/raid1/www/Hosts/bankrupt/TCRAP_Public/230731.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Monday, July 31, 2023, Vol. 26, No. 152
Headlines
A U S T R A L I A
ACIT SERVICES: First Creditors' Meeting Set for Aug. 2
CUSTOM FREIGHT: First Creditors' Meeting Set for Aug. 2
GRASS IS GREENER: Music Festival Goes Into Liquidation
KMA SECURITIES: First Creditors' Meeting Set for Aug. 4
LEGEND TOP: First Creditors' Meeting Set for Aug. 2
REDS TRUST 2023-1: S&P Assigns BB(sf) Rating on Class E Notes
RICHSTONE GROUP: Goes Into Liquidation; 150 Jobs Axed
STELLAR AGRITECH: First Creditors' Meeting Set for Aug. 2
THINK TANK 2021-1: S&P Raises Class F Notes Rating to B+(sf)
[*] AUSTRALIA: Biggest States Face Budget Strains on Cash Crunch
C H I N A
CHINA EVERGRANDE: Unit Applies to Resume Trading on HK Exchange
VNET GROUP: S&P Lowers LongTerm ICR to 'CCC', Outlook Negative
H O N G K O N G
MANDARIN ORIENTAL: H1 Loss Widens to US$69.2M on Fair-Value Losses
I N D I A
AADYA MOTOR: CRISIL Keeps D Ratings in Not Cooperating Category
AASTHA HOSPITAL: CRISIL Keeps B Debt Ratings in Not Cooperating
AKASH AGRO: CRISIL Keeps B Debt Ratings in Not Cooperating
AL NAFEES: Insolvency Resolution Process Case Summary
ASIAD ENGINEERING: CRISIL Lowers Rating on INR1cr LT Loan to B
ASSAM MOTORS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
ASUTI TRADING: CRISIL Keeps D Debt Ratings in Not Cooperating
AURO MIRRA: CRISIL Keeps B Debt Ratings in Not Cooperating
AVADHOOT PAPER: CRISIL Keeps B+ Debt Rating in Not Cooperating
B K RICE: CRISIL Keeps B Debt Ratings in Not Cooperating Category
B. BUCHA: CRISIL Keeps D Debt Ratings in Not Cooperating Category
BADDI INFRASTRUCTURE: CRISIL Keeps B Rating in Not Cooperating
BAJRANG COTTON: CRISIL Keeps B Debt Rating in Not Cooperating
BANSAL RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
BIJJARAGI MOTORS: CRISIL Keeps B Debt Ratings in Not Cooperating
BISWAMATA HEEMGHAR: CRISIL Keeps D Ratings in Not Cooperating
C.L. GULHATI: CRISIL Keeps D Debt Ratings in Not Cooperating
CANTRONICS OFFICE: Liquidation Process Case Summary
CHADALAVADA INFRATECH: CRISIL Keeps D Ratings in Not Cooperating
CHENAB INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
CLARA SWAIN: CRISIL Keeps D Debt Rating in Not Cooperating
CLAYRIS CERAMICS: CRISIL Keeps D Debt Ratings in Not Cooperating
COASTAL MINERALS: CRISIL Keeps B Debt Ratings in Not Cooperating
CONSTELL ASIA: Voluntary Liquidation Process Case Summary
DELHI INTERNATIONAL AIRPORT: S&P Raises ICR to 'B+', Outlook Pos.
DESHMUKH LEAD: CRISIL Keeps B Debt Ratings in Not Cooperating
DHARANI SUGARS: Liquidation Process Case Summary
ENERGETIC GLOBETEX: CRISIL Keeps D Debt Rating in Not Cooperating
ENIGMA VENTURES: CRISIL Keeps D Debt Ratings in Not Cooperating
EPARIS JEWELLERS: CRISIL Keeps B Debt Rating in Not Cooperating
GO FIRST: Lessors Terminated Lease Fearing IBC Consequences
MARUTI RICH: Insolvency Resolution Process Case Summary
MYTRAH ENERGY: Insolvency Resolution Process Case Summary
NAVA HEALTHCARE: Insolvency Resolution Process Case Summary
SIMTEL TRADING: Liquidation Process Case Summary
I N D O N E S I A
AGUNG PODOMORO: Moody's Affirms 'Caa2' CFR, Outlook Negative
M O N G O L I A
MONGOLIA: S&P Affirms 'B' Sovereign Credit Ratings, Outlook Stable
N E W Z E A L A N D
BS DEVELOPMENTS: Court to Hear Wind-Up Petition on Aug. 4
N & H GROUP: Court to Hear Wind-Up Petition on Aug. 11
TBR DECORATOR: Creditors' Proofs of Debt Due on Aug. 29
TRANSIT ENGINEERING: Court to Hear Wind-Up Petition on Aug. 3
WAYNE'S PLASTERING: Creditors' Proofs of Debt Due on Aug. 26
S I N G A P O R E
ALL MEASURE: Court to Hear Wind-Up Petition on Aug. 11
DWT PTE: Court to Hear Wind-Up Petition on Aug. 11
THIRTY LIVING: Court Enters Wind-Up Order
TIONG AIK: Placed in Provisional Liquidation
WBL GLOBAL: Court Enters Wind-Up Order
S O U T H K O R E A
MG NON-LIFE: Multiple Potential Buyers Eye Insolvent Insurer
S R I L A N K A
CONSTRUCTION GUARANTEE: Fitch Puts BB(lka) IFS on Rating Watch Neg.
SRI LANKA: Invites Japan to Resume Investment
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A U S T R A L I A
=================
ACIT SERVICES: First Creditors' Meeting Set for Aug. 2
------------------------------------------------------
A first meeting of the creditors in the proceedings of ACIT
Services Pty Ltd, Davlin Alarm Monitoring Pty Ltd and Davlin
Security Australia Pty Ltd will be held on Aug. 2, 2023, at 11:00
a.m. via Team for Business Teleconference.
Bradley John Tonks of PKF was appointed as administrator of the
company on July 21, 2023.
CUSTOM FREIGHT: First Creditors' Meeting Set for Aug. 2
-------------------------------------------------------
A first meeting of the creditors in the proceedings of Custom
Freight Pty Ltd will be held on Aug. 2, 2023, at 10:00 a.m. via
virtual meeting technology.
William Roland Robson of Robson Cotter Insolvency Group was
appointed as administrator of the company on July 21, 2023.
GRASS IS GREENER: Music Festival Goes Into Liquidation
------------------------------------------------------
7NEWS.com.au reports that a music festival targeting regional
locations across Australia has officially been wound up, months
after it went into administration.
The Grass Is Greener festival was mired by issues throughout 2022,
but was set to go ahead throughout October that year on the Gold
Coast, Canberra, Cairns and Geelong, 7NEWS.com.au says.
In early October, headliners Ty Dolla $ign, ZHU and Mary Jane Coles
and Australian act ONEFOUR pulled out, the report recalls.
In a now-deleted Instagram post, ONEFOUR said: "We are sad to
announce we are no longer able to perform at The Grass Is Greener
Festival 2022.
"After multiple attempts to work through many challenges with The
Grass Is Greener, they have failed to honour their obligations and
cannot deliver the show we and our fans expect."
According to 7NEWS.com.au, the Geelong and Canberra dates were then
cancelled, with the organiser Hand Picked Events and Marketing
citing COVID, increased costs and weather issues as contributing to
the cancellation.
The Gold Coast and Cairns shows went ahead, featuring artists
including PNAU and Wafia.
BCR Advisory was appointed as liquidators on December 9 and Hand
Picked officially went into liquidation on July 17, 7NEWS.com.au
notes.
KMA SECURITIES: First Creditors' Meeting Set for Aug. 4
-------------------------------------------------------
A first meeting of the creditors in the proceedings of KMA
Securities Pty Ltd (formerly Macfinn Security International Pty
Ltd) will be held on Aug. 4, 2023, at 11:00 a.m. via
teleconference.
Mohammad Najjar of Vanguard Insolvency Australia was appointed as
administrator of the company on July 25, 2023.
LEGEND TOP: First Creditors' Meeting Set for Aug. 2
---------------------------------------------------
A first meeting of the creditors in the proceedings of Legend Top
Pty Ltd will be held on Aug. 2, 2023, at 1:00 p.m. at the offices
of SV Partners, 22 Market Street, in Brisbane, Qld and via virtual
meeting technology.
Terrence John Rose and Anne Meagher of SV Partners were appointed
as administrators of the company on July 21, 2023.
REDS TRUST 2023-1: S&P Assigns BB(sf) Rating on Class E Notes
-------------------------------------------------------------
S&P Global Ratings assigned its ratings to six of the seven classes
of prime residential mortgage-backed securities (RMBS) issued by
Perpetual Trustee Co. Ltd. as trustee for Series 2023-1 REDS Trust.
Series 2023-1 REDS Trust is a securitization of prime residential
mortgage loans originated by ME Bank (a division of Bank of
Queensland Ltd.).
The ratings assigned to the notes to be issued reflect:
-- S&P's view of the credit risk of the underlying collateral
portfolio, including the fact that this is a closed portfolio,
which means no further loans will be assigned to the trust after
the closing date.
-- S&P's view that the credit support is sufficient to withstand
the stresses it applies. Credit support for the rated notes is
provided by subordination and lenders' mortgage insurance cover on
33.7% of the loan portfolio.
-- S&P's expectation that the various mechanisms to support
liquidity within the transaction, including principal draw function
and an amortizing liquidity facility equal to 1.0% of the
outstanding performing balance of the receivables, are sufficient
under its stress assumptions to ensure timely payment of interest
on the rated notes.
-- The availability of a A$150,000 extraordinary expense reserve
funded upfront by BOQ, available to meet extraordinary expenses.
The reserve will be topped up with available excess spread if
drawn.
-- The benefit of a standby fixed- to floating-rate interest-rate
swap to be provided by National Australia Bank Ltd. to hedge the
mismatch between receipts from any fixed-rate mortgage loans and
the variable-rate RMBS.
Ratings Assigned
Series 2023-1 REDS Trust
Class A1, A$920.00 million: AAA (sf)
Class A2, A$38.20 million: AAA (sf)
Class B, A$19.50 million: AA (sf)
Class C, A$10.70 million: A (sf)
Class D, A$5.60 million: BBB (sf)
Class E, A$2.90 million: BB (sf)
Class F, A$3.10 million: Not rated
RICHSTONE GROUP: Goes Into Liquidation; 150 Jobs Axed
-----------------------------------------------------
News.com.au reports that a major plumbing company has quietly
collapsed into liquidation, with all 150 of its employees losing
their jobs on the spot because of its demise.
In March, Victoria's largest privately-owned plumbing contractor
Richstone Group Pty Ltd and seven related entities went into
voluntary administration to urgently restructure the business, the
report recalls.
The restructuring attempt ultimately couldn't turn things around.
News.com.au can reveal that on June 19, the company filed
liquidation papers.
According to the report, David Coyne and Peter Krejci of insolvency
firm BRI Ferrier were the joint administrators and are now serving
as its liquidators.
Documents submitted to the corporate regulator and obtained by
news.com.au show that Richstone Group owes AUD22.399 million to
creditors.
Despite the staggering figure, there was just AUD61 left in the
bank when they took over the company.
The firm's total assets are estimated to be around AUD10 million
and unsecured creditors are expected to receive between 0 and 15
cents for every dollar they are owed, news.com.au discloses.
Liquidators sold the "majority" of the company's assets for AUD4.8
million, in a sale that the Supreme Court of Victoria approved.
In a casual note lodged with ASIC, Richstone's liquidators stated
that following a creditor's meeting in June voting in favour of
winding up the plumbing company, "150 employees had been
terminated".
Not only did staff lose their jobs, but they are also owed a
substantial amount by their former employer.
According to the report, employee liabilities are estimated to be
AUD816,000, news.com.au relays.
Of that, AUD16,000 is due from unpaid wages, AUD8,800 and AUD6,800
in superannuation and salary sacrifice, and then a further
AUD96,141 from annual leave and long service leave entitlements.
On the company's balance sheet, it appears to owe AUD5 million to
the ATO.
However, liquidators said the ATO had submitted an even higher
claim of AUD12.8 million, which could see Richstone's debts climb
even higher.
Richstone Group had been in operation since 2003 prior to its
collapse as a commercial plumber with large contracts to building
companies including Maxcon and Hickory Construction.
However, its financial statements show that since the Covid-19
pandemic hit, the firm's viability as a business started to wither
rapidly, the report adds.
STELLAR AGRITECH: First Creditors' Meeting Set for Aug. 2
---------------------------------------------------------
A first meeting of the creditors in the proceedings of Stellar
Agritech Pty Ltd will be held on Aug. 2, 2023, at 11:00 a.m. at the
offices of Greengate Advisory, Suite 32.02, Level 32, 31 Market
Street, Sydney, in NSW.
John Chand and Patrick Loi of Greengate Advisory NSW were appointed
as administrators of the company on July 24, 2023.
THINK TANK 2021-1: S&P Raises Class F Notes Rating to B+(sf)
------------------------------------------------------------
S&P Global Ratings raised its ratings on five classes of
residential mortgage-backed, floating rate, pass-through notes
issued by BNY Trust Co. of Australia Ltd. as trustee of Think Tank
Residential Series 2021-1 Trust. At the same time, S&P affirmed its
ratings on two classes of notes.
The rating actions reflect S&P's view of the credit risk of the
underlying collateral portfolio. Credit support provided in
percentage terms has increased as the pool has paid down. As of
June 30, 2023, the pool factor is about 51.2%.
On Jan. 5, 2023, S&P republished the Australian RMBS Rating
Methodology and Assumptions criteria. This updated the property
thresholds to reflect the property market developments since the
original publication of the criteria. As a result, the percentage
of properties that attracted the large property
market-value-decline penalty has reduced to just under 13% of the
pool compared to about 48.8% of the pool at close. This has
resulted in a decrease to the loss severity and ultimately the
minimum level of credit enhancement required across each rating
level.
The strength of the cash flows at each respective rating level is
underpinned by the various structural mechanisms in the
transaction. Cash flows can meet timely payment of interest and
ultimate payment of principal to the noteholders under the rating
stresses.
S&P has also factored into its analysis the arrears performance,
the relatively high level of self-employed borrowers, and low and
alternative documentation loans in the pool. These characteristics
increase its expectation of loss for the portfolio. The arrears
performance has been stable and has historically tracked below the
Standard & Poor's Performance Index (SPIN) for nonconforming loans.
As of June 30, 2023, loans greater than 30 days in arrears
represent 1.95%, of which 1.13% are more than 90 days in arrears.
There have been no charge-offs to any of the notes.
The transaction is currently paying down on a sequential basis.
Credit support will continue to build up for the notes until the
pro rata tests are met. Once the pro rata triggers are met,
principal would be passed through to each class of rated notes.
Principal payments to the unrated class G notes will not occur
until all rated notes are fully repaid, the balance of the class G
notes remaining constant over the life of the transaction.
A constraining factor on the degree of upgrades is the rising
interest-rate environment and softening macroeconomic conditions
that will likely lead to higher arrears across the market. The
composition of the portfolio and the subset of borrowers are likely
to be more susceptible to such changes in the economy, particularly
rising interest rates and cost-of-living pressures.
These qualitative factors constrain S&P's ratings beyond
quantitative factors alone.
Ratings Raised
Think Tank Residential Series 2021-1 Trust
Class B: to AAA (sf) from AA (sf)
Class C: to AA (sf) from A (sf)
Class D: to A (sf) from BBB (sf)
Class E: to BBB- (sf) from BB (sf)
Class F: to B+ (sf) from B (sf)
Ratings Affirmed
Think Tank Residential Series 2021-1 Trust
Class A1: AAA (sf)
Class A2: AAA (sf)
[*] AUSTRALIA: Biggest States Face Budget Strains on Cash Crunch
----------------------------------------------------------------
Bloomberg News reports that Australia's two biggest states will
struggle to return their budgets to surplus as the economy sags
under central bank rate hikes that also sent government borrowing
costs soaring, according to ratings agency Moody's Investors
Service.
"New South Wales and Victoria, which were most heavily impacted by
COVID-19, continue to suffer from the lingering fiscal impact as
they both look to manage the delivery of their respective election
spending commitments, sticky cost pressures and higher residual
debt burdens," John Manning, senior credit officer at Moody's,
wrote in a report last week, Bloomberg relays. Western Australia
and Queensland enjoy windfall revenue gains underpinned by strong
high commodity prices.
According to Bloomberg, Victoria's decision to cancel the 2026
Commonwealth Games due to cost overruns highlighted the bind that
provincial governments face as political commitments to ambitious
infrastructure programs become harder to meet with revenues set to
fall and bond yields at the highest in 10 years.
Yields on New South Wales' 5-year bond have more than doubled since
2022, when the Reserve Bank of Australia kicked off its
post-pandemic tightening cycle, Bloomberg discloses. They dropped 9
basis points on July 27 to 4.19%, matching the decline in the
Australian government five-year note, according to
Bloomberg-compiled data.
Victoria's 5-year yield has also more than doubled since 2022. It
fell 9 basis points to 4.2% on July 27.
Bloomberg says New South Wales and Victoria account for just over
half of Australia's economy between them. Australia's states have
near-record levels of infrastructure projects, exacerbating the
already-tight labor market and shortage of construction materials
in the next four years.
"We expect such supply chain constrains, particularly labor, will
remain over the next two to three years as many large projects
approach peak construction," the report quotes Mr. Manning as
saying.
Victoria's debt burden is expected to jump to 226% of operating
revenues by 2027 from 147% in 2022 - and the decision to cancel the
Games will be of little help, Moody's said, Bloomberg relays. New
South Wales will see its burden rise to 152% by 2026 from 103% in
2022. The two states are currently running operating deficits to
fund their infrastructure pipeline and higher borrowing costs.
"We have seen fiscal discipline in the non-commodity exposed states
wane in the last two, three years," said Anthony Walker, director,
sovereign & international public finance ratings at S&P Global
Ratings. "It has been easier to give money than it is to cut back
on spending."
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C H I N A
=========
CHINA EVERGRANDE: Unit Applies to Resume Trading on HK Exchange
---------------------------------------------------------------
Reuters reports that China Evergrande New Energy Vehicle Group said
on July 27 that it had applied to the Hong Kong Stock Exchange to
resume trading in the company's shares on July 28.
Trading in shares of the company, the electric vehicle unit of
China Evergrande Group, has been suspended since April 1, 2022,
after it got sucked into a debt crisis in mid-2021, Reuters notes.
The company posted its long-overdue financial results on July 26,
reporting a combined net loss of CNY71.12 billion ($9.91 billion)
for 2021 and 2022, the report discloses.
The firm had previously announced that as of May it had delivered
more than 1,000 units of its EV, sales of which started in October
last year.
About China Evergrande
China Evergrande Group is an integrated residential property
developer. The Company, through its subsidiaries, operates in
property development, investment, management, finance, internet,
health, culture, and tourism markets.
Evergrande had CNY1.97 trillion (US$311 billion) of liabilities at
the end of June 2021. Once China's biggest developer by sales,
Evergrande fell into distress as cash dried up and the group
overstretched itself on borrowings and ventures into car
manufacturing.
Evergrande hired outside financial advisers Houlihan Lokey and
Admiralty Harbour Capital in September 2021 to engage with
creditors soon after it ran into a liquidity squeeze. It has since
worked with more advisers in the past two months by turning to
China International Capital Corp, BOCI Asia and Zhong Lun Law Firm
on its debt workout plan.
As reported in the Troubled Company Reporter-Asia Pacific in
October 2022, Moody's Investors Service has withdrawn China
Evergrande Group's (Evergrande) corporate family rating and senior
unsecured ratings, the CFRs of Hengda Real Estate Group Company
Limited and Tianji Holding Limited, and Scenery Journey Limited's
backed senior unsecured ratings.
VNET GROUP: S&P Lowers LongTerm ICR to 'CCC', Outlook Negative
--------------------------------------------------------------
S&P Global Ratings, on July 27, 2023, lowered its long-term issuer
credit rating on VNET Group Inc. to 'CCC' from 'B'. The rating was
removed from CreditWatch, where it was placed with negative
implications. S&P then withdrew its issuer credit rating at the
company's request.
The rating outlook was negative at the time of the withdrawal. This
reflected significant liquidity pressure facing the company and a
fairly short window to complete the necessary financing.
VNET faces significant maturities in February 2024. S&P expects the
company does not have sufficient funds to repay its US$600 million
(Chinese renminbi [RMB] 4.2 billion) convertibles notes, which
become puttable on Feb. 1, 2024, assuming a large majority of
investors exercise the option. VNET is exploring multiple financing
options. However, it is uncertain if these options can be done in
time and be sufficient, because each comes with varying level of
execution risk, time for completion, and chance of success.
VNET's source of liquidity includes a cash balance of RMB2.6
billion as of March 31, 2023 (net of our estimate of RMB300 million
in restricted cash) and cash funds from operations of RMB1.4
billion-RMB1.6 billion. This compares with maturities of RMB5.1
billion and minimum capital expenditures that S&P estimates at
about RMB2 billion.
The negative outlook before the withdrawal reflected the
significant liquidity pressure facing the company and the fairly
narrow window to complete the financing.
S&P said, "We would expect to lower the rating if VNET does not
obtain significant new financing in the next three to five months
toward repaying the US$600 million convertible notes.
"We could raise the rating by one notch if VNET makes significant
progress in its refinancing plan such that the company had
sufficient liquidity to repay the US$600 million convertible
notes."
=================
H O N G K O N G
=================
MANDARIN ORIENTAL: H1 Loss Widens to US$69.2M on Fair-Value Losses
------------------------------------------------------------------
The Business Times reports that Mandarin Oriental saw its net loss
widen to US$69.2 million for the first half of the year from
US$18.3 million in the year-ago period.
BT says the hotel investment and management group booked a net fair
value loss of SGD140.2 million on its investment assets – a
commercial property under development and a completed residential
property.
On July 28, Mandarin Oriental said the valuation of the Causeway
Bay site under development decreased between Dec. 31, 2022 and June
30, 2023, resulting in a non-trading loss for the group of US$141
million.
Loss per share came in at 5.48 US cents. The previous year's loss
per share was 1.45 US cents.
H1 revenue rose 31 per cent to US$260.7 million, led by strong
performance in the group's hotels in Europe and the Middle East,
which achieved record rates and strong occupancies, BT discloses.
This was slightly offset by a more gradual recovery of business in
Hong Kong and the temporary closure of Mandarin Oriental Singapore
in March 2023 for refurbishment, the group said.
For the first half of 2023, combined total revenue of hotels under
management was US$882 million, 30 per cent higher than the US$679.4
million recorded from the year before, BT discloses. Total revenue
was also 38 per cent higher than the 2019 figure, before the
Covid-19 pandemic hit.
Net debt fell to US$233 million as at Jun 30, from US$376 million
at the end of 2022.
An interim dividend of 1.5 US cents was declared for the half year.
It will be paid on Oct. 11, BT notes.
Looking ahead, Mandarin Oriental said it has several new openings
scheduled in the second half of 2023, including four new hotels, a
rebranding project in Saudi Arabia and a standalone residences
project in New York, according to BT.
It has secured four new hotel management contracts and a standalone
residences project in Madrid, which will take the group's pipeline
to 27 hotels and two standalone residences over the next five
years.
Giving an update on Mandarin Oriental Singapore, group chairman Ben
Keswick said the hotel is on track to re-open in September, adds
BT.
Based in Hong Kong, Mandarin Oriental International Limited --
https://www.mandarinoriental.com/ -- owns and operates hotels,
resorts, and residences in Asia, Europe, the Middle East, Africa,
and the Americas. It is also involved in the hotel and residences
branding and management; and property development activities.
Mandarin Oriental International Limited is a subsidiary of Jardine
Strategic Limited.
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I N D I A
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AADYA MOTOR: CRISIL Keeps D Ratings in Not Cooperating Category
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Aadya Motor
Company India Private Limited (AMCPL) continue to be 'CRISIL
D/CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 12 CRISIL D (Issuer Not
Cooperating)
Working Capital 20 CRISIL D (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with AMCPL for
obtaining information through letter and email dated June 15, 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 AMCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AMCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
AMCPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Incorporated in 2012, AMCPL, promoted by Mr. V Ramanand Rao, is the
authorised dealer for Porsche, with its showroom in Mumbai. The
company began operations in September 2012. The promoter also has
interests in auto dealerships of other brands through group
entities.
AASTHA HOSPITAL: CRISIL Keeps B Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Aastha
Hospital (AH) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 0.1 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 2.92 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AH for
obtaining information through letter and email dated June 15, 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 AH, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AH is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of AH
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
AKASH AGRO: CRISIL Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Akash Agro
Industries - Sirsa (AAI) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 9 CRISIL B/Stable (Issuer Not
Cooperating)
Warehouse Receipts 10 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with AAI for
obtaining information through letter and email dated June 15, 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 AAI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AAI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
AAI continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
AAI was establish in January 2018. The partners are Ms Laxmi Devi
and Mangat Raj, while the business is entirely managed by Mr
Shamlal Goyal. AAI is engaged in cotton ginning and pressing. It
also trade in cotton. It has its manufacturing facility located in
Sirsa, Haryana.
AL NAFEES: Insolvency Resolution Process Case Summary
-----------------------------------------------------
Debtor: AL Nafees Frozen Food Exports Private Limited
6, Central Lane Bengali Market
New Delhi - 110001
Insolvency Commencement Date: July 4, 2023
Estimated date of closure of
insolvency resolution process: December 31, 2023 (180 Days)
Court: National Company Law Tribunal, New Delhi Bench-II
Insolvency
Professional: Manohar Lal Vij
8/28, Third Floor, Right Side, WEA,
Abdul Aziz Road, Karol Bagh,
New Delhi-110005
Email: mlvij1956@gmail.com
Email: cirp.alnafees@gmail.com
Last date for
submission of claims: July 18, 2023
ASIAD ENGINEERING: CRISIL Lowers Rating on INR1cr LT Loan to B
--------------------------------------------------------------
CRISIL Ratings has revised the ratings on bank facilities of Asiad
Engineering Works Private Limited (ASEW) to 'CRISIL B/Stable Issuer
Not Cooperating' from 'CRISIL BB+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 1 CRISIL B/Stable (ISSUER NOT
Bank Loan Facility COOPERATING; Revised from
'CRISIL BB+/Stable ISSUER
NOT COOPERATING')
CRISIL Ratings has been consistently following up with ASEW for
obtaining information through letter and email dated June 15, 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 ASEW, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ASEW
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ASEW Revised to 'CRISIL B/Stable Issuer Not Cooperating' from
'CRISIL BB+/Stable Issuer Not Cooperating'.
For arriving at the ratings, CRISIL Ratings has combined the
business and financial risk profiles of Agro Engineering Works
(AEW), Asiad Engineering Works Private Limited (ASEW), Multitech
Products (MLP) and Dai-ichi Tools Corporation Private Limited
(DTCPL). This is because all these entities, together referred as
the group, operate in the same industry and have operational
linkages.
Asiad Engineering Works Private Limited (ASEW): ASEW manufactures
spares for Escorts Tractors. The company was founded by Mr RS
Aggarwal and earlier also had a dealership for TVS 2 wheelers which
it left in FY19 The company is exclusive manufacturer for parts
such as fuel tanks, fenders etc. for Escorts. It has one plant
located in Faridabad
About the Group
Agro Engineering Works (AEW): AEW manufactures spare parts for
MSIL. The company was incorporated in 1984 by Mr RM Aggarwal. AEW
has two plants under it, one in Faridabad and other in Manesar. It
is exclusive supplier for MSIL for parts such as battery trays etc.
for its Manesar plant.
Multitech Products (MLP): MLP manufactures spare parts for Yamaha
(2W). It was founded in 1984 by Mr RM Aggarwal and earlier
manufactured parts for Carrier and later on started manufacturing
for Yamaha. It has two plants, one in Faridabad and other in Noida
Dai-ichi Tools Corporation Private Limited (DTCPL): DTCPL
manufacture capital equipments such as dies and tools for
automakers such as Tata Motors, Mahindra & Mahindra and MSIL. The
company was incorporated in 2016 but became operational from FY18
onwards. The company has been promoted by Mr RM Aggarwal. It has
one plant in Faridabad.
ASSAM MOTORS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Assam Motors
(AM) continue to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Long Term 2.7 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 0.3 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up AM for obtaining
information through letter and email dated June 15, 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 AM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AM is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of AM
continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
AM, established in 2005, is a dealer of vehicles of Mahindra &
Mahindra Ltd (M&M; rated 'CRISIL AAA/Stable/CRISIL A1+') in
Tinsukia (Assam). The firm is promoted and managed by Mr. Sanjeev
Kochhar.
ASUTI TRADING: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Asuti Trading
Private Limited (ATPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Letter of Credit 20 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 20 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ATPL for
obtaining information through letter and email dated June 15, 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 ATPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ATPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
ATPL continues to be 'CRISIL D Issuer Not Cooperating'.
ATPL, based in Mumbai, is owned by Mr. Sidharth M Bagrecha, Mr.
Binod Kumar Agarwal and Mr. Vimal Agarwal. The company trades in
steel and iron products, such as hot-rolled coils, cold-rolled
coils, sheets, sponge iron fines/lumps, and pig iron.
AURO MIRRA: CRISIL Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Auro Mirra
Detective Agency (AMDA) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Overdraft 9 CRISIL B/Stable (Issuer Not
Facility Cooperating)
Secured Overdraft 2 CRISIL B/Stable (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with MDA for
obtaining information through letter and email dated June 15, 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 AMDA, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AMDA
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
AMDA continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
AMDA is a sole proprietorship of of Mr. Srinivasen Ramesh, set up
in 2012 in Dindigal. Tamil Nadu. It provides services such as
temporary staffing and skilled employees on contractual basis.
AVADHOOT PAPER: CRISIL Keeps B+ Debt Rating in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Avadhoot Paper
Packaging Private Limited (APPPL) continues to be 'CRISIL B+/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with APPPL for
obtaining information through letter and email dated June 15, 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 APPPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on APPPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
APPPL continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
APPPL, set up in 2014, manufactures corrugated boxes, and has
capacity of 24,000 tonne per annum at its facility at Barnala in
Punjab. Daily operations are managed by the director, Mr Vishal
Narula.
B K RICE: CRISIL Keeps B Debt Ratings in Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of B K Rice
Industries (BKRI) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4 CRISIL B/Stable (Issuer Not
Cooperating)
Term Loan 6.23 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BKRI for
obtaining information through letter and email dated June 15, 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 BKRI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BKRI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BKRI continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Set up as a proprietorship firm in 2017 by Mr Nagaraj, BKRI mills
and processes rice at its unit in Kolappa, Karnataka, which has an
installed capacity of 8 tonne per hour.
B. BUCHA: CRISIL Keeps D Debt Ratings in Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of B. Bucha
Reddy and Co (BBRC) continue to be 'CRISIL D/CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 8 CRISIL D (Issuer Not
Cooperating)
Overdraft Facility 5.5 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.5 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with BBRC for
obtaining information through letter and email dated June 15, 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 BBRC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BBRC
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BBRC continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Established in 1991 by Mr. B Bucha Reddy, BBRC is a partnership
firm engaged in civil construction work, mainly related to
irrigation projects in Andhra Pradesh (AP).
BADDI INFRASTRUCTURE: CRISIL Keeps B Rating in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Baddi
Infrastructure (BI) continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 6 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BI for
obtaining information through letter and email dated June 15, 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 BI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of BI
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
BI has been got incorporated as a Special Purpose Vehicle (SPV) of
BBN Industries Association. The SPV was got incorporated on 6th of
May 2010 and was got converted as a Section-25 Company under the
Companies Act, 1956 on 21st of September 2010 as per guidelines of
Ministry of Commerce and Industry. BI is engaged in various
infrastructure development projects such as common effluent
treatment plant, technical training institute, widening and
strengthening of roads in the Baddi-Barotiwala-Nalagarh (BBN)
industrial cluster.
BAJRANG COTTON: CRISIL Keeps B Debt Rating in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bajrang
Cotton (BC) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 1.66 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with BC for
obtaining information through letter and email dated June 15, 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 BC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BC is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of BC
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Set up in 2006, BC gins and presses cotton. The firm's plant is in
Amreli (Gujarat).
BANSAL RICE: CRISIL Keeps D Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bansal Rice
Mills - Muktsar (BRM) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3 CRISIL D (Issuer Not
Cooperating)
Term Loan 2 CRISIL D (Issuer Not
Cooperating)
Warehouse Financing 4 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BRM for
obtaining information through letter and email dated June 15, 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 BRM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BRM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BRM continues to be 'CRISIL D Issuer Not Cooperating'.
Set up as a proprietorship firm in 2009 by Mr. Sanjiv Kumar and
reconstituted as a partnership firm in 2014, BRM processes basmati
and non-basmati rice for export houses and also sells under its own
brand, Barkat Rice. Production facilities are in Muktsar, Punjab.
BIJJARAGI MOTORS: CRISIL Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Bijjaragi
Motors (BM) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4 CRISIL B/Stable (Issuer Not
Cooperating)
Inventory Funding 5 CRISIL B/Stable (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with BM for
obtaining information through letter and email dated June 15, 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 BM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BM is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of BM
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Set up in 2008, BM is an authorised dealer of passenger vehicles
and spare parts of TML for Bijapur and Bagalkot. The firm is
promoted by Mr. Raju Bijjargi and his family.
BISWAMATA HEEMGHAR: CRISIL Keeps D Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Biswamata
Heemghar Private Limited (BHPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 11.44 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.76 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 1.14 CRISIL D (Issuer Not
Cooperating)
Working Capital 1.66 CRISIL D (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with BHPL for
obtaining information through letter and email dated June 15, 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 BHPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BHPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BHPL continues to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2012 and promoted by Mr Shyamal Dandapat, BHPL
provides cold storage facilities in Medinipur, West Bengal, to
potato farmers and traders, and also trades in potatoes.
C.L. GULHATI: CRISIL Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of C.L. Gulhati
and Sons Limited (CLG) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 25 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.2 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with CLG for
obtaining information through letter and email dated June 15, 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 CLG, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CLG
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CLG continues to be 'CRISIL D Issuer Not Cooperating'.
CLG was set up as private limited company in 1956 by Mr. C L
Gulhati and his associates. It became a public limited company.
Since its inception, CLG has been a dealer for the entire range of
TML's CVs. It became a dealer of TML's passenger vehicles in 2000.
CANTRONICS OFFICE: Liquidation Process Case Summary
---------------------------------------------------
Debtor: Cantronics Office Equipment Private Limited
Gala No. C/11, J.K Industrial Estate -1 S,No 40,
Khairpada, DistPalghar Vasai, Thane - 401 305
Liquidation Commencement Date: June 30, 2023
Court: National Company Law Tribunal, Mumbai Bench
Liquidator: CA Bharati Daga
94 B, Palash Tower,
Veera Desai Road, Andheri West,
Near Country Club, Mumbai 400053
Email: bharteedaga1008@gmail.com
Email: liquidcantronics@gmail.com
Last date for
submission of claims: July 30, 2023
CHADALAVADA INFRATECH: CRISIL Keeps D Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Chadalavada
Infratech Limited (CIL) continue to be 'CRISIL D/CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 93 CRISIL D (Issuer Not
Cooperating)
Cash Credit 22 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 55.27 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 9.73 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with CIL for
obtaining information through letter and email dated June 15, 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 CIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CIL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Chadalavada Infratech Ltd. (erstwhile Chadalavada Construction Pvt.
Ltd.) was incorporated in February 2000 and started as a
subcontractor to L&T. The company is engaged in Electrical
Transmission & Distribution Infrastructure Industry involving
Engineering, Procurement and Commissioning of sub-stations and
Electrical Transmission lines. The company undertakes activities
mostly for government departments.
CHENAB INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Chenab
Industries Private Limited (CIPL) continue to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 4 CRISIL D (Issuer Not
Cooperating)
Proposed Cash 5.5 CRISIL D (Issuer Not
Credit Limit Cooperating)
CRISIL Ratings has been consistently following up with CIPL for
obtaining information through letter and email dated June 15, 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 CIPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CIPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CIPL continues to be 'CRISIL D Issuer Not Cooperating'.
Promoted by Mr Kush Aggarwal and Mr D S Rana, CIPL is setting up a
plant in Govindsar Industrial Area in Kathua, Jammu, to manufacture
nylon and poly propylene yarn. Operations begun in April 2017.
CLARA SWAIN: CRISIL Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Clara Swain
Hospital J.V. (CSH) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 7.5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with CSH for
obtaining information through letter and email dated June 15, 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 CSH, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CSH
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CSH continues to be 'CRISIL D Issuer Not Cooperating'.
Clara Swain Hospital (CSH), based in Bareilly (Uttar Pradesh) was
set up in the early 1870s by Dr Clara Swain. In 2009, the Ritam
Charitable & Education Society and Methodist Church of India
entered into a joint venture (JV) agreement for running its
operations. Currently it is operating a super-specialty hospital
with a 150-bed and a nursing collage, in Bareilly.
CLAYRIS CERAMICS: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Clayris
Ceramics Private Limited (CCPL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 2.5 CRISIL D (Issuer Not
Cooperating)
Bank Guarantee 1.5 CRISIL D (Issuer Not
Cooperating)
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
Letter of Credit 2 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 28.36 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.36 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with CCPL for
obtaining information through letter and email dated June 15, 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 CCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CCPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
Set up in 2008 by Mr. Divyesh Patel and family, Morbi-based CCPL
manufactures ceramic tiles.
COASTAL MINERALS: CRISIL Keeps B Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Coastal
Minerals Impex LLP (CMIL) continue to be 'CRISIL B/Stable Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 9 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 1 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with CMIL for
obtaining information through letter and email dated June 15, 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 CMIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on CMIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
CMIL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
CMIL was established as a proprietary concern of Ms Uma Padmini
Katuri in 2011. Later on in year May 2018 entity has been changed
to limited liability partnership firm with name CEE. The firm is
based in Hyderabad and trades in coal, mainly non-coking. Operation
are managed by Mr Phaneendra.
CONSTELL ASIA: Voluntary Liquidation Process Case Summary
---------------------------------------------------------
Debtor: Constell Asia Processing Private Limited
C/o Mr. Tushar Shridharani,
417, 4th floor, Jolly Bhavan No. 1,
10, New Marine Lines,
Mumbai - 400070 India
Liquidation Commencement Date: June 24, 2023
Court: National Company Law Tribunal Mumbai Bench
Liquidator: Mr. Dilip Vasudeo Gupta
No. 8, Ellora CHS Ltd,
Behind Abhyuda Bank Ltd,
Daftary Road, Malad East,
Mumbai-400097 MH
Email: ipdilipgutpa@gmail.com
Tel No: +91-9870047608
Last date for
submission of claims: July 24, 2023
DELHI INTERNATIONAL AIRPORT: S&P Raises ICR to 'B+', Outlook Pos.
-----------------------------------------------------------------
S&P Global Ratings, on July 27, 2023, raised its long-term issuer
credit rating on Delhi International Airport Ltd. (DIAL) and the
issue rating on its senior secured notes to 'B+' from 'B'.
The positive outlook indicates that S&P may raise the ratings over
the next 12-18 months if DIAL's ratio of operating cash flow (OCF)
to debt increases to more than 7% following the implementation of
higher CP4 tariffs. A solid passenger traffic recovery and higher
profitability at about 30% will also support stronger cash flows.
A solid recovery in domestic and international passenger traffic
will strengthen DIAL's interest servicing ratio. S&P forecasts
DIAL's funds from operations (FFO) cash interest coverage to
recover to above 1.0x in the fiscal year ending March 31, 2024,
from 0.7x in the previous year. Strong passenger traffic recovery
will support this, and it estimates total traffic in fiscal 2024
could surpass pre-pandemic levels at 110%.
Domestic passenger volume at DIAL fully recovered to pre-pandemic
levels in fiscal 2023 at about 49.7 million passengers. Resilient
domestic demand and increase in airlines' capacity will continue to
drive the recovery. S&P estimates domestic traffic will increase to
about 55 million passengers in fiscal 2024 and about 60 million in
fiscal 2025, registering a 10% growth.
S&P said, "International traffic rebounded strongly to about 88% of
pre-pandemic levels in fiscal 2023, better than our previous
expectation of about 84%. We now expect international passenger
traffic in fiscal 2024 to surpass pre-pandemic levels at about 19
million passengers. Lifting of international travel restrictions
and a strong propensity to travel will likely boost international
traffic.
"DIAL's profitability will improve on higher non-aeronautical
revenue. We forecast the company's adjusted EBITDA margin to
recover to about 30% over fiscal years 2024 and 2025, from an
average of 20% over the past two years. The robust traffic recovery
and upcoming terminal expansion in September 2023 will lift
non-aeronautical revenues. We believe consumer spending at the
airport will increase, particularly in the retail and duty-free
segments that contribute approximately 40% of non-aeronautical
revenue. Higher non-aeronautical revenue of about Indian rupee
(INR) 30 billion-INR35 billion per year over fiscals 2024 and 2025
will boost cash flow and margins.
"Timely receipt of contracted commercial property development (CPD)
income also supports higher margins and better earnings quality for
DIAL. We view commercial property monetization as an important part
of the company's business model. This is because stable cash flow
from CPD will help offset the company's high fixed-cost base owing
to high revenue-share payments (45.99% of total revenue).
"We forecast CPD income of INR5 billion-INR5.5 billion per year
over fiscals 2024 and 2025. Higher income than we anticipate in
later years would offer upside to margins. DIAL has other land
monetization plans that it could complete in fiscal 2025. We have
not factored such plans into our base case because the company has
not finalized them."
DIAL's financials can accommodate the payment of deferred revenue
share amounts to Airport Authority of India (AAI). The final
decision by an arbitration tribunal has been further delayed and is
now expected in August 2023. S&P's base case assumes a total
deferred fee of about INR13 billion, payable over fiscals 2024 and
2025.
DIAL will likely stagger the payments to help ease liquidity even
as traffic volumes recover. This would result in manageable funding
needs of about INR7 billion in fiscal 2025, in S&P's base case. In
case of a favorable outcome, the company's OCF-to-debt ratio could
turn positive from fiscal 2024 onward.
DIAL's future cash flows could strengthen from higher tariffs for
the next control period. The higher tariff in CP4 will encompass
DIAL's investment for its terminal expansion plan and approved
true-up amounts related to past regulatory orders. It also
incorporates higher passenger traffic due to strong recovery after
the pandemic. S&P forecasts CP4 tariffs could double from current
levels (aeronautical revenue per passenger of INR150-INR160). The
bulk of the expansion capex has been completed and commissioning
before the next control period will provide visibility of higher
tariffs, in our view. However, a lower tariff increase or
significant delay of tariff implementation could dampen earnings
recovery.
S&P said, "We expect a one-year delay in CP4 tariff implementation,
given a past record of tariff delays. We therefore forecast DIAL's
cash flows and financials to improve materially from fiscal 2026
onward upon the tariff reset.
"The positive outlook reflects our expectation that the company's
OCF-to-debt ratio could increase to more than 7% following the
implementation of higher CP4 tariffs. A solid passenger traffic
recovery and higher profitability to about 30% will also support
stronger cash flows."
Upside scenario
S&P could raise the rating on DIAL if the company's OCF-to-debt
ratio increases to more than 7% on a sustainable basis. This could
happen if:
-- The company's CP4 tariff implementation is not materially
delayed beyond the April 1, 2024, timeline by more than six to 12
months; and
-- DIAL earns a higher CP4 tariff that is about double the current
level, reflecting a supportive regulatory framework that allows for
timely recovery of capital spending on its expansion program.
Downside scenario
S&P could revise the outlook on DIAL to stable if the company's
OCF-to-debt ratio is unlikely to improve toward 7% on a sustainable
basis. This could happen if the company's CP4 tariff is
significantly lower than its expectations or materially delayed.
Environmental, Social, And Governance
ESG credit indicators: E-2, S-3, G-3
Social factors are a moderately negative consideration in S&P's
credit rating analysis of DIAL. This is because the
pandemic-related drop in passenger traffic strained the company's
financials and profitability over fiscals 2021 and 2022.
However, a strong rebound in both domestic and international
traffic will support a cash flow recovery. Catalysts for this
include lifting of travel restrictions, an increase in airlines'
capacity, and resilient passenger demand. S&P expects DIAL's total
passenger volumes to reach about 73 million in fiscal 2024,
exceeding pre-pandemic levels at 110%. A solid traffic recovery
will also lift non-aeronautical revenue and profitability for the
airport operator.
The Delhi airport is near the National Capital Region's central
business and residential districts. This can result in operating
restrictions to reduce noise and congestion.
Governance factors are a moderately negative consideration. This
reflects challenges in DIAL's strategic planning, given past delays
in formulating funding strategies.
DESHMUKH LEAD: CRISIL Keeps B Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Deshmukh Lead
Private Limited (DLPL) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL B/Stable (Issuer Not
Cooperating)
Proposed Long Term 1.26 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
Rupee Term Loan 2.24 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with DLPL for
obtaining information through letter and email dated June 15, 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 DLPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on DLPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
DLPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Incorporated in 2005 and promoted by Mahendra Madhukar Deshmukh,
DLPL manufactures lead and other related alloys by recycling used
batteries. The manufacturing facility is in Wada, Thane.
DHARANI SUGARS: Liquidation Process Case Summary
------------------------------------------------
Debtor: Dharani Sugars and Chemicals Limited
PGP House 57, Sterling Road,
Nungambakkam, Chennai - 600034
Liquidation Commencement Date: June 28, 2023
Court: National Company Law Tribunal Chennai Bench
Liquidator: CA Mahalingam Suresh Kumar
No. 27/9, Nivedh Vikas, Pankaja Mill Road,
Puliyakulam, Coimbatore - 641045
Tel No: 73730-52341
Email: dscl.liquidation@gmail.com
Email: msureshkumar@icai.org
Last date for
submission of claims: July 28, 2023
ENERGETIC GLOBETEX: CRISIL Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Energetic
Globetex Private Limited (EGPL) continues to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with EGPL for
obtaining information through letter and email dated June 15, 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 2015, manufactures sarees and ladies' dress
material in Surat and is promoted by Mr Juneja and Mr Nikunj
Kapadia.
ENIGMA VENTURES: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Enigma
Ventures India Private Limited (EVPL: part of the Kohinoor group)
continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL D (Issuer Not
Cooperating)
Proposed Cash 8 CRISIL D (Issuer Not
Credit Limit Cooperating)
CRISIL Ratings has been consistently following up with EVPL for
obtaining information through letter and email dated June 15, 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 EVPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EVPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
EVPL continues to be 'CRISIL D Issuer Not Cooperating'.
For arriving at the ratings, CRISIL Ratings has consolidated the
business and financial risk profiles of EVPL, Kohinoor Eximtex Pvt
Ltd (KEPL), Energetic Globetex Pvt Ltd (EGPL) and Kapadia Textiles
(KT), collectively referred to as the Kohinoor group, as these
entities are engaged in similar line of business and have
operational linkages.
About the Group
Incorporated in 2010, EVPL manufactures sarees and dress materials.
The manufacturing facility in Surat is managed by Mr Sanjay Juneja
and Mr Jitendra Shukla.
EGPL, incorporated in 2015, manufactures sarees and ladies' dress
material in Surat and is promoted by Mr Juneja and Mr Nikunj
Kapadia.
Incorporated in 2012, KEPL manufactures fabrics and readymade
garments in Surat. Mr Sanjay Juneja and Mr Hiren Kapadia are the
promoters.
Registered in 2012, KT manufactures sarees and ladies' dress
material. The firm is based in Surat. Its partners are Mr. Sanjay
Juneja and Mr. Hiren Kapadia.
EPARIS JEWELLERS: CRISIL Keeps B Debt Rating in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Eparis
Jewellers (EJ) continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 10 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with EJ for
obtaining information through letter and email dated June 15, 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 EJ, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on EJ is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the ratings on bank facilities of EJ
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
EJ, set up in 1992, is a gold retailer, operating one showroom in
Cuttack (Odisha). Mr. Epari Madhav Rao and Mr. Epari Arvind Rao are
the promoters.
GO FIRST: Lessors Terminated Lease Fearing IBC Consequences
-----------------------------------------------------------
BQ Prime reports that the National Company Law Tribunal (NCLT)
offered relief to Go First on July 26 as it refused to restrain the
beleaguered airline from using the aircraft or engines leased by
its lessors.
BQ Prime relates that the NCLT clarified that only the resolution
professional could maintain and protect the aircraft.
According to BQ Prime, the lessors had sought interim relief to
ensure that their aircraft, its engines, and other parts were
protected from unauthorised access, removal, replacement,
operation, or use by Go First. They also sought permission to
depute an inspector to inspect the engines. They contended that
since their lease agreements with Go First had been terminated, the
airline did not have any right over the aircraft.
Go First argued that if it was stopped from operating the leased
aircraft, it wouldn't be able to sustain itself, the report relays.
It said access to the aircraft and the engines was required for the
resolution professional to fulfil his obligation to continue the
airline's functions as a going concern.
BQ Prime says the tribunal observed that since a moratorium was
declared for Go First, any property occupied by it could not be
recovered by the lessors. The NCLT said the leased aircraft would
come under the scope of property under the Insolvency and
Bankruptcy Code, and their possession undisputedly lies with the
airline itself.
BQ Prime notes that the bench rejected the contentions of the
lessors that they terminated the lease agreements with the airline
due to default on payments. The NCLT observed that since the
insolvency proceedings were widely reported, it was highly
indicative that the termination notices were issued to escape the
rigours of a moratorium.
Earlier, the Delhi High Court had passed an interim order for the
lessors, allowing them to inspect the aircraft monthly. It had also
restricted Go First from taking out any part of the planes without
the permission of the lessors.
However, the NCLT observed that the lessors before the bench were
not parties to the batch of writ petitions filed in court, the
report states. It said the high court did not lay down any new law
in the matter and, hence, the NCLT ruling would apply to the
lessors present before it.
The lessors before the NCLT include Bluesky 31 Leasing Co., Jackson
Square Aviation Ireland Ltd., SMBC Afro Engine Lease B.V., BOC
Aviation (Ireland) Ltd., and Engine Leasing Finance Ltd, BQ Prime
discloses.
On the request of the lessors to be allowed to inspect the
aircraft, the bench said it was the duty of the RP to maintain the
assets at the highest level of efficiency and safety, and there was
no need for any other inspection, BQ Prime relates.
BQ Prime says the NCLT found that the RP was already under an
obligation to maintain and protect the assets and, hence, an
inspection would not serve any useful purpose.
About Go First
Go First, formerly known as GoAir, was an Indian ultra-low-cost
airline based in Mumbai, Maharashtra. Go First was incorporated in
April 2004 as GoAir and commenced flight operations in November the
following year. Its inaugural flight was from Mumbai to Ahmedabad.
The airline is owned by the Wadia Group.
Go First filed an application for voluntary insolvency resolution
proceedings before National Company Law Tribunal (NCLT) on May 2,
2023.
The company said the filing with the NCLT comes after Pratt &
Whitney, the exclusive engine supplier for the airline's Airbus
A320neo aircraft fleet, refused to comply with an order to release
engines to the airline that would have allowed it return to full
operations.
Go First owes INR6,521 crore to its financial creditors, Bank of
Baroda, IDBI Bank, and Deutsche Bank. The airline has a total
liability of about INR11,463 crore to banks, other creditors,
vendors, and others.
On May 10, 2023, the NCLT accepted Go First's voluntary insolvency
petition. The NCLT bench appointed Abhilash Lal as the interim
resolution professional to look after the affairs of Go First and
also suspended its board as part of the insolvency resolution
process.
MARUTI RICH: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Maruti Rich Ventures PVT. LTD
Maruti Rich Ventures Pvt. Ltd
E-27, Road No. 5 Vikrampuri Colony,
Karkhana, Secunderabad 500026
Insolvency Commencement Date: June 25, 2023
Estimated date of closure of
insolvency resolution process: December 23, 2023
Court: National Company Law Tribunal, Hyderabad Bench
Insolvency
Professional: Bethanabhotla Sudhakar
Flat No D-405, Galaxy Apartments,
Raghavendra Colony, Hyderabad 50084
Mobile No: 9704719072
Email: bethanabhota.sudhakar@gmail.com
A-710 Usha Enclave, Navodaya Colony,
Srinagar Colony Extn.
Yellareddyguda, Near Satyasa Nigamagamam,
Hyderabad, Telangana - 500073
Email: marutinichventurescirp@gmail.com
Last date for
submission of claims: July 7, 2023
MYTRAH ENERGY: Insolvency Resolution Process Case Summary
---------------------------------------------------------
Debtor: Mytrah Energy (India) Private Limited
8th Floor, Q City, Survey No. 109
Gachibowli Nanakramguda Village
Serilingampally Mandal Hyderabad TG 500032
Insolvency Commencement Date: June 28, 2023
Estimated date of closure of
insolvency resolution process: December 27, 2023
Court: National Company Law Tribunal, Hyderabad Bench
Insolvency
Professional: Pesaladine Madhusudan Reddy
502, Tirumala Classic Apts, St No 3,
West Maredpally, Secunderabad,
Hyderabad - 500026
Email: pmreddy2000@gmail.com
Unit 3B,6-3-569/2 3rd Floor, Kamadhenu Rockdale
Compound,
Beside Eenadu Office
Somajiguda, Hyderabad 500 082
Email: cirp.mytrah@gmail.com
Last date for
submission of claims: July 14, 2023
NAVA HEALTHCARE: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Nava Healthcare Private Limited
C-1/10, Upper Ground Floor, Janak Puri,
New Delhi-110058
Insolvency Commencement Date: July 3, 2023
Estimated date of closure of
insolvency resolution process: December 30, 2023
Court: National Company Law Tribunal, Chandigarh Bench
Insolvency
Professional: Gurdev Bassi
1629 Progressive Housing Society,
Sector 50-B, Chandigarh, 160047
Email: ipgurdevbassi@gmail.com
C-127, 3rd Floor, Industrial Area, Phase 8,
Mohali, Punjab-160071
Email: irpnavahealthcare@gmail.com
Last date for
submission of claims: July 17, 2023
SIMTEL TRADING: Liquidation Process Case Summary
------------------------------------------------
Debtor: Simtel Trading Corporation Private Limited
Cheraykkayath Building,
Grace Home No. 8/700R,
Vayanasala Junction, Thengode Thrikkakara Ernakulam
Kerala 682030 India
Liquidation Commencement Date: June 30, 2023
Court: National Company Law Tribunal Kochi Bench
Liquidator: Vikky Dang
B-11, Near Mangal Bazar Gurudwara, Vishnu Garden,
New Delhi-110018
Email: vikkydang@gmail.com
B-41, 2nd Floor, Vishnu Garden Part -1,
Ganga Ram Vatika, New Delhi-110018
Email: cirp.simteltrading@gmail.com
Last date for
submission of claims: July 30, 2023
=================
I N D O N E S I A
=================
AGUNG PODOMORO: Moody's Affirms 'Caa2' CFR, Outlook Negative
------------------------------------------------------------
Moody's Investors Service has affirmed the corporate family rating
of Agung Podomoro Land Tbk (P.T.) at Caa2.
At the same time, Moody's has downgraded the backed senior
unsecured rating of the 2024 notes issued by APL Realty Holdings
Pte. Ltd. -- a wholly-owned subsidiary of Agung Podomoro Land -- to
Caa3 from Caa2. The notes are guaranteed by Agung Podomoro Land and
some of its subsidiaries.
The outlook on all ratings remains negative.
On July 25, 2023, Agung Podomoro Land announced that it had
received valid tenders of 56.01% of its $300 million US dollar
notes due June 2024, equivalent to $168 million of notes following
the expiration of the tender offer exercise. Under the terms of the
transaction, the notes will be bought back at a steep discount to
par, at a tender price of $600 per $1,000 of bond principal.
Following the transaction, $132 million of the US dollar notes will
remain outstanding. The tender offer was funded with a new 18-month
bridge loan of up to IDR1.8 trillion (-$120 million) that the
company obtained.
"Moody's view the transaction as a distressed exchange, which is a
form of default under Moody's definition. This reflects the clear
economic loss of 40% compared with the original promise, and given
the looming maturity in June 2024 with weak liquidity profile, the
transaction is intended to partly help the company avoid a
default," says Rachel Chua, a Moody's Vice President and Senior
Analyst.
"The ratings on the remaining US dollar notes have been notched to
Caa3 to reflect legal subordination risk for the noteholders. The
company's post-tender capital structure will shift to incorporate a
majority of secured borrowings," adds Chua.
RATINGS RATIONALE
The Caa2 CFR continues to reflect Agung Podomoro Land's still
significant, albeit lower, refinancing needs over the next 12-18
months. It will have to address the remaining $132 million of the
US dollar bonds due in June 2024 as well as the new bridge loan
that it obtained for this tender exercise, which will expire in
January 2025. The company has to complete the sale of some of its
assets within the next 18 months to repay the bridge loan.
The company also has its IDR350 billion medium-term notes (MTN)
that will come due in August 2023. According to the company, the
maturity of the MTN has been extended to August 2025.
Agung Podomoro Land's net marketing sales performance in the first
half (1H) of 2023 has been relatively weak. The company announced
net pre-sales of IDR579 billion for the first two quarters of the
year, relative to its full-year projection of IDR2 trillion-IDR2.5
trillion. The sales amount was net of cancellations from projects
principally in Medan and Bandung. Excluding these cancellations,
marketing sales would have been closer to around ID1.3 trillion.
It remains unclear if more cancellations - which have picked up
since the second half of 2022 - will continue. Moody's expects
Agung Podomoro to achieve relatively flat marketing sales in 2023,
against its 2022 level of IDR1.6 trillion-IDR1.7 trillion.
Moody's forecasts Agung Podomoro Land's leverage will remain
elevated at over 8.0x over the next 12-18 months, while its
interest coverage will remain under 0.5x.
Agung Podomoro Land's liquidity is very weak. The company had a
cash balance of IDR0.9 trillion as of March 31, 2023, which
together with its operating cash flow through mid-2024, will not
sufficiently address its debt maturities.
The negative rating outlook continues to reflect Agung Podomoro
Land's elevated refinancing risk over the next 12-18 months.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
An upgrade of Agung Podomoro Land's ratings would depend on the
company meeting its refinancing needs over the next 12-18 months as
well as establishing a sustainable capital structure and business
operations.
Moody's could also upgrade Agung Podomoro Land's bond rating if the
company demonstrates meaningful access to unsecured borrowings over
time such that its unsecured debt accounts for the majority of
total borrowings.
Moody's could downgrade Agung Podomoro Land's ratings if the
company fails to make further progress on arranging for funding to
service its debt such that the risk of default increases materially
higher than indicated by the current ratings.
The principal methodology used in these ratings was Homebuilding
and Property Development published in October 2022.
Agung Podomoro Land Tbk (P.T.) (APL) is an integrated property
developer listed on the Indonesia Stock Exchange in 2010. The
company and its subsidiaries are engaged in the development,
management and operation of apartments, landed houses, retail
malls, office towers and hotel properties.
APL has a strong presence in Jakarta and developments in eight
other cities across Indonesia. APL is controlled by Trihatma Kusuma
Haliman and family, who held a stake of around 88% in the company
as of June 30, 2023.
===============
M O N G O L I A
===============
MONGOLIA: S&P Affirms 'B' Sovereign Credit Ratings, Outlook Stable
------------------------------------------------------------------
S&P Global Ratings, on July 27, 2023, affirmed its 'B' long- and
short-term sovereign credit ratings on Mongolia. The outlook on the
long-term rating is stable.
Outlook
The stable outlook balances risks to Mongolia's commodity export
and growth prospects against our expectation that the country's
economy will improve further over the next 12 months. The latter
will improve Mongolia's external, fiscal, and debt metrics.
Downside scenario
Downward pressure could emerge if the economic recovery is
derailed, leading to a material degradation of Mongolia's fiscal
and debt metrics.
Upside scenario
S&P said, "We could raise the ratings on Mongolia if the economy
performs better than our current projections such that we expect
its long-term trend growth to be much stronger than that of
sovereign peers of similar income levels. This would lead to
fiscal, debt, or external metrics improving more rapidly than we
expect.
"We could also raise the ratings if we observe that Mongolia makes
material improvements in its institutional settings, especially in
the predictability of policymaking.
Rationale
S&P said, "Our ratings on Mongolia reflect its modest per capita
income, evolving institutional settings, and elevated external
imbalances. We weigh these factors against steady access to
concessional funding from multilateral and bilateral partners. The
government's recent track record of fiscal discipline also supports
the rating. Nevertheless, Mongolia continues to face significant
vulnerabilities stemming from a concentrated economic base and
elevated external indebtedness."
Institutional and economic profile: Economic recovery to gain
momentum with the reopening of borders with China
-- S&P expects Mongolia's real GDP to rebound strongly in 2023,
with support from surging exports following the removal of border
restrictions with China.
-- Economic prospects over the next two to three years remain
positive and will likely continue to gain from strong foreign
direct investments in mining.
-- Political stability should produce constructive policymaking,
albeit tempered by risks to continuity pending parliamentary
elections in 2024.
S&P said, "We forecast Mongolia's real GDP will expand by 5.5% in
2023 as border reopening by China enables exports to flourish. The
Mongolian economy is off to a strong start, after expanding by 7.8%
year on year in the first quarter of 2023, amid very strong
exports. A decline in private consumption prevented a sharper
expansion, with some mitigation from an appreciable upswing in
government consumption.
"Mongolia's long-term GDP growth could remain volatile but should
benefit from its recent expansion in mining. The pandemic in 2020,
followed by a tepid recovery in 2021, dented the country's
long-term economic performance. As a result, we do not assess
Mongolia as having a stronger economic performance than peer
countries."
Mongolia's economy remains heavily connected with external trade.
As an illustration, restrictions at the Chinese border prevented
the country from fully capitalizing on high commodity prices in
2022. The ongoing Russia-Ukraine conflict exacerbated the situation
and added to inflationary pressures.
Headline inflation averaged 15.2% in 2022 but is abating gradually.
Still, inflation remains high. Together with high interest rates,
this will constrain consumption growth this year. On the other
hand, a resumption of underground mining at the Oyu Tolgoi
copper-gold mine could fuel a recovery in investments.
The government has made considerable progress in developing key
infrastructure projects, including the Tavan Tolgoi-Zuunbayan and
Tavan Tolgoi-Gashuunsukhait railway lines. This will significantly
increase carrying capacity for coal export volumes. The railway
lines have begun operations and have cut transportation costs. More
importantly, they have eased trucking bottlenecks. Further progress
in increasing exports will depend on the completion of
transshipping facilities to reconcile the Mongolian broad-gauge
rail with the Chinese standard gauge.
S&P said, "Mongolia has a promising economic outlook, in our view.
We forecast real GDP growth will average about 6% annually through
2026, on the back of sustained investments in the Tavan Tolgoi and
Oyu Tolgoi mining projects." The government concluded negotiations
with Rio Tinto on the Oyu Tolgoi project last year that covered
loan waivers, cost overruns, development delays, and power supply
issues. This enabled expansion work to begin at the underground
site and production to come online earlier this year.
Nevertheless, there remain meaningful downside risks to the growth
trajectory. Mongolia's economy is highly vulnerable to exogenous
shocks due to its heavy dependence on commodity exports to China.
Acute shifts in commodity cycles could also heighten volatility in
economic and fiscal outcomes.
With the ruling Mongolian People's Party (MPP) maintaining a strong
parliamentary majority, S&P expects policymaking and stability to
gradually improve. However, institutional and governance weaknesses
remain rating limitations. Allegations of corruption at the
state-owned mining company, Erdenes Tavan Tolgoi JSC, in handling
coal deliveries to China resulted in widespread public protests in
December 2022.
The government has generally maintained its recent record of
constructive economic policymaking after the ruling MPP
strengthened its political dominance with the election of the
former prime minister as the new president in June 2021. The
constructive policymaking included a return to prudent fiscal
settings post-pandemic, and close collaboration with multilateral
and bilateral partners to institute reforms and ensure continued
access to concessional financing. S&P anticipates policy continuity
until at least the next general election sometime in 2024.
Flexibility and performance profile: Fiscal deficit likely in 2023,
but consolidation will follow as the economy recovers gradually
-- Mongolia's fiscal position will deteriorate in 2023 but improve
thereafter, as the government pares back its deficit in line with
its medium-term fiscal framework.
-- External indebtedness relative to current account receipts
improved in 2022, and a potential recovery in commodity exports
should strengthen external metrics further over the next three
years.
-- The sovereign's steady access to concessional funding mitigates
some credit risks associated with elevated levels of public and
external indebtedness.
S&P said, "We expect Mongolia to record a fiscal deficit of 2.6% of
GDP in 2023. Government spending will remain high in the run-up to
elections in 2024 and as the authorities continue to spend to
support the economy, including investment projects. The higher
spending could outweigh government revenue, which will likely
benefit from better economic prospects this year. Nevertheless, we
believe this deterioration will be temporary and the government
will resume gradual consolidation after that."
Higher fiscal revenue than we expected led to a surplus of 1.3% of
GDP in 2022 at the general government level, a reversal from a
deficit of 2.6% of GDP in 2021. Support came from the commodity
upcycle and economic recovery. The robust revenue in the past two
years has enabled Mongolia to considerably reduce its cost of
public indebtedness, as measured by the ratio of interest to
revenue. Strong market demand for the country's debt and a
substantial concessional component also capped its borrowing
costs.
High nominal GDP growth alongside fiscal consolidation has enabled
Mongolia to substantially reduce its debt burden. Net general
government debt to GDP declined by about 14 percentage points to
63.6% of GDP in 2022 from 2020 levels. S&P forecasts this ratio
will decline to 57.8% in 2023 and below 55% by next year. This will
entail the government reducing its deficit to about 2.5% of GDP by
end-2024.
Nevertheless, Mongolia's fiscal outcomes can be volatile, driven by
the vagaries of commodity cycles. The government's revenue base is
dependent on the mining sector. Debt stock dynamics can, at times,
be disconnected from budget performance because the bulk of
government debt is denominated in foreign currencies. For example,
in 2022, despite a general government surplus of 1.3% of GDP, net
government debt increased by 7.8% of GDP because of a sharp
depreciation of the Mongolia tugrik.
S&P said, "We consider government guarantees on Development Bank of
Mongolia (DBM) obligations as part of government debt. This follows
the government's provision of extraordinary support to meet DBM's
debt repayments in 2017. Furthermore, the Ministry of Finance
became the sole shareholder of DBM from April 2020. The adoption
and ongoing implementation of more robust laws for DBM and the
Deposit Insurance Corp. of Mongolia should curtail future fiscal
risks.
"We view the rest of the financial and public enterprise sectors as
posing limited contingent liabilities to the government. This is
largely due to the modest size of the financial sector. That said,
the country's banks remain vulnerable to risks associated with an
under-developed, primarily commodity-based, low-income economy.
"We also observe continued weaknesses in Mongolia's regulatory
framework, transparency, and disclosures. Our Bank Industry Credit
Risk Assessment for Mongolia is '9' (with '1' being the highest
assessment and '10' being the lowest)."
Mongolia's current account deficit remained wide at 13.5% of GDP in
2022, after jumping to 13.4% of GDP in 2021 from 5.0% in 2020.
Import growth that far outpaced export growth had led to a decline
in the country's trade surplus. S&P expects the current account to
record a large deficit in 2023 as well, at about 13% of GDP.
Consequently, external indebtedness, net of liquid assets held by
the public and financial sectors as a share of current account
receipts, will decrease only modestly in 2023.
Mongolia's external liquidity position, as measured by its gross
external financing needs (current account payments plus short-term
external debt), will also likely stay above 100% of current account
receipts plus usable reserves, indicating that liquidity pressures
will remain elevated.
That said, Mongolia's external position should benefit from strong
growth in exports over the next few years as production from the
underground phase of the Oyu Tolgoi mine expands and Chinese
economic growth accelerates. This will partially offset a surge in
capital imports brought on by a revival of economic activity, in
our assessment.
The above guides our forecast for the current account deficit to
gradually narrow to 7.7% of GDP by 2025, largely funded by foreign
direct investments. The narrowing should also reduce Mongolia's
narrow net external indebtedness, which could decline to less than
100% of current account receivables by 2025.
Strong donor and lending support from both bilateral and
multilateral partners can partially mitigate risks associated with
Mongolia's high external indebtedness and financing needs. In
August 2020, Bank of Mongolia (BoM) extended a Chinese renminbi
(RMB) 15.0 billion swap agreement with the People's Bank of China,
valid until 2023. S&P includes the drawdown on this swap line in
our calculation of Mongolia's general government debt stock.
Separately, the government issued a five-year US$650 million bond
earlier this year which has allowed it to refinance some parts of
its maturing debt this year and next.
Although S&P continues to assess BoM's currency regime as floating,
persistent intervention over time could lead to lower reserve
coverage and an overvalued exchange rate. Gross reserves declined
precipitously to US$2.7 billion in August 2022 from US$4.4 billion
at end-2021, partly due to central bank intervention. However,
reserves recovered to US$3.8 billion at the end of June 2023,
thanks to higher exports.
Mongolia's central bank had executed quasi-fiscal spending programs
on behalf of the government previously and during the pandemic.
Therefore, S&P deems the bank's independence to be limited.
Although reforms adopted from 2016 onward have strengthened central
bank governance, BoM's track record of operational independence
remains limited.
In accordance with S&P's relevant policies and procedures, the
Rating Committee was composed of analysts that are qualified to
vote in the committee, with sufficient experience to convey the
appropriate level of knowledge and understanding of the methodology
applicable. At the onset of the committee, the chair confirmed that
the information provided to the Rating Committee by the primary
analyst had been distributed in a timely manner and was sufficient
for Committee members to make an informed decision.
After the primary analyst gave opening remarks and explained the
recommendation, the Committee discussed key rating factors and
critical issues in accordance with the relevant criteria.
Qualitative and quantitative risk factors were considered and
discussed, looking at track-record and forecasts.
The committee's assessment of the key rating factors is reflected
in the Ratings Score Snapshot above.
The chair ensured every voting member was given the opportunity to
articulate his/her opinion. The chair or designee reviewed the
draft report to ensure consistency with the Committee decision. The
views and the decision of the rating committee are summarized in
the above rationale and outlook. The weighting of all rating
factors is described in the methodology used in this rating
action.
Ratings List
RATINGS AFFIRMED
MONGOLIA
Sovereign Credit Rating B/Stable/B
Transfer & Convertibility Assessment
Local Currency B+
MONGOLIA
Senior Unsecured B
=====================
N E W Z E A L A N D
=====================
BS DEVELOPMENTS: Court to Hear Wind-Up Petition on Aug. 4
---------------------------------------------------------
A petition to wind up the operations of BS Developments Limited
will be heard before the High Court at Auckland on Aug. 11, 2023,
at 10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on June 23, 2023.
The Petitioner's solicitor is:
Cloete Van Der Merwe
Inland Revenue, Legal Services
5 Osterley Way
Manukau City
Auckland 2104
N & H GROUP: Court to Hear Wind-Up Petition on Aug. 11
------------------------------------------------------
A petition to wind up the operations of N & H Group Limited will be
heard before the High Court at Auckland on Aug. 11, 2023, at 10:00
a.m.
The Commissioner of Inland Revenue filed the petition against the
company on June 15, 2023.
The Petitioner's solicitor is:
Cloete Van Der Merwe
Inland Revenue, Legal Services
5 Osterley Way
Manukau City
Auckland 2104
TBR DECORATOR: Creditors' Proofs of Debt Due on Aug. 29
-------------------------------------------------------
Creditors of TBR Decorator Limited are required to file their
proofs of debt by Aug. 18, 2023, to be included in the company's
dividend distribution.
Steven Khov and Kieran Jones of Khov Jones Limitedwere appointed
joint and several liquidators of the company by the High Court at
Auckland on July 21, 2023.
TRANSIT ENGINEERING: Court to Hear Wind-Up Petition on Aug. 3
-------------------------------------------------------------
A petition to wind up the operations of Transit Engineering Limited
will be heard before the High Court at Christchurch on Aug. 3,
2023, at 10:00 a.m.
The Commissioner of Inland Revenue filed the petition against the
company on May 30, 2023.
The Petitioner's solicitor is:
Nanette Cunningham
Inland Revenue, Legal Services
PO Box 1782
Christchurch 8140
WAYNE'S PLASTERING: Creditors' Proofs of Debt Due on Aug. 26
------------------------------------------------------------
Creditors of Wayne's Plastering Limited are required to file their
proofs of debt by Aug. 26, 2023, to be included in the company's
dividend distribution.
The company commenced wind-up proceedings on July 20, 2023.
The company's liquidators are:
Adam Botterill
Damien Grant
Waterstone Insolvency
PO Box 352
Auckland 1140
=================
S I N G A P O R E
=================
ALL MEASURE: Court to Hear Wind-Up Petition on Aug. 11
------------------------------------------------------
A petition to wind up the operations of All Measure Technology (S)
Pte Ltd will be heard before the High Court of Singapore on Aug.
11, 2023, at 10:00 a.m.
Standard Chartered Bank (Singapore) Limited filed the petition
against the company on July 21, 2023.
The Petitioner's solicitors are:
Rajah & Tann Singapore LLP
9 Straits View
#06-07 Marina One West Tower
Singapore 018937
DWT PTE: Court to Hear Wind-Up Petition on Aug. 11
--------------------------------------------------
A petition to wind up the operations of DWT Pte Ltd will be heard
before the High Court of Singapore on Aug. 11, 2023, at 10:00 a.m.
Expara IDM Ventures II Pte Ltd filed the petition against the
company on July 14, 2023.
The Petitioner's solicitors are:
Rev Law LLC
1D Duxton Hill
Singapore 089587
THIRTY LIVING: Court Enters Wind-Up Order
-----------------------------------------
The High Court of Singapore entered an order on July 21, 2023, to
wind up the operations of Thirty Living Pte. Ltd.
Maybank Singapore Limited filed the petition against the company.
The company's liquidators are:
Mr. Gary Loh Weng Fatt
c/o BDO Advisory
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
TIONG AIK: Placed in Provisional Liquidation
--------------------------------------------
Messrs. Lin Yueh Hung and Ng Kian Kiat on July 17, 2023, were
appointed as liquidators of Tiong Aik Construction Pte Ltd.
WBL GLOBAL: Court Enters Wind-Up Order
--------------------------------------
The High Court of Singapore entered an order on July 20, 2023, to
wind up the operations of WBL Global Management Pte. Ltd.
The company's liquidators are:
Lau Chin Huat
Yeo Boon Keong
Technic Inter-Asia
50 Havelock Road #02-767
Singapore 160050
=====================
S O U T H K O R E A
=====================
MG NON-LIFE: Multiple Potential Buyers Eye Insolvent Insurer
------------------------------------------------------------
The Korea Times reports that MG Non-Life Insurance is increasingly
drawing attention from multiple potential buyers after it was put
up for sale last year, as acquisition of the mid-tier insurer
appears a cost-effective means of business diversification.
According to market observers, on July 26, the non-life insurance
market is recovering fast compared to the life insurance market
which has remained sluggish for years, suggesting acquisition of
the insurer could be lucrative in the long term, the Korea Times
relays.
The insurer has been controlled by state-run Korea Deposit
Insurance Corp. since April 2022 after the Financial Services
Commission (FSC) designated it an insolvent financial institution,
the report notes.
Market observers speculate that, under such state ownership, MG
Non-Life Insurance could be sold at a lower than estimated price
given Korea Deposit Insurance Corp.'s bid to sell off the
tax-financed company quickly, the Korea Times notes.
Against this backdrop, Kyobo Life Insurance and three financial
holdings companies - Woori, Hana and Shinhan - have been touted as
interested parties for the acquisition.
Each of the four said on July 26 that nothing has been determined
regarding the possible purchase of MG Non-Life Insurance.
But sources familiar with Kyobo Life Insurance said it is "possibly
the most interested party" among the four, pointing out that it is
pushing to convert itself into a financial holding company, the
Korea Times relays.
"Transforming into a financial holdings firm requires approval from
the financial regulator and advancing to the non-life insurance
market can be helpful in proving capability in business
diversification," a source explained.
Regarding Woori Financial Group, it remains the country's only
major banking group that does not have insurers and brokerage
houses under its wing, the report states.
The company accordingly has been pushing to diversify its
non-banking portfolios.
Shinhan Financial Group and Hana Financial Group are both believed
to be interested in MG Non-Life Insurance because their respective
non-life insurance businesses are not profitable.
In the first quarter of 2023, Hana Insurance posted a net loss of
KRW8.3 billion and Shinhan EZ General Insurance logged a net loss
of KRW900 million, the report discloses.
The Korea Times meanwhile reports that market observers consider
the merger of MG Non-Life Insurance can be realized when the
ownership dispute concerning JC Partners, a private equity firm, is
settled.
The largest shareholder of MG Non-Life Insurance, JC Partners has
filed a suit against the FSC against its designation of the insurer
as an insolvent financial institution. The equity firm also opposes
Korea Deposit Insurance Corp.'s sale of the insurer, the report
notes.
=================
S R I L A N K A
=================
CONSTRUCTION GUARANTEE: Fitch Puts BB(lka) IFS on Rating Watch Neg.
-------------------------------------------------------------------
Fitch Ratings has maintained Sri Lanka-based Construction Guarantee
Fund's (CGF) National Insurer Financial Strength (IFS) Rating of
'BB(lka)' on Rating Watch Negative (RWN).
KEY RATING DRIVERS
Elevated Risks for Credit Profile: The RWN reflects heightened
near-term downside risks to the fund's credit profile as a result
of the ongoing economic crisis in Sri Lanka (Long-Term
Foreign-Currency Issuer Default Rating (IDR): Restricted Default).
This includes a weakened operating environment, elevated investment
and liquidity risks and a weaker financial performance outlook.
Weakened Operating Environment: CGF's performance exhibits a strong
correlation with government construction activity, as the company
offers guarantees and related services to small-and-medium
contractors involved in government construction projects. The
government's weakened fiscal position has resulted in a reduction
of new construction contracts, suspension of existing projects and
delays in payments to contractors. This has affected CGF through a
decline in premium income and a higher risk of claims by
employers.
Conservative Investment Mix: Fitch believe the sovereign's weak
credit profile and the continuous stress in the domestic banking
system increase CGF's investment risks. Around 78% of its invested
assets were in cash and term deposits placed with state-owned Bank
of Ceylon (Long-Term Foreign-Currency IDR: CC, National Long-Term
Rating: A(lka)/RWN) at end-2022, while treasury bills accounted for
the remainder.
Pressure on Earnings: CGF's premium income plunged by 63% in 2022
to LKR107 million from a year earlier due to a reduction in
guarantee volume. However, its expenses, which are predominantly
fixed, rose by 14% amid rising inflation. Fitch expect a continued
decrease in premium income as guarantee volumes will decline until
there is a revival in the local construction sector. Hence,
investment income will be the primary source of income in negating
the earnings pressure from the topline fall and meeting CGF's
recurrent expenditure.
Increased Claims in 2022: CGF's combined ratio (after factoring in
claim expenses) deteriorated to around 98% in 2022 from 28% in 2021
due to claims of LKR14 million compared with none in 2021 and the
drop in premium income. Total claim initiations since inception
were low at LKR112 million by end-2022 (6.4% of equity). CGF said a
further rise in claims for 2023 will be minimal as the majority of
the existing guarantee liabilities will expire by August 2023.
Moderate Company Profile: Fitch rank CGF's company profile as
'Moderate' compared with that of other insurers in Sri Lanka,
reflecting its 'Moderate' business profile and
'Moderate/Favourable' corporate governance. CGF is fully owned by
the state, with the secretary to the Treasury functioning as the
trust's settlor. Its competitive position is strengthened by the
expertise of its trustees, which comprise both public- and
private-sector institutions. It has a small operating scale with
total assets and equity of LKR2.6 billion and LKR1.7 billion,
respectively, at end-2022.
High Risk Appetite: Fitch regards the trust's risk appetite as high
given its role in offering guarantees to riskier, especially
small-and-medium scale, contractors that are registered under the
National Registration Scheme developed by the Construction Industry
Development Authority, without requiring collateral. CGF attempts
to mitigate these risks by conducting comprehensive screening of
the contractors' technical and financial capabilities.
Adequate Capital: Its net guarantee risk exposure to total capital
decreased to 0.4x by end-2022, from 3.1x at end-2021. This was from
net guarantees falling to LKR772 million (2021: LKR4.4 billion) on
the lower volume of new guarantees and discontinuation of some
projects. CGF's capital is supported entirely by an internally
generated net surplus.
RATING SENSITIVITIES
Fitch expect to resolve the RWN once the impact of Sri Lanka's
economic crisis on CGF's credit profile becomes more apparent. This
may take longer than six months.
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade:
-- Rising investment and asset risks, including a downgrade of the
ratings of financial institutions or the sovereign
-- Significant liquidity constraints that impede CGF's ability to
service its guarantee obligations
-- Sustained weakness in financial performance or weaker risk
management practices
-- A deterioration in CGF's company profile - for instance, due to
significant weakening in its association with the government - or a
deterioration in its business risk profile due to a decline in the
country's economic conditions that affects the domestic
construction sector
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade:
-- There is limited scope for upward rating action given the RWN.
SRI LANKA: Invites Japan to Resume Investment
---------------------------------------------
Reuters reports that Sri Lanka on July 29 invited Japan to resume
investment in projects including power, roads and ports as the
Japanese foreign minister wrapped up the first high-level visit to
the crisis-hit country in nearly four years.
According to Reuters, Sri Lanka Foreign Minister Ali Sabry said his
country was seeking Japanese investment in sectors such as power,
infrastructure and dedicated investment zones, as well as in the
green and digital economies.
Reuters says the South Asian island nation is working to
restructure its massive debt to continue a $2.9 billion bailout
from the International Monetary Fund, after its worst financial
crisis in more than seven decades last year triggered default and
the resignation of its president.
"We are confident that Sri Lanka's economic recovery, which has
made a promising start, and future growth prospects will provide us
with greater opportunities to enhance the Japan-Sri Lanka
relationship," Sabry told a news conference, Reuters relays.
He was joined by Japanese Foreign Minister Yoshimasa Hayashi, who
is in Colombo as part of a multi-country diplomatic tour including
India, South Africa, Uganda, Ethiopia and the Maldives.
"I conveyed my expectations for further progress in the debt
restructuring process and stressed the importance of a transparent
and comparable debt restructuring that involves all creditor
countries," the report quotes Mr. Hayashi as saying.
He did not respond publicly to Sabry's investment invitation.
According to Reuters, Japan's historically vibrant relations with
Sri Lanka cooled after the island unilaterally suspended a $2
billion light railway project in 2020.
Ties improved in recent months after President Ranil Wickremesinghe
appealed to Japan to help Sri Lanka weather the crisis, caused by
economic mismanagement by successive governments, deep tax cuts and
then the COVID-19 pandemic, Reuters relates.
Wickremesinghe received Cabinet approval this month to reactivate
the light rail project, Reuters notes.
Lying along key shipping routes in the Indian Ocean, Sri Lanka has
become a hot spot for influence between India and Japan on the one
side and China on the other.
Japan is Sri Lanka's biggest bilateral lender after China, with
about $2.7 billion in outstanding loans, according to finance
ministry data. India is the third key creditor, the report states.
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
n its history in April last year as the worst financial crisis
since independence from Britain in 1948 crushed its economy.
As recently reported in the Troubled Company Reporter-Asia Pacific,
S&P Global Ratings, on July 21, 2023, lowered its long-term local
currency sovereign credit rating on Sri Lanka to 'CC' from 'CCC-'.
At the same time, S&P affirmed the other ratings on Sri Lanka,
including the 'SD' long-term foreign currency rating. The outlook
on the 'CC' long-term local currency sovereign credit rating is
negative.
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S U B S C R I P T I O N I N F O R M A T I O N
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Copyright 2023. All rights reserved. ISSN: 1520-9482.
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