/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/230504.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Thursday, May 4, 2023, Vol. 26, No. 90 Headlines A U S T R A L I A ALLEGIANCE COAL: Committee Taps Dundon Advisers as Finc'l. Advisor APOLLO TRUST 2023-1: S&P Assigns BB Rating on Class E Notes BWX LIMITED: Julie Mathers, New Zealand Investor Buy Two Brands COUNTRY VALLEY: First Creditors' Meeting Set for May 9 EEC PTY: Second Creditors' Meeting Set for May 9 UNIQ PROPERTY: Second Creditors' Meeting Set for May 8 VALCORE PTY: First Creditors' Meeting Set for May 11 WINWORTH INVESTMENT: First Creditors' Meeting Set for May 8 C H I N A CBAK ENERGY: Falls Short of Nasdaq Minimum Bid Price Requirement KWG GROUP: Shares, Dollar Bonds Plunge After Default MERCURITY FINTECH: Incurs US$5.6 Million Net Loss in 2022 SUNRISE REAL: Swings to $9.4 Million Net Loss in 2022 I N D I A ADI AUTOMOTIVES: Liquidation Process Case Summary ANAMALA KURIES: Voluntary Liquidation Process Case Summary ARUPPUKOTTAI SRI: CARE Assigns B+ Rating to INR86.14cr LT Loan AVIRE ELEVATOR: Voluntary Liquidation Process Case Summary BIAS INFOTECH: Voluntary Liquidation Process Case Summary BIAS IT: Voluntary Liquidation Process Case Summary CEES INVESTMENTS: Voluntary Liquidation Process Case Summary CHANDRA SHIP: Voluntary Liquidation Process Case Summary COLLECTIVE (INDIA): Voluntary Liquidation Process Case Summary COMPUAGE INFOCOM: CARE Lowers Rating on INR450cr LT Loan to B- D TAMILRAJAN: CARE Keeps B- Debt Rating in Not Cooperating DHAKSHA UNMANNED: CRISIL Assigns B Rating to INR5cr Cash Loan DITI METAL: Voluntary Liquidation Process Case Summary DUROPLY INDUSTRIES: CRISIL Withdraws D Rating on INR25.18cr Loan G.K.M.S COTTON: CARE Keeps D Debt Rating in Not Cooperating G.V.D. TEXTILES: CARE Keeps C Debt Rating in Not Cooperating GO FIRST: NCLT to Hear Bankruptcy Plea on May 4 HARHARMAHADEV PAPER: CRISIL Reaffirms B+ Rating on INR15cr Loans IL&FS ENERGY: CARE Keeps D Debt Ratings in Not Cooperating INDIA CENTRIC: Voluntary Liquidation Process Case Summary INVENIO COMMODITY: Voluntary Liquidation Process Case Summary JCC INFRATECH: CARE Keeps B- Debt Rating in Not Cooperating JENDRINA HOSPITALITY: CRISIL Assigns B+ Rating to INR12.62cr Loan KATERRA INDIA: CARE Lowers Rating on INR310cr LT Loan to B+ KAY VEE: CARE Keeps C Debt Rating in Not Cooperating Category MALAR TEXTILES: CARE Keeps B- Debt Rating in Not Cooperating MANMAN MANUFACTURING: CRISIL Reaffirms B+ Rating on INR6cr Loan MICELLO (INDIA): Voluntary Liquidation Process Case Summary MINDA TTE: Voluntary Liquidation Process Case Summary NARENDA SOLVEX: Liquidation Process Case Summary PALAESTRA TECHNOLOGIES: Voluntary Liquidation Process Case Summary PANCHAGANGA SEEDS: CRISIL Withdraws B Rating on INR10cr Cash Loan PRABHULINGESHWAR SUGARS: CARE Keeps B+ Rating in Not Cooperating R. K. ENGINEERING: CRISIL Keeps B Debt Ratings in Not Cooperating RAJ KUMAR: CARE Lowers Rating on INR10cr LT Loan to B- REDMART INDIA: Voluntary Liquidation Process Case Summary SELECT GALVA: Liquidation Process Case Summary SHAKAMBARI RICE: CRISIL Withdraws B Rating on INR20cr Cash Loan SHINE TEXTILE: CARE Lowers Rating on INR12.50cr LT Loan to B- STAN AUTOS: Liquidation Process Case Summary T N R SILK: CARE Lowers Rating on INR16.65cr LT Loan to B VASANTHA ADVANCED: CARE Keeps B- Debt Rating in Not Cooperating VL FARMS: CARE Keeps D Debt Rating in Not Cooperating Category J A P A N JAPAN: More Companies Dive Into Bankruptcy Amid Inflation N E W Z E A L A N D AUM SHREEM: Creditors' Proofs of Debt Due on May 23 ENDURANCE ROOFING: Creditors' Proofs of Debt Due on June 16 SHRI BAGLAMUKI: Creditors' Proofs of Debt Due on May 26 VSE COMPANY: Court to Hear Wind-Up Petition on May 5 W H WERRY: Court to Hear Wind-Up Petition on May 5 S I N G A P O R E BRICK EAGLE: Creditors' Meetings Set for May 18 HAUS LIFESTYLE: Creditors' Meetings Set for May 9 KREUZ SUBSEA: Commences Wind-Up Proceedings - - - - - ================= A U S T R A L I A ================= ALLEGIANCE COAL: Committee Taps Dundon Advisers as Finc'l. Advisor ------------------------------------------------------------------ The official committee of unsecured creditors of Allegiance Coal USA Ltd. and its affiliates seek approval from the U.S. Bankruptcy Court for the District of Delaware to hire Dundon Advisers LLC as its financial advisor. The committee requires a financial advisor to: a. assist in the analysis, review and monitoring of the restructuring or liquidation process, including, but not limited to, an assessment of the unsecured claims pool and potential recoveries for unsecured creditors; b. develop a complete understanding of the Debtors' businesses and their valuations; c. determine whether there are viable alternative paths for the disposition of the Debtors' assets; d. monitor and, to the extent appropriate, assist the Debtors in efforts to develop and solicit transactions which would support unsecured creditor recovery; e. assist the committee in identifying, valuing and pursuing estate causes of action; f. assist the committee in analyzing, classifying and addressing claims against the Debtors, and participate effectively in any effort to estimate (in any formal or informal sense) contingent, unliquidated and disputed claims; g. assist the committee in identifying, preserving, valuing and monetizing tax assets of the Debtors, if any; h. advise the committee in negotiations with the Debtors, certain of the Debtors' lenders and third parties; i. assist the committee in reviewing the Debtors' financial reports, including, but not limited to, statements of financial affairs, schedules of assets and liabilities, cash budgets and monthly operating reports; j. assist the committee in reviewing the Debtors' cost/benefit analysis with respect to the assumption or rejection of various executory contracts and leases; k. review and provide analysis of the present and any subsequent proposed debtor-in-possession financing or use of cash collateral; l. assist the committee in evaluating and analyzing avoidance actions, including fraudulent conveyances and preferential transfers; m. review and provide analysis of any proposed disclosure statement and Chapter 11 plan and, if appropriate, assist the committee in developing an alternative Chapter 11 plan; n. attend meetings and assist in discussions with the committee, the Debtors, the secured lenders, the U.S. Trustee and other parties in interest and professionals; o. participate in meetings of the committee as well as meetings with other key stakeholders and parties; p. provide testimony; and q. perform other necessary financial advisory services. The firm will charge these hourly fees: Principals $850 per hour Managing Directors $760 per hour Directors $650 per hour Associate Director $550 per hour Senior Associates $450 per hour Associates $370 per hour Alejandro Mazier, principal at Dundon Advisers, disclosed in a court filing that his firm is a "disinterested person" within the meaning of Section 101(14) of the Bankruptcy Code. Dundon Advisers can be reached through: Alejandro Mazier Dundon Advisers, LLC Ten Bank Street, Suite 1100 White Plains, NY 10606 Telephone: (917) 838-1930 Email: am@dundon.com About Allegiance Coal USA Limited Allegiance Coal USA Limited is a listed Australian company focused on seaborne met coal mine development and operations, with operating mines in southeast Colorado, central Alabama, as well as a development project in northwest British Columbia. Allegiance and its affiliates sought protection under Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Lead Case No. 23-10234) on Feb. 21, 2023. In the petition signed by its chief executive officer, Jonathan Romcke, Allegiance disclosed up to $100 million in assets and up to $50 million in liabilities. Judge Craig T. Goldblatt oversees the cases. The Debtors tapped Robert J. Dehney, Esq., at Morris, Nichols, Arsht & Tunnell, LLP as bankruptcy counsel; and CRS Capstone Partners, LLC as investment banker and financial advisor. The U.S. Trustee for Region 3 appointed an official committee to represent unsecured creditors in the Debtors' Chapter 11 cases. The committee is represented by Whiteford Taylor & Preston, LLP. APOLLO TRUST 2023-1: S&P Assigns BB Rating on Class E Notes ----------------------------------------------------------- S&P Global Ratings assigned its ratings to six classes of prime residential mortgage-backed securities (RMBS) issued by Perpetual Trustee Co. Ltd. as trustee for APOLLO Series 2023-1 Trust. APOLLO Series 2023-1 Trust is a securitization of prime residential mortgage loans originated by Suncorp-Metway Ltd. (Suncorp). The ratings reflect: -- S&P's view of the credit risk of the underlying collateral portfolio, including its view that the credit support is sufficient to withstand the stresses it applies. The credit support for the rated notes comprises note subordination and lenders' mortgage insurance cover on 26.24% of the loan portfolio. -- S&P's expectation that the various mechanisms to support liquidity within the transaction, including a liquidity reserve to cover extraordinary expenses, an excess revenue reserve funded by available spread, the principal draw function, and a liquidity facility to be provided by Suncorp equal to 0.8% of the performing mortgage loan balance, are sufficient under its stress assumptions to ensure timely payment of interest. -- The benefit of a fixed-rate swap to be provided by Suncorp to hedge the mismatch between receipts from any fixed-rate mortgage loans and the variable-rate notes. Ratings Assigned APOLLO Series 2023-1 Trust Class A, A$920.000 million: AAA (sf) Class AB, A$40.000 million: AAA (sf) Class B, A$20.000 million: AA (sf) Class C, A$10.000 million: A (sf) Class D, A$4.000 million: BBB (sf) Class E, A$3.000 million: BB (sf) Class F, A$3.000 million: Not rated BWX LIMITED: Julie Mathers, New Zealand Investor Buy Two Brands --------------------------------------------------------------- Inside Retail reports that Julie Mathers and a New Zealand-based online wellness retailer HealthPost have acquired the Flora & Fauna and Nourished Life brands from BWX, the beauty giant that collapsed a month ago. Ms. Mathers, who established Flora & Fauna in 2014, has teamed up with HealthPost, to register a new company in New Zealand called The Future Collective. Inside Retail says the new entity will acquire the assets of BWX Digital including IP, websites, data, goodwill and stock across both brands. "There is a lot of work to do and we will be working at speed to get Flora & Fauna back up and running as soon as we can," the report quotes Ms. Mathers as saying. She added both companies' values and ethics align and that together with their combined experience, team and infrastructure, the acquired businesses will thrive. CEO of HealthPost, Abel Butler, said: "We have admired both Flora & Fauna and Nourished Life for a long time and wanted to help these businesses flourish into the future. "We recognise there is a lot of work to be done; with our experience in e-commerce, health, wellness and natural beauty, we are confident we are the right custodians of these purpose-driven brands," Inside Retail relays. HealthPost turns over NZD35 million per annum and has more than 200,000 customers. The acquisition will triple the current customer base to more than 600,000 customers. About BWX Limited BWX Limited manufactures body, hair and skin care products. The Company produces and distributes moisturizers, oils, lotions, scrubs, creams and other related products. KPMG's David Hardy, Gayle Dickerson, James Stewart and James Dampney have been appointed as receivers and managers of Nourished Life and Flora & Fauna, together known as BWX Digital. FTI Consulting have been appointed by the BWX board as administrators. COUNTRY VALLEY: First Creditors' Meeting Set for May 9 ------------------------------------------------------ A first meeting of the creditors in the proceedings of Country Valley Pty Ltd will be held on May 9, 2023, at 10:30 a.m. via virtual facilities only. Aaron Kevin Lucan of Worrells was appointed as administrator of the company on April 27, 2023. EEC PTY: Second Creditors' Meeting Set for May 9 ------------------------------------------------ A second meeting of creditors in the proceedings of EEC Pty Ltd has been set for May 9, 2023 at 10:00 a.m. virtually via Microsoft Teams. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by May 8, 2023 at 4:00 p.m. Christopher Robert Powell of DuncanPowell was appointed as administrator of the company on March 23, 2023. UNIQ PROPERTY: Second Creditors' Meeting Set for May 8 ------------------------------------------------------ A second meeting of creditors in the proceedings of UniQ Property Pty Ltd has been set for May 8, 2023 at 11:00 a.m. at the offices of SV Partners at Level 17, 200 Queen Street in Melbourne. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by May 5, 2023 at 5:00 p.m. Peter Gountzos and Michael Carrafa of SV Partners were appointed as administrators of the company on March 22, 2023. VALCORE PTY: First Creditors' Meeting Set for May 11 ---------------------------------------------------- A first meeting of the creditors in the proceedings of Valcore Pty Limited will be held on May 11, 2023, at 3:00 p.m. via virtual meeting by Zoom. Gavin Moss and Henry Kwok of Chifley Advisory were appointed as administrators of the company on April 28, 2023. WINWORTH INVESTMENT: First Creditors' Meeting Set for May 8 ----------------------------------------------------------- A first meeting of the creditors in the proceedings of Winworth Investment Pty Ltd will be held on May 8, 2023, at 10:30 a.m. at the offices of Greengate Advisory at Suit 32.02 Level 32, 31 Market Street in Sydney. Patrick Loi and John Chand of Greengate Advisory were appointed as administrators of the company on April 28, 2023. ========= C H I N A ========= CBAK ENERGY: Falls Short of Nasdaq Minimum Bid Price Requirement ---------------------------------------------------------------- CBAK Energy Technology, Inc. received notice from the Listing Qualifications staff of The Nasdaq Stock Market LLC on April 24, 2023 notifying the Company that it is currently not in compliance with the minimum bid price requirement set forth under Nasdaq Listing Rule 5550(a)(2), which requires listed securities to maintain a minimum bid price of US$1.00 per share. Nasdaq Listing Rule 5810(c)(3)(A) provides that a failure to meet the minimum bid price requirement exists if the deficiency continues for a period of 30 consecutive business days. Based on the closing bid price of the Company's common stock for the 30 consecutive business days from March 10 through April 21, 2023, the Company no longer meets the minimum bid price requirement. The Notice has no immediate effect on the listing of the Company's common stock, which will continue to trade uninterrupted on Nasdaq under the ticker "CBAT". Pursuant to Nasdaq Listing Rule 5810(c)(3)(A), the Company has a compliance period of 180 calendar days, or until Oct. 23, 2023, to regain compliance with Nasdaq's minimum bid price requirement. If at any time during the Compliance Period, the closing bid price per share of the Company's common stock is at least $1.00 for a minimum of 10 consecutive business days, Nasdaq will provide the Company a written confirmation of compliance and the matter will be closed. In the event the Company does not regain compliance with the minimum bid price requirement by Oct. 23, 2023, the Company may be eligible for an additional 180-calendar day grace period. If the Company does not qualify for the second compliance period or fails to regain compliance during the second 180-day period, then Nasdaq will notify the Company of its determination to delist the Company's common stock, at which point the Company will have an opportunity to appeal the delisting determination to a Hearings Panel. About CBAK Energy Liaoning Province, People's Republic of China-based CBAK Energy -- www.cbak.com.cn -- is a manufacturer of new energy high power lithium batteries that are mainly used in light electric vehicles, electric vehicles, electric tools, energy storage including but not limited to uninterruptible power supply (UPS) application, and other high-power applications. Its primary product offering consists of new energy high power lithium batteries, but it is also seeking to expand into the production and sale of light electric vehicles. CBAK Energy reported a net loss of $11.33 million for the year ended Dec. 31, 2022, compared to net income of $61.56 million for the year ended Dec. 31, 2021. As of Dec. 31, 2022, the Company had $244.03 million in total assets, $119.65 million in total liabilities, and $124.38 million in total equity. Hong Kong, China-based Centurion ZD CPA & Co., the Company's auditor since 2016, issued a "going concern" qualification in its report dated April 14, 2023, citing that the Company has accumulated deficit from recurring net losses and significant short-term debt obligations maturing in less than one year as of Dec. 31, 2022. All these factors raise substantial doubt about its ability to continue as a going concern. KWG GROUP: Shares, Dollar Bonds Plunge After Default ---------------------------------------------------- Bloomberg News reports that KWG Group Holdings Ltd. securities tumbled on May 2 after the firm became the latest Chinese developer to default, even as new-home sales gain steam nationally. Bloomberg relates that the company didn't pay CNY212 million (US$31 million) of principal due April 28 on bank and other borrowings, it said in a Hong Kong stock exchange filing. The delinquency triggered CNY31.2 billion of debt becoming repayable on demand. KWG's annual report, also filed on April 28, said the firm faces multiple uncertainties "which cast significant doubt on the Group's ability to continue as a going concern." Shares of KWG - whose offerings range from high-rise apartments to office buildings and shopping malls primarily in China's larger cites - closed down a record 24% following a holiday weekend. According to Bloomberg, the developer's dollar bonds slumped as much as 23 cents May 2, putting nearly all of them in deeply distressed territory at below 20 cents. There's a combined $137.6 million of payments due this month on two such notes, according to data compiled by Bloomberg. Just last September, KWG undertook a $1.4 billion debt exchange. KWG, China's 44th-largest builder by contracted residential sales this year, had a CNY9.2 billion loss in 2022 and reported CNY3.36 billion of cash and cash equivalents, 57% less than the end of 2021, Bloomberg discloses. While China's developer-dominated high-yield dollar bonds rallied sharply after the government started rolling out measures last fall in efforts to stem the sector's liquidity crunch and record defaults, sentiment has been hit recently by fresh debt worries about some property firms, the report notes. An early-year 11% price gain for the junk notes has been erased despite new-home sales starting to rebound from 2022's depressed levels at China's biggest builders, including a 32% jump for April. KWG's default may mean the "shaky liquidity" of peers Sino-Ocean Group Holding Ltd. and Agile Group Holdings Ltd. could next be tested, Bloomberg Intelligence analyst Kristy Hung wrote in a report on May 2. "The event suggests the government's support for private developers' liquidity might still fall short despite November's rescue plan, adding urgency to the push to raise additional equity," she said. Bloomberg adds that the annual report from KWG said the firm will seek agreements with lenders of the defaulted and cross-defaulted borrowings that they not exercise their rights for immediate repayment. The builder said it's also negotiating with parties regarding sales of commercial properties and non-core property projects. KWG Group Holdings Limited, formerly KWG Property Holding Limited, -- https://www.kwggroupholdings.com/ -- is an investment holding company principally engaged in the property development. The Company operates its business through four segments. The Property Development segment is engaged in the sale of properties. The Property Investment segment is engaged in the leasing of properties. The Hotel Operation segment is engaged in the operation of hotels. The Property Management segment is engaged in the provision of property management services. The Company's subsidiaries include Guangzhou Hejing Real Estate Development Limited, Guangzhou Hejing Meifu Real Estate Development Limited and Guangzhou Hejing Yingfu Real Estate Development Limited. MERCURITY FINTECH: Incurs US$5.6 Million Net Loss in 2022 --------------------------------------------------------- Mercurity Fintech Holding Inc. has filed with the Securities and Exchange Commission its Annual Report on Form 20-F disclosing a net loss of US$5.63 million on US$863,438 of total revenue for the year ended Dec. 31, 2022, compared to a net loss of US$21.66 million on US$670,171 of total revenue revenue for the year ended Dec. 31, 2021. As of Dec. 31, 2022, the Company had US$18.89 million in total assets, US$2.06 million in total liabilities, and US$16.83 million in total shareholders' equity. Singapore-based Onestop Assurance PAC, the Company's auditor since 2023, issued a "going concern" qualification in its report dated April 25, 2023, citing that the Company has incurred recurring operating losses and negative cash flows from operating activities and has an accumulated deficit, which raise substantial doubt about its ability to continue as a going concern. A full-text copy of the Form 20-F is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001527762/000141057823000790/tmb-20221231x20f.htm About Mercurity Formerly known as JMU Limited, Mercurity Fintech Holding Inc. is a digital fintech group powered by blockchain technology. The Company's primary business scope includes digital asset trading, asset digitization, cross-border remittance and other services, providing compliant, professional, and highly efficient digital financial services to its customers. The Company recently began to narrow in on Bitcoin mining, digital currency investment and trading, and other related fields. This shift has enabled the company to deepen its involvement in all aspects of the blockchain industry, from production to circulation. Mercurity Fintech Holding Inc. was incorporated in 2011 and is based in Shenzhen, the People's Republic of China. SUNRISE REAL: Swings to $9.4 Million Net Loss in 2022 ----------------------------------------------------- Sunrise Real Estate Group, Inc. has filed with the Securities and Exchange Commission its Annual Report on Form 10-K disclosing a net loss of $9.39 million on $80.02 million of net revenues for the year ended Dec. 31, 2022, compared to net income of $46.28 million on $54.14 million of net revenues for the year ended Dec. 31, 2021. As of Dec. 31, 2022, the Company had $274.09 million in total assets, $129.35 million in total liabilities, and $144.74 million in total stockholders' equity. Sunrise Real said, "If our business otherwise grows more rapidly than we predict, we plan to raise funds through the issuance of additional shares of our equity securities in one or more public or private offerings. We will also consider raising funds through credit facilities obtained with lending institutions and affiliates, as we have done previously, but there can be no guarantee that we will be able to obtain such funds through the issuance of debt or equity with terms satisfactory to management and our board of directors. "Management believes that the Company will generate sufficient cash flows to fund its operations and to meet its obligations on a timely basis for the next twelve months by successfully implementing its business plans, obtaining continued support from its lenders to roll over debts when they became due, and securing additional financing as needed. Based upon the equity income generated by SHDEW in 2022, we expect a substantial cash dividend from SHDEW in 2023, which will be our principal source of liquidity. We have been able to secure new bank lines of credit from banks and secure additional loans from affiliates to fund our operations to date. However, if events or circumstances occur such that the Company is unable to successfully implement its business plans, fails to obtain continued support from its lenders or to secure additional financing, the Company may be required to suspend operations or cease business entirely." A full-text copy of the Form 10-K is available for free at: https://www.sec.gov/ix?doc=/Archives/edgar/data/0001083490/000141057823000806/srre-20221231x10k.htm About Sunrise Real The principal activities of Sunrise Real Estate Group, Inc. and its subsidiaries offer real estate development and property brokerage services, including real estate marketing services, property leasing services; and property management services in the People's Republic of China. ========= I N D I A ========= ADI AUTOMOTIVES: Liquidation Process Case Summary ------------------------------------------------- Debtor: Adi Automotives Private Limited 58 Km Milestone, Delhi Jaipur Highway Binola Industrial Zone, Gurgaon Haryana-122413 Liquidation Commencement Date: March 31, 2023 Court: National Company Law Tribunal New Delhi Bench Liquidator: Sanjay Kumar Dewani 133, Bhagirathi Appts. Plot No 13/1, Sector-9, Rohini, New Delhi - 110085 Email: sanjaydewani@gmail.com Last date for submission of claims: May 5, 2023 ANAMALA KURIES: Voluntary Liquidation Process Case Summary ---------------------------------------------------------- Debtor: Anamala Kuries and Loans Private Limited Room No: XXI/610, Chalakudy Municipality Chungath Builders and Developers Pvt Ltd Chalakudy Thrissur Kerala 680307 India Liquidation Commencement Date: March 31, 2023 Court: National Company Law Tribunal Kochi Bench Liquidator: Rajmohan R, Insolvency Professional Rajbhavan, Krisnapuram St No. 6, HS 175A & 514-12/1, Ollukkara, Thrissur - 680655 Email: rajmohanip@gmail.com Tel No: 9946823989 Last date for submission of claims: April 29, 2023 ARUPPUKOTTAI SRI: CARE Assigns B+ Rating to INR86.14cr LT Loan -------------------------------------------------------------- CARE Ratings has assigned rating to the bank facilities of Aruppukottai Sri Jaya Vilas Private Limited (ASJPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 86.14 CARE B+; Stable Assigned Facilities Short Term Bank Facilities 7.00 CARE A4 Assigned Rationale and key rating drivers The ratings assigned to the bank facilities of ASJPL are constrained by weak capital structure and debt protection metrics, relatively moderate scale of operations, the working capital-intensive nature of operations and the susceptibility of profitability to the volatility in raw material prices. The ratings however derive strength from vast experience of the promoters, long operational track record of the company, and established relationship with customers. Rating sensitivities: Factors likely to lead to rating actions Positive factors * Ability to improve scale of operations with income above INR250 crore with PBILDT margin above 8% on sustained basis. * Ability to improve the capital structure with overall gearing below 2.5x. Negative factors * Any large debt-funded capex leading to moderation of overall gearing above 4x. * Decline in scale of operation below INR150.0 crore. Analytical approach: Standalone Outlook: Stable The stable outlook reflects that the company is expected to sustain its operational performance with the benefits derived from captive power and its long-term relationship with customers and vast experience of the promoters. Detailed description of the key rating drivers: Key Weaknesses * Moderate scale of operations, albeit improved in FY22 and 9mFY23: ASJPL is primarily engaged in manufacturing of blended PSF yarn. The scale of operations stood relatively moderate with capacity of 70,000 spindles and operating income of INR220.3 crore in FY22 (refers to period April 01 to March 31). The operating income which declined from INR177.8 crore in FY20 to INR134.2 crore in FY21 due to the covid-19 pandemic had improved in FY22. The company has booked total income of INR189.6 crore in 9mFY23 (refers to period April 01 to December 31). * Weak capital structure and debt coverage indicators: Capital structure of ASJPL stood weak with overall gearing at 3.03x as on March 31, 2022 (PY: 2.60x). The company has undergone capex during FY22 and FY23 towards installation of solar power plant of total capacity of 8 MW for the total cost of INR52.0 crore funded by term loan of INR36.0 crore and rest by unsecured promoter loans and accruals. The debt protection metrics also stood weak with total debt to gross cash accruals at 7.35x as on March 31, 2022 albeit improved from 14.83x as on March 31, 2021. CARE expects capital structure of the company to remain moderate in the near term on account of the recently completed debt funded capex. The company had also given corporate guarantee of INR13.4 crore as on March 31, 2022 adjusting which the gearing stood at 3.45x as on the above mentioned date. * Exposure to volatility of raw materials: The profitability of textile mills depends largely on the prices of cotton and cotton yarn which are governed by various factors such as area under cultivation, monsoon, international demand-supply situation, etc. The movement in cotton prices without parallel movement in yarn prices impact the profitability of the spinning and knitting mills. The cotton textile industry is inherently prone to the volatility in cotton and yarn prices. The PBILDT margin had been volatile in the range of 6.0-8.3% over the past three years ended FY22. Key Strengths * Vast experience of the promoters: ASJPL was founded by Mr. Thathinaicker Ramasamynaicker Subbaraj in the year of 1949. Currently the company is managed by Mr. T. R. S. Karthigeyan, son of late Mr. Thathinaicker Ramasamynaicker Subbaraj. Mr. T. R. S. Karthigeyan has overall 35 years of experience and nearly two decades of experience in spinning industry. Mrs. K. Vishnupriya, wife of Mr. T. R. S. Karthigeyan, has about 16 years of experience in spinning industry. Mr. T. R. S. Karthigeyan along with Mrs. K. Vishnupriya, looks after the entire operations of the company. With the experienced management, CARE expects the company to benefit on timely delivery of orders in long run. * Long standing relationship with clientele: The company is in the spinning industry for nearly four decades. And it has long standing relationship with its clients. ASJPL primarily supplies for customers in Tirupur. The customer profile is diversified with top five customers contributing to 28.58% (PY: 38.26%) of total income in FY22. Liquidity: Stretched The liquidity is stretched characterised by tightly matched accruals of INR13.0 core in FY22 against a repayment of INR10.7 crore in FY23. The working capital cycle stood at 46 days in FY22 which improved from 66 days in FY21 due to fast moving inventory backed up by increasing demand on blended PSF yarn in the market. ASJPL gives credit period of 30-45 days to its customer and enjoys credit period of 30 days from its suppliers. The average working capital utilization stood high at 95.34% for past 12 months ended March 2023. The company had free cash balance of INR10.1 crore as on December 31, 2022. Aruppukottai Sri Jaya Vilas Private Limited was incorporated in the year of 1951, in Virudhunagar district. The company was found by Mr. Thathinaicker Ramasamynaicker Subbaraj. The company manufactures blended PSF cotton yarn. The installed capacity of ASJPL is 70,000 spindles. The company also has one Indian Oil dealership retail outlet in Madurai district. The spinning division contributes about 88% of total revenue in FY22. AVIRE ELEVATOR: Voluntary Liquidation Process Case Summary ---------------------------------------------------------- Debtor: Avire Elevator Technology India Private Limited Plot A/147, Road No. 24, Wagle Industrial Estate, Thane MH - 4000604 India Liquidation Commencement Date: November 17, 2021 Court: National Company Law Tribunal Hyderabad Bench Liquidator: Mr. Thirupal Gorige No. 87, 2nd Floor, 2lst Cross, 7th Main, N S. Palya, BTM 2nd Stage, Bangalore-560076, India Mobile: +91-9448384064, Tel No: +91-8079634233 Email: gthirupal@gmail.com Last date for submission of claims: December 16, 2021 BIAS INFOTECH: Voluntary Liquidation Process Case Summary --------------------------------------------------------- Debtor: Bias Infotech Private Limited Flat No 202 Vishreya Heights, House No 36, 1st Cross Chikka Banaswadi Bangalore Karnataka 560043 India Liquidation Commencement Date: March 31, 2022 Court: National Company Law Tribunal Mumbai Bench Liquidator: Mr. Thirupal Gorige Insolvency Professional No 87, 2nd Floor, 7th Main, 2l Cross, N.S. Palya BTM layout 2nd Stage, Bengaluru 560076, India Mobile: +91-94483 84064 Tel No: +080-79634233 Email: gthirupal@gmail.com Last date for submission of claims: April 29, 2022 BIAS IT: Voluntary Liquidation Process Case Summary --------------------------------------------------- Debtor: Bias It Consulting Private Limited Flat No 202 Vishreya Heights, House No 36, 1st Cross Chikka Banaswadi Bangalore Karnataka 560043 India Liquidation Commencement Date: March 31, 2022 Court: National Company Law Tribunal Bangalore Bench Liquidator: Mr. Thirupal Gorige Insolvency Professional No 87, 2nd Floor, 7th Main, 2l Cross N.S. Palya BTM layout 2nd Stage, Bengaluru 560076, India Mobile: +91-94483 84064 Tel No: 080-79634233 Email: gthirupal@gmail.com Last date for submission of claims: April 29, 2022 CEES INVESTMENTS: Voluntary Liquidation Process Case Summary ------------------------------------------------------------ Debtor: Cees Investments and Consultants Private Limited Flat No 204 2nd Floor Success Square SR NO 157/1/2 Karve Road, Kothrud, Pune MH 411038 India Liquidation Commencement Date: March 28, 2023 Court: National Company Law Tribunal Pune Bench Liquidator: Sandeep Jayant Kulkarni 27/2, Gujarat Colony, Near Hotel Samarth, Paud Road, Vanaz Corner, Kothrud Pune, Maharashtra 4110038 Email: kulkarni.sandeep@rediffmail.com Tel No: 9673000045 Last date for submission of claims: April 27, 2023 CHANDRA SHIP: Voluntary Liquidation Process Case Summary -------------------------------------------------------- Debtor: M/S. Chandra Ship Management Private Limited C1, 11-1-7, Meenakshi Manor, Prakasam Street, Near Three Lights Junction, Kakinada, AP-533003 India Liquidation Commencement Date: March 28, 2023 Court: National Company Law Tribunal Hyderabad Bench Liquidator: M. Ramana Reddy, Liquidator Flat No: 403, Nirmal Towers, Dwarkapuri Colony, Punjagutta Near Sai Baba Temple, Hyderabad - 500082 Tel No: +91 905779006 Email: chandrashipliquidation@gmail.com Last date for submission of claims: April 26, 2023 COLLECTIVE (INDIA): Voluntary Liquidation Process Case Summary -------------------------------------------------------------- Debtor: Collective (India) Private Limited #177/A, Bilekahalli, J P Nagar, 4th Phase, Dollars Colony Layout, Bannerghatta Road, Bangalore - 560076, Karnataka, India Liquidation Commencement Date: July 25, 2022 Court: National Company Law Tribunal Bangalore Bench Liquidator: Mr. Thirupal Gorige No. 87, 2nd Floor, 21st Cross, 7th Main, N S. Palya, BTM 2nd Stage, Bangalore - 560076, Karnataka, India Mobile: +91-9448384064 Tel No: 080-79634233 Email: gthirupal@gmail.com Last date for submission of claims: August 23, 2022 COMPUAGE INFOCOM: CARE Lowers Rating on INR450cr LT Loan to B- -------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Compuage Infocom Limited (CIL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 450.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Revised from CARE BB; Stable and moved to ISSUER NOT COOPERATING category Short Term Bank 510.00 CARE A4; ISSUER NOT COOPERATING; Facilities Rating moved to ISSUER NOT COOPERATING category CARE Ratings limited has been seeking information from CIL to monitor the rating(s) vide e-mail communications dated April 13, 2023, April 19, 2023, April 24, 2023, April 25, 2023, and numerous phone calls. However, despite repeated requests, the company 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 CIL's bank facilities will now be denoted as CARE B-; Stable/CARE A4; ISSUER NOT COOPERATING. Users of this rating (including investors, lenders, and the public at large) are hence requested to exercise caution while using the above rating(s). The revision in rating takes into account, the recent BSE announcement dated April 24th, 2023, where in, one more nonexecutive independent director has resigned, citing "many unanticipated events" which resulted in a severe liquidity crunch and further loss of business" thus indicating continued liquidity crunch. Detailed description of the key rating drivers At the time of last rating on April 7, 2023, the following were the rating strengths and weaknesses. (Updated from latest publicly available information) Key Rating Weaknesses * Working capital intensive nature of business: Working capital intensity is another inherent characteristic of the IT distribution business, due to which CIL has a high leverage. Off late the receivables have been slower thus resulting into stretched liquidity marked by continued higher working capital utilization despite inflow of funds by way of rights issue in December 2022. The company extends credit of 30 days to 90 days to its resellers and credit of 45 days to 60 days to enterprise segment. Hence the average collection period is around 46 days.The utilization of fund-based bank limits remains near to full utilization indicating continued stretched liquidity. * Moderate capital structure and debt coverage indicators: The capital structure of the company continues to remain moderate with a TOL/TNW of 3.09x as on March 31, 2022, as against 3.30x as on March 31, 2022; albeit some marginal improvement. Further the overall gearing ratio improved to 2.32x as on March 31, 2022, from 2.76x as on March 31, 2021. The company has also taken long term covid term loan so that they do not face any liquidity issue and reduce the finance cost as the same carry lower interest rate as compared to the working capital borrowings. Furthermore, Total Debt/GCA has also improved to 21.92 times as on March 31, 2022, from 30.49 times as on March 31, 2021, albeit remain higher. The company has unsecured loan of INR40 crores subordinated to Bank debt has been considered as a part of quasi equity. Moreover, in order to improve liquidity position, the company had infused INR41.52 crores by way of equity in December 2022. * Risk of technological obsolescence: Technological obsolescence is an inherent risk in any technology-related business and also applies to the IT distribution business. However, CIL's vendors continue to provide the company significant support against technological obsolescence. CIL is compensated when a new model is launched, and the existing model is to be sold at a discount. Nonetheless, CIL continues to remain exposed to the risk associated with inventory holding and stock liquidation, which could have an adverse impact on its profitability. * Susceptibility to foreign exchange fluctuations: CIL procures around 97% of its products from local units of the vendors while the remaining is imported. For the products imported (around 3%), the company hedges 100% of its exposure through forward contracts. Further, the company enjoys natural hedge from the goods sold outside India. * Consistent decline in share price: There has been significant reduction in the share price and Market Cap in the recent past, this apart the current market price is also much lower compared to the rights issue price of INR20 per share thus indicating reduced financial flexibility. * Resignation of Company Secretory & Non-Executive Independent directors: As per the BSE announcement dated March 29th, 2023, March 30, 2023, two of the non-executive independent directors & Company secretory had resigned. Further as per the announcement dated April 24, 2023, another non-executive independent director has also tendered his resignation. And one of the reasons mentioned in the resignation letter of afore said nonexecutive director includes "Many unanticipated events which resulted in the severe liquidity crunch and further loss of business". Key Rating Strength * Experienced promoters with long track record in IT/ITES distribution business: The company is promoted by Mr. Atul Mehta (CEO), along with Mr. Ajay Mehta and Mr. Bhavesh Mehta, who have rich experience of over three decades in the Indian IT/ITes peripherals distribution industry. The promoters and management have been the key driving force that has helped CIL in building vendor relationships with key IT hardware and software vendors. Furthermore, the promoters have supported the operations of the company by way of funds infusion through unsecured loans as when needed. * Wide distribution network catering to diversified product mix comprising of various reputed IT hardware and software brands: CIL has an established distribution network & niche presence across India. The company has exclusive contracts with Asus for its entire product range, with HP for its printing products, and with Samsung for products in mobility category. CIL has authorized distributorship of globally reputed IT hardware and software brands like CISCO, HP, Asus, Samsung, Microsoft, and others across product categories like PCs, computer peripherals & Other Hardware, mobile handsets, and digital cameras which denotes the strong presence of CIL in the IT products segment; further greater focus of the company to achieve partnerships with increasingly a greater number of brands in mobility segment will help CIL to achieve revenue growth. Some of key new partners added include Lexmark International, EPPS Infotech, Smartcard Marketing Systems (SKMG), Alcatel-Lucent, Optoma Corporation etc., The company's product mix is diversified owing to its presence across various business segments like sale of computer components and networking, sale of computer software, sale of telecom products and support services. * Prominent position in the Indian IT distribution industry: The company have long standing relationship with IT hardware and software brands like CISCO, HP, Asus, Samsung, Microsoft, and others across product categories like PCs, computer peripherals & Other Hardware, mobile handsets and digital cameras which denotes the strong presence of CIL in the IT products segment. Improvement in Scale of operations and profitability margins although remains thin inherent to trading business. During FY22, TOI registered a robust y-o-y growth of 13% to INR4207.50 crores as against INR3730.36 crores which is mainly driven by strengthening of demand for PCs & IT and IT-enabled services for home learning and to manage the growing workforce in the ongoing work from home scenario, respectively. The major revenue contributor has been from the sale of notebooks, desktops, TFTs and hard disk. During FY22 the PBILDT margins have also improved to 2.33% from 2.08% in FY21 led by increase in revenue contribution from higher margin business segment like enterprise and cloud computing. The PAT margin remained below unity for the past 3 years ranging between 0.45%-0.72%. Furthermore, during 9MFY23 the TOI grew by 14% while the margins also remained largely stable at 2.73% from 2.67% in 9MFY22, led by improved demand from all segments. * Prudent risk mitigation practices w.r.t inventory and receivable: As a result of its long-standing association with its suppliers CIL gets two kinds of support for inventory from its vendors. One is stock rotation; wherein certain percentage of the products are returned to the vendors at regular intervals. Hence, the products which are slow moving or not moving products are returned to the vendors on rotation basis. Cisco is one such vendors which offers stock rotation policy. The second is price protection policy. In order for the inventory to sell due to its obsolescence, the vendors offer huge discount on the quoted price to sell the same products. Sometimes these discounts can be as high as 50%. Samsung offers price protection policy, thus reducing the inventory loss to a large extent. Also, CIL has covered its receivables through credit insurance from New India Assurance Company for sales up to INR2,000 crores to mitigate the risk of nonpayment by the debtors. Inventory and debtor's management helps CIL, to a certain extent, to get protected from shocks of write-offs. However, offlate the receivables have been slower in the month of March 2023 thus resulting in near to full utilization of limits. Hence the timely receipt of debtors resulting in to reduced working capital limits remains key monitorable. Liquidity: Stretched The liquidity position of the CIL remains stretched marked by near to full utilization of the limits as a result of stretched receivables. The company had achieved GCA of INR25 crores against the repayment obligation of INR36 crores in 9MFY23. During FY24 & FY25 the company has repayment obligation of INR20 crores & INR15 crores. Being a trading concern, the company has no additional capital expenditures expected in the future. The free cash and bank balance of however remained low (INR5.00crore as on March 31, 2022) with most of the cash/liquid investments are encumbered with banks as margin money. Analytical approach: Consolidated CARE has considered the consolidated financials of CIL for analytical purposes owing to financial and operational linkages between the company and its subsidiary. Consolidation includes CIL's wholly owned Singapore-based subsidiary, Compuage Infocom (S) Pte Ltd. However, there were minimal operations in Compuage Infocom (S) Pte Ltd. in FY22. Compuage Infocom Limited (CIL) with CIN L99999MH1999PLC135914 and listed on BSE is promoted by Mr Atul Mehta, in 1987, is a distributor of IT products. CIL's traded product portfolio comprises of 5 different verticals namely - PCs components & peripherals; Mobility products; Physical safety and security products; Enterprise solutions and Cloud computing. CIL has niche presence across India with 46 sales offices, 27 warehouses, and a team of 800 professionals catering to more than 12,000+ resellers spread across over 600 cities/towns in India. D TAMILRAJAN: CARE Keeps B- Debt Rating in Not Cooperating ---------------------------------------------------------- CARE Ratings said the rating for the bank facilities of D Tamilrajan (DT) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 5.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 5.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 17, 2022, placed the rating(s) of DT under the 'issuer non-cooperating' category as DT 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. DT continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 3, 2023, January 13, 2023, January 23, 2023. 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). D. Tamilrajan was established in 1996 as a Proprietorship Concern. The firm's registered office is located in Andipatti, Theni district, Tamil Nadu. The firm is involved in civil contract works for the state government department and National Highways. D. Tamilrajan, Proprietor of the firm, has 25 years of experience in the field of civil construction. The firm constructs roads and bridges mainly for local government entities like Chennai Corporation, Veerawadi Taluk Panchayath, National Highways, etc. The firm is operating through three branches at Chennai, Theni & Madurai. The firm, as of now, has 200 workers and hires more number of workers based on the requirement of the project. DHAKSHA UNMANNED: CRISIL Assigns B Rating to INR5cr Cash Loan ------------------------------------------------------------- CRISIL Ratings has assigned its 'CRISIL B/Stable' rating on the long-term facilities of Dhaksha Unmanned Systems Private Limited (DUSPL). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 5 CRISIL B/Stable (Assigned) The ratings continue to reflect the modest scale of operations, Working capital intensive operations and Nascent stage of operations. These weaknesses are partially offset by Extensive industry experience of the promoters and Healthy capital structure Key Rating Drivers & Detailed Description Weaknesses: * Modest Scale of operations: Company presence of almost three years in the aerospace and defense equipment industry, the company's business risk profile is constrained by its modest scale, indicated by revenue of INR4.45 crore in fiscal 2022. The scale of operation is expected to be improve more than INR10 crore with order and tender support from defense department for supplying of 150 drone. Which provide revenue visibility and support business in over the term * Working capital intensive operations: Operations should remain working capital-intensive, with gross current assets at 964 days as on March 31, 2022, driven by stretched receivables and large inventory days. Receivables are expected to be improved over the term and inventory holding remains similar level due to meet out the working capital requirement over the term. * Nascent stage of operations: Company has limited track record. Consequently, scalability is constrained, as reflected in revenue of INR4.44 crore in fiscal 2022. Company has incurred large capital expenditure plan to set up R&D plant and value addition for improvement in scale of operation. Improvement in scale will be monitorable in Nascent stage point. Strengths: * Extensive industry experience of the promoters: With around a decade of experience in the industry and promoter's understanding of the dynamics of the market and their technical knowhow, company was able to establish healthy relationships with its key stakeholders like suppliers and customers. * Healthy capital structure: Capital structure is comfortable, indicated by gearing of 0.49 time as on March 31, 2022 (0.29 time a year earlier). Debt protection metrics were moderate, with interest coverage and net cash accrual to total debt ratios of 2.46 times and 0.14 time, respectively, in fiscal 2022. The financial risk profile is however partially constrained by small net worth of INR7.93 crore as on March 31, 2022. It is expected to comfortable over the medium term Liquidity: Stretched Bank limit utilization is moderate at around 70 percent for the past twelve months ended March-23. Cash accruals are expected to be more than INR60lakh against the no repayment obligation over the term, Unsecured loan of INR97 lakh is supported the liquidity profile on need basis. Which provide cushion to the Bank limits Outlook: Stable CRISIL Ratings believe DUSPL will continue to benefit from the extensive experience of its promoter, and established relationships with clients Rating Sensitivity factors Upward factors * Sustained improvement scale of operation more than 20% with profitability margin of 14% leading to cash accrual of INR1 crore. * Improvement in working capital cycle, with gross current assets improve to 150 days Downward factors * Deterioration in working capital cycle * Decline in revenue performance less than profitability margin at 10% leading to lower cash accrual of less than INR20 lakh DUSPL, incorporated in 2019, is engaged in manufacturing of Unmanned Aerial Vehicles (UAV) - Drones. DUSPL's manufacturing facilities are located at Chennai, Tamil Nadu with an installed capacity of 300 drones. DUSPL is owned & managed by Ramanathan N, Venkatesan M and R Krishnakumar. DITI METAL: Voluntary Liquidation Process Case Summary ------------------------------------------------------ Debtor: DITI Metal Forming Private Limited C-15, Kudremukh Colony Koramangala II Block Bangalore KA 560034 India Liquidation Commencement Date: December 23, 2022 Court: National Company Law Tribunal Bangalore Bench Liquidator: CS Thirupal Gorige No. 87, 2nd Floor, 21st Cross, 7th Main, NS Palya, BTM 2nd Stage Bangalore-560076, Karnataka, India Mobile: +91-9448384064 Tel No: 080-79634233 Email: gthirupal@gmail.com Last date for submission of claims: January 22, 2023 DUROPLY INDUSTRIES: CRISIL Withdraws D Rating on INR25.18cr Loan ---------------------------------------------------------------- CRISIL Ratings has withdrawn its rating on the bank facilities of Duroply Industries Limited (DIL) on the request of the company and after receiving no objection certificate from the banks. The rating action is in-line with CRISIL Rating's policy on withdrawal of its rating on bank loans. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 0.98 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Bank Guarantee 1.02 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Cash Credit 25.18 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Cash Credit 10.78 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Letter of Credit 20.40 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Letter of Credit 1.02 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Letter of Credit 13.19 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) Term Loan 1 CRISIL D (ISSUER NOT COOPERATING; Rating Withdrawn) CRISIL Ratings has been consistently following up with DIL for obtaining information through email dated July 12, 2022, September 28, 2022 and November 14, 2022 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the firm. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of the entity, which restricts its ability to take a forward-looking view on the entity's credit quality. CRISIL Ratings believes that rating action on DIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the rating on bank facilities of DIL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Incorporated in 1957 as a private limited company, DPIL manufactures plywood and allied products. It became a deemed public limited company in 1974 and is listed on the Bombay Stock Exchange. Units are in Jeypore, Assam, and Rajkot, Gujarat. It also owns a bought-leaf tea processing factory in Jeypore. Status of non cooperation with previous CRA: DIL has not cooperated with Informerics Valuation and Rating Private Limited which classified it as not-cooperative vide a release dated November 17, 2021. The reason provided for the same is non-furnishing of fees and information for monitoring the rating. G.K.M.S COTTON: CARE Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the rating for the bank facilities of G.K.M.S Cotton Pressing Private Limited (GCPPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 7.67 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 17, 2022, placed the rating(s) of GCPPL under the 'issuer non-cooperating' category as GCPPL 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. GCPPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 3, 2023, January 13, 2023, January 23, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Andhra Pradesh based, GKMS Pressing Private Limited (GCPPL) was incorporated in the year 2005 and is promoted by Mr.Koteshwara Rao and by his family members. The company is engaged in ginning and pressing of cotton with an installed capacity of 7500 bales per annum. GCPPL purchases raw cotton from local farmers and traders located in and around of Guntur. The company sells the cotton yarn and lint to the customers located in Telangana, Andhra Pradesh, Tamil Nadu and Maharashtra. G.V.D. TEXTILES: CARE Keeps C Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of G.V.D. Textiles Private Limited (GTPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 13.76 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 21, 2022, placed the rating(s) of GTPL under the 'issuer non-cooperating' category as GTPL 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. GTPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 7, 2023, January 17, 2023, January 27, 2023. 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). Coimbatore based, G.V.D. Textiles Private Limited (GTPL) was incorporated on November 11, 1983. It is engaged into manufacturing of cotton yarn. GTPL is a part of PSG Group, which was established in the year 1926. PSG Group has been in existence for over 8 decades and has diverse business interests ranging from educational institutions, hospitals, science and technology, research, textiles, metallurgy & foundries etc. in Tamil Nadu. GTPL has an installed capacity of 16,384 spindles in its manufacturing unit located at Coimbatore, Tamil Nadu. GO FIRST: NCLT to Hear Bankruptcy Plea on May 4 ----------------------------------------------- The Economic Times reports that India's bankruptcy court has agreed to hear Go First's insolvency plea today May 4. ET relates that Wadia group-owned Go First on May 2 said it has filed for insolvency resolution and can no longer continue to meet financial obligations, blaming US company Pratt & Whitney's "faulty engines" for grounding of 50% of its fleet. The airline has filed an application for voluntary insolvency resolution proceedings before the National Company Law Tribunal (NCLT), CEO Kaushik Khona had said. With the cash-strapped budget carrier filing for bankruptcy, major lenders including Bank of Baroda, Axis Bank, IDBI Bank were trading with deep cuts on Dalal Street as experts said that the recovery may not be exceeding anywhere about 25-30% that the Wadia Group company owes, ET relays. Go First, which filed for bankruptcy on May 2, owes financial creditors INR6,521 crore ($798 million), ET discloses citing bankruptcy filing. The filing lists Central Bank of India Ltd, Bank of Baroda Ltd, IDBI Bank Ltd, Axis Bank Ltd and Deutsche Bank among Go First's financial creditors. The Central Bank of India and Bank of Baroda have an exposure of INR1,300 crore, respectively under a consortium loan, while IDBI Bank has a smaller exposure of INR50 crore, the filing showed. According to ET, an official at Central Bank of India said the bank's total exposure to the airline is INR2,000 crore. In the case of Axis Bank, the airline has a letter of sanction of credit, the filing said, without specifying whether this credit has been availed. The airline has indicated the insolvency plea is not to sell the airline and there is no question of promoter Wadia group exiting the airline. Along with fears of banks taking a hit, thousands of jobs are also on the line. "We are doing everything possible to navigate the situation with utmost care, concern for all employees, Khona told Reuters. ET adds Khona informed employees the airline has been crippled by recurring Pratt & Whitney engine troubles and with depleted fleet size, Go First is unable to generate revenue for payment of lessors, PTI reported. Khona also said lessors are taking coercive steps. HARHARMAHADEV PAPER: CRISIL Reaffirms B+ Rating on INR15cr Loans ---------------------------------------------------------------- CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable' rating on the long-term bank facilities of Harharmahadev Paper Mills LLP (HMPML). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 3 CRISIL B+/Stable (Reaffirmed) Term Loan 12 CRISIL B+/Stable (Reaffirmed) The rating continues to reflect modest scale of operations amid intense competition and average financial risk profile of HMPML. These weaknesses are partially offset by the extensive experience of, and the funding support extended by, the partners. The firm commenced operations from August 2022 and remains exposure to risks related to initial stage of the business and a leveraged capital structure. Revenue of around INR30 crore has been generated up to March 31, 2023. Steady growth of revenue and profitability in fiscal 2024 will remain closely monitored. Key rating drivers and detailed description Weaknesses * Modest scale of operations amid intense competition: HMPML commenced operations in August 2022 and clocked revenue of around INR30 crore in fiscal 2023. Demand risk is expected to be high as the industry is fragmented (owing to low entry barriers such as small capital and technological requirement). The firm faces intense competition from other players in the segment. Timely ramp up of operations at the new unit will remain a key rating sensitivity factor. * Average financial risk profile: Networth stood at INR3.67 crore and gearing at 3.43 times as on March 31, 2022, and at INR3.32 crore and 6.00 times, respectively, as on March 31, 2023. Debt protection metrics were subdued, with interest coverage ratio of 0.8 time for fiscal 2023. Financial risk profile may improve over the medium term, aided by gradual increase in scale and steady accretion to reserve. Strengths * Extensive experience and funding support of the partners: The partners have more than a decade of experience in running various firms in different industries; their strong understanding of market dynamics and healthy relationships with suppliers and customers should aid the business. Need-based and timely funding support extended by the partners is likely to continue and will remain a key rating sensitivity factor. Liquidity: Stretched Bank limit utilisation stood at 63.17% for the six months through January 2023. Cash accrual is expected at INR1.5-2.0 crore per annum, insufficient to meet the term debt obligation of INR1.8 crore over the medium term. However, the partners are likely to aid liquidity by extending timely, need-based funds (unsecured loans and equity). Outlook: Stable HMPML will continue to benefit from the extensive experience and funding support of the partners. Rating sensitivity factors Upward factors * Revenue increasing to more than INR50 crore with stable operating margin, leading to cash accrual above INR1.8 crore * Improvement in the total outside liabilities to tangible networth ratio Downward factors * Revenue declining by over 20% per annum, resulting in cash accrual below INR1 crore * Sizeable stretch in the working capital cycle HMPML, established in November 2019, set up a kraft paper manufacturing unit at Sant Kabir Nagar in Uttar Pradesh; it commenced commercial operations in August 2022. The firm is owned and managed by Mr Deepak Kumar Jaiswal, Mr Kamalesh Kumar Jaiswal, Mr Durgesh Jaiswal and Mr Dharamveer Jaiswal. IL&FS ENERGY: CARE Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------- CARE Ratings said the rating for the bank facilities of IL&FS Energy Development Company Limited (IEDCL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 1,137.85 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Long Term Long 100.00 CARE D; ISSUER NOT COOPERATING Term Instruments Rating continues to remain under ISSUER NOT COOPERATING category Non Convertible 300.00 CARE D; ISSUER NOT COOPERATING Debentures Rating continues to remain under ISSUER NOT COOPERATING category Non Convertible 200.00 CARE D; ISSUER NOT COOPERATING Debentures Rating continues to remain under ISSUER NOT COOPERATING category Non Convertible 205.00 CARE D; ISSUER NOT COOPERATING Debentures Rating continues to remain under ISSUER NOT COOPERATING category Non Convertible 195.00 CARE D; ISSUER NOT COOPERATING Debentures Rating continues to remain under ISSUER NOT COOPERATING category Non Convertible 100.00 CARE D; ISSUER NOT COOPERATING Debentures Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers for the credit enhanced debt IEDCL has not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. In line with the extant SEBI guidelines, CARE's ratings on IEDCL's Long-Term and Short-Term bank facilities, Non-Convertible Debentures and ICDs continue to 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). Analytical approach: Consolidated Detailed description of the key rating drivers: Key weaknesses * Delay in debt-servicing obligations: Ongoing delays and defaults in servicing debt obligations. The same has been confirmed by lender to CARE, as part of the due diligence exercise. CARE has also not received NDS since September 2018. IEDCL is a subsidiary of Infrastructure Leasing & Financial Services Limited (IL&FS, rated CARE D; holds 91.42% stake) is into power generation business through conventional and non-conventional energy sources. At consolidated level, as on June 30, 2018 the operational capacity of the company is around 2,803.50 MW. INDIA CENTRIC: Voluntary Liquidation Process Case Summary --------------------------------------------------------- Debtor: India Centric Education Hub Private Limited House No. 60, Old Anarkali Krishna Nagar Delhi East Delhi DL 110051 India Liquidation Commencement Date: December 20, 2021 Court: National Company Law Tribunal Bangalore Bench Liquidator: Mr. Thirupal Gorige No. 87, 2nd Floor, 2lst Cross, 7th Main, N S. Palya, BTM 2nd Stage, Bangalore - 560076, India Mobile: +91-9448384064, Tel No: +91-8079634233 Email: gthirupal@gmail.com Last date for submission of claims: January 19, 2022 INVENIO COMMODITY: Voluntary Liquidation Process Case Summary ------------------------------------------------------------- Debtor: Invenio Commodity Services Private Limited 3rd Floor, 12/1, Srinidhi Landmark, New Thippasandra Main Road, Bangalore, KA - 560075 Liquidation Commencement Date: March 30, 2022 Court: National Company Law Tribunal Bangalore Bench Liquidator: Mr. Thirupal Gorige No. 87, 2nd Floor, 21st Cross 7th Main, NS. Palya, BTM 2nd Stage, Bengaluru - 560076 Mobile: 9448384064 Tel No: 080-79634233 Email: gthirupal@gmailcom Last date for submission of claims: April 28, 2023 JCC INFRATECH: CARE Keeps B- Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the rating for the bank facilities of JCC Infratech Private Limited (JIPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 5.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 6.75 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated April 26, 2022, placed the rating(s) of JIPL under the 'issuer non-cooperating' category as JIPL 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. JIPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated March 12, 2023, March 22, 2023, April 1, 2023. 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). JCC Infratech Private Limited (JIPL) was incorporated in 2011 by three directors namely Mr Shekher Jain, Mr Nirjhar Jain and Mrs Shikha Jain. The company merged its group concern i.e. Jayana Construction Company on April 1, 2014. Jayana Construction Company was a proprietorship concern established in 1982. The company is engaged into civil construction and contracting business and has executed several projects in Haryana and Rajasthan region. The company is a grade "A" contractor and undertakes civil construction contracts including road construction, maintenance etc. for state government. JENDRINA HOSPITALITY: CRISIL Assigns B+ Rating to INR12.62cr Loan ----------------------------------------------------------------- CRISIL Ratings has assigned its 'CRISIL B+/Stable' ratings to the long-term bank facilities of Jendrina Hospitality LLP (JHL; part of Janambhumi group). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Proposed Long Term Bank Loan Facility 2.62 CRISIL B+/Stable (Assigned) Term Loan 10 CRISIL B+/Stable (Assigned) The ratings reflect JHL's exposure to risks related to ongoing project, expected leveraged capital structure and susceptibility to cyclicality in hospitality industry. These weaknesses are partially offset by the long-standing diverse industry presence of its partners and funding support from them. Key Rating Drivers & Detailed Description Weaknesses: * Exposure to risks related to ongoing project: JHL is scheduled to commence its project in April 2024. Demand risk is likely to be moderate as the industry is highly fragmented marked by low entry barriers with small capital and technological requirements. Accordingly, it will also be exposed to intense competition. The timely completion and successful stabilisation of operations at the new unit will remain a key rating sensitivity factor. Expected leveraged capital structure: Financial risk profile is likely to be average with high gearing and moderate debt protection metrics. The project is aggressively funded in a debt-equity ratio of 1.82 times. * Vulnerability to cyclicality in hotel industry: The hotel industry is vulnerable to changes in the domestic and international economy. Typically, the industry follows a six-year cycle. Companies which have a high financial leverage are more vulnerable to cyclicality due to their fixed financial commitments. Strength: * Long-standing diverse industry presence of the partners and their funding support: Assam-based Janambhumi group has presence across the printing press, newspaper, cafeteria, hotels and tours and travels segments. Further, the group has four reputed hotels in Kaziranga (Assam), Bhalukpong (Arunachal Pradesh) and Goa. The long diversified entrepreneurial experience of more than three decades of the partners across businesses has helped them develop healthy business relationships in the region. This is expected to support the firm in quickly ramping up the operations going forward. Liquidity: Stretched Commercial operations are expected to commence from April 2024. Net cash accrual is expected to be in range of INR2-3.00 crore against nil repayment obligations in fiscal 2025 and INR1.4 crore around in fiscal 2026. In addition, it will act as cushion to the liquidity of the firm. External short-term borrowings and/or infusion of funds from partners may remain critical to support working capital requirement. Outlook Stable CRISIL Ratings believes that JHL will benefit from the extensive experience of its partners. Rating Sensitivity factors Upward factors * Timely commencement and stabilization of operations and reports revenue of over INR8.85 crore with adequate profits. * Improvement in financial risk profile resulting in stronger capital structure Downward factors * Faces a considerable delay in the commencement of its operations leading to net cash accrual to repayment obligation of below 1 time. * Significantly low revenue and operating margin JHL, incorporated in 2012 as Jendrina Hospitality Pvt Ltd,t was reconstituted as a limited liability partnership in 2019 with the present name. JHL is currently setting up a three-star hotel in Shillong, Meghalaya. The hotel is expected to be commissioned in April 2024. JHL, part of Janambhumi group, is owned and managed by Mr Subroto Sharma, Mrs Bornali Sharma and Ms Audrey Marry Kharkongor. KATERRA INDIA: CARE Lowers Rating on INR310cr LT Loan to B+ ----------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Katerra India Private Limited (KIPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 310.00 CARE B+; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE BB; Stable Long Term/Short 190.00 CARE B+; Stable/CARE A4; Term Bank ISSUER NOT COOPERATING; Facilities Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE BB; Stable/CARE A4 Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 16, 2022, placed the rating(s) of KIPL under the 'issuer non-cooperating' category as KIPL 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. KIPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 2, 2023, January 12, 2023, January 22, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of KIPL have been revised on account of non-availability of requisite information. The ratings further consider decline in operating income, overall profitability, capital structure and debt coverage indicators during FY21 over FY20. Katerra India Private Limited (KIPL) was incorporated as KEF Infrastructure Private Limited in July'13 by Mr. Faizal Kottikollon. During FY19, Katerra Inc. (backed by Softbank Vision fund), through its subsidiary, Katerra Operating Company Inc. has acquired major stake in KEF Infrastructure Pte Ltd. (Singapore), which is the holding company of KIPL. KIPL is engaged in offsite construction technology & solutions including precast, prefabricated structures, joinery and aluminium glazing catering to various corporates and real estate developers. The company has a fully integrated manufacturing facility at Industrial Park in Krishnagiri (Tamil Nadu). KAY VEE: CARE Keeps C Debt Rating in Not Cooperating Category ------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Kay Vee Airjets (KVA) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.76 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 0.40 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 17, 2022, placed the rating(s) of KVA under the 'issuer non-cooperating' category as KVA 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. KVA continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 3, 2023, January 13, 2023, January 23, 2023. 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). Kay Vee Airjets (KVA) was established by Mr. E. Venkatesan, Managing Partner as a partnership firm along with the other partners namely Mr. M. Kanishkan and Mr. Deepika Kanishkan. KVA is engaged in in manufacturing of grey fabric with an installed capacity to produce 3, 50,000 meters per month. KVA uses 40 Air Jet looms to produce gray fabric. The firm commenced operations from October 2018. MALAR TEXTILES: CARE Keeps B- Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of Malar Textiles (MT) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.40 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated April 19, 2022, placed the rating(s) of MT under the 'issuer non-cooperating' category as MT 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. MT continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated March 5, 2023, March 15, 2023, March 25, 2023. 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). Malar Textiles (MT) was incorporated in 1997 by Mr. Kalichamy and Mr. Viswanathamurthy in Coimbatore, Tamil Nadu. The firm is engaged in manufacturing of grey fabrics which are used for garments and industrial uses. MANMAN MANUFACTURING: CRISIL Reaffirms B+ Rating on INR6cr Loan --------------------------------------------------------------- CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable/CRISIL A4' ratings on the bank facilities of Manman Manufacturing Company Private Limited (MMCPL). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 0.2 CRISIL A4 (Reaffirmed) Cash Credit 6 CRISIL B+/Stable (Reaffirmed) Long Term Loan 3 CRISIL B+/Stable (Reaffirmed) Long Term Loan 2.25 CRISIL B+/Stable (Reaffirmed) Proposed Working Capital Facility 11.55 CRISIL A4 (Reaffirmed) The ratings continue to reflect modest scale of operations amid intense competition, large working capital requirement and average financial risk profile of MMCPL. These weaknesses are partially offset by the extensive experience of the promoters in the healthcare equipment industry and an established clientele. Analytical approach Unsecured loan (INR1.13 crore as on March 31, 2022) extended by the promoters has been treated as neither debt nor equity as the loan is expected to remain in the business over the medium term. Key rating drivers and detailed description Weaknesses: * Modest scale of operations amid intense competition: The healthcare equipment industry is highly fragmented; the consequent intense competition may continue to constrain scalability, pricing power and profitability. Revenue was INR20.62 crore in fiscal 2022 and company is likely to record revenue of INR26.0 cr for FY2023 i.e. growth of ~30%. The promoters have other group companies that may be merged with this company over the medium term; this will remain a key monitorable. * Large working capital requirement: The working capital cycle may continue to be stretched and will remain closely monitored. Gross current assets were sizeable at 302 days as on March 31, 2022, driven by high receivables of 149 days and huge inventory of 108 days. * Average financial risk profile: Financial risk profile remains constrained by the recent capital expenditure (capex) undertaken for battery operators in FY2023 i.e. ~ INR5 cr. Networth was low at INR5.31 crore as on March 31, 2022, with gearing at 1.83 times and total outside liabilities to tangible networth ratio at 2.91 times. Due to recent debt funded capex, estimates gearing will be at around 2.51 times and TOL/TNW 3.82 times in FY2023 and in same level in medium term. Debt protection metrics were subdued, with interest coverage ratio of 1.70-2.66 times for the three fiscals through 2022 and in medium term, same is expected to be in range of 1.9 to 2 times due to increase in interest burden against recent debt taken. Strengths * Extensive experience of the promoters and an established clientele: The promoters have three decades of experience in the healthcare equipment industry; their strong understanding of market dynamics and healthy relationships with customers and suppliers will continue to support the business. Clientele is robust, comprising 15,000 customers across the country. Liquidity: Stretched Bank limit utilisation stood high at around 97% for the 12 months through February 2023. Cash accrual is projected at INR1.2-1.4 crore per annum, barely sufficient to meet the term debt obligation of INR1.0-1.30 crore over the medium term. Current ratio was 1.38 times on March 31, 2022, and cash and bank balance at INR1.18 crore. Need-based funds extended by the promoters will help meet repayment obligation and working capital requirement. Outlook: Stable MMCPL will continue to benefit from the extensive experience of its promoters. Rating sensitivity factors Upward factors * Revenue growth of more than 50% per annum and steady increase in profitability, leading to higher-than-expected cash accrual * Significant improvement in the working capital cycle and liquidity risk profile Downward factors * Steep decline in revenue and profitability, resulting in cash accrual less than INR1 crore * Large, debt-funded capex or a further stretch in the working capital cycle * Absence of funding support from the promoters MMCPL, incorporated in 2000, manufactures surgical power tools used in cardiac, neurological and orthopaedic surgeries. The products are marketed under the Manman brand. MICELLO (INDIA): Voluntary Liquidation Process Case Summary ----------------------------------------------------------- Debtor: Micello (India) Private Limited 401, Akshat Tower, Nr. Pakwan Dining Hall, S. G. Road, Bodakdev, Ahmedabad - 380054 Gujarat Liquidation Commencement Date: April 10, 2023 Court: National Company Law Tribunal Mumbai Bench Liquidator: Mr. Pramod Dattaram Rasam Insolvency Professional Room No. 5, Shri Niwas Chawl, J B Nagar, Andheri (East), Mumbai - 400059 Phone: +91-9820024763 Email: pdrasam@gmail.com Last date for submission of claims: May 10, 2023 MINDA TTE: Voluntary Liquidation Process Case Summary ----------------------------------------------------- Debtor: Minda TTE Daps Private Limited B-64/1 Industrial Area, Wazirpur New Delhi North West - 110052 Liquidation Commencement Date: March 31, 2023 Court: National Company Law Tribunal New Delhi Bench Liquidator: Arunesh Kumar Dubey 302, E-21 Mahesh Bhawa, Jawahar Park, Laxmi Nagar, Near Hira Sweets, East, NCT of Delhi- 110092 Email: csarunesh@gmail.com Tel No: 999823231 Last date for submission of claims: April 30, 2023 NARENDA SOLVEX: Liquidation Process Case Summary ------------------------------------------------ Debtor: Narendra Solvex Private Limited Deegee House, Jaistambh Chowk, Rallies Plot Amravati, Maharashtra - 444601 Liquidation Commencement Date: April 6, 2023 Court: National Company Law Tribunal Mumbai Bench Liquidator: Mr. Jagdish Kumar Parulkar B56, Wallfort City, Bhatagaon, Ring Road No. 1, Raipur, Chhattisgarh, 492001 E-mail: jkparulkar.ip@gmail.com GS2, CSIDC, Commercial Complex, Mahadev Ghat Road, Raipura Chowk, Raipur - 492001 E-mail: cirpnarendrasolvex@gmail.com Last date for submission of claims: May 6, 2023 PALAESTRA TECHNOLOGIES: Voluntary Liquidation Process Case Summary ------------------------------------------------------------------ Debtor: Palaestra Technologies Private Limited No. 3/1-A-1, 16th Main Road, Hal 2ND Stage, Kodihalli, Bangalore Karnataka-560068 India Liquidation Commencement Date: March 30, 2023 Court: National Company Law Tribunal Bangalore Bench Liquidator: Venkataraman Jayagopal E-003, Victoria Haven Patel Ram Reddy Road, Domlur 1st Stage Bangalore -560071 Email: palaestra.vl@gmail.com Tel No: 93412406595 Email: gopal_venus@hotmail.com Last date for submission of claims: April 29, 2023 PANCHAGANGA SEEDS: CRISIL Withdraws B Rating on INR10cr Cash Loan ----------------------------------------------------------------- Due to inadequate information, CRISIL Ratings, in line with SEBI guidelines, had migrated the rating of Panchaganga Seeds Private Limited (PSPL) to 'CRISIL B/Stable/Issuer not cooperating'. CRISIL Ratings has withdrawn its rating on bank facility of PSPL following a request from the company and on receipt of a 'no dues certificate' from the banker. Consequently, CRISIL Ratings is migrating the ratings on bank facilities of PSPLto 'CRISIL B/Stable' from 'CRISIL B/Stable/Issuer Not Cooperating The rating action is in line with CRISIL Ratings' policy on withdrawal of bank loan ratings. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 10 CRISIL B/Stable (Migrated from 'CRISIL B/Stable ISSUER NOT COOPERATING'; Rating Withdrawn) PSPL was set up in 2003 by Mr Prabhakar Uttamrao Shinde. It processes agricultural hybrid seeds such as onion seeds (80-85% sales), chilli seeds, and corn seeds. It has a processing facility in Aurangabad, Maharashtra. PRABHULINGESHWAR SUGARS: CARE Keeps B+ Rating in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Shri Prabhulingeshwar Sugars & Chemicals Limited (SPSCL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 126.58 CARE B+; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 80.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 16, 2022, placed the rating(s) of SPSCL under the 'issuer non-cooperating' category as SPSCL 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. SPSCL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 2, 2023, January 12, 2023, January 22, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Shri Prabhulingeshwar Sugars & Chemicals Ltd. (SPSCL), incorporated in 1995 by Mr. Jagadeesh S Gudagunti who has an extensive experience as a consultant and machinery supplier for sugar and allied industries. SPSCL primarily engaged in the manufacturing of sugar and allied products, started its commercial operations in 1999 with plant capacity of 2500 TCD & 17.5 MW cogeneration plant in Siddapur Village, Jamakhandi Taluka of Bagalkot District in Karnataka. SPSCL has extended its capacity to 12000 TCD & 41.5 MW with recovery around 9.5-12.5% from the cane crushed. Company is diversified into other fields such as power and ethanol production. SPSCL has 2 associates namely Siddapur Distilleries Ltd and Gudagunti Project Engineers Pvt. Ltd. R. K. ENGINEERING: CRISIL Keeps B Debt Ratings in Not Cooperating ----------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of R. K. Engineering Industries (RK) continue to be 'CRISIL B/Stable Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 1 CRISIL B/Stable (Issuer Not Cooperating) Long Term Loan 1.3 CRISIL B/Stable (Issuer Not Cooperating) Proposed Long Term 7.7 CRISIL B/Stable (Issuer Not Bank Loan Facility Cooperating) CRISIL Ratings has been consistently following up with RK for obtaining information through letters and emails dated January 30, 2023 and March 31, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of RK, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on RK is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of RK continues to be 'CRISIL B/Stable Issuer Not Cooperating'. RK, based out of Chennai, manufactures auto components for two wheeler manufacturers. It has 2 manufacturing units in Chennai. The firm's daily operations are managed by Mr. G. Rajasekaran, Managing partner of the firm. RAJ KUMAR: CARE Lowers Rating on INR10cr LT Loan to B- ------------------------------------------------------ CARE Ratings has revised the ratings on certain bank facilities of Raj Kumar Jain (RKJ), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 10.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B; Stable Short Term Bank 10.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated April 18, 2022, placed the rating(s) of RKJ under the 'issuer non-cooperating' category as RKJ 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. RKJ continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated March 4, 2023, March 14, 2023, March 24, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of RKJ have been revised on account of non-availability of requisite information. Guwahati based, Raj Kumar Jain (RKJ) was set up as a proprietorship firm in 1980 by Mr. Raj Kumar Jain and later it converted to as a partnership firm in April 2006. Since its inception, the firm has been engaged in civil construction business in the segments like construction of roads, bridges etc. Currently the firm is being managed by three partners, namely Mr. Raj Kumar Jain, Mr. Ritesh Kumar Jain and Mr. Piyush Jain. The firm procures orders through tenders and executes orders floated by the various Govt. entities. RKJ has an unexecuted order book position of INR142.86 crore as on October 31, 2019, being 4.92x of TOI in FY19 which are to be executed by March 2021. REDMART INDIA: Voluntary Liquidation Process Case Summary --------------------------------------------------------- Debtor: Redmart India Private Limited 3rd Floor, No 1139, Maruthi Complex, 3rd Stage, BEML Layout, Rajarajeshwarinagar, Halagevaderahally Bangalore, Karnataka 560098 India Liquidation Commencement Date: March 28, 2022 Court: National Company Law Tribunal Bangalore Bench Liquidator: Mr. Thirupal Gorige Insolvency Professional No. 87, 2nd Floor, 2lst Cross, 7th Main, N S. Palya, BTM 2nd Stage, Bangalore - 560076, India Mobile: +91-9448384064, Tel No: +080-79634233 Email: gthirupal@gmail.com Last date for submission of claims: April 26, 2022 SELECT GALVA: Liquidation Process Case Summary ---------------------------------------------- Debtor: Select Galva India Private Limited 14/80, Sembudoss Street, Broadway, Chennai - 600001 Door No. 10, 2B, Montieth Road, 2nd Floor, Taas Mahal, Chennai - 08 Liquidation Commencement Date: March 20, 2023 Court: National Company Law Tribunal Chennai Bench Liquidator: Vijayakumari Natarajan 1186. 16th Street, Anna Nagar West End Colony, Chennai - 600050 Email: natarajviji@gmail.com Email: liq.selectgalva@gmail.com Last date for submission of claims: April 19, 2023 SHAKAMBARI RICE: CRISIL Withdraws B Rating on INR20cr Cash Loan --------------------------------------------------------------- Due to inadequate information, CRISIL Ratings, in line with SEBI guidelines, had migrated the rating of Shree Shakambari Rice Mill Private Limited (SSRMPL) to 'CRISIL B/Stable/Issuer not cooperating'. CRISIL Ratings has withdrawn its rating on bank facility of SSRMPL following a request from the company and on receipt of a 'no dues certificate' from the banker. Consequently, CRISIL Ratings is migrating the ratings on bank facilities of SSRMPL to 'CRISIL B/Stable' from 'CRISIL B/Stable/Issuer Not Cooperating . The rating action is in line with CRISIL Ratings' policy on withdrawal of bank loan ratings. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 20 CRISIL B/Stable (Migrated from 'CRISIL B/Stable ISSUER NOT COOPERATING'; Rating Withdrawn) Analytical Approach For arriving at the ratings, CRISIL Ratings has consolidated the financial and business risk profile of Aadhar Rice Mill Private Limited (ARMPL) with SSRMPL, together referred to as the Aadhar Group, on account high operational fungibility between the entities. Besides having common promoters, the two entities are engaged in the same line of business, with common products, customers and suppliers. ARMPL was incorporated in 2009 by Mr. Ram Prakash Agarwal, Mr. Rajnish Kumar and Mr. Satyadeo Roy. In 2013, the promoters acquired SSRMPL, which was incorporated in 2006. The group is engaged in manufacturing of parboiled rice. The group has its manufacturing facilities in Jharkhand. SHINE TEXTILE: CARE Lowers Rating on INR12.50cr LT Loan to B- ------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Shine Textile (ST), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 12.50 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B; Stable Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 24, 2022, placed the rating(s) of ST under the 'issuer non-cooperating' category as ST 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. ST continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 10, 2023, January 20, 2023, January 30, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of ST have been revised on account of non-availability of requisite information. Tirupur based, Shine Textile (ST) was established in 2007 and promoted by Mr. Chandrashekar and Mr. Krishnakumar is engaged in order-based manufacturing of knitted t-shirts, sweat shirts, hoodies, jackets, woven garment for children and sells the final products for reputed branded apparel retails. STAN AUTOS: Liquidation Process Case Summary -------------------------------------------- Debtor: M/s. Stan Autos Private Limited 58, PKT-E, Sector-1 Bawana DSIDC, New Delhi, 110039 Liquidation Commencement Date: April 11, 2023 Court: National Company Law Tribunal New Delhi Bench Liquidator: Vijay Kishore Saxena Vijay Kishore Saxena 3rd Floor, 100 Kailash Hills, East of Kailash, New Delhi, 110065 E-mail: vksaxena2159@gmail.com D-69 (Lower Ground Floor), East of Kailash, New Delhi, 110065 Email: cirp.stanautos@gmail.com Last date for submission of claims: May 11, 2023 T N R SILK: CARE Lowers Rating on INR16.65cr LT Loan to B --------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of T N R Silk khadi Industries (TNRSKI), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 16.65 CARE B; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B+; Stable Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated February 22, 2022, placed the rating(s) of TNRSKI under the 'issuer non-cooperating' category as TNRSKI 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. TNRSKI continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated January 18, 2023, January 28, 2023, April 21, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of TNRSKI have been revised on account of non-availability of requisite information. Bangalore based, T N R Silk Khadi Industries (TNRSKI) was established in January 1983 as a Society Registered under 1960 Act and the secretary is Mr. T. Ramappa. The society members have an experience of more than two decade in kadhi industry. The firm is engaged in manufacturing and trading of khadi products like Sarees, Silk cloth and Dupion cloth. The firm has four showrooms in Bangalore and Chintamani. VASANTHA ADVANCED: CARE Keeps B- Debt Rating in Not Cooperating --------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Vasantha Advanced Systems (VAS) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.55 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated April 13, 2022, placed the rating(s) of VAS under the 'issuer non-cooperating' category as VAS 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. VAS continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated February 27, 2023, March 9, 2023, March 19, 2023. 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). Coimbatore, Tamil Nadu based, Vasantha Advanced Systems (VAS) was established in 1995 by proprietor Mr. S. Chidambaranathan. VAS engaged in the manufacture of micro control based electronic controllers, assembling high quality Printed Circuit Boards (PCB) and Coils and is an ISO 9001:2015 & IATF 16949:2016 Certified Company. The lender has confirmed that moratorium for the sanctioned bank facilities has been availed by the company. VL FARMS: CARE Keeps D Debt Rating in Not Cooperating Category -------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of VL Farms (VF) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 6.37 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated April 13, 2022, placed the rating(s) of VF under the 'issuer noncooperating' category as VF 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. VF continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated February 27, 2023, March 9, 2023, March 19, 2023. 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). Telangana based VL Farms (VF) is a partnership firm established in 2007 by Mr. Malla Reddy and his wife Mrs. Shireesha Reddy. The firm is engaged in layer poultry farming and wholesale trading of eggs. The firm has existing installed capacity of 2,30,000 birds. The firm sells its products, eggs, cull birds, and manure majorly to customers in Andhra Pradesh, Telangana and Maharashtra. The firm purchases inputs for feeding of birds like maize, soya, broken rice, shell grit and minerals from local traders. The day to day operations of the firm are managed by Mr. Malla Reddy. ========= J A P A N ========= JAPAN: More Companies Dive Into Bankruptcy Amid Inflation --------------------------------------------------------- Nikkei Asia reports that high prices are starting to put pressure on small and midsize businesses in Japan, forcing a record number of them into bankruptcy as the country lags behind the West in passing along the increased costs to customers. Fiscal 2022 saw 463 companies file for bankruptcy over rising prices or an inability to pass along costs, the Nikkei discloses citing Teikoku Databank. The figure was 3.4 times the 136 cases of fiscal 2021. This March alone had 67 cases -- a record high for a single month. The Nikkei says examples of the trend can be seen around the country. On March 1, the operator of a butcher shop in Toyonaka, Osaka prefecture, filed for bankruptcy. Profits suffered because of difficulties in passing along costs, and the shop wound up with some JPY300 million ($2.2 million) in liabilities, according to Tokyo Shoko Research. A hot-spring operator in Aizuwakamatsu, Fukushima prefecture, impacted by reduced customers during the pandemic and soaring fuel costs, filed for civil rehabilitation proceedings on Feb. 28, the Nikkei relays. Its liabilities, including those of an affiliated company, totaled about JPY2.5 billion, according to Teikoku Databank. Costs are being passed along more slowly in Japan than the U.S. and Europe. According to the Nikkei, Hisashi Yamada of the Japan Research Institute calculated the progress of "cost pass-through" using the consumer price index, which measures prices of general goods and services, and the corporate goods price index, which measures the prices companies charge each other. Comparing the July-September quarter of 2020 with the October-December quarter of 2022, the pass-through rate in Japan was 20.3% -- less than half of the 48.5% in the U.S. and the 58.1% in Europe. In other words, only about a fifth of the increase in business-to-business transaction costs over that period was passed along to consumers in Japan, while U.S. companies passed along almost half, the Nikkei states. Japan's quarterly pass-through rate progression is also low. In the January-March quarter of this year, when the consumer price index showed a sharp climb of 3% to 4%, the pass-through rate stayed largely unchanged at 22.1%. "The norm among consumers that prices do not rise in Japan is still deep-rooted," Yamada said. Progress is particularly slow in the service sector, the Nikkei says. In a December Teikoku Databank survey to see how much of a JPY100 cost increase that companies were passing on to customers, the entertainment services industry was passing on just JPY12.7, the transport and logistics industry JPY20, and the hotel and Japanese-inn industry JPY21.7. In the March 2023 edition of the Bank of Japan's Opinion Survey on the General Public's Views and Behavior, mailed to 4,000 people nationwide, 57.6% of respondents cited low prices as a major factor in spending decisions for the year ahead. This was up from 51.7% a year earlier. Soaring prices are forcing consumers into a defensive crouch. ===================== N E W Z E A L A N D ===================== AUM SHREEM: Creditors' Proofs of Debt Due on May 23 --------------------------------------------------- Creditors of Aum Shreem PVT Limited are required to file their proofs of debt by May 23, 2023, to be included in the company's dividend distribution. The company commenced wind-up proceedings on April 18, 2023. The company's liquidators are: Adam Botterill Damien Grant Waterstone Insolvency 16 Piermark Drive Rosedale Auckland 0632 ENDURANCE ROOFING: Creditors' Proofs of Debt Due on June 16 ----------------------------------------------------------- Creditors of Endurance Roofing Limited, Foundation One Limited and Containerpools Limited are required to file their proofs of debt by June 16, 2023, to be included in the company's dividend distribution. Endurance Roofing Limited and Foundation One Limited commenced wind-up proceedings on April 19, 2023. Containerpools Limited commenced wind-up proceedings on April 24, 2023. The company's liquidator is: Paul Vlasic Rodgers Reidy (NZ) Limited Licensed Insolvency Practitioners PO Box 45220 Te Atatu Auckland 0651 SHRI BAGLAMUKI: Creditors' Proofs of Debt Due on May 26 ------------------------------------------------------- Creditors of Shri Baglamuki PVT Limited are required to file their proofs of debt by April 18, 2023, to be included in the company's dividend distribution. The company commenced wind-up proceedings on May 26, 2023. The company's liquidators are: Adam Botterill Damien Grant Waterstone Insolvency 16 Piermark Drive Rosedale Auckland 0632 VSE COMPANY: Court to Hear Wind-Up Petition on May 5 ---------------------------------------------------- A petition to wind up the operations of VSE Company Limited will be heard before the High Court at Auckland on May 5, 2023, at 10:00 a.m. The Commissioner of Inland Revenue filed the petition against the company on Oct. 14, 2023. The Petitioner's solicitor is: Cloete Van Der Merwe Inland Revenue, Legal Services 5 Osterley Way Manukau City Auckland 2104 W H WERRY: Court to Hear Wind-Up Petition on May 5 -------------------------------------------------- A petition to wind up the operations of W H Werry Limited will be heard before the High Court at Auckland on May 5, 2023, at 10:00 a.m. The Commissioner of Inland Revenue filed the petition against the company on Oct. 13, 2023. The Petitioner's solicitor is: Cloete Van Der Merwe Inland Revenue, Legal Services 5 Osterley Way Manukau City Auckland 2104 ================= S I N G A P O R E ================= BRICK EAGLE: Creditors' Meetings Set for May 18 ----------------------------------------------- Brick Eagle Ventures Pte. Ltd will hold a meeting for its creditors on May 18, 2023, at 2:30 p.m., via video conference. Agenda of the meeting includes: a. to receive a statement of the Company's affairs together with a list of creditors and the estimated amounts of their claims; b. to confirm the appointment of liquidators; c. to appoint a committee of inspection of not more than 5 members, if thought fit; and d. any other business. HAUS LIFESTYLE: Creditors' Meetings Set for May 9 ------------------------------------------------- Haus Lifestyle Pte Ltd, which is in provisional liquidation, will hold a meeting for its creditors on May 9, 2023, at 10:30 a.m. at 16 Collyer Quay #30-01 Singapore 049318 and via teleconference. Agenda of the meeting includes: a. to receive a statement of the Company's affairs together with a list of creditors and the estimated amounts of their claims; b. to resolve that Cameron Lindsay Duncan and David Dong-Won Kim care of KordaMentha Pte Ltd be and are hereby appointed jointly and severally as Liquidators of the Company for the purpose of such winding up and that their remuneration be based on the normal scale rates and be paid out of the Company assets; c. to appoint a Committee of Inspection of not more than five members, if thought fit; d. to resolve that the Liquidators be at liberty to open, maintain and operate any bank account or an account for monies received by him as Liquidators of the Company, with such bank as the Liquidators deem fit; e. to resolve that the Liquidators be at liberty to appoint a Solicitor to assist them in their duties, if required; and f. Any other business. KREUZ SUBSEA: Commences Wind-Up Proceedings ------------------------------------------- Members of Kreuz Subsea Pte. Ltd. and Kreuz Subsea Technologies Pte. Ltd. on April 26, 2023, passed a resolution to voluntarily wind up the company's operations. The company's liquidator is Mr. Farooq Ahmad Mann of M/s Mann & Associates PAC. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Asia Pacific is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman, Editors. Copyright 2023. All rights reserved. ISSN: 1520-9482. 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