/raid1/www/Hosts/bankrupt/TCRAP_Public/230526.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Friday, May 26, 2023, Vol. 26, No. 106
Headlines
A U S T R A L I A
ABILENE OIL: Second Creditors' Meeting Set for May 30
EMECO HOLDINGS: S&P Withdraws 'B+' Long-Term Issuer Credit Rating
EVERLEDGER AUSTRALIA: Second Creditors' Meeting Set for May 31
J. MUSSILLON: Second Creditors' Meeting Set for June 1
MILKRUN: Woolworths Acquires Brand
VALCORE PTY: Second Creditors' Meeting Set for June 5
WILD AT HEART: First Creditors' Meeting Set for June 1
C H I N A
DALIAN WANDA: Mulls Sale of 20 Malls in Wealthy Parts of China
LIANHAI COW: To Close Down as Milk Prices Fall, Feed Costs Rise
TAHOE GROUP: Faces Delisting From Shenzhen Stock Exchange
I N D I A
ABR PETRO: CRISIL Lowers Rating on INR11.55cr LT Loan to D
ADITYA HOTELS: CARE Keeps D Debt Rating in Not Cooperating
ASKAR MICRONS: CARE Keeps D Debt Ratings in Not Cooperating
BLUEBIRD SOFTWARE: CARE Assigns D Rating to INR155cr NCD
DHARANI SUGARS: CARE Keeps D Debt Ratings in Not Cooperating
HERO FINCORP: Moody's Affirms 'Ba1' CFR, Outlook Remains Stable
HOTEL PEARL: CRISIL Keeps D Debt Ratings in Not Cooperating
ICHALKARANJI POWERLOOM: CRISIL Keeps D Ratings in Not Cooperating
JAI HANUMAN: CRISIL Keeps D Debt Ratings in Not Cooperating
MODERN DAIRIES: CARE Keeps D Debt Ratings in Not Cooperating
N. S. POLYMER: CARE Keeps D Debt Ratings in Not Cooperating
NIMITAYA INFOTECH: CARE Assigns D Rating to INR155cr NCD
R.G.R EDUCATIONAL: CRISIL Keeps D Debt Ratings in Not Cooperating
RAJ ISPAT: CARE Keeps D Debt Rating in Not Cooperating Category
RAJ STEEL: CARE Keeps D Debt Rating in Not Cooperating Category
RAMEN DEKA: CARE Keeps D Debt Rating in Not Cooperating Category
SARDAR POULTRY: CARE Keeps C Debt Rating in Not Cooperating
SARVA MANGALAM: CARE Keeps D Debt Ratings in Not Cooperating
SRIKARA PARENTERALS: CRISIL Keeps D Ratings in Not Cooperating
SURESH ANGADI: CARE Keeps D Debt Rating in Not Cooperating
UM GREEN: CARE Keeps D Debt Ratings in Not Cooperating Category
UNITY FABTEXT: CARE Keeps D Debt Ratings in Not Cooperating
UNIVERSAL TUBE: CARE Keeps D Debt Rating in Not Cooperating
VENKATESWARA RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
N E W Z E A L A N D
BLACKDOG CAT: Creditors' Proofs of Debt Due on June 30
FIRSTBUILD LIMITED: Waterstone Insolvency Appointed as Liquidators
SPACE X: Court to Hear Wind-Up Petition on June 23
WIMBLEDON HOLDING: Creditors' Proofs of Debt Due on June 19
ZMARTPAINTERZ LIMITED: Court to Hear Wind-Up Petition on June 2
P A K I S T A N
PAKISTAN: Slashes Provisional GDP Growth to 0.29% for 2022-23
P H I L I P P I N E S
UNIOIL RESOURCES: To Be Delisted from PSE on June 23
S I N G A P O R E
INNOPAC HOLDINGS: Creditors' Meetings Set for June 8
YONGNAM ENGINEERING: Scheme Meeting Scheduled for August 3
S R I L A N K A
SRI LANKA: Could Wrap Up Debt Restructure Talks by September
T H A I L A N D
THAI AIRWAYS: Creditors Committee Approves Merger with Thai Smile
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A U S T R A L I A
=================
ABILENE OIL: Second Creditors' Meeting Set for May 30
-----------------------------------------------------
A second meeting of creditors in the proceedings of Abilene Oil and
Gas Limited, Eromanga USA Pty Ltd, and 101-103 George Street East
Melbourne Pty Ltd has been set for May 30, 2023 at 11:30 a.m. via
virtual meeting only.
The purpose of the meeting is (1) to receive the report by the
Administrator about the business, property, affairs and financial
circumstances of the Company; and (2) for the creditors of the
Company to resolve whether the Company will execute a deed of
company arrangement, the administration should end, or the Company
be wound up.
Creditors wishing to attend are advised proofs and proxies should
be submitted to the Administrator by May 29, 2023 at 4:00 p.m.
Rob Smith and Matthew Caddy of McGrathNicol were appointed as
administrators of Abilene Oil, et al. on April 24, 2023.
EMECO HOLDINGS: S&P Withdraws 'B+' Long-Term Issuer Credit Rating
-----------------------------------------------------------------
S&P Global Ratings has withdrawn its 'B+' long-term issuer and
issue credit ratings on Emeco Holdings Ltd. at the company's
request. The outlook on the rating on the Australia-based mining
equipment rental company was stable at the time of the withdrawal.
EVERLEDGER AUSTRALIA: Second Creditors' Meeting Set for May 31
--------------------------------------------------------------
A second meeting of creditors in the proceedings of Everledger
Australia Pty. Ltd. has been set for May 31, 2023 at 11:00 a.m. at
the offices of Vincents at Level 34, 32 Turbot Street in Brisbane
and via Zoom.
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 30, 2023 at 4:00 p.m.
Steven Staatz and Ashley Leslie of Vincents Chartered Accountants
were appointed as administrators of the company on April 24, 2023.
J. MUSSILLON: Second Creditors' Meeting Set for June 1
------------------------------------------------------
A second meeting of creditors in the proceedings of J. Mussillon
Pty Ltd has been set for June 1, 2023 at 4:00 p.m. via electronic
facilities.
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 31, 2023 at 4:00 p.m.
Aaron Torline and Michael Slaven of Slaven Torline were appointed
as administrators of the company on April 26, 2023.
MILKRUN: Woolworths Acquires Brand
----------------------------------
SmartCompany reports that less than two months after its collapse,
'instant' grocery delivery app Milkrun is back, or at least the
name is, with the brand being purchased by Woolworths. The grocery
giant's Metro60 service will now be rebranded to 'Milkrun powered
by Metro.'
Woolworths has declined to comment on how much it paid for the
Milkrun brand, SmartCompany says.
"The cat is well and truly out of the bag. Milkrun is back in the
game and now powered by Woolies," the startup announced in an
Instagram post on May 25, SmartCompany relays. "That means you now
get a 10,000+ range, tons of deals and delivery in minutes thanks
to our delivery partners. Download the brand new, shiny Milkrun app
and let's get this grocery delivery party restarted. Feels good to
be back."
According to SmartCompany, Metro60 was a competitor to Milkrun,
offering delivery in under 60 minutes. Now it has rebranded to
'Milkrun powered by Metro'.
"We've long admired Milkrun's innovative brand, dedication to
customers and ambition to shake up the grocery delivery model. We
are thrilled that the Milkrun story will continue to live on and
thrive with Metro60 relaunching as Milkrun now powered by Metro,"
the report quotes Woolworths Group CEO, Brad Banducci, as saying in
an email. "Orders will be fulfilled from our network of Metro
stores which will give customers the choice of over 10,000 product
lines including hot roast chickens, fresh sushi and much more."
According to the new website, little will change for Metro60
customers other than the branding. But it does mean more people
than ever will now have access to 'Milkrun,' SmartCompany adds.
Milkrun ceased operations in April this year.
VALCORE PTY: Second Creditors' Meeting Set for June 5
-----------------------------------------------------
A second meeting of creditors in the proceedings of Valcore Pty Ltd
has been set for June 5, 2023 at 3:00 p.m. via virtual meeting by
Zoom.
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 June 2, 2023 at 4:00 p.m.
Gavin Moss and Henry Kwok of Chifley Advisory were appointed as
administrators of the company on April 28, 2023.
WILD AT HEART: First Creditors' Meeting Set for June 1
------------------------------------------------------
A first meeting of the creditors in the proceedings of Wild at
Heart Cafe Pty Ltd will be held on June 1, 2023, at 11:00 a.m. at
the offices of SV Partners Perth Office at Level 8, 68 St Georges
Terrace in Perth.
Malcolm Field of SV Partners was appointed as administrator of the
company on May 22, 2023.
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C H I N A
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DALIAN WANDA: Mulls Sale of 20 Malls in Wealthy Parts of China
--------------------------------------------------------------
Bloomberg News reports that Dalian Wanda is weighing the sale of as
many as 20 shopping malls in wealthy areas of China, as the
indebted conglomerate tries to avert a liquidity crunch.
Bloomberg relates that the company has reached out to prospective
investors, including insurance companies and asset management
firms, about divesting some of its malls in Jiangsu and Zhejiang
provinces, as well as in Shanghai, sources said.
According to Bloomberg, Wanda is seeking a valuation of about
CNY700 million to CNY800 million for each mall, depending on their
location and business, the sources said, adding that a mall in
Shanghai could fetch as much as CNY1 billion as the city's average
household income ranks among the highest in the country.
The firm may also explore other options for the malls including
selling stakes or selling more malls in the region depending on
investor response, sources added.
Bloomberg notes that the sale plan comes as Wanda braces for a
potential cash squeeze if it fails to list its mall operator unit
in Hong Kong by the end of this year. As part of an earlier
agreement with investors, Wanda may have to repurchase about CNY30
billion of equity if the initial public offering doesn't happen by
December. Wanda has also been in talks with major Chinese banks on
a loan relief plan.
The angst increased this week after the company unveiled plans to
downsize some business units, the report says. It had a total of
473 malls in China as of the end of 2022.
About Dalian Wanda
Dalian Wanda Commercial Management Group Co., Ltd. operates as a
commercial property developer, owner, and operator. The Company
develops and manages mixed-use property projects including retail,
office, hotel, residential, restaurant, entertainment, and other
projects. Dalian Wanda Commercial Management Group conducts
businesses in China.
As reported in the Troubled Company Reporter-Asia Pacific in early
May 2023, Moody's Investors Service has downgraded Dalian Wanda
Commercial Management Group Co., Ltd.'s (DWCM) corporate family
rating to Ba2 from Ba1.
LIANHAI COW: To Close Down as Milk Prices Fall, Feed Costs Rise
---------------------------------------------------------------
Yicai Global reports that many small and medium-sized dairy farms
in China are being forced out of business by the rising cost of
cattle fodder and the sinking price of milk. And analysts believe
that the oversupply will continue for some time.
According to Yicai Global, Lianhai Cow Cooperative is closing down,
the dairy farm in Zhaozhou county, northeastern Heilongjiang
province said recently. It can no longer make ends meet as the
price of milk continues to drop yet the cost of feeding its cattle
has risen substantially. The firm is selling all its 500 cows to
slaughterhouses at a price of CNY22 (USD3.10) per kilogram.
"Milk is only fetching CNY2 (USD0.28) per kilogram these days, far
below the cost to produce it," a member of the co-op's staff
surnamed Yu told Yicai Global. The farm produces 12 to 13 metric
tons of fresh milk a day and has been selling it below cost price
rather than dumping it.
The co-op has even been forced to break a seven-year contract with
a long-term client, as it was running up serious losses, Yu said,
Yical Global relays. Times have changed as before the milk business
was very lucrative.
Yicai Global says the price of soybean meal, a major component of
animal fodder, jumped 45.5 percent at the end of last year from a
year ago to CNY5,370 (USD762) per metric ton. Now it is around
CNY4,500 per metric ton. Feed accounts for between 65 percent and
70 percent of the total costs of dairy farming.
Only the biggest can survive, the report states. It costs large
ranches with no debts around CNY3.80 (USD0.50) to produce one
kilogram of milk, said Song Huiting, chair of Jiangsu Jiahui
Biotechnology. Given the current price of milk, only the top 20
percent to 30 percent of dairy farms that have high production
volumes are able to stay afloat, Yicai Global says.
"Even cows are not selling well," Zhang Jing, a dairy farmer in
northern Hebei province, told Yicai Global. When milk prices were
high, the price of a dairy cow was more than CNY30,000 (USD4,253),
but this has now fallen as low as CNY7,000. So most cows are
destined for the slaughterhouse.
When there is an oversupply of milk, dairy firms tend to turn raw
milk into milk powder to reduce losses, Yicai Global notes. In
February, dairy farms converted an average of 10,800 metric tons of
fresh milk into milk power a day, a jump of 13 percent from
December last year, and accounting for 17 percent of all milk
produced that month.
TAHOE GROUP: Faces Delisting From Shenzhen Stock Exchange
---------------------------------------------------------
Caixin Global reports that Tahoe Group Co. Ltd. said its stock
faces delisting from the Shenzhen Stock Exchange as the shares
traded below CNY1 ($0.14) for 13 consecutive days and aren't likely
to return to the CNY1 threshold before a 20-day limit.
Stocks are automatically delisted if they trade for less than CNY1
for 20 straight days or if their market value falls below CNY300
million for a similar period, Caixin notes citing Shenzhen bourse's
listing rules.
Fujian province-based Tahoe Group Co., Ltd operates real estate
development businesses. The Company provides house loans, housing
renovation, housing loans, real estate brokerage, property
management, and other services. Tahoe Group also operates hotel
management, investment management, and other businesses.
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I N D I A
=========
ABR PETRO: CRISIL Lowers Rating on INR11.55cr LT Loan to D
----------------------------------------------------------
CRISIL Ratings has downgraded the ratings of ABR Petro Products
Limited (ABR) to 'CRISIL D Issuer Not Cooperating' from 'CRISIL
B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 11.55 CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL B/Stable ISSUER NOT
COOPERATING')
Overdraft Facility 3.25 CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL B/Stable ISSUER NOT
COOPERATING')
Proposed Term Loan 0.20 CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL B/Stable ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with ABR for
obtaining information through letters and emails dated March 25,
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 ABR, which restricts CRISIL
Ratings' ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ABR
is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, CRISIL Ratings has
downgraded the ratings to 'CRISIL D Issuer Not Cooperating' from
'CRISIL B/Stable Issuer Not Cooperating'. As per information
available in the public domain, there remains delinquency in
company account and clarity about the same from the management and
bankers is continuing to remain awaited.
ABR Petro Products Limited (ABR), is a Gorakhpur (Uttar Pradesh).
The company has set-up a unit for manufacturing of woven sack
fabric roll, with an installed capacity of 350 metric tonnes month.
These sacks are used majorly in rice, cement, and fertilizer
industry.
Status of non cooperation with previous CRA:
ABR has not cooperated with Credit Analysis & Research Ltd., which
published their ratings as 'issuer not co-operating' through
release dated 24-Mar-2021. The reason provided by them was
non-furnishing of information by ABR for monitoring the ratings.
ADITYA HOTELS: CARE Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Aditya
Hotels and Hospitalities Private Limited (AHHPL) continues to
remain in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 11.16 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 May 16, 2022,
placed the rating(s) of AHHPL under the 'issuer non-cooperating'
category as AHHPL 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. AHHPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 1, 2023, April 11, 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).
Satara (Maharashtra) based, Aditya Hotels & Hospitalities Private
Limited (AHHPL) was incorporated in December 26, 2016 and is
currently being run by Mr. Shriram Krishan Surve, Mrs. Rutuja
Shriram Surve and Mr. Akshay Shriram Surve. AHHPL has been set up
with an aim to provide catering services (on marriage and other
occasions) and lodging facilities along with restaurant. AHHPL has
been operating its facility (hotel) in Satara, Maharashtra.
ASKAR MICRONS: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Askar
Microns Private Limited (AMPL) continue to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 8.35 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 5.20 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 19, 2022,
placed the rating(s) of AMPL under the 'issuer non-cooperating'
category as AMPL 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. AMPL 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).
Incorporated in 1994, Karnataka-based Askar Microns Private Limited
(AMPL) is an ISO 9001:2008 certified company. AMPL was promoted by
Mr. K. S. Raju and Ms. Anita. The company is engaged in
manufacturing of Computer Numerical Control (CNC) Machines, CNC
lathe, vertical machining center and CNC special purpose machine of
various sizes among others.
BLUEBIRD SOFTWARE: CARE Assigns D Rating to INR155cr NCD
--------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Bluebird
Software Private Limited (BSPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Non-Convertible 155.00 CARE D Assigned
Debentures
Rationale and key rating drivers
The rating assigned to non-convertible debentures of BSPL factors
ongoing defaults in repayment of principal and interest on the
outstanding NCDs.
Rating sensitivities: Factors likely to lead to rating actions.
Positive factors
* Timely liquidation of immovable assets for repayment of NCDs.
* Growing revenue from operations and profitability at PAT level
coupled with operational cash flows at sustained basis.
Analytical approach: Combined
The combined financials of Bluebird Software Private Limited (BSPL)
and Nimitaya Infotech Private Limited (NIPL) have been considered
as both the entities are in the same line of business with common
promoters and are controlled by common promoter group. Also, there
is corporate guarantee for each other debt and the proposed term
sheet for NCD is combined for INR310cr.
Outlook: Not Applicable
Detailed description of the key rating drivers:
Key weaknesses
* History of default: NIPL and BSPL has history of default is
ultimately proposed to be settled through refinancing of debts with
the issuance of proposed NCD both the companies have availed
project finance from Indiabulls and Allahabad bank respectively for
construction of IT Parks, but due to certain cashflow mis-match
which were re-finance in March, 2019 through issue of
Non-Convertible debentures (NCD) availed from Blackrock for INR365
Crore maturing on March, 2023. There has been default in the
repayment of interest and principal on these NCD, due to Covid-19
Pandemic. During Covid-19 the revenue of the companies as well as
the occupancy level dropped precipitously, as these service sectors
are mostly affected sector during Covid-19 Pandemic. However, the
company has proposed to refinance the outstanding through fresh NCD
from Edelweiss INR300 Crore (plus upsizing by an amount up to INR10
Crore depend upon investor discretion) and remaining INR365 Crore
will be brought by the promoters whereas interest portion of
existing NCDs of INR365 Crore is being proposed to be waived off.
* Low Revenue visibility from co-working spaces and repayment of
NCDs dependent on liquidation of assets and funds infused by
promoters: NIPL & BSPL holds commercial IT properties in Udyog
Vihar, Gurgaon and Nimitya Group also has property in Punjabi Bagh
fully leased out for healthcare usage. All three properties
combinedly generating monthly rental of INR2.45 crores as of now
which is likely to be increased going forward. Apart from these
three properties NCD holders will also have mortgage of two
farmhouses held by the promoters/group companies which are proposed
to be liquidated for redemption of NCDs. Thus, company's repayment
capabilities are highly dependent on timely liquidation of
immovable properties at market rates and infusion of funds by the
promoters.
Liquidity: Stretched
The liquidity of the groups are likely to remain stretched on
account of high dependence on liquidation of immovable assets and
funds infused by promoters as company has low cash flows from
rental income. Therefore, the company has to pay substantially
large amount of money at the maturity of NCD to meet the investor
required IRR of 20% as well company has to liquidate assets on
timely basis so as to meet redemption of NCDs based on term sheet
of Edelweiss.
Bluebird Software Private Limited (BSPL) is an SPV under Nimitaya
Group holding IT Building in Udhyog Vihar, Gurgaon which is
provided as Co-working Space generating rental income to the
companies. Nimitaya Group has "Go-Work" Brand for its co-working
space which is being used for leasing of IT Spaces in its SPVs.
These IT parks are nearby some of the reputed IT Companies and
fully equipped with modern facilities.
DHARANI SUGARS: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Dharani
Sugars and Chemicals Limited (DSCL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 573.71 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 27.11 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated February 18,
2020, placed the rating(s) of DSCL under the 'issuer
non-cooperating' category as DSCL had failed to provide information
for monitoring of the rating. DSCL continues to be non-cooperative
despite repeated requests for submission of information through
e-mails dated March 20, 2023, March 30, 2023, and April 3, 2023. In
line with the extant SEBI guidelines, CARE has reviewed the rating
on the basis of the best available information which however, in
CARE's opinion is not sufficient to arrive at a fair rating.
Users of this rating (including investors, lenders, and the public
at large) are hence requested to exercise caution while using the
above rating(s).
The rating takes into consideration of the Corporate Insolvency
Resolution Process initiated and the defaults towards its lenders
as disclosed by the company to BSE.
Analytical approach: Standalone
Key weaknesses
* Continuation of losses resulting in strained liquidity position
and delays in debt servicing: The company has been reporting losses
in the last few years and in FY22, it has reported a net loss of
INR40 Cr resulting in a strained liquidity position and delays in
debt servicing.
* Cyclicality of Sugar Business: Cyclical nature of sugar industry
results in significant impact on operating performance of sugar
companies, thereby affecting their debt servicing ability. Only
companies which have adequate diversification are insulated from
downtrends of the industry.
Liquidity: Poor
Poor liquidity is marked by delays in debt servicing and referral
of the company to the corporate insolvency resolution process.
Dharani Sugars and Chemicals Limited, part of the PGP group of
companies based in Tamil Nadu was established in the year 1987 by
Dr Palani G Periyasamy and his NRI Associates. The company is
engaged in the manufacture of sugar, industrial alcohol, and
co-generation of power. DSCL has three sugar mills located across
Tamil Nadu. These units are in Dharani Nagar (Tirunelveli Dist.),
Sankarapuram (Villupuram Dist.) and Polur (Thiruvannamalai Dist).
Aggregate capacity of the company as on March 31, 2018, was 10,000
tonnes of cane crushed per day (TCD), 160 Kilo Liter per day (KLPD)
Distillery and 37 MW cogeneration plant.
HERO FINCORP: Moody's Affirms 'Ba1' CFR, Outlook Remains Stable
---------------------------------------------------------------
Moody's Investors Service has affirmed Hero FinCorp Limited's Ba1
long-term corporate family rating. The rating outlook remains
stable.
RATINGS RATIONALE
The rating affirmation and stable outlook reflect Moody's
expectation that Hero FinCorp's financial performance, along with
the very high probability of affiliate support from Hero MotoCorp
Limited (HMCL), will remain stable over the next 12 – 18 months.
The Ba1 CFR considers the company's b1 standalone credit assessment
and 3 notches of affiliate support uplift.
Moody's expects Hero FinCorp's asset quality to be stable as
borrowers' debt repayment capacity will be supported by India's
economic momentum. The company's gross nonperforming loan ratio
rose to 7.5% as of the end of March 2022, reflecting the impact of
the pandemic, before declining to 5.1% as of the end of March 2023
because of write-offs. That said, Hero FinCorp is structurally more
exposed to more volatile asset quality trends because of its modest
franchise as well as its relatively risky target customers. These
include small businesses and low income households, which are more
vulnerable to the current high inflation and rising interest rate
environment.
Moody's expects Hero FinCorp's profitability to be broadly stable.
Increase in loan disbursal will support top-line revenue but credit
costs will continue to weigh on its overall profitability. Loan
loss provisions were 62% of pre-provision income for the fiscal
year ended March 2023 (fiscal 2023), down from 116% in fiscal
2022.
Capital remains a credit strength of the company, supported by
regular capital infusions from its shareholders. Existing
shareholders, alongside new investors, injected INR20 billion into
Hero FinCorp in the form of compulsory convertible preference
shares (CCPS) in 2022, taking the company's regulatory Tier 1 ratio
up to 19% as of March 31, 2023 from 13% a year earlier. Moody's
considers the CCPS as a financial liability and will monitor Hero
FinCorp's ability to convert the CCPS into equity over the next
12-18 months. Inability to convert the CCPS into equity will be
credit negative unless the company manages to raise new equity
capital.
Funding and liquidity will remain stable. Despite the small buffer
of liquid assets, Hero FinCorp leverages its strong links with its
parent to access banks and debt market investors for funding.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING
Moody's could upgrade Hero FinCorp's ratings if the company (1)
holds liquid assets amounting to more than 15% of its total assets
on a sustained basis and (2) materially strengthens its franchise,
improves asset quality and profitability, while affiliate support
from HMCL remains unchanged.
Moody's could downgrade the company's rating if there is a material
deterioration in its asset quality, which leads to pressure on its
profitability, or its funding and liquidity deteriorate. Any
indication of significant capital erosion because of non-conversion
of the CCPS will also be negative for the rating. Any change to
Moody's expectation of support from HMCL will also lead to pressure
on Hero FinCorp's ratings.
PRINCIPAL METHODOLOGY
The principal methodology used in this rating was Finance Companies
Methodology published in November 2019.
Headquartered in New Delhi, Hero FinCorp Limited reported total
assets of INR418 billion as of March 31, 2023.
HOTEL PEARL: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Hotel Pearl
Avenue (HPA) continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Fund- 1.7 CRISIL D (Issuer Not
Based Bank Limits Cooperating)
Term Loan 6.3 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with HPA for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 HPA, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on HPA
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
HPA continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 2013 as a partnership firm by Mr Praveen Purohit, Mr
Deepak Negi, and Mr Praveen Panwar, HPA operates a three-star
hotel, Hotel Pearl Avenue, in Mussoorie, Uttarakhand.
ICHALKARANJI POWERLOOM: CRISIL Keeps D Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ichalkaranji
Powerloom Mega Cluster Limited (IPMCL) continue to be 'CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 4.93 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 25.07 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with IPMCL for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 IPMCL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on IPMCL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
IPMCL continues to be 'CRISIL D Issuer Not Cooperating'.
IPMCL, incorporated in 2012, is currently setting up a unit for
sizing, warping, processing of fabric and yarn dyeing in
Ichalkaranji, Maharashtra. The plant is expected to be commissioned
in April 2020. The company is promoted by Mr. Prakash K. Awade and
managed by Mr. Sunil S. Patil, Mr. Satish S. Koshti, Mr.
Satyanarayan Dalya, Mr. Laximikant Purohit and Mr. Jadhavji Patel.
JAI HANUMAN: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Jai Hanuman
Agrotech Private Limited (JHAPL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1.5 CRISIL D (Issuer Not
Cooperating)
Overdraft Facility 0.18 CRISIL D (Issuer Not
Cooperating)
Term Loan 3.62 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with JHAPL for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 JHAPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on JHAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
JHAPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
JHAPL was set up by Mr Santosh Kumar, Mr Ajeet Kumar and Mr. Pramod
Kumar for providing a multipurpose cold storage facility in Patna.
The total capacity is 10,000 tonne and has been operational since
March 2015.
MODERN DAIRIES: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Modern
Dairies Limited (MDL) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 121.25 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 4.10 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated March 8, 2022,
placed the ratings of MDL under the 'issuer non-cooperating'
category as MDL failed to provide information for monitoring of the
rating. MDL continues to be noncooperative despite repeated
requests for submission of information through e-mails, phone calls
and emails dated May 8, 2023, May 5, 2023 and May 4, 2023 etc. 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.
Users of this rating (including investors, lenders and the public
at large) are hence requested to exercise caution while using the
above rating).
The rating has been reaffirmed on account of non-availability of
requisite information due to non-cooperation by MDL with CARE
Ratings Ltd.'s efforts to undertake a review of the rating
outstanding. CARE Ratings Ltd. views information availability risk
as a key factor in its assessment of credit risk.
Analytical approach: Standalone
Detailed description of the key rating drivers:
At the time of last rating on March 8, 2022, the following were the
rating weaknesses:
Key weaknesses
* Ongoing delays in debt servicing: Some of the company's bank
accounts continue to be classified as Non-Performing Asset
(NPA).
Liquidity: Poor
Liquidity is poor due to delay in debt servicing.
Modern Dairies Limited (MDL) was setup by Mr. Krishan Kumar Goyal
in 1992 with an initial milk processing capacity of 3.25 lakh litre
of milk per day (LLPD). For liquid milk, the company has a tie-up
with Mother Dairy for complete off-take of 2 LLPD. Ghee is sold
through the company's own retail channel and through bulk sales
under the brand name of 'SHWETA' and 'MODERN DAIRIES'. The company
supplies products like skimmed milk powder and other milk products
like whole milk powder, mozzarella cheese, casein to various
institutional buyers while its current focus is on sale of fresh
dairy products, cheese, ghee, etc.
N. S. POLYMER: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of N. S.
Polymer (NSP) continue to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 6.48 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.35 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 14, 2022,
placed the rating(s) of NSP under the 'issuer non-cooperating'
category as NSP 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. NSP continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
February 28, 2023, March 10, 2023, March 20, 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).
N. S. Polymer was established in December 2016 with an objective to
enter into the manufacturing of plastic products (Plastic chair,
table and other plastic household products) business. The
manufacturing unit of the entity is located at Vill: Talai, P.O:
Jarur, PS: Raghunathganj, Dist: Murshidabad, West Bengal: 742235
with an installed capacity of 3264 tons per annum. The entity
started its operation from August 2018. Mr. Nawab Hossain (Partner)
along with other partners Mrs. Sufia Bibi (Partner) and Mr. Imran
Hossain (Partner) are looking after the day to day operation of the
entity who have significant experienced in similar line of
business.
NIMITAYA INFOTECH: CARE Assigns D Rating to INR155cr NCD
--------------------------------------------------------
CARE Ratings has assigned rating to the bank facilities of Nimitaya
Infotech Private Limited (NIPL), as:
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Non-Convertible 155.00 CARE D Assigned
Debentures
Rationale and key rating drivers
The rating assigned to non-convertible debentures of NIPL factors
ongoing defaults in repayment of principal and interest on the
outstanding NCDs.
Rating sensitivities: Factors likely to lead to rating actions.
Positive factors
* Timely liquidation of immovable assets for repayment of NCDs.
* Growing revenue from operations and profitability at PAT level
coupled with operational cash flows at sustained basis.
Analytical approach: Combined
The combined financials of Nimitaya Infotech Private Limited (NIPL)
and Bluebird Software Private Limited (BSPL) have been considered
as both the entities are in the same line of business with common
promoters and are controlled by common promoter group. Also, there
is corporate guarantee for each other debt and the proposed term
sheet for NCD is combined for INR310cr.
Outlook: Not Applicable
Detailed description of the key rating drivers:
Key weaknesses
* History of default: NIPL and BSPL has history of default is
ultimately proposed to be settled through refinancing of debts with
the issuance of proposed NCD both the companies have availed
project finance from Indiabulls and Allahabad bank respectively for
construction of IT Parks, but due to certain cashflow mis-match
which were re-finance in March, 2019 through issue of
Non-Convertible debentures (NCD) availed from Blackrock for INR365
Crore maturing on March, 2023. There has been default in the
repayment of interest and principal on these NCD, due to Covid-19
Pandemic. During Covid-19 the revenue of the companies as well as
the occupancy level dropped precipitously, as these service sectors
are mostly affected sector during Covid-19 Pandemic. However, the
company has proposed to refinance the outstanding through fresh NCD
from Edelweiss INR300 Crore (plus upsizing by an amount up to INR10
Crore depend upon investor discretion) and remaining INR365 Crore
will be brought by the promoters whereas interest portion of
existing NCDs of INR365 Crore is being proposed to be waived off.
* Low Revenue visibility from co-working spaces and repayment of
NCDs dependent on liquidation of assets and funds infused by
promoters: NIPL & BSPL holds commercial IT properties in Udyog
Vihar, Gurgaon and Nimitya Group also has property in Punjabi Bagh
fully leased out for healthcare usage. All three properties
combinedly generating monthly rental of INR2.45 crores as of now
which is likely to be increased going forward. Apart from these
three properties NCD holders will also have mortgage of two
farmhouses held by the promoters/group companies which are proposed
to be liquidated for redemption of NCDs. Thus, company's repayment
capabilities are highly dependent on timely liquidation of
immovable properties at market rates and infusion of funds by the
promoters.
Liquidity: Stretched
The liquidity of the groups are likely to remain stretched on
account of high dependence on liquidation of immovable assets and
funds infused by promoters as company has low cash flows from
rental income. Therefore, the company has to pay substantially
large amount of money at the maturity of NCD to meet the investor
required IRR of 20% as well company has to liquidate assets on
timely basis so as to meet redemption of NCDs based on term sheet
of Edelweiss.
Nimitaya Infotech Private Limited (NIPL) is an SPV under Nimitaya
Group holding IT Building in Udhyog Vihar, Gurgaon which is
provided as Co-working Space generating rental income to the
companies. Nimitaya Group has "Go-Work" Brand for its co-working
space which is being used for leasing of IT Spaces in its SPVs.
These IT parks are nearby some of the reputed IT Companies and
fully equipped with modern facilities.
R.G.R EDUCATIONAL: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of R.G.R
Educational Trust (RGR) continue to be 'CRISIL D/CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 9 CRISIL D (Issuer Not
Cooperating)
Overdraft Facility 1 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with RGR for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 RGR, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RGR
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
RGR continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Setup in 2010, RGR operates 2 school under the name 'RGR
Matriculation Higher Secondary School' and 'RGR International
School' in Namakkal district ' Tamil Nadu and offers courses in
primary and higher secondary school (State Board & CBSE) . RGR is
currently managed by Mr. P. Rajamanickam, Mrs. R. Gunavathi, and
Mrs. R.Revathi.
RAJ ISPAT: CARE Keeps D Debt Rating in Not Cooperating Category
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Raj Ispat
Udyog (RIU) continues to remain in the 'Issuer Not Cooperating'
category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.00 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 May 19, 2022,
placed the rating(s) of RIU under the 'issuer non-cooperating'
category as RIU 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. RIU continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 4, 2023, April 14, 2023, April 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).
Raj Ispat Udyog (RIU) was established in 1988 as a partnership firm
by Raj Kumar (aged 55 years), Mr. Anil Kumar (aged 47 years) and
Mr. Sunny Kapoor (aged 32 years). The firm is engaged in trading of
steel products and the servicing facility is located at Ludhiana,
Punjab. The traded items include C.R Coils, HR Sheet, plate,
straight angles, channel and joint etc. which find their
application in steel and allied products industry. The traded goods
are procured from associate concern, RSI and sold to dealers and
wholesalers in Punjab, Chandigarh and J&K. RIU has other group
concern viz. Raj Steel Industries (RSI), established in 1884 and
engaged in manufacturing and trading of steel items.
RAJ STEEL: CARE Keeps D Debt Rating in Not Cooperating Category
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Raj Steel
Industries (RSI) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.00 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 May 19, 2022,
placed the rating(s) of RSI under the 'issuer non-cooperating'
category as RSI 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. RSI continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 4, 2023, April 14, 2023, April 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).
Raj Steel Industries (RSI) was established in 1984 as a partnership
firm by Mr. Raj Kumar (aged 55 years), Mr. Anil Kumar (aged 47
years) and Mr. Sunny Kapoor (aged 32 years). The firm is engaged in
the manufacturing and trading of steel products with its
manufacturing facilities located at Ludhiana, Punjab. The finished
products include H.R Shuttering, H.R pipe, steel box, almirah etc.
The raw material, mainly steel is procured from reputed suppliers
as Steel Authority of India Limited (SAIL), the firm signs MOU with
same on yearly basis which is later on renewed as per the need. The
finished goods are sold to dealers and wholesalers in Punjab,
Chandigarh and J&K. RSI has another group concern viz. Raj Ispat
Udyog (RIU), established in 1988 and engaged in trading of steel
items.
RAMEN DEKA: CARE Keeps D Debt Rating in Not Cooperating Category
----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Ramen Deka
(RD) continues to remain in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.28 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 19, 2022,
placed the rating(s) of RD under the 'issuer non-cooperating'
category as RD 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. RD 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).
M/s Ramen Deka (RD) was established in January 2017 as a
proprietorship entity by one Mr. Ramen Deka of Guwahati in Assam.
After initiation, the entity has participated in an E-tender
floated by Indian Railway Catering and Tourism Corporation Ltd
(IRCTC) for operation and management of Food Plaza at some
important railway stations in India. The firm has achieved the
license for running the food plaza at Old Howrah Station in West
Bengal which is one of the busiest stations in India. According to
the license, the firm will operate the plaza upto nine years from
commencement which is subject to extension upto three years
further. Mr. Ramen Deka, proprietor, looks after the day to day
operations of the firm.
SARDAR POULTRY: CARE Keeps C Debt Rating in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sardar
Poultry Farm (SPF) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 5.48 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 May 5, 2022,
placed the rating(s) of SPF under the 'issuer non-cooperating'
category as SPF 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. SPF continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
March 21, 2023, March 31, 2023, April 10, 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).
Sardar Poultry Farm (SPF) established during February 2008 by one
Mr Bhupindra Kaur of Bilaspur. SPF is engaged in the business of
layer poultry farming and involved in sales of eggs and birds. The
farming facility of the firm is located near Bilaspur in
Chhattisgarh. The day-to-day affairs of the firm are looked after
by Mr. Bhupindra Kaur with adequate support from a team of
experience personnel.
SARVA MANGALAM: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Sarva
Mangalam Gajanan Steel Private Limited (SMGSPL) continue to remain
in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 19.82 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.20 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 14, 2022,
placed the rating(s) of SMGSPL under the 'issuer non-cooperating'
category as SMGSPL 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.
SMGSPL continues to be non-cooperative despite repeated requests
for submission of information through e-mails, phone calls and a
letter/email dated February 28, 2023, March 10, 2023, March 20,
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).
Sarva Mangalam Gajanan Steel Private Limited (SMGSPL) incorporated
in 2004 was promoted by the Kedia family of Asansol, West Bengal.
SMGSPL is engaged in manufacturing of steel angles, flats, bars,
rounds and channels with its sole manufacturing facility located at
Kalipahari (Asansol) with an installed capacity of 36,000 metric
ton per annum (MTPA). The company procures raw materials (Ingot and
scrap) from open market through local players and sales its product
in the states of West Bengal, Assam and Tripura.
SRIKARA PARENTERALS: CRISIL Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Srikara
Parenterals Private Limited (SPPL) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2 CRISIL D (Issuer Not
Cooperating)
Funded Interest 2.58 CRISIL D (Issuer Not
Term Loan Cooperating)
Long Term Loan 2.52 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.72 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Working Capital 2.18 CRISIL D (Issuer Not
Term Loan Cooperating)
CRISIL Ratings has been consistently following up with SPPL for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 SPPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SPPL continues to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2006 and based in Vijayawada (Andhra Pradesh), SPPL
manufactures intravenous fluids used in the healthcare industry.
The company is promoted by Mr. Gorla Naga Manikyala Rao, and its
day-to-day operations are managed by Mr. Prem Raj Rayepudi.
SURESH ANGADI: CARE Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Suresh
Angadi Education Foundation (SAEF) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 79.36 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 March 21, 2022,
placed the rating(s) of SAEF under the 'issuer non-cooperating'
category as SAEF 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. SAEF continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
February 4, 2023, February 14, 2023, February 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).
Suresh Angadi Education Foundation (SAEF) was established in the
year 2008 by Late Mr. Suresh Channabasappa Angadi, who was once an
MP from Belagavi, Karnataka till September 2020. The trust was
established to set up educational institutions in Belagavi.
UM GREEN: CARE Keeps D Debt Ratings in Not Cooperating Category
---------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Um Green
Lighting Private Limited (UGLPL) continue to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 16.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 10.50 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Rationale and Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated May 27, 2022,
placed the rating(s) of UGLPL under the 'issuer non-cooperating'
category as UGLPL 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. UGLPL continues to
be noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 12, 2023, April 22, 2023, May 2, 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).
Incorporated in 2010, UGLPL is a part of UM group companies. The
company is promoted by Mr. Gaurav Mamik (Chairman and Director) and
Mr. Sushant Chhabra (Director). The company is engaged in
manufacturing and installation of LED lights, solar lights and
installation of solar power plants. The manufacturing facility of
UMGL is located at Manesar, Gurgaon.
UNITY FABTEXT: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Unity
Fabtext Industries Private Limited (UFIPL) continue to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.40 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 0.60 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Rationale & Key Rating Drivers
CARE Ratings Ltd. had, vide its press release dated May 16, 2022,
placed the rating(s) of UFIPL under the 'issuer non-cooperating'
category as UFIPL 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. UFIPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 1, 2023, April 11, 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 Unity Fabtext Industries Private Limited (UFIPL) was
incorporated in 2012 by Mr. Jagdish Karande and Mrs. Laxmi Karande.
UFIPL is engaged in manufacturing of non-woven products like Design
Carpets, Headliners Fabric, Shoe Liner, Industrial Filters, Geo
textiles, Synthetic leather backing and Dust collection bag
filters. UFIPL has registered office in Mumbai and manufacturing
unit in Mahad, Raigad.
UNIVERSAL TUBE: CARE Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Universal
Tube Accessories Private Limited (UTAPL) continues to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 13.49 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 May 13, 2022,
placed the rating(s) of UTAPL under the 'issuer non-cooperating'
category as UTAPL 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. UTAPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
March 29, 2023, April 8, 2023, April 18, 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).
UTAPL was incorporated in September, 2011 for manufacturing of
steel tools and accessories required in the oil and gas industry.
The company is based in Pune (Maharashtra). The company's major
product was mandrel bars and other products included thread
protectors and helical anchors.
VENKATESWARA RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sri
Venkateswara Rice Mill (SVRM) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 1 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 4 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Working Capital 8 CRISIL D (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with SVRM for
obtaining information through letter and emails dated February 25,
2023 and April 29, 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 SVRM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SVRM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
SVRM continues to be 'CRISIL D Issuer Not Cooperating'.
SVRM is engaged in milling and processing of paddy into rice, rice
bran, broken rice and husk. The firm is promoted by Mr.T.Sura Reddy
and his family members. The firm is based in Komaripalem, Andhra
Pradesh.
=====================
N E W Z E A L A N D
=====================
BLACKDOG CAT: Creditors' Proofs of Debt Due on June 30
------------------------------------------------------
Creditors of Blackdog Cat 2016 Limited are required to file their
proofs of debt by June 30, 2023, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on May 15, 2023.
The company's liquidators are:
Garry Whimp
Blacklock Rose Limited
PO Box 6709
Victoria Street West
Auckland 1142
FIRSTBUILD LIMITED: Waterstone Insolvency Appointed as Liquidators
------------------------------------------------------------------
Damien Grant and Adam Botterill of Waterstone Insolvency on May 15,
2023, were appointed as liquidators of Firstbuild Limited,
Firstbuild Construction Limited and Firstbuild Homes Limited.
The liquidators may be reached at:
Waterstone Insolvency
16 Piermark Drive
Rosedale
Auckland 0632
SPACE X: Court to Hear Wind-Up Petition on June 23
--------------------------------------------------
A petition to wind up the operations of Space X Limited will be
heard before the High Court at Auckland on June 23, 2023, at 10:00
a.m.
Quick Earth Moving Limited filed the petition against the company
on May 8, 2023.
The Petitioner's solicitor is:
James Patrick Nolen
K3 Legal Limited
83 Albert Street (entrance on Kingston Street)
Auckland Central
Auckland
WIMBLEDON HOLDING: Creditors' Proofs of Debt Due on June 19
-----------------------------------------------------------
Creditors of Wimbledon Holding Limited are required to file their
proofs of debt by June 19, 2023, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on May 19, 2023.
The company's liquidators are:
Steven Khov
Kieran Jones
Khov Jones Limited
PO Box 302261
North Harbour
Auckland 0751
ZMARTPAINTERZ LIMITED: Court to Hear Wind-Up Petition on June 2
---------------------------------------------------------------
A petition to wind up the operations of Zmartpainterz Limited will
be heard before the High Court at Auckland on June 2, 2023, at
10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on April 19, 2023.
The Petitioner's solicitor is:
Cloete Van Der Merwe
Inland Revenue, Legal Services
5 Osterley Way
Manukau City
Auckland 2104
===============
P A K I S T A N
===============
PAKISTAN: Slashes Provisional GDP Growth to 0.29% for 2022-23
-------------------------------------------------------------
Reuters reports that Pakistan lowered its GDP growth forecast for
the current fiscal year, ending June 30, to 0.29% from 2%, the
country's national accounts committee said in a statement, as a
slowdown in the agriculture and industrial sectors curbed growth.
Gripped by economic turmoil and suffering a balance of payments
crisis, Pakistan is trying to reach agreement with the
International Monetary Fund (IMF) to disburse the stalled final
$1.1 billion from a $6.5 billion bailout agreed in 2019, Reuters
says.
According to Reuters, Pakistan's central bank said on May 19 GDP
growth was likely to remain significantly lower for financial year
2022-23 than the previous year, when growth was revised up to
6.1%.
The committee corrected its previous year's GDP growth numbers,
which a spokesperson said was a typographical error, Reuters
relays.
Reuters notes that the country posted highest ever inflation at
36.4% in April and its currency has depreciated to a historic low.
The national accounts committee's latest GDP growth forecast is
lower than the World Bank's estimate of 0.4%, while the IMF said in
April that the growth would be 0.5%.
A government official amended the rate for 2021-22 growth to
Reuters in Islamabad, add Reuters.
About Pakistan
Pakistan is a country located in South Asia. It has a coastline
along the Arabia Sea and the Gulf of Oman and is bordered by
Afghanistan, China, India, and Iran. Pakistan's capital is
Islamabad.
As recently reported in the Troubled Company Reporter-Asia Pacific,
Moody's Investors Service has downgraded the Government of
Pakistan's local and foreign currency issuer and senior unsecured
debt ratings to Caa3 from Caa1. Moody's has also downgraded the
rating for the senior unsecured MTN programme to (P)Caa3 from
(P)Caa1. Concurrently, Moody's has also changed the outlook to
stable from negative. The decision to downgrade the ratings is
driven by Moody's assessment that Pakistan's increasingly fragile
liquidity and external position significantly raises default risks
to a level consistent with a Caa3 rating.
=====================
P H I L I P P I N E S
=====================
UNIOIL RESOURCES: To Be Delisted from PSE on June 23
----------------------------------------------------
Manila Standard reports that the Philippine Stock Exchange said on
May 25 it is delisting Unioil Resources & Holdings Co. Inc. and
PICOP Resources Inc. from the local bourse over the companies'
continuing non-filing of reportorial requirements and non-payment
of penalties for disclosure violations.
Unioil and PICOP will be removed from the exchange's office
registry on June 23 this year, the PSE said in separate advisories
posted on its website, Manila Standard relates.
According to the report, PSE president and chief executive Ramon
Monzon said the exchange resolved to delist Unioil and PICOP after
conducting involuntary delisting proceedings.
The PSE said Unioil had not filed its annual financial statements
for the years 2017 to 2022 and quarterly reports from March 2018 to
September 2022.
Unioil also has had negative stockholders' equity since the year
ending December 2000, it said, Manila Standard relays.
Unioil, chaired by businessman Exequiel Robles, was previously
involved in oil exploration and mineral development projects.
Trading of Unioil shares was suspended on May 17, 2018 when it
closed at PHP2.46 apiece.
Manila Standard adds the PSE will also boot out PICOP from the
exchange over the latter's non-filing of annual reports from 2008
to 2022 and quarterly reports from March 2009 to September 2022.
It also failed to file other reportorial requirements such as
foreign ownership reports, list of top 100 stockholders, public
ownership requirements, among others, it said.
Manila Standard relates that PICOP also failed to pay the penalties
for disclosure violations and the annual listing maintenance fees,
the PSE said.
PICOP is an integrated forest and paper company. It serves the
local market for newsprints, telephone directory paper and kraft
linerboards.
Trading of PICOP's stocks has been suspended since June 4, 2008
when it closed at PHP0.205 apiece.
Under the PSE's delisting rules, a company that has been kicked out
from the local bourse is prohibited from applying for relisting
within a period of five years from the effective date of
delisting.
=================
S I N G A P O R E
=================
INNOPAC HOLDINGS: Creditors' Meetings Set for June 8
----------------------------------------------------
Innopac Holdings Limited, which is in liquidation, will hold a
meeting for its creditors on June 8, 2023, at 2:00 p.m., via
videoconference only.
Agenda of the meeting includes:
a. to receive an update on the liquidation;
b. to appoint a Committee of Inspection;
c. to authorize the Liquidator to appoint solicitors to assist
with his duties;
d. to authorize the Liquidator to compromise any debt due to
the Company in accordance with Section 144 of the
Insolvency, Restructuring and Dissolution Act 2018; and
e. Any other matters relevant to the winding up of the company.
The company's liquidator is Yit Chee Wah of FTI Consulting.
YONGNAM ENGINEERING: Scheme Meeting Scheduled for August 3
----------------------------------------------------------
A notice of meeting of creditors of Yongnam Engineering &
Construction (Private) Limited to consider Scheme of Arrangement
will be held in-person at NTU at One North Auditorium, 11 Slim
Barracks Rise, in Singapore on Aug. 3, 2023, at 2:30 p.m.
Messrs. Ng Kian Kiat and Goh Wee Teck of RSM Corporate Advisory Pte
Ltd will act as the Scheme Managers and/or the chairman of the
Scheme Meeting, and report the results of the Scheme Meeting to the
Court.
=================
S R I L A N K A
=================
SRI LANKA: Could Wrap Up Debt Restructure Talks by September
------------------------------------------------------------
Reuters reports that crisis-stricken Sri Lanka should be able to
conclude newly-launched debt restructuring talks by September, or
November at the latest, its president said on May 25, adding that
the negotiations had made "remarkable" progress.
According to Reuters, Sri Lanka secured a $2.9 billion bailout from
the International Monetary Fund in March but must set up a debt
restructuring framework by September to carry forward the program,
or risk undermining a slow economic recovery.
Reuters relates that President Ranil Wickremesinghe's comment came
as he began a meeting with Japanese Prime Minister Fumio Kishida at
the latter's office in Tokyo, the capital.
"We have made remarkable headway as far as the debt restructuring
talks are concerned," Reuters quotes Mr. Wickremesinghe as saying.
"(We) should be able to conclude by September, or November the
latest."
Kishida's meeting with the Sri Lankan leader, their first since
last September, is unlikely to generate a new initiative but both
sides would take stock of the efforts to restructure debt, a
Japanese official told Reuters.
Last month, France, India and Japan unveiled a common platform for
talks among bilateral creditors to co-ordinate restructuring of the
debt, Reuters recalls.
The island nation defaulted on its foreign debt for the first time
in its history in April last year as the worst financial crisis
since independence from Britain in 1948 crushed its economy.
Reuters says the IMF called this week for timely restructuring
pacts with the country's creditors. The global lender said Sri
Lanka's macroeconomic situation was improving, although earlier it
had predicted the economy would contract this year.
Sri Lanka owes $7.1 billion to its creditors, with $3 billion owed
to China, $1.6 billion to India and $2.4 billion to the Paris Club,
a group of creditor nations, Reuters discloses.
===============
T H A I L A N D
===============
THAI AIRWAYS: Creditors Committee Approves Merger with Thai Smile
-----------------------------------------------------------------
Thailand Business News reports that Thai Airways International Plc
(THAI) and its wholly-owned subsidiary Thai Smile Airways have
received approval from the Thai Airways Creditors Committee for
their merger.
According to the report, THAI CEO Chai Eamsiri said the committee's
decision, made as part of the parent company's restructuring plan,
was finalized on May 18.
As a result of the merger, Thai Smile's fleet of 20 aircraft will
be transferred to THAI this year, the report relays. This move is
expected to reduce operational costs by up to 20% and increase
daily flight hours by 11. The fleet currently leased by Thai Smile
was originally obtained from THAI.
THAI anticipates that the consolidation will lead to improved
utilization rates for its aircraft. Thai Smile currently operates
with an average of only 9 flight hours per day, while THAI's
average stands at 12-13 flight hours per day. By integrating Thai
Smile's Airbus A320 aircraft into its fleet, THAI aims to increase
its daily aircraft utilization by 11 flight hours.
Chai explained that the increased utilization will allow THAI to
expand its coverage of domestic and international routes, extend
its night-time flight hours, and reduce operational costs by up to
20%.
THAI said it will inform the Stock Exchange of Thailand about the
development and initiate the process of transferring the management
rights of the 20 aircraft. Notifications will also be sent to the
Civil Aviation Authority of Thailand and the Ministry of
Transport.
According to the report, the merger is seen as a strategic move to
help the struggling THAI recover from its massive debt and losses,
which were exacerbated by the Covid-19 pandemic. THAI filed for
bankruptcy protection in May 2020 and underwent a court-supervised
rehabilitation process. Thai Smile Airways, which was launched in
2012 as a regional wing of THAI, has been performing better than
its parent company, but still faces challenges in the competitive
low-cost market.
Thailand Business News adds the merger is also expected to benefit
the customers and employees of both airlines, as well as the
tourism sector in Thailand. The new airline will offer more choices
and flexibility for travelers, as well as enhanced service quality
and safety standards. The employees of both airlines will be
integrated into a unified workforce with clear career paths and
opportunities. The tourism sector will also benefit from the
increased connectivity and capacity of the new airline, which will
support the recovery of the industry after the pandemic.
About Thai Airways
Thai Airways International PCL (BAK:THAI) --
http://www.thaiairways.co.th/-- is the national carrier of
Thailand. The company provides air transportation, freight and
mail services on domestic and international routes including Asia,
Europe, North America, Africa and South West Pacific. The Company
is a state enterprise which is controlled by the government and
partly owned by the public.
As reported in Troubled Company Reporter-Asia Pacific in May 2020,
Thailand's cabinet approved a plan to restructure troubled Thai
Airways International Pcl's finances through a bankruptcy court,
the Southeast Asian country's prime minister said on May 19, 2020.
The plan for a court-led restructuring of the national carrier
replaces a previous proposal of a government-backed rescue package
that was heavily criticised in the country.
Thai Airways on May 27, 2020 said it appointed board members as
rehabilitation planners in a bankruptcy court submission.
On Sept. 14, 2020, Thailand's Central Bankruptcy Court approved
Thai Airways debt restructuring.
Thai Airways posted losses every year after 2012, except in 2016.
In 2019, it reported losses of THB12.04 billion.
The company's shareholders' equity turned negative at minus THB18.1
billion ($580 million) as of June. While its total liabilities
ballooned to THB332.1 billion, a 36.7% increase from the end of
2019, its cash and cash equivalents fell by 35.5% to THB13.9
billion, according to the Nikkei Asia.
*********
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.
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
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firm for the term of the initial subscription or balance
thereof are US$25 each. For subscription information, contact
Peter Chapman at 215-945-7000.
*** End of Transmission ***