/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/231013.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Friday, October 13, 2023, Vol. 26, No. 206 Headlines A U S T R A L I A BAD SHEPHERD: First Creditors' Meeting Set for Oct. 18 EXPERT WEALTH: First Creditors' Meeting Set for Oct. 18 LEAN PERFORMANCE: Second Creditors' Meeting Set for Oct. 17 SPRAYER BARN: Second Creditors' Meeting Set for Oct. 17 THOSE LOCAL: First Creditors' Meeting Set for Oct. 19 [*] AUSTRALIA: ASIC Announces Action Against 11 SMSF Auditors C H I N A CHINA HONGQIAO: Moody's Affirms 'Ba2' CFR, Alters Outlook to Neg. PING AN REAL: Moody's Assigns Ba1 CFR, Alters Outlook to Negative I N D I A AANCHAL ISPAT: Insolvency Resolution Process Case Summary ABF RURAL: CARE Keeps C Debt Rating in Not Cooperating Category ANANTHAKRISHNA SHETTY.K: CARE Keeps C Rating in Not Cooperating ASCEND GREEN: ICRA Keeps D Debt Rating in Not Cooperating BABANRAOJI SHINDE: CRISIL Keeps D Debt Rating in Not Cooperating BUDS TEA: ICRA Keeps D Debt Ratings in Not Cooperating Category COSMOS JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating DATTA KRUPA: CARE Keeps D Debt Rating in Not Cooperating DEEPAK CABLES: CRISIL Keeps D Debt Ratings in Not Cooperating DUBLIN PROMOTERS: Liquidation Process Case Summary GO FIRST: Naveen Jindal Company Submits EoI GUJARAT COTFIB: ICRA Keeps D Debt Rating in Not Cooperating J. R. AGROTECH: CRISIL Lowers Long/Short Term Debt Ratings to D J.P ELECTRICAL: CRISIL Lowers Long/Short Term Ratings to D JEFFSON UNIVERSAL: Liquidation Process Case Summary KRISHNA PREMIUM: Liquidation Process Case Summary LANCO KONDAPALLI: CRISIL Keeps D Debt Ratings in Not Cooperating M.M. ISPAT: ICRA Keeps D Debt Rating in Not Cooperating Category METENERE LIMITED: CRISIL Keeps D Debt Ratings in Not Cooperating MILLER BUILDERS: Liquidation Process Case Summary N.P. AGRO: CRISIL Lowers Long/Short Term Debt Ratings to D NAVIGATOR CREATORS: Liquidation Process Case Summary NAVIGATOR DEVELOPERS: Liquidation Process Case Summary NUCLEUS SATELLITE: Liquidation Process Case Summary PORPOISE REALTORS: Liquidation Process Case Summary PRESTAR INFRA: CRISIL Lowers Long/Short Term Debt Ratings to D PRIMUSS PIPES: CRISIL Keeps D Debt Ratings in Not Cooperating PRISTINE PROMOTERS: Liquidation Process Case Summary PYTEX JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating RASHMI YARNS: Liquidation Process Case Summary RUBBER PRODUCTS: CRISIL Keeps D Debt Ratings in Not Cooperating SAINIK MINING: CRISIL Keeps D Debt Ratings in Not Cooperating SEASTAR REALTORS: Liquidation Process Case Summary SELVA DEVELOPERS: Liquidation Process Case Summary SHAFT DEVELOPERS: Liquidation Process Case Summary SHAFT PROMOTERS: Liquidation Process Case Summary SHREEDHAR MILK: CRISIL Keeps D Debt Rating in Not Cooperating SHRIVALLABH PITTIE: NCLT Admits Insolvency Plea; Appoints IRP SIKKIM FERRO: CRISIL Keeps D Debt Ratings in Not Cooperating SPICEJET: Lessors Told to Study Impact of IBC Notice on Leases SSS RICE: ICRA Lowers Rating on INR16cr LT Loan to D SYBLY INDUSTRIES: CRISIL Keeps C Debt Ratings in Not Cooperating TRISONS IMPEX: CRISIL Keeps D Debt Ratings in Not Cooperating VACC-SYN BIOTECH: Liquidation Process Case Summary VENUE DEVELOPERS: Liquidation Process Case Summary VENUE PROMOTERS: Liquidation Process Case Summary I N D O N E S I A MEDCO ENERGI: Fitch Assigns 'B+' Rating to Proposed Sr. Unsec Notes MEDCO ENERGI: S&P Puts 'B+' LT Issue Rating to USD Sr. Unsec. Notes J A P A N JAPAN: Corporate Bankruptcies Hit 8-Year High in April-September M A L A Y S I A MYAIRLINE: Abruptly Halts Operations Due to 'Financial Pressures' N E W Z E A L A N D AVALIA IMMUNOTHERAPIES: Creditors' Proofs of Debt Due on Nov. 10 BROTHERS BEER: Plan Put Forward to Trade Firm out of NZD5MM Debt CIVIL PRINT: Creditors' Proofs of Debt Due on Nov. 6 FFPG HOLDINGS: Court to Hear Wind-Up Petition on Oct. 20 KAUKAPAKAPA VILLAGE: PKF Corporate Appointed as Liquidators LEVEL BUILDING: Court to Hear Wind-Up Petition on Oct. 26 S I N G A P O R E CADENCE HEALTH: Creditors' Proofs of Debt Due on Nov. 16 QGC TRADE: Court Enters Wind-Up Order ROYER SEA: Creditors' Meeting Set for Oct. 24 TEK AN: Court Enters Wind-Up Order THREE ARROWS: WOO Network Buys Back Shares & Tokens X-SYNERGY GROUP: Court to Hear Wind-Up Petition on Oct. 27 S R I L A N K A CEYLON ELECTRICITY: Fitch Hikes National LT Rating to 'BB+(lka)' SRI LANKA: IMF Caught Off Guard as China Strikes Debt Deal - - - - - ================= A U S T R A L I A ================= BAD SHEPHERD: First Creditors' Meeting Set for Oct. 18 ------------------------------------------------------ A first meeting of the creditors in the proceedings of Bad Shepherd Brewing Co. Pty Ltd will be held on Oct. 18, 2023, at 2:00 p.m. by Microsoft Teams. Atle Crowe-Maxwell of DBA Advisory was appointed as administrator of the company on Oct. 10, 2023. EXPERT WEALTH: First Creditors' Meeting Set for Oct. 18 ------------------------------------------------------- A first meeting of the creditors in the proceedings of Expert Wealth Management Pty Ltd will be held on Oct. 18, 2023, at 11:00 a.m. at the offices of Cor Cordis, Level 29, 360 Collins Street in Melbourne and via virtual meeting technology. Barry Wight and Sam Kaso of Cor Cordis were appointed as administrators of the company on Oct. 6, 2023. LEAN PERFORMANCE: Second Creditors' Meeting Set for Oct. 17 ----------------------------------------------------------- A second meeting of creditors in the proceedings of Lean Performance Pty Ltd has been set for Oct. 17, 2023 at 11:00 a.m. at the offices of Roger and Carson at C2.5/135 Victoria Road in Drummoyne and via video conference. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Oct. 16, 2023 at 4:00 p.m. Nicarson Natkunarajah of Roger and Carson was appointed as administrator of the company on Sept. 15, 2023. SPRAYER BARN: Second Creditors' Meeting Set for Oct. 17 ------------------------------------------------------- A second meeting of creditors in the proceedings of Sprayer Barn Moree Pty Limited has been set for Oct. 17, 2023 at 10:30 a.m. at the offices of Worrells at Level 2 AMP Building, 1 Hobart Place in Canberra and via virtual meeting technology. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Oct. 16, 2023 at 5:00 p.m. Stephen John Hundy of Worrells was appointed as administrator of the company on Sept. 11, 2023. THOSE LOCAL: First Creditors' Meeting Set for Oct. 19 ----------------------------------------------------- A first meeting of the creditors in the proceedings of Those Local Guys Pty Ltd will be held on Oct. 19, 2023, at 10:00 a.m. via virtual meeting. Terrence John Rose and Adam Peter Kersey of SV Partners were appointed as administrators of the company on Oct. 9, 2023. [*] AUSTRALIA: ASIC Announces Action Against 11 SMSF Auditors ------------------------------------------------------------- The Australian Securities and Investments Commission (ASIC) has taken action against 11 self-managed superannuation fund (SMSF) auditors, where conduct has fallen short and they have breached their obligations, in the quarter ending 30 September 2023. This included breaches of auditing and assurance standards, independence requirements and registration conditions. ASIC Deputy Chair Sarah Court said, 'SMSF auditors have a critical role in upholding the integrity of the SMSF sector through annual audits. They oversee over 610,000 SMSFs, representing more than AUD875 billion in funds. SMSF auditors play an essential role in supporting confidence in the SMSF sector, and ASIC will continue to take action where their conduct is inadequate.' Between July 1, 2023 and September 30, 2023, ASIC: * disqualified three SMSF auditors; * imposed additional conditions on five SMSF auditors; and * cancelled the registration of three SMSF auditors. Carlo Celisano, Eamon Lynch and Brian Townhill were disqualified from being SMSF auditors. Their names have been placed on ASIC's public banned and disqualified register and are not eligible to reapply for registration. Anthony Boys, Laurence Carwardine, Gurjeet Singh, Bruno Sternberg and Mark Turner had additional conditions imposed on their SMSF auditor registration. Conditions are specific to the auditor, and can require undertaking additional professional development, passing the SMSF auditor competency exam, having independent reviews of SMSF audit files and/or audit tools, templates and methodology, performing independence threat and safeguard evaluation and notifying their professional accounting association of the additional conditions. Jeffrey Leahy, James Ulrich and Lou Varalla had their SMSF auditor registration cancelled. All 11 SMSF auditors were referred to ASIC by the Australian Taxation Office (ATO). Approved SMSF auditors are registered with ASIC under the Superannuation Industry (Supervision) Act 1993 (SIS Act). ASIC and the ATO work closely together as co-regulators of SMSF auditors. The ATO monitors SMSF auditor conduct and can refer matters to ASIC. ASIC also monitors the SMSF auditor population for non-compliance and is empowered to disqualify, suspend, cancel or impose additional conditions on the registration of SMSF auditors. ASIC may make an order disqualifying or suspending a person from being an approved SMSF auditor, under section 130F of the SIS Act, if the person has failed to carry out or perform adequately and properly the duties and functions of an auditor or is not a fit and proper person to be an approved SMSF auditor. A disqualified SMSF auditor is placed on ASIC's public banned and disqualified register at connectonline.asic.gov.au and is not eligible to reapply for registration. ASIC may impose conditions on an SMSF auditor's registration under section 128D of the SIS Act, or may cancel the registration of an SMSF auditor under section 128E of the SIS Act for non-compliance with conditions or failing to lodge annual statements in the required timeframe. SMSF auditors have the right to appeal decisions ASIC makes in relation to them under the SIS Act. They may request that ASIC reconsider a decision it has made against them. If the decision is confirmed or varied the SMSF auditor may apply to the Administrative Appeals Tribunal for further review of the decision. Further information can be found on ASIC's website and in Regulatory Guide 243 Registration of self-managed superannuation fund auditors. SMSF trustees and members can check whether their auditor is registered, suspended or has conditions imposed on their registration by searching ASIC's SMSF Auditor register. ========= C H I N A ========= CHINA HONGQIAO: Moody's Affirms 'Ba2' CFR, Alters Outlook to Neg. ----------------------------------------------------------------- Moody's Investors Service has affirmed China Hongqiao Group Limited's (Hongqiao) Ba2 corporate family rating and Ba3 senior unsecured rating, and revised the outlook to negative from stable. "The change in outlook reflects the company's weakened liquidity profile due to its increasing reliance on short-term debt, which has reduced its buffers against industry volatility," says Roy Zhang, a Moody's Vice President and Senior Analyst. "The rating affirmation reflects the company's industry leading position, steady operations during market downturns and track record of refinancing its short-term maturities through its diversified funding channels. In addition, Moody's expect the company to deleverage gradually over the coming 12-18 months to a level appropriate for its rating level as a low-cost producer," adds Zhang. RATINGS RATIONALE Hongqiao's Ba2 CFR reflects the company's leading position in the aluminum industry, long operating history and cost-competitive production facilities. These strengths are counterbalanced by the company's exposure to industry cyclicality and regulatory risks, as well as the risks stemming from its concentrated ownership. The company's revenue reached RMB129 billion for the 12 months ended June 30, 2023. It produced 3.06 million tons of aluminum in the first half of 2023, accounting for about 15% of domestic production or 9% of global production. Its financial leverage, as measured by total debt to EBITDA, increased to 4.2x as of the end of June 2023, mainly due to falling aluminum prices and lower EBITDA. Moody's forecasts the company's leverage will recover to below 3.0x over the next 12-18 months, supported by margin expansion as raw material costs come off peak levels and aluminum prices bottom out, driven by strong demand from the new energy vehicle and renewable energy sectors and limited supply increases due to regulatory reasons. Hongqiao's liquidity buffer has narrowed as most of its onshore borrowings have shorter maturities. Its debt due within 12 months accounted for 75% of its total reported debt as of the end of June 2023, up from 49% at the end of 2021. The company's increased reliance on short-term debt has weakened its liquidity profile and reduced its financial flexibility. Hongqiao has benefited from short maturity onshore loans bearing lower interest expenses. Nevertheless, Moody's expects the company to proactively restore its balanced debt structure with a higher proportion of long-term debt. It will also likely maintain its strong banking relationships and access to diversified funding channels, which will mitigate the refinancing risks. Hongqiao's liquidity is weak. The company had cash and cash-like sources of about RMB31.6 billion as of June 2023. This, together with its projected operating cash flow, is insufficient to cover its short-term debt and other financial obligations over the next 12-18 months. However, the company will likely be able to roll over its short-term debt, given its strong market position and access to funding. The company also has the flexibility to reduce its dividend payouts and capital expenditure without affecting its operations. ENVIRONMENTAL, SOCIAL AND GOVERNANCE (ESG) CONSIDERATIONS Hongqiao is exposed to water management, natural capital, waste and pollution, health and safety and responsible production risks associated with its large alumina refinery and aluminum smelting operations. The company's long track record and stable operations partially temper these risks. Hongqiao plans to relocate 4 million tons in capacity (out of a total 6.46 million tons in capacity) to Yunnan province from Shandong province over time. The transition so far has been smooth. The strategic move will enable the company to use hydropower as a primary energy source and reduce its reliance on coal-fired energy. This aligns with the Chinese government's carbon neutralization strategy and reduces the company's regulatory risk exposure and uncertainties. Hongqiao is exposed to risks from its concentrated ownership. This risk is partially tempered by the presence of its minority shareholder, CITIC Group Corporation. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS Moody's could revise the outlook to stable if Hongqiao maintains sound corporate governance standards; proactively improves its debt structure, leverage and liquidity profile; and demonstrates a track record of or commitment to prudent financial management through the industry cycle. Quantitative financial metrics that could indicate an outlook revision to stable include its long-term debt proportion trending toward 50% of its total debt, and its debt/EBITDA remaining below 3.0x. Moody's could downgrade the rating if Hongqiao fails to improve its leverage, reduce its reliance on short-term debt, or if its cost competitiveness and market position deteriorate. Specifically, Moody's could downgrade the rating if the company's adjusted debt/EBITDA remains above 3.0x over a sustained period of time; or if it fails to improve its liquidity position by replacing its short-term debt with long-term debt. The principal methodology used in these ratings was Homebuilding and Property Development published in October 2022. Founded in 1994 and headquartered in Zouping, Shandong Province, China Hongqiao Group Limited is one of the largest aluminum manufacturers in China and globally in terms of production volume. The company listed on the Hong Kong Stock Exchange in March 2011. As of the end of 2022, Hongqiao was 64.2% owned by Mr. Zhang Bo and his family, and 12.7% owned by CITIC Group Corporation. The company posted a revenue of RMB131.7 billion in 2022. PING AN REAL: Moody's Assigns Ba1 CFR, Alters Outlook to Negative ----------------------------------------------------------------- Moody's Investors Service has downgraded the ratings of Ping An Real Estate Company Ltd. (PARE) and its subsidiaries, with the following rating actions taken: 1. Withdrawn PARE's Baa2 issuer rating and assigned the company a Ba1 corporate family rating (CFR) 2. Withdrawn Pingan Real Estate Capital Limited's (PARE Capital) Baa3 issuer rating and assigned the company a Ba2 CFR 3. Downgraded the provisional backed senior unsecured rating on PARE Capital's USD1 billion medium-term note (MTN) program to (P)Ba2 from (P)Baa3 4. Downgraded the backed senior unsecured rating on the notes issued under PARE Capital's MTN program to Ba2 from Baa3 5. Downgraded to (P)Ba2 from (P)Baa3 the provisional backed senior unsecured rating on Fuqing Investment Management Limited's and Fuxiang Investment Management Limited's USD2 billion MTN program, which is guaranteed by PARE Capital 6. Downgraded to Ba2 from Baa3 the backed senior unsecured rating on the notes issued under Fuqing Investment's MTN program guaranteed by PARE Capital The rating outlooks for all entities are negative. Previously, the ratings were on review for downgrade. The MTN programs and notes issued under the programs are supported by keepwell deeds and liquidity support undertakings from PARE. "The rating downgrades reflect Moody's view that PARE's deteriorating credit metrics and weakened access to funding amid a challenging operating and funding environment no longer support an investment grade rating profile," says Kaven Tsang, a Moody's Senior Vice President. "The negative outlook reflects the uncertainties over the company's ability to improve its operating performance, as well as transform its business model to maintain its strategic and economic value to its parent, Ping An Insurance (Group) Company of China, Ltd. (Ping An Group), amid uncertain market prospects," adds Tsang, who is Moody's lead analyst for PARE. RATINGS RATIONALE PARE's Ba1 CFR incorporates its standalone credit quality and a three-notch support uplift from Ping An Group, based on Moody's expectation that the parent group will provide financial support to the company when needed. Moody's expects the prolonged downturn in China's residential property market and the country's slowing economic growth will materially weaken PARE's standalone credit quality over the next 12-18 months. These macro challenges could also increase PARE's impairment losses and contingent liabilities if its legacy property projects run into financial difficulties. At the same time, PARE's shift in its business focus to investment property projects will lengthen its investment horizons and cash conversion cycles, which in turn will weaken its cash flow generation. As such, Moody's expects PARE's (funds from operations [FFO] + interest)/interest to decline to 2.0x-2.5x over the next 12-18 months from 2.8x in 2022 and 3.5x in 2021. In addition, PARE has weak liquidity and has to rely on raising new funding or support from its parent group to meet its refinancing needs over the next 12-18 months, including USD300 million of offshore bonds issued by PARE Capital that are coming due in July 2024. Its constrained access to debt capital markets, reflected in a recent decline in its secondary bond prices, and its reliance on short-term bank funding will limit its financial flexibility and weaken its liquidity further. PARE's CFR also considers the likelihood of financial support from Ping An Group to PARE when needed. The support assumption factors in the close linkage between PARE and its parent, reflected in the group's management control over the company and PARE's role as the group's sole property investment and asset management platform. That said, the weak property market could reduce PARE's economic and strategic value to Ping An Group. The current challenging funding environment could also pose uncertainties over the group's ability to extend timely support to PARE when needed. Moody's has also downgraded the ratings of PARE Capital and its subsidiaries and changed the outlooks to negative, given PARE Capital's weak standalone credit quality and PARE's declining ability to provide support. PARE Capital's standalone credit quality reflects its small business scale and high debt leverage. These factors are tempered by the benefits from its close association with PARE, including strong operating support and good access to bank funding. PARE Capital's rating incorporates a three-notch uplift of support from PARE, reflecting PARE Capital's status as a wholly-owned subsidiary of PARE and its strategic importance as PARE's sole offshore investment and financing platform. The support assumption also considers the high integration of PARE Capital with its parent, reflected in PARE's management control over and record of extending financial support to the company. In terms of environmental, social and governance (ESG) factors, Moody's has considered PARE's and PARE Capital's concentrated ownership by Ping An Group, the low transparency in its investee real estate projects and the high level of related-party transactions. These risks are partly tempered by the companies' close linkage with Ping An Group, which has an established corporate governance structure, in the management of their governance risks. FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS An upgrade of PARE's rating is unlikely, given the negative outlook. However, Moody's could change the outlook to stable if (1) PARE's standalone credit quality improves, illustrated by a successful transformation of its business model amid a challenging operating environment, along with improvements in its cash flow stability, liquidity and access to debt capital markets; (2) the risks associated with its property development projects decline substantially; and (3) the likelihood of parental support remains strong. Indications of an improvement in PARE's standalone credit quality include its estimated market value-based leverage (MVL: net debt/estimated market value of portfolio assets) staying at around 40%, its (funds from operations [FFO] + interest)/interest remaining above 2.5x-3.0x, and its cash/short-term debt staying above 1.0x-1.5x, all on a sustained basis. Moody's could downgrade PARE's rating if (1) the likelihood of support from the parent group decreases; (2) Ping An Group significantly reduces its ownership of PARE; or (3) PARE's standalone credit quality deteriorates, illustrated by a deterioration in the quality of its investment portfolio or cash flow from its investee projects, as well as its liquidity and access to funding. Indications of a deterioration in the company's standalone credit quality include its estimated MVL increasing above 45%, its (FFO + interest)/interest falling below 2.0x-2.25x, or its cash/short-term debt remaining below 1.0x; all on a sustained basis. An upgrade of PARE Capital's rating is also unlikely, given the negative outlook. However, Moody's could revise PARE Capital's outlook to stable if PARE's outlook is revised to stable and there is no deterioration in PARE Capital's standalone credit quality. Moody's could downgrade PARE Capital's rating if PARE's rating is downgraded or if support from PARE is likely to decrease, reflected in a reduction of PARE's ownership in PARE Capital or PARE Capital's declining strategic importance to PARE. PARE Capital's rating could also be downgraded if its standalone credit quality worsens, evidenced by a deterioration in the quality of its investment portfolio or cash flow from its investee projects. Indications of a deterioration in PARE Capital's standalone credit quality include its MVL rising above 55%-60% or its (FFO+interest)/interest falling below 0.75x-1.0x, both on a sustained basis. The principal methodology used in these ratings was Investment Holding Companies and Conglomerates published in April 2023. Pingan Real Estate Capital Limited (PARE Capital) was incorporated in December 2013 and is registered as a limited liability company under the laws of Hong Kong SAR, China. It is a wholly-owned subsidiary of Ping An Real Estate Company Ltd. (PARE), and is PARE's primary overseas subsidiary for investment holding and financing outside China. PARE is the real estate investment and asset management platform of Ping An Insurance (Group) Company of China, Ltd. (Ping An Group). Ping An Life Insurance Company of China, Ltd. (Insurance financial strength rating [IFSR] A2 stable) and Ping An P&C Insurance Company of China, Ltd. (IFSR A2 stable) are the company's two largest shareholders, holding stakes of 46.79% and 33.08%, respectively. ========= I N D I A ========= AANCHAL ISPAT: Insolvency Resolution Process Case Summary --------------------------------------------------------- Debtor: Aanchal Ispat Limited Mouza-Chamarail, National Highway 6, Liluah Howrah-711114, West Bengal Insolvency Commencement Date: September 12, 2023 Estimated date of closure of insolvency resolution process: March 10, 2024 Court: National Company Law Tribunal, Kolkata Bench Insolvency Professional: Sriram Mittal P-41, Princep Street, Room No 611, 6th Floor, Kolkata-700072 Email: srirammital.ey@gmail.com AAA Insolvency Professionals LLP, Kolkata Office - Mousumi Co. Op. Housing Society, 15B, Ballygunge Circular Road, Kolkata 700019 Email: srirammittal.ey@gmail.com aanchal.cirp@gmail.com Last date for submission of claims: September 26, 2023 ABF RURAL: CARE Keeps C Debt Rating in Not Cooperating Category --------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of ABF Rural Godown (ARG) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 10.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 6, 2022, placed the rating(s) of ARG under the ‘issuer non-cooperating' category as ARG had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. ARG continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated July 23, 2023, August 2, 2023, August 12, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). ABF Rural Godown (ARG) was established in the year 2016, as a proprietorship concern, by Mr Mohammed Aslam Kazi. The firm is engaged in constructing warehouse for lease rental purpose. ARG has started constructing the Godown in Tyamagondlu Hobli, Nelamangala Taluk and Bangalore Rural District. The firm has started its commercial operations in May 2017. ANANTHAKRISHNA SHETTY.K: CARE Keeps C Rating in Not Cooperating --------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of AnanthaKrishna Shetty.K (AS) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 5.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 5, 2022, placed the rating(s) of AS under the ‘issuer non-cooperating' category as AS had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. AS continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated July 22, 2023, August 1, 2023, August 11, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Karnataka Based AnanthaKrishna Shetty.K (AS) was established in the year 1995 as a sole proprietorship firm. The firm is promoted by Mr K.Ananthakrishna Shetty. Apart, the firm is qualified class-I contractor. AS is engaged in the civil construction works like laying of roads, bridges and canal works in the state of Karnataka. ASCEND GREEN: ICRA Keeps D Debt Rating in Not Cooperating --------------------------------------------------------- ICRA has kept the Long-Term rating of Ascend Green Homes in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D: ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 9.90 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Tulsiani Constructions & Developers Limited (TCDL) is a flagship company of the Tulsiani Group which has several companies undertaking real estate project in Lucknow, Allahabad and other regions of Uttar Pradesh. TCDL is promoted by Allahabad based Tulsiani family and is engaged in the business of construction of residential and commercial building in Allahabad for last 14 years. TCDL is currently undertaking three residential projects in Lucknow and Aallahabad region. BABANRAOJI SHINDE: CRISIL Keeps D Debt Rating in Not Cooperating ---------------------------------------------------------------- CRISIL Ratings said the rating on bank facilities of Babanraoji Shinde Sugar & Allied Industries Limited (BSSAIL) continues to be 'CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Term Loan 35 CRISIL D (Issuer Not Cooperating) CRISIL Ratings has been consistently following up with BSSAIL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of BSSAIL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on BSSAIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of BSSAIL continues to be 'CRISIL D Issuer Not Cooperating'. Incorporated in 2011, BSSAIL is promoted by Mr. Ranjitsingh B Shinde and his family. The company has set up a sugar plant (capacity of 5000 tonnes of cane per day) along with a co-generation power plant of 25 megawatts in Solapur, Maharashtra. BUDS TEA: ICRA Keeps D Debt Ratings in Not Cooperating Category --------------------------------------------------------------- ICRA has kept the Long-Term rating of Buds Tea Industries Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 12.75 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category Long-term– 14.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Term Loan 'Issuer Not Cooperating' Category Long-term 0.50 [ICRA]D; ISSUER NOT COOPERATING; Non-fund based Rating continues to remain under Others 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Buds Tea Industries Limited was established in the year 2006 and is engaged in manufacturing CTC variety of tea. The plant is located near Jalpaiguri, West Bengal. COSMOS JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------- ICRA has kept the Long-Term rating of Cosmos Jewellers Private Limited in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 20.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 2011, CJPL is a manufacturer, wholesaler and retailer of gold and diamond jewellery. CJPL has presence largely in gold jewellery, and its customers are primarily wholesalers and retailers based in New Delhi. The company was acquired by the promoters of Delhi based Shree Raj Mahal Group, which is engaged in the manufacturing, wholesale and retail sales of gold and diamond jewellery for more than two decades. DATTA KRUPA: CARE Keeps D Debt Rating in Not Cooperating -------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Datta krupa Roller Flour Mill Private Limited (DKRFMPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 25.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 7, 2022, placed the rating(s) of DKRFMPL under the ‘issuer non-cooperating' category as DKRFMPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. DKRFMPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated July 24, 2023, August 3, 2023, August 13, 2023. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Incorporated in 2005, Dattakrupa Roller Flour Mill Private Limited (DRFM - part of Dattakrupa group) manufactures wheat products such as atta, maida, suji, rawa and dal mills. The company's manufacturing facility is located at Parbhani, Maharashtra. DEEPAK CABLES: CRISIL Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Deepak Cables India Limited (DCIL) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with DCIL for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of DCIL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on DCIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of DCIL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. DCIL primarily manufactures power conductor cables and executes EPC (engineering, procurement, and construction) contracts in the power transmission and distribution segment. In 2011, the company acquired APTL, which has tower manufacturing facilities at Jamshedpur, Jharkhand. The Corporate Insolvency Resolution Process was initiated against DCIL by an order dated August 23, 2018, of the National Company Law Tribunal (NCLT). Further NCLT, through an order dated July 4, 2019, has appointed a liquidator for sale of assets owned by the company and liquidation is under process. DUBLIN PROMOTERS: Liquidation Process Case Summary -------------------------------------------------- Debtor: Dublin Promoters Private Limited C98, SIPCOT Industrial Complex, Harbour Express Road, Tuticorin, Thoothukudi Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.dublinpromoters@gmail.com Last date for submission of claims: October 12, 2023 GO FIRST: Naveen Jindal Company Submits EoI ------------------------------------------- The Economic Times reports that Naveen Jindal, the promoter of Jindal Steel and Power, is understood to have put in an expression of interest (EoI) to buy insolvent airline Go First, multiple highly placed sources close to the development told ET. The Wadia family-owned Go First is India's first commercial carrier to have voluntarily sought bankruptcy protection. The EoI has been submitted by unlisted Jindal Power, which is owned by Worldone Pvt Ltd, a closely held company of Naveen Jindal, ET relates. It is not clear whether the company is looking to acquire the airline outright or come in as a strategic investor, the sources cited above said. There were two other bidders for the airline, officials said, but they did not meet the eligibility criteria set out by the creditors, according to ET. "The government, the legal ecosystem and regulators are moving as swiftly as possible on the legalities to save the airline," said an official, requesting not to be named. "Every stakeholder is keen that the airline flies again, but every move has to respect the law of the land." Jindal Power did not respond to ET's request for comment. Go First's resolution professional, Shailendra Ajmera, did not respond to ET's mailed query on the subject. Go First has more than INR20,000 crore in admitted claims from financial and operational creditors, ET discloses. Jindal, a former Congress parliamentarian from Haryana, has been in recent years expanding his privately held empire and diversifying into new businesses. In the past three years, he has acquired Oman-based Jindal Shadeed Iron and Steel, and Jindal Power from the group's listed company, Jindal Steel and Power. In 2021, he acquired the Moatize coal mine in Mozambique from Brazilian miner Vale. Apart from these, Jindal is also working on venturing into renewable energy, sources said. He has also engaged with private credit funds and foreign banks for a funding line to explore the option of delisting Jindal Steel and Power, ET reported on July 17. 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. GUJARAT COTFIB: ICRA Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- ICRA has kept the Long-Term and Short-Term ratings of Gujarat Cotfib in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]D/[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 13.75 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category Short-term 0.33 [ICRA]D; ISSUER NOT COOPERATING; Non-fund based Rating continues to remain under Others 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Established in 2008, Gujarat Cotfib (GC) is a partnership firm. The firm reconstituted its partnership in 2016 wherein out of existing nine partners, six partners took retirement and the firm is presently managed by three partners i.e. Mr. Girdhar Vekariya, Mr. Amit Vekariya and Mr. Vijay Vekariya. GC is engaged in the business of cotton ginning and pressing of raw cotton to produce cotton bales and cottonseeds. The firm is also engaged in crushing of cotton seeds to produce cotton seed oil and oil cake. The firm's manufacturing facility is located at Tapi Gujarat and is currently equipped with 40 ginning machines and pressing machine having a capacity to produce 350 cotton bales per day and 8 expellers to produce cotton seed oil with a capacity of producing 15 tons of oil per day. J. R. AGROTECH: CRISIL Lowers Long/Short Term Debt Ratings to D --------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of J. R. Agrotech Private Limited (JRAPL) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with JRAPL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of JRAPL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on JRAPL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of JRAPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. The JR group mills, processes, and sells rice in India and abroad. Incorporated in 1998, JRAPL is promoted by Mr Raman Aggarwal and his brother, Mr Krishan Kumar Aggarwal.J. R. D. International Limited (EXPAND), founded by Mr Raman Aggarwal and his son, Mr Raghav Aggarwal, in 2010, trades in rice, and has set up its own sortex machine and processing unit. J.P ELECTRICAL: CRISIL Lowers Long/Short Term Ratings to D ---------------------------------------------------------- CRISIL Ratings has downgraded its ratings on the bank facilities of J.P Electrical Industries (JPEI) to 'CRISIL D/CRISIL D' from 'CRISIL B-/Stable/CRISIL A4'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (Downgraded from 'CRISIL B-/Stable') Short Term Rating - CRISIL D (Downgraded from 'CRISIL A4') The downgrade in ratings reflects instances of delays in repayment of term debt obligations for month of August 2023 as a result of poor liquidity. The rating reflects delays in debt repayment obligations, working capital intensive operations and its leveraged capital structure. These weaknesses are partially offset by the extensive industry experience of the proprietor. Key Rating Drivers & Detailed Description Weakness: * Instances of delays in reservicing debt obligations for term loan: The firm has had delays in reservicing its term debt obligations in the month of August 2023 as a result of poor liquidity. * Working capital intensive operations: The firm's intensive working capital management is reflected in its gross current assets (GCA) of 476 days as on March 31, 2023. Its large working capital requirements arise from its high debtor and inventory levels. Due to business need, it is required to extend long credit period to its clients and hold large work in process & inventory which makes the business operations working capital intensive. * Leveraged capital structure: Low networth and increased dependence on external debt, to support business growth, has resulted in leveraged capital structure with gearing at 2.83 times and TOL/TNW at 3.66 times as on March 31, 2023. Strengths: * Extensive experience of the proprietor: The proprietor's experience of over 20 years in the power industry, understanding of market dynamics, and established relationships with suppliers and customers will continue to support the business. This will help in receiving regular orders from customers. Liquidity: Poor The firm has instances of delays in repayment of long-term debt repayment obligations for month of August 2023 as well as instances in previous months. Utilization level of cash credit facility was high at 98% for the 12 months through June 2023. Rating Sensitivity factors Upward factor * Timely honouring of debt obligations for continuous 3 months * Sustained improvement in scale of operations and sustenance of operating margin, leading to higher-than-expected net cash accruals JPEI is Dehradun, Uttarakhand. The firm is engaged in manufacturing of power and distribution transformers which finds its application in power generation and distribution industry. The firm manufactures transformers for Electricity Boards in various cities like Dehradun, Meerut, Agra, Varanasi, and Allahabad. JPEI is a sole proprietorship firm established in 1997 which is owned and managed by Mr. Anand Kumar Pandey who has more than two decades of experience in the electrical components industry. JEFFSON UNIVERSAL: Liquidation Process Case Summary --------------------------------------------------- Debtor: Jeffson Universal Logistics Private Limited 2/IB/3, North Block, Ganesh Nagar, Palayamkottai Road West, Tuticorin, Tamil Nadu - 628003 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirpjeffson@gmail.com Last date for submission of claims: October 12, 2023 KRISHNA PREMIUM: Liquidation Process Case Summary ------------------------------------------------- Debtor: Krishna Premium Care Services LLP H.No.1-18-/1, Prabhat Nagar Colony, Dilsukhnagar, Hyderabad, Rangareddi, Telangana 500 600 (as stated in MCA website) Liquidation Commencement Date: September 06, 2023 Court: National Company Law Tribunal, Hyderabad Bench-I Liquidator: Nagaraja Chary Peddapata H. No 1-5-87/G1, Akhila Apartments, Vivekanandangar, Street No.8, Habsiguda, Hyderabad, Telangana 500007 Email: pbabugu@gmail.com kpcslipliquidation@gmail.com Last date for submission of claims: October 05, 2023 LANCO KONDAPALLI: CRISIL Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Lanco Kondapalli Power Limited (EWF) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with EWF for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of EWF, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on EWF is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of EWF continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. EWF is a non-profit organisation registered as a society in 1975 under the Karnataka's Societies Registration Act. It caters to employees and officers based in the Bengaluru (Karnataka) division of HAL. The objective of EWF is to provide financial assistance for the welfare of its members by way of loans for education and medical treatment, and carry out other activities related to the welfare of the employees and their families. Loan dues are deducted by the employer, HAL from the salary of the members and remitted to EWF. M.M. ISPAT: ICRA Keeps D Debt Rating in Not Cooperating Category ---------------------------------------------------------------- ICRA has kept the Long-Term rating of M.M. Ispat Pvt Ltd in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 6.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category Long Term- 4.00 [ICRA]D; ISSUER NOT COOPERATING; Unallocated Rating Continues to remain under 'Issuer Not Cooperating' Category ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. M.M. Ispat Pvt Ltd, incorporated in the year 2009, had been involved in trading of iron and steel products, such as hot rolled sheets, cold rolled sheets, galvanized plain, galvanized corrugated sheets, M.S. Angle, M.S. Channel, and M.S. Pipe etc primarily in Raipur, Chhattisgarh. METENERE LIMITED: CRISIL Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Metenere Limited (Metenere) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with Metenere for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of Metenere, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on Metenere is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of Metenere continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Incorporated in 1997, Metenere, promoted by Mr Raman Gupta and his family, began operations in lead recycling, and subsequently diversified into manufacturing tin products. In fiscals 2009 and 2010, a new capacity to manufacture aluminium was set up. Shrey Industries Pvt Ltd (SIPL), part of the Gupta group, was merged with Metenere, effective April 1, 2012. SIPL manufactured aluminium billets/extrusions, rods, and alloys from aluminium scrap. MILLER BUILDERS: Liquidation Process Case Summary ------------------------------------------------- Debtor: Miller Builders Private Limited 2/IB/3, North Block, Ganesh Nagar, Palayamkottai Road West, Tuticorin, Tamil Nadu - 628003 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.millerbuilders@gmail.com Last date for submission of claims: October 12, 2023 N.P. AGRO: CRISIL Lowers Long/Short Term Debt Ratings to D ---------------------------------------------------------- CRISIL Ratings has downgraded the ratings of N.P. Agro India Industries Ltd (NPAIIL) to 'CRISIL D/CRISIL D Issuer Not Cooperating' from 'CRISIL B+/Stable/CRISIL A4 Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (Downgraded from 'CRISIL B+/Stable') Short Term Rating - CRISIL D (Downgraded from 'CRISIL A4') CRISIL Ratings has been consistently following up with NPAIIL for obtaining information through letters and emails dated December 24, 2022 and Feb. 17, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'Issuer Not Cooperating' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non-cooperation 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 NPAIIL, which restricts CRISIL Ratings' ability to take a forward-looking view on the entity's credit quality. CRISIL Ratings believes that rating action on NPAIIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, CRISIL Ratings has downgraded the ratings to 'CRISIL D/CRISIL D Issuer Not Cooperating' from 'CRISIL B+/Stable/CRISIL A4 Issuer Not Cooperating'. As per information available in the public domain, there remains delinquency in the company account and clarity about the same from the management and bankers is awaited. NPAIIL was incorporated in fiscal 1998 and was taken over by the present management headed by Mr Prateek Pasricha along with his associates in fiscal 2009. The company manufactures high-density polyethylene/poly propylene bags and tarpaulin, masterbatches, and printed laminated plastic films. Its unit is in Bareilly, Uttar Pradesh. NAVIGATOR CREATORS: Liquidation Process Case Summary ---------------------------------------------------- Debtor: Navigator Creators Private Limited 2/1B/3, North Block, Ganesh Nagar, Palayamkottai Road, West Tuticorin, Thoothukudi, Tamil Nadu - 628003 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.navigatorcreators@gmail.com Last date for submission of claims: October 12, 2023 NAVIGATOR DEVELOPERS: Liquidation Process Case Summary ------------------------------------------------------ Debtor: Navigator Developers Private Limited C98, SIPCOT Industrial Complex, Harbour Express Road, Tuticorin, Thoothukudi Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.navigatordevelopers@gmail.com Last date for submission of claims: October 12, 2023 NUCLEUS SATELLITE: Liquidation Process Case Summary --------------------------------------------------- Debtor: Nucleus Satellite Communications (Madras Private Limited) Registered Office: No. 11, Indira Foundation, Krishnamma Road, Nungambakkam, Chennai-600034 Factory Address: No 465, Citrus Drive, Sricity, Mopurupalli, Varadaiahpalem Chittor, Andhara Pradesh -517 541 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Mr. Ramakrishnan Sadasivan New No. 28, Old No. 22, Menod Street, Purasawalkam, Chennai-60007 Email: sadasivanr@gmail.com nucleussatellitecomm@gmail.com Last date for submission of claims: October 12, 2023 PORPOISE REALTORS: Liquidation Process Case Summary --------------------------------------------------- Debtor: Porpoise Realtors Private Limited III Floor, Selva Towers, 320/4, Avinashi Road, Coimbatore, Tamil Nadu - 641004 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.porpoiserealtors@gmail.com Last date for submission of claims: October 12, 2023 PRESTAR INFRA: CRISIL Lowers Long/Short Term Debt Ratings to D -------------------------------------------------------------- CRISIL Ratings has downgraded the ratings of Prestar Infrastructure Projects Limited (PIPL) to 'CRISIL D/CRISIL D Issuer Not Cooperating' from 'CRISIL B/Stable/CRISIL A4 Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (Downgraded from 'CRISIL B/Stable') Short Term Rating - CRISIL D (Downgraded from 'CRISIL A4') CRISIL Ratings has been consistently following up with PIPL for obtaining information through letters and emails 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-cooperation 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 PIPL, which restricts CRISIL Ratings' ability to take a forward-looking view on the entity's credit quality. CRISIL Ratings believes that rating action on NPAIIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, CRISIL Ratings has downgraded the ratings to 'CRISIL D/CRISIL D Issuer Not Cooperating' from 'CRISIL B/Stable/CRISIL A4 Issuer Not Cooperating'. As per information available in the public domain, there remains delinquency in company account and clarity about the same from the management and banker. The company was incorporated in 2002 by Mr Rajesh Dhariwal and Mrs Chetna Dhariwal in Kolkata West Bengal. The company is engaged in manufacturing and installation of roofing sheet, Guard Rail, prefabricated structure, and other structural steel items. Status of non cooperation with previous CRA: PIPL did not cooperate with Credit Analysis & Research Ltd., which classified it as 'issuer not cooperative' vide release dated August 25, 2022. The reason provided by Credit Analysis & Research Ltd. is non-furnishing of information for monitoring of ratings. PRIMUSS PIPES: CRISIL Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Primuss Pipes & Tubes Limited (PPL) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 6.5 CRISIL D (Issuer Not Cooperating) Letter of credit 2.5 CRISIL D (Issuer Not & Bank Guarantee Cooperating) Proposed Long Term 1.0 CRISIL D (Issuer Not Bank Loan Facility Cooperating) CRISIL Ratings has been consistently following up with PPL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of PPL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on PPL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of PPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. PPL was set up in 1971 in Kanpur, Uttar Pradesh, by Mr Ajay Kumar Jain. The company primarily manufactures galvanised iron pipes, polyvinyl chloride pipes, and electrical poles. Unit has an installed capacity of around 46,000 tonne per annum, of which 28,000 tonne was utilised in fiscal 2017. PRISTINE PROMOTERS: Liquidation Process Case Summary ---------------------------------------------------- Debtor: Pristine Promoters Private Limited C98, SIPCOT Industrial Complex, Harbour Express Road, Tuticorin, Thoothukudi Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.pristinepromoters@gmail.com Last date for submission of claims: October 12, 2023 PYTEX JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------ ICRA has kept the long-term rating for the bank facilities of Pytex Jewellers Pvt. Ltd. in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 10.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". ICRA has been trying to seek information from the entity so as to monitor its performance. However, despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Pytex Jewllers Private Limited was established in 2006 as a private limited company by Mr. Pradeep Tayal and family. The company is engaged in the manufacturing and trading of gold, silver, diamonds and precious stones. Pytex Jewellers is situated at Netaji Subhah Place, New Delhi, with a shop area close to 600 sq yards. Mr. Ankur Tyal assists Mr. Pradeep Tayal in business. RASHMI YARNS: Liquidation Process Case Summary ---------------------------------------------- Debtor: Rashmi Yarns Limited 405, Metro Tower Ring Road Surat Gujarat 395002 India Liquidation Commencement Date: September 11, 2023 Court: National Company Law Tribunal, Ahmedabad Bench Liquidator: Ganesh Wenkata Siva Rama Krishnan Remani 302 Nahar Business Center Chandivali Mumbai 400072 Email: ganesh.remani@nliten.in C/o m/S Nliten Consulting and Contracting LLP 302 Nahar Business Center Chandivali Mumbai 400072 Email: cirp.ryl@gmail.com Last date for submission of claims: October 13, 2023 RUBBER PRODUCTS: CRISIL Keeps D Debt Ratings in Not Cooperating --------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of The Rubber Products Limited (RPL) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 0.25 CRISIL D (ISSUER NOT COOPERATING) Cash Credit 4.5 CRISIL D (ISSUER NOT COOPERATING) Letter of Credit 1.25 CRISIL D (ISSUER NOT COOPERATING) Proposed Long Term 3.5 CRISIL D (ISSUER NOT Bank Loan Facility COOPERATING) CRISIL Ratings has been consistently following up with RPL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of RPL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on RPL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of RPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. RPL was originally set up by the late Mr. Narayan Shetty in 1966 and reconstituted as a public listed company with the present name in 1989. In 2006, the late Mr. Sadanand Shetty (friend of Mr. Narayan Shetty) acquired a majority shareholding in the company. RPL manufactures rubber products such as sheets, hoses, coated fabric, extruded rubber products, boats and jackets, mini water tanks (collapsible ponds), and inflammable storage spaces. Its overall operations are managed by Ms. Sucharita Hegde, daughter of Mr. Sadanand Shetty. SAINIK MINING: CRISIL Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Sainik Mining and Allied Services Limited (SMASL; part of the SMASL combine) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with SMASL for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of SMASL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SMASL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of SMASL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. For arriving at the ratings, CRISIL Ratings combines the business and financial risk profiles of SMASL, Kalinga Coal Mining Pvt Ltd (KCMPL), and Sainik Mining (International) Ltd (SMIL). That's because the three companies, collectively referred to as the SMASL combine, have business and financial linkages. SMASL was incorporated in 1989, promoted by Capt. K S Solanki and Capt. R S Sindhu. The company provides coal-mining services using surface miners, and logistics services. It also undertakes conventional mining (through blasting) and removal of overburden. Its promoters commenced operations in 1980 by forming Sainik Transporters Pvt Ltd (STPL), which provided loading and transportation services to Coal India Ltd (CRISIL AAA/Stable/A1+). In 1989, STPL and its associate companies (promoted by the same directors) were merged to form a single company, SMASL. SMASL had obtained coal mining rights for blocks in India through MP Sainik Coal Mining Pvt Ltd and Kalinga Coal Mining Pvt Ltd (KCMPL), which were established as joint ventures with the Madhya Pradesh State Mining Corporation Ltd and Odisha Mining Corporation Ltd, respectively. The coal blocks allotted to these companies were de-allocated and have been allocated to other entities. SMASL had also acquired coal and gold mines in Indonesia and Peru, respectively, through Sainik Mining (International) Ltd (SMIL) but divested most of its holding during fiscals 2013 and 2014. No further investment by SMASL is anticipated in these ventures. SEASTAR REALTORS: Liquidation Process Case Summary -------------------------------------------------- Debtor: Seastar Realtors Private Limited III Floor, Selva Towers, 320/4, Avinashi Road, Coimbatore, Tamil Nadu - 641004 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.seastar@gmail.com Last date for submission of claims: October 12, 2023 SELVA DEVELOPERS: Liquidation Process Case Summary -------------------------------------------------- Debtor: Selva Developers Private Limited No. 106J/88E, Millerpuram Road, Palai Road, West Tuticorin, Thoothukudi Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.selva@gmail.com Last date for submission of claims: October 12, 2023 SHAFT DEVELOPERS: Liquidation Process Case Summary -------------------------------------------------- Debtor: Shaft Developers Private Limited C-98, SIPCOT Industrial Complex, Harbour Express Road, Tuticorin Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.shaft@gmail.com Last date for submission of claims: October 12, 2023 SHAFT PROMOTERS: Liquidation Process Case Summary ------------------------------------------------- Debtor: Shaft Promoters Private Limited C98, SIPCOT Industrial Complex, Harbour Express Road, Tuticorin, Thoothukudi Tamil Nadu - 628008 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.shaftpromoters@gmail.com Last date for submission of claims: October 12, 2023 SHREEDHAR MILK: CRISIL Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------- CRISIL Ratings said the rating on bank facilities of Shreedhar Milk Foods Limited (SMFL) continues to be 'CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating 330 CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with SMFL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of SMFL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SMFL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of SMFL continues to be 'CRISIL D Issuer Not Cooperating'. SMFL was incorporated as A Kumar Milk Foods Pvt Ltd in Delhi in 2005; it was renamed in 2011. The company processes milk and sells milk and milk products. The promoters, Mr Shyam Goel and his son, Mr Anirudh Goel, manage the operations. SHRIVALLABH PITTIE: NCLT Admits Insolvency Plea; Appoints IRP ------------------------------------------------------------- Mint reports that the National Company Law Tribunal (NCLT) on Oct. 11 admitted Indian Overseas Bank's petition seeking initiation of corporate insolvency resolution process against textiles manufacturer Shrivallabh Pittie South West Industries. According to Mint, Indian Overseas Bank, one of the financial creditors, had dragged the debt-laden firm to NCLT over non-payment of dues after it failed to make a payment of INR73.92 crore to the bank. Mint relates that a bench led by Justice Kuldeep Kumar Kareer said, "We are of the considered view that the petitioner, in this case, has been able to establish the factum of existence of financial debt and its default having been committed by the Corporate Debtor and further that the petition has been filed well within the period of limitation. Therefore, we find the present petition to be a fit one for admission under Section 7 of the Code." Section 7 allows a financial creditor to initiate insolvency proceedings against a corporate debtor for non-payment of dues owed to them. The tribunal appointed Avil Menzes as the interim resolution professional to take over the day-to-day affairs of the company, Mint discloses. According to the order, the lender's consortium, including the bank, and the company executed a working capital consortium agreement in March 2012. Pertinently, Shrivallabh Pittie repeatedly defaulted in repaying the amount due and payable under the working capital facility, and was declared as a non-performing asset (NPA) in March 2022, Mint recalls. Mint relates that the bank recalled the facility and demanded payment of an outstanding amount of INR69 crore within ten days. The company, however, gave frivolous reasons for non-payment of the outstanding amount but never denied the obligation to pay. The company's dues stood at a total of over INR73 crore, the order showed, and the bank filed the petition based on this. Advocate Nausher Kohli along with counsel Ajiz M.K. represented the Indian Overseas Bank while advocate Avinash Khanolkar appeared for Shrivallabh Pittie in the matter, Mint notes. Kohli, counsel appearing for the bank argued that the company has not disputed the outstanding dues but has only stated that due to covid-19 pandemic, the textile industry has been badly impacted due to which revenues could not be generated. Mint says the company had stated that it was trying to infuse INR28 crore by way of equity and optionally convertible debentures to meet the working capital requirements. The tribunal in its order observed that no points were raised on behalf of the company. "Even otherwise in the absence of any reply having been filed on behalf of the Corporate Debtor, no substantive defence has been raised. Besides, the averments made in the petition are deemed to have been admitted as correct as the same have not been controverted at all by way of reply," NCLT said. Shrivallabh Pittie South West Industries manufactures cotton yarn. It provides open end, ring spun carded, and combed yarns. SIKKIM FERRO: CRISIL Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------ CRISIL Ratings said the ratings on bank facilities of Sikkim Ferro Alloys Limited (SFAL) continue to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (ISSUER NOT COOPERATING) Short Term Rating - CRISIL D (ISSUER NOT COOPERATING) CRISIL Ratings has been consistently following up with SFAL for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of SFAL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SFAL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of SFAL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'. SFAL was founded in 1998 by Mr Kamlesh Kanungo, a first-generation entrepreneur. The company trades in ferroalloys, steel scrap, and related products. It has also undertaken factory dismantling and ship breaking to generate and sell scrap. Mr. Kanungo also established Trisons Impex (rated 'CRISIL D Issuer not cooperating') as a sole proprietorship firm in 2001; the firm operates in the same line of business. Mr. Kanungo oversees the operations of the two entities. The Kanungo family has various business interests, such as real estate development and movie production. SPICEJET: Lessors Told to Study Impact of IBC Notice on Leases -------------------------------------------------------------- MoneyControl reports that the National Company Law Tribunal (NCLT) on Oct. 10 told low-cost airline SpiceJet and its aircraft lessors, Aircastle and Wilmington, to study the impact of the government's notification, issued last week, removing aviation lease agreements from the moratorium under the Insolvency and Bankruptcy Code (IBC). MoneyControl says the next hearing in the cases is expected to come up on November 7 for further consideration. Aircastle and Wilmington have filed insolvency pleas against SpiceJet over unpaid dues. However, the airline has also challenged the maintainability of these petitions on certain technical grounds. On October 4, the ministry of corporate affairs released a notification exempting relating to aircraft, aircraft engines, airframes and helicopters from moratorium to comply with the Cape Town convention. Once a moratorium is imposed, activities such as institution of suits, continuation of pending suits, execution of judgments, transferring/disposing off assets and recovery or enforcement of security interest are prohibited, according to MoneyControl. As a result of this notification, the moratorium will not include agreements relating to aircraft, aircraft engines, airframes and helicopters. This would mean that aircraft, engine and helicopter leased and other agreements will not be bound by a moratorium. Aircastle has filed two insolvency pleas against SpiceJet. While NCLT has issued notice in one plea, the tribunal has questioned the maintainability of the second plea, the report notes. On May 8, a two-member principal bench of the NCLT headed by Ramalingam Sudhakar issued notice to SpiceJet and listed the matter on May 17. The tribunal had on May 17 asked the Gurugram-based airline to file a response to the lessor's insolvency plea and explore options for settlement. SpiceJet had accordingly filed a response to the plea, and Aircastle sought a short adjournment on May 25 to respond to the airline's reply. Meanwhile, SpiceJet had filed a plea questioning the maintainability of Aircastle's petition on the ground that Aircastle's power of attorney granting the authority to its representative is defective and also that they had not filed a proper affidavit, MoneyControl notes. About Spicejet SpiceJet Limited -- http://www.spicejet.com/-- is an India-based low-budget air carrier. The Company operates daily flights between major cities in India. The carrier is India's second-biggest budget airline, after IndiGo. As recently reported in the Troubled Company Reporter-Asia Pacific, aircraft lessor Wilmington Trust SP Services (Dublin) Ltd has filed a petition for initiating the corporate insolvency resolution process against SpiceJet. This is the third case filed against the airline, according to The Economic Times. Two other cases under Section 9 of the Insolvency and Bankruptcy Code, 2016, have been filed by aircraft lessor Aircastle (Ireland) Ltd and engine lessor Willis Lease Finance Corporation. Aircastle (Ireland) filed a CIRP petition against Spicejet on April 28, 2023, while Willis Lease Finance Corporation filed its petition on April 12, 2023. SSS RICE: ICRA Lowers Rating on INR16cr LT Loan to D ---------------------------------------------------- ICRA has revised the ratings on certain bank facilities of SSS Rice Mill Private Limited (SSSRMPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term– 16.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating downgraded from Cash Credit [ICRA]B+ (Stable) and continues to remain under 'Issuer Not Cooperating' category Long-term– 0.17 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating downgraded from Term Loan [ICRA]B+ (Stable) and continues to remain under 'Issuer Not Cooperating' category Long-term– 1.68 [ICRA]D; ISSUER NOT COOPERATING; Unallocated Rating downgraded from [ICRA]B+ (Stable) and continues to remain under 'Issuer Not Long-term– 0.15 [ICRA]D; ISSUER NOT COOPERATING; Non Fund based Rating downgraded from Others [ICRA]B+ (Stable) and continues to remain under 'Issuer Not Cooperating' category Rationale The rating downgrade reflects Delay in Debt Repayment as mentioned in the publicly available sources. Impact of material event The rating is based on limited information on the entity's performance since the time it was last rated in July 2022. The lenders, investors and other market participants are thus advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity, despite the downgrade". ICRA has been trying to seek information from the entity so as to monitor its performance. Further, ICRA has been sending repeated reminders to the entity for payment of surveillance fee that became due. Despite repeated requests by ICRA, the entity's management has remained non-cooperative. The current rating action has been taken by ICRA basis best available/dated/limited information on the issuers' performance. Accordingly, the lenders, investors and other market participants are advised to exercise appropriate caution while using this rating as the rating may not adequately reflect the credit risk profile of the entity. The rating action has been taken in accordance with ICRA's policy in respect of non-cooperation by a rated entity available at www.icra.in. Incorporated in 2007, SSSRMPL is involved in milling of parboiled rice. The plant is located at Raidighi in the South 24 Parganas district of West Bengal, with an annual milling capacity of 75,000 metric tonnes (MT). The company is promoted by Kolkata-based Purkait family, who has a long experience in the rice-milling industry. SYBLY INDUSTRIES: CRISIL Keeps C Debt Ratings in Not Cooperating ---------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Sybly Industries Limited (SIL) continue to be 'CRISIL C Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 11 CRISIL C (Issuer Not Cooperating) Proposed Long Term 4 CRISIL C (Issuer Not Bank Loan Facility Cooperating) CRISIL Ratings has been consistently following up with SIL for obtaining information through letter and email dated August 25, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of SIL, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of SIL continues to be 'CRISIL C Issuer Not Cooperating'. Established in May 1988, SIL is promoted by Mr Mahesh Chand Mittal and his son, Mr Nishant Mittal. It manufactures polyester yarn and trades in cotton fabrics. SIL's plant is in Muradnagar, Uttar Pradesh. The company is listed on the Bombay Stock Exchange. TRISONS IMPEX: CRISIL Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- CRISIL Ratings said the ratings on bank facilities of Trisons Impex (TI) continue to be 'CRISIL D Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 5 CRISIL D (Issuer Not Cooperating) Cash Credit 30 CRISIL D (Issuer Not Cooperating) Proposed Long Term 15 CRISIL D (Issuer Not Bank Loan Facility Cooperating) CRISIL Ratings has been consistently following up with TI for obtaining information through letter and email dated August 29, 2023 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of TI, which restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on TI is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the ratings on bank facilities of TI continues to be 'CRISIL D Issuer Not Cooperating'. Established as a sole proprietorship firm in 2001 by Mr. Kamlesh Kanungo, TI trades in stainless steel scrap, and finished steel products such as sheets, plates, pipes, billets, and coils. It also trades in ferro alloys having a high proportion of non-ferrous elements such as copper, aluminium, and nickel. Sikkim Ferro Alloys Ltd (rated 'CRISIL D Issuer Not Cooperating') set up by Mr. Kanungo in 1998, is also in the same business. VACC-SYN BIOTECH: Liquidation Process Case Summary -------------------------------------------------- Debtor: Vacc-syn Biotech Private Limited 127-128, Laxmi Market, 1st Floor, Vartak Nagar, Thane MH 400606 Liquidation Commencement Date: June 19, 2023 Court: National Company Law Tribunal, Mumbai Bench Liquidator: Mr. Kamal Kishore Gurnani Fat No. 402, Building No. 23E, Palazzio CHS Ltd., Mahada housing society, Powai, Mumbai 400076 Email: kamalgurnaniip@gmail.com Renascence Insolvency Resolution Professionals Pvt Ltd., 101, Kanakia Atrium 2, Cross Road A, Chakala MIDC, Andheri East, Mumbai 400093 Email: liq.vacc@rirp.co.in Last date for submission of claims: October 13, 2023 VENUE DEVELOPERS: Liquidation Process Case Summary -------------------------------------------------- Debtor: Venue Developers Private Limited 2/IB/3, North Block, Ganesh Nagar, Palayamkottai Road West, Tuticorin, Tamil Nadu - 628003 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.venuedevelopers@gmail.com Last date for submission of claims: October 12, 2023 VENUE PROMOTERS: Liquidation Process Case Summary ------------------------------------------------- Debtor: Venue Promoters Private Limited # 10, First Floor, Parsn Samrudi Mahal Opp., Fatima College, Madurai Tamil Nadu - 625018 Liquidation Commencement Date: September 12, 2023 Court: National Company Law Tribunal, Chennai Bench Liquidator: Prakul Thadi Flat No. 1405, J Block, Rainbow Vistas Green Hills Road, Moosapet, Hyderabad, Telangana - 500018 Email: prakulthadi@hotmail.com D.No. 470/12, HIG-1, Block-5, APHB, Baghlingampally, New Nallakunta, Hyderabad - 500044 Email: cirp.venuepromoters@gmail.com Last date for submission of claims: October 12, 2023 ================= I N D O N E S I A ================= MEDCO ENERGI: Fitch Assigns 'B+' Rating to Proposed Sr. Unsec Notes ------------------------------------------------------------------- Fitch Rating has assigned a 'B+' rating to PT Medco Energi Internasional Tbk's (Medco; B+/Positive) proposed senior notes issued by its wholly owned subsidiary, Medco Maple Tree Pte. Ltd. The Recovery Rating is 'RR4'. The notes, which are guaranteed by Medco and some of its key subsidiaries, are rated at the same level as Medco's Issuer Default Rating (IDR), as the notes constitute its direct, unsubordinated and unsecured obligations. Medco plans to use the proceeds to refinance part of its existing debt and might fund the potential acquisition of a Middle East oil and gas (O&G) asset. The Positive Outlook on Medco's rating reflects its expectation that the company may boost its reserve life while maintaining an adequate financial profile; Medco's proved (1P) reserve life improved slightly to 6.5 years by end-June 2023, after dropping to around 6 years at end-2022 (end-2021: 9.6 years). The ratings reflect Medco's larger scale, low-cost position and favourable earnings mix via fixed-price contracts relative to most 'B' category rated upstream O&G producers. Its earnings stability and healthy free cash flow generation supports a strong financial profile under Fitch's O&G price assumptions. Fitch expects Medco's average EBITDA from fixed-price gas contracts to remain at above 2.5x of interest expenses until 2027 (2022: 2.5x). KEY RATING DRIVERS Reserves to Improve: Fitch estimates Medco's 1P reserve life to remain above the positive trigger of seven years beyond 2023, based on average annual output of 145 thousand barrels of oil equivalent per day (mboepd). This is likely to be aided by reserves additions in the next 6-12 months from its Tanzania project and existing domestic blocks. Medco expects the Tanzania project, which is in the pre-front-end engineering design stage, to almost double 1P reserves in the medium term. However, reserve accruals can be delayed due to factors beyond Medco's control, including regulatory approvals. Higher Capex; Strong Financial Profile: Medco has budgeted capex of around USD1.3 billion during 2023-2027 (1H23: USD99million, 2022: USD270 million, excluding acquisitions), mostly for its development programme. Fitch expects Medco's financial profile to remain strong for its rating, with EBITDA net leverage - excluding its fully owned subsidiary, PT Medco Power Indonesia (MPI) - remaining below 2x (2022: 1.6x) over the medium term. Robust cash flow from operations should support its large capex plans. Strong Operating Profile: Medco's operating profile benefits from low cash costs of less than USD9 per barrel of oil equivalent (boe), countered partly by its production concentration in Indonesia. Fitch expects average production to remain strong at 145mboepd (1H23: 162mboepd, 2022: 163mboepd), despite a drop in Medco's working interest in the Corridor block in Indonesia after 2023 to 46%, from 54%. Cash Flow Stability: The company's earnings are less sensitive to oil price changes than most similarly rated upstream O&G peers, as almost 80% of Medco's production is gas, of which 70% is sold via long-term fixed price take-or-pay contracts. These contracts mitigate price and volume risks, and support robust and predictable cash flow. Fitch estimates Medco to generate strong average annual EBITDA of above USD1 billion in 2023-2027, 45%-50% of which would be via fixed-price contracts. Corridor GSAs: A major portion of Corridor's gas is supplied locally, and the gas sale and purchase agreements (GSA) are under discussion for renewal. Fitch believes volume risk from renewals is low, considering Corridor's importance to Indonesia's domestic gas supply. The remaining portion of Corridor's gas is supplied to Singapore, where the GSA was extended in late-2022 for five years until 2028. Acquisitions Remain in Focus: Fitch expects Medco to remain acquisitive and views its record of acquisitions, including its USD1.4 billion acquisition of Corridor in 2022 and USD550 million acquisition of Ophir Energy in 2019, to be credit accretive. Medco has entered into an agreement to acquire a 20% non-operating stake in a Middle East O&G asset. The acquisition will add modestly to Medco's production (13mboepd) and reserves (proved and probable reserves of 56 mmboe) and in its view, is unlikely to alter Medco's operating profile significantly. Fitch believes Medco's financial profile has headroom for the proposed acquisition. Fitch will incorporate the acquisition in its base case once further details on the acquisition become available. Power Business Neutral to Ratings: Fitch assesses MPI to be neutral to Medco's credit profile, as its investment in the power company falls outside the restricted group structure defined in its bond documentation. The documentation limits Medco's investments outside the restricted group to USD300 million, about half of which has been utilised. It also limits cash outflow from Medco to MPI and other investments outside the restricted group. There are no cross-default clauses linking MPI's debt to Medco. That said, Fitch believes Medco's increasing focus on energy transition can lead to greater synergies with MPI over the medium to long term as the company's energy transition gathers pace. DERIVATION SUMMARY Medco's production scale is comparable with that of exploration and production peers in the 'BB' rating category. The Positive Outlook reflects its expectation of improvement in its reserve profile over the next 6-12 months. Around 80% of Canacol Energy Ltd.'s (BB/Stable) sales volume comes from long-term, fixed-price take-or-pay gas sales contracts, while the proportion of fixed-price contract sales in Medco's portfolio is around 55%. This gives Canacol a stronger business profile, and explains its higher rating despite Medco's larger production scale and EBITDA generation. Both companies have a moderate 1P reserve life of around six years, and Fitch views their financial profiles as being largely similar. GeoPark Limited (B+/Negative) and Medco have limited geographic diversification and moderate reserve lives. Medco's profile, however, benefits from a larger production scale of 160mboepd currently, compared with GeoPark's 40mboepd, and the presence of fixed-price contracts. The Positive Outlook on Medco reflects its expectation that its reserve profile will improve, strengthening its business profile over that of GeoPark. The Negative Outlook on GeoPark reflects its expectation that its reserves life, which is weaker to Medco's, will continue to decline in the next 12-18 months. Both entities have a strong financial profile, with GeoPark's being modestly stronger, as Fitch expects it to be in a net cash position. KEY ASSUMPTIONS - Brent crude prices of USD80/barrel in 2023, USD75 in 2024, USD70 in 2025, USD65 in 2026 and USD60 thereafter according to Fitch's O&G price deck (see Fitch Ratings Revises Near-Term Gas Price Assumptions, Oil Prices Unchanged, dated 13 September 2023) - Gas prices in line with fixed-price contracts, where applicable - Total production volume of around 160 mboepd in 2023, then dropping to around 140mboepd from 2024 due to a decline in working interest for the Corridor block - Cash production costs of less than USD9/boe - Average annual capex of USD270 million over the next five years - Annual dividend pay-out of 15% of net income RATING SENSITIVITIES Factors that could, individually or collectively, lead to positive rating action/upgrade: A sustained improvement in the 1P reserve life to seven years or above, while maintaining leverage (net debt/EBITDA, excluding MPI) below 2.5x. Factors that could, individually or collectively, lead to negative rating action/downgrade: Fitch will revise the Outlook to Stable if the positive rating guidelines are not met in the next 12 months. LIQUIDITY AND DEBT STRUCTURE Strong Liquidity: Medco, excluding MPI, had cash of around USD443 million at June 2023, against USD145 million of debt maturing in 2H23. The company has significant annual debt maturities of above USD450 million during 2026-2028, which is when its US dollar notes mature. Medco has a history of refinancing bond maturities well ahead of schedule. It also bought back USD32 million and USD456 million of its US dollar notes due in 2025-2028 through multiple tender offers and open market purchases in 2023 and 2022. Fitch expects it to generate sufficient cash flow from operations to cover its capex plan. ISSUER PROFILE Medco is an Indonesian upstream O&G company, with some international presence. The company produced 162mboepd of O&G in 1H23. ESG CONSIDERATIONS The highest level of ESG credit relevance is a score of '3', unless otherwise disclosed in this section. A score of '3' means ESG issues are credit-neutral or have only a minimal credit impact on the entity, either due to their nature or the way in which they are being managed by the entity. Fitch's ESG Relevance Scores are not inputs in the rating process; they are an observation on the relevance and materiality of ESG factors in the rating decision. Entity/Debt Rating Recovery ----------- ------ -------- Medco Maple Tree Pte. Ltd. senior unsecured LT B+ New Rating RR4 MEDCO ENERGI: S&P Puts 'B+' LT Issue Rating to USD Sr. Unsec. Notes ------------------------------------------------------------------- S&P Global Ratings assigned its 'B+' long-term issue rating to U.S. dollar-denominated senior unsecured notes that Medco Maple Tree Pte. Ltd. proposes to issue. Medco Maple Tree is a wholly owned indirect subsidiary of Medco Energi Internasional Tbk. PT (Medco). Medco will unconditionally and irrevocably guarantee the notes. The rating on the notes is subject to S&P's review of the final terms and conditions. Medco Maple Tree will lend the bond proceeds to Medco (B+/Stable/--) to tender for or refinance its existing debt, among other uses. Medco is concurrently tendering for any and all of its outstanding U.S. dollar-denominated senior unsecured notes maturing in 2025, and a capped tender offer for the notes maturing in 2026, 2027, and 2028. The company's refinanced indebtedness or replaced committed (but currently undrawn) facilities may or may not include the financing for a potential acquisition in the Middle East. In August 2023, Medco signed an agreement to acquire a 20% nonoperating interest in oil and gas producing assets in the Middle East. The Indonesia-based oil and gas company estimates the consideration will be equal to 20%-50% of its equity value (US$1.87 billion) as of June 30, 2023. Medco expects the acquired assets to contribute about 13,000 barrels of oil equivalent (boe) a day to its production and add 56 million boe to its proven and probable reserves. S&P said, "Our base case assumes the company can accommodate an additional US$900 million (about 50% of its equity value) of capital spending above our base case and still maintain a ratio of funds from operations to debt of above 12% through 2024, all else being equal. This does not consider any earnings accretion from the proposed acquisition." S&P's rating on Medco reflects the company's: -- Midsized production scale after integrating the ConocoPhillips Indonesia Holdings Ltd. asset, which operates the Corridor block. -- Good cash flow and cash flow visibility, thanks to a high portion of gas the company sells at fixed prices. -- Adequate liquidity buffer. -- Manageable debt-servicing requirements over the next 12-24 months. The rating also reflects Medco's strategy of pursuing both organic and inorganic growth to sustain its production and reserves, while developing its highly-leveraged gas-fired and renewable power business. In S&P's view, the company is exposed to some regulatory risk in Indonesia, where it produces most of its hydrocarbons. S&P said, "We rate the notes 'B+', the same as the long-term issuer credit rating on Medco. This is because the company primarily operates in Indonesia, a jurisdiction where we believe the priority of claims in a theoretical bankruptcy is highly uncertain. "The stable outlook on Medco reflects our view that the company will maintain stable production following its integration of Corridor and generate positive free operating cash flow (excluding acquisitions) through 2024." Medco will likely continue to extend the economic life of its assets and maintain its production volume at about 150,000 boe a day. The company is in the process of extending Corridor's domestic gas offtake agreements, which will expire in the second half of 2023. These contracts represent 25%-30% of its production base. The extension will affect Medco's reserves and future production, depending on their re-contracted terms and pricing. ========= J A P A N ========= JAPAN: Corporate Bankruptcies Hit 8-Year High in April-September ---------------------------------------------------------------- Jiji Press reports that the number of corporate bankruptcies in Japan jumped 37.7% to an eight-year high in the April-September fiscal first half from a year before due mainly to repayments of COVID-19 relief loans, Tokyo Shoko Research Ltd. said Oct. 10. Business failures with liabilities of JPY10 million or more totaled 4,324, the highest level since 4,388 in the first half of fiscal 2015, the credit research firm said, Jiji Press relays. Bankruptcies had been low thanks to the interest-free, unsecured loans extended during the height of the pandemic, Jiji Press says. Failures are on the rise due to a delay in earnings recovery from the pandemic and higher costs, a Tokyo Shoko Research official said. =============== M A L A Y S I A =============== MYAIRLINE: Abruptly Halts Operations Due to 'Financial Pressures' ----------------------------------------------------------------- The Business Times reports that Malaysian low-cost carrier MYAirline abruptly suspended all operations on Oct. 12, citing financial problems barely a year after it was launched to much fanfare. BT relates that the shock announcement was posted on its Facebook page at about 5:30 a.m., with the airline describing it as an "extremely painful" decision that had to be made due to significant financial pressures. Operations will be ceased until further notice, pending the completion of shareholder restructuring and a recapitalisation of the company. "We have worked tirelessly to explore various partnership and capital raising options to prevent this suspension. Unfortunately, the constraints of time have left us with no alternative but to take this decision," MYAirline's board of directors said in a statement, BT relays. "We deeply regret and apologise for having to make this decision as we understand the impact it will have on our loyal passengers, dedicated employees and partners." According to BT, hundreds of passengers were blindsided by the announcement when they arrived at the Kuala Lumpur International Airport 2 terminal, with their flights to cities like Penang, Kuching and Bangkok all cancelled. BT says the news of MYAirline's suspension comes just three days after its chief executive officer Rayner Teo resigned "due to health considerations". He had headed the airline since its inception in November 2020. BT relates that the timing also surprised many observers, given that just a day earlier the company had received an extension of its air operator certificate by the Civil Aviation Authority of Malaysia to operate for another two years. Last October, Singapore mainboard-listed SIA Engineering Co (SIAEC) announced that it had signed a 10-year agreement with MYAirline to provide support services for the latter's aircraft, recalls BT. In the last few days, however, there were reports in the local media that MYAirline was in some financial trouble as the company had failed to pay its service providers and employees' salaries on time, BT notes. Earlier reports said that MYAirline had approached the son of Sarawak's premier Abang Johari Tun Openg to become an investor. Apart from the former chief Teo, MYAirline's board includes co-founder and major shareholder Allan Goh and his son Sean, former Civil Aviation Department of Malaysia director-general Azharuddin Abdul Rahman, former Malaysia Airports Holdings chief operating officer Hamid Mohd Ali, and Trillion Cove Holdings director Jothi Prakash Murugan, BT discloses. According to the report, budget carriers AirAsia and Indonesia's Batik Air jumped in to help by offering flights at a discounted rate for affected MYAirline passengers. AirAsia also reached out to employees of MYAirline, with AirAsia Aviation group CEO Bo Lingam Kanagalingam saying that they were open to explore job offers with AirAsia. In a separate statement, Malaysian Aviation Commission (Mavcom) said that MYAirline is still liable to issue refunds to customers who have purchased tickets with the airline but were unable to travel, BT reports. BT adds that MYAirline has also been instructed to cease the sale and booking of flights from all booking platforms until further notice. "The commission is in close communication with MYAirline in addressing this issue. (We are) currently investigating the airline based on internal reviews and complaints received regarding the airline's unpaid statutory payments to its employees," said Mavcom. MYAirline, Malaysia's second budget carrier after AirAsia, operates a fleet of nine Airbus A320-200 planes that fly from Kuala Lumpur to other parts of Malaysia, as well as Bangkok. ===================== N E W Z E A L A N D ===================== AVALIA IMMUNOTHERAPIES: Creditors' Proofs of Debt Due on Nov. 10 ---------------------------------------------------------------- Creditors of Avalia Immunotherapies Limited are required to file their proofs of debt by Nov. 10, 2023, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Sept. 2023. The company's liquidators are: Tony Leonard Maginness Jared Waiata Booth Baker Tilly Staples Rodway Auckland Limited PO Box 3899 Auckland 1140 BROTHERS BEER: Plan Put Forward to Trade Firm out of NZD5MM Debt ---------------------------------------------------------------- BusinessDesk reports that Auckland craft brewer and wholesaler Brothers Beer went into administration owing its creditors NZD5 million, but a plan has been put in place to help it trade through its problems. The craft brewery and wholesale business supplies domestic supermarkets and liquor stores. Stephen White and John Fisk of PricewaterhouseCoopers New Zealand New Zealand on Aug. 7, 2023, were appointed as administrators of Brothers Beer Holdings Limited, Brothers Beer Limited, and Brothers Wholesale Limited. CIVIL PRINT: Creditors' Proofs of Debt Due on Nov. 6 ---------------------------------------------------- Creditors of Civil Print Limited are required to file their proofs of debt by Nov. 6, 2023, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Oct. 8, 2023. The company's liquidators are: Steven Khov Kieran Jones Khov Jones Limited PO Box 302261 North Harbour Auckland 0751 FFPG HOLDINGS: Court to Hear Wind-Up Petition on Oct. 20 -------------------------------------------------------- A petition to wind up the operations of FFPG Holdings Limited will be heard before the High Court at Auckland on Oct. 20, 2023, at 10:45 a.m. Panasonic Homes Co., Limited filed the petition against the company on Sept. 5, 2023. The Petitioner's solicitor is: Duncan Stuart McGill Duncan Cotterill Level 1, Australis Nathan Building 37 Galway Street Auckland 1010 KAUKAPAKAPA VILLAGE: PKF Corporate Appointed as Liquidators ----------------------------------------------------------- Christopher Carey McCullagh and Stephen Mark Lawrence of PKF Corporate Recovery & Insolvency on Sept. 15, 2023, were appointed as liquidators of Kaukapakapa Village Centre Company Limited. The liquidators may be reached at: PKF Corporate Recovery PO Box 3678 Auckland 1140 LEVEL BUILDING: Court to Hear Wind-Up Petition on Oct. 26 --------------------------------------------------------- A petition to wind up the operations of Level Building Limited will be heard before the High Court at Christchurch on Oct. 26, 2023, at 10:00 a.m. The Commissioner of Inland Revenue filed the petition against the company on Aug. 31, 2023. The Petitioner's solicitor is: Nanette Cunningham Inland Revenue, Legal Services PO Box 1782 Christchurch 8140 ================= S I N G A P O R E ================= CADENCE HEALTH: Creditors' Proofs of Debt Due on Nov. 16 -------------------------------------------------------- Creditors of Cadence Health Private Limited, Euda Private Limited and Kent Ridge Pacific Private Limited are required to file their proofs of debt by Nov. 16, 2023, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Oct. 4, 2023. The company's liquidators are: Mr. Don M Ho Mr. David Ho c/o DHA+ pac 63 Market Street #05-01A Bank of Singapore Centre Singapore 048942 QGC TRADE: Court Enters Wind-Up Order ------------------------------------- The High Court of Singapore entered an order on Sept. 29, 2023, to wind up the operations of QGC Trade and Services Pte. Ltd. Alstar Asset Management Limited filed the petition against the company. The company's liquidators are: Mr. Joshua James Taylor Ms. Chew Ee Ling c/o Alvarez & Marsal (SE Asia) 6 Battery Road, #16-01/02 Singapore 049909 ROYER SEA: Creditors' Meeting Set for Oct. 24 --------------------------------------------- Royer Sea Pte Ltd will hold a meeting for its creditors on Oct. 24, 2023, at 4:00 p.m., via electronic means. Agenda of the meeting includes: a. to receive a copy of the statement of the Company's affairs together with a list of creditors and the estimated amounts of their claims; b. to confirm the appointment of Liquidator nominated by the Company or nominating another person or persons as Liquidator(s) for the purpose of winding up the affairs of the Company; and c. any other business. TEK AN: Court Enters Wind-Up Order ---------------------------------- The High Court of Singapore entered an order on Oct. 6, 2023, to wind up the operations of Tek An Pte. Ltd. RHB Bank Berhad filed the petition against the company. The company's liquidators are: Mr. Gary Loh Weng Fatt Mr. Leow Quek Shiong c/o BDO Advisory 600 North Bridge Road #23-01 Parkview Square Singapore 188778 THREE ARROWS: WOO Network Buys Back Shares & Tokens --------------------------------------------------- Oliver Knight at CoinDesk reports that Taiwan-based liquidity provider WOO Network has agreed to a deal with Teneo, the liquidator of bankrupt hedge fund Three Arrows Capital (3AC), to repurchase shares and tokens it sold in 2021. CoinDesk, citing a press release, relates that WOO agreed to cancel shares purchased by 3AC in 2021's Series A fundraise and repurchase 20 million WOO tokens, worth around $3.4 million at current prices. The tokens have been sent to a burn address or crypto wallet that cannot be accessed by anyone. WOO raised $30 million in its Series A, although the amount of investment from Three Arrows Capital was undisclosed, CoinDesk notes. "We are pleased to clear the uncertainty related to 3AC from the WOO ecosystem. We proactively collaborated with the liquidators to secure a fair deal to repurchase our shares and both vested and vesting tokens from 3AC's estate. We are looking forward to executing our mission without further distractions from the 3AC fallout," CoinDesk quotes WOO co-founder Jack Tan as saying in a statement. The WOO token is currently trading at around $0.17, having lost half of its value in the market-wide plunge over the past six months. However, the price remains 10% higher than what it was at this time last year, according to CoinMarketCap. "The past 18 months have seen a concentration of bad news hit our industry from large-scale failures to more overzealous regulators. A thorough cleansing of the system has taken place and we are looking forward to rebuilding with our partners and team," Mr. Tan added. About Three Arrows Capital Three Arrows Capital Ltd. was an investment firm engaged in short-term opportunities trading, and is heavily invested in cryptocurrency, funded through borrowings. As of April 2022, the Debtor was reported to have over $3 billion of assets under its management. Three Arrows Capital Ltd. was incorporated as a business company under the laws of the British Virgin Islands. Its sole shareholder owning all of its "management shares" is Three Arrows Capital Pte. Ltd., which previously operated as a regulated fund manager in Singapore until 2021, when it shifted its domicile to the BVI, as part of a global corporate plan to relocate operations to Dubai. The Debtor borrowed digital and fiat currency from multiple lenders to fund its cryptocurrency investments. After cryptocurrency lost 99% of its value, and then prices of other cryptocurrencies had rapid declines, the Debtor reportedly defaulted on its obligations. On June 24, 2022, one of the Debtor's many creditors -- DRB Panama Inc. -- filed an application to appoint joint provisional liquidators -- and thereafter, full Liquidators -- in the Eastern Caribbean Supreme Court in the High Court of Justice (Commercial Division) located in BVI. The application was assigned claim number VIHCOM2022/0117. Subsequently, on June 27, 2022, the Debtor filed its own application for the appointment of joint liquidators before the BVI Commercial Court. On June 29, 2022, the Honorable Mr. Justice Jack of the BVI Commercial Court appointed Russell Crumpler and Christopher Farmer of Teneo (BVI) Limited as joint liquidators of Three Arrows Capital Ltd. X-SYNERGY GROUP: Court to Hear Wind-Up Petition on Oct. 27 ---------------------------------------------------------- A petition to wind up the operations of X-Synergy Group Pte Ltd will be heard before the High Court of Singapore on Oct. 27, 2023, at 10:00 a.m. United Overseas Bank Limited filed the petition against the company on Oct. 3, 2023. The Petitioner's solicitors are: Adsan Law LLC 300 Beach Road #26-00 The Concourse Singapore 199555 ================= S R I L A N K A ================= CEYLON ELECTRICITY: Fitch Hikes National LT Rating to 'BB+(lka)' ---------------------------------------------------------------- Fitch Ratings has upgraded Ceylon Electricity Board's (CEB) National Long-Term Rating and the rating on CEB's senior unsecured debentures to 'BB+(lka)', from 'B(lka)'. The Outlook is Stable. The upgrade follows the 28 September 2023 upgrade of the Sri Lankan sovereign's Long-Term Local-Currency Issuer Default Rating (IDR) to 'CCC-', from 'Restricted Default (RD)'. CEB's ratings are equalised with that of its parent, the Sri Lankan sovereign, based on its assessment of a 'Very Strong' likelihood of state support under its Government-Related Entities (GRE) Rating Criteria. CEB is Sri Lanka's monopoly electricity transmitter and distributor and accounts for around 75% of the country's power generation. KEY RATING DRIVERS 'Very Strong' State Linkages and Support Record: Fitch believes CEB's ownership and control by the Sri Lankan sovereign is 'Very Strong'. The government fully owns CEB, appoints its board and senior management, sets tariffs and decides its investment strategy. Government support to CEB includes two-step loans, which account for around 20% of CEB's outstanding debt, debt to equity conversions and taking over certain liabilities. Fitch expects the support to continue, despite the state's weak financials, as CEB fulfils an essential service on behalf of the state. 'Very Strong' Support Incentive: Fitch sees the socio-political implications of a CEB default as 'Very Strong'. A default would disrupt services, because CEB accounts for most of Sri Lanka's power-generation capacity. It would also make it difficult for CEB to source imported feedstock for power generation, such as heavy oil and coal. CEB's independent power producer (IPP) agreements, which account for around 20% of the power generated, would also be affected, with no clear alternatives. Most of the IPPs use imported oil in their operations. Fitch also believes a default would have a 'Very Strong' financial effect on the state, as CEB's project loans also comprise state obligations. These loans are extended by bilateral and multilateral agencies and are routed through the government for the development of the country's power infrastructure. A default of CEB's outstanding debentures would also limit the ability of other state entities to tap capital markets for funding. Cost Reflective Tariff Mechanism: In 2022, the government implemented a formula-based tariff mechanism, to be revised bi-annually, to ensure CEB can cover its operating costs and interest obligations. Prior to this, CEB supplied electricity significantly below cost, resulting in large accumulated losses and an unsustainable capital structure. Fitch will monitor the consistent application of the cost-reflective mechanism, which should allow CEB to breakeven at the cash flow from operations level and improve its Standalone Credit Profile (SCP). Indeterminate SCP: Fitch does not believe that ascertaining an SCP for CEB is possible in the near-term, as the company's ability to operate depends on continued state support and it cannot be meaningfully delinked from the state. CEB had LKR288 billion of debt as at end-June 2023, after the government took over almost LKR200 billion of projects loans in 2022. Fitch expects CEB to generate negative free cash flow in the medium term, despite the cost-reflective tariff mechanism, and to depend on the state for expansion and refinancing. Fitch may provides a standalone credit view should CEB maintain a sustained record of profitable operations that reduce reliance on the state. Weak Operating Performance: Fitch does not believe cash flow from operations will be sufficient to cover CEB's interest obligations in 2023, despite a 150% tariff increase. This is due to the reduced contribution from low-cost hydro power generation during the year, which compelled CEB to purchase emergency power at higher costs to meet the shortfall. At the same time, energy demand has risen with the gradual recovery of economic activity. CEB has requested an off-cycle tariff hike to cover its increased costs, but it is yet to be approved. Large Trade Creditors: As of end-August 2023, CEB owed LKR212 billion (June 2023: LKR208 billion) to state-owned Ceylon Petroleum Corporation (CPC), IPPs and non-conventional renewable energy (NCRE) generators. The government plans to take over 70% of the dues to CPC and the IPPs by end-2023 to ease the burden on CEB. Dues to NCREs stand at 10-11 months at present, and CEB plans to settle them gradually with operating cash flow. CEB's payables may rise in the short-term if the proposed off-cycle tariff hike is not approved. Planned Restructuring to Boost Efficiency: The government plans to unbundle CEB's generation, transmission and distribution assets across 14 companies established under the Companies Act, as part of Sri Lanka's energy sector reforms. The bill proposing the restructuring will be presented to parliament in October 2023 approval. Fitch expects the unbundling to provide CEB with autonomy and flexibility, while improving its efficiency and competitiveness. However, it is too early to ascertain how the restructuring will affect CEB's credit profile, as the plan's details are still vague. DERIVATION SUMMARY CEB has a monopoly in electricity transmission and distribution. It owns and operates the majority of installed power-generation capacity in the country. CEB's rating is equalised with that of the sovereign, in line with its GRE criteria, as Fitch assesses linkages and support incentives as 'Very Strong' under each sub-factor score. KEY ASSUMPTIONS Fitch's Key Assumptions Within Its Rating Case for the Issuer - Sri Lanka's annual electricity demand growth to average at around 6% over 2023-2026 - Generation mix to remain at 50% thermal, 30% hydro and 20% other over 2023-2026 - Tariff to be adjusted every six-months to cover CEB's operating costs and interest obligations - Annual capex of LKR90 billion over the next two years for maintenance and new generation capacity RATING SENSITIVITIES Factors that could, individually or collectively, lead to positive rating action/upgrade: - An upgrade of the Sri Lankan sovereign's Long-Term Local-Currency IDR could result in corresponding action on CEB's National Long-Term Rating. Factors that could, individually or collectively, lead to negative rating action/downgrade: - A downgrade of the Sri Lankan sovereign's Long-Term Local-Currency IDR could result in corresponding action on CEB's National Long-Term Rating. For the sovereign rating of Sri Lanka, the following sensitivities were outlined by Fitch in the agency's Rating Action Commentary on 28 September 2023: Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - The Local-Currency IDRs would be downgraded if further restructuring or a default on local-currency debt becomes probable due to an unsustainable debt burden or inability to raise revenue. - The Long-Term Foreign-Currency IDRs are at the lowest level and cannot be downgraded further. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade - A sustained decline in the general government debt-to-GDP ratio that is underpinned by strong implementation of a medium-term fiscal consolidation strategy and improved growth performance. - Completion of the foreign-currency commercial debt restructuring that Fitch judges to have normalised the relationship with private-sector creditors may result in an upgrade. LIQUIDITY AND DEBT STRUCTURE Liquidity Support from Government: CEB had LKR7.0 billion in unrestricted cash at end-June 2023, against LKR86 billion in debt due in the next 12 months. More than 90% of the outstanding debt is for working capital, which Fitch believes will be rolled over in the normal course of business. Fitch believes the government will continue to provide funding support for CEB to meet its contractual maturities amid the board's weak liquidity. CEB also has significant payments due to feedstock suppliers, including CPC and IPPs. CEB plans to settle the debt by using additional cash flow from the increased electricity tariffs and by transferring some of the debt and liabilities to the government. CEB received LKR80 billion in funding in 2022 from the Ministry of Finance to settle its dues to CPC, and Fitch expects similar liquidity support from the government, given the essential service that CEB provides. ISSUER PROFILE CEB is the sole electricity transmitter and distributor in Sri Lanka and is a fully owned state entity. It accounts for 75% of domestic electricity generation through its network of hydro and thermal power plants. PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS CEB's ratings are equalised with that of its parent, the Sri Lankan sovereign, in line with Fitch's GRE criteria. Entity/Debt Rating Prior ----------- ------ ----- Ceylon Electricity Board Natl LT BB+(lka) Upgrade B(lka) senior unsecured Natl LT BB+(lka) Upgrade B(lka) SRI LANKA: IMF Caught Off Guard as China Strikes Debt Deal ---------------------------------------------------------- Bloomberg News reports that China reached a tentative debt agreement with Sri Lanka, front-running separate talks the International Monetary Fund and other creditors are holding with the South Asian nation and catching them by surprise. Bloomberg relates that the deal between Export-Import Bank of China and Sri Lanka was reached late last month, China's Foreign Ministry said Oct. 10, without providing details of the pact. According to the report, the IMF, Paris Club members including Japan, and other lenders like India are expected to hold talks this week in Morocco on a debt restructuring plan. China, which isn't part of that official group even though it's one of Sri Lanka's biggest creditors, has been pursuing bilateral negotiations with the South Asian nation instead. Peter Breuer, senior mission chief for Sri Lanka at the IMF, said while it was aware discussions were taking place with creditors, "we have not yet been informed about any specific agreements." The multilateral lender would need to "assess the entire package of agreements in its totality to assess consistency with IMF debt targets," he said, Bloomberg relays. Officials from two creditor nations, who asked not to be identified, said they weren't informed about the terms and details of the China deal. The preliminary pact is not expected to change efforts by the official creditor committee to try to reach a debt deal in Marrakech, which would include safeguards to prevent favorable payment terms to China, one of the people said. According to Bloomberg, an Indian official involved in the debt discussions said New Delhi has been pushing for equal and fair treatment in the restructuring plan, and hopes that all creditors are transparent in their approach. Sri Lanka owes about 40% of its bilateral debt to China and 16% to India, Bloomberg discloses citing estimates from the IMF. Reaching a deal quickly with its creditors will allow Sri Lanka to keep tapping funds from its $3 billion bailout program with the multilateral lender. Sri Lanka's central bank Governor Nandalal Weerasinghe and Junior Finance Minister Shehan Semasinghe are in Marrakech this week at the IMF and World Bank annual meetings. Semasinghe met with Robert Kaproth, deputy assistant secretary for the US Treasury, he said in a post on social media platform X, with the two discussing the IMF program and the debt restructuring process, Bloomberg relays. The official creditors committee was aiming to sign a memorandum of understanding with Sri Lanka at the Marrakech meeting without the participation of China, Bloomberg News reported last month. While nothing has been finalized yet, an announcement on that deal during the meetings this week is looking increasingly unlikely, according to people familiar with the situation, who asked not to be identified. The Exim Bank deal comes a week before China hosts its third Belt and Road Forum in Beijing, a flagship program by President Xi Jinping that has faced criticism for burdening developing nations like Sri Lanka with debt, Bloomberg adds. About Sri Lanka Sri Lanka, formerly known as Ceylon and officially the Democratic Socialist Republic of Sri Lanka, is an island country in South Asia. It lies in the Indian Ocean, southwest of the Bay of Bengal, and southeast of the Arabian Sea; it is separated from the Indian subcontinent by the Gulf of Mannar and the Palk Strait. Sri Lanka shares a maritime border with India and the Maldives. Sri Jayawardenepura Kotte is its legislative capital, and Colombo is its largest city and financial centre. The island nation defaulted on its foreign debt for the first time in its history in April last year as the worst financial crisis since independence from Britain in 1948 crushed its economy. As recently reported in the Troubled Company Reporter-Asia Pacific, Fitch Ratings has upgraded Sri Lanka's Long-Term Local-Currency Issuer Default Rating (IDR) to 'CCC-' from 'RD' (Restricted Default). Fitch typically does not assign Outlooks to sovereigns with a rating of 'CCC+' or below. The Long-Term Foreign-Currency IDR has been affirmed at 'RD' and the Country Ceiling at 'B-'. The Short-Term Local-Currency IDR has been downgraded to 'RD' from 'C' following the exchange of treasury bills held by the central bank and subsequently upgraded to 'C' in line with the Sovereign Rating Criteria, as Fitch believes the local-currency debt exchange has now been completed. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Asia Pacific is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA. Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman, Editors. Copyright 2023. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. TCR-AP subscription rate is US$775 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000. *** End of Transmission ***