/raid1/www/Hosts/bankrupt/TCRAP_Public/241120.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, November 20, 2024, Vol. 27, No. 233
Headlines
A U S T R A L I A
APPLIED BUSINESS: First Creditors' Meeting Set for Nov. 27
BOYD PT: Second Creditors' Meeting Set for Nov. 22
DOD BOOKKEEPING: ASIC Cancels AFS Licence After CSLR Payment
HASTINGS TECHNOLOGY: Wyloo Metals Withdraws Debt Default Notice
HMP ELECTRICAL: Second Creditors' Meeting Set for Nov. 25
NOW TRUST 2023-1: Moody's Upgrades Rating on Class F Notes to Ba3
SHILOH MINISTRIES: Second Creditors' Meeting Set for Nov. 25
WIRIB ABORIGINAL: First Creditors' Meeting Set for Nov. 25
I N D I A
ACQUA PEARL: CRISIL Keeps B+ Debt Rating in Not Cooperating
ADHI PARASAKTHI: CARE Keeps B- Debt Rating in Not Cooperating
AMBICA SPINTEX: CRISIL Moves B+ Debt Ratings to Not Cooperating
ANIL FIREWORKS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
ARIEX ISPAT: CRISIL Keeps B- Debt Ratings in Not Cooperating
ARYAN SILK: CRISIL Keeps D Debt Rating in Not Cooperating
ASHA RAM: CRISIL Keeps D Debt Rating in Not Cooperating Category
ATMIYA ENGINEERING: CRISIL Keeps D Ratings in Not Cooperating
AVANTA ENGINEERINGS: CARE Keeps B- Debt Rating in Not Cooperating
BALAJI AGROTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
BARNALA STEEL: CRISIL Keeps D Debt Ratings in Not Cooperating
BEEKAY AUTO: Ind-Ra Corrects July 12, 2024 Rating Release
BENGAL INTERNATIONAL: CRISIL Keeps B Rating in Not Cooperating
BHARAT CARBON: CRISIL Keeps B- Debt Ratings in Not Cooperating
DHANVRIDHI COMMERCIAL: CARE Keeps D Ratings in Not Cooperating
EXPO GAS: CRISIL Reaffirms B- Rating on INR13.11cr Cash Credit
G.R MULTIFLEX: CARE Keeps D Debt Rating in Not Cooperating
LEARNET SKILLS: Ind-Ra Keeps BB Loan Rating in Non-Cooperating
PAS TRADING: CARE Keeps D Debt Ratings in Not Cooperating Category
RAJARAM SOLVEX: CRISIL Keeps B Debt Ratings in Not Cooperating
RANGOLI INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
RAVELS APPARELS: CRISIL Keeps D Debt Ratings in Not Cooperating
RAVI INDUSTRIES: CRISIL Keeps B Debt Ratings in Not Cooperating
RELIANCE POWER: Parent Group Charts Out Revival Plan
RNB INTERNATIONAL: ICRA Withdraws B Rating on INR11cr LT Loan
SAI REGENCY: ICRA Keeps D Ratings in Not Cooperating Category
SELENO STEELS: ICRA Keeps B Debt Rating in Not Cooperating
SETH RAMJI: ICRA Keeps B+ Debt Ratings in Not Cooperating Category
SUBHANG CAPSAS: ICRA Keeps B+ Debt Ratings in Not Cooperating
SUNRISE ENTERPRISES: CARE Keeps B- Debt Rating in Not Cooperating
VEER ANJANAYA: CARE Keeps B- Debt Rating in Not Cooperating
M A L A Y S I A
SAPURA ENERGY: Seeks Fourth Extension for Regularisation Plan
N E W Z E A L A N D
BLUESTONE NZ PP 2022-1: S&P Raises Class E Notes Rating to BB(sf)
CAMPBELL HOMES: Creditors' Proofs of Debt Due on Jan. 3
COLIN WILLIAM: Waterstone Insolvency Appointed as Receivers
MERFIELD PARK: Court to Hear Wind-Up Petition on Dec. 6
TREE & FOREST: Creditors' Proofs of Debt Due on Feb. 3
TW GROUP: BDO Auckland Appointed as Receivers and Managers
P H I L I P P I N E S
UNO FOREX: BSP Shuts Down Forex Dealer's Operations
S I N G A P O R E
ALL DAY CAFE: Creditors' Meetings Set for Nov. 27
ECONCEPTS PTE: Court to Hear Wind-Up Petition on Dec. 6
HIN LEONG: Founder Gets 17.5 Years' Jail for Fraud and Forgery
PRAGATI INTERNATIONAL: Court to Hear Wind-Up Petition on Dec. 13
REBUS PTE: Court Enters Wind-Up Order
ROUSSEAU PTE: Creditors' Meetings Set for Dec. 2
WEWORK INC: Gives Up Two Singapore Prime Locations
S O U T H K O R E A
KOREA ZINC: Wins Export Control Ruling in Fight to Thwart Takeover
WOORI FINANCIAL: Prosecution Raids Over Poorly Granted Loans
- - - - -
=================
A U S T R A L I A
=================
APPLIED BUSINESS: First Creditors' Meeting Set for Nov. 27
----------------------------------------------------------
A first meeting of the creditors in the proceedings of Applied
Business Services Pty Ltd will be held on Nov. 27, 2024 at 2:00
p.m. via Teleconference Only
Stephen Dixon of Hamilton Murphy Advisory was appointed as
administrators of the company on Nov. 15, 2024.
BOYD PT: Second Creditors' Meeting Set for Nov. 22
--------------------------------------------------
A second meeting of creditors in the proceedings of Boyd Pt Pty Ltd
has been set for Nov. 22, 2024 at 11:00 a.m. via a Teams
videoconferencing facility.
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 Nov. 21, 2024 at 4:00 p.m.
Liam Bellamy and John Kukulovski of Mackay Goodwin were appointed
as administrators of the company on Oct. 18, 2024.
DOD BOOKKEEPING: ASIC Cancels AFS Licence After CSLR Payment
------------------------------------------------------------
The Australian Securities & Investments Commission (ASIC) has
cancelled the Australian financial services licence (AFS licence)
of DOD Bookkeeping Pty Ltd (in liquidation) following a payment of
compensation by the Compensation Scheme of Last Resort (CSLR).
On March 29, 2024, the Australian Financial Complaints Authority
(AFCA) made a determination against DOD, which DOD failed to pay.
Subsequently, on October 23, 2024, the CSLR paid $64,860.05 to a
person for the AFCA determination and notified ASIC. As a result,
on November 7, 2024, ASIC cancelled DOD's AFS licence.
Where the CSLR pays compensation to an eligible consumer in
relation to an AFCA determination and notifies ASIC of the details
of the firm that failed to pay the compensation, ASIC must cancel
the AFS licence or credit licence of the firm.
The cancellation is not subject to discretion or merits review.
This decision is not ASIC's first regulatory action in relation to
DOD, which is now in liquidation. On May 17, 2021, ASIC commenced
proceedings against DOD for allegations of breaching the
prohibition against conflicted remuneration, and failed to provide
appropriate financial advice and discharge its bests interests duty
in relation to financial advice to selected clients. The matter was
heard on December 2 and December 3, 2021. The judgement has been
reserved.
ASIC's decision to cancel the AFS licence of DOD follow previous
ASIC decisions. On October 16, 2024, ASIC cancelled the AFS licence
and the Australian credit licence of Ultiqa Lifestyle Promotions
Limited. On August 19, 2024, ASIC cancelled an AFS licence of
Libertas Financial Planning Pty Ltd (in liquidation) following a
CSLR payment. Similarly, on September 10, 2024, ASIC cancelled
Australian credit licences of Ultimate Credit Management Pty Ltd
(in liquidation) and Worry Free Finance Pty Ltd, Ferratum Australia
Pty Ltd on October 4, 2024.
HASTINGS TECHNOLOGY: Wyloo Metals Withdraws Debt Default Notice
---------------------------------------------------------------
The Australian Financial Review reports that Andrew Forrest's
private mining group Wyloo Metals has delivered a reprieve to
Hastings Technology Metals, withdrawing a debt default that
threatened to push the struggling rare earths explorer into
insolvency.
Dr Forrest's group issued the notice on a AUD150 million loan
extended to the Perth-based Hastings earlier this month after a
dispute with the company's chairman, Charles Lew, the Financial
Review recalls.
The Financial Review says Wyloo was concerned that a company linked
to Mr Lew had sought security over important equipment when it
loaned AUD5 million to Hastings.
Mr. Lew's company, Equator Capital, had sought security for its
loan over a hydrometallurgical plant that Hastings was holding in
long-term storage.
According to the Financial Review, Hastings management initially
rejected Wyloo's claim that the secured loan had breached the terms
of the AUD150 million loan.
But on Nov. 18, Hastings announced that Mr. Lew had ceded ground
and agreed to make Equator's AUD5 million loan unsecured. The
company went further and said the loan was "expressly subordinated"
to Wyloo's debt.
"We are pleased to have resolved this matter swiftly," the
Financial Review quotes Mr. Lew as saying in a statement. "There is
ongoing goodwill between the parties."
The agreement represents a ceasefire on a situation that last week
looked capable of tipping Hastings into administration, the
Financial Review states.
The company had just AUD9.9 million cash at September 30, but needs
to raise more than AUD300 million to complete its Yangibana mine
and a further AUD220 million within 11 months to repay Wyloo's loan
plus interest.
"We are considering optimal funding solutions to secure the balance
of the funding," Mr. Lew said.
According to the Financial Review, Wyloo chief executive Luca
Giacovazzi confirmed he had withdrawn the default notice after Mr
Lew agreed to downgrade the security rating on Equator's loan.
"Wyloo is supportive of Hastings efforts to fund the remaining
capital needed for the Yangibana project," he said.
Mr. Giacovazzi said he would have constructive discussions with
Hastings about repayment of the Wyloo loan, which is due on October
11 next year, the Financial Review relays.
Rare earths such as neodymium and praseodymium are used to make the
industrial magnets in motors and wind turbines.
About 80 per cent of the processing plants that make separated rare
earths oxides are in China, prompting governments in Europe, North
America, Australia and North Asia to pump money into developing
supply chains that are outside the control of authorities in
Beijing.
Wyloo's loan has security over Hastings' 21.5 per cent stake in
Toronto-listed company Neo Performance Materials, which owns a rare
earths separation plant in Estonia. Neo is also building a
magnet-making plant in Estonia and is considering whether to sell
its Chinese rare earths separation plants.
About Hastings Technology
Hastings Technology Metals Limited (ASX:HAS) --
https://hastingstechmetals.com/ -- together with its subsidiaries,
engages in the exploration and development of rare earth deposits
in Australia. The company explores for neodymium, praseodymium, and
niobium minerals. Its flagship property is the100% owned Yangibana
project that consists of 22 tenements/exploration licenses and 13
mining leases covering an area of approximately 590 square
kilometers located northeast of Carnarvon in Western Australia's
Upper Gascoyne region.
HMP ELECTRICAL: Second Creditors' Meeting Set for Nov. 25
---------------------------------------------------------
A second meeting of creditors in the proceedings of Hmp Electrical
Services Pty Ltd has been set for Nov. 25, 2024 at 10:00 a.m.
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 Nov. 22, 2024 at 4:00 p.m.
Amanda Lott of ACRIS was appointed as administrator of the company
on Oct. 31, 2024.
NOW TRUST 2023-1: Moody's Upgrades Rating on Class F Notes to Ba3
-----------------------------------------------------------------
Moody's Ratings has upgraded the ratings on four classes of notes
issued by NOW Trust 2023-1.
Issuer: NOW Trust 2023-1
Class C Notes, Upgraded to Aa3 (sf); previously on Feb 2, 2024
Upgraded to A1 (sf)
Class D Notes, Upgraded to A3 (sf); previously on Feb 2, 2024
Upgraded to Baa1 (sf)
Class E Notes, Upgraded to Baa3 (sf); previously on Feb 2, 2024
Upgraded to Ba1 (sf)
Class F Notes, Upgraded to Ba3 (sf); previously on Feb 2, 2024
Upgraded to B1 (sf)
A comprehensive review of all credit ratings for the transaction
has been conducted during a rating committee.
RATINGS RATIONALE
The upgrades were prompted by an increase in note subordination
available to the affected notes and the performance of the
collateral pool to date.
No action was taken on the remaining rated classes in the deal as
credit enhancement for these classes remains commensurate with the
current ratings.
Following the October 2024 payment date, the note subordination
available to the Class C, Class D, Class E and Class F Notes has
increased to 18.6%, 14.9%, 8.1% and 5.1% respectively, from 17.3%,
13.5%, 6.7% and 3.5% at the time of the last rating action in
February 2024. Principal collections have been distributed on a
pro-rata basis among the rated notes since the December 2023
payment date. Current outstanding notes as a percentage of the
closing notes balance is 51.4%.
As of end-September 2023, 2.3% of the outstanding pool was 30-plus
day delinquent, and 0.4% was 90-plus day delinquent. The deal has
incurred 3.5% of gross losses (as a percentage of the closing pool
balance) to date, which have been covered by excess spread.
Based on the observed performance to date and loan attributes,
Moody's have increased Moody's expected default assumption to 6.8%
of the closing pool balance from 6.5% previously (equivalent to
6.5% of the current pool balance). Moody's have also lowered the
assumed recovery rate to 7.5% from 10.0%, and maintained the Aaa
portfolio credit enhancement of 29%.
The transaction is a cash securitisation of a portfolio of
Australian unsecured and secured personal loans originated by Now
Finance Group Pty Ltd.
The principal methodology used in these ratings was "Moody's
Approach to Rating Consumer Loan-Backed ABS" 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.
SHILOH MINISTRIES: Second Creditors' Meeting Set for Nov. 25
------------------------------------------------------------
A second meeting of creditors in the proceedings of Shiloh
Ministries Australia Ltd has been set for Nov. 25, 2024 at 11:00
a.m. at the offices of P A Lucas & Co Pty Ltd at Level 3, 247
Adelaide Street in Brisbane.
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 Nov. 21, 2024 at 4:00 p.m.
Peter Anthony Lucas of P A Lucas & Co was appointed as
administrators of the company on Oct. 21, 2024.
WIRIB ABORIGINAL: First Creditors' Meeting Set for Nov. 25
----------------------------------------------------------
A first meeting of the creditors in the proceedings of Wirib
Aboriginal Corporation will be held on Nov. 25, 2024 at 10:00 a.m.
via virtual meeting via teleconference.
S R Sellahewa and S G Reid of Rodgers Reidy were appointed as
administrators of the company on Nov. 13, 2024.
=========
I N D I A
=========
ACQUA PEARL: CRISIL Keeps B+ Debt Rating in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Acqua Pearl
Properties and Exports (India) Private Limited (APPIPL) continues
to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 5.15 CRISIL B+/Stable (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with APPIPL for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of APPIPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
APPIPL is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the rating on bank
facilities of APPIPL continues to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
APPIPL was set up in 2018, by Mr Salim. The company provides
warehouse facilities to shrimp growers.
ADHI PARASAKTHI: CARE Keeps B- Debt Rating in Not Cooperating
-------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sri Adhi
Parasakthi Agro Tech (SAPAT) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.90 CARE B-; 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 October 4,
2023, placed the rating(s) of SAPAT under the 'issuer
non-cooperating' category as SAPAT had failed to provide
information for monitoring of the rating as agreed to in its Rating
Agreement. SAPAT continues to be non-cooperative despite repeated
requests for submission of information through e-mails dated August
19, 2024, August 29, 2024, September 8, 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).
Analytical approach: Standalone
Sri Adhi Parasakthi Agro Tech (SAPAT), was established on February
10, 2015 and the commercial operation started in December, 2015.
SAPAT was promoted by Mr M R Krishna and Mr M R Venkatesh along
with his friends and relatives/family members. The firm is engaged
in the business of rice milling (processing of paddy into rice).
The firm is purchasing raw paddy from farmers based at Raichur
district in the state of Karnataka. The firm is selling rice bags
of 25 kg each under the name of 'Anmol Rathan' to dealers based at
Karnataka & Maharashtra.
AMBICA SPINTEX: CRISIL Moves B+ Debt Ratings to Not Cooperating
---------------------------------------------------------------
CRISIL Rating has migrated the rating on bank facilities of Ambica
Spintex Private Limited (ASPL) to 'CRISIL B+/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6.0 CRISIL B+/Stable (Issuer Not
Cooperating; Rating Migrated)
Long Term Loan 18.39 CRISIL B+/Stable (Issuer Not
Cooperating; Rating Migrated)
Working Capital 5.61 CRISIL B+/Stable (Issuer Not
Term Loan Cooperating; Rating Migrated)
CRISIL Ratings has been consistently following up with ASPL for
obtaining information through letter and email dated October 16,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of ASPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ASPL
is consistent with 'Assessing Information Adequacy Risk'.
Therefore, on account of inadequate information and lack of
management cooperation, CRISIL Rating has migrated the rating on
bank facilities of ASPL to 'CRISIL B+/Stable Issuer not
cooperating'.
Incorporated in 2013 and promoted by Mr Jayanti Bhai Bechardas
Patel and his family, ASPL manufactures cotton yarn. It also
started producing T-shirts and sweatshirts from fiscal 2022. Its
unit is in Sapavada, Gujarat.
ANIL FIREWORKS: CRISIL Keeps B+ Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of AFF continue
to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 12 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Long Term 1.4 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with AFF for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of AFF, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AFF
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
AFF continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
AFF, incorporated in 1964, manufactures fire-crackers. The firm is
based in Sivakasi (Tamil Nadu) and is managed by Mr. P
Krishnamoorthy.
ARIEX ISPAT: CRISIL Keeps B- Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ariex Ispat
Private Limited (AIPL) continue to be 'CRISIL B-/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 2.75 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
Long Term Loan 4.50 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with AIPL for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of AIPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AIPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
AIPL continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
AIPL was set up by the Ramlavat family in 2012 in Himatnagar,
Gujarat. It manufactures mild steel square bars, flat bars, angle
bars, channel bars, and section bars, in various sizes. It began
commercial operations in February 2014.
ARYAN SILK: CRISIL Keeps D Debt Rating in Not Cooperating
---------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Aryan Silk
Mills (ASM) continues to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ASM for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of ASM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on ASM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
ASM continues to be 'CRISIL D Issuer Not Cooperating'.
ASM, based in Mumbai, is a partnership firm set up in 1982 by Mr
Subhash Arya and his family. It manufactures man-made and cotton
fabrics (shirtings and suitings) under the brand, Aryan Silk. The
firm's facility for design work is in Bhiwandi, Maharashtra. ASM
follows an asset-light model and outsources the manufacturing and
processing work to vendors.
ASHA RAM: CRISIL Keeps D Debt Rating in Not Cooperating Category
----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Asha Ram Tek
Ram Educational Trust (ARTRET) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Term Loan 5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with ARTRET for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of ARTRET, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on
ARTRET is consistent with 'Assessing Information Adequacy Risk'.
Based on the last available information, the rating on bank
facilities of ARTRET continues to be 'CRISIL D Issuer Not
Cooperating'.
ARTRET, registered in 2011, operates Asha Jyoti Vidyapeeth School
in Faridabad (Haryana). The school is affiliated to the Central
Board of Secondary Education. Mr Satyavir Dagar and Mrs Prem Lamba
are the key promoters.
ATMIYA ENGINEERING: CRISIL Keeps D Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Atmiya
Engineering and Plastics (AEP) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 0.40 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 3.43 CRISIL D (Issuer Not
Cooperating)
Working Capital 5.17 CRISIL D (Issuer Not
Term Loan Cooperating)
CRISIL Ratings has been consistently following up with AEP for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of AEP, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on AEP
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
AEP continues to be 'CRISIL D Issuer Not Cooperating'.
AEP, established in 1999, is based in Vadodara. It is promoted by
Mr. Nimesh Patel. The firm manufactures plastic parts for
air-coolers.
AVANTA ENGINEERINGS: CARE Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Avanta
Engineerings Private Limited (AEPL) continue to remain in the
'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 9.00 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 25,
2023, placed the rating(s) of AEPL under the 'issuer
non-cooperating' category as AEPL had failed to provide information
for monitoring of the rating as agreed to in its Rating Agreement.
AEPL continues to be non-cooperative despite repeated requests for
submission of information through e-mails dated August 10, 2024,
August 20, 2024, August 30, 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).
Analytical approach: Standalone
Incorporated in November 2015, Avanta Engineerings Private Limited
(AEPL) was promoted by the Jain family of Chhattisgarh to set up a
wire and strips plant. AEPL has already set up the nonferrous
metals aluminum zinc coated wires and strips unit in Durg. The
company has started commercial operation from April 2018. Mrs.
Prabha Devi Jain having over two decades of experience in
diversified business, will look after the overall management of the
company supported by Mr. Arvind Jain having over a decade of
experience along with a team of experienced professional.
BALAJI AGROTECH: CRISIL Keeps B Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Balaji
Agrotech (BA) continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BA for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BA, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BA is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the rating on bank facilities of BA
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
BA was set up in 2013 as a partnership between Ms Deepti P Avadhut,
Mr Ramgonda R Patil, Mr Annaso S Patil, Mr Shital S Patil, Mr Vinit
P Gadde, and Mr Gundhar Patil. This Sangli-based firm undertakes
trading and also operates a cold storage facility for resins,
turmeric, and spices.
BARNALA STEEL: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Barnala Steel
Industries Private Limited (BSIL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bill Discounting 5 CRISIL D (Issuer Not
under Letter Cooperating)
of Credit
Cash Credit 13 CRISIL D (Issuer Not
Cooperating)
Cash Credit 46.42 CRISIL D (Issuer Not
Cooperating)
Cash Credit 0.58 CRISIL D (Issuer Not
Cooperating)
Term Loan 6 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with BSIL for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BSIL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BSIL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BSIL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
For arriving at the ratings, CRISIL Ratings has consolidated the
business and financial risk profiles of BSIL with MQ Steels Pvt Ltd
(MQSL, now defunct) and Aswad Steel and Alloys Pvt Ltd (ASAPL),
collectively referred to as the Barnala group due to strong
operational linkages shared by the three companies. All these
companies are under a common ownership and management and are
engaged in the same line of business, with the output of MQSL and
ASAPL being used as raw material by BSIL.
BSIL, incorporated in 1994, manufactures thermo-mechanically
treated bars, mild-steel tor bars, coils, wire rods, and other
steel rolled products. The company has a manufacturing plant in
Muzaffarnagar (Uttar Pradesh) with installed capacity of 150,000
tonnes per annum. BSIL is promoted by two brothers, Mr. Sajid Mian
Nasir and Mr. Hamid Mustafa, along with a family friend, Mr. Ameed
Ahmed Khan.
BEEKAY AUTO: Ind-Ra Corrects July 12, 2024 Rating Release
---------------------------------------------------------
India Ratings and Research (Ind-Ra) rectifies Beekay Auto Private
Limited's (BAPL) rating published on July 12, 2024 to correct the
year in the key financial indicators.
The amended version is as follows:
India Ratings and Research (Ind-Ra) has taken the following rating
actions on Beekay Auto Private Limited's (BAPL) bank facilities:
-- INR355 mil. (reduced from INR450 mil.) Term loan January 10,
2034 affirmed with IND BB+/Stable rating;
-- INR145 mil. Fund-based working capital limit assigned with IND
BB+/Stable/IND A4+ rating;
-- INR500 mil. Fund-based working capital limit affirmed with IND
BB+/Stable/IND A4+ rating; and
-- INR10 mil. Non-fund-based working capital limit affirmed with
IND A4+ rating.
The ratings reflect BAPL's continued medium scale of operations,
modest profitability margin, modest credit metrics and stretched
liquidity. The ratings however are supported by the company's long
association with Maruti Suzuki India limited (MSIL) and its
promoters' experience of three decades in the auto dealership
business.
Key Rating Drivers
Medium Scale of Operations: BAPL's revenue decreased to INR3,310.81
million in FY24 (FY23: INR3,573.02 million), owing to a decrease in
the sale of passenger vehicles due to an increase in the
competition from other Maruti dealers in West Bengal. The scale of
operations remains medium. The vehicle trading segment accounts for
80% of the company's revenue, spares and after sales services
account for 16%, and the rest is from the hotel business. Ind-Ra
expects the revenue to increase in FY25 on the back of improved
demand.
Modest Profitability Margins: The EBITDAR margins stood modest and
rose to 5.26% in FY24 (FY23: 3.10%), as the raw material price for
traded goods declined coupled with better cost management. Ind-Ra
expects the margins to remain at similar levels in FY25, given the
nature of the dealership business.
Modest Credit Metrics: BAPL' interest coverage (operating
EBITDAR/gross interest expense and rent) rose to 2.23x in FY24
(FY23: 1.16x) and the net leverage (adjusted net debt/operating
EBITDAR) decreased to 5.47x (9.61x), on account of an increase in
EBITDA to INR174.08 million (INR110.87 million). Ind-Ra expects the
credit metrics to remain at similar levels in FY25, given the
absence of any major debt-funded capex plans.
Stretched Liquidity: The company's maximum utilization of the cash
credit limits was 95.11% and that for inventory funding was 96.59%
over the 12 months ended April 2024. The cash flow from operations
improved to INR104.68 million in FY24 (FY23: negative INR196.45
million), mainly due to favorable changes in the working capital.
Consequently, the free cash flow stood at INR104.68 million sin
FY24 (FY23: negative INR281.59 million). In FY24, the company's
cash and cash equivalents amounted to INR166.40 million (FY23:
INR100.78 million). The company's total debt was INR1,178.79
million at end-March 2024. The repayment obligation stands at
INR32.1 million, INR35.2 million and INR38.7 million for FY25, FY26
and FY27, respectively.
Stiff Competition from Other Dealers of Maruti Suzuki and Other
Brands: With MSIL focusing on expanding its dealership network, it
results in increased competition within its own dealers.
Furthermore, BAPL faces competition from other automobile companies
such as Honda Cars Ltd, Tata Motors Ltd, Hyundai India Limited, and
Mahindra & Mahindra Limited ('IND AAA'/Stable). If these automobile
companies launch models at competitive prices, it will reduce
MSIL's market share and thus will affects its dealers including
BAPL.
Long Association with MSIL: BAPL has an operating track record of
around 30 years in the West Bengal automobile industry. The company
has a dealership of MSIL since 1995 and has presence across
Asansol, Behrampur, Burdwan and Siliguri. BAPL operates six
showrooms, equipped with 3S (sales, service and spare parts)
facilities across the four districts along with four True Value
(pre-owned car) outlets in West Bengal. All the outlets are
strategically located within the existing showroom premises.
Experienced Management: The ratings are also supported by the
presence of experienced promoters. BAPL is headed by NC Garg,
Nirmal Garg and YR Garg, who have more than two decades of
experience in the dealership operations. Ind-Ra believes that the
promoter's experience in dealership operations will aid BAPL in
expanding its operations in a sustainable manner.
Liquidity
Stretched: The company's maximum utilization of the cash credit
limits was 95.11% and that for inventory funding was 96.59% over
the 12 months ended Apr 2024. In FY24, the company's cash and cash
equivalents stood at INR166.40 million (FY23: INR100.78 million).
The company's total debt was INR1,178.79 million at end-March 2024.
The repayment obligation stands at INR32.1 million, INR35.2 million
and INR38.7 million for FY25, FY26 and FY27, respectively.
Rating Sensitivities
Negative: A decline in the scale of operations or credit metrics or
a further pressure on the liquidity position, all on a sustained
basis, could lead to a negative rating action.
Positive: A sustained improvement in the scale of operations,
leading to an improvement in the overall credit metrics with the
net leverage reducing below 4.5x, along with an improvement in the
liquidity position, all on a sustained basis, could lead to a
positive rating action.
About the Company
Incorporated in 1995, BAPL is an authorized dealer for MSIL's cars.
The company has five showrooms in West Bengal, one each in Siliguri
and Behrampur, two in Burdwan and two in Asansol. It also has seven
workshops in West Bengal.
BENGAL INTERNATIONAL: CRISIL Keeps B Rating in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of BIH continues
to be 'CRISIL B/Stable Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Long Term 15 CRISIL B/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with BIH for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BIH, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BIH
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
BIH continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
BIH is setting up a cluster haat for textile related activity in
Howrah, West Bengal. The capital expenditure started in fiscal
2020; the expected commercial operation date is around the fourth
quarter of fiscal 2022. Mr. Dinabandhu Das is the promoter of the
firm.
BHARAT CARBON: CRISIL Keeps B- Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Bharat Carbon
and Oil Industries (BCOI) continues to be 'CRISIL B-/Stable Issuer
not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 1 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
Mortgage Loan 1.2 CRISIL B-/Stable (ISSUER NOT
Facility COOPERATING)
Proposed Term Loan 0.1 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
Term Loan 5.2 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with BCOI for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of BCOI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BCOI
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
BCOI continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
Established in 2013 as a partnership firm by Mr. Sudesh Kotian and
his wife, Ms. Sunila Kotian, BCOI is engaged in manufacturing
pyrolysis oil and carbon black by recycling scrap tyres. The
manufacturing facility is in Mangaon, Maharashtra.
DHANVRIDHI COMMERCIAL: CARE Keeps D Ratings in Not Cooperating
--------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of Dhanvridhi
Commercial Private Limited (DCPL) continue to remain in the 'Issuer
Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 8.00 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 1.63 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Short Term Bank 4.87 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 October 13,
2023, placed the rating(s) of DCPL under the 'issuer
non-cooperating' category as DCPL had failed to provide information
for monitoring of the rating as agreed to in its Rating Agreement.
DCPL continues to be non-cooperative despite repeated requests for
submission of information through e-mails dated August 28, 2024,
September 7, 2024, September 17, 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).
Analytical approach: Standalone
DCPL was incorporated in November, 2005 by the Tantia family of
Kolkata, West Bengal. Initially, DCPL was engaged in trading of
materials required for railway wagons. Subsequently, from
FY2010-11, the company started manufacturing of railway wagons and
fabrication jobs on contract basis. The manufacturing facility of
the company is located at Baruipur, West Bengal.
Status of non-cooperation with previous CRA: CRISIL has continued
the rating assigned to the bank facilities of DCPL into ISSUER NOT
COOPERATING category vide press release dated December 8, 2023 on
account of its inability to carry out a review in the absence of
requisite information from the company.
EXPO GAS: CRISIL Reaffirms B- Rating on INR13.11cr Cash Credit
--------------------------------------------------------------
CRISIL Ratings has reaffirmed its 'CRISIL B-/Stable/CRISIL A4'
ratings on the bank loan facilities of Expo Gas Containers Limited
(EGCL).
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 12.74 CRISIL A4 (Reaffirmed)
Bank Guarantee 4 CRISIL A4 (Reaffirmed)
Bank Guarantee 2.76 CRISIL A4 (Reaffirmed)
Cash Credit 6.50 CRISIL B-/Stable (Reaffirmed)
Cash Credit 13.11 CRISIL B-/Stable (Reaffirmed)
Letter of Credit 0.50 CRISIL A4 (Reaffirmed)
Overdraft Facility 4.88 CRISIL B-/Stable (Reaffirmed)
Overdraft Facility 8.77 CRISIL B-/Stable (Reaffirmed)
Proposed Cash
Credit Limit 1.74 CRISIL B-/Stable (Reaffirmed)
The ratings reflect the working capital-intensive operations, below
average debt protection metrics and susceptibility of the operating
performance to the inherent risks faced by the companies in tender
based businesses. These weaknesses are partially offset by the
extensive experience of the promoters.
Analytical Approach
Unsecured loans from the promoters of INR5.60 crore as on March 31,
2024, have been treated as debt.
Key Rating Drivers & Detailed Description
Weaknesses:
* Working capital-intensive operations: Gross current assets are
sizeable at 326 days as on March 31, 2024, driven by high inventory
of 253 days. Inventory days continue to remain high due to sizeable
work in progress. This has resulted in high utilization of its
fund-based bank limits. Operations are expected to remain working
capital intensive over the medium term.
* Below average debt protection metrics: EGCL's debt protection
metrics continues to remain below average as indicated by the
interest cover and net cash accrual to adjusted debt (NCAAD) of
1.31 and 0.03 times respectively as on March 31, 2024. The debt
protection is expected to improve with the increase in scale of
operations and profitability over the medium term.
* Susceptibility of operating performance to tender based nature of
operations along with cyclicality in capital expenditure patterns
in end-user industry: Although the revenue of the company had
increased by over 70% in fiscal 2022 the operations continue to
remain modest, also the operating performance of the company
remains vulnerable to tender based nature of business and cyclical
demand from its major end user industries namely oil, gas and
petrochemical industries.
Strength:
* Extensive experience of the promoters and reputed clientele: The
promoters have around 4 decades of experience in the fabrication
and Engineering, procurement, and construction (EPC) industry
resulting into better understanding of the industry dynamics and
established track record for manufacturing wide range of process
plant equipment's leading to better relations with clients.
Liquidity: Poor
The liquidity is driven by expected net cash accruals of
INR1.39-1.5 crores in fiscal 2025 and fiscal 2026 against the
repayment obligation of INR0.60-0.68 crores annually. The bank
limits are utilized at 94% on average for the past 12 months ending
August 2024. Current ratio remains at 1.36 times as on March 2024.
Outlook: Stable
CRISIL Ratings believes EGCL will continue to benefit from the
extensive experience of its promoters and their established
relationships with customers.
Rating sensitivity factors
Upward factors
* Improvement in debt protection metrics with interest coverage
above 1.5 times
* Improvement in the working capital cycle, leading to better
liquidity
Downward factors
* Further stretch in working capital cycle leading to gross current
assets higher than 350 days
Large debt funded capex weakening the financial risk profile
EGCL was established in 1982 and is promoted by Mr Murtuza S
Mewawala and Mr Hasanain S. Mewawala. The company manufactures a
wide range of process plant equipment such as coded pressure
vessels and deaerators and undertakes turnkey projects and in-plant
piping. It is based in Mumbai.
G.R MULTIFLEX: CARE Keeps D Debt Rating in Not Cooperating
----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of G.R
Multiflex Packaging Private Limited (GMPPL) continues to remain in
the 'Issuer Not Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 12.00 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 25,
2023, placed the rating(s) of GMPPL under the 'issuer
non-cooperating' category as GMPPL had failed to provide
information for monitoring of the rating as agreed to in its Rating
Agreement. GMPPL continues to be non-cooperative despite repeated
requests for submission of information through e-mails dated August
10, 2024, August 20, 2024, August 30, 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).
Analytical approach: Standalone
Kolkata based G.R Multiflex Packaging Private Ltd (GMPPL) was
incorporated in July 2002 and currently managed by Mr. Rabindra
Kumar Jaiswal and Mrs. Prativa Jaiswal. Since its inception, the
company has been engaged in manufacturing of flexible packaging
materials such as polyester laminated rolls, multilayer flexible
films, oil print films, water printed films, and bags and pouches.
The company's manufacturing facility is located in Kolkata with
aggregated installed capacity of 1404 metric ton per annum.
Status of non-cooperation with previous CRA: CRISIL has continued
the rating assigned to the bank facilities of GMPPL into Issuer Not
Cooperating category vide press release dated September 13, 2023 on
account of its inability to carry out a review in the absence of
the requisite information from the company.
LEARNET SKILLS: Ind-Ra Keeps BB Loan Rating in Non-Cooperating
--------------------------------------------------------------
India Ratings and Research (Ind-Ra) has maintained Learnet Skills
Limited's (Learnet) bank facility rating in the non-cooperating
category and has simultaneously withdrawn the same.
The instrument-wise rating action is:
-- INR100 mil. Non-fund-based working capital limit* maintained
in non-cooperating category and withdrawn.
Note: ISSUER NOT COOPERATING: Issuer did not cooperate; based on
the best-available information.
*Maintained at 'IND BB/Stable (ISSUER NOT COOPERATING)/IND A4+
(ISSUER NOT COOPERATING)' before being withdrawn.
WD - Rating Withdrawn
Detailed Rationale of the Rating Action
Ind-Ra has not received adequate information for conducting a
rating exercise, but has received a no-objection mail from the
lender. Hence, the agency has maintained the rating at 'IND BB
(ISSUER NOT COOPERATING)/IND A4+ (ISSUER NOT COOPERATING)' before
withdrawing it. This is consistent with Ind-Ra's Policy of
'Guidelines on What Constitutes Non-cooperation' and Withdrawal of
Ratings. Ind-Ra will no longer provide analytical and rating
coverage for the company.
Non-Cooperation by the Issuer
Ind-Ra has not received adequate information and has not been able
to conduct management interaction with Learnet while reviewing the
rating. Ind-Ra had consistently followed up with the company over
emails. The company has not been submitting its monthly no default
statements since February 2021.
Limitations regarding Information Availability
Ind-Ra is unable to provide an updated forward-looking view on the
credit rating of Learnet, as the agency does not have adequate
information to review the rating. There had been a change in the
ownership of the company, and the new management did not provide
timely business and financial updates to the agency. Therefore,
investors and other users are advised to take appropriate caution
while using the rating. Learnet has been non-cooperative with
Ind-Ra since September 13, 2021.
About the Company
Learnet is a joint venture between Schoolnet India Limited and
National Skill Development Corporation (19.99%). The company
addresses training needs across government organizations, private
companies, international bodies and trainees themselves.
PAS TRADING: CARE Keeps D Debt Ratings in Not Cooperating Category
------------------------------------------------------------------
CARE Ratings said the ratings for the bank facilities of PAS
Trading House (PTH) continue to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 11.94 CARE D; ISSUER NOT COOPERATING
Facilities Rating continues to remain
under ISSUER NOT COOPERATING
category
Long Term/ 19.50 CARE D/CARE D; ISSUER NOT
Short Term COOPERATING; Rating continues
Bank Facilities to remain under ISSUER NOT
COOPERATING category
Rationale and key rating drivers
CARE Ratings Ltd. had, vide its press release dated October 30,
2023, placed the rating(s) of PTH under the 'issuer
non-cooperating' category as PTH had failed to provide information
for monitoring of the rating as agreed to in its Rating Agreement.
PTH continues to be non-cooperative despite repeated requests for
submission of information through emails dated September 14, 2024,
September 24, 2024 and October 4, 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).
Analytical approach: Standalone
PAS Trading House (PAS) was established in 2015 as a partnership
firm by Mr. Sunil Khanna, Mrs. Alka Khanna and Mr. Puranjay Khanna.
PAS Trading House draws its history from the establishment of SGK
Trading House Private Limited (engaged in trading of paper), where
Mr. Sunil Khanna was a partner along with Mr. Gopal Khaitan. On
mutually winding up of this business w.e.f. December 31, 2014, Mr.
Sunil Khanna, floated a new partnership firm comprising of his
family members and decided to continue with existing business of
SGKTH in the name of PAS Trading House. PAS Trading House is
engaged in trading of various grades of paper such as coated wood
free paper, printing paper, label paper, speciality paper,
packaging paper, etc. which are 100% domestically supplied to the
local printers, publishers, label manufacturers, packaging
industries, traders & wholesalers which are majorly based in
Maharashtra, Madhya Pradesh and Gujarat and it finds its
application in pharma industry, FMCG goods industry, barcode
industry, packaging industry and beer manufacturing industry.
Status of non-cooperation with previous CRA: CRISIL continues to
categorize rating assigned to the bank facilities of PTH under
non-cooperation category vide PR dated November 7, 2023 on account
of its inability to carry out a rating surveillance in the absence
of the requisite information from the company. India Ratings
continues to categorize rating assigned to the bank facilities of
PTH under non-cooperation category vide PR dated June 25, 2024 on
account of its inability to carry out a rating surveillance in the
absence of the requisite information from the company.
RAJARAM SOLVEX: CRISIL Keeps B Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Rajaram
Solvex Limited (RSL) continue to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.95 CRISIL B/Stable (Issuer Not
Cooperating)
Cash Credit 18.45 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with RSL for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of RSL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RSL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
RSL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
RSL was incorporated in 1991, promoted by Mr Bhagat Patil, Mr
Jayant Patil, and Mr Manikrao Patil. It extracts and refines and
oil from soya bean seeds and produces DOCs. Its registered office
and manufacturing facility are in Sangli, Maharashtra. The company
has an extraction capacity of 800 tonne per day (tpd) and refining
capacity of 100 tpd.
RANGOLI INDUSTRIES: CRISIL Keeps D Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Rangoli
Industries - Banaskantha (RI) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5.25 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 2.14 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.11 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with RI for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of RI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the rating on bank facilities of RI
continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 2013, RI is a partnership firm promoted by members of the
Thakkar family. The firm undertakes cotton ginning and pressing
operations at its facility in Bhabhar, Gujarat.
RAVELS APPARELS: CRISIL Keeps D Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ravels
Apparels Private Limited (RAPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bill Discounting 3.5 CRISIL D (Issuer Not
Cooperating)
Export Packing 3.5 CRISIL D (Issuer Not
Credit Cooperating)
CRISIL Ratings has been consistently following up with RAP) for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of RAPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RAPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
RAPL continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 1983 as a partnership firm, Ravels International, it was
reconstituted as a private limited company with the current name in
July 1993. RAPL is promoted by Mr Vinod Kapahi and family.
RAVI INDUSTRIES: CRISIL Keeps B Debt Ratings in Not Cooperating
---------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Ravi
Industries - Harij (RI) continue to be 'CRISIL B/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 4.00 CRISIL B/Stable (ISSUER NOT
COOPERATING)
Proposed Long Term 1.89 CRISIL B/Stable (ISSUER NOT
Bank Loan Facility COOPERATING)
Term Loan 2.11 CRISIL B/Stable (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with RI for
obtaining information through letter and email dated October 10,
2024 among others, apart from telephonic communication. However,
the issuer has remained non cooperative.
'The investors, lenders and all other market participants should
exercise due caution with reference to the rating assigned/reviewed
with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived
at without any management interaction and is based on best
available or limited or dated information on the company. Such non
co-operation by a rated entity may be a result of deterioration in
its credit risk profile. These ratings with 'ISSUER NOT
COOPERATING' suffix lack a forward looking component.'
Detailed Rationale
Despite repeated attempts to engage with the management, CRISIL
Ratings failed to receive any information on either the financial
performance or strategic intent of RI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on RI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the rating on bank facilities of RI
continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
RI was founded as a partnership firm by the Hiraj (Gujarat)-based
Thakker family in 2012. The firm undertakes the extraction of oil
and production of de-oiled cakes from cotton seeds.
RELIANCE POWER: Parent Group Charts Out Revival Plan
----------------------------------------------------
The Hindu BusinessLine reports that Anil Ambani's Reliance Group
has charted out a new growth plan, which involves the two main
companies in the group, Reliance Infrastructure and Reliance Power,
raising INR17,600 crore and setting up the Reliance Group Corporate
Centre (RGCC) that will provide strategic guidance to the group, a
release from the group said.
Of the total funds planned to be raised, INR4,500 crore is
currently in the process of being raised via a preferential equity
issue, INR7,100 crore from Varde Partners through equity-linked
long-term foreign currency convertible bonds, and INR6,000 crore
via qualified institutional placements, BusinessLine says.
BusinessLine relates that the revival plan, called ‘Vision 2030:
Growth Strategy,' focuses on its existing businesses and pursuing
new opportunities. The plan was announced even as the Solar Energy
Corporation of India has, according to Reuters, sent a show-cause
notice to Reliance Power for submitting fake documents for a bid.
In its statement, the Reliance Group said that both Reliance Infra
and Reliance Power have paid off their dues to the banks and are
now ready to pursue their expansion plans, BusinessLine relays. In
September, Reliance Infra announced that it had brought down its
standalone debt to INR475 crore and currently had a net worth of
INR9,041 crore.
Reliance Power has secured 1,270 MW of renewable power projects in
Bhutan, while Reliance Infra, through its subsidiary Reliance
Defence, is setting up a manufacturing facility for small arms,
ammunition, and explosives in Ratnagiri, Maharashtra, spanning
1,000 acres.
Reliance Infra operates a metro line in Mumbai. It has 9-10 road
projects and also distributes power in Delhi under BSES Delhi
Discom.
Reliance Defence has several joint ventures, of which the prominent
ones are with Rafale and Thales.
BusinessLine notes that the RGCC has a core team of leaders such as
Sateesh Seth, Punit Garg, and K Raja Gopal, who have spent several
years with the group and will be mentoring as well as providing
strategic guidance for future growth and expansion.
Garg heads Reliance Infra, while Gopal is helming Reliance Power.
"The establishment of RGCC aims to harness the in-house expertise
of these seasoned leaders to support the Group's forward-looking
growth initiatives and cultivate a new generation of leadership for
future projects," the statement said, adding that it would play a
pivotal role in mentoring and developing emerging leaders, blending
experience with fresh talent to propel the group towards sustained
growth, BusinessLine relays.
Anil Ambani, who took over the financial services, telecom,
infrastructure, and energy businesses after he split with his
brother Mukesh Ambani in 2005, has been struggling with debts and
insolvency for over 15 years.
About Reliance Power
Based in Mumbai, India, Reliance Power Limited, together with its
subsidiaries, engages in the generation of power in India. Its
portfolio of power projects is based on coal, gas, hydro, wind, and
solar energy. The company also develops and constructs coal mines
in India and Indonesia. In addition, it has an interest in four
coal bed methane blocks.
Reliance Power is a subsidiary of Indian conglomerate Reliance
Group. Its owner Anil Ambani is the brother of Mukesh Ambani, one
of the world's richest men, who owns Indian multinational Reliance
Industries.
As reported in the Troubled Company Reporter-Asia Pacific on Dec.
11, 2023, ICRA has retained the ratings for the borrowings of
Reliance Power Limited (R-Power) in the Issuer Not Co-operating
category. The ratings are denoted as [ICRA]D/[ICRA]D; ISSUER NOT
COOPERATING. The company remains non-cooperative on fee.
RNB INTERNATIONAL: ICRA Withdraws B Rating on INR11cr LT Loan
-------------------------------------------------------------
ICRA has withdrawn the ratings assigned to the bank facilities of
RNB International Private Limited, at the request of the company
and based on the No Due Certificate/ Closure Certificate received
from its lenders. The Key Rating Drivers and their Description,
Liquidity Position, Rating Sensitivities, Key financial indicators
have not been captured as the rated instruments are being
withdrawn.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term- 11.00 [ICRA]B (Stable) ISSUER NOT
Fund-Based COOPERATING; Withdrawn
Cash Credit
RNB was incorporated in 2003 and is engaged in market research
services, wool trading and publication business. While the company
is engaged in market research services since inception, it entered
into wool trading business in FY 2012. The wool trading business
was earlier carried out in other group companies – RNB Overseas
Private Limited and RNB Mercantile Pvt. Ltd. Within market
research, the company assists its client in research design and
engaged in data collection & tabulation across various countries,
industries and domains. The company undertakes both single and
multiple country research and its major clientele are based out of
USA, UAE and Europe. RNB International is also engaged in
publication and marketing of books authored by Mr. Ram Narayan
Bajaj (father of Mr. Vikram Kumar Bajaj), mainly motivational
books; however, this activity is carried out on a small scale.
SAI REGENCY: ICRA Keeps D Ratings in Not Cooperating Category
-------------------------------------------------------------
ICRA has kept the long-term and Short-Term ratings of Sai Regency
Power Corporation Private Limited in the 'Issuer Not Cooperating'
category. The rating is denoted as [ICRA]D/[ICRA]D; ISSUER NOT
COOPERATING.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Short-term 20.00 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Continues to remain under the
Others 'Issuer Not Cooperating'
Category
Long-term/ 80.03 [ICRA]D/[ICRA]D; ISSUER NOT
Short Term COOPERATING; Rating Continues to
Unallocated remain under 'Issuer Not
Cooperating' Category
Long-term- 22.50 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Long-term- 257.47 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Term Loan 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with Sai Regency Power Corporation 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.
Sai Regency Power Corporation Private Limited (SRPCPL) was
incorporated in 2004 and is promoted by the Hyderabad based KSK
group. The company has set up a 57.95 MW natural gas based combined
cycle power plant at district Ramanathapuram, Tamil Nadu. The
project commenced commercial operations in March 2007 and supplies
the power through power purchase agreements (PPAs) (valid 10 years
period) signed with industrial consumers in the state of Tamil
Nadu. The power is wheeled through transmission & distribution
network of the state utilities. The natural gas for the project is
sourced from the ONGC fields in Tamil Nadu – Ramnad Zone, Cuavery
basin.
SELENO STEELS: ICRA Keeps B Debt Rating in Not Cooperating
----------------------------------------------------------
ICRA has kept the long-term rating of Seleno Steels Limited in the
'Issuer Not Cooperating' category. The rating is denoted as [ICRA]B
(Stable); ISSUER NOT COOPERATING.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Fund Based- 6.00 [ICRA] B(Stable); ISSUER NOT
Cash Credit COOPERATING; Rating continues
to remain under 'Issuer Not
Cooperating' category
As part of its process and in accordance with its rating agreement
with Seleno Steels 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.
Seleno Steels Ltd. was incorporated on August 6, 2001 and is
engaged in the production of sponge iron from its plant located in
Raigargh, Chhattisgarh. The company started operations in February
2003, with a single kiln of 15,000 MTPA and gradually expanded its
operations to include 2 more kilns of the 15,000 MTPA increasing
the total installed capacity to 45,000 MTPA. The capacity
utilisation of the company has been low since incorporation. The
management attributes this primarily to weak demand and a scarcity
in the availabil ity of raw material.
SETH RAMJI: ICRA Keeps B+ Debt Ratings in Not Cooperating Category
------------------------------------------------------------------
ICRA has kept the Long-Term ratings of Seth Ramji Das Modi Vidya
Niketan Society in the 'Issuer Not Cooperating' category. The
rating is 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
Cash Credit to remain in the 'Issuer Not
Cooperating' category
Long Term- 2.50 [ICRA]B+ (Stable) ISSUER NOT
Fund-based COOPERATING; Rating continues
Term Loan to remain in the 'Issuer Not
Cooperating' category
Long Term- 6.50 [ICRA]B+ (Stable) ISSUER NOT
Unallocated COOPERATING; Rating continues
to remain in the 'Issuer Not
Cooperating' category
As part of its process and in accordance with its rating agreement
with Seth Ramji Das Modi Vidya Niketan Society, 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.
SRD (Seth Ramji Das) Modi Vidya Niketan Society, Kota was
established in 1986, with the purpose of providing education to
students. The society had merged with Ram Niwas Modi Charitable
Society in 2008 operating the RN Modi Hospital (RNMH) and had hoped
to turnaround the operations of the hospital as well as financially
supporting it. However, these objectives could not be fulfilled,
and the hospital reported losses owing to which it was demerged
into Ram Niwas Modi Charitable Society again in FY2015 as the
continuous losses were also impacting SRD Modi's financials. This
separation has led to decline in gross block, equity, unsecured
borrowings etc.
SUBHANG CAPSAS: ICRA Keeps B+ Debt Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has kept the long-term rating of Subhang Capsas Pvt. Ltd.
(SCPL) 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 in the 'Issuer Not
Cooperating' category
Long Term- 0.54 [ICRA]B+ (Stable) ISSUER NOT
Unallocated COOPERATING; Rating continues
to remain in the 'Issuer Not
Cooperating' category
Long Term- 1.46 [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 SCPL, 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 December 2011, Subhang Capsas Private Limited
(SCPL) is into the business of manufacturing of moulded products
for packaging solutions. The company manufactures blow moulded
containers with the capacity ranging from 1 litres to 120 litres.
The company caters to customers across the various business
segments such as Chemicals, Pesticides, Food & Processsing and Lube
Oil. The company also generated 1% of its revenue from job work for
manufacturing water containers. The company has its manufacturing
unit located in Silvassa across 2000mts plot. The unit operates in
two shifts. The company commenced operations with installation of
one single layer machine with a capacity to manufacture 60lts
containers, later it increased the capacity by installing one
double layer machine in FY2014 for manufacture of 20lts container
and currently has 6 machines with total installed capacity of 1500
MTPA. The major raw materials used for manufacturing of blow molded
containers are High Density Polyethylene (HDPE), Low Density
Polyethylene (LDPE) and Polypropylene (PP). The company has been
sourcing majority of its requirement from Overseas Polymers Private
Limited.
SUNRISE ENTERPRISES: CARE Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sunrise
Enterprises (Mumbai) (SE) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 10.00 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 October 31,
2023, placed the rating(s) of SE
under the 'issuer non-cooperating' category as SE had failed to
provide information for monitoring of the rating as agreed to in
its Rating Agreement. SE continues to be non-cooperative despite
repeated requests for submission of information through emails
dated September 15, 2024, September 25, 2024 and October 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).
Analytical approach: Standalone
Established in 2011 as a partnership firm by Mr. Rupesh Dhirwani
with his relatives Mr. Mohanlal Pahuja and Mr. Vijay Pahuja, SE is
engaged in trading of various electrical items viz. cables, wires,
fans, lights, geysers, etc.
VEER ANJANAYA: CARE Keeps B- Debt Rating in Not Cooperating
-----------------------------------------------------------
CARE Ratings said the rating for the bank facilities of Sri Veer
Anjanaya Agro Foods (SVAAF) continues to remain in the 'Issuer Not
Cooperating' category.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long Term Bank 7.00 CARE B-; 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 October 3,
2023, placed the rating(s) of SVAAF under the 'issuer
non-cooperating' category as SVAAF had failed to provide
information for monitoring of the rating as agreed to in its Rating
Agreement. SVAAF continues to be non-cooperative despite repeated
requests for submission of information through e-mails dated August
18, 2024, August 28, 2024, September 7, 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).
Analytical approach: Standalone
Sri Veer Anjanaya Agro Foods (SVAAF) was established as a
partnership firm on Jan. 1, 2015 and the commercial operations
started in December, 2015. Mr. M R Vasanth, Mr. M R Prathik, Ms. M
R Sunitha and Ms. M R Sowmya are the partners of the firm and have
experience of two decades in rice mill industry. The firm is
engaged in the business of rice milling (processing of paddy into
rice). The firm is purchasing raw paddy from farmers based at
Raichur district in the state of Karnataka.
===============
M A L A Y S I A
===============
SAPURA ENERGY: Seeks Fourth Extension for Regularisation Plan
-------------------------------------------------------------
The Malaysian Reserve reports that Sapura Energy Bhd has applied
for a six-month extension until May 31, 2025, to submit its plan to
regularise its financial condition, as part of its efforts to exit
its Practice Note 17 (PN17) status.
The company was originally required to submit its plan by November
30, 2024.
Recently, the company agreed to terms with its multi-currency
financing creditors for the sale of its 50% stake in SapuraOMV
Upstream Sdn Bhd to TotalEnergies for US$705.3 million (MYR3.16
billion), with the proceeds used to reduce its liabilities.
As of July 31, 2024, its liabilities totaled approximately MYR18
billion.
For the six months ending July 31, 2024, Sapura Energy reported a
net loss of MYR56.9 million on revenue of MYR2.4 billion, The
Malaysian Reserve discloses.
About Sapura Energy
Sapura Energy Berhad, formerly SapuraKencana Petroleum Berhad, is
engaged in investment holding and the provision of management
services to its subsidiaries. The Company's segments include
Engineering and Construction (E&C), Drilling, Energy and
Corporate.
Sapura Energy Bhd announced on May 31, 2022, that it has been
classified as a PN17 listed issuer due to going concerns on its
shareholders' equity position less than 50% of its share capital.
Sapura Energy has become an affected listed issuer under PN17 on
the basis that its shareholders' equity position of MYR85 million
as at Jan. 31, 2022 was less than 50% of its share capital of
MYR10.9 billion.
=====================
N E W Z E A L A N D
=====================
BLUESTONE NZ PP 2022-1: S&P Raises Class E Notes Rating to BB(sf)
-----------------------------------------------------------------
S&P Global Ratings raised its ratings on seven classes of New
Zealand prime and nonconforming residential mortgage-backed
securities (RMBS) transactions sponsored by Bluestone Servicing NZ
Ltd. At the same time, S&P affirmed its ratings on 22 classes of
notes. S&P also removed 21 of these ratings from under criteria
observation (UCO).
The rating actions follow S&P's review of these Bluestone Servicing
NZ RMBS transactions when applying its updated methodology and
assumptions for assessing pools of New Zealand residential loans.
The transactions have adequate credit support and cash flows at the
respective rating levels, after applying the updated criteria,
which include a revised method of assessing loan-to-value, the
application of changing house price values in determining default
frequency and loss severity, and an estimate of house price
overvaluation (OUV) of 25%. The OUV measure is intended to reflect
how much a market is above or below a longer-term measure of price
to income.
Some ratings are constrained below the level that cash flows alone
support due to other risk considerations such as sensitivities to
the outlook for yield, arrears, pool concentrations, and absolute
size of credit support.
Ratings Raised And Removed From UCO
Bluestone NZ PP 2022-1 Trust
Class B: to AAA (sf) from AA+ (sf)
Class C: to AA+ (sf) from AA- (sf)
Class D: to A (sf) from A- (sf)
Class E: to BB (sf) from BB- (sf)
Bluestone NZ Prime 2022-2 Trust
Class B: to AAA (sf) from AA (sf)
Class C: to AA (sf) from A (sf)
Class D: to A (sf) from BBB (sf)
Ratings Affirmed And Removed From UCO
Bluestone NZ PP 2022-1 Trust
Class F: B (sf)
Bluestone NZ Prime 2021-1 Trust
Class B: AA (sf)
Class C: A (sf)
Class D: BBB (sf)
Class E: BB (sf)
Class F: B (sf)
Bluestone NZ Prime 2022-1 Trust
Class B: AA (sf)
Class C: A (sf)
Class D: BBB (sf)
Class E: BB (sf)
Class F: B (sf)
Bluestone NZ Prime 2022-2 Trust
Class A2: AAA (sf)
Class E: BB (sf)
Class F: B (sf)
Ratings Affirmed
Bluestone NZ PP 2022-1 Trust
Class A1: AAA (sf)
Class A2: AAA (sf)
Bluestone NZ Prime 2021-1 Trust
Class A1: AAA (sf)
Class A2: AAA (sf)
Bluestone NZ Prime 2022-1 Trust
Class A1: AAA (sf)
Class A2: AAA (sf)
Class A3: AAA (sf)
Bluestone NZ Prime 2022-2 Trust
Class A1-L: AAA (sf)
CAMPBELL HOMES: Creditors' Proofs of Debt Due on Jan. 3
-------------------------------------------------------
Creditors of Campbell Homes Holding Limited and Premier Residences
Limited are required to file their proofs of debt by Jan. 3, 2025,
to be included in the company's dividend distribution.
The company commenced wind-up proceedings on Nov. 12, 2024.
The company's liquidators are:
Derek Ah Sam
Paul Vlasic
Rodgers Reidy (NZ) Limited
PO Box 45220
Te Atatu
Auckland 0651
COLIN WILLIAM: Waterstone Insolvency Appointed as Receivers
-----------------------------------------------------------
Damien Grant and Adam Botterill of Waterstone Insolvency on Nov.
11, 2024, were appointed as receivers and managers of Colin William
Hickey.
The receivers and managers may be reached at:
Waterstone Insolvency
16 Piermark Drive
Rosedale
Auckland 0632
MERFIELD PARK: Court to Hear Wind-Up Petition on Dec. 6
-------------------------------------------------------
A petition to wind up the operations of Merfield Park Limited will
be heard before the High Court at Auckland on Dec. 6, 2024, at
10:45 a.m.
Hingaia Estate Limited filed the petition against the company on
Oct. 9, 2024.
The Petitioner's solicitor is:
Arvind Nair
Flat 2, 31 Ryburn Road
Mount Wellington
Auckland
TREE & FOREST: Creditors' Proofs of Debt Due on Feb. 3
------------------------------------------------------
Creditors of Tree & Forest Limited are required to file their
proofs of debt by Feb. 3, 2025, to be included in the company's
dividend distribution.
The High Court at Nelson appointed Iain Bruce Shephard and Jessica
Jane Kellow of BDO Wellington as liquidators on Nov. 15, 2024.
TW GROUP: BDO Auckland Appointed as Receivers and Managers
----------------------------------------------------------
Rees Logan and Andrew McKay of BDO Auckland on Nov. 18, 2024, were
appointed as receivers and managers of TW Group Holdings Limited,
TW Civil Limited and RMS Contracting (Wellington) Limited.
The receivers and managers may be reached at:
BDO Auckland
PO Box 2219
Auckland 1140
=====================
P H I L I P P I N E S
=====================
UNO FOREX: BSP Shuts Down Forex Dealer's Operations
---------------------------------------------------
Alden M. Monzon at Philippine Daily Inquirer reports that the
Bangko Sentral ng Pilipinas (BSP) on Friday canceled the
registration of another money changer and foreign exchange dealer,
bringing to five so far this year that it had blocked from
operating for not complying with antimoney laundering regulations.
The Inquirer relates that the central bank said its highest
policy-setting body, the Monetary Board, voided the registration of
Uno Forex Inc. to operate.
The BSP cited "serious violations" in the Manual of Regulations for
Non-Bank Financial Institutions and the Anti-Money Laundering Act
of 2001. The provisions deal with antimoney laundering and
combating financing of terrorism, the Inquirer relays.
Earlier in June, the BSP revoked the registration of money service
firm Foreignex Inc. for similar reasons, the Inquirer recalls.
The BSP canceled the registration of Nikko Foreign Exchange that
same month, citing "significant and recurring violations" of rules
covering nonbank financial institutions and "violations of the
executed deed of undertaking."
In April, it canceled the license of Nikko Mart also for "serious
violations" of the law.
According to the Inquirer, Atomtrans Tech Corp. had its listing
canceled last Jan. 26 also for "noncompliance" with the law.
The Inquirer says the manual states the BSP may inquire into or
examine bank accounts or investments, including customer
identification, account opening and transaction documents, for the
purpose of checking compliance by those under its supervision.
Covered are banks, nonbank institutions, quasibanks, trust
entities, nonstock savings and loan associations, pawnshops,
foreign exchange dealers, money changers, remittance and transfer
companies.
=================
S I N G A P O R E
=================
ALL DAY CAFE: Creditors' Meetings Set for Nov. 27
-------------------------------------------------
All Day Cafe Pte. Ltd. will hold a meeting for its creditors on
Nov. 27, 2024, at 3:00 p.m., via an audio-visual conference.
Agenda of the meeting includes:
a. to receive a full statement of the company's affairs
together with a list of creditors and the estimated amount
of their claims;
b. to appoint liquidators;
c. to form a committee of inspection of not more than
5 members, if thought fit;
d. to resolve that the books, accounts and documents of the
Company and those of the Liquidator may be disposed of upon
dissolution of the Company pursuant to Section 195(2) of the
Insolvency, Restructuring & Dissolution Act 2018; and
e. any other business.
ECONCEPTS PTE: Court to Hear Wind-Up Petition on Dec. 6
-------------------------------------------------------
A petition to wind up the operations of Econcepts Pte. Ltd. will be
heard before the High Court of Singapore on Dec. 6, 2024, at 10:00
a.m.
Maybank Singapore Limited filed the petition against the company on
Nov. 11, 2024.
The Petitioner's solicitors are:
Adsan Law LLC
300 Beach Road
#26-00 The Concourse
Singapore 199555
HIN LEONG: Founder Gets 17.5 Years' Jail for Fraud and Forgery
--------------------------------------------------------------
The Associated Press reports that a Singapore oil magnate was
sentenced Nov. 18 to 17.5 years in prison for fraud and forgery in
a case that prosecutors said has tarnished the city-state's
reputation as Asia's leading oil trading hub.
Lim Oon Kuin, 82, was convicted in May on two counts of cheating
the Hongkong and Shanghai Banking Corp. (HSBC) and one of abetting
forgery. According to the AP, the court found Lim used forged
documents on two bogus oil transactions to deceive HSBC into
disbursing credit totaling $111.7 million, in one of the biggest
cases of trade financing fraud in Singapore.
Lim, a Chinese immigrant, founded Hin Leong Trading in 1963. It
grew into one of Asia's biggest oil trading companies. It collapsed
in 2020 after a failed bet that oil prices would rebound after
China's containment of COVID-19.
Judge Toh Han Li was quoted on Nov. 18 by The Straits Times as
saying a deterrent sentence was needed to "prevent offenses from
pervading Singapore's financial ecosystem" that could prompt banks
to impose stricter compliance rules or withdraw their trade
financing services, the AP relays.
Lim has appealed the sentence and is out on bail, the report said.
About Hin Leong
Singapore-based Hin Leong Trading (Pte.) Ltd. provided petroleum
products and transportation services. The Company offered oil,
lubricants, grease, and diesel products, as well grants storage,
terminalling, trucking, and marine logistics services. Hin Leong
Trading served customers globally.
Hin Leong Trading and shipping unit Ocean Tankers (Pte.) Ltd. Filed
for court protection from creditors on April 17, 2020, as the
former struggles to repay debts of almost US$4 billion.
Hin Leong posted a positive equity of US$4.56 billion and net
profit of US$78 million in the period ended October 31, 2019,
according to the people, who asked not to be identified as the
matter is sensitive, Bloomberg News reported.
But Hin Leong told its creditors that total liabilities reached
US$4.05 billion as of early April 2020, while assets were just
US$714 million, leaving a hole of at least US$3.34 billion,
according to screenshots of the presentation to a group of bankers
seen by Bloomberg News.
The balance sheet of the company showed no equity at all as of
April 9, 2020, and warned that "figures obtained from the company
are subject to verification," Bloomberg News added.
On April 27, 2020, the Company was granted interim judicial
management by the Singapore High Court. Goh Thien Phong and Chan
Kheng Tek of PricewaterhouseCoopers Advisory Services (PwC) have
been appointed as interim judicial managers. Ernst & Young (EY),
has been appointed interim judicial manager for Ocean Tankers.
On March 8, 2021, judicial managers Goh Thien Phong and Chan Kheng
Tek of PwC were appointed liquidators of Hin Leong.
The judicial managers had applied for Hin Leong to be wound up
after three potential bidders walked away from a deal to buy Hin
Leong and two related companies as a combined entity, according to
The Straits Times.
PRAGATI INTERNATIONAL: Court to Hear Wind-Up Petition on Dec. 13
----------------------------------------------------------------
A petition to wind up the operations of Pragati International Pte.
Ltd. will be heard before the High Court of Singapore on Dec. 13,
2024, at 10:00 a.m.
Maybank Singapore Limited filed the petition against the company on
Nov. 11, 2024.
The Petitioner's solicitors are:
M/s Advent Law Corporation
111 North Bridge Road
#25-03 Peninsula Plaza
Singapore 179098
REBUS PTE: Court Enters Wind-Up Order
-------------------------------------
The High Court of Singapore entered an order on Nov. 1, 2024, to
wind up the operations of Rebus Pte. Ltd.
RHB Bank Berhad filed the petition against the company.
The company's liquidators are:
Leow Quek Shiong
Gary Loh Weng Fatt
c/o BDO Advisory Pte. Ltd.
600 North Bridge Road
#23-01 Parkview Square
Singapore 188778
ROUSSEAU PTE: Creditors' Meetings Set for Dec. 2
------------------------------------------------
Rousseau Pte. Ltd. will hold a meeting for its creditors on Dec. 2,
2024, at 11:00 a.m., via electronic means.
Agenda of the meeting includes:
a. to present a Statement of the Company's affairs showing in
respect of assets the method and manner in which the
valuation of the assets was arrived at, together with a list
of the creditors and the estimated amount of the claims;
b. to consider the nomination of the Liquidators for the
Company and on the appointment of Mr. Ong Shyue Wen and
Mr. Saw Meng Tee as the Liquidators of the Company;
c. to consider the appointment of a Committee of Inspection
pursuant to Section 169(1) of the Insolvency, Restructuring
and Dissolution Act 2018 (Act 40 of 2018); and
d. to consider any other matter which may properly be brought
before the meeting.
Mr. Ong Shyue Wen and Mr. Saw Meng Tee were appointed as
provisional liquidators of the Company on Nov. 8, 2024.
WEWORK INC: Gives Up Two Singapore Prime Locations
--------------------------------------------------
Bloomberg News reports that WeWork Inc. is giving up space in two
prime locations in Singapore, underscoring the company's challenges
in one of its most promising markets.
One co-working space spanning the 17th to 20th floors in Manulife
Tower along Cross Street has ended operations, Bloomberg says.
Another three-floor space in an office building at 83 Clemenceau
Avenue on the city centre fringe will close next year.
According to Bloomberg, a WeWork spokesperson said in a statement
that despite Singapore being a "priority market," it has "made the
difficult decision" not to renew leases at the two locations. The
company remains committed to spaces at 12 remaining buildings in
the city-state "well into the future," the spokesperson added.
Representatives for the owner of the 28-story Manulife Tower in the
financial district, Canadian insurer Manulife Financial Corp,
didn't respond to emailed requests for comment.
A representative for the 18-story office tower at 83 Clemenceau
Avenue near Clarke Quay, a nightlife and retail venue, also didn't
respond to a request for comment. WeWork occupies space spanning
4,760 sqm at the building, which is owned by United Engineers, a
subsidiary of Singapore-based Chinese developer Yanlord Land
Group.
Singapore, which had seen a mass return to the office since the
pandemic, had been a rare bright spot for the co-working firm
that's seeking to recover from its fall from grace, Bloomberg
states. The New York-based company was cleared to exit bankruptcy
in May.
WeWork's latest setback dovetails with a spike in prime office
vacancies, which jumped to the highest level in more than two years
in the third quarter, Bloomberg notes citing data from property
consultancy Jones Lang LaSalle Inc.
Some office tenants have also been looking to consolidate space to
save on costs, at the expense of co-working offices. Earlier this
year, Chinese technology giant Tencent Holdings gave up a WeWork
space at 30 Raffles Place in the city's financial district after it
opted to bring together employees at a new office in another prime
tower.
In April, WeWork announced that it "plans to remain in its current
buildings in Singapore for the foreseeable future," after
completing its lease negotiations and real estate rationalisation
process in the country.
New York, NY-based WeWork Inc. is a global flexible workspace
provider, serving a membership base of businesses large and small
through its network of 779 Systemwide Locations, including 622
Consolidated Locations as of December 2022.
=====================
S O U T H K O R E A
=====================
KOREA ZINC: Wins Export Control Ruling in Fight to Thwart Takeover
------------------------------------------------------------------
Reuters reports that Korea Zinc, whose management is embroiled in a
takeover battle for the world's top refined zinc producer, said on
Nov. 18 a government panel had found its lithium-ion battery
material technology was subject to export controls.
Reuters relates that the industry ministry, which has a committee
of experts to review and rule on applications for designating
"national core technology", also said the panel had recently
granted Korea Zinc's case and notified it of the decision without
elaborating.
According to Reuters, Korea Zinc has been trying to thwart a
takeover by rival zinc maker Young Poong and private equity firm
MBK Partners.
During the takeover tussle, Korea Zinc has raised concerns about
whether new management could opt to sell the zinc producer, which
also supplies materials used for microchips and electric vehicle
batteries, to a foreign entity.
MBK and Young Poong said last month they had no plans to sell Korea
Zinc to China, which is the world's largest zinc producer.
Reuters relates that MBK said on Nov. 18 as the largest shareholder
it welcomed the designation, but the ruling on national core
technology did not erase damage to shareholders caused by the
company borrowing a large sum to finance a tender offer.
Korea Zinc borrowed heavily to buy back $1.5 billion of its shares
at a premium last month, Reuters recalls.
Korea Zinc together with affiliate KEMCO hold the technology for
the precursor material for cathodes in lithium ion batteries made
from nickel, cobalt and manganese.
"The ruling will be the foundation to build a stable
self-sufficient supply chain of the key material for secondary
batteries based on entirely domestic technology," Korea Zinc said
in a statement.
The designation is yet to be made official through a public notice,
Reuters notes.
South Korean law states that the government controls the transfer
of such technology "whose leak abroad could have a material adverse
effect on national security and development of the national
economy."
Last week, Korea Zinc announced it was dropping a plan to issue
$1.8 billion in new shares in the latest bid by Chairman Yun B.
Choi to retain control of the company.
Choi and a group friendly to him hold about a 35% stake. Young
Poong and MBK have nearly 40% of the shares after a tender offer.
Korea Zinc Co., Ltd. engages in the manufacture and sale of
non-ferrous metals.
WOORI FINANCIAL: Prosecution Raids Over Poorly Granted Loans
------------------------------------------------------------
The Korea Times reports that the prosecution raided the
headquarters of Woori Financial Group and its bank subsidiary to
search for and seize evidence on Nov. 18 in an expanded probe into
poorly granted loans of over KRW35 billion ($25 million) under the
unchallenged reign of the group's former Chairman Son Tae-seung.
This is the latest development in a slew of mismanagement scandals
at the troubled financial group, blighted significantly by the
overall lack of internal control measures despite continued
employee embezzlement and poor oversight of lending protocols, The
Korea Times relates.
Further blemishing the group is a report of KRW2.5 billion in
poorly granted loans to a customer buying property in March. It
raises Woori's irregularity this year to four, among a dozen
questionable lax lending practices at the bank over the past few
years.
Most at stake is the group's long-awaited acquisition of Tongyang
Life and ABL Life, certain to be revisited due to escalating
scrutiny from the investigative and financial supervisory
authorities.
According to the Seoul Southern District Prosecutors' Office, a
team of investigators was sent to the headquarters in central
Seoul, The Korea Times relays.
They searched for records of loans, approvals and electronic data
at the bank's loan department, offices of the bank CEO Cho
Byung-kyu and group Chairman Yim Jong-yong.
It came less than three months after the previous one in August on
the bank headquarters and branches, as well as the homes of four
figures involved. Included were the homes of Son and a circle of
his then-loyal subordinates.
According to The Korea Times, the development followed the
conclusion of the Financial Supervisory Service (FSS) that the
remaining outstanding balance of troubled loans came to KRW30.4
billion, as of July 19. Over 88 percent, or KRW26.9 billion, is
backed by collateral but is nonperforming. Up to KRW15.8 billion
will be unrecoverable, according to Woori Bank.
The Korea Times relates that the investigation gained momentum
after the prosecution imposed an overseas travel ban on Son,
identifying him as a suspect rather than a witness. Three Son
loyalists under suspecion of expediting the loans have been
indicted on charges of bribery over the past two months. Whether
the former chairman will be summoned for questioning before a
potential indictment remains to be seen.
The FSS extended the inspection period for Woori by a week, citing
the need for tightened monitoring in light of the latest KRW2.5
billion loan irregularity.
However, the scope of the scrutiny is highly likely to include the
acquisition of two life insurers, focusing on capital adequacy
ratios, among other compliance issues.
The Korea Times adds that the bank said the KRW2.5 billion loan was
granted to a customer who falsified records on the collateral to
increase the amount borrowable.
The bank conducted an investigation after it was made aware of the
incident. It plans to file a criminal complaint against the
customer soon.
Woori Financial Group Inc., together with its subsidiaries,
operates as a commercial bank that provides a range of financial
services to individual, business, and institutional customers in
Korea. It operates through Banking, Credit Card, Capital,
Investment Banking, and Others segments.
*********
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-
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Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez,
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Editors.
Copyright 2024. All rights reserved. ISSN: 1520-9482.
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