/raid1/www/Hosts/bankrupt/TCRAP_Public/230621.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
Wednesday, June 21, 2023, Vol. 26, No. 124
Headlines
A U S T R A L I A
ATKIN & CO: First Creditors' Meeting Set for June 28
AUSTRALIAN UNDERGROUND: First Creditors' Meeting Set for June 26
BASS HILL: Flipp Burger Bass Hill Goes Into Liquidation
BRIDAL ATELIER: Collapses Into Voluntary Liquidation
HORE & DAVIES: First Creditors' Meeting Set for June 23
IBUILD PARTITIONS: First Creditors' Meeting Set for June 23
INFRABUILD AUSTRALIA: Moody's Affirms Caa1 CFR, Outlook Now Stable
LIBERTY SERIES 2021-1: Moody's Ups Rating on Class F Notes to Ba1
SPRY AMUSEMENTS: First Creditors' Meeting Set for June 23
I N D I A
ADHITHI INFRA: CRISIL Keeps D Debt Ratings in Not Cooperating
DEEPAM SILK: CRISIL Lowers Rating on INR11.5cr Cash Loan to B+
EMAAR ALLOYS: CRISIL Keeps D Debt Rating in Not Cooperating
EPITOME PETROCHEMICAL: CRISIL Keeps D Ratings in Not Cooperating
ETERNITY GLOBETEX: CRISIL Keeps D Debt Rating in Not Cooperating
G.A.V. AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
GARIB NAWAZ: CRISIL Keeps D Debt Ratings in Not Cooperating
GAYATRI SUGARS: CRISIL Raises Rating on INR39.47cr Cash Loan to B
HIGH VALUE: CRISIL Keeps D Debt Ratings in Not Cooperating
K .S. IMPEX: CRISIL Keeps D Debt Ratings in Not Cooperating
KALOKHE STONE: CRISIL Keeps C Debt Ratings in Not Cooperating
KAMESHWAR INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
KESHAV HOLIDAY: CRISIL Assigns B+ Rating to INR40cr Term Loan
KHAIRWALA INT'L: CRISIL Keeps D Debt Ratings in Not Cooperating
KMB GRANITE: CRISIL Keeps D Rating in Not Cooperating Category
KMB TRADING: CRISIL Keeps D Debt Ratings in Not Cooperating
KSR COTTON: CRISIL Keeps D Debt Ratings in Not Cooperating
MITHILA CARS: CARE Keeps D Debt Rating in Not Cooperating Category
MOUNT SHIVALIK: CRISIL Keeps D Debt Ratings in Not Cooperating
NEW-TECH STEEL: CRISIL Keeps D Debt Ratings in Not Cooperating
PROCESS CONSTRUCTION: CARE Keeps D Debt Ratings in Not Cooperating
PURULIA METAL: CRISIL Lowers Long/Term Loan Rating to D
R. KANTILAL: CRISIL Keeps D Debt Ratings in Not Cooperating
RAJLUXMI ENTERPRISES: CARE Keeps D Debt Ratings in Not Cooperating
RELIANCE INNOVENTURES: Admitted for Insolvency Proceedings
RKB GLOBAL: CRISIL Lowers Long/Short Term Loan Ratings to D
SHOPPERS INT'L: CRISIL Lowers Rating on INR27cr Term Loan to D
SUNONIX INDIA: CRISIL Moves B Debt Ratings from Not Cooperating
SUPREME POLYTUBES: CARE Keeps D Debt Ratings in Not Cooperating
TULIP TELECOM: ICRA Keeps D Debt Rating in Not Cooperating
WELWORTH ENTERPRISES: CRISIL Reaffirms B+ Rating on INR12cr Loan
WESTIN RESINS: CARE Keeps D Debt Ratings in Not Cooperating
M A L A Y S I A
PHARMANIAGA BHD: Analysts Divided on Proposed Private Placement
N E W Z E A L A N D
B.T. TRADES: Creditors' Proofs of Debt Due on July 13
COOPERS CONCRETE: Court to Hear Wind-Up Petition on July 3
GOAT ISLAND: Iain Andrew Nellies Appointed as Liquidator
NEWMARKET LAW: Creditors' Proofs of Debt Due on July 20
PACHOUD YACHTS: Court to Hear Wind-Up Petition on July 3
RUAPEHU ALPINE: Goes Into Liquidation After Watershed Meeting
P H I L I P P I N E S
BINANGONAN RURAL: Creditors' Claims Deadline Set for July 14
LOYOLA PLANS: IC Places Loyola Plans Under Receivership
S I N G A P O R E
BLUE PEARL: Court to Hear Wind-Up Petition on July 7
CAPADO ENGINEERING: Creditors' Meeting Set for June 27
KIDZANIA SINGAPORE: Failed Asset in Receivership, Sim Group Says
NO SIGNBOARD: Controlling Shareholder Requisitions EGM
NTD RIG: Creditors' Meetings Set for June 28
TIDEWATER OCEAN: Creditors' Proofs of Debt Due on July 20
TOCK'S PERFORMANCE: Court to Hear Wind-Up Petition on June 30
S R I L A N K A
SRI LANKA: World Bank Set to Approve US$700M Support Next Week
- - - - -
=================
A U S T R A L I A
=================
ATKIN & CO: First Creditors' Meeting Set for June 28
----------------------------------------------------
A first meeting of the creditors in the proceedings of Atkin & Co
Pty Ltd will be held on June 28, 2023, at 12:00 p.m. at Tower 4,
Level 18, 727 Collins Street in Melbourne and via conference
telephone call.
Mathew Dieter Windsor Blum and Andrew Thomas Sallway of BDO were
appointed as administrators of the company on June 16, 2023.
AUSTRALIAN UNDERGROUND: First Creditors' Meeting Set for June 26
----------------------------------------------------------------
A first meeting of the creditors in the proceedings of Australian
Underground Services Pty Ltd will be held on June 26, 2023, at
11:30 a.m. by virtual meeting technology only.
Anne Marie Barley of AMB Insolvency was appointed as administrator
of the company on June 14, 2023.
BASS HILL: Flipp Burger Bass Hill Goes Into Liquidation
-------------------------------------------------------
Ailish Delaney at 7NEWS.com.au reports that a popular Sydney burger
chain franchise has become the latest hospitality venue to shut up
shop after going into liquidation.
Bass Hill Burger Pty Ltd, which trades as Flipp Burger Bass Hill,
was last month ordered into compulsory liquidation by the Victorian
Supreme Court over issues with unpaid debts with its energy
provider.
Flipp Burger has a number of restaurants across Sydney, including
North Sydney, Parramatta, Mount Druitt, Marsden Park and Auburn.
Bass Hill is still listed as a location on Flipp Burgers' Instagram
and website, however, the franchise's phone number was disconnected
when contacted by 7NEWS.com.au.
Andrew Scott and Robert Ditrich from accounting and restructuring
firm PwC have been appointed as joint liquidators in the matter,
7NEWS.com.au discloses.
7NEWS.com.au understands investigations are continuing into the
reason for the company's collapse and its assets, which were sold
before the franchise went under.
"We are in the early stages of this liquidation and are currently
seeking to determine the number of creditors and how much they may
be owed," 7NEWS.com.au quotes a PwC spokesperson as saying.
"Creditors should have received an initial report, if they haven't
they should contact us."
Three creditors have been identified so far, but the total amounts
owed are yet to be determined, the report adds.
BRIDAL ATELIER: Collapses Into Voluntary Liquidation
----------------------------------------------------
Alex Turner-Cohen at news.com.au reports that as many as "hundreds"
of weddings have been plunged into disarray after a bridal shop
collapsed into voluntary liquidation.
On June 19, The Bridal Atelier Pty Ltd, a bridal shop in Melbourne,
appointed liquidators.
Staff at the company are shocked and have been left to field calls
from distraught brides concerned their wedding plans have gone up
in smoke.
According to news.com.au, the Bridal Atelier's website and
Instagram pages have been removed while the company's phone number
is disconnected. It has stores in Melbourne and Sydney. Although
the Sydney store has yet to go into liquidation, it has closed
down.
Michael Dullaway and Mark William Pearce from Pearce & Heers
Insolvency Accountants, are the appointed liquidators.
Mr. Dullaway told news.com.au the company had "never recovered from
the Covid lockdown" so had made the difficult decision to shut down
for good.
One of the Melbourner workers, Georgia Schroeder, said she had only
been hired as the New Retail and Operations manager less than two
months before the collapse and that she was devastated.
"I'm a broken woman," she posted online, adding that she is
"completely crushed," news.com.au relays.
News.com.au relates that Ms. Schroeder said she had thought scoring
the gig would be a "dream job" but it's turned into more of a
nightmare, as she has been left dealing with the fallout.
"I've had hundreds of phone calls from brides begging and crying
about their gowns and loss of money," she said.
"And even though it won't mean much to the hundreds affected, none
of the staff have been paid. We have all been left in the dark."
She added that she wanted to apologise "from the bottom of my
heart" for what had happened.
News.com.au has contacted Ms. Schroeder for additional comment.
The two staff members at the Melbourne shop - including Ms
Schroeder - were informed on June 16 that they would be losing
their jobs effective immediately.
A sister company in Sydney has not yet gone into liquidation but
it's two staff were also terminated, news.com.au notes.
The liquidator, Mr. Dullaway, told news.com.au it is too early to
tell at this stage the exact number of weddings impacted, or the
company's assets and liabilities.
"We've contacted a number of people," he said.
He said that staff like Ms. Schroeder would be fully compensated
for their unpaid wages under a government scheme called the Fair
Entitlements Guarantee, adds news.com.au.
HORE & DAVIES: First Creditors' Meeting Set for June 23
-------------------------------------------------------
A first meeting of the creditors in the proceedings of Hore &
Davies Real Estate Pty Ltd, Perpetual Strata Management Pty Ltd,
Prestige Strata & Property Solutions Pty. Ltd., and PSM Property
Solutions Pty Ltd will be held on June 23, 2023, at 11:00 a.m. at
the offices of Smith Hancock Chartered Accountants at Suite 47.04,
Level 47, 8 Parramatta Square 10 Darcy Street in Parramatta, and
via virtual meeting technology.
Peter Hillig and Erwim Rommel Alfonso of Smith Hancock were
appointed as administrators of the company on June 13, 2023.
IBUILD PARTITIONS: First Creditors' Meeting Set for June 23
-----------------------------------------------------------
A first meeting of the creditors in the proceedings of IBuild
Partitions and Ceilings Pty Ltd will be held on June 23, 2023, at
10:30 a.m. via virtual meeting only.
Liam William Paul Bellamy of RRI Advisory was appointed as
administrator of the company on June 13, 2023.
INFRABUILD AUSTRALIA: Moody's Affirms Caa1 CFR, Outlook Now Stable
-------------------------------------------------------------------
Moody's Investors Service has affirmed the Caa1 corporate family
rating and backed senior secured notes rating of InfraBuild
Australia Pty Ltd. The outlook was changed to stable from
negative.
RATINGS RATIONALE
The change of outlook to stable primarily reflects the company's
ability to secure additional external funding following the recent
execution of a USD350 million 3-year senior secured asset-backed
term loan (ABTL). The execution of the term loan is InfraBuild's
first time accessing a material new external debt facility after
its initial senior secured notes raising in 2019. While the company
has stated publicly that the proceeds of the term loan are expected
to be used to pursue growth initiatives, and that it is looking at
additional funding options, the outlook change reflects Moody's
view that the size of the ABTL could allow for repayment of the
upcoming USD325 million maturity of the existing senior secured
notes, if required.
Using the proceeds to repay the existing notes would reduce
refinancing risk, a key driver of the company's current ratings.
However, given InfraBuild's stated intention to use the proceeds to
pursue growth, combined with the potential for the company to
acquire Liberty Steel Group USA (Liberty USA), another entity
independently owned by the GFG Alliance (GFG), its ratings continue
to reflect refinancing risk on the notes. Moody's will continue to
monitor the use of proceeds from the ABTL and any further financing
transactions that InfraBuild pursues.
InfraBuild's Caa1 ratings continue to reflect Moody's view that
refinancing risks facing the company are ongoing until it directs
recently obtained funding, or other financing alternatives, to
address its upcoming maturities.
The company's credit profile continues to be supported by its
consistent production levels, improvement programs to reduce its
cost profile and working capital position, and still solid, albeit
moderating, demand for long steel in the Australian market.
Operationally, InfraBuild continues to perform solidly, which,
combined with the strong steel demand and pricing conditions in
Australia over the last 12-18 months, has led to material earnings
growth and an ongoing trend of improving credit metrics.
InfraBuild's credit profile also continues to benefit from its
strong market position in steel long products in Australia, and a
vertically integrated business model with a flexible operating
profile.
The company's EBITDA generation and credit metrics for the first
nine months of fiscal 2023 were ahead of Moody's previous
expectations and, while the agency expects that the current
macroeconomic environment will lead to weaker operating conditions
going forward, under its base case assumptions InfraBuild should
still generate EBITDA margins near 10% and register debt/EBITDA of
around 1.5-1.8x prior to any acquisitions or major growth
initiatives.
InfraBuild notified the market in late 2022 that it was proposing
to acquire Liberty Steel Group USA (Liberty USA), another entity
independently owned by the GFG Alliance (GFG), for a total
consideration of USD600 million. The Liberty USA acquisition would
support InfraBuild's business profile by increasing scale and
geographic and product diversification. The acquisition would also
likely improve revenue and EBITDA growth prospects. However, the
acquisition may also come with integration challenges and increased
capital spending to achieve the company's growth objectives.
While the improvement in business profile would be credit positive,
Moody's sees limited potential direct synergies from the
acquisition and completing it will require additional debt funding,
which is yet to be arranged. If the company proceeds with a debt
funded acquisition, Moody's expects that leverage, as measured by
debt/EBITDA, would increase to around 3x. Also given the current
high interest rate environment and challenging funding market
conditions, the agency expects EBIT interest cover will weaken more
materially than leverage and may fall to around 2x from the 6.1x
level achieved for the 12 months to December 2022.
In addition to refinancing risk, InfraBuild's credit profile also
remains constrained by its dependence on cyclical construction end
markets, its exposure to volatile steel and scrap prices and its
current focus on acquisitive growth investments. Furthermore, the
credit profile continues to reflect the contagion risks from
funding issues affecting the GFG Alliance (GFG) -- which ultimately
owns InfraBuild -- following the collapse of Greensill Capital.
ESG CONSIDERATIONS
InfraBuild's CIS-5 indicates that the rating is lower than it would
have been if ESG risk exposures did not exist. This primarily
reflects InfraBuild's exposure to governance risks such as
financial strategy and risk management, which is reflective of its
liquidity management and pending 2024 debt maturities; and
concentrated ownership, reflecting that it is ultimately wholly
owned by the GFG Alliance. Moody's believes issues facing the
broader GFG Alliance group have contributed to InfraBuild's
liquidity and refinancing risk.
InfraBuild also has exposure to environmental and social risks.
Environmental risks primarily reflect carbon transition risk given
its energy intensive steel manufacturing, while social risks
primarily reflect the inherent health and safety risks in its
steelmaking and downstream processing operations. However, as an
EAF producer these risks are lower than those faced by blast
furnace producers.
LIQUIDITY
InfraBuild's liquidity is considered weak, reflecting the continued
refinancing risk related to the USD325 million of senior secured
notes maturity in October 2024. However, the liquidity profile is
supported by around AUD305 million in cash (excludes around AUD93
million of restricted cash) as at March 2023, and Moody's
expectation that solid operating performance, combined with
sustained progress on initiatives to improve working capital, will
allow for still solid cash flow generation. Moody's expects that
these combined sources of liquidity would be adequate to fund
InfraBuild's ongoing operations and cash uses if the company is
able to successfully refinance the notes ahead of maturity.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The ratings are unlikely to be upgraded prior to fully addressing
upcoming refinancing risk. However, a successful refinancing of the
senior secured notes could lead to an upgrade.
The ratings could be downgraded if InfraBuild is unable to
refinance the notes and/or its liquidity or recovery profile
weakens beyond Moody's current expectations.
The principal methodology used in these ratings was Steel published
in November 2021.
BACKGROUND
InfraBuild is Australia's largest and only vertically integrated
EAF manufacturer and supplier of steel long products. The company
supplies around 2.4 million tonnes per annum (mtpa) of steel long
products across Australia, with most products supplying the
construction steel segment of the market (rebar, mesh, etc.).
InfraBuild is a private company, and is ultimately owned by the GFG
Alliance (unrated), a United Kingdom based international
industrial, energy, natural resources and financial services group.
LIBERTY SERIES 2021-1: Moody's Ups Rating on Class F Notes to Ba1
-----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings on five classes
of notes issued by Liberty Series 2021-1.
The affected ratings are as follows:
Issuer: Liberty Series 2021-1
Class B Notes, Upgraded to Aaa (sf); previously on Aug 18, 2022
Upgraded to Aa1 (sf)
Class C Notes, Upgraded to Aa2 (sf); previously on Aug 18, 2022
Upgraded to A1 (sf)
Class D Notes, Upgraded to A2 (sf); previously on Oct 20, 2021
Upgraded to Baa1 (sf)
Class E Notes, Upgraded to Baa2 (sf); previously on Oct 20, 2021
Upgraded to Ba1 (sf)
Class F Notes, Upgraded to Ba1 (sf); previously on Oct 20, 2021
Upgraded to Ba3 (sf)
RATINGS RATIONALE
The upgrades were prompted by (1) a lower MILAN CE following the
end of the two-year substitution in March 2023 and (2) a limited
increase in credit enhancement available for the affected notes.
The collateral pool is now static and no longer subject to
substitution risk.
Following the April 2023 payment date, the note subordination
available for Class B and Class C Notes has increased to 6.96% and
4.91% respectively, from 6.80% and 4.80% at the time of the last
rating action for these notes in August 2022. The note
subordination for Class D, Class E and Class F Notes has increased
to 3.89%, 2.46% and 2.15% respectively, from 3.80%, 2.40% and 2.10%
at the time of the last rating action for these notes in October
2021.
As of April 2023, 3% of the outstanding pool was 30-plus day
delinquent, and 1% was 90-plus day delinquent. The deal has
incurred no losses to date.
Based on the observed performance to date and loan attributes,
Moody's has revised its expected loss assumption to 1.64% of the
outstanding pool (equivalent to 1.6% of the original pool balance)
from 1.2% at the last rating action in August 2022.
Based on the current portfolio characteristics, elimination of
substitution risk, and incorporating house price sensitivities,
Moody's has lowered its MILAN CE assumption to 6.2% from 6.9% at
the last rating action.
The transaction is an Australian RMBS originated and serviced by
Liberty Financial Pty Ltd, an Australian non-bank lender. A small
portion of the portfolio consists of loans extended to borrowers
with impaired credit histories or loans made on a limited
documentation basis.
The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
July 2022.
Factors that would lead to an upgrade or downgrade of the ratings:
Factors that could lead to an upgrade of the ratings include: (1)
performance of the underlying collateral that is better than
Moody's expectations, and (2) an increase in credit enhancement
available for the notes.
Factors that could lead to a downgrade of the ratings include: (1)
performance of the underlying collateral that is worse than Moody's
expectations, (2) a decrease in credit enhancement available for
the notes, and (3) a deterioration in the credit quality of the
transaction counterparties.
SPRY AMUSEMENTS: First Creditors' Meeting Set for June 23
---------------------------------------------------------
A first meeting of the creditors in the proceedings of Spry
Amusements Pty Ltd will be held on June 23, 2023, at 11:00 a.m. via
virtual meeting technology only.
Anne-Marie Barley of AMB Insolvency was appointed as administrator
of the company on June 13, 2023.
=========
I N D I A
=========
ADHITHI INFRA: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Adhithi Infra
Projects Private Limited (DHPL; previously known as Dhenu Hydro
Private Limited) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 6.97 CRISIL D (Issuer Not
Cooperating)
Cash Credit 3 CRISIL D (Issuer Not
Cooperating)
Proposed Bank 0.53 CRISIL D (Issuer Not
Guarantee Cooperating)
Working Capital 2 CRISIL D (Issuer Not
Term Loan Cooperating)
CRISIL Ratings has been consistently following up with DHPL for
obtaining information through letter and email dated 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 DHPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on DHPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
DHPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
DHPL was set up in 2000 by Mr. Yella Reddy and his family members.
The company is executing a sub-contract received from IVRCL Ltd,
towards construction of canals and reservoirs in the Kadapa region,
Andhra Pradesh.
DEEPAM SILK: CRISIL Lowers Rating on INR11.5cr Cash Loan to B+
--------------------------------------------------------------
Due to inadequate information, CRISIL Ratings, in line with SEBI
guidelines, had migrated the rating of Deepam Silk Retail Private
Limited (DSRPL) to 'CRISIL BB-/Stable Issuer Not Cooperating'.
However, the management has subsequently started sharing requisite
information, necessary for carrying out comprehensive review of the
rating. Consequently, CRISIL Ratings is migrating the rating on
bank facilities of DSRPL from ' CRISIL BB-/Stable Issuer Not
Cooperating' to 'CRISIL B+/Stable'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 11.5 CRISIL B+/Stable (Migrated
from 'CRISIL BB-/Stable
ISSUER NOT COOPERATING')
Rupee Term Loan 2.5 CRISIL B+/Stable (Migrated
from 'CRISIL BB-/Stable
ISSUER NOT COOPERATING')
CRISIL's ratings continue to reflect the long track record of the
promoters in the saree trading business. These strengths are
partially offset by geographical concentration in revenue, below
average financial risk profile and working capital intensive
operation.
Analytical Approach:
CRISIL Ratings has treated unsecured loans of INR4 crore as on 31st
March 2022 as neither debt nor equity as they are interest free and
are expected to be retained in the company over the long term.
Key Rating Drivers & Detailed Description
Weaknesses:
* Geographical concentration in revenue: As the retail outlets are
present only in Bengaluru, the company's revenue are susceptible to
high geographic concentration. High geographical concentration in
topline pegs the company's performance with the consumer preference
changes in a particular region, impacting the company's performance
in case of any adverse changes. Also, the increased customer
preference through online shopping has restricted the growth in
scale of operation and the same continues to be modest at INR44
crores estimated for fiscal 2023.
* Below Average financial risk profile: The company has a below
average financial risk profile marked an aggressive capital
structure and modest interest coverage ratio. The company has a
modest net worth at INR5.6cr estimated as on March 31, 2023. The
net worth has been low on account of low accretion to reserves
driven by low operating margins in the past. Modest operating
margin and high debt on account of its working capital intensive
operations have resulted in modest interest coverage of around 1.35
times estimated for FY23. CRISIL Ratings expects DSRPL's financial
profile will remain constrained by its aggressive capital structure
over the medium term.
* Working capital intensive operation: The company's operations are
working capital intensive reflected from gross current assets above
350 days over the last 3 years mainly due to higher receivable days
and inventory days. High receivables are on account of delayed
collection from the market survey segment. The high inventory which
the company has to maintain is on account of the various designs
and sizes which it has to keep in stock to cater to the needs of
different segments of customers. The ability of the Company to
improve the debtors collection to remain a key monitorable.
Strength:
* Long track record of the promoters in the saree trading business:
The promoter of DSRPL, Mr M. Chandrasekhar and Mr M. Vijaysekhar
has been in the business of retailing sarees for over 45 years.
CRISIL Ratings believes that the company will continue to benefit
over the medium term from the experience of its promoters in the
retailing business and will be able to maintain its business
profile.
Liquidity: Stretched
The company is expected to generate net cash accruals in the range
of INR0.74 – INR1.03cr against repayment obligations of INR0.58
– INR86 crore over the medium term. Liquidity is supported by
promoter's unsecured loans of INR4 crore. Bank lines have been
utilized highly averaging at 99% in the trailing 12 months ending
March 2023. However, availability of cash and bank balance of more
than INR8 crores provides an additional comfort. Moreover, the
promoters will be bringing in money in the form USL or equity based
on the requirements.
Outlook: Stable
CRISIL Ratings believes that DSRPL will be able to maintain a
stable business risk profile on account of its promoter's
experience in the industry.
Rating Sensitivity factors
Upward Factors:
* Improvement in cash accruals above INR1.0 crore due to growth in
revenue or improved profitability
* Improvement in working capital cycle especially debtor days
* Improvement in liquidity profile especially BLU
Downward Factors:
* Stretch in liquidity due to high receivables above 220 days
* Decline in revenue or profitability leading to low cash accruals
DSRPL, based in Bangalore, was started by Mr M. Chandrasekhar and
Mr M. Vijaysekhar in 1978 as a proprietary concern. It was
reconstituted as a private limited company in 2008. The company is
engaged in retailing of sarees, readymade garments and silk
fabrics. It has a presence of 45 years in Bangalore and operates
two outlets.
EMAAR ALLOYS: CRISIL Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Emaar Alloys
Private Limited (EAPL) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 9.54 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with EAPL for
obtaining information through letter and email 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 EAPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
EAPL continues to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2004, EAPL manufactures sponge iron. The company is
promoted by Mr. Abhimanyu Singh, Mr. Manoj Sinha, and Mr. Vikas
Sinha.
EPITOME PETROCHEMICAL: CRISIL Keeps D Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Epitome
Petrochemical Private Limited (EPPL) continue to be 'CRISIL
D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 1 CRISIL D (Issuer Not
Cooperating)
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
Funded Interest 1.47 CRISIL D (Issuer Not
Term Loan Cooperating)
Funded Interest 0.36 CRISIL D (Issuer Not
Term Loan Cooperating)
Funded Interest 1.06 CRISIL D (Issuer Not
Term Loan Cooperating)
Letter of Credit 5 CRISIL D (Issuer Not
Cooperating)
Term Loan 7 CRISIL D (Issuer Not
Cooperating)
Term Loan 6.56 CRISIL D (Issuer Not
Cooperating)
Term Loan 3 CRISIL D (Issuer Not
Cooperating)
Working Capital 14.02 CRISIL D (Issuer Not
Term Loan Cooperating)
CRISIL Ratings has been consistently following up with EPPL for
obtaining information through letter and email 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 EPPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
EPPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
EPPL was incorporated in 2007 and started commercial production in
January 2009. It manufactures poly-ethylene terephthalate (PET)
preforms for bottlers of carbonated soft drinks, and has capacity
of 6900 tonnes per annum at its unit in Sikkim.
ETERNITY GLOBETEX: CRISIL Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Eternity
Globetex Private Limited (EGPL) continues to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 8 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with EGPL for
obtaining information through letter and email 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 EGPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EGPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
EGPL continues to be 'CRISIL D Issuer Not Cooperating'.
EGPL, incorporated in 2016, by Mr Sanjay Juneja and Mr Nikunj
Kapadia, manufactures dress material mostly on job work basis. The
manufacturing facility is at Vasai, Maharashtra.
G.A.V. AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of G.A.V. Agro
Private Limited (GAVPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 8 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 10 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with GAVPL for
obtaining information through letter and email 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 GAVPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GAVPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
GAVPL continues to be 'CRISIL D Issuer Not Cooperating'.
GAVPL was set up in 2013, by the promoter, Mr Pradeep Kumar and Mr
Om Prakash. The company processes non-basmati rice for customers in
the domestic and overseas markets. Processing facilities are
located at Lucknow.
GARIB NAWAZ: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Garib Nawaz
Polymers Private Limited (GNPPL; part of the GN group) continue to
be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3.50 CRISIL D (Issuer Not
Cooperating)
Funded Interest 1.14 CRISIL D (Issuer Not
Term Loan Cooperating)
Proposed Long Term 1.24 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 2.42 CRISIL D (Issuer Not
Cooperating)
Working Capital
Term Loan 2.70 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with GNPPL for
obtaining information through letter and email 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 GNPPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on GNPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
GNPPL continues to be 'CRISIL D Issuer Not Cooperating'.
For arriving at its rating, CRISIL Ratings has combined the
business and financial risk profiles of GNPPL and G.N. Pet (GNP)
This is because the two entities, together referred to as the GN
group, are in the same line of business, have close operational and
financial linkages, and are under a common management.
GNPPL, set up in 2007 by Mr. Sunil Bansal, manufactures
polyethylene terephthalate bottles for consumers in the
pharmaceuticals industry. It commenced commercial operations in
2008. In 2009, Mr. Bansal set up proprietorship concern GNP, which
is in the same line of business and commenced commercial operations
in 2011. Both entities' manufacturing facilities are in Baddi.
GAYATRI SUGARS: CRISIL Raises Rating on INR39.47cr Cash Loan to B
-----------------------------------------------------------------
CRISIL Ratings has upgraded its rating on the long-term bank
facilities of Gayatri Sugars Limited (GSL) to 'CRISIL B/Stable'
from 'CRISIL B-/Stable'. The rating on the proposed long term bank
loan facility of INR68.41 crore was 'Withdrawn' at the company's
request which is in line with CRISIL Ratings policy on withdrawal
of ratings.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 39.47 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
Cash Credit 11.22 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
Cash Credit 13.43 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
Cash Credit 3.47 CRISIL B/Stable (Upgraded
from 'CRISIL B-/Stable')
Proposed Long Term 68.41 CRISIL B/Stable Withdrawn
Bank Loan Facility
The upgrade reflects the sustained improvement in credit risk
profile, supported by healthy operating performance and expected
improvement in financial risk profile. Improvement in business
performance is reflected in operating income of INR389 crore in
fiscal 2023; operating margin improved to around 10.4%. The upgrade
also takes into account the expected inflow of funds in the form of
convertible warrants of INR41.50 crore, which will provide cushion
to liquidity. Write-off of cumulative interest on preference shares
and interest on the Sugar Development Fund (SDF) loan, totalling
INR25.85 crore, helped to improve the financial risk profile.
The rating reflects the weak financial risk profile of GSL, large
working capital requirement and susceptibility to risks related to
regulatory changes and cyclicality in the sugar industry. These
weaknesses are partially offset by the extensive experience of the
promoters, integrated nature of operations and the improving
business performance.
Key rating drivers & detailed description
Weaknesses:
* Weak financial risk profile: Adjusted networth continued to be
negative at around INR116.3 crore as on March 31, 2023, due to
sizeable accumulated losses in the past. Debt protection metrics
improved in the past two fiscals due to better operational
performance, with interest coverage ratio of 1.69 times in fiscal
2023.
* Susceptibility to regulatory changes and cyclicality in the sugar
industry: Production and availability of sugarcane depend highly on
monsoon, cane prices and prices of alternative crops. The sugar
industry is cyclical and highly fragmented. Government regulates
the domestic demand-supply scenario by restricting imports and
exports and also controls cane procurement prices. Any adverse
change in sugarcane prices or realisations on sugar sales can
adversely impact profitability. Furthermore, unlike last fiscal,
sugar export shall be based on quota provided to each unit and
hence its impact on sugar realisation and stock levels remains to
be seen.
Strengths:
* Extensive experience of the promoters: The two-decade-long
experience of the promoters and their funding support will continue
to aid business risk profile.
* Integrated operations: The company has sugar mills, distillery
and power generation units, which enables it to convert by-products
of sugar such as molasses and bagasse into ethanol/rectified spirit
and power, respectively. Also, recovery rate has remained above
average at 10.5-11.5% in the past.
* Improving business performance: Improvement in the past two
fiscals is reflected in revenue of INR388 crore and operating
margin of 10.4% for fiscal 2023. Better recovery and operating
efficiency will further improve business performance in fiscal
2024.
Liquidity: Stretched
Bank limit are highly utilised (at 97%) in the 12 months through
March 2023, with no enhancement in the pipeline. However, INR41.50
crore to be raised from issue of warrants will provide comfort to
liquidity, though its timely availability will remain critical. The
company has no term loan outstanding and repayment of the SDF loan
starts from fiscal 2025 and the company is expected to generate
adequate cash accruals to take care of the repayment obligations.
Outlook: Stable
The company will continue to benefit from the extensive experience
of its promoters and integrated nature of operations.
Rating sensitivity factors
Upward factors
* Sustenance of healthy operating performance driven by higher
crushing and healthy sugar recovery rate resulting in operating
margin of 10-11%
* Timely inflow of funds from issue of warrants providing cushion
to liquidity
Downward factors
* Lower-than-expected revenue and decline in operating margin to
6-7%
* Any large debt-funded capex or lower than expected fund inflow
impacting the financial profile and liquidity
Based in Hyderabad, GSL was incorporated in 1995 and is promoted by
Ms Indira Subbarami Reddy, Mr Sandeep Reddy and Ms Sarita Reddy.
The company manufactures white crystal sugar and rectified
spirit/extra neutral alcohol. It has sugarcane crushing capacity of
7,000 tonne per day, while the distillery and co-generation units
have 45 kilolitre per day and 25-megawatt capacities, respectively.
The company is listed on the Bombay Stock Exchange.
HIGH VALUE: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of High Value
Exim Private Limited (HVEPL, part of the RBD group) continue to be
'CRISIL D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Foreign Bill 22 CRISIL D (Issuer Not
Purchase Cooperating)
Foreign Bill 15 CRISIL D (Issuer Not
Purchase Cooperating)
Packing Credit 8 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with HVEPL for
obtaining information through letter and email dated 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 HVEPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on HVEPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
HVEPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
For arriving at the rating, CRISIL Ratings has combined the
business and financial risk profiles of High Value Exim Pvt Ltd,
Welldone Exim Pvt Ltd, Attire Designers Pvt Ltd, RBD International,
and Goodone Traders Pvt Ltd. This is because all these entities,
together referred to as the RBD group, have the same board of
directors and senior management team with common procurement,
marketing, and finance functions.
The RBD group started trading in 1993. All the entities in the
group were trading in readymade garments (more than 80 percent of
revenue), hosiery, handicrafts, fabrics, leather goods, and
miscellaneous products. They have common customers and suppliers,
and also the same banker, Punjab National Bank, and auditors.
K .S. IMPEX: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of K .S. Impex
Limited (KSIL; part of the Metalore group) continue to be 'CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Foreign Bill 32 CRISIL D (Issuer Not
Discounting Cooperating)
Proposed Long Term 6 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with KSIL for
obtaining information through letter and email 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 KSIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KSIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KSIL continues to be 'CRISIL D Issuer Not Cooperating'.
For arriving at the ratings, CRISIL Ratings has combined the
business and financial risk profiles of KSIL, Metalore Overseas
Private Limited (MOPL), and Shree Kripa Agro (SKA). This is because
the three entities, together referred to as the Metalore group, are
in the same line of business, have operational and financial
linkages, and are under the same promoter group and management.
The Metalore group, set up in 2001, exports steel utensils,
polyester yarn, cosmetics and standard toiletries, and agricultural
commodities, mainly to the UAE. The group also trades in these
commodities in the domestic market. Recently, it started processing
and selling edible oil (mustard and soya bean) in the domestic
market.
KALOKHE STONE: CRISIL Keeps C Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kalokhe Stone
Crusher (KSC) continue to be 'CRISIL C Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1.9 CRISIL C (Issuer Not
Cooperating)
Cash Credit 0.5 CRISIL C (Issuer Not
Cooperating)
Term Loan 4.78 CRISIL C (Issuer Not
Cooperating)
Term Loan 2.42 CRISIL C (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KSC for
obtaining information through letter and email 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 KSC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KSC
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KSC continues to be 'CRISIL C Issuer Not Cooperating'.
KSC, established in 2010, commenced operations in July 2012. It
undertakes stone-crushing sub-contracting activities for companies
that implement civil construction projects, mainly road and real
estate projects. The firm is owned by the Kalokhe family; its
operations are mainly handled by Mr. Sachin Kalokhe and Mr. Sandeep
Kalokhe.
KAMESHWAR INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kameshwar
Industries (KI) continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 8 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 3.78 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 1.22 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KI for
obtaining information through letter and email 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 KI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of KI
continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 2013, KI is a partnership firm located in Kadi (Gujarat).
Mr Parshottam Shantilal Patel manages operations on behalf of the
six other partners. The firm has a facility for cotton ginning and
pressing. It also sells cotton seeds. Operations commenced in
December 2013.
KESHAV HOLIDAY: CRISIL Assigns B+ Rating to INR40cr Term Loan
-------------------------------------------------------------
CRISIL Ratings has assigned its 'CRISIL B+/Stable' rating to the
long-term bank facilities of Keshav Holiday Resort Private Limited
(KHRPL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 30 CRISIL B+/Stable (Assigned)
Term Loan 40 CRISIL B+/Stable (Assigned)
Working Capital
Term Loan 18 CRISIL B+/Stable (Assigned)
The rating reflects the company's vulnerability to cyclicality in
the hospitality industry, geographic concentration in revenue, and
weak financial risk profile. These weaknesses are partially offset
by the significant industry experience of the key promoter and the
company's longstanding presence.
Key Rating Drivers & Detailed Description
Weaknesses:
* Vulnerability to cyclicality in hospitality industry: The hotel
industry is vulnerable to domestic and global economic changes.
Moreover, companies which have a high financial leverage are more
vulnerable to cyclicality due to their fixed financial commitments.
* Geographic concentration in revenue: KHRPL derives its revenue
from a single-location water park and resort, which results in
geographic concentration in revenue i.e., from Mehsana, Gujarat.
* Weak financial risk profile: The financial risk profile is
constrained by high gearing of 5.23 times and total outside
liabilities to adjusted networth ratio of 5.54 times as on March
31, 2022. Debt protection metrics have also been weak due to high
gearing and low accrual from operations. The interest coverage and
net cash accrual to total debt ratio were at 1.75 times and 0.04
time, respectively, for fiscal 2022, and are expected at similar
levels over the medium term because of large debt.
Strengths:
* Experience of the key promoter and longstanding presence: The
main promoter, Mr Shankar K Chaudhary, has experience of around
three decades in the hospitality industry. The company benefits
from its long-established presence through its Shankus water park,
which was the first water park in the country. KHRPL also benefits
from its revenue various sources through resort, waterpark,
restaurant and natural health center.
Liquidity: Stretched
Bank limit utilization was moderate at 42% on average for the 12
months through March 2023. Cash accrual is expected at INR14-16
crore against term debt obligation of INR12-14 crore over the
medium term and will cushion liquidity.
Current ratio was low at 0.55 time on March 31, 2022. The promoters
are likely to extend support in the form of equity and unsecured
loan to meet working capital requirement and debt obligation.
Outlook: Stable
CRISIL Ratings believes KHRPL will continue to benefit from its
established presence and the extensive experience of its key
promoter.
Rating Sensitivity Factors
Upward factors
* Sustained revenue growth of 20% and stable operating margin,
leading to higher cash accruals.
* Improvement in the working capital cycle.
Downward factors
* Decline in net cash accrual below INR12 crore on account of fall
in revenue or operating profit.
* Large, debt-funded capital expenditure weakening the capital
structure.
* Increase in working capital requirement weakening the liquidity
and financial risk profile.
Incorporated in 1992, KHRPL owns and operates a water park called
Shankus in Amipura, Mehsana (Gujarat). KHRPL also operates a 3-star
resort (The Retreat), natural health center (Shankus Natural Health
Centre) and a fun-and-food highway restaurant.
KHRPL is a part of the Shankus group and is promoted by Mr Shankar
K Chaudhary and his family members.
KHAIRWALA INT'L: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Khairwala
International Limited (KIL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 22.5 CRISIL D (Issuer Not
Cooperating)
Term Loan 16.5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KIL for
obtaining information through letter and email 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 KIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KIL continues to be 'CRISIL D Issuer Not Cooperating'.
KIL, is an Uttar Pradesh based company, established in 1993. The
company started operations in 2015 and was taken over by Mr. Pankaj
Jain, Mr.Mahavir Prasad Jain and Ms. Kailash Jain in October 2016.
The company is engaged in manufacturing and supplying of Indian
rice, both basmati and non- basmati rice to the local customer
base.
KMB GRANITE: CRISIL Keeps D Rating in Not Cooperating Category
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of KMB Granite
Quarriers (KMB) continues to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 20 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KMB for
obtaining information through letter and email 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 KMB, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KMB
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KMB continues to be 'CRISIL D Issuer Not Cooperating'.
KMB was established as a partnership firm by Mr. Mohammed Yaseen,
Mr. Mohammed Ismail, and Mr. Abdulla in 2012. The firm undertakes
quarrying of rough granite. It started commercial operations from
January 2014.
KMB TRADING: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of KMB Trading
Corporation Private Limited (KMB) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL D (Issuer Not
Cooperating)
Corporate Loan 2.5 CRISIL D (Issuer Not
Cooperating)
Funded Interest 4.15 CRISIL D (Issuer Not
Term Loan Cooperating)
Long Term Loan 12.72 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 1.13 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with KMB for
obtaining information through letter and email 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 KMB, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KMB
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KMB continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 1999 as a partnership between Mr. K Shoukath Ali and his
brother Mr. Yusuff Basha, KMB was reconstituted as a private
limited company in 2010. The company, headquartered in Salem (Tamil
Nadu), quarries and sells rough granite blocks.
KSR COTTON: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of KSR Cotton
Agencies (KSR) continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4.9 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 5.1 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with KSR for
obtaining information through letter and email 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 KSR, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KSR
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KSR continues to be 'CRISIL D Issuer Not Cooperating'.
Established in 2007, KSR is engaged in ginning and pressing of raw
cotton and sells cotton lint and cotton seeds. Based out of Guntur
(Andhra Pradesh, the firm is promoted by Mr. Kondaveeti Srinivasa
Rao.
MITHILA CARS: CARE Keeps D Debt Rating in Not Cooperating Category
------------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Mithila
Cars Private Limited (MCPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 30.00 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 31, 2022,
placed the rating(s) of MCPL under the 'issuer non-cooperating'
category as MCPL 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. MCPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 16, 2023, April 26, 2023, May 6, 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 2009, Mithila Cars Private Limited (MCPL) is an
authorized dealer for Hyundai Motors India Ltd (HMIL), for sale of
cars and Mobis India Ltd (MBIL) a wholly owned subsidiary of
Hyundai Mobis Co. Ltd) for sale of spare parts (accounts for 2.63%
of total revenue in FY16)]; and the rest of revenue comes from sale
of accessories and servicing of vehicles along with miscellaneous
income in the form of cancellation charges received from customers
as well from other avenues. MCPL has two showrooms located in Mira
road (owned premises) and Virar (leased premises) and a workshop
located in Mira road (owned premises).
MOUNT SHIVALIK: CRISIL Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Mount
Shivalik Industries Limited (MSIL) continue to be 'CRISIL D/CRISIL
D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 0.5 CRISIL D (Issuer Not
Cooperating)
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 3 CRISIL D (Issuer Not
Cooperating)
Term Loan 2.75 CRISIL D (Issuer Not
Cooperating)
Term Loan 3.47 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MSIL for
obtaining information through letter and email dated 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 MSIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MSIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
MSIL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Established by Mr. B D Bali in 1995, MSIL manufactures and markets
beer. Its facility, located at Behror (Rajasthan), has an installed
capacity to produce 400,000 hectolitres of beer per annum. Most of
its beer sales are made under the Thunderbolt brand.
NEW-TECH STEEL: CRISIL Keeps D Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of New-Tech
Steel and Alloys Private Limited (New Tech) continue to be 'CRISIL
D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Inland/Import 5 CRISIL D (Issuer Not
Letter of Credit Cooperating)
Proposed Long Term 0.08 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 10.42 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with New Tech for
obtaining information through letter and email 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 New Tech, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on New
Tech is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of New Tech continues to be 'CRISIL D/CRISIL D Issuer
Not Cooperating'.
New Tech, incorporated on June 6, 2003, in Assam, is promoted by
Mr. Suresh Sharma. The company manufactures thermomechanically
treated bars, mild steel (MS) rolls, and MS ingots.
PROCESS CONSTRUCTION: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Process
Construction and Technical Services Private Limited (PCTSPL)
continues to remain in the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.80 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 66.70 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Short Term Bank 17.50 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 26, 2022,
placed the rating(s) of PCTSPL under the 'issuer non-cooperating'
category as PCTSPL 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.
PCTSPL continues to be non-cooperative despite repeated requests
for submission of information through e-mails, phone calls and a
letter/email dated April 11, 2023, April 21, 2023, May 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).
Incorporated in the year 2006, Process Construction and Technical
Services Private Limited (PCTSPL) is a closely held company
promoted by Mr. K. P. Francis and his family. It offers engineering
and technical services to off-shore/on-shore clients in the field
of Oil & Gas Sector.
PURULIA METAL: CRISIL Lowers Long/Term Loan Rating to D
-------------------------------------------------------
CRISIL Ratings has downgraded the ratingw on the bank facilities of
Purulia Metal Casting Private Limited (PMCPL) to 'CRISIL D/CRISIL D
Issuer Not Cooperating' from 'CRISIL BB+/Stable/CRISIL A4+ Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Rating - CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL BB+/Stable ISSUER
NOT COOPERATING')
Short Term Rating - CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL A4+ ISSUER NOT
COOPERATING')
CRISIL Ratings has been consistently following up with PMCPL for
obtaining information through letters and emails dated December 28,
2022 and January 2, 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 has failed to receive any information on either the
financial performance or strategic intent of PMCPL, which restricts
CRISIL Ratings's ability to take a forward looking view on the
entity's credit quality. CRISIL Ratings believes information
available on PMCPL is consistent with 'Assessing Information
Adequacy Risk'.
Based on the last available information, CRISIL Ratings has
downgraded the ratingw on the bank facilities of PMCPL to 'CRISIL
D/CRISIL D Issuer Not Cooperating' from 'CRISIL BB+/Stable/CRISIL
A4+ Issuer Not Cooperating' as there have been delays in repayments
of interest and debt obligations.
PMCPL is engaged in manufacturing of TMT bar, billet and pig iron.
R. KANTILAL: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of R. Kantilal
and Company (RKC) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Post Shipment 16.80 CRISIL D (Issuer Not
Credit Cooperating)
Post Shipment 34.24 CRISIL D (Issuer Not
Credit Cooperating)
Post Shipment 54.25 CRISIL D (Issuer Not
Credit Cooperating)
Post Shipment 6.65 CRISIL D (Issuer Not
Credit Cooperating)
Pre Shipment 14.76 CRISIL D (Issuer Not
Facility Cooperating)
Pre Shipment 15.19 CRISIL D (Issuer Not
Facility Cooperating)
Pre Shipment 7.2 CRISIL D (Issuer Not
Facility Cooperating)
Pre Shipment 2.85 CRISIL D (Issuer Not
Facility Cooperating)
Pre Shipment 8.06 CRISIL D (Issuer Not
Facility Cooperating)
Proposed Long Term 20.00 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with RKC for
obtaining information through letter and email 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 RKC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RKC
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
RKC continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
RKC, a partnership firm set up in 1965, manufactures cut and
polished diamonds at its manufacturing facilities in Mumbai and
Surat (Gujarat). Mr Pratik Kothari, Mr Parag Kothari, and Mr Ankit
Kothari are partners in the firm.
RAJLUXMI ENTERPRISES: CARE Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Rajluxmi
Enterprises Private Limited (REPL) 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
Short Term Bank 3.00 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 30, 2022,
placed the rating(s) of REPL under the 'issuer non-cooperating'
category as REPL 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. REPL continues to be
noncooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 15, 2023, April 25, 2023, May 5, 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).
Madhya Pradesh based Rajluxmi Enterprises Private Limited (REPL)
was initially incorporated in 2007 as Rajlaxmi Enterprises Private
Limited by Mr Hariiom Choudhary along with other family members. It
is engaged in the business of civil construction with major focus
on construction of roads and buildings for government department
and also executes works for private clients. It is registered as an
'A' class approved contractor with Public Works Department, Madhya
Pradesh (PWD) and Madhya Pradesh Rural Road Development Authority
(MPRRDA).
RELIANCE INNOVENTURES: Admitted for Insolvency Proceedings
----------------------------------------------------------
The Economic Times reports that Reliance Innoventures has been
admitted for insolvency proceedings by National Company Law
Tribunal (NCLT) after New York-based financier JC Flowers Asset
Reconstruction Company approached the court claiming the company
had defaulted on its debts, according to details in a court order
the contents of which were reviewed by ET.
According to ET, JC Flowers, which took over Yes Bank's bad loan
portfolio worth INR48,000 crore in December, claimed that Reliance
Innoventures had defaulted on its debts. JC Flowers claimed that
Reliance Innoventures defaulted on interest payments worth INR100
crore.
Reliance Innoventures Private Limited operates as a research firm.
RKB GLOBAL: CRISIL Lowers Long/Short Term Loan Ratings to D
-----------------------------------------------------------
CRISIL Ratings has downgraded its ratings on the bank facilities of
RKB Global Limited (RKBGL) to 'CRISIL D/CRISIL D' from 'CRISIL
B+/Stable/CRISIL A4'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Rating - CRISIL D (Downgraded from
'CRISIL B+/Stable')
Short Term Rating - CRISIL D (Downgraded from
'CRISIL A4')
On 9th June 2023, CRISIL Ratings had received feedback from the
company's banker informing about devolvement in the letter of
credit facility are outstanding for more than 30 days. The amount
remains unpaid as on date.
The ratings reflect the delay in servicing of debt obligations due
to poor liquidity, weak financial risk profile, volatility in
operating margin and large capex plans. These weaknesses are
partially offset by extensive experience of the promoters in the
trading business and diversified product and customer profiles.
Analytical Approach
Unsecured loans have been treated as debt
Key Rating Drivers & Detailed Description
Weaknesses:
* Delays in servicing debt obligations: RKBGL's weak liquidity is
highlighted by LC devolvement which is outstanding for more than 30
days.
* Weak financial risk profile: Gearing was 2.48 times and total
outside liabilities to adjusted net worth ratio was 4.74 times as
on March 31, 2022. Debt protection metrics were subdued, with
interest coverage and net cash accrual to total debt ratios of 1.55
times and 0.05 times, respectively, for fiscal 2022. The financial
risk profile may remain constrained on account of planned debt
funded capital expenditure.
* Volatility in operating margin: Operating margin has been
volatile in range of 1.6-4.3% over the past three fiscals on
account of volatility in steel prices and intense competition in
the industry.
* Large capex plans: The company is planning a capex of INR40
crores in next 2-3 years for expanding of manufacturing facility.
Out of this 75% will be funded through bank debt. Hence, this may
further impact capital structure and steady increase in revenue and
operating margin will remain key monitorable.
Strengths:
* Extensive experience of the promoters: The promoters have more
than three decades of experience in the steel industry; their
strong understanding of market dynamics and healthy relations with
customers and suppliers should continue to support the business.
The revenues have increased to INR409.23 crores in fiscal 2022 from
INR339.07 crores in fiscal 2018.
* Well-diversified product and customer profiles: The company has
ventured into manufacturing of roofing sheets, bright bar,
profiling, and drum corrugation Diverse product base mitigates
risks associated with dependence on a single product. RKBGL has a
strong customer base, comprising more than 200 clients across
India.
Liquidity: Poor
Liquidity is poor as reflected in devolvement of LC, outstanding
for more than 30 days. Bank limit utilization was high, at around
92.92% for the 12 months through July'2022. Cash accrual is
projected at INR7-8 crore per annum, against term debt obligation
of INR1.1 crore and INR3.8 crores in fiscal 2023 and 2024,
respectively. Current ratio was moderate at 1.03 times on March 31,
2022. Cash and bank balance were around INR26.5 crore as on March
31, 2022.
Rating Sensitivity factors
Upward factors
* Track record of timely repayment of all debt obligations for a
period of 90 days
* Improvement in financial risk profile with TOLANW below 4 times
* Sustained revenue growth and operating margins, leading to higher
cash accruals
Established as a partnership, Rajankumar & Bros (Impex), in 1978,
the entity got reconstituted into a private-limited company in
December 2013. RKBGL trades in steel plates, and hot-rolled and
cold-rolled coils; it also manufactures drum corrugation,
profiling, bright rod, and wire rod. Mr. Virat Shah and his son,
Mr. Alok V Shah, manage the operations.
SHOPPERS INT'L: CRISIL Lowers Rating on INR27cr Term Loan to D
--------------------------------------------------------------
CRISIL Ratings has revised the ratings on certain bank facilities
of Shoppers International Malls Private Limited (SIMPL), as:
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Term Loan 27 CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL B-/Stable')
CRISIL Ratings has been consistently following up with SIMPL for
obtaining information through letters and emails dated May 12,
2023, and May 17, 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 SIMPL, which restricts CRISIL
Ratings ability to take a forward-looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SIMPL
is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the ratings on bank
facilities of SIMPL have been downgraded to 'CRISIL D Issuer Not
Cooperating' from 'CRISIL B-/Stable' owning to delay in servicing
the term loan debt obligation in the month of April and May as
confirmed by the lenders. Company has not disclosed regarding these
delays in the NDS provided in May 2023.
SIMPL was set up in 2011, at Thrissur. The company has setup a
commercial-cum-residential complex in a prime location, and intends
to lease the commercial space, and sell the residential units.
SUNONIX INDIA: CRISIL Moves B Debt Ratings from Not Cooperating
---------------------------------------------------------------
Due to inadequate information, CRISIL, in line with SEBI
guidelines, had migrated the rating of Sunonix India Private
Limited (SIPL) to 'CRISIL B/Stable/CRISIL A4 Issuer Not
Cooperating'. However, the management has subsequently started
sharing requisite information, necessary for carrying out
comprehensive review of the rating. Consequently, CRISIL is
migrating the rating on bank facilities of SIPL from 'CRISIL
B/Stable/CRISIL A4 Issuer Not Cooperating' to 'CRISIL
B/Stable/CRISIL A4'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 1 CRISIL A4 (Migrated from
'CRISIL A4 ISSUER NOT
COOPERATING')
Overdraft Facility 3 CRISIL B/Stable (Migrated
from 'CRISIL B/Stable ISSUER
NOT COOPERATING')
Rupee Term Loan 4.25 CRISIL B/Stable (Migrated
from 'CRISIL B/Stable ISSUER
NOT COOPERATING')
Standby Line 0.75 CRISIL B/Stable (Migrated
of Credit from 'CRISIL B/Stable ISSUER
NOT COOPERATING')
The ratings reflect the modest scale of SIPL's operations and large
working capital requirement. This weakness is partially offset by
the experience of the promoter in energy solutions and water
treatment business.
Key Rating Drivers & Detailed Description
Weaknesses:
* Modest scale of operations: The small scale, marked by revenue at
INR7.64 crore estimated in fiscal 2023, may continue to constrain
pricing power and profitability. However, the scale of operation is
showing a continuous improvement and is expected to improve on a
moderate level in the medium term with the repeated orders from the
clients.
* Large working capital requirement: The working capital cycle is
likely is stretched, Gross current assets were over 465 days as on
March 31, 2023 on account of its high debtors and inventory at 222
days and 165 days, respectively. The overall working capital cycle
is expected to remain at similar levels over the medium term
considering the high credit terms with existing clients. The
effective collection of debtors is a key monitorable.
Strength:
* Experience of the promoter: The promoter, Mr Madanmohan Reddy,
has over a decade of experience in the industry. His expertise,
strong understanding of local market dynamics, and long-standing
relationships with customers and suppliers should continue to
support the business.
Liquidity: Stretched
Bank limit utilisation is high at around 90.47 percent for the past
twelve months ended April 23. Cash accrual are expected to be over
INR0.24 to 0.42 crore which remains low as against term debt
obligation of INR0.36 crore over the medium term. The promoters are
bringing in fund in the form of USL and is expected to continue
incase of any requirement. Current ratio is moderate at 1.85 times
on March 31, 2023.
Outlook: Stable
SIPL should continue to benefit from the extensive experience of
the promoter.
Rating Sensitivity factors
Upward factors:
* Increase in revenue and operating margin, leading to higher
NCA/RO of more than 1.2
* Improvement in working capital cycle mainly with improved debtors
collection
* Improvement in financial risk profile
Downward factors:
* Decline in operating margin below 10%, leading to lower cash
accrual
* Stretch in working capital cycle resulting in stretched
liquidity
SIPL (Erstwhile S.V. Marketing India Private Limited) incorporated
in 1998, provides total energy solutions & water treatment
solutions for domestic and industrial needs.
SUPREME POLYTUBES: CARE Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Supreme
Polytubes Limited (SPL) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 15.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short Term Bank 10.00 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 June 3, 2022,
placed the rating(s) of SPL under the 'issuer non-cooperating'
category as SPL 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. SPL continues to be
non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 19, 2023, April 29, 2023, May 9, 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 entity was initially incorporated as a private limited company
in 2002. However, the constitution was changed to a closely held
public limited company, in 2009. The company is currently being
managed by Mr. Sanjeev Kumar, Mr. Rajeev Kumar, Mrs. Shelly Goyal
and Mr. Sham Lal. The company is engaged in trading of PVC resin
and manufacturing of PVC pipes and tubes at its manufacturing
facility located in Dhuri, Punjab.
TULIP TELECOM: ICRA Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
ICRA has retained the Long-Term ratings of Tulip Telecom Limited in
the 'Issuer Not Cooperating' category. The rating is denoted as
'[ICRA]D; ISSUER NOT COOPERATING'.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Non-Convertible 150.00 [ICRA]D; ISSUER NOT
Debenture COOPERATING; Rating Continues
to remain under issuer not
cooperating category
ICRA has been trying to seek information from the entity so as to
monitor its performance. Further, ICRA has been sending repeated
reminders to the entity for payment of surveillance fee that became
due. Despite repeated requests by ICRA, the entity's management has
remained non-cooperative. The current rating action has been taken
by ICRA basis best available/dated/ limited information on the
issuers' performance. Accordingly, the lenders, investors and other
market participants are advised to exercise appropriate caution
while using this rating as the rating may not adequately reflect
the credit risk profile of the entity. The rating action has been
taken in accordance with ICRA's policy in respect of
non-cooperation by a rated entity available at www.icra.in.
Incorporated in 1992, by Retired Lt. Col. H.S. Bedi, as a private
limited company involved in trading of software, Tulip Telecom
Limited (Tulip), formerly Tulip IT Services Limited has since
diversified its operations to other related areas such as selling
of hardware products, network integration, VPN data connectivity
and managed services. The company became a public limited.
WELWORTH ENTERPRISES: CRISIL Reaffirms B+ Rating on INR12cr Loan
----------------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable/CRISIL A4'
ratings on the bank facilities of Welworth Enterprises (WE).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 12 CRISIL B+/Stable (Reaffirmed)
Letter of Credit 6 CRISIL A4 (Reaffirmed)
Proposed Working
Capital Facility 2 CRISIL A4 (Reaffirmed)
The ratings continue to reflect the firm's modest scale of
operations amid intense competition, large working capital
requirement and subdued debt protection metrics. These weaknesses
are partially offset by the extensive experience of the promoters
in the construction industry, their funding support and a moderate
capital structure.
Key rating drivers and detailed description
Weaknesses
* Modest scale of operations amid intense competition: WE posted
estimated revenue of INR110 crore in fiscal 2023, up from INR91
crore in fiscal 2022, driven by increased demand for construction
materials (cement, autoclaved aerated concrete [AAC] block and
mortar). The commoditised and fragmented nature of the industry
constrains scalability as well as profitability. Operating margin
fell to an estimated 2.4% in fiscal 2023 and same has dipped in
last three years. Improvement in revenue and profitability remains
a key monitorable.
* Large working capital requirement: Operations were working
capital intensive, as indicated by estimated gross current assets
(GCAs) of 138 days as on March 31, 2023, driven by receivables of
~90 days. GCAs are expected in the range of 100-150 days driven by
receivables of over 90 days.
* Subdued debt protection metrics: Because of moderate debt and low
operating profitability, the debt protection metrics were average.
Interest coverage and net cash accrual to total debt ratios were
1.49 times and 0.02 time, respectively, in fiscal 2022 and are
estimated at similar levels in fiscal 2023.
Strengths
* Extensive experience of the promoters and their funding support:
The promoters' experience of over two decades in the construction
industry, strong understanding of local market dynamics, healthy
relationships with customers and suppliers and funding support will
continue to support the business. The promoters have infused INR3.4
crore capital in fiscal 2023.
* Moderate capital structure: Total outside liabilities to adjusted
networth (TOLANW) ratio is estimated at 1.51 times as on March 31,
2023.
Liquidity: Stretched
Liquidity was stretched mainly because of small cash accrual. Net
cash accrual of INR0.7-1.5 crore per annum will just about cover
yearly debt obligation of INR0.9-0.1 crore over the medium term in
the absence of any major debt-funded capital expenditure. Bank
limit was utilised 73% on average over the 12 months through
January 2023.
Current ratio is estimated at 1.58 times as on March 31, 2023.
Outlook: Stable
CRISIL Ratings believes WE will continue to benefit from the
extensive experience of its promoters.
Rating sensitivity factors
Upward factors:
* Substantial increase in revenue and profitability leading to cash
accrual above INR2 crore
* Improvement in the debt protection metrics
Downward factors:
* Decline in revenue or operating margin leading to lower cash
accrual and sizeable capital withdrawal
* Weakening of the financial risk profile, with TOLANW ratio above
3 times
WE is part of the Pune based VTP group. Incorporated in 2018, the
firm trades in construction materials, such as steel, cement and
AAC blocks.
WESTIN RESINS: CARE Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Westin
Resins & Polymers Private Limited (WRPPL) continues to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 18.96 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Short 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 24, 2022,
placed the rating(s) of WRPPL under the 'issuer non-cooperating'
category as WRPPL 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. WRPPL continues to
be non-cooperative despite repeated requests for submission of
information through e-mails, phone calls and a letter/email dated
April 9, 2023, April 19, 2023, April 29, 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 by the Sawant family, Westin Resins and
Polymers Private Limited (WRPPL) is engaged into manufacturing of
saturated and unsaturated polyester resins from its manufacturing
facility located in the Thane, Maharashtra.
===============
M A L A Y S I A
===============
PHARMANIAGA BHD: Analysts Divided on Proposed Private Placement
---------------------------------------------------------------
The Malaysian Reserve reports that Pharmaniaga Bhd, a Practice Note
17 (PN17) company and sole concessionaire to the Ministry of
Health, has last week unveiled plans for a private placement that
is expected to have a dilutive effect on its earnings per share
(EPS).
Analysts from both Kenanga Research and Hong Leong Investment Bank
(HLIB) Research have shared their insights on the potential
implications of this strategic move, offering divergent views on
its impact on Pharmaniaga's financial outlook.
According to The Malaysian Reserve, Kenanga Research in its note
stated the importance of the private placement for Pharmaniaga's
working capital needs.
"The proceeds raised from the private placement will help fund
Pharmaniaga's working capital while it formulates a plan to
regularise its financial condition," Raymond Choo Ping Khoon, an
analyst at Kenanga Research, explains.
It should be noted that Pharamaniaga has since clarified that it
plans to utilise the proceeds to settle outstanding payments owed
to suppliers and trade creditors.
However, he maintains a cautious stance, noting that the exercise
will dilute Pharmaniaga's EPS by approximately 6%.
Despite the dilution, Kenanga Research maintains its 'Underperform'
rating on the stock, expressing concerns over the company's
negative shareholders' equity.
"Pharmaniaga's negative equity position and ongoing PN17 status
remain key challenges for the company's future performance," Choo
added.
Kenanga Research's target price remains at 33 sen.
In contrast, HLIB Research presents a more optimistic perspective
on Pharmaniaga's private placement, The Malaysian Reserve notes.
The Malaysian Reserve relates that the research house acknowledged
the dilutive impact of the exercise on EPS, estimating it to be
around 11% when considering both the private placement and the
Employee Share Option Scheme (ESOS).
"While the private placement will dilute the EPS, we believe it is
a prudent move for Pharmaniaga to raise funds for working capital
needs," the report quotes Sophie Chua Siu Li, an analyst at HLIB
Research, as saying.
She further highlighted the potential benefits of reducing reliance
on borrowing, saying, "The private placement allows Pharmaniaga to
improve its future cash flow and meet operational requirements."
Despite the positive view, HLIB Research maintains its 'Sell'
rating on the stock, considering the negative equity position that
will persist even after the private placement.
HLIB Research target price remains unchanged at 30 sen, the report
notes.
As the sole concessionaire to the Ministry of Health, Pharmaniaga
plays a critical role in the Malaysian healthcare sector.
The Malaysian Reserve says the company's recent entry into the PN17
status and its efforts to rectify its financial condition have
garnered attention from analysts and investors alike.
The private placement is seen as a significant step toward
addressing Pharmaniaga's financial challenges, the report notes.
About Pharmaniaga
Pharmaniaga Berhad is an investment holding company. The Company is
principally engaged in the research and development, manufacturing
of generic drugs and medical devices, logistics and distribution,
sales, and marketing, as well as community pharmacy.
It was reported on February 28 that Pharmaniaga had been classified
as an affected listed issuer under PN17 of the Main Market Listing
Requirements of Bursa Malaysia. The pharmaceutical company said it
had triggered the PN17 criteria pursuant to its audited
consolidated financial statements for the period ended Dec. 31,
2022.
=====================
N E W Z E A L A N D
=====================
B.T. TRADES: Creditors' Proofs of Debt Due on July 13
-----------------------------------------------------
Creditors of B.T. Trades Limited are required to file their proofs
of debt by July 13, 2023, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on June 13, 2023.
The company's liquidator is:
Brenton Hunt
PO Box 13400
City East
Christchurch 8141
COOPERS CONCRETE: Court to Hear Wind-Up Petition on July 3
----------------------------------------------------------
A petition to wind up the operations of Coopers Concrete Limited
will be heard before the High Court at Tauranga on July 3, 2023, at
10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on April 26, 2023.
The Petitioner's solicitor is:
T. Saunders
Inland Revenue, Legal Services,
21 Home Straight
PO Box 432
Hamilton
GOAT ISLAND: Iain Andrew Nellies Appointed as Liquidator
--------------------------------------------------------
Iain Andrew Nellies of Insolvency Management Limited on June 1,
2022, was appointed as liquidator of Goat Island Dairy Limited.
The liquidator may be reached at:
Insolvency Management Limited
PO Box 1058
Dunedin 9054
NEWMARKET LAW: Creditors' Proofs of Debt Due on July 20
-------------------------------------------------------
Creditors of Newmarket Law Centre Limited are required to file
their proofs of debt by July 20, 2023, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on June 12, 2023.
The company's liquidators are:
Benjamin Francis
Simon Dalton
Gerry Rea Partners
PO Box 3015
Auckland
PACHOUD YACHTS: Court to Hear Wind-Up Petition on July 3
--------------------------------------------------------
A petition to wind up the operations of Pachoud Yachts NZ Limited
will be heard before the High Court at Tauranga on July 3, 2023, at
10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on April 27, 2023.
The Petitioner's solicitor is:
T. Saunders
Inland Revenue, Legal Services,
21 Home Straight
PO Box 432
Hamilton
RUAPEHU ALPINE: Goes Into Liquidation After Watershed Meeting
-------------------------------------------------------------
Brianna Mcilraith at Stuff.co.nz reports that Ruapehu Alpine Lifts
(RAL) has been given back to its directors and is to be liquidated
after creditors voted down a proposal to save the business
operations of the North Island's two main skifields, Whakapapa and
Turoa.
According to Stuff, RAL's creditors met for more than four hours on
June 20 in Ohakune, Auckland and Wellington to determine the fate
of the company, which went into voluntary liquidation in October
after a lack of snow and visitors over three years.
Creditors, which include the government, ANZ Bank, and skifield
life pass holders, had to choose between three options for the
future of the skifield.
For a resolution to pass it needed 50% of votes by number and 75%
by value of creditors, a source at the Auckland meeting said, Stuff
relays. This meant overcoming the split between the large number of
small-value creditors, versus the handful who own most of the
beleaguered company's debt.
Resolution A, which was executing a a deed of company arrangement
proposedby the Ruapehu Skifield Stakeholders Association to retain
the RAL company structure and renegotiate the company's debts, had
71% in favour in numbers but only had 8.6% in value, according to
Stuff. It would have relied on life-pass holders purchasing new
life passes to retain their right to ski, and crowdfunding to
generate new capital.
Resolution B, which was the recommended option by administrators
John Fisk and Richard Nacey of PWC, also failed after achieving 93%
in value but only 44% in numbers.
Stuff says the terms of this option were developed by the Crown and
involved executing a "pre-packaged liquidation" of RAL.That would
be immediately followed by the sale of the Whakapapa and Tūroa
skifields to two new entities, Whakapapa Holdings and Pure Tūroa
(PTL), for $1 each.
The Government would take a 25% share in each company, and provide
each with a loan, amount unknown.
The third option, which was to end the administration and return
control of the company to the directors, was automatically adopted
following the failure of the other two options, Stuff notes.
Stuff says the meeting was told directors had already applied to
wind up RAL and a court hearing was scheduled for June 21.
Stuff adds that Sam Clarkson, who owns Skotel Alpine Resort in
Whakapapa Village and a shareholder in the lift company, said the
Prime Minister could still intervene and stop the liquidation from
happening.
He proposed MBIE and Department of Conservation - which are
significant creditors of the company - forgive the debt RAL owed.
A life-pass holder at the meeting said no one from MBIE was
present, Stuff says. A lawyer advising MBIE delivered a prepared
speech but didn't answer questions. No one from DOC was prepared to
speak.
Stuff adds that Jason Platt, the chairman of the Ruapehu Skifields
Stakeholders Association, told the meeting that community ownership
via option A was its objective; but a "privatisation" option had
been predetermined and was what the RAL board wanted three years
ago.
About Ruapehu Alpine
Ruapehu Alpine Lifts Limited operates the Whakapapa and Turoa
skifields in the central North Island.
John Fisk and Richard Nacey, of PwC, were appointed voluntary
administrators of Ruapehu Alpine Lifts Limited (RAL) on Oct. 11,
2022 following a resolution of the Directors of the Company.
Mr. Fisk said: "The Company has had a very difficult last three
years, with the impact of Covid-19 restrictions, paired with poor
weather, meaning that the business has been placed under
significant cash flow pressure. The Directors of RAL have explored
a number of options, including a capital raise and a request for
Crown funding, but have not been able to secure the required level
of capital. As such, the Directors made the decision to appoint
Voluntary Administrators. The Administrators will now continue to
trade the business while we look to determine the most appropriate
way forward to maximize recoveries for creditors."
=====================
P H I L I P P I N E S
=====================
BINANGONAN RURAL: Creditors' Claims Deadline Set for July 14
------------------------------------------------------------
Creditors of the closed Binangonan Rural Bank, Inc. have until July
14, 2023 to file their claims against the bank's assets.
Claims filed after said date shall be disallowed. Creditors refer
to any individual or entity with a valid claim against the assets
of the closed Binangonan Rural Bank, Inc. and include depositors
with uninsured deposits that exceed the maximum deposit insurance
coverage (MDIC) of PHP500,000.
The Philippine Deposit Insurance Corporation (PDIC) said that
creditors may file their claims through any of the following:
1. E-mail at binangonan-pad@pdic.gov.ph;
2. Mail addressed to the PDIC Public Assistance Department, Ground
Floor, PDIC Chino Bldg., 2228 Chino Roces Avenue, Makati City 1231.
Claims filed by mail must have a postmark date no later than July
14, 2023; or
3. Personal filing at the PDIC Public Assistance Center (PAC)
located at the 3rd Floor, SSS Bldg., 6782 Ayala Avenue corner V.A.
Rufino St., Makati City, from Monday to Friday, at 8:00 AM to 5:00
PM. For visits to the PAC, clients are highly encouraged to request
for an appointment, observe health protocols, and present their
vaccination cards.
Appointments may be requested through the Public Assistance Hotline
at (02) 8841-4141 or at Toll Free number 1-800-1-888-7342 or
1-800-1-888-PDIC, by sending an e-mail request to
binangonan-pad@pdic.gov.ph, or by sending a request through private
message at PDIC's official Facebook page at
www.facebook.com/OfficialPDIC.
The prescribed Claim Form against the assets of the closed bank may
be downloaded from the PDIC website at
http://www.pdic.gov.ph/files/Claim_Form_Against_Assets_of_Closed_Banks.pdf.
PDIC reminds creditors to transact only with authorized PDIC
personnel.
Claims filed after July 14, 2023 shall be disallowed. PDIC, as
Receiver, shall notify creditors of the denial or disallowance of
claims through mail. Claims denied or disallowed by the PDIC may be
filed with the liquidation court within 60 days from receipt of
final notice of denial or disallowance of claim or within 20 days
from date of publication of the Order setting the Petition for
Assistance in the Liquidation Proceeding for initial hearing,
whichever is later.
In addition, PDIC said that depositors with account balances of
more than the MDIC of PHP500,000 who have already filed claims for
the insured portion of their deposits as of July 14, 2023 are
deemed to have filed their claims for the uninsured portion or the
amount in excess of the MDIC.
PDIC, as Receiver of closed banks, requires personal data from
creditors to be able to process their claims and protects these
data in compliance with the Data Privacy Act of 2012.
Binangonan Rural Bank, Inc. was ordered closed by virtue of
Monetary Board Resolution No. 536.B dated April 27, 2023. It is a
single-unit rural bank located at 135 Baltazar St., Brgy. Layunan
(Pob.), Binangonan, Rizal.
All requests and inquiries relating to Binangonan Rural Bank, Inc.
shall be addressed to the PDIC Public Assistance Department through
e-mail at binangonan-pad@pdic.gov.ph, or through telephone number
(02) 8841-4141. Creditors outside Metro Manila may call the PDIC
Toll Free Hotline during office hours at 1-800-1-888-PDIC (7342).
Inquiries may also be sent as private message to the PDIC's
official Facebook page at www.facebook.com/OfficialPDIC.
LOYOLA PLANS: IC Places Loyola Plans Under Receivership
-------------------------------------------------------
BusinessMirror reports that the Insurance Commission (IC) has
placed the Loyola Plans Consolidated Inc. (LPCI) under receivership
after the pre-need company has been deemed insolvent.
In a notice to the public, the IC announced that LPCI was placed
under receivership pursuant to Section 50 of the Pre-Need Code.
The IC added that Atty. Dionne Marie M. Sanchez was assigned as the
receiver effective last March 30, according to the notice posted on
the regulator's website last May 15, BusinessMirror relates.
"Moreover, the Stay Order dated March 1, 2023 issued against LPCI
is still effective in order to consolidate and protect the assets
of LPCI for the benefit of the planholders and creditors while
undergoing receivership proceedings," read the notice signed by
Insurance Commissioner Reynaldo A. Regalado.
Last March, the IC issued the notice of stay order regarding the
conservatorship of the LPCI, BusinessMirror recalls.
"Based on the evaluation of the company's liquidity and solvency by
the Conservator, LPCI is, at this moment, not financially capable
to continue paying benefits," the IC said. Atty. Sanchez was also
the appointed conservator of LPCI.
In 2019, the LPCI was placed by the IC under conservatorship as the
company was unable to comply with the minimum unimpaired paid-up
capital and trust fund requirements.
During that time, the IC determined that the LPCI's trust fund was
only at PHP932 million as against its total preneed reserves
(liability) of PHP1.48 billion, BusinessMirror discloses.
Earlier last month, the IC put up for sale the various assets of
LPCI that include land lots, hotel units, buildings, town house,
condominium units and club shares among others, worth at least
PHP1.557 billion.
In August 2022, the IC published a notice of sale for land owned by
LPCI with an estimated area of 203,083 square meters. The property
had a minimum offer price of PHP1.177 billion, according to the
IC's notice of sale.
Loyola Plans was a pre-need firm offering education, life and
pension plans. It was founded by the late Senator Gil J. Puyat, Sr.
and later on managed by her daughter Jesusa Puyat-Concepcion.
=================
S I N G A P O R E
=================
BLUE PEARL: Court to Hear Wind-Up Petition on July 7
----------------------------------------------------
A petition to wind up the operations of Blue Pearl Discovery Pte
Ltd will be heard before the High Court of Singapore on July 7,
2023, at 10:00 a.m.
DBS Bank Ltd filed the petition against the company on June 13,
2023.
The Petitioner's solicitors are:
Shook Lin & Bok LLP
1 Robinson Road
#18-00, AIA Tower
Singapore 048542
CAPADO ENGINEERING: Creditors' Meeting Set for June 27
------------------------------------------------------
Capado Engineering Pte Ltd will hold a meeting for its creditors on
June 27, 2023, at 11:00 a.m., at 3 Shenton Way, #03-06C Shenton
House, in Singapore.
Agenda of the meeting includes:
a. to provide an update on the progress of the liquidation; and
b. to consider and if thought fit, to appoint a Committee of
Inspection.
The Liquidator can be reached at:
M/s Mann & Associates PAC
3 Shenton Way
#03-06C Shenton House
Singapore 068805
KIDZANIA SINGAPORE: Failed Asset in Receivership, Sim Group Says
----------------------------------------------------------------
New Straits Times reports that Sim Leisure Group has clarified that
KidZania Singapore was a failed asset in receivership under a
Singapore liquidator.
According to the report, Sim Group said it dealt with the
liquidator directly and Khazanah Nasional Bhd was never involved in
negotiations for the acquisition.
The group took up a bid from the liquidator for KidZania Singapore
towards the end of 2020.
This was at the height of the Covid-19 pandemic, it said.
In submitting its original bid, Sim Leisure said it had taken
significant risks associated with the bid due to several unknown
reasons, NST relates.
"Sim Leisure Group took part in the bid with the appointed
liquidator of KidZania Singapore without even being able to
physically check the non-movable asset because it was in a lockdown
and we were not able to travel (the border only reopened on April
1, 2022)," it said in a late statement on June 19.
The condition of the KidZania Singapore asset and the cost of
renovating was unknown at the time, it added.
NST relates that the group said it still needed to secure the lease
from the building owner, Singapore Development Corporation. Without
the lease, the asset would be redundant.
"As the asset is a non-movable asset it cannot be moved to another
building and therefore has only one use. Sim Leisure Group still
needed to secure the licence agreement from the licensor KidZania
Mexico.
There was still great uncertainty at the time of how long Covid-19
would last. As a result, the investment made into the asset may
have never been realised.
"Khazanah was never involved in the process. As the asset was in
the hands of the Singapore liquidator, all of Sim Leisure Group's
dealings were through the liquidator," it said.
According to NST, group founder and executive chairman Datuk Sim
Choo Kheng said the general public do not understand that a failed
theme park can end up as scrap metal most of the time, such as MAPs
in Ipoh.
"Unlike other failed assets such as hotels, resorts etc. which can
be repurposed into residential apartments or other commercial use,
failed theme park projects have very limited use," Sim added that
there are many challenges facing the theme park industry in
emerging markets, NST relays.
"Theme parks are a high risk, because it is a highly specialised
business, which explains why so many projects fail.
"Most investors in this region do not have the experience and
expertise in this highly specialised field, it's a bit like a
person who has done first-aid training trying to be a heart
surgeon," he said.
Most theme park investors in this region are not in this business,
he noted.
"They use theme parks to value-add their development to sell real
estate or to cross promote their other businesses, or governments
with good intentions to catalyse tourism.
"Most of them cross-subsidising the attraction business. The
subsidisation of these businesses is not sustainable, what happens
once all the condos are sold or the main business is no longer as
lucrative as it once was?" he asked.
KidZania Singapore, an indoor family attraction that allows
children to role-play different jobs, first opened in Singapore in
April 2016 on Sentosa Island but closed permanently in mid-2020
amid the COVID-19 pandemic due to financial difficulties.
NO SIGNBOARD: Controlling Shareholder Requisitions EGM
------------------------------------------------------
The Business Times reports that No Signboard Holdings has received
a letter and notice of requisition from its controlling
shareholder, GuGong, for an extraordinary general meeting to be
held "as soon as practicable" to remove at least five of its
directors and appoint new ones in their places.
On June 19, No Signboard said GuGong sought to annul earlier
resolutions - including a proposed share consolidation and a
transfer of controlling interest - passed at the company's annual
general meeting (AGM) on Nov. 30, 2022, BT relates.
According to BT, GuGong is an entity controlled by No Signboard's
executive chairman and chief executive, Lim Yong Sim, who is also a
joint signatory of certain of No Signboard's operational bank
accounts.
Differing opinions between Mr. Lim and No Signboard's current
board, coupled with "serious financial challenges", have "made it
more difficult" for No Signboard to pay its employees and
creditors, said the group, BT relays.
This has led to various requests and demands for payments from
parties such as the group's landlord at Orchard Gateway shopping
mall.
In its latest update, the group said it was seeking legal advice
regarding the notice of requisition, adds BT.
About No Signboard
No Signboard Holdings Ltd., an investment holding company, manages
and operates food and beverage outlets in Singapore. The company
operates a chain of seafood restaurants under the No Signboard
Seafood brand that serve various seafood cuisine prepared in
Chinese and Singapore styles. It owns and operates three
restaurants, as well as operates one restaurant under a franchise
agreement. The company also produces, promotes, and distributes
beer under the Draft Denmark brand; and distributes various third
party brands of beer, as well as operates as an OEM beer supplier
for third party brands. In addition, it produces and distributes
ready meals through a network of vending machines. Further, the
company engages in leasing financial intangible assets, such as
patents, trademarks, brand names, etc.
No Signboard has reported a net loss of SGD6.4 million for the year
ended Sept. 30, 2021, narrowing from SGD9.8 million in 2020. The
company reported a net loss of SGD4.9 million for the year ended
Sept. 30, 2019.
As reported in the Troubled Company Reporter-Asia Pacific on May
30, 2022, The Business Times said No Signboard Holdings said the
Singapore High Court has granted it and two of its subsidiaries a
moratorium lasting till Oct. 29, 2022.
On April 29, the embattled restaurant operator and wholly owned NSB
Hotpot and NSB Restaurants applied for moratorium relief spanning 6
months, under Section 64 of the Insolvency, Restructuring and
Dissolution Act. They sought court orders that no resolution shall
be passed to wind up the companies and that no legal process shall
be commenced or continued against any property of the applicants,
among other things.
NTD RIG: Creditors' Meetings Set for June 28
--------------------------------------------
NTD Rig Pte Ltd, NTF Rig Pte Ltd, NTI Rig Pte Ltd, and NTP Rig Pte
Ltd will hold a meeting for its creditors on June 28, 2023, at
10:00 a.m., 10:30 a.m., 11:00 a.m. and 12:00 p.m., respectively, at
10 Anson Road, #29-07 International Plaza, in Singapore.
Agenda of the meeting includes:
a. to receive a full statement of the Company's affairs
together with a list of its creditors and the estimated
amount of their claims;
b. to nominate liquidator(s) or to confirm member's nomination
of liquidator(s);
c. to appoint a Committee of Inspection if deemed necessary;
d. Any other business.
Bernard Juay of Complete Corporate Services was appointed as
Provisional Liquidator of the companies on June 15, 2023.
TIDEWATER OCEAN: Creditors' Proofs of Debt Due on July 20
---------------------------------------------------------
Creditors of Tidewater Ocean Salvage Pte. Ltd. are required to file
their proofs of debt by July 20, 2023, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on June 13, 2023.
The company's liquidators are:
Goh Wee Teck
Lin Yueh Hung
c/o 8 Wilkie Road
#03-08 Wilkie Edge
Singapore 228095
TOCK'S PERFORMANCE: Court to Hear Wind-Up Petition on June 30
-------------------------------------------------------------
A petition to wind up the operations of Tock's Performance Lab Pte
Ltd will be heard before the High Court of Singapore on June 30,
2023, at 10:00 a.m.
Purplehive Pte Ltd filed the petition against the company on June
1, 2023.
The Petitioner's solicitors are:
Tan Kim Seng & Partners
No. 101 Cecil Street
#18-01/05 Tong Eng Building
Singapore 069533
=================
S R I L A N K A
=================
SRI LANKA: World Bank Set to Approve US$700M Support Next Week
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Reuters reports that the World Bank is likely to approve $700
million in budgetary and welfare support for Sri Lanka at its next
board meeting on June 28, sources told Reuters, the biggest funding
tranche for the crisis-hit island nation since an IMF deal in
March.
Reuters says the economy of the country of 22 million is expected
to shrink 2% this year before returning to growth next year, the
government estimates, following last year's record contraction of
7.8% after foreign exchange reserves hit record lows.
According to Reuters, the International Monetary Fund approved a
bailout of nearly $3 billion in March, which Sri Lanka expects will
bring additional funding of up to $4 billion from the World Bank,
the Asian Development Bank and other multilateral agencies.
Of the proposed World Bank funding, $500 million will be for
budgetary support and is likely to come in two tranches of $250
million each, one of the sources, from the World Bank, said.
All four sources, from the World Bank and the Sri Lankan finance
ministry, sought anonymity as they were not authorised to talk to
the media, Reuters notes.
Reuters says the first tranche is likely to be disbursed
immediately after board approval with the next possibly in October,
as the bank watches the progress of Sri Lanka's debt restructuring
and the first review of the IMF programme, due in September, the
World Bank source added.
The remaining $200 million will be earmarked for programmes to
assist the poor, whose numbers have doubled to 25% of the
population since the onset of the Indian Ocean nation's worst
economic crisis early last year, another World Bank source said.
"Households that have registered for support will be ranked . . .
and the lowest 2 million will be eligible for support," the source
added.
About Sri Lanka
Sri Lanka, formerly known as Ceylon and officially the Democratic
Socialist Republic of Sri Lanka, is an island country in South
Asia. It lies in the Indian Ocean, southwest of the Bay of Bengal,
and southeast of the Arabian Sea; it is separated from the Indian
subcontinent by the Gulf of Mannar and the Palk Strait. Sri Lanka
shares a maritime border with India and the Maldives. Sri
Jayawardenepura Kotte is its legislative capital, and Colombo is
its largest city and financial centre.
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.
As reported in the Troubled Company Reporter-Asia Pacific, S&P
Global Ratings, on April 26, 2023, affirmed its long-term and
short-term foreign currency sovereign credit ratings on Sri Lanka
at 'SD/SD'. At the same time, S&P affirmed its 'CCC-' long-term
and 'C' short-term local currency sovereign ratings. The outlook
on the long-term local currency rating remains negative. S&P also
retained its transfer and convertibility assessment at 'CC'. The
negative outlook on the long-term local currency rating reflects a
high risk to commercial debt repayments over the next six months in
the context of Sri Lanka's economic, external, and fiscal
pressures.
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