidity experienced
by the sponsor and EPC contractor.
Moderate Revenue Risk: SBHPL has received five annuities until
September 28, 2022 with the next annuity due in the last week of
February 2023. SBHPL received first four annuities without any
major deduction, except for the first annuity, which saw a minor
deduction of 1% towards damages for the non-completion of certain
punch list works in a timely manner. However, the fifth annuity saw
damages recovered due to delay in completion of pending works by
concessionaire as confirmed by NHAI PD. Receipt of subsequent
annuities without any damages/deductions would be key monitorable.
Weakening Profile of Sponsor and EPC Contractor: SIPL has
undertaken to infuse any cost overrun beyond the projected cost and
any escalation of completed cost on account of the Price Index
Multiple beyond RTL-II (INR413.7 million). The undertaking extends
to meeting shortfalls in debt servicing in the event of a
deduction/shortfall/delay in the receipt of annuities and to fund
the DSRA in the form of a bank guarantee, any increase in O&M
expense required for the overlay of the project and also infuse
amounts equivalent to working capital requirements of the project.
However, the credit profile of both SEL and SIPL has weakened on
account of a continuous decline in the consolidated revenue and
delays in the implementation of asset monetization plans, resulting
in deterioration in the liquidity position and a further elongation
in the working capital cycle, all on a consolidated basis.
O&M Risk Persists: SBHPL has entered into a fixed-price O&M
contract with SIPL for taking up routine and major maintenance
expenses. SIPL has a reasonable experience in operating and
maintaining road projects. However, with the deteriorating profile
of O&M contractor and recent annuities witnessing
performance-related deductions, the maintenance of the project
stretch in line with the concession agreement will be a key rating
monitorable.
Liquidity Indicator – Stretched-to-Poor: The project has INR437.9
million available in the escrow account on receipt of the fifth
annuity on 28 September 2022. The total liquidity available in the
project is sufficient to meet interest servicing until next annuity
due in March 2023. Any significant deduction and delay in the
receipt of annuity can impact the liquidity and will be key rating
monitorable.
Modest Debt Structure: The rated debt comprises of an RTL-I of
INR3,931.2 million and RTL-II of INR413.7 million. A DSRA for six
months needs to be created within two months post the COD; this is
yet to be created. Financial risks take the form of an annual
variable interest rate, which is linked to the marginal cost of
funds-based lending rate or prime lending rate of the lenders.
Rating Sensitivities
The RWN indicates that the rating may be either downgraded or
affirmed. Ind-Ra will resolve the RWN upon getting clarity on the
completion of balance works, the receipt of one full annuity
without any deduction and the ability of the sponsor to honor its
support undertaking towards any penalty imposed by the NHAI for
delay in project completion.
Company Profile
SBHPL, a special purpose vehicle sponsored by SIPL, has been
granted a 15-year concession (post COD) by the NHAI. The project
involves expansion of two lanes to four lanes of an existing road
on the Bhavnagar – Taleja section of National Highway (NH)-8 E in
Gujarat on design, build, operate and transfer basis. The total
length of the road to be developed is 48.045kms (7.090kms to
54.585kms).
The concession agreement was signed on 19 July 2016 and the
appointed date was achieved on February 7, 2017. The project
achieved the provisional COD on February 4, 2020. The lenders have
approved the bid project cost of INR8,190 million, to be funded
with promoter's contribution, RTL and NHAI contribution debt and
construction grant of INR982.8 million, INR3,931.20 million and
INR3,276 million, respectively.
SADBHAV RUDRAPUR: Ind-Ra Lowers Term Loan Rating to 'B-'
--------------------------------------------------------
India Ratings and Research (Ind-Ra) has downgraded Sadbhav Rudrapur
Highway Private Limited's (SRHPL) rupee term loan (RTL) rating to
'IND B-' from 'IND BB-' while maintaining it on Rating Watch
Negative (RWN).
The detailed instrument-wise rating actions is:
-- INR3,542.4 bil. RTL due on November 2033* downgraded;
maintained on RWN with IND B-/RWN.
*Based on the actual scheduled commercial operations date
Analytical Approach: Ind-Ra continues to analyze SRHPL's standalone
credit profile to arrive at the rating. The unsecured loans were
fully subordinated to the senior ranking RTL, and therefore, have
not been considered as additional debt in Ind-Ra's analysis. Any
deviation from this arrangement will be negative for the rating.
The downgrade and RWN resolution reflect the poor project progress;
the weakened credit profile of the sponsor, Sadbhav Infrastructure
Project Limited (SIPL; 'IND C (ISSUER NOT COOPERATING')), leading
to non-creation as well as negating the possibility of the timely
creation of a static debt service reserve account (DSRA); and the
receipt of 'intention to termination' notice from National Highways
Authority of India (NHAI; 'IND AAA'/Stable), as informed to Ind-Ra
by the independent engineer (IE). SRHPL is also exposed to the
inherent risk of a deduction in annuities as seen in the past due
to the sluggish project progress which can weaken its debt coverage
indicators. The project progress has been below par, largely due to
a weakening of the credit profile of the engineering, procurement
and construction (EPC) contractor, Sadbhav Engineering Limited
(SEL; 'IND D (ISSUER NOT COOPERATING')).
The company has received a provisional commercial operations date
(COD) on the partial length effective October 31, 2019 and five
annuities from NHAI albeit with some deductions.
Key Rating Drivers
Significant Delay in Project Execution: According to the settlement
agreement, the company was awarded a provisional COD for 31.4km
effective October 31, 2019 and the entire project was to be
completed by June 30, 2021 and rail over bridges (ROBs) by October
31, 2021. As per the management, 100% of the work front is
available and 82% (38km) of the work was completed as of July 31,
2022. The project has not seen any meaningful progress over the
past six months.
SRHPL faced delays on account of issues such as a delay in land
handover by NHAI, liquidity issues with the sponsor and the EPC
contractor along with some force majeure events (heavy rains and
COVID-19). The company has received four grants with no de-linking
of land. Ind-Ra sees significant construction risk, given 20% of
the work still to be executed along with the deteriorating
financial profile, and stretched liquidity experienced by the
sponsor - SIPL - and EPC contractor - SEL.
Risk of Termination Following Issuance of 'Intention to Terminate'
Notice: NHAI issued a cure period notice to SRHPL on April 13,
2022, reflecting the concessionaire default under the concession
agreement. The cure period notice was served considering the
non-compliance of timelines with respect to the project completion
in line with the timelines mentioned in the settlement agreement as
well as with regard to the maintenance related issues, despite
several reminders from the IE and NHAI. As per the notice, SRHPL
would need to rectify the necessary defects as mentioned in the
notice within the cure period of 60 days i.e. by June 12, 2022.
SRHPL provided representation on the cure period notice issued by
NHAI on June 13, 2022. NHAI's regional office would take a
necessary action within 15 days from the receipt of letter, i.e. to
either continue with the existing contractor or substitute the
contractor. As per the confirmation from the IE, the receipt of
'intention to terminate' notice was issued to SRHPL and the
issuance of the final termination notice by NHAI shall be issued
post-discussion with all stakeholders. Ind-Ra will monitor the
outcome of the notice and a negative outcome will be credit
negative.
Moderate Revenue Risk: SRHPL has received five annuities; the sixth
annuity due in the first week of November 2022. SRHPL received the
first two annuities without any deduction; however, the subsequent
annuities saw deductions in the range of 14%-25% towards damages
for the non-completion of certain punch list works in a timely
manner. SRHPL is exposed to inherent risk of deductions in
annuities due to the sluggish project progress and non-maintenance
of project stretch in line with the concession agreement which can
weaken its debt coverage indicators. The annuities were received
with some delay due to the pre-dated provisional COD of October 31,
2019 for the completed length of 31.4km awarded to SRHPL only in
November 2020. The timeliness of upcoming annuities without any
major deduction would be a key rating monitorable.
Weakening Profile of Sponsor and EPC Contractor: The sponsor has
provided an undertaking to meet shortfalls in debt servicing in the
event of a deduction/a shortfall/a delay in the receipt of
annuities and to fund DSRA, any increase in operations and
maintenance (O&M) expenses (including any expense required for
overlay or major maintenance) and to fund the working capital
requirements for the O&M expenses of the project.
However, the credit profile of both SEL and SIPL has weakened on
account of a continuous decline in the consolidated revenue, delays
in the implementation of asset monetization plans, resulting in
deterioration in the liquidity position and a further elongation in
the working capital cycle, all on a consolidated basis.
O&M Risk Persists: SRHPL has entered into a fixed-price O&M
contract with SIPL for taking up routine and major maintenance
expenses. SIPL has a reasonable experience in O&M road projects.
However, with the deteriorating profile of the O&M contractor and
the recent annuities witnessing performance-related deductions, the
maintenance of the project stretch in line with the concession
agreement will be a key rating monitorable.
Liquidity Indicator – Stretched to Poor: The project has a DSRA
in the form of fixed deposit receipts worth INR69.3 million, while
INR87.2 million (on August 31, 2022) was also available in the
escrow account post the repayment of principal instalment in May
2022. The total liquidity available in the project would take care
of the debt servicing requirement until December 2022 while the
next annuity is due in early November 2022. Any significant
deductions and a delay in the receipt of annuity can impact the
liquidity and will be a key rating monitorable.
Modest Debt Structure: The rated debt comprises a term loan worth
INR3,542.4 million. A DSRA equivalent to nine months' debt
servicing has been created from the annuities received; however,
the same is being utilized to meet the debt service obligations for
the six months post annuity receipt date. Financial risk stems from
an annual variable interest rate, which is linked to the marginal
cost of fund-based lending rate or prime lending rate of the
lenders.
Rating Sensitivities
The RWN indicates that the rating may be either downgraded or
affirmed. Ind-Ra will resolve the RWN upon getting clarity on the
completion of balance works, termination of project by NHAI, the
receipt of one full annuity without any deduction and the ability
of the sponsor to honor its support undertaking towards any penalty
imposed by NHAI for delay in project completion.
Company Profile
SRHPL, a special purpose vehicle of SIPL, has been granted a
17-year concession (including construction period of 730 days) by
NHAI for the four-laning of 43.446km of the Rampur-Kathgodam
section package-1 of National Highway-87 (New National Highway-9)
in Uttar Pradesh under National Highways Development Programme
Phase III on a design, build, operate and transfer hybrid annuity
basis. The total length of the road to be developed is 43.45km.
The concession agreement was signed in June 2016 and the appointed
date was achieved on March 31, 2017. The project achieved
provisional COD on October 31, 2019 for a length of 31.4km. The
total bid project cost is INR7,380 million. The appraised project
cost is INR7,380 million, funded by an NHAI grant of INR2,952
million, equity/subordinated debt of INR885.6 million and a term
loan of INR3,542.5 million.
SALASAR AUTOCRAFTS: CARE Keeps C Debt Rating in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Salasar
Autocrafts Private Limited (SAPL) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 18.75 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 August 3, 2021,
placed the rating(s) of SAPL under the 'issuer non-cooperating'
category as SAPL 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. SAPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 19, 2022, June 29, 2022, July 9, 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 the February 2017 as a private limited company,
Salasar Autocrafts Private Limited (SAPL) is an authorized dealer
of Mahindra and Mahindra Ltd. (Mahindra) and is engaged in the
business of trading and servicing the passenger vehicles of
Mahindra along with sale of spare parts. SAPL was incorporated in
February 2017 and commenced its operations in August 2017. SAPL has
1 showroom located at Thane spread over 3500 sq ft. & 2 workshops
at Thane & Bhiwandi.
SARNA MARBLES: CARE Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sarna
Marbles Private Limited (SMPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 25.00 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 SMPL under the 'issuer non-cooperating'
category as SMPL 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. SMPL 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).
Jaipur (Rajasthan) based Sarna Marbles Private Limited (SMPL) was
incorporated in 2006 by Mr Bajrang Lal Khetan and Mr Ramchandra
Khetan. Later on, the management was acquired by Mr Arvind Khetan,
son of Mr Bajrang Lal Khetan. The company is engaged in the
business of manufacturing of High-Density Polyethylene (HDPE) and
Rigid PVC pipes and sells its product in the brand name of
"Khetan".
SD ENGINEERSTECH: Insolvency Resolution Process Case Summary
------------------------------------------------------------
Debtor: S.D. Engineerstech Private Limited
C-8, LGF II
East of Kailash
New Delhi 110065
Insolvency Commencement Date: October 6, 2022
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: April 4, 2023
(180 days from commencement)
Insolvency professional: Pradeep Kumar
Interim Resolution
Professional: Pradeep Kumar
7145, Sector-D
Pocket-7, Vasant Kunj
New Delhi 110070
E-mail: pradeep35in@gmail.com
- and -
EK-147, Eklavya Vihar
Sector-9, Vasundhara
Ghaziabad U.P 201012
E-mail: irp.sdengineerstech@gmail.com
Last date for
submission of claims: October 20, 2022
SEKAR CONSTRUCTIONS: CARE Keeps C Debt Rating in Not Cooperating
----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sekar
Constructions (SC) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 6.78 CARE C; Stable; ISSUER NOT
Facilities COOPERATING; Rating continues
to remain under ISSUER NOT
COOPERATING category
Short Term 5.50 CARE A4; ISSUER NOT
Bank 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 17,
2021, placed the rating(s) of SC under the 'issuer non-cooperating'
category as SC 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. SC continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
July 3, 2022, July 13, 2022, July 23, 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).
Sekar Constructions (SC) is a partnership firm established in the
year 1994 by Mr. E. Sekar along with his wife, Mrs. S. Sasikala.
The profit-sharing ratio is 60% and 40% respectively. The firm is
the "AA" class category of civil contractor engaged in building
constructions including civil, electrical and mechanical works for
Tamil Nadu State Government, Government of India, State
Government/Central Government Undertakings, Educational
Institutions, and other private contracts. Further, SC also
manufactures concrete blocks required for building construction
which are captively consumed. The firm employs around 400 staff
including 150 labourers and balance being skilled and semi-skilled
employees which includes engineers. The projects and the contracts
for Government projects are awarded through tendering & bidding
while for the private parties, the firm enters into contracts. The
registered office of the firm is located in Kanchipuram, Tamil
Nadu.
SERGI TRANSFORMER: Voluntary Liquidation Process Case Summary
-------------------------------------------------------------
Debtor: Sergi Transformer Explosion Prevention Technologies
Private Limited
47, 48 & 71, First Floor
Sector 16-B Dwarka, Phase-II
Delhi 110078
Liquidation Commencement Date: September 26, 2022
Court: National Company Law Tribunal, New Delhi Bench
Insolvency professional: Vikram Kumar
Interim Resolution
Professional: Vikram Kumar
J-6A Kailash Colony
New Delhi 110048
Tel: +919818119504
E-mail: vikramau@gmail.com
liquidator.sergi@gmail.com
Last date for
submission of claims: October 26, 2022
SHIVAM AUTOTECH: CARE Lowers Rating on INR372.86cr Loan to B
------------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Shivam Autotech Limited (SAL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 372.86 CARE B; Stable; Revised from
CARE D
Short Term Bank
Facilities 10.00 CARE A4 Revised from CARE D
Detailed rationale and key rating drivers
The revision in ratings assigned to the bank facilities of SAL
factors in the track record of timely servicing of repayment
obligations of financial institutions for more than 3 months. The
ratings further derive strength from the experienced promoters with
long track record of operations and favorable location of the
plant. The ratings also take cognisance of the improvement in
operational and financial risk profile during FY22 (refers to the
period from April 1 to March 31) and fund infusion by promoters
through rights issue. However, the ratings are constrained by the
company's leveraged capital structure, weak debt coverage
indicators and working capital intensive nature of operations
leading to poor liquidity position. The ratings also remain
constrained by the revenue concentration risk towards few
customers, low bargaining power with customers, susceptibility to
volatile raw material prices and cyclical nature of auto sector.
Rating sensitivities
Positive factors – Factors that could lead to positive rating
action/upgrade:
* Improvement in capital structure with overall gearing of less
than 1.75x
* improvement in total debt/GCA below 10x
* Improvement in profitability leading to adequate cash generation
sufficient to meet debt obligations
* Better management of working capital cycle and lower utilisation
of working capital limits leading to improvement in
liquidity position
Negative factors – Factors that could lead to negative rating
action/downgrade:
* Delay in repayment of debt obligations or overutilization of
working capital limits for more than 30 days
Detailed description of the key rating drivers
Key rating weaknesses
* Leveraged capital structure and weak debt coverage indicators:
The company has leveraged capital structure and weak debt coverage
indicators. The overall gearing of the company has improved to
2.81x as on March 31, 2022 from 4.34x as on March 31, 2021, however
the same continued to remain high. The improvement was largely on
account of infusion of equity amounting to INR40 crores by way of
rights issue and scheduled repayment of loans along with lower
utilisation of working capital. The debt coverage indicators
however, continue to be weak on account of loss-making operations.
Total debt/GCA of the company stood at 15.65x for FY22 (PY:
21.57x). The high debt leads to significant repayment obligations
at INR73.70 crores for FY23 which are unable to be met by cash
accruals of the company. The repayments are hence, expected to be
supported by fresh borrowings and support from the promoter in the
form of unsecured loans.
* Weak financial risk profile: During FY22, the company reported
stable total operating income of INR469.20 crores (PY: INR489.20
crore). The company has also been able to sustain the PBILDT margin
at 15.19% in FY22 as against 16.28% in FY21. Further, on account of
lower depreciation and interest cost the company reported decreased
loss than previous year. SAL reported a loss of INR16.06 crores
during FY22 decreased from INR22.53 crores in FY21. During Q1FY23,
the company reported income of INR118.71 crores with a sustained
PBILDT margin of 15.15%
* Revenue concentration risk: SAL derives majority of its revenue
from single client: Hero MotoCorp Limited (HML). HML contributes
around 60% of revenue of SAL. Further, majority of its products
manufactured such as gears and shafts find its usage in two
wheelers. As a result, SAL is exposed to customer concentration as
well as segment concentration risk.
* Low bargaining power with customers and susceptibility of margins
to volatility in raw material prices: Though there exists limited
bargaining power with the customers, since the major customers are
auto companies/OEMs, however, the company does have a mechanism
wherein any revision in the raw material prices is reset by the
OEMs on monthly basis and the change in the raw material prices are
accommodated subsequently. The major raw material (Steel) cost
accounts for around 50% of total operating income, furthermore,
global prices for steel are volatile which exposes SAL to price
risk.
* Cyclical nature of the automotive industry: The automobile
industry is highly cyclical in nature and automotive component
suppliers' sales are directly linked to sales of auto OEMs.
Furthermore, the auto-ancillary industry is highly competitive with
the presence of a large number of players in the organized as well
as unorganized sector.
Key rating strengths
* Experienced promoters: SAL is part of the Satyanand Munjal Group
(Late Mr Satyanand Munjal was brother of Late Mr BrijMohan Lal
Munjal) and was started in 1999 to meet the requirements of HML's
component requirements. Subsequently in 2005, SAL was hived off
from Munjal Auto Industries Ltd with focus on the forging and
machinery division. The company's Chairman, Mr. Sunil Kant Munjal
(son of Late Mr. Brijmohan Lal Munjal) has a vast experience in the
twowheeler industry. Mr. Neeraj Munjal, Managing Director has
almost two decades of experience in the auto component sector. Mr.
Munjal holds a Diploma in Business Management from Bradford &
Ilkley Community College, England, besides a Bachelor's Degree in
Commerce.
* Location advantage: The company's business profile is strongly
linked with HML which is the largest customer of SAL and accounted
for approximately 60% of sales. On the other hand, HML is also
dependent on SAL for procurement of gears and shafts which accounts
for approximately 65-70% of its overall requirement. Thus, the two
companies have strong operational linkages. Most of the
manufacturing plants of SAL are located in the vicinity of HML's
manufacturing plant.
Liquidity: Poor
The liquidity position of the company is poor as total debt level
of the company is high owning to significant capex done in the
past, leading to increasing repayment obligations. The projected
gross cash accruals of around INR50 crore is not sufficient to meet
the repayment obligations for FY23 which stands at INR73.70 crore.
The repayments are expected to be supported by fresh borrowings or
unsecured loan from promoters. Historically, the company has been
making repayments by stretching its creditors. The average credit
period stood at 69 days in FY22. The company relies heavily on bank
funds for its working capital requirements which remains almost
fully utilised.
SAL, formerly known as Munjal Auto Components, commenced operations
in Sep-1999 as an autonomous wing of 'HERO'
Group. Later in 2005, the forging and machinery divisions were
hived off and thus SAL was incorporated in July 29, 2005. The
company is engaged in manufacturing of transmission gear & shafts,
Precision Engineering Components (PECs), etc. for two wheelers. SAL
has four plants located in Gurgaon, Haridwar, Bengaluru and
Rohtak.
SHUBHGRAH METALS: CARE Keeps C/A4 Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Shubhgrah
Metals Private Limited (SMPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term/ 6.62 CARE C; Stable/CARE A4; ISSUER
Short Term NOT COOPERATING; Rating
Bank Facilities continues to remain under
ISSUER NOT COOPERATING category
Detailed Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated July 13, 2021,
placed the rating(s) of SMPL under the 'issuer non-cooperating'
category as SMPL 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. SMPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
May 29, 2022, June 8, 2022, June 18, 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).
Udaipur (Rajasthan) based Shubhgrah Metals Private Limited (SMPL),
incorporated in October 2012, was promoted by Mr. Babulal Motawat,
Mr. Rohit Motawat and Mr. Pankaj Kothari. SMPL was set up to
primarily engage in the trading of aluminium scrap and commenced
its commercial operations from December 2012 onwards.
SINHGAD TECHNICAL: CARE Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sinhgad
Technical Education Society (STES) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 426.24 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 16.45 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 23, 2021,
placed the rating(s) of STES under the 'issuer non-cooperating'
category as STES 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. STES continues to be
noncooperative 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).
Sinhgad Technical Education Society (STES) was registered under the
Societies Registration Act, 1860 in August 1993. It is also
registered under the Bombay Public Trust Act, 1950. STES manages
higher education colleges and pre-primary, primary and secondary
schools. These schools and colleges provide full time courses in
the fields of Engineering, Management, Pharmacy, Architecture,
Gemology and Jewelry Designing, etc.
SURYA WIRES: CARE Lowers Rating on INR10cr LT Loan to D
-------------------------------------------------------
CARE Ratings revised the ratings on certain bank facilities of
Surya Wires Private Limited (SWPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 CARE D Revised from CARE B;
Facilities Stable
Long Term/ 0.25 CARE D/CARE D Revised from
Short Term CARE B; Stable/CARE A4
Bank Facilities
Short Term 13.35 CARE D Revised from CARE A4
Bank Facilities
Detailed rationale and key rating drivers
The revision in the rating assigned to the bank facilities of Surya
Wires Private Limited (SWPL) takes into account overdrawal of more
than 30 days in the cash credit account from July 31, 2022 due to
debit of interest and the same is yet to be regularised.
Rating sensitivities
Positive factors – Factors that could lead to positive rating
action/upgrade:
* Default free track record of 90 days
* Sufficient cash accruals so as to meet its debt repayment
obligation.
Detailed description of the key rating drivers
Key rating weaknesses
* Delay in debt servicing: There is overdrawal of more than 30 days
in the cash credit account starting from July 31, 2022 due to debit
of interest and the same is yet to be regularised.
Liquidity: Stretched
There are overdrawal in the cash credit account of more than 30
days starting from July 31 2022, and the account is yet to be
regularized resulting in ongoing delays in debt servicing.
Surya Wires Pvt. Ltd. (SWPL) was established in 1983 as a
proprietorship entity by Raipur based Mr. Surendra Kumar Jain. In
1989, the erstwhile proprietorship entity was converted into a
private limited company. SWPL is engaged in manufacturing of steel
wires (G.I. wire, HB wires, Stay wire, G.I. barbed wire etc.) along
with trading of steel wires and MS bars/rounds. The manufacturing
facility of SWPL is located in Raipur with an installed capacity of
28,000 tpa. The products are largely used in industries like power,
construction, automobile, engineering, etc. SWPL primarily sells
its products to wire dealers and retailers. Apart from this, it
also participates in tender issued by various government entities
for supply of steel wires. The company also has a "Skill" division
for training students in specific skills under government
initiatives like Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Deen
Dayal Upadhyaya Grameen Kaushalya Yojana (DDUGKY), Pradhan Mantri
Kaushal Kendra (PMKK). The company is engaged in such activity as a
part of Corporate Social Responsibility (CSR). The day-to-day
affairs of the company are looked after by Mr. S.K. Jain, MD, with
adequate support from other director Mr. Harsh Agarwal (nephew of
Mr. S.K. Jain) and a team of experienced personnel.
TAXUS INFRASTRUCTURE: Insolvency Resolution Process Case Summary
----------------------------------------------------------------
Debtor: Taxus Infrastructure and Power Projects Private Limited
Registered address:
Unit No. 102, Vardhman Centre
Plot No. 3, First Floor
BH Block, LSC
Shalimar Bagh West Delhi
DL 110088
Project address:
Khasra No. 134, 140, 141, 143
Village Rapar, Khokhara
Taluka Anjar, District Kutch
Gujarat 370510
Insolvency Commencement Date: October 10, 2022
Court: National Company Law Tribunal, New Delhi Bench
Estimated date of closure of
insolvency resolution process: April 8, 2023
(180 days from commencement)
Insolvency professional: Darshan Singh Anand
Interim Resolution
Professional: Darshan Singh Anand
EG-46, Inder Puri
New Delhi
National Capital Territory of Delhi
110012
E-mail: dsanand57@gmail.com
- and -
Stellar Insolvency Profesionals LLP
Suite No. 10, 3rd Floor
310, New Delhi House
27 Barakhamba Road
Connaught Place
New Delhi 110001
E-mail: ip.taxusippl@gmail.com
Last date for
submission of claims: October 24, 2022
UTTAM GALVA: NCLT Approves ArcelorMittal Unit's Resolution Plan
---------------------------------------------------------------
Business Today reports that the Mumbai bench of National Company
Law Tribunal (NCLT) has approved the resolution plan submitted by
an Indian arm of the global steel company ArcelorMittal for
debt-laden Uttam Galva Steels Ltd.
According to the report, Uttam Galva Steels was put under the
'Corporate Insolvency Resolution Process (CIRP)' on an application
made by the State Bank of India SBI for not repaying its debts.
Under the Insolvency and Bankruptcy Code (IBC), a resolution
professional was appointed, and a committee of creditors (CoC) was
created for undertaking the 'CIRP' of Uttam Galva Steels.
Later, the creditors' committee, in complete majority, voted in
favour of the resolution plan submitted by ArcelorMittal, Business
Today relays.
Then, the resolution professional filed an application for approval
of the same before the bankruptcy court.
Business Today relates that the NCLT approved the resolution plan
submitted by the ArcelorMittal group without any changes or
amendments, and rejected all challenges.
The decision paved the way for the acquisition of UGSL by
ArcelorMittal.
This is ArcelorMittal's third purchase through the insolvency
process in India after Essar Steel and Odisha Slurry Pipeline
Infrastructure, the report notes.
Business Today says ArcelorMittal and Nippon Steel plans to invest
INR41,000 crore (US$5 billion) to boost crude steel output capacity
by 6 million tonnes a year at its Hazira plant in Gujarat.
The joint venture would build two blast furnaces, along with many
other facilities, with plans to start operations by mid-2026.
About Uttam Galva
Uttam Galva Steels Limited (NSE: UTTAMSTL) manufactures and sells
cold rolled steel and galvanized steel products in India. The
company procures hot rolled steel and processes it into cold rolled
steel and further into galvanized steel and color coated coils. It
offers cold rolling and cold rolled close annealed products;
galvanized plain products and corrugated sheets; and color coated
products. The company's products are used in various applications,
such as construction, household appliances, and transportation, as
well as in containers, packaging, furniture, light fixtures, and
computer peripherals. It also exports its products to approximately
132 countries, including the United States, Canada, Italy, Belgium,
Greece, Germany, France, the United Kingdom, Spain, Australia,
Japan, China, etc., as well as Africa, South America, and the Far
East Asian countries.
Uttam Galva Steels is a part of the Reserve Bank of India's second
list of cases, which will be referred to the bankruptcy tribunal
for insolvency proceedings after lenders failed to resolve the
account by December 2017.
WHITE HOUSE: CARE Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------
CARE Ratings said the rating for the bank facilities of White House
Tiles Private Limited (WHTPL) continues to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 13.30 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.75 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 27, 2021,
placed the rating(s) of WHTPL under the 'issuer non-cooperating'
category as WHTPL 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. WHTPL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 12, 2022, June 22, 2022, July 2, 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).
Morbi (Gujarat) based White House Tiles Private Limited (WHTPL), is
a private limited company established in 2007 by four promoters led
by Mr Vimal Patel and Mr Chunilal Bhanvadia. Mr Vimal Patel and Mr
Chunilal Bhanvadia have 20 years and 30 years of industry
experience, respectively. WHTPL is engaged in the manufacturing of
vitrified floor tiles. WHTPL operates from its manufacturing
facility located in ceramic cluster (Morbi) and has an installed
capacity to manufacture 18 lakh boxes per annum of floor tiles as
on March 31, 2016. WHTPL is selling its product under brand name of
"White House".
WHITEFIELDS APPAREL: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Whitefields
Apparel (WA) continues to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.20 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 3.35 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 13,
2021, placed the rating(s) of WA under the 'issuer non-cooperating'
category as WA 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. WA continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
June 29, 2022, July 9, 2022, July 19, 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).
Whitefields Apparel (WA) was established in April 2011 as a
proprietorship concern by Mrs. Kalpana Anand, daughter of Mr. K. P.
Ramasamy, the Chairman of K.P.R. Mill Limited. WA is a
Tirupur-based firm engaged in manufacture and export of knitted
garments.
ZENIL TRADERS: Insolvency Resolution Process Case Summary
---------------------------------------------------------
Debtor: Zenil Traders Private Limited
3rd Floor, Shahviri Building
37/41, R.S. Sapre Marg
Kalbadevi, Mumbai 400002
Insolvency Commencement Date: October 8, 2022
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: April 4, 2023
(180 days from commencement)
Insolvency professional: Pranav Damania
Interim Resolution
Professional: Pranav Damania
407, Sanjar Enclave
Opposite PVR Milap Cinema
S.V. Road, Kandivali (West)
Mumbai 400067
E-mail: pranav@winadvisors.co.in
zenilcirp@gmail.com
Last date for
submission of claims: October 22, 2022
=====================
N E W Z E A L A N D
=====================
LJ MASONS: Court to Hear Wind-Up Petition on Oct. 20
----------------------------------------------------
A petition to wind up the operations of LJ Masons Limited will be
heard before the High Court at Dunedin on Oct. 20, 2022, at 10:00
a.m.
The Commissioner of Inland Revenue filed the petition against the
company on June 21, 2022.
The Petitioner's solicitor is:
David Tasker
Inland Revenue, Legal Services
PO Box 1782
Christchurch 8140
LZ LIGHTING: Creditors' Proofs of Debt Due on Nov. 14
-----------------------------------------------------
Creditors of LZ Lighting Limited are required to file their proofs
of debt by Nov. 14, 2022, to be included in the company's dividend
distribution.
The High Court at Auckland appointed Steven Khov and Kieran Jones
of Khov Jones as liquidators on Oct. 14, 2022.
PRITAM HOLDINGS: Court to Hear Wind-Up Petition on Oct. 31
----------------------------------------------------------
A petition to wind up the operations of Pritam Holdings 2013
Limited will be heard before the High Court at Tauranga on Oct. 31,
2022, at 10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on Aug. 25, 2022.
The Petitioner's solicitor is:
T. Saunders
Inland Revenue, Legal Services
21 Home Straight
PO Box 432
Hamilton
RUAPEHU ALPINE: Financial Strife Puts Ohakune in Limbo
------------------------------------------------------
Radio New Zealand reports that Ruapehu Alpine Lift's financial woes
have come as a major blow for business people in Ohakune, who say a
future without the ski field would be "ripping the heart out of the
community."
The operator of Turoa and Whakapapa is in voluntary administration,
blaming unfavorable weather and two years of Covid-19 disruptions
for driving it deep into the red, RNZ says.
RNZ relates that Dawn Harallambi, of Odetta's Kitchen Ohakune, said
the fate of RAL had been on locals' minds for a while.
"People were expecting it. Maybe not as quickly as it happened, but
I think in the back of our minds we were concerned about the
operations up there," RNZ quotes Ms. Harallambi as saying. "Things
haven't been going so smoothly . . . Covid, a terrible season. It's
really hard to maintain a business with no cash flow."
But with that sense of inevitability, long time local and The
Kitchen co-owner Paul Steiglbauer said there was also frustration.
He said people felt as if RAL had lost touch with the community and
the mountain.
"When you have a bunch of people that don't actually live or engage
in our community, for example some of them are based in Queenstown,
they don't have their finger on the pulse," he said, notes the
report. "I mean, it's a very unique situation, the maunga here,
Mount Ruapehu in Tongariro National Park. Our environment, and the
ability for what the staff and people on the mountain can do within
their concession. It's a completely different scenario as compared
to Cardona etcetera in the South Island."
RNZ says the company's downturn comes despite financial input from
local and central government.
According to RNZ, Ruapehu mayor Weston Kirton said he understood
the government had contributed NZD9 million to keep the ski fields
going.
Taupo Council said it had chosen to put NZD1 million of investment
bonds into the Whakapa's Sky Waka gondola.
The Ruapehu shareholders and Life Pass Holders group have also
criticised RAL's so called "corporate approach".
Stu Robinson, general manager of Kings Ohakune Bar & Restaurant,
said it might be about time for experts to take a look at the
company's books, according to the report.
"They haven't made smart decisions all the way along. And to be
honest, I think volunteer administration is possibly not a bad
thing, because it means that someone else can come in and go,
'right.
"Second set of eyes. This is where we could have done things
better. Let's trim the fat here, let's do these things different,
and if you apply those sorts of business models, then you could be
onto a winner'".
RNZ adds PwC said "all options" were on the table to restore the
business.
However, voluntary administrator John Fisk told First Up he
couldn't rule out the possibility RAL would have to close with all
its assets sold.
RUAPEHU ALPINE: PwC Appointed as Administrators
-----------------------------------------------
John Fisk and Richard Nacey of PwC on Oct. 11, 2022, were appointed
as administrators of Ruapehu Alpine Lifts Limited.
The administrators may be reached at:
PwC
Private Bag 92162
Auckland 1142
TURNHAM AGRICULTURE: Court to Hear Wind-Up Petition on Oct. 27
--------------------------------------------------------------
A petition to wind up the operations of Turnham Agriculture Limited
will be heard before the High Court at Christchurch on Oct. 27,
2022, at 10:00 a.m.
Peter Walsh & Associates Finance Limited filed the petition against
the company on Sept. 2, 2022.
The Petitioner's solicitor is:
David Robert Forman
RSM Law
17 Strathallan Street
Timaru
===============
P A K I S T A N
===============
PAKISTAN: Seeks Rescheduling of US$27 Billion in Bilateral Debt
---------------------------------------------------------------
Reuters reports that Pakistan's new finance minister, Ishaq Dar,
said on Oct. 14 that he will seek rescheduling of some US$27
billion worth of non-Paris Club debt largely owed to China, but
will not pursue haircuts as part of any restructuring.
In an interview, Dar ruled out the possibility of a default on
Pakistan's debt, an extension of the maturity date on bonds due in
December or a renegotiation of Pakistan's current International
Monetary Fund program.
Reuters relates that the veteran finance minister said multilateral
development banks and international donors have been "quite
flexible" in meeting Pakistan's external financing needs after
devastating floods, which caused an estimated US$32 billion in
damages.
Dar, who is participating in the IMF and World Bank annual meetings
just over two weeks after taking office, said that Pakistan will
seek restructuring on equal terms for all bilateral creditors.
He declined to comment when asked whether he thought it would be
difficult to persuade China, creditor for about US$23 billion of
the debt, to participate, Reuters notes.
But asked whether Pakistan would seek to reduce debt principal, he
said "rescheduling is fine, but we are not seeking a haircut.
That's not fair."
According to Reuters, Dar, who served as Pakistan's finance
minister three previous times -- most recently from 2013 to 2017 --
is known as a staunch defender of the rupee. He said Pakistan has
not engaged in physical intervention in the currency, which has
been battered this year by a strong U.S. dollar, but which has
rallied some 10% since his appointment.
Reuters relates that Dar said that he views the "true value" of the
rupee at a level under 200 to the dollar. It last traded at 219.
"I am for a stable currency, I am for a realistic rate. I am for
market-based, but not subject to a currency being taken hostage"
and making speculators billions of dollars.
Asked whether he discussed with IMF officials the possibility of
borrowing from the Fund's new Resilience and Sustainability Trust
for middle-income countries, Dar said "We have discussed all
options."
The Pakistan finance minister added that the IMF's new emergency
"food shock" borrowing window may also be a good fit for the
country, which has lost crops due to devastating floods and may
need to import up to half million of tons of wheat in the next
year, Reuters relays.
"In this scenario, we have the possibility to approaching and
accessing this facility," he said, notes the report.
=====================
P H I L I P P I N E S
=====================
LASURECO: Tops List of Power Firms w/ Problematic Overdue Account
-----------------------------------------------------------------
Beatrice Pinlac at INQUIRER.net reports that the Power Sector
Assets and Liabilities Management Corporation (PSALM) on Oct. 14
drew attention to the power firms with the biggest overdue accounts
in its records, noting that Lanao del Sur Electric Cooperative
(Lasureco) tops the list with about P13 billion worth of debt.
INQUIRER.net relates that Olongapo City's Public Utilities
Department follows behind at PHP7.2 billion, then Picop Resources
Inc. at PHP3.3 billion, Maguindanao Electric Cooperative at around
PHP3.3 billion, Albay Electric Cooperative at PHP3.1 billion,
Global Siloworks Inc. at PHP1.9 billion, and Pampanga Electric
Cooperative at PHP1.5 billion.
According to the report, PSALM President and chief executive
officer Dennis de la Serna bared this list of "problematic
accounts" during the Senate finance subcommittee hearing on the
proposed PHP167.520-billion budget of the state-run corporation for
next year.
"From what I understand, they refuse to pay for the electric energy
that they consume coming from PSALM, National Power Corporation
(Napocor) power plants in Mindanao," the report quotes Mr. De la
Serna as saying, referring to the incurred debt of Lasureco.
Mr. De la Serna added: "They actually have a direct connection to
one of our plants which is Agus 1 and based on their consumption,
they have refused to pay. The reasons for that are numerous.
There's a lack of installation of kilowatt meters in the area."
Senator Robin Padilla then inquired if Lasureco's unpaid account
will result in power disconnections in its area of coverage.
"We've tried and we've sent notices of disconnection but those have
not been implemented," Mr. De la Serna answered.
He added that PSALM has been working with the Bangsamoro Autonomous
Region in Muslim Mindanao (Barmm) and the National Electrification
Administration (Nea) for assistance in dealing with this matter,
INQUIRER.net relays.
"We've tried to enter into special payment arrangements but again,
those special payment arrangements have not been met. The
conditions of those have not been met," the PSALM chief lamented.
He later spelled out their eyed solutions for this, saying that the
payment may either be absorbed by the national government - through
the Nea, or the Barmm.
If the latter is pursued, Mr. De la Serna pointed out that the
operations of Lasureco will likewise be taken over by the Barmm.
Senator Padilla also inquired about the possibility of PSALM
letting the electric cooperative off the hook instead.
Citing the Electric Power Industry Reform Act, Mr. De la Serna said
there are provisions on the condonation of loans which covers
certain power firms, but he reiterated that Lasureco's debt has
already ballooned up to PHP13 billion, INQUIRER.net relates.
"We have condoned obligations before, I think. We condoned loans in
2009, if I'm not mistaken. And then, it has happened again. The
debt just ballooned," he further explained.
Mr. De la Serna said condoning the loans is only one of the
possible solutions for this matter.
"We've tried, multiple times, to send special payment arrangements,
deferred payments, stretching the payments out longer to ensure
that they pay at least 10 percent of the bill or 25 percent of the
bill, but this is not sustainable [. . . ] Their payments are
inconsistent," the report quotes Mr. De la Serna as saying.
Aside from this, Mr. De la Serna also revealed that the outstanding
debt of PSALM, inherited from Napocor, amounts to PHP355.9 billion
as of June 2022, the report adds.
=================
S I N G A P O R E
=================
AGINCOURT RESOURCES: Commences Wind-Up Proceedings
--------------------------------------------------
Members of Agincourt Resources (Singapore) Pte Ltd, on Sept. 7,
2022, passed a resolution to voluntarily wind up the company's
operations.
The company's liquidator is:
Eunice Hooi Lai Fann
Boardroom Corporate Services
1 Harbourfront Avenue
#14-07 Keppel Bay Tower
Singapore 098632
EIGHT STARS: Creditors' Meeting Set for Oct. 28
-----------------------------------------------
Eight Stars Private Limited, which is in compulsory liquidation,
will hold a meeting for its creditors on Oct. 28, 2022, at 11:30
a.m. via Zoom.
Agenda of the meeting includes:
a. to lay a full statement of the Company’s affairs together
with a list of creditors and the estimated amounts of
their claims;
b. to nominate Liquidator(s) or confirm the nomination of
Liquidator(s) by member(s);
c. to consider and if thought fit, appoint a Committee of
Inspection consisting of not more than 5 persons, whether
creditors or not, for the purpose of winding up the
Company; and
d. Any other business.
Mr. Lau Chin Huat and Mr. Yeo Boon Keong of Technic Inter-Asia were
appointed as Provisional Liquidators of the company on Oct. 12,
2022.
KYUDENKO SOUTH: Members' Final Meeting Set for Nov. 17
------------------------------------------------------
Members of Kyudenko South East Asia Pte Ltd will hold their final
meeting on Nov. 17, 2022, at 10:00 a.m., at 10 Anson Road #14-06,
in Singapore.
At the meeting, Mitani Masatoshi, the company's liquidator, will
give a report on the company's wind-up proceedings and property
disposal.
LINGCO MARINE: Creditors' Proofs of Debt Due on Oct. 28
-------------------------------------------------------
Creditors of Lingco Marine Services Pte Ltd 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 Oct. 14, 2022.
The company's liquidator is:
Yio Swee Khim
c/o 140 Paya Lebar Road
#09-21
Singapore 409015
REALLYWORKS PTE: Court to Hear Wind-Up Petition on Nov. 4
---------------------------------------------------------
A petition to wind up the operations of Reallyworks (Pte.) Ltd.
will be heard before the High Court of Singapore on Nov. 4, 2022,
at 10:00 a.m.
Maybank Singapore Limited filed the petition against the company on
Oct. 12, 2022.
The Petitioner's solicitors are:
Shook Lin & Bok LLP
1 Robinson Road
#18-00, AIA Tower
Singapore 048542
=============
V I E T N A M
=============
CADOVIMEX SEAFOOD: Initiates Bankruptcy Procedures Due to Losses
----------------------------------------------------------------
SeafoodSource reports that Ca Mau Province, Vietnam-based seafood
company Cadovimex is aiming to finalize bankruptcy proceedings
later this year due to heavy losses.
Cadovimex is an exporter of shrimp, pangasius, squid, and octopus,
but suffered in the 2008 financial crisis. A long-term capital
misappropriation of VND175 billion, which the company never
recovered, hampered its operations, the report notes.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman,
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Copyright 2022. All rights reserved. ISSN: 1520-9482.
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