/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/241028.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Monday, October 28, 2024, Vol. 27, No. 216 Headlines A U S T R A L I A ALAMMC DEVELOPMENTS: BDO Named as Receivers to Director's Property BLUESTONE MORTGAGES: Fitch Affirms 'Bsf' Rating on Class F Bonds FINNISH EARLY: Second Creditors' Meeting Set for Nov. 1 FLEXICOMMERCIAL ABS 2023-1: Moody's Ups Rating on F Notes to Ba1 HOOKLYN HOTELS: First Creditors' Meeting Set for Oct. 31 ISA RODEO: First Creditors' Meeting Set for Oct. 31 MME AUTOPAY 2024-1: Fitch Assigns B+sf Final Rating to Cl. F Notes SELINA HOLDING: Second Creditors' Meeting Set for Oct. 31 TRUE NORTH: Equity Recapitalisation and Sale Process Begins TRUE NORTH: First Creditors' Meeting Set for Oct. 31 VIRTICAL: Adelphi Hotel Sold for Discounted AUD19 Million C H I N A CHINA EVERGRANDE: EV Unit Ceases Discussions for Stake Sale FINGERMOTION INC: Widens Net Loss to $1.69-Mil. in Fiscal Q2 LONGFOR GROUP: Fitch Lowers LongTerm Foreign-Currency IDR to 'BB' RETO ECO-SOLUTIONS: Jaash, Yi Liu Hold 6.6% of Class A Shares RETO ECO-SOLUTIONS: Jasha, Ning Xue Hold 6.4% of Class A Shares I N D I A ADG AGROTECH: ICRA Keeps B Debt Ratings in Not Cooperating BARODA AGRO: ICRA Keeps D Debt Ratings in Not Cooperating DIAMOND POLYMERS: CARE Keeps B- Debt Rating in Not Cooperating DWARKA METROHILLS: CARE Keeps C Debt Rating in Not Cooperating JANGAM INFRATECH: CARE Lowers Rating on INR10cr LT Loan to C JAY AGRO: CARE Keeps D Debt Rating in Not Cooperating Category JOSEPH LESLIE: ICRA Keeps B+ Debt Ratings in Not Cooperating KOTECHA INDUSTRIES: CARE Keeps D Debt Ratings in Not Cooperating KWALITY PHARMA: ICRA Lowers Rating on INR24.08cr Loan to B+ M.K. AGGARWAL: ICRA Keeps B+ Debt Ratings in Not Cooperating MAGNUM AVIATION: CARE Keeps D Debt Ratings in Not Cooperating MARUDHARA POLYPACK: ICRA Keeps B+ Debt Ratings in Not Cooperating MEGHAAARIKA IMPEX: CARE Keeps D Debt Ratings in Not Cooperating MOR ALLOYS: ICRA Keeps B+/A4 Debt Ratings in Not Cooperating MUTHOOT FINANCE: Fitch Puts 'BB' Rating to $400MM Sr. Secured Bonds NOOR ICE: ICRA Withdraws B+ Rating on INR4.70cr LT Loan OMKAR FERTILISERS: ICRA Keeps B Debt Ratings in Not Cooperating PANCHANAN COLD: CARE Keeps D Debt Rating in Not Cooperating RAJASTHAN SYNTEX: CARE Keeps D Debt Ratings in Not Cooperating RAJAT DEVELOPERS: CARE Keeps B- Debt Rating in Not Cooperating REVASHANKAR GEMS: CARE Keeps D Debt Rating in Not Cooperating SAVIOUR MINES: CARE Keeps D Debt Rating in Not Cooperating SHREEDHAR MILK: ICRA Keeps D Debt Rating in Not Cooperating SHRIGOVIND POLYTEX: CARE Keeps B- Debt Rating in Not Cooperating SPAZE TOWERS: NCLT Orders Insolvency Proceedings Against Firm SPICEJET LTD: Pays US$2MM to Settle Dispute with Shannon Engine SRIKANTH INTERNATIONAL: CARE Keeps D Rating in Not Cooperating STURDY INDUSTRIES: ICRA Keeps D Debt Ratings in Not Cooperating TALWAR MOBILES: CARE Keeps D Debt Rating in Not Cooperating TIJARIA POLYPIPES: ICRA Keeps D Debt Ratings in Not Cooperating UNI-TECH AUTOMATION: ICRA Keeps B+ Ratings in Not Cooperating UR REALTORS: ICRA Keeps B+ Debt Ratings in Not Cooperating VIZAG RE-BARS: CARE Keeps D Debt Ratings in Not Cooperating I N D O N E S I A BANK PAN: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable J A P A N FUNAI ELECTRIC: Receives Approval for Bankruptcy Plan N E W Z E A L A N D CENTRE CIRCLE: Creditors' Proofs of Debt Due on Nov. 22 CHRIS GREENEM: Court to Hear Wind-Up Petition on Oct. 31 CONTINUOUS SPOUTING: Court to Hear Wind-Up Petition on Nov. 11 DU VAL: Auckland Properties Listed on Trade Me as Deadline Sales EXPRESSLY CAFE: BDO Tauranga Appointed as Liquidators L.K ROOFING: Khov Jones Appointed as Receivers and Managers S I N G A P O R E ACCOUNCITY PTE: Court to Hear Wind-Up Petition on Nov. 8 GLP PTE.: Fitch Assigns 'BB' Rating to Proposed USD Notes INDIAN ROOM: Creditors' Proofs of Debt Due on Nov. 21 KAK SOLUTIONS: Commences Wind-Up Proceedings KINGSTAR (SINGAPORE): Court to Hear Wind-Up Petition on Nov. 1 URBAN RENEWABLES: Court to Hear Judicial Management Bid on Oct. 28 S R I L A N K A SRI LANKA: S&P Affirms 'SD/SD' Foreign Currency Sov. Credit Ratings - - - - - ================= A U S T R A L I A ================= ALAMMC DEVELOPMENTS: BDO Named as Receivers to Director's Property ------------------------------------------------------------------ The Federal Court on Oct. 22, 2024, made orders appointing Helen Newman and Andrew Fielding of BDO as receivers and managers of the property of David McWilliams and his wife Laura Fullarton. The receivers are tasked with conducting investigations into the amount of investor funds received by Mr. McWilliams and Ms. Fullarton and to provide a report to the Court within 28 days. The appointment of receivers follows urgent action taken by ASIC in September 2024 to obtain asset preservation orders over Mr. McWilliams, Ms. Fullarton and a number of companies operated by Mr. McWilliams. Travel restraint orders were also made in relation to Mr. McWilliams. Mr. McWilliams is director of several companies that offered investment opportunities for purpose-built NDIS compatible property development schemes across Australia. Many of these companies are also under asset preservation orders. ASIC has also made an application seeking the appointment of receivers over a number of companies operated by Mr. McWilliams. The hearing considering this application is listed for 1 November 2024. On Sept. 11, 2024, the Federal Court made orders preserving the assets of ALAMMC Developments Pty Ltd, SDAMF 2 Pty Ltd, Harvey Madison Capital Pty Ltd and Coral Coast Mutual Pty Ltd, and other related entities. ASIC is investigating the businesses conducted by Mr. McWilliams and his companies in relation to the provision of financial services and use of investor funds from Jan. 1, 2021. ASIC opened its investigation after receiving information in relation to Mr. McWilliams' gambling activities. The companies that are subject to the asset preservation orders are: * ALAMMC Developments Pty Ltd * ALAMMC Developments 2 Pty Ltd * ALAMMC Developments 3 Pty Ltd * ALAMMC Developments 4 Pty Ltd * ALAMMC Developments 5 Pty Ltd * ALAMMC Developments 6 Pty Ltd * ALAMMC Developments 7 Pty Ltd * SDAMF 2 Pty Ltd * SDAMF 3 Pty Ltd * SDAMF 4 Pty Ltd * Mortgage Mutual Fund Pty Ltd * Harvey Madison Capital Pty Ltd and * Coral Coast Mutual Fund Pty Ltd. Any person who is an investor in ALAMMC Developments Pty Ltd, SDAMF 2 Pty Ltd, Harvey Madison Capital Pty Ltd and Coral Coast Mutual Pty Ltd or the other related entities and has concerns can contact ASIC at alammc.enquiries@asic.gov.au. BLUESTONE MORTGAGES: Fitch Affirms 'Bsf' Rating on Class F Bonds ---------------------------------------------------------------- Fitch Ratings has affirmed six classes of Bluestone Mortgages Warehouse Trust's mortgage-backed pass-through floating-rate bonds. The transaction is backed by a pool of first-ranking Australian conforming and non-conforming residential full- and low-documentation mortgage loans. All mortgages were originated by Bluestone Group Pty Ltd and the notes were issued by Permanent Custodians Limited in its capacity as trustee of Bluestone Mortgages Warehouse Trust. Entity/Debt Rating Prior ----------- ------ ----- Bluestone Mortgages Warehouse Trust A LT AAAsf Affirmed AAAsf B LT AAsf Affirmed AAsf C LT Asf Affirmed Asf D LT BBBsf Affirmed BBBsf E LT BBsf Affirmed BBsf F LT Bsf Affirmed Bsf KEY RATING DRIVERS Stable Asset Performance: The 30+ and 90+ day arrears were 4.6% and 1.8%, respectively, at end-August 2024. These were marginally above Fitch's 2Q24 Dinkum Non-Conforming RMBS Index of 4.2% and 1.6%. There has been one additional realised loss in the past 12 months. Credit Enhancement Supports Ratings: Cash flow and asset modelling were not performed for this review, in line with Fitch's APAC Residential Mortgage Rating Criteria. The transaction has an availability period, and therefore Fitch's analysis is based on proxy pools, which were stressed in the last model run in November 2023, based on pool parameters and historical data to reflect Fitch's expectation of the pool's future composition. Low Operational and Servicing Risk: Bluestone is a non-bank lender with extensive experience in originating, servicing and managing its mortgage portfolio. Fitch undertook an operational review and found that the operations of the originator and servicer were comparable with market standards and that there were no material changes that may affect Bluestone's ongoing ability to undertake administration and collection activities. Bluestone's collection timelines, policies, procedures and origination practices are largely in line with those of other lenders in Australia after considering the mix of conforming and non-conforming borrowers, as evident from the transaction's historical performance. Tight Labour Market Supports Outlook: Portfolio performance is supported by Australia's continued economic growth and tight labour market, despite rapid interest rate hikes in 2022-2023. GDP growth was 1.0% for the year ended June 2024 and unemployment was 4.1% in September 2024. Fitch forecasts GDP growth of 1.1% for the full year, rising to 1.7% in 2025, with unemployment at 4.1% and increasing to 4.5% next year. This reflects Fitch's expectation that the effects of restrictive monetary policy and persistent inflation will continue to hinder domestic demand. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade The transaction's performance may be affected by changes in market conditions and the economic environment. Weakening asset performance is strongly correlated with increasing levels of delinquencies and defaults that could reduce credit enhancement (CE) available to the notes. Downgrade Sensitivities Unanticipated increases in the frequency of defaults and loss severity on defaulted receivables could produce loss levels higher than Fitch's base case and are likely to result in a decline in CE and remaining loss-coverage levels available to the notes. Decreased CE may make certain note ratings susceptible to negative rating action, depending on the extent of the coverage decline. Hence, Fitch conducts sensitivity analysis by stressing a transaction's initial base-case assumptions. The rating sensitivity section provides insight into the model-implied sensitivities the transaction faces when assumptions - weighted-average foreclosure frequency or weighted-average recovery rate - are modified, while holding others equal. The modelling process uses the modification of default and loss assumptions to reflect asset performance in up and down environments. The results should only be considered as one potential outcome, as the transaction is exposed to multiple dynamic risk factors. It should not be used as an indicator of possible performance. Fitch's previous rating sensitivities were discussed in the rating action commentary dated 9 November 2023. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade An upgrade could result from economic conditions, loan performance and credit losses that are better than Fitch's baseline scenario or sufficient build-up of CE that would fully compensate for credit losses and cash flow stresses commensurate with higher rating scenarios, all else being equal. Upgrade Sensitivities While the transaction is in the availability period, the notes are constrained by the revolving pool concentration test and cannot be upgraded. USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Fitch has checked the consistency and plausibility of the information it has received about the performance of the asset pool and the transaction. Fitch has not reviewed the results of any third-party assessment of the asset portfolio information or conducted a review of origination files as part of its ongoing monitoring. Prior to the transaction closing, Fitch did not review the results of a third-party assessment conducted on the asset portfolio information. As part of its ongoing monitoring, Fitch conducted a review of a small targeted sample of the originator's origination files and found the information contained in the reviewed files to be adequately consistent with the originator's policies and practices and the other information provided to the agency about the asset portfolio. Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied upon for the agency's rating analysis, according to its applicable rating methodologies, indicates that it is adequately reliable. REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING The issuer has informed Fitch that not all relevant underlying information used in the analysis of the rated notes is public. 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. FINNISH EARLY: Second Creditors' Meeting Set for Nov. 1 ------------------------------------------------------- A second meeting of creditors in the proceedings of Finnish Early Childhood Education (Lara) Pty Ltd has been set for Nov. 1, 2024 at 11:00 a.m. at 165 Camberwell Road in Hawthorn East and via Microsoft Teams. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Oct. 31, 2024 at 5:00 p.m. Nicholas Giasoumi and Shane Leslie Deane of Dye & Co. were appointed as administrators of the company on Oct. 9, 2024. FLEXICOMMERCIAL ABS 2023-1: Moody's Ups Rating on F Notes to Ba1 ---------------------------------------------------------------- Moody's Ratings has upgraded ratings on four classes of notes issued by flexicommercial ABS Trust 2023-1. The affected ratings are as follows: Issuer: flexicommercial ABS Trust 2023-1 Class C Notes, Upgraded to Aa2 (sf); previously on Jan 24, 2024 Upgraded to Aa3 (sf) Class D Notes, Upgraded to A1 (sf); previously on Jan 24, 2024 Upgraded to A3 (sf) Class E Notes, Upgraded to A3 (sf); previously on Jan 24, 2024 Upgraded to Baa2 (sf) Class F Notes, Upgraded to Ba1 (sf); previously on Jan 24, 2024 Upgraded to Ba3 (sf) A comprehensive review of all credit ratings for the respective transaction has been conducted during a rating committee. RATINGS RATIONALE The upgrades were prompted by an increase in credit enhancement available to the affected notes and the performance of the collateral pool to date. No actions were taken on the remaining rated classes in the deal as credit enhancement for these classes remain commensurate with the current ratings. Following the September 2024 payment, credit enhancement available for the Class C, Class D, Class E and Class F Notes has increased to 21.2%, 18.0%, 14.4% and 8.8% respectively, from 18.5%, 15.3%, 11.8% and 6.3% at the time of the last rating action for these notes in January 2024. As of August 2024, 2.1% of the outstanding pool was 30-plus day delinquent and 0.3% was 90-plus day delinquent. The deal has incurred 1.5% of net losses to date, which have been covered by excess spread. Based on the observed performance to date and loan attributes, Moody's have revised Moody's expected loss assumption to 5.0% of the outstanding portfolio balance (equivalent to 4.4% of the original portfolio balance), from 5.1% of the outstanding portfolio balance (equivalent to 4.3% of the original portfolio balance) at the time of the last rating action in January 2024. Moody's have also revised Moody's Aaa portfolio credit enhancement to 27%, from 29% at the time of the last rating action. The transaction is a securitisation of a portfolio of equipment and commercial auto loans and leases originated by Flexirent Capital Pty Limited and flexicommercial Pty Ltd, each a wholly owned subsidiary of Humm Group Limited, and serviced by flexicommercial Pty Ltd. The principal methodology used in these ratings was "Equipment Lease and Loan Securitizations" published in July 2024. Factors that would lead to an upgrade or downgrade of the ratings: Factors that could lead to an upgrade of the ratings include (1) performance of the underlying collateral that is better than Moody's expectations, and (2) an increase in credit enhancement available for the notes. Factors that could lead to a downgrade of the ratings include (1) performance of the underlying collateral that is worse than Moody's expectations, (2) a decrease in credit enhancement available for the notes, and (3) a deterioration in the credit quality of the transaction counterparties. HOOKLYN HOTELS: First Creditors' Meeting Set for Oct. 31 -------------------------------------------------------- A first meeting of the creditors in the proceedings of Hooklyn Hotels Pty Ltd will be held on Oct. 31, 2024 at 11:00 a.m. via Microsoft Teams. Bradley John Tonks of PKF was appointed as administrator of the company on Oct. 21, 2024. ISA RODEO: First Creditors' Meeting Set for Oct. 31 --------------------------------------------------- A first meeting of the creditors in the proceedings of Isa Rodeo Limited will be held on Oct. 31, 2024 at 11:00 a.m. at Ibis Styles Mt Isa Verona, Cnr Rodeo Drive and Camooweal St in Mount Isa City and via virtual meeting technology. Michael Brennan of SV Partners was appointed as administrator of the company on Oct. 21, 2024. MME AUTOPAY 2024-1: Fitch Assigns B+sf Final Rating to Cl. F Notes ------------------------------------------------------------------ Fitch Ratings has assigned final ratings to MME Autopay ABS 2024-1 Trust's pass-through floating-rate notes. The notes are backed by a pool of first-ranking Australian automotive loan receivables originated by MoneyMe Financial Group Pty Ltd. The notes were issued by Perpetual Corporate Trust Limited as trustee for the trust. The final rating on the class F notes is one notch higher than the expected rating. This was due to the reduction in the transaction's weighted-average (WA) note margin from the indicative WA margin previously modelled, which increases the excess spread available. Entity/Debt Rating Prior ----------- ------ ----- MME Autopay ABS 2024-1 Trust A1 AU3FN0091286 LT AAAsf New Rating AAA(EXP)sf A2 AU3FN0091294 LT AAAsf New Rating AAA(EXP)sf B AU3FN0091302 LT AAsf New Rating AA(EXP)sf C AU3FN0091310 LT Asf New Rating A(EXP)sf Commission Notes AU3FN0092169 LT AAAsf New Rating AAA(EXP)sf D AU3FN0091328 LT BBBsf New Rating BBB(EXP)sf E AU3FN0091336 LT BBsf New Rating BB(EXP)sf F AU3FN0092136 LT B+sf New Rating B(EXP)sf G1 AU3FN0092144 LT NRsf New Rating NR(EXP)sf G2 LT NRsf New Rating NR(EXP)sf Transaction Summary The total collateral pool at the 31 August 2024 cut-off date was AUD500 million and consisted of 16,288 receivables with WA seasoning of 14 months, WA remaining maturity of 61 months and an average contract balance of AUD30,699. KEY RATING DRIVERS Stress Commensurate with Ratings: Fitch derived default base-case expectations for borrowers with Equifax scores of 600-799 and 800+. Its default assumptions (and 'AAAsf' default multiples) are 8.25% (4.75x) and 2.25% (6.50x), respectively, for each sub-pool, with a WA of 4.7% (5.2x). The recovery base case is 30.0%, with a 'AAAsf' recovery haircut of 55.0%, for both sub-pools. Portfolio performance is supported by Australia's continued economic growth and tight labour market, despite rapid interest rate hikes in 2022-2023. GDP growth was 1.0% for the year ended June 2024 and unemployment was 4.1% in September 2024. Fitch forecasts GDP growth of 1.1% for the full year, rising to 1.7% in 2025, with unemployment at 4.1%, increasing to 4.5% next year. This reflects its expectation that the restrictive monetary policy and persistent inflation will continue to hinder domestic demand. Excess Spread Limited by Commission Note Repayment: The transaction includes a commission note to fund the purchase-price component related to the unamortised commission paid to introducers for the origination of the receivables. The note will not be collateralised, and will amortise in line with an amortisation schedule. Its repayment limits the availability of excess spread to cover losses, as it ranks senior in the interest waterfall, above the class A2 to F notes. Structural Risks Addressed: Counterparty risk is mitigated by documented structural mechanisms that ensure remedial action takes place should the ratings of the transaction account bank or liquidity facility provider fall below a certain level. The class A1 to F notes will receive principal repayments pro rata upon satisfaction of the step-down conditions. The percentage of credit enhancement provided by the G1 and G2 notes will increase as the A1 to F notes amortise. Fitch's cash flow analysis incorporates the transaction's structural features and tests the robustness of each note by stressing default and recovery rates, prepayments, interest-rate movements and default timing. All notes have passed their relevant rating stresses. Low Operational and Servicing Risk: All receivables were originated by MoneyMe, which demonstrated adequate capability as originator, underwriter and servicer. Servicer disruption risk is mitigated by standby servicing arrangements. The nominated standby servicer is Perpetual Corporate Trust Limited. Fitch undertook an operational review and found that the operations of the originator and servicer were comparable with those of other auto lenders. No Residual Value Risk: There is no residual value exposure in this transaction. However, 16.3% of the portfolio by loan value has balloon amounts payable at maturity. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Transaction performance may be affected by changes in market conditions and the economic environment. Weakening asset performance is strongly correlated with increasing levels of delinquencies and defaults that could reduce credit enhancement available to the notes. Downgrade Sensitivities Unanticipated increases in the frequency of defaults and decreases in recoveries on defaulted receivables could produce loss levels higher than Fitch's base case, and are likely to result in a decline in credit enhancement and remaining loss-coverage levels available to the notes. Decreased credit enhancement may make certain note ratings susceptible to negative rating action, depending on the extent of the coverage decline. Hence, Fitch conducts sensitivity analysis by stressing a transaction's initial base-case assumptions; these include increasing WA defaults and decreasing the WA recovery rate. The rating sensitivity section provides insight into the model-implied sensitivities the transaction faces when assumptions - defaults or recoveries - are modified, while holding others equal. The modelling process uses the modification of default and loss assumptions to reflect asset performance in up and down environments. The results should only be considered as one potential outcome, as the transaction is exposed to multiple dynamic risk factors. Notes: Commission / A1 / A2 / B / C / D / E / F Rating: AAAsf / AAAsf / AAAsf / AAsf / Asf / BBBsf / BBsf / B+sf 10% defaults increase: AAAsf / AAAsf / AA+sf / A+sf / A-sf / BBB-sf / BB-sf / Bsf 25% defaults increase: AAAsf / AA+sf / AAsf / Asf / BBB+sf / BB+sf / B+sf / less than Bsf 50% defaults increase: AAAsf / AAsf / A+sf / A-sf / BBB-sf / BBsf / less than Bsf / less than Bsf 10% recoveries decrease: AAAsf / AAAsf / AA+sf / AA-sf / A-sf / BBBsf / BBsf / B+sf 25% recoveries decrease: AAAsf / AAAsf / AA+sf / AA-sf / A-sf / BBB-sf / BB-sf / Bsf 50% recoveries decrease: AAAsf / AAAsf / AA+sf / A+sf / A-sf / BBB-sf / B+sf / Bsf 10% defaults increase / 10% recoveries decrease: AAAsf / AAAsf / AA+sf / A+sf / BBB+sf / BBB-sf / BB-sf / Bsf 25% defaults increase / 25% recoveries decrease: AAAsf / AA+sf / AA-sf / Asf / BBBsf / BB+sf / Bsf / less than Bsf 50% defaults increase / 50% recoveries decrease: AAAsf / AA-sf / Asf / BBB+sf / BB+sf / BB-sf / less than Bsf / less than Bsf Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Economic conditions, loan performance and credit losses that are better than Fitch's baseline scenario or sufficient build-up of credit enhancement that would fully compensate for credit losses and cash flow stresses commensurate with higher rating scenarios, all else being equal. Upgrade Sensitivities The commission, class A1 and class A2 notes are at the highest level on Fitch's scale and cannot be upgraded. Notes: B / C / D / E / F Rating: AAsf / Asf / BBBsf / BBsf / B+sf 10% defaults decrease / 10% recoveries increase: AAsf / Asf / BBB+sf / BBsf / BB-sf USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10 Form ABS Due Diligence-15E was not provided to, or reviewed by, Fitch in relation to this rating action. DATA ADEQUACY Fitch sought to receive a third-party assessment conducted on the asset portfolio information, but none was made available to Fitch for this transaction. Fitch conducted a review of a small targeted sample of the originator's origination files and found the information contained in the reviewed files to be adequately consistent with the originator's policies and practices and the other information provided to the agency about the asset portfolio. Overall, and together with any assumptions referred to above, Fitch's assessment of the information relied upon for the agency's rating analysis, according to its applicable rating methodologies, indicates that it is adequately reliable. REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF RATING The issuer has informed Fitch that not all relevant underlying information used in the analysis of the rated notes is public. 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. SELINA HOLDING: Second Creditors' Meeting Set for Oct. 31 --------------------------------------------------------- A second meeting of creditors in the proceedings of Selina Holding Australia Pty Ltd, Selina Operation Brisbane Pty Ltd, Selina Operation St Kilda Pty Ltd, and Selina Operations Australia Pty Ltd has been set for Oct. 31, 2024 at 2:00 p.m. at the offices of HLB Mann Judd at Level 5, 10 Shelley Street in Sydney and virtually via Microsoft Teams. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Oct. 30, 2024 at 5:00 p.m. Todd Gammel and Matthew Levesque-Hocking of HLB Mann Judd were appointed as administrators of the company on Aug. 8, 2024. TRUE NORTH: Equity Recapitalisation and Sale Process Begins ----------------------------------------------------------- Mining.com.au reports that KordaMentha's dual-track equity recapitalisation and sale process for True North Copper started late last week with the process expected to take about two to three months, according to sources familiar with the situation. The data room will be set up this week and an information memorandum will be made available to interested parties. On October 21, Queensland-focused True North Copper appointed Richard Tucker and Tony Miskiewicz of KordaMentha as voluntary administrators, Mining.com.au discloses. According to Mining.com.au, KordaMentha is assessing the company's operations and is seeking expressions of interest to acquire the group as a whole or individual projects/assets as part of the dual-track process. On October 24, KordaMentha has given notice it intends to rely on the relief set out in a Australian Securities and Investments Commission (ASIC) corporations instrument, which provides for the deferral of financial reporting obligations for a minimum period of six months and up to a maximum period of 24 months from the date of its appointment. Mining.com.au says the ASIC instrument also enables deferral of requirements to hold an AGM. The True North AGM will no longer be held on October 31, 2024 as previously scheduled. In accordance with the instrument, the financial reporting obligations of True North under are deferred until the external administration ends prior to April 21, 2025 (inclusive), six months from the date of the appointment of the administrators; or if the external administration extends beyond 21 April 2025, the earlier of: a) 24 months from the date of the appointment of the administrators; b) if a deed administrator is appointed, the day on which a director has the right to, or is able to, perform or exercise all or most of the management powers or functions of a director under a deed of company arrangement or with the consent of the deed administrator; or c) the day the external administration of True North ends. In a statement to the Australian Securities Exchange on October 22, True North Copper said the decision has come after a period of extensive negotiations with its debt provider Nebari Natural Resources Credit Fund II, largest shareholder Tembo Capital Holdings UK, and other potential equity providers, according to Mining.com.au. It also comes three weeks after CFO Craig Gouws resigned from the company for personal reasons, Mining.com.au relates. Mr. Gouws came on board as CFO in June 2024 at the same time as Bevan Jones was appointed as Managing Director to take over from Marty Costello who stepped down in May. With cash resources running down and "no prospects of being able to draw on existing facilities or raise additional equity or debt" before the scheduled AGM, the administrators were appointed, as per True North's ASX statement. Mining.com.au reached out to True North Copper, which declined to comment beyond its statement to the ASX. According to one source familiar with the situation, Nebari ultimately triggered the administration process and KordaMentha's appointment, Mining.com.au relays. It's understood the debt provider called in breaches of some 'onerous' debt covenants and was unable to come to an agreement with True North's largest shareholder Tembo Capital Holdings UK regarding an injection of funds from the latter that would help the company satisfy all conditions to draw down tranche two of the Nebari debt facility, the report adds. About True North Copper Based in Cairns, Australia, True North Copper Limited (ASX:TNC) -- https://truenorthcopper.com.au/ -- engages in mineral exploration and development activities in Australia. The company primarily explores for copper, cobalt, gold, and silver deposits. It holds 100% interests in the Cloncurry project located near Cloncurry, Northwest Queensland; and Mount Oxide project located in North-West Queensland, as well as the Bundarra project located in Central Queensland. On Oct. 21, 2024, the Directors of True North Copper Ltd appointed Richard Tucker and Tony Miskiewicz of KordaMentha as Voluntary Administrators of the below entities: * True North Copper Limited (ACN 119 421 868) * TNC Mining Pty Ltd (ACN 652 408 378) * CopperCorp Pty Ltd (ACN 649 946 305) * North West Copper Pty Ltd (ACN 661 786 956) * TNC Asset Holding Pty Ltd (ACN 652 599 687) TRUE NORTH: First Creditors' Meeting Set for Oct. 31 ---------------------------------------------------- A first meeting of the creditors in the proceedings of True North Copper Limited, Coppercorp Pty Ltd, TNC Mining Pty Ltd, TNC Asset Holding Pty Ltd, and North West Copper Pty Ltd will be held on Oct. 31, 2024 at 2:00 p.m. virtually by Zoom. Richard Scott Tucker and Anthony Jay Edward Miskiewicz of KordaMentha were appointed as administrators of the company on Oct. 31, 2024. VIRTICAL: Adelphi Hotel Sold for Discounted AUD19 Million --------------------------------------------------------- The Australian Financial Review reports that prominent Melbourne pub and hotel investor Mazen Tabet has taken advantage of the collapse of once high-flying hospitality group Virtical after buying the Adelphi Hotel on Flinders Lane for just AUD19 million -- a 24 per cent discount on its AUD25 million sale 18 months ago. The sale comes less than a week since Nic Natkunarajah from insolvency firm Roger and Carson was appointed liquidator of Virtical on behalf of creditors of the group, and a day after The Australian Financial Review revealed the company owed at least AUD50 million for fake GST refunds. According to the report, the Adelphi Hotel was part of a AUD125 million spending spree on trophy Melbourne and Sydney property by Virtical last year as it burst onto the hospitality scene. Virtical paid prominent businessman Ozzie Kheir around AUD25 million in May 2023 for the Adelphi -- one of Melbourne CBD's best known boutique hotels. But its property empire collapsed last month after non-bank lender Bond Finance put key Virtical venues into administration in pursuit of AUD91 million in overdue loans. The Adelphi Hotel was sold via administrators BRI Ferrier on behalf of the Morello family's Bond Finance after previously being placed on the market by Virtical, the Financial Review notes. Located at 187 Flinders Lane, the boutique hotel features 34 guest rooms and suites, a rooftop pool and events venue, cocktail bar and boardroom. The Financial Review revealed last month that Mr. Tabet had made an offer for the Adelphi. It will complement a portfolio that includes South Yarra's Lyall Hotel and Spa, the Village Belle pub in St Kilda and luxury hotel The Royce on St Kilda Road. Mr. Tabet is also a co-investor alongside billionaires Chris Morris and the Tarascio family in a AUD130 million hotel project on Phillip Island. Earlier this month, administrators BRI Ferrier sold Virtical's trophy venue, The Republic Hotel in the Sydney CBD for AUD32 million to Thomas Hotels -- headed up by Chris Thomas. The Financial Review says the Adelphi will be operated by 1834 Hotels on behalf of Mazen Tabet in a deal negotiated by the property's selling agents, Nick MacFie and Peter Harper from JLL and Nick Lower and Benson Zhou from Savills. "We're incredibly excited to announce a valuable addition to our growing portfolio, the iconic Adelphi Hotel," the report quotes Andrew Bullock, chief executive of 1834 Hotels, as saying. "Continuing to expand into the Victorian market aligns with our strategic goals to further strengthen 1834's presence and brand across Australia. We look forward to building on the hotel's rich history and offering exceptional guest experiences." Virtical's first hospitality acquisition was the AUD1.65 million purchase of the 120-year-old Hotel Australasia in Eden, on the NSW South Coast, in 2021, the Financial Review notes. It also had plans to build a AUD100 million luxury resort, dubbed Sapphire of Eden, on the site of the town's former Fisherman's Club, but that project never got off the ground. The Virtical business began to unravel last month when the Financial Review revealed the company was under investigation by the Australian Taxation Office over AUD100 million in GST refunds. ========= C H I N A ========= CHINA EVERGRANDE: EV Unit Ceases Discussions for Stake Sale ----------------------------------------------------------- Reuters reports that China Evergrande New Energy Vehicle said on Oct. 25, 2024, that its potential sellers have decided to cease talks for a stake sale in the company, which is the electric vehicle unit of the debt-laden China Evergrande. In May, liquidators of the parent company - which held 58.5% in the EV unit - said they were talking to a third-party buyer to sell a 29% stake in the EV group, with an option to sell the rest of the holding within a certain period of time. Reuters relates that China Evergrande - in a separate statement - said on Oct. 27 that its liquidators will continue to seek possible buyers and other opportunities to divest the shares in Evergrande NEV, but also flagged that it is not certain that such a transaction will take place. Evergrande NEV posted a net loss of CNY20.3 billion ($2.9 billion) in the first half, widening from a CNY6.9 billion net loss a year earlier, Reuters discloses. Reuters adds that the company said an application has been made for the resumption of trading in shares on stock exchange from Oct. 28. About China Evergrande China Evergrande Group is an integrated residential property developer. The Company, through its subsidiaries, operates in property development, investment, management, finance, internet, health, culture, and tourism markets. China Evergrande Group, the second largest real estate developer in China, and certain of its affiliates sought creditor protection in the United States under Chapter 15 of the Bankruptcy Code (Bankr. S.D.N.Y. Lead Case No. 23-11332) on Aug. 17, 2023. Evergrande, widely known as the most leveraged company in the world, and its affiliates are asking the U.S. Bankruptcy Court for the Southern District of New York for recognition of foreign proceedings as "foreign main" proceeding under Chapter 15. Evergrande is in the midst of a highly complex restructuring of around $20 billion in offshore debt. In total, the Company has more than $300 billion in liabilities. Evergrande is incorporated in the Cayman Islands as an exempted company with limited liability, with its principal place of business located at 15th Floor, YF Life Centre, 38 Gloucester Road, Wanchai, Hong Kong. It is subject to a restructuring proceeding entitled In the Matter of China Evergrande Group, concerning a scheme of arrangement between Evergrande and certain Scheme Creditors pursuant to the relevant provisions of the Hong Kong Companies Ordinance (Chapter 622 of the Laws of Hong Kong), currently pending before the High Court of Hong Kong (Case Number HCMP 1091/2023. Affiliate Tianji Holding Limited is incorporated in Hong Kong as a limited liability company, with its principal place of business located at 17th Floor, One Island East, Taikoo Place, 18 Westlands Road, Quarry Bay, Hong Kong. Tianji is subject to a restructuring proceeding entitled In the Matter of Tianji Holding Limited, concerning a scheme of arrangement between Tianji and certain Scheme Creditors, pursuant to the relevant provisions of the Hong Kong Companies Ordinance and currently pending before the Hong Kong Court (Case Number HCMP 1090/2023). Affiliate Scenery Journey Limited is incorporated in the British Virgin Islands as a limited liability company, with its principal place of business located at 2nd Floor Water's Edge Building, Wickham's Cay II, Road Town, Tortola, BVI. Scenery Journey is subject to a restructuring proceeding entitled In the Matter of Scenery Journey Limited, concerning a scheme of arrangement between Scenery Journey and certain Scheme Creditors, pursuant to section 179A of the BVI Business Companies Act, 2004, and currently pending before the High Court of the Eastern Caribbean Supreme Court (Case Number BVIHCOM 2023/0076). U.S. Bankruptcy Judge Michael E Wiles presides over the Chapter 15 proceedings. Sidley Austin is the Hong Kong Counsel to Evergrande and Tianji. Maples BVI is the British Virgin Island Counsel to Scenery Journey. On Jan. 29, 2024, a Hong Kong court ordered the liquidation of China Evergrande Group. FINGERMOTION INC: Widens Net Loss to $1.69-Mil. in Fiscal Q2 ------------------------------------------------------------ FingerMotion Inc. filed with the U.S. Securities and Exchange Commission its Quarterly Report on Form 10-Q reporting a net loss of $1,690,551 on $8,458,763 of revenues for the three months ended August 31, 2024, compared to a net loss of $134,652 on $9,279,166 of revenues for the three months ended August 31, 2023. For the six months ended August 31, 2024, the Company reported a net loss of $3,346,383 on $16,832,746 of revenues, compared to a net loss of $1,398,914 on $21,448,257 of revenues for the same period in 2023. Going Concern The Company had an accumulated deficit of $31,792,966 and $28,448,833 as at August 31, 2024 and February 29, 2024, respectively. The Company's continuation as a going concern is dependent on its ability to obtain additional financing to fund operations, implement its business model, and ultimately, attain profitable operations. The Company will need to secure additional funds through various means, including equity and debt financing or any similar financing. There can be no assurance that the Company will be able to obtain additional equity or debt financing, if and when needed, on terms acceptable to the Company, or at all. Any additional equity or debt financing may involve substantial dilution to the Company's stockholders, restrictive covenants or high interest costs. The Company's long-term liquidity also depends upon its ability to generate revenues and achieve profitability. As of August 31, 2024, the Company had $30,188,875 in total assets, $20,310,503 in total liabilities, and $9,878,372 in total shareholders' equity. A full-text copy of the Company's Form 10-Q is available at: https://tinyurl.com/7je5w5ms About FingerMotion Inc. FingerMotion Inc. is an evolving technology Company with a core competency in mobile payment and recharge platform solutions in China. Hong Kong-based Centurion ZD CPA & Co., the Company's former auditor, issued a "going concern" qualification in its report dated May 29, 2024, citing that the Company has suffered recurring losses from operations that raise substantial doubt about its ability to continue as a going concern. FingerMotion had a net loss of $3,812,017 and $7,538,837 for the years ended February 29, 2024 and February 28, 2023, respectively. LONGFOR GROUP: Fitch Lowers LongTerm Foreign-Currency IDR to 'BB' ----------------------------------------------------------------- Fitch Ratings has downgraded Chinese homebuilder Longfor Group Holdings Limited's Long-Term Foreign-Currency Issuer Default Rating (IDR), senior unsecured rating and the ratings on its outstanding senior notes to 'BB', from 'BB+'. The Outlook on the IDR is Negative. The downgrade reflects a reduction in Longfor's liquidity buffer due to weaker sales and cash flow generation than Fitch expected. The Negative Outlook captures the risk that the company's and industry's sales will take longer to stabilise despite recent supportive policies. Longfor's strong bank funding access, backed by its large investment-property (IP) portfolio, and rising recurring income continue to be key support factors to its ratings. Key Rating Drivers Reduced Liquidity Buffer: The company's liquidity buffer has shrunk as a result of a 48% decline in contracted sales in 1H24, despite reductions in land acquisitions and construction outflows. Available cash to short-term unsecured debt, including unsecured onshore bonds and syndicated loans, dropped to 1.6x as of 1H24 (end-2023: 3.1x). However, Fitch believes Longfor's liquidity remains adequate as Fitch expects free cash flow to turn positive in 2H24 and 2025, while the company retains strong access to IP-backed bank lending. Sales Yet to Stablise: Longfor's contracted sales have yet to stablise, with 3Q24 sales declining by 43% yoy to CNY22 billion. Its rating case forecasts sales will drop to CNY100 billion in 2024, down from about CNY140 billion previously. This implies average monthly sales of CNY9 billion for the last three months of the year against monthly sales of CNY8 billion through 9M24. Its forecast has incorporated improved market sentiment following the recent round of policy support. Fitch forecasts 2025 contracted sales to decline by 10% to CNY90 billion, reflecting uncertain market prospects despite recent supportive measures from the government. Fitch also believes the company will continue to prioritise debt repayment and remain selective in project launches and land bank replenishment. Increasing IP-Backed Borrowings: Longfor continues to successfully obtain IP-backed loans to help address its maturing capital-market debt and other unsecured borrowings. It obtained CNY22 billion in IP-backed loans in 1H24, including CNY16 billion in new or additional loans and CNY5 billion in commercial mortgage-backed securities refinancing. Total IP-backed bank loans reached CNY69 billion by 1H24 (2023: CNY48 billion). Longfor expects this to rise to CNY75 billion by end-2024 and CNY87 billion by end-2025, and its total secured loan capacity to reach CNY100 billion in the medium term. The shift in the debt structure has lengthened its maturity profile, alleviating liquidity pressure and refinancing risk. However, the ongoing substitution of unsecured borrowings with onshore secured lending will reduce the unencumbered asset pool, which may lead to subordination risk for offshore unsecured borrowings. Significant Maturities in 2025: Longfor has already repaid most of the CNY4.5 billion bonds maturing in 2H24, but bonds and syndicated loans maturities will amount to CNY29 billion in 2025. This includes HKD9.5 billion of syndicated loans due in January 2025, which the company has already repaid half of; it plans to repay the rest over the next two months. Refinancing pressure will ease significantly beyond 2025, with CNY6 billion-7 billion of bonds and syndicated loans due in both 2026 and 2027. Steady Growth in Recurring Income: The rental and property management businesses continued to grow, contributing the majority of Longfor's operating profit. Rental income was up 13% yoy in 1H24, excluding the amortisation of previous rental concessions. The occupancy rate remained high at 96% and retail sales were up 12% yoy, or 5% yoy on a same-store basis, supported by strong footfall growth. The company opened three new malls in 1H24 and expects to open 10 more in 2H24. Property management revenue was also up by 10% yoy in 1H24. Derivation Summary Longfor's large IP portfolio, valued at about CNY200 billion, provides significant recurring income and supports its bank funding access relative to its property development peers, and is a major rating support factor. In comparison, China Vanke Co., Ltd. (B+/Negative) similarly has robust banking relationships, but has a weaker liquidity profile. Fitch also expects stronger cash flow generation from Longfor, supported by its recurring income, while Fitch expects Vanke to rely on executing its asset monetisation plan to bolster its liquidity. Key Assumptions Fitch's Key Assumptions Within Its Rating Case for the Issuer - Contracted sales to decline by 42% in 2024 and 10% in 2025 (9M24: -47%) - Rental income to grow at a 7% CAGR in 2024-2025 - Land acquisition at 10%-12% of sales proceeds in 2024-2025 - Construction costs (including IP capex) of CNY38 billion, or 45% of sales proceeds, in 2024 and CNY31 billion, or 40% of sales proceeds, in 2025 (1H24: CNY21 billion) RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade: - Weaker contracted sales and/or free cash flow generation than expected - Deterioration in the operating performance of its IP business, including occupancy and rental rates - Deterioration in liquidity or funding access Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade: The Outlook will be revised to Stable if the negative sensitivities are not met. Liquidity and Debt Structure Adequate Liquidity: Longfor had CNY30 billion of available cash (excluding regulated presales funds) as of 1H24 that fully covered its CNY29 billion of short-term debt, of which about CNY19 billion was syndicated loans and onshore bonds. Longfor's liquidity is also supported by its strong access to onshore bank funding and flexibility to manage operating cash outflows. Issuer Profile Longfor is among the top-10 property developers in China with nationwide exposure and CNY73 billion in contracted sales in 9M24. The company has an IP portfolio valued at over CNY200 billion as of end-1H24, comprising shopping malls and rental housing across China. MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. 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 Prior ----------- ------ ----- Longfor Group Holdings Limited LT IDR BB Downgrade BB+ senior unsecured LT BB Downgrade BB+ RETO ECO-SOLUTIONS: Jaash, Yi Liu Hold 6.6% of Class A Shares ------------------------------------------------------------- Jaash Investment Limited and sole member and director, Yi Liu, disclosed in a Schedule 13G Report filed with the U.S. Securities and Exchange Commission that as of August 30, 2024, they beneficially owned 1,268,568 Class A shares of ReTo Eco-Solutions, Inc., representing 6.6% of the 19,352,636 Class A Shares outstanding as reported in ReTo Eco-Solutions' Form F-3. A full-text copy of Jaash Investment's SEC Report is available at: https://tinyurl.com/4cw9ee3h About ReTo Eco-Solutions ReTo Eco-Solutions, Inc., through its operating subsidiaries in China, is engaged in the manufacture and distribution of eco-friendly construction materials (aggregates, bricks, pavers, and tiles), made from mining waste (iron tailings), as well as equipment used for the production of these eco-friendly construction materials. In addition, the Company provides consultation, design, project implementation, and construction of urban ecological protection projects through its operating subsidiaries in China. The Company also provides parts, engineering support, consulting, technical advice and service, and other project-related solutions for its manufacturing equipment and environmental protection projects. Irvine, California-based YCM CPA, Inc., the Company's auditor since 2021, issued a "going concern" qualification in its report dated May 15, 2024, citing that the Company recorded an accumulated deficit as of Dec. 31, 2023, and the Company currently has a net working capital deficit, continued net losses, and negative cash flows from operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. RETO ECO-SOLUTIONS: Jasha, Ning Xue Hold 6.4% of Class A Shares --------------------------------------------------------------- Jasha Group Ltd. and sole member and director, Ning Xue, disclosed in a Schedule 13G Report filed with the U.S. Securities and Exchange Commission that as of August 30, 2024, they beneficially owned 1,231,432 Class A shares of ReTo Eco-Solutions, Inc., representing 6.4% of the 19,352,636 Class A Shares outstanding as reported in ReTo Eco-Solutions' Form F-3. A full-text copy of Jasha Group's SEC Report is available at: https://tinyurl.com/3z3hctza About ReTo Eco-Solutions ReTo Eco-Solutions, Inc., through its operating subsidiaries in China, is engaged in the manufacture and distribution of eco-friendly construction materials (aggregates, bricks, pavers, and tiles), made from mining waste (iron tailings), as well as equipment used for the production of these eco-friendly construction materials. In addition, the Company provides consultation, design, project implementation, and construction of urban ecological protection projects through its operating subsidiaries in China. The Company also provides parts, engineering support, consulting, technical advice and service, and other project-related solutions for its manufacturing equipment and environmental protection projects. Irvine, California-based YCM CPA, Inc., the Company's auditor since 2021, issued a "going concern" qualification in its report dated May 15, 2024, citing that the Company recorded an accumulated deficit as of Dec. 31, 2023, and the Company currently has a net working capital deficit, continued net losses, and negative cash flows from operations. These conditions raise substantial doubt about the Company's ability to continue as a going concern. ========= I N D I A ========= ADG AGROTECH: ICRA Keeps B Debt Ratings in Not Cooperating ---------------------------------------------------------- ICRA has kept the long-term rating of ADG Agrotech Pvt Ltd (AAPL) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B(Stable); ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 3.00 [ICRA] B(Stable) ISSUER NOT Fund-Based COOPERATING; Rating continues Cash Credit to remain in the 'Issuer Not Cooperating' category Long Term- 2.00 [ICRA] B(Stable) ISSUER NOT Fund-based COOPERATING; Rating continues Term Loan to remain in the 'Issuer Not Cooperating' category As part of its process and in accordance with its rating agreement with AAPL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in October2012 as a private limited company, ADG Agrotech Private Limited (AAPL) is involved in milling of raw rice with an installed capacity to manufacture 12,000 MTPA of rice. The manufacturing facility of the company is located in Burdwan district of West Bengal, a popular paddy growing region. BARODA AGRO: ICRA Keeps D Debt Ratings in Not Cooperating --------------------------------------------------------- ICRA has kept the Long-Term and Short Term ratings for the Bank facilities of Baroda Agro Chemicals Limited (BACL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]D; ISSUER NOT COOPERATING/[ICRA]D;ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Short-term 1.50 [ICRA]D; ISSUER NOT COOPERATING; Non-fund based Rating continues to remain under Others 'Issuer Not Cooperating' Category Short Term- (5.75) [ICRA]D; ISSUER NOT COOPERATING; Interchangeable Rating Continues to remain under 'Issuer Not Cooperating' Category Long-term 10.30 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Term Loan 'Issuer Not Cooperating' Category Long-term 14.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category As part of its process and in accordance with its rating agreement with BACL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Baroda Agro Chemicals Limited (BACL) was incorporated in 1996 by Mr. K.V Rao. BACL is engaged in the manufacture of insecticide, pesticide and fungicide formulations. The company operates from its manufacturing facility located at Halol near Vadodara city with an installed capacity of ~265 KL/per day. BACL enters contract manufacturing as well as job work with respect to generic pesticide formulation and can produce formulations in varying forms like Emulsifiable Concentrates (EC), Dusting Powders (DP), Granules (G), Wettable Powders (WP), Soluble Powders (SP), Suspension Concentrates (SC), Flowables Slurries (FS), Water Disbursable Granules (WDG), Dry Flowables (DF) and Soluble Granules (SG). DIAMOND POLYMERS: CARE Keeps B- Debt Rating in Not Cooperating -------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Diamond Polymers (DP) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 5.12 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 29, 2023, placed the rating(s) of DP under the 'issuer non-cooperating' category as DP had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. DP continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 14, 2024, July 24, 2024, August 3, 2024 among others. 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). Daman based Diamond Polymers (DP) was established in 2015 as a partnership firm with a vision to cater to the growing demand for flexible packaging material. Firm is engaged in the manufacturing of high-quality plastic packaging and rolls. The plant is situated at Industrial area in Daman. DWARKA METROHILLS: CARE Keeps C Debt Rating in Not Cooperating -------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Dwarka Metrohills Hospital Private Limited (DMHPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 9.35 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated September 27, 2023, placed the rating(s) of DMHPL under the ‘issuer non-cooperating’ category as DMHPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. DMHPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated August 12, 2024, August 22, 2024 and September 1, 2024 among others. 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). Varanasi based, Dwarka Metro Hills Hospital Private Limited (DMHPL) was incorporated in December, 2011 as a private limited company by the name of Metro Heart Hospital Private Limited, however, the name was changed to its current name, Metro Hills Hospital Private Limited in October, 2012 which was further changed to Dwarka Metro Hills Hospital Private Limited in FY19. DMHPL is currently being promoted by Mr. Vinit Kumar Singh, Mrs. Rita Singh and Mrs. Monika Singh. The company will operate a multispecialty hospital having various departments for general medicine, general surgery, urology, neurology, radiology, gynaecology, nephrology, ophthalmology, orthopaedics, physiotherapy, etc. along with 24 hours pharmacy and lab services and is located in Chandauli (Uttar Pradesh) with proposed capacity of 160 beds. JANGAM INFRATECH: CARE Lowers Rating on INR10cr LT Loan to C ------------------------------------------------------------ CARE Ratings has revised the ratings on certain bank facilities of Jangam Infratech Private Limited (JIPL), as: 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 and Downgraded from CARE B-; Stable Short Term Bank 20.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 16, 2023, placed the rating(s) of JIPL under the ‘issuer non-cooperating’ category as JIPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. JIPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 1, 2024, July 11, 2024, July 21, 2024 among others. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.’s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of JIPL have been revised on account of non-availability of requisite information. Jangam Infratech Private Limited (JIPL) (formerly known as Sri Sapthagiri Infratech Private Limited) was incorporated on February 23, 2010 and has been promoted by Mr. Vijay Kumar Makthala along with Ms. Shobha Rani Aravandi. During FY17, SSIPL changed its business name as JIPL and the same was registered with ROC, Hyderabad on March 31, 2017. JIPL is engaged in the business of mining, infrastructure development and execution of Engineering, Construction facilities in various projects like housing, Hospitals, Buildings, Urban infrastructure etc. for Central/State Governments, other local bodies and private sector. JIPL holds 14% of shares in GJS infratech Private Limited and does sub-contracting for them. JAY AGRO: CARE Keeps D Debt Rating in Not Cooperating Category -------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Jay Agro Industries (JAI) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 16.51 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 31, 2023, placed the rating(s) of JAI under the ‘issuer non-cooperating’ category as JAI had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. JAI continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 16, 2024, July 26, 2024, August 5, 2024 among others. 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). Vadodara-based (Gujarat) JAI was promoted by Mr Nimmagadda Prasad and Ms. Aruna Prasad for manufacturing of Pesticides in 2003. JAI's manufacturing plant is located in Vadodara, Gujarat having for production of Agrochemicals, Pesticides and Insecticides. JAI is an ISO 9001: 2008 and UKAS Quality Management certified firm. JOSEPH LESLIE: ICRA Keeps B+ Debt Ratings in Not Cooperating ------------------------------------------------------------ ICRA has kept the long-term and short-term rating of Joseph Leslie & Company LLP (JLC) in the 'Issuer Not Cooperating' category. The ratings are denoted as [ICRA]B+(Stable); ISSUER NOT COOPERATING /[ICRA]A4; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 5.25 [ICRA]B+ (Stable) ISSUER NOT Fund Based- COOPERATING; Rating continues Cash Credit to remain under 'Issuer Not Cooperating' category Short Term- 2.10 [ICRA]A4 ISSUER NOT Non Fund Based COOPERATING; Rating continues Others to remain under 'Issuer Not Cooperating' category Long Term/ 1.25 [ICRA]B+(Stable)/[ICRA]A4; Short Term- ISSUER NOT COOPERATING; Unallocated Rating Continues to remain under issuer not cooperating category As part of its process and in accordance with its rating agreement with JLC, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information Joseph Leslie & Company LLP (JLC) was formed as a partnership firm in 1933 and was later converted into a limited liability partnership in January 2011. The operations of the firm are managed by Ms. Wendy Leslie Pereira and Ms. Carole Leslie Roy who have an experience of over two decades in the industrial PPE industry. JLC manufactures and trades in industrial PPE through its distribution network of more than 20 distributors across India. KOTECHA INDUSTRIES: CARE Keeps D Debt Ratings in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Kotecha Industries Limited (KIL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 3.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 3.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 29, 2023, placed the rating(s) of KIL under the ‘issuer non-cooperating' category as KIL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. KIL continues to be non-cooperative despite repeated requests for submission of information through emails dated July 14, 2024, July 24, 2024, August 3, 2024 among others. 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). KIL is a closely held limited company, incorporated on May 9, 2008 and promoted by Mr Hardik Kotecha and Mr Manharlal Kotecha. The company is engaged into the trading Poly Vinyl Chloride (PVC) resin in domestic markets based on the orders given by customers. KIL has set up its unit in Rajkot and has a branch office and a warehouse in Mumbai. The PVC resin is procured from suppliers spread across India as well as is imported from South Korea. KWALITY PHARMA: ICRA Lowers Rating on INR24.08cr Loan to B+ ----------------------------------------------------------- ICRA has downgraded the ratings on certain bank facilities of Kwality Pharmaceuticals Ltd. (KPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 24.08 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; downgraded from Cash Credit [ICRA]BB+(Stable); ISSUER NOT COOPERATING and continues to remain under the 'Issuer Not Cooperating' category Long Term- 22.00 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; downgraded from Term Loan [ICRA]BB+(Stable); ISSUER NOT COOPERATING and continues to remain under the 'Issuer Not Cooperating' category Short Term- 9.00 [ICRA]A4 ISSUER NOT Non Fund Based COOPERATING; Rating continues Others to remain under 'Issuer Not Cooperating' category Long Term/ 9.92 [ICRA]B+(Stable)/[ICRA]A4; Short Term- ISSUER NOT COOPERATING; Unallocated Rating downgraded from [ICRA]BB+(Stable); ISSUER NOT COOPERATING/[ICRA]A4; ISSUER NOT COOPERATING; Rating downgraded from [ICRA]A4+; ISSUER NOT COOPERATING and continues to remain under the 'Issuer Not Cooperating' Category Rationale The rating downgrade is attributable to the lack of adequate information regarding KPL performance and hence the uncertainty around its credit risk. ICRA assesses whether the information available about the entity is commensurate with its rating and reviews the same as per its "Policy in respect of non-cooperation by a rated entity" available at www.icra.in. 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." As part of its process and in accordance with its rating agreement with Kwality Pharmaceuticals Ltd., 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. KPL was incorporated in 1983 as a private limited company, promoted by Mr. Ramesh Arora. The company was reconstituted to a closely held public limited company in 1993 and got listed on the SME platform of the Bombay Stock Exchange in July 2016 and subsequently migrated to main board of BSE Limited in June 2022. It manufactures pharmaceutical formulations in the form of injectables, tablets, capsules, and syrups. It has two units each in Amritsar (Punjab) and Kangra (Himachal Pradesh); the Kangra unit commenced production in October 2008. M.K. AGGARWAL: ICRA Keeps B+ Debt Ratings in Not Cooperating ------------------------------------------------------------ ICRA has kept the Long-Term ratings for the Bank facilities of M.K. Aggarwal Hosiery (P) Limited (MKAHL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]B+(Stable); ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 0.50 [ICRA]B+(Stable); ISSUER NOT Non-Fund Based- COOPERATING; Rating continues Others to remain under 'Issuer Not Cooperating' category Long Term- 6.27 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; Rating continues Term Loan to remain under 'Issuer Not Cooperating' category Long Term- 9.00 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; Rating continues Cash Credit to remain under 'Issuer Not Cooperating' category Long Term- 4.23 [ICRA]B+ (Stable); ISSUER NOT Unallocated COOPERATING; Rating continues Cash Credit to remain under 'Issuer Not Cooperating' category As part of its process and in accordance with its rating agreement with MKAHL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. M.K. Aggarwal Hosiery (P) Limited (MKAHL) was incorporated in 1993 and is managed by Mr. Rahul Kumar. It is currently engaged in manufacturing and selling knitted fabric in Uttar Pradesh, Delhi and Punjab. The plant is located in Ludhiana. MAGNUM AVIATION: CARE Keeps D Debt Ratings in Not Cooperating ------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Magnum Aviation Private Limited (MAPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 9.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 8.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated September 29, 2023, placed the rating(s) of MAPL under the ‘issuer non-cooperating' category as MAPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. MAPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated August 14, 2024, August 24, 2024 and September 3, 2024 among others. 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 2002, Magnum Aviation Private Limited (MAPL) is promoted by Mr. Vishal Varshnei and Ms Manvi Varshnei. MAPL is engaged in the trading of aircraft spares such as aircraft wheels, brakes, avionics, propeller hoses, lubricants etc. Additionally, the company also provides Maintenance, Repair & Overhaul (MRO) services for the aircraft components and has its service facility located in Special Economic Zone of Noida, Uttar Pradesh. MAPL caters to the need of both civil and military aircraft customers in overseas markets as well as in domestic markets. MARUDHARA POLYPACK: ICRA Keeps B+ Debt Ratings in Not Cooperating ----------------------------------------------------------------- ICRA has kept the Long-Term ratings of Marudhara Polypack Private Limited (MPPL) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]B+(Stable); ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 4.50 [ICRA]B+ (Stable) ISSUER NOT Fund Based- COOPERATING; Rating continues Cash Credit to remain under 'Issuer Not Cooperating' category Long Term- 6.25 [ICRA]B+ (Stable) ISSUER NOT Fund Based- COOPERATING; Rating continues Term Loan to remain under 'Issuer Not Cooperating' category As part of its process and in accordance with its rating agreement with MPPL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in 2012, Marudhara Polypack Private. Ltd. (MPPL) is engaged in the manufacturing and sale of PP and HDPE polywoven sacks, BOPP coated Polypropylene Polywoven sacks, Paper coated Polypropylene Polywoven sacks and HDPE, PP fabric, polyester laminates, bubble films and security pouches. MEGHAAARIKA IMPEX: CARE Keeps D Debt Ratings in Not Cooperating --------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Meghaaarika Impex Private Limited (MIPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 15.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 80.00 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 October 10, 2023, placed the rating(s) of MIPL under the ‘issuer non-cooperating' category as MIPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. MIPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated August 25, 2024, September 4, 2024 and September 14, 2024 among others. 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). MIPL is closely-held company incorporated in April 2011 by Sethi family. The company started its operations in January 2014 and is engaged in trading of industrial chemicals/plasticizers like polyvinyl chloride (PVC) resin, phthalic anhydride, 2-ethyl hexanol (2EH), Iso-Butyl Alcohol (IBA), melamine, acetone, chlorinated paraffin wax etc. These chemicals are crude oil derivatives and find application in wood polish, printing ink, paints, washing PVC medical and surgical products, wires & cables, non-toxic food containers, erasers, leather cloth, perfumes, vinyl flooring, footwear and PVC shower curtain etc. MOR ALLOYS: ICRA Keeps B+/A4 Debt Ratings in Not Cooperating ------------------------------------------------------------ ICRA has kept the Long-Term and Short-Term ratings of Mor Alloys Private Limited (MAPL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]B+(Stable); ISSUER NOT COOPERATING/[ICRA]A4; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term/ 16.55 [ICRA]B+(Stable)/[ICRA]A4; Short Term- ISSUER NOT COOPERATING; Unallocated Rating Continues to remain under issuer not cooperating category As part of its process and in accordance with its rating agreement with MAPL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Mor Alloys Private Ltd. (MAPL) set up a Ferro alloys manufacturing unit with 2 furnaces of 5 MVA and 6 MVA with a current capacity of 17200 MTPA of silico manganese. The unit is located at Koduru Village, Garividi Shreeram Nagar, Vijayanagaram, Andhra Pradesh, which is around 85 kms from the Vishakhapatnam port. The company is promoted by Mr. Vishnu Mor, Mr. Manvender Mor and Mr. Manoj Kumar Agarwal. The promoters are well experienced in manganese ore mining and Ferro alloy production; the unit will be run under the direct supervision & control of the promoters. MUTHOOT FINANCE: Fitch Puts 'BB' Rating to $400MM Sr. Secured Bonds ------------------------------------------------------------------- Fitch Ratings has assigned India-based Muthoot Finance Ltd's (MFL, BB/Stable) USD400 million 6.375% senior secured bonds due April 2029 a final rating of 'BB'. This follows the receipt of final documentation conforming to information previously received. The final rating is in line with the expected rating assigned on 14 October 2024. The bonds follow an amortising structure for repayment in five instalments, starting in April 2028 until the final maturity date in April 2029. The bonds carry a fixed-rate coupon payable semi-annually and are secured by collateral that includes specified assets and receivables of the issuer. The bonds are also subject to maintenance covenants that require MFL to meet regulatory capital requirements, and ensure its security coverage ratio is equal to or greater than 1x at all times. The bonds are issued in the international market under the Reserve Bank of India's external commercial borrowings framework. They are issued under MFL's USD2 billion global medium term-note programme. Key Rating Drivers MFL's bonds are rated at the same level as its Long-Term Foreign-Currency Issuer Default Rating (IDR) of 'BB', in accordance with Fitch's rating criteria. Most of MFL's debt is secured and Fitch believes that non-payment of the company's senior secured debt would best reflect uncured failure of the entity. MFL can issue unsecured debt in the overseas market, but such debt is likely to constitute a small portion of its funding and thus cannot be viewed as its primary financial obligation. For more information on MFL's key rating drivers and rating sensitivities, please see Fitch Affirms Muthoot Finance at 'BB'; Outlook Stable, published 29 August 2024. RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Any negative action on MFL's Long-Term Foreign-Currency IDR would drive similar action on the bond rating. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade An upgrade of MFL's Long-Term Foreign-Currency IDR would result in corresponding action on the bond rating. Date of Relevant Committee 28 August 2024 ESG Considerations MFL has an ESG Relevance Score of '3' for Customer Welfare, compared with the standard score of '2' for the non-bank financial institutions sector. This reflects its retail-focused operation, which exposes it to risks around fair lending practices, pricing transparency, repossession, foreclosure and collection practices, whereby aggressive practices in these areas may subject the company to legal or regulatory and reputational risk that may damage its credit profile. The score of '3' for this factor reflects its view that such risks are adequately managed and have a low impact on the company's credit profile. 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 Prior ----------- ------ ----- Muthoot Finance Ltd senior secured LT BB New Rating BB(EXP) NOOR ICE: ICRA Withdraws B+ Rating on INR4.70cr LT Loan ------------------------------------------------------- ICRA has withdrawn the ratings assigned to the bank facilities of Noor Ice & Cold Storage Private Limited at the request of the company and based on the No Objection Certificate/Closure Certificate received from its bankers. However, ICRA does not have information to suggest that the credit risk has changed since the time the rating was last reviewed. The Key Rating Drivers and their description, Liquidity Position, Rating Sensitivities, have not been captured as the rated instruments are being withdrawn. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 4.00 [ICRA] B+ (Stable) ISSUER NOT Fund-Based COOPERATING; Withdrawn Cash Long Term- 4.70 [ICRA] B+ (Stable) ISSUER NOT Fund-based COOPERATING; Withdrawn Term Loan Long Term (0.50) [ICRA]B+(Stable); ISSUER NOT Interchangeable COOPERATING; Withdrawn Others Short Term- 28.50 [ICRA]A4; ISSUER NOT Fund Based- COOPERATING*; Withdrawn Cash Credit Long Term/ 0.30 [ICRA]B+(Stable); ISSUER NOT Short Term- COOPERATING/[ICRA]A4; Unallocated ISSUER NOT COOPERATING; Withdrawn Incorporated in February 1998, NICSPL is engaged in processing and exporting seafood such as lobster, shrimp, pomfret, ribbonfish and croaker fish. The company's processing units are located at Taloja in the Raigad district of Maharashtra, with an installed processing capacity of 88 Metric Tonnes Per Day. The company is predominantly an export-oriented player with more than 95% of its revenues generated by overseas markets. OMKAR FERTILISERS: ICRA Keeps B Debt Ratings in Not Cooperating --------------------------------------------------------------- ICRA has kept the Long-Term and Short-Term ratings of Omkar Fertilisers Private Limited in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]B (Stable); ISSUER NOT COOPERATING/[ICRA]A4; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 1.50 [ICRA]B (Stable) ISSUER NOT Fund Based/CC COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Long Term- 2.80 [ICRA]B (Stable) ISSUER NOT Fund Based/TL COOPERATING; Rating continues to remain under 'Issuer Not Cooperating' category Long Term/ 5.70 [ICRA]B(Stable)/[ICRA]A4; Short Term- ISSUER NOT COOPERATING; Unallocated Rating Continues to remain under issuer not cooperating category As part of its process and in accordance with its rating agreement with Omkar Fertilisers Private Limited, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Omkar Fertilisers Private Limited was incorporated in the year 2010 to start a plant with a capacity of 30000 TPA for the manufacturing of NPK Fertilizers. The total project cost was INR8.50 crore which was funded by INR4.50 crore of debt and Rs.4.00 crore of equity. The company started its commercial production in the month of June, 2013. The company has its plant in the west Godavari district of Andhra Pradesh. It is currently involved in the manufacturing of Soil Conditioner and has recently started manufacturing NPK fertilizers from September 2015 as the basic infrastructure required for the manufacture of both soil conditioners and NPK fertilisers are the same. PANCHANAN COLD: CARE Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Panchanan Cold Storage Private Limited (PCSPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 10.66 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 16, 2023, placed the rating(s) of PCSPL under the 'issuer non-cooperating' category as PCSPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. PCSPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 1, 2024, July 11, 2024, July 21, 2024 among others. 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). Panchanan Cold Storage Private Ltd. (PCSPL) was incorporated on January 16, 1989 by Jaiswal family of Hooghly, West Bengal to provide cold storage services with the facility being located at village: Olipur, Hooghly, and West Bengal. However, the earlier promoters were unable to run the management efficiently and the current promoters Shri Ayan Samanta, Shri Sayan Samanta and Shri Sibaram Samanta of Hooghly, West Bengal took over from the earlier management in November, 2014. PCPL is currently engaged in the business of providing cold storage facility at the same location primarily for potatoes. Besides providing cold storage facility the unit also works as a mediator between the farmers and marketers of potato, to facilitate sale of potatoes stored and it also provides interest free advances to farmers for farming purposes of potato against potato stored. Further, PCPL commenced trading of potatoes from FY14 onwards. Shri Sibaram Samanta (MD) looks after the day to day operations of the unit with the help of other directors and a team of expert professionals who are having relevant experience in the similar line of business. Status of non-cooperation with previous CRA: Infomerics has continued the rating assigned to the bank facilities of PCSPL into ISSUER NOT COOPERATING category vide press release dated May 9, 2024 on account of its inability to carry out a review in the absence of requisite information from the company. RAJASTHAN SYNTEX: CARE Keeps D Debt Ratings in Not Cooperating -------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Shree Rajasthan Syntex Limited (SRSL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 20.35 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 29.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 7, 2023, placed the rating(s) of SRSL under the 'issuer non-cooperating' category as SRSL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SRSL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated June 22, 2024, July 2, 2024, July 12, 2024 among others. 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 1979, SRSL (ISIN Number: INE796C01011) is engaged in the manufacturing of synthetic (grey as well as dyed) blended yarn, cotton yarn and Polypropylene Multi Filament (PPMF) yarn. SRSL manufactures yarn in the range of 18-30 counts. As on March 31, 2022, SRSL had an installed capacity of 77,280 spindles for synthetic blended yarn and cotton yarn and 2,000 Metric Tonnes Per Annum (MTPA) for PPMF yarn at its Dungarpur, Rajasthan based manufacturing facility. RAJAT DEVELOPERS: CARE Keeps B- Debt Rating in Not Cooperating -------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Rajat Developers (RD) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.50 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 23, 2023, placed the rating(s) of RD under the 'issuer non-cooperating' category as RD had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. RD continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 8, 2024, July 18, 2024 and July 28, 2024 among others. 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). Surat (Gujarat) based, RDS was established as a partnership firm in 2013. RDS is currently executing a residential cum commercial projects namely Toral Residency with 188 2 BHK flats and 33 shops at Surat. The implementation of its real estate project named 'Toral Residency' (RERA Registration No. PR/ GJ/ SURAT/KAMREJ/ SUDA/MAA00499/ 181017) commenced in June 2017. Till February 7, 2020, 92 of 221 units have been booked. REVASHANKAR GEMS: CARE Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Revashankar Gems Limited (RGL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 40.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated September 26, 2023, placed the rating(s) of RGL under the 'issuer non-cooperating' category as RGL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. RGL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated August 11, 2024, August 21, 2024 and August 31, 2024 among others. 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 1995, Revashankar Gems Limited (RGL) erstwhile operated as partnership since 1961. RGL is engaged in the business of processing and exporting of cut and polished diamonds of size of 0.01 to 0.10 carats. RGL has its processing plant located at Surat (Gujarat). RGL imports rough diamonds from Belgium and Israel. SAVIOUR MINES: CARE Keeps D Debt Rating in Not Cooperating ---------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Saviour Mines and Minerals Private Limited (SMMPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 16, 2023, placed the rating(s) of SMMPL under the 'issuer non-cooperating' category as SMMPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SMMPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 1, 2024, July 11, 2024 and July 21, 2024 among others. 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). Saviour Mines and Minerals Private Limited (SMMPL) was incorporated in the year 2007 and taken over by Mr. Rama Krishnaiagh Alam and Mr.U. Bhargav in 2013. The company is engaged in mining of granite and processing of granite slabs. SMMPL started its commercial operations from 2014 October. SMMPL has installed capacity of 15 tonnage p.a. The company has entered into lease agreement with Telangana State Government for mining under 4 hectares of granite land area located at Warangal for a tenure of 15 years. The clientele of the company covers Maharashtra, Karnataka, Andhra Pradesh, Tamilnadu and Orissa. SHREEDHAR MILK: ICRA Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- ICRA has kept the rating of Non-Convertible Debenture of Shreedhar Milk Foods Limited (SMFL) in the 'Issuer Not Cooperating' category. The rating is denoted as "[ICRA]D; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Non-Convertible 20.00 [ICRA]D; ISSUER NOT Debentures (NCD) COOPERATING; Rating Continues to remain under issuer not cooperating category As part of its process and in accordance with its rating agreement with SMFL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in 2005, Shreedhar Milk Foods Limited is a medium-sized dairy processing company engaged in processing liquid milk and manufacturing various milk-based products such as skimmed milk powder (SMP), pure clarified butter (ghee), white butter, cottage cheese, curd and sweets. The company's processing facility is located at Joya in Uttar Pradesh, with a processing capacity of 14.30 lakh liters per day (LLPD). With a product mix concentrated in favor of SMP, pure ghee and related derivatives, SMFL largely caters to the bulk/institutional segment under its brand, 'Shreedhar', through its network of C&F agents. A small proportion of the company's business is also generated from contract manufacturing operations for players like Mother Dairy and COMFED. While a majority of SMFL's business comes from the bulk segment, it is currently in the midst of expanding its direct marketing business, especially for polypack milk. To achieve this, it has recently started procuring milk directly from villages by setting up Village Level Collection Centres (VLCCs) and Milk Chilling Centres (MCCs). SMFL is promoted by the Delhi-based Goel family. The promoters have significant experience in the dairy industry, with their roots in the milk trading business for the last four generations. With its plans of expanding its retail presence, the company has inducted professional management with significant experience in the dairy industry. SMFL also raised equity funding from a Mauritius-based private equity fund, 'The Great Indian Tusker Fund', and another entity, Omrudra International Trading LLC. Following the equity infusion, the promoter's stake in the company stood at 93.3% as of June 2016. SHRIGOVIND POLYTEX: CARE Keeps B- Debt Rating in Not Cooperating ---------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Shrigovind Polytex Private Limited (SPPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.75 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated September 29, 2023, placed the rating(s) of SPPL under the 'issuer non-cooperating' category as SPPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SPPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated August 14, 2024, August 24, 2024 and September 3, 2024 among others. 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). Uttar Pradesh based, Shrigovind Polytex Private Limited (SPPL) was incorporated in April 2004 under the name of "Shri Baba Vishwanath Iron Private Limited" by Subhash Tulsian and Vikram Chaudhary. The name was later changed to Shrigovind Polytex Private Limited on September 16, 2016 and company started commercial operation in September 2017. The company is engaged in the manufacturing of plastic bags used in the packaging of cement and sugar. SPAZE TOWERS: NCLT Orders Insolvency Proceedings Against Firm ------------------------------------------------------------- The Economic Times reports that the National Company Law Tribunal (NCLT) has directed initiation of insolvency proceedings against realty firm Spaze Towers, admitting a plea filed by its flat owners. A two-member NCLT bench said the company has defaulted in completing the construction of flats in project 'Spaze Arrow' at Sector 78, Gurugram and giving the possession within the promised timeline of 42 months. ET relates that the Delhi bench of NCLT also appointed an interim resolution professional to run the company, suspending the board and putting it under the protection of moratorium as per provisions of the Insolvency & Bankruptcy Code. The NCLT also rejected the submissions of Spaze Towers that it had settled the dues of nine petitioner allottees and hence they should not be treated as financial creditors. "It is clear that when a default takes place i.e., the debt becomes due and is not paid, the Insolvency Resolution Process shall begin against the corporate debtor. Therefore, on the basis of discussion . . . we are satisfied that the present application is complete in all respects," said NCLT. ET says the financial creditor is entitled to move the application against the corporate debtor in view of outstanding financial debt in default, which is above the pecuniary threshold limit of INRone crore. "As a sequel to the above discussion and in terms of Section 7 (5) (a) of the Code, the instant petition...stands admitted and CIRP of Spaze Towers Private Limited shall be initiated," it said. According to ET, the NCLT order came over a plea jointly filed by 37 petitioners claiming a total default of INR23.37 crore towards the purchase of their respective units at project "Spaze Arrow". The commercial project was launched in 2012, promising a high-end commercial complex, comprising retail shops, showrooms, restaurants, and a tower block with offices and serviced apartments. As per the agreement, during 2016-2019, buyers made payments as per the agreed construction-linked payment plan. The realty firm was to deliver the possession of the shops to the financial creditors within 42 months from the date of signing of the agreement. However, it failed to do so and was also not able to procure several necessary licences for the project, ET relays. This is the second time Spaze Towers has faced insolvency, ET notes. In October 2021, in another project, Spaze Corporate Park, an IRP had been appointed where claims of some INR600 crore were received. However, without disclosing all the claims to the Supreme Court, the company settled the claims and the CIRP process was set aside. SPICEJET LTD: Pays US$2MM to Settle Dispute with Shannon Engine --------------------------------------------------------------- The Financial Express reports that SpiceJet on Oct. 25 announced it settled a $4.5 million dispute with Shannon Engine Support Ltd (SES) for an aggregate sum of $2 million. This is the fourth such settlement in just over a month. In a statement, the airline said that SpiceJet and Shanon Engine Support have reached this agreement through "amicable negotiations", choosing to resolve the matter outside the courtroom, FE relates. As part of the settlement, all ongoing litigations and disputes between the parties will be withdrawn at the appropriate forums, it added. On October 15, SpiceJet announced amicably settling a $23.39 million dispute with Aircastle (Ireland) Designated Activity Company and Wilmington Trust SP Services (Dublin) Ltd for an aggregate sum of $5 million, FE notes. On October 9, the airline said it resolved a $131.85 million dispute with lessors Horizon Aviation 1 Ltd, Horizon II Aviation 3 Ltd, and Horizon III Aviation 2 Ltd (under Babcock & Brown Aircraft Management) for $22.5 million. Before that, on September 24, the company had settled a dispute with Engine Lease Finance Corporation (ELFC), which initially claimed $16.7 million, for a lower undisclosed amount, FE recalls. However, new insolvency petitions against the airline continue to come in despite the settlements. Earlier this week, Falgu Aviation Leasing Ltd filed a plea in the National Company Law Tribunal against the carrier for defaulting around INR68 crore. Eusu Logistics' Indian arm has also filed a plea for unpaid dues of INR2 crore. According to FE, the airline is yet to receive around INR750 crore from a previous INR3,000 crore funding round which may help it close these cases. It is aiming to expand its fleet to 100 planes by 2026. Currently, 36 of its planes are grounded due to a lack of spare parts. SpiceJet is aiming to have a fleet of 40 aeroplanes by March 2025 and then expand further. 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. SpiceJet has faced a series of insolvency petitions from various parties in the National Company Law Tribunal (NCLT) and and the appellate tribunal NCLAT over pending dues. These include Willis Lease Finance, Aircastle Ireland Ltd, Wilmington Trust SP Services (Dublin), Celestial Aviation and Engine Lease Finance BV. SpiceJet has reached a settlement with Celestial Aviation and Engine Lease Finance BV. As reported in the Troubled Company Reporter-Asia Pacific in late September 2024, the NCLT) on Sept. 23 issued notice to SpiceJet over the plea filed by one of its operational creditors, Techjockey Infotech Pvt Ltd. Techjockey Infotech claimed a default of nearly INR1.2 crore owed by SpiceJet against software services availed by them and requested to initiate a corporate insolvency resolution process (CIRP) against the air carrier. SRIKANTH INTERNATIONAL: CARE Keeps D Rating in Not Cooperating -------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Srikanth International Private Limited (SIPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 36.50 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 16, 2023, placed the rating(s) of SIPL under the 'issuer non-cooperating' category as SIPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. SIPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 1, 2024, July 11, 2024, July 21, 2024 among others. 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). Srikanth International Private Limited was established in 2008 as a partnership firm which was later on incorporated as private limited company on March 15, 2018. The company is promoted by Mr. Suresh Kumar Voleti and Ms. Jaya Voleti. The company is engaged in the business of processing and exporting of cultured shrimps to USA, EU and Middle East, etc. The company's own processing facility is located at Someswaram, Andhra Pradesh. STURDY INDUSTRIES: ICRA Keeps D Debt Ratings in Not Cooperating --------------------------------------------------------------- ICRA has kept the Long-Term and Short-Term ratings for the Bank facilities of Sturdy Industries Limited (SIL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]D; ISSUER NOT COOPERATING/[ICRA]D;ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Short term 74.18 [ICRA]D; ISSUER NOT COOPERATING; Non fund based Rating Continues to remain under Others 'Issuer Not Cooperating' Category Long-term/ 1.34 [ICRA]D/[ICRA]D; ISSUER NOT Short Term COOPERATING; Rating Continues to Unallocated remain under 'Issuer Not Cooperating' Category Long-term 127.69 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Term Loan 'Issuer Not Cooperating' Category Long-term 41.79 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category As part of its process and in accordance with its rating agreement with SIL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in July 1989, SIL manufactures aluminium cables and conductors along with plastic pipes and drip irrigation systems. The company has three manufacturing facilities at Baddi (Himachal Pradesh), Kamrup (Assam) and Parwanoo (Himachal Pradesh). The company is managed by the Gupta family, namely Mr. Mohan Lal Gupta, Mr. Ramesh Gupta, and Mr. Amit Gupta. SIL’s equity shares are listed on the Bombay Stock Exchange. TALWAR MOBILES: CARE Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Talwar Mobiles Private Limited (TMPL) 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 and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 16, 2023, placed the rating(s) of TMPL under the 'issuer non-cooperating' category as TMPL had failed to provide information for monitoring of the rating as agreed to in its Rating Agreement. TMPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated July 01, 2024, July 11, 2024, July 21, 2024 among others. 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 1998, Talwar Mobiles Pvt Ltd (TMPL) belongs to Talwar Group, which was founded and promoted by Mr. Sunil Talwar who has an overall automobile experience of about three decades. The Talwar Group mainly comprises of six automobile dealerships. Talwar Auto Garages Pvt Ltd is the Authorized dealers for Volvo and Eicher Motors in Telangana. TMPL is the dealer of Hyundai Motors under the trade name of Talwar Hyundai. Talwar Cars Pvt Ltd is the dealership of Volvo Cars India while Talsons Motors Private Limited is the dealer for Volvo and Eicher Motors in Pune. Rebel Motorcycles Private Limited is the dealer for Triumph Motorcycles in Telangana and T & R Motors is the dealer for Bajaj Motorcycles in Hyderabad. The company is one of the leading dealers in southern India with four exclusive showrooms and three service centers in Hyderabad and Secunderabad together. Status of non-cooperation with previous CRA: Brickwork has continued the ratings assigned to the bank facilities of TMPL in the 'issuer not-cooperating' category vide press release dated August 5, 2024 on account its inability to carryout review in the absence of requisite information from the company. TIJARIA POLYPIPES: ICRA Keeps D Debt Ratings in Not Cooperating --------------------------------------------------------------- ICRA has kept the Long-Term and Short-Term ratings for the Bank facilities of Tijaria Polypipes Limited (TPL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]D; ISSUER NOT COOPERATING/[ICRA]D;ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Short-term 5.00 [ICRA]D; ISSUER NOT COOPERATING; Non-fund based Rating continues to remain under Others 'Issuer Not Cooperating' Category Long-term- 56.27 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Term Loan 'Issuer Not Cooperating' Category Long-term- 5.00 [ICRA]D; ISSUER NOT COOPERATING; Fund based Rating Continues to remain under Cash Credit 'Issuer Not Cooperating' Category As part of its process and in accordance with its rating agreement with TPL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Tijaria Polypipes Limited (TPL) was incorporated in 2006 by the conversion of a partnership firm (named Tijaria Overseas Vinyl) which was established in 2000. The company manufactures high-grade HDPE, PVC, MDPE and LDPE plastic pipes and sprinkler systems under the brand names of Tijaria and Vikas.Its products are used in irrigation, telecommunication, industrial, infrastructure and housing sectors. In addition, the company also operates a textile division – wherein it manufactures mink blankets. The manufacturing units of the company is located at Jaipur, Rajasthan. UNI-TECH AUTOMATION: ICRA Keeps B+ Ratings in Not Cooperating ------------------------------------------------------------- ICRA has kept the Long-Term and Short-Term ratings for the Bank facilities of Uni-Tech Automation Private Limited (UAPL) in the 'Issuer Not Cooperating' category. The ratings are denoted as "ICRA]B+(Stable); ISSUER NOT COOPERATING/[ICRA]A4; ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term/ 9.00 [ICRA]B+(Stable)/[ICRA]A4; Short Term- ISSUER NOT COOPERATING; Unallocated Rating Continues to remain under issuer not cooperating category Long Term- 12.00 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; Rating continues Term Loan to remain under 'Issuer Not Cooperating' category Long Term- 10.00 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; Rating continues Cash Credit to remain under 'Issuer Not Cooperating' category As part of its process and in accordance with its rating agreement with UAPL, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in the year 1991, UAPL is primarily engaged in the manufacturing of control panels and wire harness for generators. The company also manufactures cables and other electronic products such as Auto Mains Failure (AMF) controller, DG controller, Integrated Engine controller, speed sensors and level sensors & indicators etc. The company has two manufacturing units located at Shivane, Pune and Shirwal, Satara in Maharashtra. The company is promoted by Mr. Bharat B. Bhujbal and Mrs. Archana B. Bhujbal. UR REALTORS: ICRA Keeps B+ Debt Ratings in Not Cooperating ---------------------------------------------------------- ICRA has kept the Long-Term ratings for the Bank facilities of Ur Realtors Private Limited in the 'Issuer Not Cooperating' category. The ratings are denoted as "[ICRA]B+(Stable);ISSUER NOT COOPERATING". Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term- 10.00 [ICRA]B+ (Stable); ISSUER NOT Fund Based COOPERATING; Rating continues Term Loan to remain under 'Issuer Not Cooperating' category As part of its process and in accordance with its rating agreement with Ur Realtors Private Limited, 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 multiple requests by ICRA, the entity's management has remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the rating has been continued to the "Issuer Not Cooperating" category. The rating is based on the best available information. Incorporated in 1999 by Mr. Suresh Almal and Mrs. Ritu Almal, the company in engaged in leasing of commercial property and has also invested in shares of group companies. As on date, URR owns a single floor of 44,918 sqft in Divyasree towers in Bangalore which is given on lease to Convergys India Services Private Limited. The commercial building is in Bannerghatta Road in Bangalore. Convergys occupies a total space of 1,60,000 sq.ft. in DivyaSree Towers. The tower was developed in 2003 by DivyaSree Developers. VIZAG RE-BARS: CARE Keeps D Debt Ratings in Not Cooperating ----------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Vizag RE-Bars Private Limited (VRPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 95.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Short Term Bank 5.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Rationale and key rating drivers CARE Ratings Ltd. had, vide its press release dated August 11, 2023, placed the rating(s) of VRPL under the 'issuer non-cooperating' category as VRPL had failed to provide information for monitoring of the rating as agreed toin its Rating Agreement. VRPL continues to be non-cooperative despite repeated requests for submission of information through e-mails dated June 26, 2024, July 6, 2024, July 16, 2024 among others. 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 on November 28, 1995, Vizag Rebars Pvt Ltd (VRPL) is primarily engaged in the trading of steel and steel products at Vijayawada, Andhra Pradesh. The company is promoted by Mr. T Srinivasa Rao, Mr. Kilaru Shiva Kumar and Mr. Mallikarjuna Rao. During November 2012, the company has forayed into manufacturing activity by taking a re-rolling mill (with an installed capacity of 45,000 TPA) from Steel Exchange India Limited. ================= I N D O N E S I A ================= BANK PAN: Fitch Hikes LongTerm IDR to 'BB+', Outlook Stable ----------------------------------------------------------- Fitch Ratings has upgraded P.T. Bank Pan Indonesia Tbk's (Panin) Long-Term Issuer Default Rating (IDR) to 'BB+', from 'BB'. The Outlook is Stable. The upgrade follows Fitch's upgrade of Panin's Viability Rating (VR) to 'bb+', from 'bb'. The VR upgrade follows the revision of the Indonesian banking sector's operating environment score to 'bbb-', which, combined with Panin's improving asset quality metrics and sustained high capitalisation, led us to a more positive assessment of the bank's loss-absorption buffers. Key Rating Drivers Stronger Standalone Credit Profile: Panin's IDR is driven by its VR and reflects Fitch's view of Panin's improving intrinsic strength, given receding latent credit risks and its expectation that supportive economic conditions will support its performance in the near to medium future. Robust Operating Environment: Fitch raised the operating environment (OE) assessment for the Indonesian banking sector to 'bbb-'/stable, from 'bb+'/positive, in May 2024, reflecting the economy's strong post-pandemic recovery and receding asset-quality risks, as shown in the sustained decline in at-risk loans in the system. This score is relevant to banks whose operations are concentrated in Indonesia, including Panin. Moderate Domestic Franchise: Panin's business profile score reflects its position as Indonesia's 12th largest bank, with a 1.8% market share of banking system assets at end-June 2024. Its loan portfolio is reasonably diversified, including a large consumer finance portfolio that mostly comprises mortgages. It is also one of the largest players among private banks, and has a business loan portfolio that leans towards SMEs. Consistent Underwriting: Panin's focus on the commercial segment carries higher credit risks relative to some larger state-owned banks, in its view. However, a robust collateral policy that consistently provides good coverage of its loan exposures mitigates the risks. Fitch believes Panin has largely completed recent efforts to reduce risks and will resume growing its loan portfolio, but Fitch expects overall loan growth to remain below that of the system average in the near to medium term. Improving Asset Quality: Fitch revised Panin's asset-quality score to 'bb', from 'bb-', to reflect improvement in its impaired-loan ratio, which Fitch expects to be sustained. The non-performing loan (NPL) ratio decreased to 2.9% by end-June 2024 (2023: 3.1%; 2022: 3.5%). This is also complemented by loan-loss allowance that covered around 190% of NPLs at end-June 2024, which Fitch believes is adequate to absorb potential credit losses when assessed in tandem with high collateralisation. Recovery in Profitability: Fitch expects Panin's operating profit/risk-weighted assets (OP/RWA) ratio to improve over the next 12-18 months, driven by a recovery in net interest margin (NIM) amid the normalisation of monetary policy and a continued decline in credit costs. This underpinned its revision of the earnings and profitability score to 'bb', from 'bb-'. Strong Capital Buffer: Fitch has revised the capitalisation and leverage score to 'bbb', from 'bbb-', reflecting its view that loss-absorption buffers have improved amid a more favourable operating environment. Panin's common equity Tier 1 (CET1) ratio of 31.2% at end-June 2024 was significantly above that of similarly sized peers and the industry average of 24.6%, and Fitch believes Panin could continue to accrue capital given its improved profitability and high earnings retention. Adequate Liquidity: Panin's funding and liquidity score reflects Fitch's view of a deposit franchise that is largely comparable to mid-sized peers. Fitch expects the bank to sustain its loan-to-deposit ratio (LDR), albeit at a level that is higher than the system average given some reliance on wholesale funding at a major subsidiary. Its liquidity is also complemented by its capital as an additional source of stable funding, as reflected in a net stable funding ratio that is better than the majority of its peers. Moderate Likelihood of Support: Fitch believes there is a moderate probability that the government will extend extraordinary support to Panin, if required. This is based in its view that Panin has moderate systemic importance as one of the country's largest banks and is a designated domestic systemically important bank. Rating Sensitivities Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade Significant deterioration in Panin's financial performance that results in the revision of multiple key rating drivers' scores could lead us to downgrade the VR and Long-Term IDR. These include a combination of the following: - NPL ratio rising to and staying above 3.5% - OP/RWA that falls below 1.75% without prospects of a quick recovery - Materially worse risk profile and weakening of the bank's loss-absorption buffers A downward revision of the OE back to the 'bb' category could also lead to a downgrade. Panin's Government Support Rating (GSR) could be downgraded if Fitch believes the government's propensity to support the banking sector has declined. This could happen if the resolution framework is revised such that authorities become more likely to impose losses on senior creditors. However, Fitch sees this as unlikely in the near to medium future. A downgrade of the sovereign rating could also lead to a downgrade of the GSR. A downgrade of the Short-Term IDR appears unlikely in the near to medium term. Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Panin's IDRs could be upgraded if the VR is upgraded. An upgrade of the VR would hinge on the positive revisions of multiple key rating drivers' scores, which could happen if Fitch believes that the bank's domestic franchise has improved significantly. The franchise improvement may be manifested in a more favourable assessment of its franchise and business profile without a material increase in its risk appetite, coupled with improved asset quality, reflected in the NPL ratio falling to, and maintained below, 2.3%, and better profitability reflected in OP/RWA sustained above 4%. However, this is unlikely in the near to medium future. An upgrade of the GSR could result from an upgrade of Indonesia's sovereign rating. A reassessment of the government's propensity to support the banking system or if there was a material increase in Panin's systemic importance could also result in an upgrade. However, Fitch does not foresee this happening in the next 12-18 months. Panin's Short-Term IDR could be upgraded if its Long-Term IDR is upgraded. VR ADJUSTMENTS The Operating Environment score has been assigned above the implied score due to the following adjustment reason(s): Sovereign Rating (positive), Macroeconomic stability (positive) The Asset Quality score has been assigned below the implied score due to the following adjustment reason(s): Loan classification policies (negative) The Earnings & Profitability score has been assigned below the implied score due to the following adjustment reason(s): Earnings stability (negative) The Capitalisation & Leverage score has been assigned below the implied score due to the following adjustment reason(s): Risk profile and business model (negative) The Funding & Liquidity score has been assigned below the implied score due to the following adjustment reason(s): Deposit structure (negative) 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 Prior ----------- ------ ----- P.T. Bank Pan Indonesia Tbk LT IDR BB+ Upgrade BB ST IDR B Affirmed B Viability bb+ Upgrade bb Government Support bb Affirmed bb ========= J A P A N ========= FUNAI ELECTRIC: Receives Approval for Bankruptcy Plan ----------------------------------------------------- The Japan Times reports that Funai Electric, a Japanese maker of audio and video equipment, received court approval for its bankruptcy plan on Oct. 24, credit research firm Teikoku Databank said. The Japan Times relates that Funai Electric, based in Daito, Osaka Prefecture, had some JPY46.1 billion ($303.6 million) in liabilities, Teikoku Databank said. Founded in 1961, the company had boasted a significant presence in Japan and abroad as an original equipment manufacturer. But the company struggled with a slump in the North American market and competition from Chinese rivals following the global financial crisis of 2008, The Japan Times notes. A scandal involving an overseas unit also weighed on the firm. Funai Electric was acquired by Shuwa System Holdings and went private in 2021. The company's finances were also hit by the failure by a beauty salon unit to pay advertising fees, The Japan Times says. ===================== N E W Z E A L A N D ===================== CENTRE CIRCLE: Creditors' Proofs of Debt Due on Nov. 22 ------------------------------------------------------- Creditors of Centre Circle Developments Limited are required to file their proofs of debt by Nov. 22, 2024, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Oct. 22, 2024. The company's liquidator is: John Marshall Scutter Fervor Limited Level 1, 17–19 Seaview Road Paraparaumu Beach CHRIS GREENEM: Court to Hear Wind-Up Petition on Oct. 31 -------------------------------------------------------- A petition to wind up the operations of Chris Greenem Builders Limited will be heard before the High Court at Christchurch on Oct. 31, 2024, at 10:00 a.m. The Commissioner of Inland Revenue filed the petition against the company on Aug. 16, 2024. The Petitioner's solicitor is: Nanette Cunningham Inland Revenue Legal Services PO Box 1782 Christchurch 8140 CONTINUOUS SPOUTING: Court to Hear Wind-Up Petition on Nov. 11 -------------------------------------------------------------- A petition to wind up the operations of Continuous Spouting Chch Limited will be heard before the High Court at Greymouth on Nov. 11, 2024, at 11:00 a.m. Stratco (N.Z.) Limited filed the petition against the company on Sept. 25, 2024. The Petitioner's solicitor is: Frazer Barton Anderson Lloyd Level 12, Otago House 477 Moray Place Dunedin 9016 DU VAL: Auckland Properties Listed on Trade Me as Deadline Sales ---------------------------------------------------------------- NZ Herald reports that three properties in Auckland owned by failed developer Du Val have been listed on Trade Me as statutory deadline sales. Eleven-thousand square metres of land in Henderson, Sunnyvale and Mangere are included, the Herald says. "This property offers a unique opportunity for acquisition, with a motivated seller," two of the listings read. Du Val Group was an Auckland-based apartment and townhouse developer. The Financial Markets Authority, a Government regulation agency, successfully requested the High Court put the company into interim receivership in August. Police raided the Remuera home of the company's founders, husband-and-wife duo Kenyon and Charlotte Clark, on August 2, the Herald recalls. Police took custody of several firearms from the property - however, there was no suggestion they were held illegally. The Herald relates that the Government then put Du Val Group into statutory management three weeks later. PwC was made responsible for 62 entities in the group, and its latest report said total creditors amount to NZD237.6 million, the majority being owed to banks and other secured creditors, the Herald discloses. The Herald says Minister for Commerce and Consumer Affairs Andrew Bayly took the case to Cabinet, and he has previously told the Herald the Government wanted to ensure the developments in which Du Val was involved would continue and be completed. One property listed for deadline sale is on Walmsley Rd, Mangere. The apartment block is part of a master-planned community with 160 terraced units. The Herald relates that the listing, by Colliers New Zealand, said a resource consent variation had been lodged to include a further 13 ground-floor units alongside the 22 apartments already under construction in the building. "Significant progress has been made in the development, with 19 units already sold," Colliers said. "Committed contractor available to finish [in] August 2025," the listing read. The building is on a parcel of land comprising just under a quarter-acre. The second listing is on Edmonton Rd, Henderson. Dubbed the "Edmonton Development", it spans 4,832sq m and includes 57 already resource-consented units, from single to four-storey terraced units. The third listing is 5,537sq m of land on Awaroa Rd in Sunnyvale. Colliers' listing said civil works had been completed. The property spans four separate freehold titles. Resource consent has already been granted for 46 units, all two-bedroom, two-storey units with their own parking spaces. Trade Me shows the most interest has been in the building on Walmsley Rd, with over a thousand page views since it was listed as of Sunday morning, Oct. 27, the Herald adds. About Du Val Group Du Val Group -- https://duval.co.nz/ -- is a developer of large-scale residential projects in New Zealand, renowned for their innovative design. As reported in the Troubled Company Reporter-Asia Pacific in late August 2024, the Financial Markets Authority on Aug. 21, 2024, confirmed that the Governor-General, on the advice of the Minister of Commerce and Consumer Affairs given in accordance with a recommendation from the FMA, declared a number of entities within the Du Val group be placed in statutory management under the terms of the Corporations (Investigation and Management) Act 1989 (the Corporations Act). Statutory management for these entities was announced by the Minister on Aug. 21, effective immediately. John Fisk, Stephen White and Lara Bennett of PwC New Zealand, who were appointed as interim receivers on Aug. 2, 2024, have been appointed as the Statutory Managers. EXPRESSLY CAFE: BDO Tauranga Appointed as Liquidators ----------------------------------------------------- Paul Thomas Manning and Thomas Lee Rodewald of BDO Tauranga on Oct. 21, 2024, were appointed as liquidators of Expressly Cafe Limited. The liquidators may be reached at: C/- BDO Tauranga Limited Level 1, The Hub 525 Cameron Road PO Box 15660 Tauranga 3144 L.K ROOFING: Khov Jones Appointed as Receivers and Managers ----------------------------------------------------------- Steven Khov and Kieran Jones of Khov Jones on Oct. 24, 2024, were appointed as receivers and managers of L.K Roofing Limited. The receivers and managers may be reached at: Khov Jones Limited PO Box 302261 North Harbour Auckland 0751 ================= S I N G A P O R E ================= ACCOUNCITY PTE: Court to Hear Wind-Up Petition on Nov. 8 -------------------------------------------------------- A petition to wind up the operations of Accouncity Pte. Ltd. will be heard before the High Court of Singapore on Nov. 8, 2024, at 10:00 a.m. Maybank Singapore Limited filed the petition against the company on Oct. 15, 2024. The Petitioner's solicitors are: Shook Lin & Bok LLP 1 Robinson Road #18-00, AIA Tower Singapore 048542 GLP PTE.: Fitch Assigns 'BB' Rating to Proposed USD Notes --------------------------------------------------------- Fitch Ratings has assigned GLP Pte. Ltd.'s (BB/Stable) proposed US dollar notes a rating of 'BB'. The proposed notes will be issued by GLP and the company will use the proceeds to fund the partial tender of its 2025 notes. GLP is concurrently issuing the proposed new notes and making a preferred tender offer on its 2025 notes, with priority allocation given to investors who participate in the new issue. Fitch believes the company has sufficient liquidity to repay the 2025 notes, even without the proposed issuance. The notes are rated at the same level as GLP's senior unsecured rating because they constitute direct, unsubordinated and senior unsecured obligations of the company. GLP's ratings reflect the smooth execution of its asset monetisation plan and the additional credit facilities it obtained from its key banks, which will provide an adequate liquidity buffer to help address its material short-term capital-market debt maturities. Fitch expects a gradual stabilisation in the company's asset monetisation programme, coupled with rising contribution from new businesses, including the data-centre segment, to support the company's EBITDA/cash flow recovery and medium-term deleveraging. Key Rating Drivers Improved Liquidity Buffer: GLP had short-term borrowings of USD4.3 billion as of end-June 2024 (end-2023: USD4.9 billion). Excluding secured loans and revolving credit facilities (RCFs) that can be rolled over, Fitch estimates that around USD2.3 billion of the short-term debt, including USD1.3 billion of bonds, can be repaid using liquidity on hand and proceeds from asset monetisation. GLP had available liquidity of USD2.0 billion as of end-June 2024, including readily available cash of USD1.4 billion and USD560 million in committed undrawn facilities. It subsequently secured USD500 million in additional committed RCFs, bolstering its liquidity buffer. Fitch believes this, together with net proceeds receivable totalling USD2.9 billion from already-signed asset monetisation and stake sales, ensures the company has sufficient liquidity to cover debt maturities through 2025. Fund Management Stake Sales: The company has entered into an agreement to dispose of the non-China and India portion of its 55%-owned fund management platform for up to USD2.5 billion, including USD1.5 billion in cash proceeds to be received upfront, USD300 million in Ares shares, and potentially USD700 million in earn-out proceeds that are contingent on the company delivering on certain fund-raising objectives. The transaction is likely to be completed in 1H25, subject to regulatory approval and the consent of limited partners. Asset Monetisation on Track: GLP has largely delivered on its asset disposal plan in the past year, with transactions amounting to USD4.6 billion in net proceeds and USD1 billion in signed asset monetisation proceeds yet to be received. Disposals have slowed recently, but Fitch believes Chinese domestic investors continue to be interested in assets with stable yields and GLP will sell assets to meet its debt obligations. Management also considers USD2 billion in asset disposals as highly certain, with completion and proceeds expected by 1H25. Interest Coverage Recovery Expected: GLP's recurring EBITDA interest coverage was 1.1x in 1H24 (2023: 1.2x), against Fitch's negative rating threshold of 1.25x. Fitch believes the coverage was affected by a decline in promote fee income in 1H24, while the underlying operations remained resilient. Fitch expects EBITDA to decline in 2024 and 2025 after further asset disposals before resuming growth in 2026. This should be mitigated by the resulting debt reduction while reduced interest payments will support recurring EBITDA interest coverage returning to above 1.25x in the medium term. Resilient Operating Performance: Revenue fell 13% yoy in 1H24 on the asset disposals, but normalised revenue, which excludes the impact of disposals and non-recurring promote fees, rose 4% yoy, indicating its operational resilience. Logistics assets' same-property net operating income rose 1.3% yoy, the data-centre business' revenue rose 54% yoy to USD86 million, and it also turned EBITDA positive, with underlying EBITDA of USD34 million. Management fee income was flat at USD445 million yoy, while assets under management fell slightly to USD126 billion. New Business to Drive Deleveraging: Net leverage, measured by net debt to recurring EBITDA, increased to 12x by end-1H24, from 10x at end-2023, due to the decline in EBITDA from asset disposals and lower promote fee income. Fitch expects leverage to drop in the medium term as investments in new businesses pay off while asset disposals gradually slow. However, the replacement of logistics rental income with other income streams, such as data-centre services and fund management fees, may lead Fitch to lower the company's leverage threshold to that of a typical investment-property (IP) company at the same rating level. This would be when GLP's other non-IP income contribution becomes materially higher than the current level, as rating sensitivities for Fitch-rated data-centre and other business-service companies tend to be more conservative than for property investors. Derivation Summary GLP's ratings are constrained by its liability profile and interest coverage. GLP faces significant capital market maturities in 2025 and 2026. The company's liquidity buffer has increased over the past 12 months following the successful execution of its asset monetisation plan and the additional committed undrawn credit facilities provided by the company's key banking partners. GLP's property portfolio is comparable with that of Singapore-based Mapletree Industrial Trust (BBB+/Stable) and Mapletree Logistics Trust (BBB+/Stable). However, a large portion of its assets is held under managed funds, where it earns fund management-related income, instead of direct rental income, with weaker access to secured financing. GLP also has greater concentration in China, where leases are shorter and the operating environment is currently more challenging. Key Assumptions Fitch's Key Assumptions Within Its Rating Case for the Issuer: - Revenue to decline by 18% in 2024 (1H24: -13%) and 7% in 2025 due to asset monetisation; - 2024-2025 operating EBITDA margin of 35%-36% (1H24: 38%); - 2024 and 2025 asset monetisation cash proceeds (after asset-level debt repayment) of about USD4 billion and USD2 billion, respectively (1H24: about USD2 billion); - Capex of USD1.6 billion per year in 2024 and 2025 (1H24: USD0.4 billion). RATING SENSITIVITIES Factors that Could, Individually or Collectively, Lead to Positive Rating Action/Upgrade Positive rating action is unlikely over the next 12-18 months unless the company achieves stabilisation in its asset portfolio and demonstrates positive and sustained improvement in cash flow from operations. Factors that Could, Individually or Collectively, Lead to Negative Rating Action/Downgrade - Evidence of weakening liquidity, such as cash and committed undrawn facilities that are insufficient to cover short-term capital market debt and/or bank funding access that is weaker than Fitch expects; - Recurring EBITDA interest coverage of below 1.25x on a sustained basis; - Leverage fails to decline in line with Fitch's expectation over the medium term. Liquidity and Debt Structure Sufficient Liquidity: GLP had USD4.6 billion of short-term debt as of end-1H24. Excluding rolling revolvers and non-recourse secured debt, Fitch estimates GLP's short-term repayment needs at USD2.3 billion as of end-1H24, against available liquidity of USD2.5 billion, including available cash of USD1.4 billion and USD560 million in committed undrawn facilities at end-1H24, and the additional USD500 million in committed RCFs secured subsequently. GLP's liquidity is also supported by over USD1 billion in signed asset disposals, with proceeds to be received, and cash consideration of USD1.5 billion from the announced fund management platform stake disposal. Issuer Profile GLP is a global investor and manager of logistic and internet data-centre assets. It manages a gross floor area of more than 85 million square metres, with assets under management of over USD126 billion as of end-June 2024. Summary of Financial Adjustments Adjustments made to standard Fitch-defined EBITDA to derive GLP's recurring EBITDA: - Add back eliminated management fee on consolidated managed fund. - Deduct withholding tax from jointly controlled entities' dividends. Date of Relevant Committee 09 October 2024 MACROECONOMIC ASSUMPTIONS AND SECTOR FORECASTS Fitch's latest quarterly Global Corporates Macro and Sector Forecasts data file which aggregates key data points used in its credit analysis. Fitch's macroeconomic forecasts, commodity price assumptions, default rate forecasts, sector key performance indicators and sector-level forecasts are among the data items included. ESG Considerations GLP has an ESG Relevance Score of '4' for Group Structure due to its complex group structure with various forms of operating entities. This has a negative impact on the credit profile and is relevant to the ratings in conjunction with other factors. GLP has an ESG Relevance Score of '4' for Financial Transparency due to less frequent or detailed disclosures. This has a negative impact on the credit profile and is relevant to the ratings in conjunction with other factors. 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 ----------- ------ GLP Pte. Ltd. senior unsecured LT BB(EXP) Expected Rating INDIAN ROOM: Creditors' Proofs of Debt Due on Nov. 21 ----------------------------------------------------- Creditors of An Indian Room With A View Pte. Ltd. are required to file their proofs of debt by Nov. 21, 2024, to be included in the company's dividend distribution. The company commenced wind-up proceedings on Oct. 14, 2024. The company's liquidators are: Ng Kian Kiat Lin Yueh Hung c/o 8 Wilkie Road #03-08 Wilkie Edge Singapore 228095 KAK SOLUTIONS: Commences Wind-Up Proceedings -------------------------------------------- Members of Kak Solutions Pte. Ltd. on Oct. 14, 2024, passed a resolution to voluntarily wind up the company's operations. The company's liquidators are: Cosimo Borrelli Jason Aleksander Kardachi Kroll Pte. Limited 10 Collyer Quay #05-04/05 Ocean Financial Centre Singapore 049315 KINGSTAR (SINGAPORE): Court to Hear Wind-Up Petition on Nov. 1 -------------------------------------------------------------- A petition to wind up the operations of Kingstar (Singapore) International Trade Pte. Ltd. will be heard before the High Court of Singapore on Nov. 1, 2024, at 10:00 a.m. Maybank Singapore Limited filed the petition against the company on Oct. 9, 2024. The Petitioner's solicitors are: Adsan Law LLC 300 Beach Road #26-00 The Concourse Singapore 199555 URBAN RENEWABLES: Court to Hear Judicial Management Bid on Oct. 28 ------------------------------------------------------------------ A petition to place the operations of Urban Renewables (Singapore) Pte. Ltd. under Judicial Management will be heard before the High Court of Singapore on Oct. 28, 2024, at 2:30 p.m. Jonathan Ong Shyue Wen and Saw Meng Tee of EA Consulting Pte Ltd (a subsidiary of EisnerAmper PAC) have been nominated as joint and several judicial managers of the company. Hitochi Global Limited filed the petition against the company on Oct. 15, 2024. The Petitioner's solicitors are: Aquinas Law Alliance LLP 16 Raffles Quay #17-03 Hong Leong Building Singapore 048581 ================= S R I L A N K A ================= SRI LANKA: S&P Affirms 'SD/SD' Foreign Currency Sov. Credit Ratings ------------------------------------------------------------------- On Oct. 24, 2024, S&P Global Ratings affirmed its 'SD/SD' long- and short-term foreign currency sovereign credit ratings, and 'CCC+/C' long- and short-term local currency ratings on Sri Lanka. The outlook on the 'CCC+' long-term local currency rating is stable. S&P also revised upward its transfer and convertibility assessment on Sri Lanka to 'CCC' from 'CC' previously. Outlook S&P's long-term foreign currency rating on Sri Lanka is 'SD'. It does not assign outlooks to 'SD' ratings because they express a condition and not a forward-looking opinion of default probability. The stable outlook on the long-term local currency rating reflects the balance of improvements to the Sri Lankan government's debt profile achieved through its domestic restructuring exercises against the continued risk to the government's fiscal sustainability from ongoing economic, external, and fiscal pressures. Downside scenario S&P could lower the long-term local currency rating on Sri Lanka if there are indications of further restructuring of obligations denominated in Sri Lankan rupee (LKR) to commercial creditors. Developments that could precede these indications include a rapid rise in inflation, a further rise in the government's interest burden, or a significantly worse fiscal performance by the government leading to local currency funding pressures. Upside scenario S&P could raise the long-term local currency sovereign credit rating on Sri Lanka if it perceives that the sustainability of the government's large local currency debt stock has improved further. This could be the case if, for example, the government's fiscal metrics, and the performance of the economy improve much more quickly than we expect. S&P said, "We could raise our long-term foreign currency sovereign credit rating once Sri Lanka is current on all of its foreign currency-denominated commercial debt obligations and is no longer in the process of restructuring them. The rating would reflect Sri Lanka's creditworthiness post-restructuring. "Our post-restructuring ratings tend to be in the 'CCC' or low 'B' categories, depending on the sovereign's new debt structure and capacity to support that debt." Rationale Institutional and economic profile: Government making steady progress on various restructuring schemes -- Sri Lanka elected a new president in September 2024, and parliamentary elections are looming in November. -- The new government will be the critical determinant of Sri Lanka's ability to conclude its sweeping debt restructuring and maintain the pace of its nascent macroeconomic recovery. -- The economy is performing above expectations so far this year, but it remains subject to significant policy and structural risks, including enduring fiscal and external vulnerabilities. Sri Lanka remains in default on foreign currency-denominated obligations, including US$12.5 billion worth of ISBs. In June 2024, Sri Lanka reached a final debt treatment agreement with the Official Creditor Committee (OCC) of its major bilateral lenders, and with the Export-Import Bank of China (China Exim Bank), to reschedule official bilateral debt. In September 2024, the government reached a landmark restructuring agreement in principle with an ad hoc group representing approximately 50% of ISB holders. At the same time, the government reached an agreement with China Development Bank (CDB) on a US$3.3 billion commercial credit facility. The execution of agreements to restructure Sri Lanka's ISB, CDB, and official bilateral debts would be a critical step toward restoring the country's debt sustainability in line with IMF program requirements. Sri Lanka's agreements with various creditor groups are subject to comparability of treatment assessments among one another. In aggregate, they will need to be sufficient to help the government meet debt sustainability targets set out by the IMF. The government announced on Oct. 4 that this process has been completed for most of the debts. Political developments in Sri Lanka, including the recently concluded presidential election and ensuing parliamentary elections in November, may have a bearing on the timeframe for the conclusion of the debt restructuring. An accelerated resolution of all the key debt categories would help to sustain Sri Lanka's generally constructive macroeconomic recovery momentum, in S&P's view. It expects the government to continue to engage with all its major creditors, including the OCC, China Exim Bank, CDB, its commercial bondholders, and others, in order to achieve sweeping debt restructuring deals with these key parties. The ISB restructuring agreement, which was signed two days before Sri Lanka's Sept. 21 presidential election, was endorsed again by the Sri Lankan authorities in an Oct. 4 announcement. The Ministry of Finance also noted in a separate press release on the same day that the ISB exchange transaction may be concluded in about 10 weeks. In its current format, the agreement estimates a roughly 40% concession in present value terms in a baseline macroeconomic scenario, which is anchored by the average of nominal GDP in U.S. dollar terms between 2025 and 2027. S&P said, "We don't expect to rate the new bonds, because under our Ratings Definitions, we do not consider the promise to repay principal to be credit-based or subject to ordinary risks in the fixed-income landscape." Two downside scenarios in the macro-linked bond framework entail a haircut on the principal of the bonds should certain parameters be met. These include average nominal GDP (in U.S. dollar terms) falling a specified percentage below the current IMF baseline forecast for 2025-2027, and observed cumulative real GDP growth lower than 11.5% between 2024-2027. S&P does not believe a modest underperformance of GDP growth over a three-year period would lead to a degradation of the government's willingness or ability to make full and timely payment on its commercial debt obligations. Not rating the macro-linked bonds would not preclude a potential future upgrade for the sovereign credit rating on Sri Lanka. S&P said, "We may raise our foreign currency sovereign rating when the government's payments on all of its foreign currency-denominated commercial debt obligations resume in accordance with original terms, or amended terms that are agreed and have become legally effective. We understand that the government is also working toward the restructuring of a US$175 million bond issued by SriLankan Airlines in 2019; the bond remains in default. We consider this bond to be a commercial debt obligation of the government owing to the strength of its guarantee on the bond." Flexibility and performance profile: Much lower inflation and interest rates will help to tame interest bill and support fiscal consolidation -- Lower inflation is providing space for the Central Bank of Sri Lanka (CBSL) to ease its monetary policy stance, lowering the cost of the government's large short-term debt refinancing. -- The CBSL is also in the process of rebuilding its foreign exchange reserves following a severe shortage in 2022. Foreign exchange reserves could rise to about US$6.9 billion by the end of 2025. -- Strong revenue performance so far this year is helping to stabilize the government's weak public finances. The policies of Sri Lanka's new government will be a major determinant of the resilience of its fiscal recovery. Sri Lanka's nascent economic recovery is supportive of its efforts to meet long-term program targets for debt sustainability. Fast nominal GDP growth has helped to stabilize the government's debt stock relative to GDP; real GDP growth accelerated to about 5% in the first half of 2024, following two straight years of contraction in 2022 and 2023. S&P expects real GDP growth to average 2.5%-3.5% over the next few years. Sri Lanka's normalized inflation landscape allows CBSL to ease policy rates, which have fallen by a cumulative 725 basis points from the highs of 15.5% (deposit facility rate) and 16.5% (lending facility rate) in the first half of 2023. The nationwide headline inflation rate was -0.2% year on year in September 2024 and has remained below 10% for more than one year, after a peak of 73.7% in September 2022. Easing rates will help to reduce Sri Lanka's extraordinarily high interest burden, which S&P anticipates will fall to about 46% of revenues next year, from a peak of approximately 78% in 2023. Continued improvement in this metric will be a critical determinant of the government's ability to restore debt sustainability and to further consolidate its fiscal position. In accordance with S&P's relevant policies and procedures, the Rating Committee was composed of analysts that are qualified to vote in the committee, with sufficient experience to convey the appropriate level of knowledge and understanding of the methodology applicable. At the onset of the committee, the chair confirmed that the information provided to the Rating Committee by the primary analyst had been distributed in a timely manner and was sufficient for Committee members to make an informed decision. After the primary analyst gave opening remarks and explained the recommendation, the Committee discussed key rating factors and critical issues in accordance with the relevant criteria. Qualitative and quantitative risk factors were considered and discussed, looking at track-record and forecasts. The committee's assessment of the key rating factors is reflected in the Ratings Score Snapshot above. The chair ensured every voting member was given the opportunity to articulate his/her opinion. The chair or designee reviewed the draft report to ensure consistency with the Committee decision. The views and the decision of the rating committee are summarized in the above rationale and outlook. The weighting of all rating factors is described in the methodology used in this rating action. Ratings List Ratings Affirmed Sri Lanka Sovereign Credit Rating Foreign Currency SD/--/SD Local Currency CCC+/Stable/C Sri Lanka Senior Unsecured D SriLankan Airlines Ltd. Senior Unsecured D Upgraded To From Sri Lanka Transfer & Convertibility Assessment CCC CC ********* 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 2024. 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 ***