/raid1/www/Hosts/bankrupt/TCRAP_Public/241204.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, December 4, 2024, Vol. 27, No. 243
Headlines
A U S T R A L I A
BIOARC LIMITED: Second Creditors' Meeting Set for Dec. 9
FLOSS BOTTOM: First Creditors' Meeting Set for Dec. 9
JDN LABOUR: First Creditors' Meeting Set for June Dec. 9
KEYSTONE ASSET: Deloitte Appointed as Liquidators
SDA PROPERTYS: First Creditors' Meeting Set for Dec. 11
VIENNA SCHUBERT: First Creditors' Meeting Set for Dec. 9
WING FIX: Burger Chain Goes Into Liquidation
C H I N A
HILONG HOLDING: Moody's Cuts CFR to Ca, Outlook Remains Negative
I N D I A
ANGARAJ VANIJYA: Insolvency Resolution Process Case Summary
AVIOM INDIA: CRISIL Lowers Rating on INR225cr LT Loan to D
AVIOM INDIA: ICRA Lowers Rating on INR290cr NCD to D
BHARATH LAJHNA: CRISIL Withdraws D Corporate Credit Rating
BJIRD EXIM: Insolvency Resolution Process Case Summary
BSP REFINERIS: CRISIL Reaffirms B+ Rating on INR7cr Cash Loan
BYJU'S: Riju Raveendran Moves NCLT Seeking Inclusion in Case
COSMOS JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating
DHARAM EDUCATIONAL: CRISIL Keeps D Debt Rating in Not Cooperating
GOVARDHAN COTGIN: CRISIL Keeps D Ratings in Not Cooperating
GUJARAT COTFIB: ICRA Keeps D Debt Ratings in Not Cooperating
HIRMA POWER: Insolvency Resolution Process Case Summary
KAABA TRADING: CRISIL Keeps B Debt Rating in Not Cooperating
KAMNA MEDICAL: CRISIL Keeps D Ratings in Not Cooperating Category
KAMYA CLOTHING: CRISIL Keeps D Ratings in Not Cooperating
KAVED REALTY: Insolvency Resolution Process Case Summary
KESMA IMPEX: Liquidation Process Case Summary
KNK CONSTRUCTION: CRISIL Keeps D Debt Ratings in Not Cooperating
KONVERGE HEALTHCARE: Insolvency Resolution Process Case Summary
KSHATRIYA CONSTRUCTIONS: CRISIL Keeps D Rating in Not Cooperating
KURUNJI AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
LEONARD EXPORTS: ICRA Keeps D Debt Ratings in Not Cooperating
LEVIN DECOR: CRISIL Keeps B Debt Ratings in Not Cooperating
M.M. ISPAT: ICRA Keeps D Debt Rating in Not Cooperating Category
MAA SARASWATI: CRISIL Keeps D Debt Ratings in Not Cooperating
MAHADEV IRON: CRISIL Keeps B- Debt Ratings in Not Cooperating
MAYURA INDUSTRIES: CRISIL Keeps B- Ratings in Not Cooperating
MEGHA INSULATIONS: Insolvency Resolution Process Case Summary
MUMBAI INT’L AIRPORT: Fitch Puts 'BB+' Bond Rating on Watch Neg.
PIVO INDIA: Voluntary Liquidation Process Case Summary
RAHI ELECTRONICS: Liquidation Process Case Summary
RAJESH ESTATES: CRISIL Keeps D Debt Rating in Not Cooperating
SAI EXPORT: CRISIL Moves B- Debt Rating from Not Cooperating
SARDA RICE: CRISIL Keeps B+ Debt Ratings in Not Cooperating
SHRESHT INDUSTRIES: CRISIL Keeps D Debt Rating in Not Cooperating
SPAHJ INDIA: CRISIL Keeps B Debt Ratings in Not Cooperating
SUPRIMA COSMO: CRISIL Keeps B+ Debt Ratings in Not Cooperating
SWASTI TRADERS: CRISIL Moves D Debt Ratings to Not Cooperating
VINKEM LABS: Insolvency Resolution Process Case Summary
J A P A N
FUNAI ELECTRIC: Chairman Files for Co's Court-Led Rehabilitation
TOKYO ELECTRIC: Moody's Alters Outlook on 'Ba1' CFR to Positive
M A L A Y S I A
CAPITAL A: Targets January 2025 for PN17 Exit, Says CEO
N E W Z E A L A N D
D & Y COMPANY: Creditors' Proofs of Debt Due on Dec. 27
DU VAL: Charlotte and Kenyon Clarke's Rent Payments End
J M CONSTRUCTION: Creditors' Proofs of Debt Due on Dec. 24
MAX FORTUNA: Court to Hear Wind-Up Petition on Dec. 13
RYCAM AG: Creditors' Proofs of Debt Due on Jan. 31
SEMI-PRO: Court to Hear Wind-Up Petition on Dec. 6
SOLARZERO NZ: Owes More Than NZD40MM to Creditors and Staff
S I N G A P O R E
CFG PERU: Creditors' Proofs of Debt Due on Dec. 29
DASIN RETAIL: Seeks Court Order to Restrain Proceedings for 6 Mos.
EDGE INSURANCE: Commences Wind-Up Proceedings
HGC ENGINEERING: Commences Wind-Up Proceedings
NANKO SPE: Creditors' Proofs of Debt Due on Dec. 30
ZD SINGAPORE: Commences Wind-Up Proceedings
- - - - -
=================
A U S T R A L I A
=================
BIOARC LIMITED: Second Creditors' Meeting Set for Dec. 9
--------------------------------------------------------
A second meeting of creditors in the proceedings of Bioarc Limited
has been set for Dec. 9, 2024 at 11:00 a.m. via teleconference
only.
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 Dec. 6, 2024 at 4:00 p.m.
David Ross and David Ingram of I & R Advisory were appointed as
administrators of the company on Nov. 1, 2024.
FLOSS BOTTOM: First Creditors' Meeting Set for Dec. 9
-----------------------------------------------------
A first meeting of the creditors in the proceedings of Floss Bottom
Pty Ltd will be held on Dec. 9, 2024 at 11:00 a.m. by online video
conference.
Rachel Burdett and Shaun Matthews of Cor Cordis were appointed as
administrators of the company on Nov. 27, 2024.
JDN LABOUR: First Creditors' Meeting Set for June Dec. 9
--------------------------------------------------------
A first meeting of the creditors in the proceedings of JDN Labour
Pty Ltd will be held on Dec. 9, 2024 at 1:00 p.m. at the offices of
WA Insolvency Solutions, a division of Jirsch Sutherland at Suite
6.02, Level 6, 109 St Georges Terrace in Perth.
Jimmy Trpcevski and David Hurt of WA Insolvency Solutions were
appointed as administrators of the company on Nov. 27, 2024.
KEYSTONE ASSET: Deloitte Appointed as Liquidators
-------------------------------------------------
The Australian Securities & Investments Commission (ASIC) notes the
outcome of the second creditors' meeting of Keystone Asset
Management Ltd (Receivers and Managers Appointed) (Administrators
Appointed) (KAM) on Dec. 2 at which creditors resolved to wind up
KAM and appoint Jason Tracy and Glen Kanevsky of Deloitte as joint
and several liquidators. KAM is the responsible entity for the
Shield Master Fund (Shield).
A number of proposals were put to creditors on December 2 as an
alternative to KAM being wound up. Having considered these
proposals, the Administrators were of the view that they were not
in the best interests of creditors, unitholders or underlying
investors in Shield and recommended that KAM be wound up.
ASIC is investigating whether significant investor funds may have
been dissipated.
In June 2024, ASIC took action to secure the assets held within
Shield. ASIC sought the appointment of Jason Tracy and Lucica
Palaghia of Deloitte as receivers and managers of the property of
KAM.
ASIC understands that, since February 2022, funds totalling more
than AUD480 million have been invested into Shield by at least
5,800 consumers, who accessed Shield primarily through
superannuation platforms, the trustees for which were Macquarie
Investment Management Limited and Equity Trustees Superannuation
Limited. The investigation to date suggests that potential
investors were called by lead generators and referred to personal
financial advice providers who advised investors to roll their
superannuation assets into a retail choice superannuation fund and
then to invest part or all of their superannuation into Shield.
ASIC has taken a range of Court actions in respect of KAM and in
seeking orders from the Court, ASIC alleged that:
* KAM is the trustee of the Advantage Diversified Property
Fund (ADPF), a wholesale property fund into which a large
proportion of Shield's funds has been invested,
* the ADPF has made loans to various companies associated with
Paul Chiodo (former director of KAM) to fund property development
projects in Fiji, Italy, Port Douglas, and Melbourne,
* substantial sums appear to have been spent on property
developments without written contracts, and in the case of the Port
Douglas development, without the requisite development approvals to
proceed,
* there is a substantial shortfall when comparing the monies
invested in the ADPF against the value of the assets of the ADPF,
and
* investor funds may have been misapplied.
ASIC is investigating the circumstances surrounding Shield. ASIC is
investigating KAM and its directors and officers, the role of the
superannuation trustees, the financial advisers who recommended
investors invest in Shield, the lead generators, and others.
It has come to ASIC's attention that Venture Egg (a financial
adviser who has advised clients to invest in Shield) has issued
letters to investors dated Nov. 29, 2024 and Dec. 2, 2024. ASIC is
concerned that the information in the letters is incomplete and
some of the statements in the letters are inaccurate. Investors who
have queries about their investment or the liquidation of KAM
should contact the liquidators of KAM at
shieldinvestors@deloitte.com.au. The Administrators' independent
assessment of the proposals put forward as an alternative to the
winding up of KAM (which did not secure the support of the majority
of creditors of KAM voting on its future) are available on
Deloitte's webpage:
https://www.deloitte.com/au/en/services/financial-advisory/notices/keystone-asset-management-ltd.html
In February 2024, ASIC halted new offers of investments in Shield.
ASIC made interim stop orders on four product disclosure statements
for Shield.
On June 26, 2024, Mr. Tracy and Ms. Palaghia of Deloitte were
appointed by the Court to take control of Shield's bank accounts
and provide a report on the financial position of Shield in July
2024.
On Aug. 27, 2024, the Federal Court made orders appointing Mr Tracy
and Ms Palaghia of Deloitte as receivers and managers of the
property of KAM. The receivers are required to:
* secure the property held by KAM in its capacity as
responsible entity of Shield and trustee of certain other funds,
* identify how Shield investor funds were used by KAM, and
* recover Shield investor funds.
On Sept. 5, 2024, the Federal Court made orders appointing Mr.
Tracy and Ms. Palaghia of Deloitte as replacement voluntary
administrators of KAM, in addition to their role as receivers.
The Administrators and Receivers have commenced proceedings in the
name of KAM against Paul Chiodo and Chiodo Corporation Pty Ltd,
City Built Pty Ltd and Mr. Filippini (the director of City Built,
who is involved in the construction of the developments) and
related parties (Federal Court Proceeding VID978/2024). As part of
this proceeding, the Administrators and Receivers have identified
and obtained freezing orders over funds in bank accounts held by
Mr. Filippini and related entities.
The Administrators published a series of reports to creditors on
Nov. 25, 2024, Nov. 27, 2024 and Nov. 30, 2024 (copies of which are
available on Deloitte's webpage) and concluded that:
* KAM is insolvent,
* it is not in the best interests of creditors, unitholders
and underlying investors to approve various proposals for
KAM's future, and
* it is in the best interests of creditors for KAM to be wound
up.
ASIC provides regular updates on this matter on its Key Matters
webpage.
Investors can contact the liquidators with any queries by emailing
shieldinvestors@deloitte.com.au. ASIC has published Information
Sheet 45 which provides information for unsecured creditors of
companies in liquidation.
SDA PROPERTYS: First Creditors' Meeting Set for Dec. 11
-------------------------------------------------------
A first meeting of the creditors in the proceedings of SDA
Propertys No 2 Pty Ltd and 4 Gunn Street SDA Property's Pty Ltd
will be held on Dec. 11, 2024 at 2:00 p.m. via Microsoft Teams.
David Henry Sampson of BPS Recovery was appointed as administrators
of the company on Nov. 29, 2024.
VIENNA SCHUBERT: First Creditors' Meeting Set for Dec. 9
--------------------------------------------------------
A first meeting of the creditors in the proceedings of Vienna
Schubert Estia Pty Ltd will be held on Dec. 9, 2024 at 11:00 a.m.
at the offices of O'Brien Palmer at Level 9, 66 Clarence Street in
Sydney and via virtual meeting technology.
Alan Topp of O'Brien Palmer was appointed as administrator of the
company on Nov. 27, 2024.
WING FIX: Burger Chain Goes Into Liquidation
--------------------------------------------
News.com.au reports that Wing Fix, a popular burger chain has
become just the latest Australian business to go under, with the
owners revealing the sad reason for the decision.
Wing Fix, which had venues in Brisbane's Coorparoo and Newmarket,
went into liquidation last month, announcing "with really heavy
hearts" the "end of an era," news.com.au relates.
"Unfortunately unprecedented economic times and increasing costs
have forced us to make the very difficult decision to close our
doors," Wing Fix wrote in a Facebook post announcing the November
13 closure.
"We would like to thank everyone, past and present, customers,
staff, landlords, suppliers who have been on this journey with us.
"From starting as a little market stall, to opening our flagship
Coorparoo store and weathering the Covid storm followed closely by
unprecedented interest rate rises, it has certainly been a wild
ride.
"Thank you Wing Kings and Queens. It's not goodbye for us, it's
just see you later."
Speaking to The Courier-Mail on December 3, owners Peter and Ross
Jacobi said it had been an incredibly tough five years, but in
particular the last two years, news.com.au relays.
"Over the past 12 months, we've had protein go up 30 per cent,
beets go up 25 per cent, dairy has gone up 20 per cent fresh
produce, 10 to 15 per cent flour goes into our burger buns," the
report quotes Mr. Jacobi as saying.
"When you combine that with a decrease in sales and already fine
margins and people who already can't afford to eat out and it needs
to become more expensive to become more viable for the business."
=========
C H I N A
=========
HILONG HOLDING: Moody's Cuts CFR to Ca, Outlook Remains Negative
----------------------------------------------------------------
Moody's Ratings has downgraded Hilong Holding Limited's corporate
family rating to Ca from Caa2 and maintained the negative outlook.
"The downgrade of Hilong's rating with a negative outlook reflects
the company's weak liquidity with principal payment default, as
well as Moody's expectation of weak recovery prospects for the
company's bondholders," says Shawn Xiong, a Moody's Ratings Vice
President and Senior Analyst.
RATINGS RATIONALE
On November 18, 2024, Hilong announced that the company has not
repaid the principal on its USD315 million senior notes due on the
same date, along with the accrued and unpaid interest. [1]
The non-payment of the principal on the USD senior notes and the
accrued and unpaid interest reflects the company's weak liquidity
and constrained financial flexibility. Moody's expect the recovery
prospects for Hilong's offshore bondholders to be low in a
bankruptcy scenario.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING
Moody's could further downgrade Hilong's CFR if the recovery
prospects for its creditors deteriorate.
An upgrade is unlikely, given the negative outlook.
However, positive rating momentum could develop if the company
announces a clear restructuring plan that improves its recovery and
liquidity position.
The principal methodology used in this rating was Oilfield Services
published in January 2023.
Hilong Holding Limited is an integrated oilfield equipment and
services provider. Its three main businesses are oilfield equipment
manufacturing and services, oilfield services and offshore
engineering services.
The company listed on the Hong Kong Stock Exchange in 2011. Its
chairman and founder Mr. Jun Zhang is its controlling shareholder,
with a 48.9% equity interest as of March 2024.
=========
I N D I A
=========
ANGARAJ VANIJYA: Insolvency Resolution Process Case Summary
-----------------------------------------------------------
Debtor: Angaraj Vanijya Private Limited
12 Park Lane, Kolkata
West Bengal, India, 700016
Insolvency Commencement Date: October 29, 2024
Estimated date of closure of
insolvency resolution process: April 27, 2024 (sic)
Court: National Company Law Tribunal, Kolkata Bench
Insolvency
Professional: Mr. Bishwanath Choudhary
Flat No. 8F, Block 7, Prasad Exotica
71/3, Canal Circular Road
Kolkata-700054
West Bengal, India
Email: Choudhary_bishwanath@rediffmail.com
Email: cirp.avpl@gmail.com
Last date for
submission of claims: November 12, 2024
AVIOM INDIA: CRISIL Lowers Rating on INR225cr LT Loan to D
----------------------------------------------------------
CRISIL Ratings has downgraded its long-term rating on the bank
facilities and non-convertible debentures of Aviom India Housing
Finance Private Limited (Aviom) to 'CRISIL D' from 'CRISIL C'. The
issuer continues to be non-cooperative.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Rating 225 CRISIL D (ISSUER NOT
COOPERATING; Downgraded from
'CRISIL C ISSUER NOT
COOPERATING')
Non Convertible 62 CRISIL D (ISSUER NOT
Debentures COOPERATING; Downgraded from
'CRISIL C ISSUER NOT
COOPERATING')
The rating downgrade is on account of delay in serving the
principal repayment of term loan facility which was due on November
25, 2024. CRISIL Ratings has received verbal communication on Nov
27, 2024 from one of the lenders confirming the same.
Previously, on November 22, 2024, the company made a disclosure to
the stock exchanges that it is currently facing liquidity issues
and expects a delay in the payment of interest.
* Non-cooperation by Issuer: Despite attempts to engage with the
company, CRISIL Ratings failed to receive any relevant information,
including on the liquidity profile of the company, which restricts
the ability of CRISIL Ratings to take a forward-looking view on the
entity's credit quality. CRISIL Ratings believes that the rating
action on Aviom is consistent with 'Assessing Information Adequacy
Risk'. Therefore, on account of inadequate information, CRISIL
Ratings has downgraded the ratings on the bank facilities and
non-convertible debentures of Aviom to 'CRISIL D from 'CRISIL C'
and continues to remain on Issuer Not Cooperating'
'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 based on best available or limited or dated information on the
firm. 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'.
Incorporated in February 2016, Aviom is a Delhi-based housing
finance company which provides home loans and loan against property
to low-income women borrowers in Tier II and Tier III towns. The
borrowers are self-employed or salaried individuals in informal
sectors.
AVIOM INDIA: ICRA Lowers Rating on INR290cr NCD to D
----------------------------------------------------
ICRA has downgraded the rating of Aviom India Housing Finance Pvt
Ltd (AIHFPL) to [ICRA]D in accordance with its Policy on Default
Recognition.
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Non-convertible 290.00 [ICRA]D; ISSUER NOT COOPERATING;
debenture downgraded from [ICRA]BBB+
(Stable) and rating moved to
'ISSUER NOT COOPERATING'
Category
Material Event
On Nov. 22, 2024, AIHFPL made a disclosure on the stock exchange
about the potential discrepancies in the company's book of
accounts, a fraud reported within the company and liquidity issues.
As a result, the company is expecting a delay in the payment of
interest.
Impact of Material Impact
Following the disclosure, ICRA has downgraded the ratings for
AIHFPL due to the reported liquidity stress, which can lead
to delays in the payment of interest and debt servicing.
Accordingly, ICRA has downgraded the rating of the aforesaid
company to [ICRA]D in accordance with its Policy on Default
Recognition.
ICRA has also moved the rating for AIHFPL to the 'Issuer Not
Cooperating' category on account of inadequate information
regarding its performance and the uncertainty around its credit
risk. The rating is denoted as '[ICRA]D; ISSUER NOT COOPERATING'.
As part of its process and in accordance with its rating agreement
with AIHFPL, ICRA has been trying to seek information from the
entity to monitor its performance. Despite repeated requests, the
entity's management has not provided the required information for
monitoring and assessing the current risk profile. In the absence
of requisite information and in line with ICRA's aforesaid policy,
a rating view has been taken on the entity based on the best
available information.
AIHFPL, which commenced operations in 2016, is a social impact
focused affordable housing finance company catering to customers
with undocumented informal income in urban and semi-urban areas. It
operates in the white space between traditional housing finance and
microfinance and provides loans for sanitation, home extension,
home improvement, and construction and LAP to low-income families
from the informal sector with a strong focus on women, thereby
promoting women empowerment.
BHARATH LAJHNA: CRISIL Withdraws D Corporate Credit Rating
----------------------------------------------------------
CRISIL Ratings has withdrawn its rating on Corporate Credit Rating
of Bharath Lajhna Multi State Housing Co-operative Society Limited
(BLM) at the request of the company. The rating action is in line
with CRISIL Ratings' policy on withdrawal of its ratings.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Corporate Credit - CRISIL D; ISSUER NOT
Rating COOPERATING (Withdrawn)
CRISIL Ratings has been consistently following up with BLM for
getting information. CRISIL Ratings requested cooperation and
information from the issuer through its letters dated February 21,
2024, apart from telephonic communication. However, the issuer has
continued to be 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 BLM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on BLM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
BLM continues to be 'CRISIL D/Issuer Not Cooperating'.
Bharath Lajhna Multi State Housing Co-operative Society Limited
(BLM) is multi state housing co-operative society develops lands
for residential, commercials and other business segments with
operations in 3 states namely Tamilnadu, Kerala and Pondicherry.
The society started its operations in Chennai in February 2006.
Society started its operations with property development for
residential, commercial, retail and hospitality sectors in South
India. This comprise of various aspect of housing development
activities such as land identification and acquisition, project
planning, designing, marketing and execution. At present, the focus
is on the development of residential projects in Chennai and other
key cities of Southern India.
BJIRD EXIM: Insolvency Resolution Process Case Summary
------------------------------------------------------
Debtor: Bjird Exim Private Limited
43, Floor-0 Popular Arcade
Tata Road No. 1
Roxy Cinema Opera House
Mumbai Maharashtra, India, 400004
Insolvency Commencement Date: October 1, 2024
Estimated date of closure of
insolvency resolution process: March 3, 2025
Court: National Company Law Tribunal, Mumbai Bench-III
Insolvency
Professional: Mr. Nilesh Kothari
A-703, Iskon Riverside
Near Shelaleikh Society
Shahibaug, Ahmadabad, Gujarat, 380004
Email: ca.nkothari@gmail.com
410, 4th floor, Bluerose Industrial Estate
Near Metro Mall and Tata Power Petrol Pump
Western Express Highway,
Borivali East- 400066 Mumbai
Email: ibc.bjirdexim@gmail.com
Last date for
submission of claims: October 15, 2024
BSP REFINERIS: CRISIL Reaffirms B+ Rating on INR7cr Cash Loan
-------------------------------------------------------------
CRISIL Ratings has reaffirmed its rating on the long-term bank
facility of BSP Refineris (BSP) at 'CRISIL B+/Stable'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7 CRISIL B+/Stable (Reaffirmed)
The rating continues to reflect the susceptibility of operating
margin to volatile raw material prices, and below-average financial
risk profile. These weaknesses are partially offset by the
extensive experience of the partners and efficient working capital
cycle.
Analytical approach
CRISIL Ratings has evaluated the standalone business and financial
risk profiles of BSP.
Key rating drivers & detailed description
Weaknesses:
* Susceptibility to volatile raw material prices: Operating margin
remains vulnerable to adverse movements in the prices of key input,
crude oil. Also, sunflowers, rice bran, and groundnuts are
agricultural commodities and their yield, price, and availability
are affected by changes in weather and epidemics.
* Below-average financial risk profile: Networth was estimated to
be small at around INR4.21 crore as on March 31, 2024, due to
capital withdrawals; gearing was healthy at 0.87 time. Debt
protection metrics remains comfortable, as reflected in interest
coverage and net cash accrual to adjusted debt ratios of 5.59 times
and 0.10 time, respectively, for fiscal 2024.
Strengths:
* Extensive experience of the partners: Presence of over three
decades in the edible oil industry has enabled the partners to
develop a strong understanding of market dynamics, establish their
brand, USHA, in southern Tamil Nadu and Maharashtra, and forge
healthy relationships with suppliers and customers.
* Efficient working capital cycle: Gross current assets were
estimated at 30-55 days over the past three fiscals, and were
estimated at 31 days as on March 31, 2024, because of low inventory
and receivables levels of 14 days each.
Liquidity: Poor
Bank limit utilisation was around 68% for the 13 months through
October 2024. Cash accrual is expected to be over INR50 lakh
against no term debt obligation over the medium term.
Current ratio was healthy at 1.6 times as on March 31, 2024.
Outlook: Stable
The firm will continue to benefit from the extensive experience of
its partners.
Rating sensitivity factors
Upward factors
* Improvement in revenue by 20% and operating margin over 2%
leading to higher net cash accrual
* No major capital withdrawal over the medium term and improvement
in financial risk profile
Downward factors
* Decline in revenue by 15% and fall in profitability leading to
lower net cash accrual
* Large, debt-funded capital expenditure further weakening
financial risk profile
Set up in 1983 as a partnership firm by Mr. B S Perumal Chettiar,
Mr. B P Purushottaman and Mr. B P Udhayakumar, BSP manufactures
refined sunflower and groundnut oil under its USHA brand. It caters
to southern Tamil Nadu and Maharashtra.
BYJU'S: Riju Raveendran Moves NCLT Seeking Inclusion in Case
------------------------------------------------------------
Business Standard reports that Riju Raveendran, the largest
shareholder of the insolvent edtech firm Byju's and brother of its
founder Byju Raveendran, approached the insolvency tribunal in
Bengaluru on Dec. 2, seeking inclusion in the insolvency case.
However, the tribunal expressed apprehension about including him in
the proceedings.
Business Standard relates that Riju's lawyer pleaded before the
tribunal to allow him to defend himself against allegations made by
Byju's lenders, particularly the US-based lender Glas Trust,
regarding the source of the INR158 crore initially paid to the
Board of Control for Cricket in India (BCCI) to settle its dues.
Byju's US-based lenders had opposed the settlement, claiming that
the money used to repay BCCI was tainted as it was part of the $533
million that had allegedly gone "missing."
The tribunal, however, stated that determining the source of funds
falls under the jurisdiction of the income tax authorities and the
Enforcement Directorate, Business Standard relays. It directed the
lenders to file objections to Raveendran's plea and adjourned the
hearing.
Business Standard adds that Riju Raveendran, who is also a board
member of the company, had previously told the appellate tribunal
that the money paid to the BCCI was "clean." His counsel had argued
that the payment to the BCCI was not part of the "missing" $533
million, as alleged by the lenders. The missing money is at the
centre of a dispute between the US lenders and Byju's parent
company, Think & Learn.
About Byju's
Based in Bengaluru, Karnataka, India, Byju's operates an online
learning platform intended to deliver engaging and accessible
education. The company's platform makes use of original content,
watch-and-learn videos, animations, and interactive simulations
that make learning contextual, visual, and practical, enabling
students to receive a personalized educational experience.
As reported in the Troubled Company Reporter-Asia Pacific in July
2024, Byju's will face insolvency proceedings for failure to pay
$19 million in dues to the country's cricket board. Reuters said
Byju's has suffered numerous setbacks in recent years, including
boardroom exits and a tussle with investors who accused CEO Byju
Raveendran of corporate governance lapses, job cuts and a collapse
in its valuation to less than $3 billion. Byju's has denied any
wrongdoing.
According to Reuters, a ruling by India's companies tribunal on
July 16, following a complaint by the Board of Control for Cricket
in India (BCCI), initiated insolvency proceedings. These will
include the appointment of an interim resolution professional,
Pankaj Srivastava, who will oversee the management of Byju's as The
company's board of directors is suspended as per law. CEO
Raveendran will report to the resolution professional and the
company's assets will remain frozen while the proceedings
continue.
The TCR-AP relayed that the National Company Law Appellate Tribunal
(NCLAT) on Aug. 2, 2024, accepted the settlement between Byju
Raveendran and the Board of Control for Cricket in India (BCCI),
thus removing Byju's parent Think and Learn from the insolvency
resolution process.
The TCR-AP, citing Moneycontrol, reported on Jan. 26, 2024, that
foreign lenders, who collectively extended more than 85% of Byju's
$1.2 billion term loan, have filed an insolvency petition against
the online tutor in India. Moneycontrol related that the bankruptcy
petition was filed in January 2024 in the Bengaluru bench of the
National Company Law Tribunal (NCLT), the people said, requesting
anonymity.
BYJU's Alpha, Inc., a U.S. unit of Byju's, sought protection under
Chapter 11 of the U.S. Bankruptcy Code (Bankr. D. Del. Case No.
24-10140) on Feb. 1, 2024. In the petition signed by Timothy R.
Pohl, chief executive officer, the Debtor disclosed up to $1
billion in assets and up to $10 billion in liabilities.
Alleged creditors of Epic! Creations, also a U.S. unit, sought
involuntary petition under Chapter 11 of the the U.S. Bankruptcy
Code against Epic! Creations (Bankr. D. Del. Case No. 24-11161) on
June 5, 2024.
COSMOS JEWELLERS: ICRA Keeps D Debt Rating in Not Cooperating
-------------------------------------------------------------
ICRA has kept the Long-Term ratings of Cosmos Jewellers Private
Limited (CJPL) in the 'Issuer Not Cooperating' category. The rating
is denoted as "[ICRA]D: ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term 20.00 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with CJPL, 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.
Cosmos Jewellers Private Limited (CJPL), incorporated in 2011, is
engaged in the manufacturing, wholesale and retail sales of gold
and diamond. CJPL has presence largely in gold jewellery, and its
customers are primarily wholesalers and retailers based in New
Delhi. The company was acquired by the promoters of Delhi based
Shree Raj Mahal Group, which is engaged in the manufacturing,
wholesale and retail sales of gold and diamond jewellery for more
than two decades.
DHARAM EDUCATIONAL: CRISIL Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Sri Dharam
Educational Trust (SDET) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 14.5 CRISIL D (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with SDET 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 SDET, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SDET
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SDET continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 2013, SDET runs a nursery school in Tindivanam (Tamil
Nadu), Aakrutii School and a secondary school (Sri Dharamchand Jain
School) affiliated to CBSE. Daily operations are overseen by the
key promoter-trustee, Mr. Bablasa.
GOVARDHAN COTGIN: CRISIL Keeps D Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Shree
Govardhan Cotgin Private Limited (SGCPL) continues to be 'CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 29.2 CRISIL D (Issuer Not
Cooperating)
Cash Credit 18.3 CRISIL D (Issuer Not
Cooperating)
Term Loan 2.0 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SGCPL 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 SGCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SGCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SGCPL continues to be 'CRISIL D Issuer Not Cooperating'.
Incorporated in 2006, SGCPL commenced operations from April 2008.
The company manufactures cotton bales, crude cottonseed oil, and
oil cakes at its facilities in Rajkot, Gujarat. It also trades in
cotton.
GUJARAT COTFIB: ICRA Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
ICRA has kept the Long-Term and Short-Term ratings of Gujarat
Cotfib (GC) in the 'Issuer Not Cooperating' category. The rating
are denoted as "[ICRA]D/[ICRA]D: ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term 13.75 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Short-term 0.33 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with GC, 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.
Established in 2008, Gujarat Cotfib (GC) is a partnership firm. The
firm reconstituted its partnership in 2016 wherein out of
existing nine partners, six partners took retirement and the firm
is presently managed by three partners i.e. Mr. Girdhar Vekariya,
Mr. Amit Vekariya and Mr. Vijay Vekariya. GC is engaged in the
business of cotton ginning and pressing of raw cotton to produce
cotton bales and cottonseeds. The firm is also engaged in crushing
of cotton seeds to produce cotton seed oil and oil cake. The firm's
manufacturing facility is located at Tapi Gujarat and is currently
equipped with 40 ginning machines and 1 pressing machine having a
capacity to produce 350 cotton bales per day and 8 expellers to
produce cotton seed oil with a capacity of producing 15 tons of oil
per day.
HIRMA POWER: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Hirma Power Limited
Raheja Point Wing B
7th Floor, Nehru Rd.
Near Shamrao Vithal Bank
Vakola, Santacruz (East), Mumbai
Maharashtra, India 400055
Insolvency Commencement Date: October 14,2024
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: April 12, 2025
Insolvency professional: Chandra Prakash Jain
Interim Resolution
Professional: Chandra Prakash Jain
Truue IPE Private Limited
D-501, Ganesh Meridian,
Opp. High Court S. G. Road
Ahmedabad 380060
Email: cirp.hirma@gmail.com
jain_cp@yahoo.com
-- and --
112, 1st Floor, Rex Chamber
Ballard Estate
Walchand Hira Chand Marg
Fort, Mumbai 400001
Last date for
submission of claims: October 29, 2024
KAABA TRADING: CRISIL Keeps B Debt Rating in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Kaaba Trading
Private Limited (KTPL) continues to be 'CRISIL B/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6.3 CRISIL B/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KTPL 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 KTPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KTPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
KTPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
KTPL was set up in 2005 by Mr. Sheikh Yezdani and his family
members. The company trades in imported raw cashews nuts. It
imports raw cashew from Indonesia, Ghana, Ivory Coast, and Nigeri.
The company is based in Vishakhapatnam (Andhra Pradesh).
KAMNA MEDICAL: CRISIL Keeps D Ratings in Not Cooperating Category
-----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kamna Medical
Centre Private Limited (KMCPL) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Overdraft Facility 1.91 CRISIL D (Issuer Not
Cooperating)
Proposed Long Term 0.15 CRISIL D (Issuer Not
Bank Loan Facility Cooperating)
Term Loan 5.85 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KMCPL 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 KMCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KMCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KMCPL continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
KMCPL, incorporated in 2006, is operating a 260-bed hospital in
Meerut (Uttar Pradesh). The company also commenced paramedical
courses under the medical college (300 seats per batch) named KMC
College of Nursing. Dr Sunil Gupta and Dr Pratibha Agarwal are the
promoters.
KAMYA CLOTHING: CRISIL Keeps D Ratings in Not Cooperating
---------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kamya
Clothing Private Limited (KCPL) continue to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 6 CRISIL D (Issuer Not
Cooperating)
Term Loan 0.25 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KCPL 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 KCPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KCPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
KCPL continues to be 'CRISIL D Issuer Not Cooperating'.
KCPL was set up in the early 1990s as a partnership firm, and was
reconstituted as a private limited company in 2012. The company is
promoted by Mr. Anilkumar P Nawani and his family members. Its
product portfolio comprises denims and formal shirts for men.
KAVED REALTY: Insolvency Resolution Process Case Summary
--------------------------------------------------------
Debtor: Kaved Realty Private Limited
Office No. 531, Clover Center,
Moledina Road, Camp,
Pune 411001
Insolvency Commencement Date: October 23, 2024
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: April 21, 2025
Insolvency professional: Rajkumar Jaiswal
Interim Resolution
Professional: Rajkumar Jaiswal
M/s. Renascence Insolvency Resolution
Professionals Private Limited
101, Kanakia Atrium 2
Cross Road A, Chakala MIDC
Andheri East, Mumbai 400093
Email: caamith.gupta@gmail.com
Email: cirp.krpl@gmail.com
Last date for
submission of claims: November 8, 2024
KESMA IMPEX: Liquidation Process Case Summary
---------------------------------------------
Debtor: Kesma Impex Private Limited
E/9, M.R Housing Society, Relief Road,
Opp. Raheja College,
Santacruz (W), Mumbai – 400054
Liquidation Commencement Date: August 28, 2024
Court: National Company Law Tribunal, Mumbai Bench
Liquidator: Rajkumar Jaiswal
M/s. Renascence Insolvency Resolution
Professionals Private Limited
101, Kanakia Atrium 2, Cross Road A,
Chakala MIDC, Andheri East
Mumbai - 400093
Email: caamith.gupta@gmail.com
Email: rj@rirp.co.in
kipl@rirp.co.in
Last date for
submission of claims: November 29, 2024
KNK CONSTRUCTION: CRISIL Keeps D Debt Ratings in Not Cooperating
----------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of KNK
Construction Private limited (KNK) continue to be 'CRISIL D/CRISIL
D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bank Guarantee 90 CRISIL D (Issuer Not
Cooperating)
Overdraft Facility 30 CRISIL D (Issuer Not
Cooperating)
Proposed Bank 25 CRISIL D (Issuer Not
Guarantee Cooperating)
Proposed Overdraft 30 CRISIL D (Issuer Not
Facility Cooperating)
CRISIL Ratings has been consistently following up with KNK 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 KNK, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KNK
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
KNK continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
KNK was set up in fiscal 2017 by merging the group companies, KNK
Nexgen Construction Pvt Ltd and KNK Swami and Co. It constructs
factories, industrial houses, and commercial and residential
buildings for the Government of Karnataka and private entities
outside the state.
KONVERGE HEALTHCARE: Insolvency Resolution Process Case Summary
---------------------------------------------------------------
Debtor: Konverge Healthcare Private Limited
#153, Sector-5, HSR Layout
Bangalore 5601102
Insolvency Commencement Date: November 6, 2024
Court: National Company Law Tribunal, Mumbai Bench
Estimated date of closure of
insolvency resolution process: May 7, 2025
Insolvency professional: Kalpana Kamlesh Gandhi
Interim Resolution
Professional: Kalpana Kamlesh Gandhi
302, Emperor, L T Road
Borivali (West), Mumbai - 400092
Email: kalpanagandhica@gmail.com
-- and --
B-21304, Dhan Vaibhav CHS, Jambli Galli
Borivali (West), Mumbai - 400072
Email: cirp.konvergehealthcare@gmail.com
Last date for
submission of claims: November 22, 2024
KSHATRIYA CONSTRUCTIONS: CRISIL Keeps D Rating in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Kshatriya
Constructions (KC) continues to be 'CRISIL D Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Overdraft Facility 10 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KC 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 KC, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KC is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the rating on bank facilities of KC
continues to be 'CRISIL D Issuer Not Cooperating'.
Set up in 1980, KC is a Hyderabad-based proprietorship firm which
undertakes development of residential real estate projects in and
around the city. Currently, the firm is executing seven residential
real estate projects, funded largely by proprietor's contribution
and minimal external debt of INR10 crore. The day-to-day operations
are managed by Mr. P. Kumar.
KURUNJI AGRO: CRISIL Keeps D Debt Ratings in Not Cooperating
------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Kurunji Agro
Product (KAP) continue to be 'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 3 CRISIL D (Issuer Not
Cooperating)
Long Term Loan 5.5 CRISIL D (Issuer Not
Cooperating)
Proposed Term Loan 1.5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with KAP 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 KAP, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on KAP
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
KAP continues to be 'CRISIL D Issuer Not Cooperating'.
KAP was set up in 2009 and commenced operations in 2013. Based in
Dindigul, Tamil Nadu, the firm manufactures mango pulp. It was set
up by Mr. S Palanisamy, Mr. S A Kadar. and Mr. A Muruganandham.
LEONARD EXPORTS: ICRA Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
ICRA has kept the Long-Term and Short-Term ratings of Leonard
Exports (LE) in the 'Issuer Not Cooperating' category. The ratings
are denoted as [ICRA]D/[ICRA]D; ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term 3.75 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Short-term 1.20 [ICRA]D; ISSUER NOT COOPERATING;
Non-fund based Rating continues to remain under
Others 'Issuer Not Cooperating'
Category
Long Term- 2.05 [ICRA]D; ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain under
'Issuer Not Cooperating'
As part of its process and in accordance with its rating agreement
with LE, 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.
Leonard Exports (LE) was established in 2001 as a partnership firm
by Mr. P.K.Darolia (holding 70% stake) along with three other
partners. The firm trades in fly ash, which it procures from
various thermal power plants and sells primarily to cement
manufacturing units. Besides, the firm also provides ancillary
services, like handling and transportation of fly ash. The firm
operates through four branches-Farakka, Suri, Titagarh in West
Bengal and Kahalgaon in Bihar.
LEVIN DECOR: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Levin Decor
LLP (Levin) continue to be 'CRISIL B/Stable Issuer not
cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B/Stable (ISSUER NOT
COOPERATING)
Long Term Loan 6 CRISIL B/Stable (ISSUER NOT
COOPERATING)
Proposed Long Term 0.02 CRISIL B/Stable (ISSUER NOT
Bank Loan Facility COOPERATING)
CRISIL Ratings has been consistently following up with Levin 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 LEVIN, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on Levin
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
Levin continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
Levin Decor was established in August 2014 as a limited liability
partnership firm. The firm manufactures decorative laminates used
for furnishing (especially for doors), veneers, and industrial
laminates. It commenced operations in July 2015. Mr. Bharatbhai
Patel, Mr. Kamleshbhai Patel, Mr. Utkarshkumar Patel, Mr.
Prahladbhai Patel, Mr. Rameshkumar Patel, and Mr. Mayankkumar Patel
are the partners.
M.M. ISPAT: ICRA Keeps D Debt Rating in Not Cooperating Category
----------------------------------------------------------------
ICRA has kept the Long-Term ratings of M.M. Ispat Pvt Ltd in the
'Issuer Not Cooperating' category. The rating is denoted as
"[ICRA]D: ISSUER NOT COOPERATING".
Amount
Facilities (INR crore) Ratings
---------- ----------- -------
Long-term 6.00 [ICRA]D; ISSUER NOT COOPERATING;
Fund based Rating Continues to remain under
Cash Credit 'Issuer Not Cooperating'
Category
Long Term- 4.00 [ICRA]D; ISSUER NOT COOPERATING;
Unallocated Rating Continues to remain under
'Issuer Not Cooperating'
Category
As part of its process and in accordance with its rating agreement
with M.M. Ispat Pvt Ltd, ICRA has been trying to seek information
from the entity so as to monitor its performance. Further, ICRA has
been sending repeated reminders to the entity for payment of
surveillance fee that became due. Despite multiple requests by
ICRA, the entity's management has remained non-cooperative. In the
absence of requisite information and in line with the aforesaid
policy of ICRA, the rating has been continued to the "Issuer Not
Cooperating" category. The rating is based on the best available
information.
M.M. Ispat Pvt Ltd, incorporated in the year 2009, had been
involved in trading of iron and steel products, such as hot rolled
sheets, cold rolled sheets, galvanized plain, galvanized corrugated
sheets, M.S. Angle, M.S. Channel, and M.S. Pipe etc primarily in
Raipur, Chhattisgarh.
MAA SARASWATI: CRISIL Keeps D Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Maa Saraswati
Education Society (Regd.) (MSES) continue to be 'CRISIL D/CRISIL D
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Long Term Loan 8.9 CRISIL D (Issuer Not
Cooperating)
Overdraft Facility 1.1 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MSES 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 MSES, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MSES
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the ratings on bank facilities of
MSES continues to be 'CRISIL D/CRISIL D Issuer Not Cooperating'.
MSES is registered in Haryana under the Indian Societies Act, 1860,
with an objective of setting up educational institutes. The society
has set up Maa Saraswati Institute of Engineering And Technology at
Kalanaur, Rohtak (Haryana) for providing engineering and management
courses. Mr. Radhey Shyam, the president of the society, manages
operations.
MAHADEV IRON: CRISIL Keeps B- Debt Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Mahadev Iron
and Steel Private Limited (MISPL) continue to be 'CRISIL B-/Stable
Issuer not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
Term Loan 0.94 CRISIL B-/Stable (ISSUER NOT
COOPERATING)
CRISIL Ratings has been consistently following up with MISPL 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 MISPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MISPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
MISPL continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
Ghaziabad (Uttar Pradesh)-based MISPL was established in 1980 by
Mr. Jugal Kishore Goel and Mr. Ajay Goel. It processes (including
decoiling of thermo-mechanically treated bars and its cutting) and
trades in steel, iron and its related products.
MAYURA INDUSTRIES: CRISIL Keeps B- Ratings in Not Cooperating
-------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Mayura
Industries (MI) continue to be 'CRISIL B-/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 5 CRISIL B-/Stable (Issuer Not
Cooperating)
Long Term Loan 1.56 CRISIL B-/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with MI 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 MI, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on MI is
consistent with 'Assessing Information Adequacy Risk'. Based on the
last available information, the rating on bank facilities of MI
continues to be 'CRISIL B-/Stable Issuer Not Cooperating'.
Established as a partnership firm in 2012, MI is engaged in trading
and fractionation of palm oil. Based in Kakinada (Andhra Pradesh),
the firm is promoted by Mr. M.V.V.Satyanarayan Rao. The firm
started its commercial production in July, 2014.
MEGHA INSULATIONS: Insolvency Resolution Process Case Summary
-------------------------------------------------------------
Debtor: Megha Insulations Private Limited
Survey No. 144, Ghanghli - Sihor Road
Ghanghli, Bhavnagar, Sihor 364241
-- and --
A-11/6th Floor, Dada Saheb Flats
Kalanala, Bhavnagar 364001
Insolvency Commencement Date: October 24, 2024
Court: National Company Law Tribunal, Ahmedabad Bench
Estimated date of closure of
insolvency resolution process: May 6, 2025
Insolvency professional: Rathin Majmudar
Interim Resolution
Professional: Rathin Majmudar
604, Scarlet Gateway
Opp. Rivera Antilia Corporate Road
Near Prahladnagar Garden
Ahmedabad 380015
Email: info@carathin.com
Mobile: 99747 17070
-- and --
Truue IPE LLP
D-501, Ganesh Meridian
Opp. High Court, S G Road
Ahmedabad 380060
Email: cirp.meghainsulations@gmail.com
Last date for
submission of claims: November 21, 2024
MUMBAI INT’L AIRPORT: Fitch Puts 'BB+' Bond Rating on Watch Neg.
------------------------------------------------------------------
Fitch Ratings has taken the following rating actions on the Adani
group's entities rated under Fitch's Infrastructure and Project
Finance Rating Criteria, following the bribery charges and
indictment of certain board members of Adani Green Energy Limited
(AGEL) by the US Securities and Exchange Commission and Department
of Justice.
The following ratings have been placed on Rating Watch Negative
(RWN):
- Adani Ports and Special Economic Zone Limited's (APSEZ) Long-Term
Foreign-Currency IDR of 'BBB-' and the 'BBB-' rating on its US
dollar senior unsecured bonds;
- The 'BB+' rating on North Queensland Export Terminal Pty Ltd's
(NQXT) Australian dollar senior secured bonds; and
- The 'BB+' rating on Mumbai International Airport Limited's (MIAL)
US dollar senior secured bonds.
The following ratings have been affirmed and the Outlook revised to
Negative from Stable:
- The 'BBB-' rating on Adani International Container Terminal
Private Limited's (AICTPL) US dollar senior secured bonds;
- The 'BBB-' rating on Adani Green Energy Limited Restricted Group
1's (AGEL RG1) US dollar senior secured bonds;
- The 'BBB-' rating on Adani Green Energy Limited Restricted Group
2's (AGEL RG2) US dollar senior secured bonds; and
- The 'BBB-' rating on Adani Energy Solutions Limited Restricted
Group's (AESL RG) US dollar senior secured bonds.
RATING RATIONALE
The RWN on APSEZ, NQXT and MIAL reflects increased corporate
governance risk and potential contagion risk that could impact
funding access and liquidity of the rated entities, if corporate
governance risk materialises following the US indictment. On 20
November 2024, three AGEL board members were indicted by US
authorities for alleged bribery and providing false and misleading
statements to investors in a 2021 offshore note offering. The group
has denied these allegations.
While the US indictment mainly involves AGEL's key leadership, the
proceedings and the outcome could reflect significantly weaker
corporate governance practices of the group and can lead to further
negative rating actions. Two of the indicted board members belong
to the founding shareholders of Adani group, which effectively own
a majority of shares in all rated group entities (except AICTPL).
These directors also serve on the boards of most other rated
entities, raising contagion risk and renewing governance concerns
across the group.
Fitch will monitor the ongoing investigations for developments
impacting financial flexibility of the rated entities, particularly
any material deterioration in near- to medium-term funding access,
including their ability to roll over existing credit lines or
access new facilities, as well as potentially higher funding
costs.
The affirmation of ratings of AGEL RG1, AGEL RG 2, AESL RG and
AICTPL reflects the ring-fencing structure of these restricted
groups, their relatively stable operating cash flows and their
almost fully amortising debt, which will minimise any impact from
reduced funding access that could arise from potential contagion
effects. The Negative Outlook reflects the risk of higher funding
costs and materialisation of weakness in corporate governance and
internal controls.
Long-term contracts support the revenues of AGEL RG1, AGEL RG2 and
AESL RG and limit downside to Fitch's current revenue risk
assessments. AICTPL has a long-term terminal service agreement with
Mediterranean Shipping Company S.A. (MSC), under which MSC is
required to use AICTPL when its container ships call at Mundra
Port, subject to AICTPL's availability, which reduces revenue
volatility. These, together with covenants under issuance
structures that limit distributions and any additional
indebtedness, continue to support the ratings of the above four
entities.
Fitch has simultaneously withdrawn the expected ratings on the
proposed debt issuance by Adani Green Energy Limited Hybrid RG1
(AGEL Hybrid RG1) as the issuance is no longer expected to proceed
as previously envisaged.
KEY RATING DRIVERS
Near-Term Liquidity Risk Limited: Fitch expects the near-term
liquidity of the rated entities to be sufficient, as there are no
significant scheduled debt maturities in the next 12-18 months
(except NQXT) and the entities have some capex flexibility. Fitch
believes the charges may hinder NQXT's planned refinancing,
including raising funding costs, curbing interest from private
lenders and extending due diligence requirements. However, Fitch
expects limited refinancing risk given the ultimate shareholder's
(Adani Family Trust) past support, underpinned by strong economic
incentives, NQXT's positive free cash flow (FCF) and the moderate
size of the funding requirement.
APSEZ's cash balance of INR89 billion at end-September 2024 and its
FCF should cover its current debt maturities of INR113 billion to
the financial year ending March 2026 (FY26), with next major US
dollar bond due in July 2027. APSEZ also has flexibility to adjust
its capex. The liquidity of AICTPL, AGEL RG1, AGEL RG2 and AESL RG
is supported by the nearly fully amortising nature of their debt,
legal ring-fencing, cash flow waterfall mechanisms, covenants that
restrict cash upstreaming and limit indebtedness, and stable cash
flows.
Risks to Medium-Term Funding Access: Fitch believes the latest
developments could hinder the group's funding access. This can
significantly affect the growth plans for certain rated entities
like APSEZ, though it has some flexibility in its capex plans.
Increased reliance on onshore funding, following reduced offshore
funding, could heighten refinancing risk over the medium term, and
a material rise in funding costs could reduce operating cash
flows.
The impact of a material deterioration in the group's funding
access is likely to be limited for AGEL RG1, AGEL RG2, AESL RG and
AICTPL. The largely fully amortising debt and covenants in the form
of dividend lock-up two to three years prior to final maturity
mitigate refinancing risk and limit the need for any additional
funding. There may be some effects on hedging contract renewals for
the US dollar bonds of AGEL RG1, AGEL RG2 and AESL RG, but
covenants under the bonds limit downside.
Heightened Corporate Governance Risk: Fitch assesses that the
misrepresentation and bribery charges have heightened corporate
governance risk for the rated entities. A conviction or any
indication of weaknesses in the entities' governance practices and
internal controls that may come to light as part of the process
could put pressure on the ratings.
Fitch currently has an ESG Relevance Score of '4' for Governance
Structure and Group Structure on the rated entities and has
AICTPL's scores for the above two factors to '4' from '3' in light
of the recent developments.
For an overview of the underlying credit profiles of the rated
Adani group entities, see the latest rating action commentaries
published below:
AGEL RG1 published on the 30 May 2024
AGEL RG2 published on the 12 Jun 2024
AGEL Hybrid RG1 (EXP) published on the 17 Nov 2024
APSEZ published on the 20 Mar 2024
AICTPL published on the 14 Nov 2024
AESL RG published on the 20 Feb 2024
Mumbai International Airport Limited (MIAL) published on the 14 May
2024
NQXT published on the 6 Aug 2024
RATING SENSITIVITIES
Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade
For APSEZ, NQXT and MIAL, Fitch expects to resolve the RWN on
resolution of the ongoing US investigation or emergence of clarity
on potential impact for the rated entities. A downgrade could
result from:
- Impairment of financial flexibility, which will be evident from
increased funding costs or restricted funding access
- Indication of heightened weaknesses in the entities' governance
practices and internal controls, including from the allegations of
bribery and misrepresentation.
For AGEL RG1, AGEL RG2, AESL RG and AICTPL, negative rating action
could result from:
- Indication of heightened weaknesses in the entities' governance
practices and internal controls, which includes the bribery and
misrepresentation claims
- Higher funding costs or restricted funding access
- Average annual debt service coverage ratio sustained below the
following levels:
AGEL RG1: 1.35x;
AGEL RG2: 1.30x;
AESL RG: 1.25x and
AICTPL: 1.80x
Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade
The ratings could be affirmed with a Stable Outlook if the above
negative sensitivities do not materialise.
PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS
AESL RG, AICTPL, APSEZ, AGEL RG1, AGEL RG2 are also capped by
India's country ceiling
ESG Considerations
AGEL RG1 has an ESG Relevance Score of '4' for Governance
Structure, due to the concentration of ownership, with a large
majority stake indirectly held by Adani Group. This has a negative
impact on the credit profile and is relevant to the rating in
conjunction with other factors.
AGEL RG1 has an ESG Relevance Score of '4' for Group Structure, due
to the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
AGEL RG2 has an ESG Relevance Score of '4' for Governance
Structure, due to the concentration of ownership, with a large
majority stake indirectly held by Adani Group. This has a negative
impact on the credit profile and is relevant to the rating in
conjunction with other factors.
AGEL RG2 has an ESG Relevance Score of '4' for Group Structure, due
to the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
APSEZ has an ESG Relevance Score of '4' for Governance Structure,
due to the concentration of ownership, with a large majority stake
indirectly held by Adani Group. This has a negative impact on the
credit profile and is relevant to the rating in conjunction with
other factors.
APSEZ has an ESG Relevance Score of '4' for Group Structure, due to
the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
AICTPL has an ESG Relevance Score of '4' for Governance Structure,
due to the concentration of ownership, with a large majority stake
indirectly held by Adani Group. This has a negative impact on the
credit profile and is relevant to the rating in conjunction with
other factors.
AICTPL has an ESG Relevance Score of '4' for Group Structure, due
to the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
AESL RG has an ESG Relevance Score of '4' for Governance Structure,
due to the concentration of ownership, with a large majority stake
indirectly held by Adani Group. This has a negative impact on the
credit profile and is relevant to the rating in conjunction with
other factors.
AESL RG has an ESG Relevance Score of '4' for Group Structure, due
to the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
MIAL has an ESG Relevance Score of '4' for Governance Structure,
due to the concentration of ownership, with a large majority stake
indirectly held by Adani Group. This has a negative impact on the
credit profile and is relevant to the rating in conjunction with
other factors.
MIAL has an ESG Relevance Score of '4' for Group Structure, due to
the structure's complexity at the shareholder level. This has a
negative impact on the credit profile and is relevant to the rating
in conjunction with other factors.
NQXT has an ESG Relevance Score of '4' for Governance Structure,
due to the complexity of its group structure at the shareholder
level. This has a negative impact on the credit profile and is
relevant to the rating in conjunction with other factors.
NQXT has an ESG Relevance Score of '4' for Group Structure, due to
the concentration of ownership, with a large majority stake
indirectly held by Adani Group. This has a negative impact on the
credit profile and is relevant to the rating in conjunction with
other factors.
NQXT has an ESG Relevance Score of '4' for Management Strategy, as
its bullet debt structure compounds the risk of limited refinancing
options. This has a negative impact on the credit profile and is
relevant to the rating in conjunction with other factors.
The highest level of ESG credit relevance is a score of '3', unless
otherwise disclosed in this section. A score of '3' means ESG
issues are credit-neutral or have only a minimal credit impact on
the entity, either due to their nature or the way in which they are
being managed by the entity. Fitch's ESG Relevance Scores are not
inputs in the rating process; they are an observation on the
relevance and materiality of ESG factors in the rating decision.
Entity/Debt Rating Prior
----------- ------ -----
Adani International
Container Terminal
Private Limited
Adani International
Container Terminal
Private Limited/Port
Revenues - First
Lien/1 LT LT BBB- Affirmed BBB-
North Queensland
Export Terminal
Pty Ltd
North Queensland
Export Terminal
Pty Ltd/Port
Revenues - First
Lien/1 LT LT BB+ Rating Watch On BB+
Adani Green Energy
Limited Hybrid RG1
Adani Green Energy
Limited Hybrid
RG1/Project Revenues
- Senior Secured
Debt/1 LT LT WD Withdrawn BBB-(EXP)
Adani Green Energy
Limited Restricted
Group 2
Adani Green
Energy Limited
Restricted Group 2
/Project Revenues
- First Lien/1 LT LT BBB- Affirmed BBB-
Chhattisgarh-WR
Transmission Limited
Adani Energy
Solutions Ltd
Restricted Group 1
/Project Revenues –
First Lien/1 LT LT BBB- Affirmed BBB-
Adani Green Energy
Limited Restricted
Group 1
Adani Green Energy
Limited Restricted
Group 1/Project
Revenues - First
Lien/1 LT LT BBB- Affirmed BBB-
Thar Power
Transmission
Service Limited
Adani Energy
Solutions Ltd
Restricted
Group 1/Project
Revenues - First
Lien/1 LT LT BBB- Affirmed BBB-
Raipur-Rajnandgaon-
Warora Transmission
Limited
Adani Energy
Solutions Ltd
Restricted
Group 1/Project
Revenues - First
Lien/1 LT LT BBB- Affirmed BBB-
Sipat Transmission
Limited
Adani Energy
Solutions Ltd
Restricted Group 1/
Project Revenues –
First Lien/1 LT LT BBB- Affirmed BBB-
Barmer Power
Transmission Service
Limited
Adani Energy
Solutions Ltd
Restricted Group 1/
Project Revenues –
First Lien/1 LT LT BBB- Affirmed BBB-
Mumbai International
Airport Limited
Mumbai International
Airport Limited/
Airport Revenues –
First Lien/1 LT LT BB+ Rating Watch On BB+
Hadoti Power
Transmission Service
Limited
Adani Energy
Solutions Ltd
Restricted Group 1/
Project Revenues –
First Lien/1 LT LT BBB- Affirmed BBB-
Adani Ports and
Special Economic
Zone Limited LT IDR BBB- Rating Watch On BBB-
Adani Ports and
Special Economic
Zone Limited/
Unsecured Debt/1 LT LT BBB- Rating Watch On BBB-
Adani Ports and
Special Economic
Zone Limited/Debt –
Long Term/1 LT LT BBB- Rating Watch On BBB-
PIVO INDIA: Voluntary Liquidation Process Case Summary
------------------------------------------------------
Debtor: Pivo India Marketing Private Limited
G-20/255-256, 3F, Sector -7,
Rohini, Delhi 110085
Liquidation Commencement Date: November 5, 2024
Court: National Company Law Tribunal, New Delhi Bench
Liquidator: Parveen Kumar Adlakha
H.No-54, First Floor, Block C-3,
Janakpuri, New Delhi 110058
Mob. 9899048896
Email: liquidatorpivoindia@yahoo.com
Last date for
submission of claims: December 5, 2024
RAHI ELECTRONICS: Liquidation Process Case Summary
--------------------------------------------------
Debtor: Rahi Electronics Private Limited
G-l, Devraj Building, S. V. Road,
Goregaon (West), Mumbai
Maharashtra, India 400062
Liquidation Commencement Date: October 29, 2024
Court: National Company Law Tribunal, Mumbai Bench III
Liquidator: Rajesh Ramesh Kamath
301 A Wing Green Gagan
Near Lokhandwala
Akurli Road, Kandivali East
Mumbai Suburban
Maharashtra 400101
Email: iprrkamath@gmail.com
-- and --
Shop No. 76,
Whispering Palms Shopping Center
Lok handwala. Akurli Road
Kandivali East, Mumbai - 400101
Email: rahielectronics.liq@gmail.com
Last date for
submission of claims: December 6, 2024
RAJESH ESTATES: CRISIL Keeps D Debt Rating in Not Cooperating
-------------------------------------------------------------
CRISIL said the rating on the non-convertible debentures (NCDs) of
Rajesh Estates and Nirman Private Limited (RENPL) continues to be
'CRISIL D Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Non Convertible 297.60 CRISIL D (Issuer Not
Debentures LT Cooperating)
CRISIL has been following up with RENPL for getting information
through letter and email, dated September 17, 2024, apart from
various telephonic communications. However, the issuer has
continued to be 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 RENPL management,
CRISIL Ratings failed to receive any information on either the
financial performance or strategic intent of the company, which
restricts CRISIL Ratings' ability to take a forward-looking view on
its credit quality. The rating action on RENPL is consistent with
'Assessing Information Adequacy Risk.'
Based on the last available information, the rating on the
non-convertible debentures (NCDs) of RENPL continue to be 'CRISIL D
Issuer Not Cooperating'.
Incorporated in 1996, RENPL is a fully owned subsidiary of Rajesh
Constructions Company Pvt Ltd (the flagship company of the Rajesh
group). The company has been developing two projects: Raj Grandeur
and Raj Embassy and has recently started developing Raj Torres in
Thane, Maharashtra, aggregating to a total saleable area of 19 lakh
square foot (sq ft).
The Rajesh group is a Mumbai-based real estate developer, promoted
by Mr. Raghav Patel. Group companies have been engaged in real
estate construction and development for over 50 years. Operations
are currently managed by the third generation of the family, Mr.
Priyal Patel and Mr. Pratik Patel. The group has nearly 86 lakh sq
ft of area under development across various projects in Mumbai as
on date.
SAI EXPORT: CRISIL Moves B- Debt Rating from Not Cooperating
------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of Sai
Export Enterprises (SEE) as:
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Export Packing 35 CRISIL B-/Stable ((Migrated from
Credit 'CRISIL B-/Stable ISSUER NOT
COOPERATING')
Due to inadequate information and in line with the guidelines of
the Securities and Exchange Board of India, CRISIL Ratings had
migrated the rating on the long-term bank facility of SEE to
'CRISIL B-/Stable; Issuer not cooperating'. However, the management
has subsequently started sharing the requisite information
necessary for carrying out a comprehensive review of the rating.
Consequently, CRISIL Ratings is migrating the rating to 'CRISIL
B-/Stable'.
The rating reflects the firm's weak debt protection metrics,
leveraged capital structure and working capital-intensive nature of
operations. These weaknesses are partly mitigated by the extensive
experience of the partners in the cashew processing industry.
Analytical approach:
CRISIL Ratings has evaluated the standalone business and financial
risk profiles of SEE.
Key rating drivers and detailed description
Weaknesses:
* Working capital-intensive nature of operations: The firm's
operations are highly working capital intensive, as indicated by
gross current assets (GCAs) of 442 days as on March 31, 2024. High
GCAs was on account of large inventory and moderately stretched
receivables. The receivables and inventory were around 82 days and
360 days, respectively. They are expected to continue to remain at
similar level over the medium term.
* Weak debt protection metrics and leveraged capital structure:
Debt protection metrics are weak, as reflected by interest coverage
ratio of 1.12 times and net cash accrual to adjusted networth ratio
of negative 0.01 time in fiscal 2024. The capital structure is
leveraged as reflected by gearing of 4.63 times as on March 31,
2024, driven by modest networth of INR11.85 crore. Withdrawals by
the partners continue to weaken the capital structure of the firm,
which will be monitorable going forward.
Strength:
* Extensive experience of the partners in the cashew processing
industry: Benefits from the partners' extensive experience in the
cashew industry and established relationships with suppliers and
customers should support the business. The firm is part of the
Prasanthi group, which operates around 100 owned processing units
in Kerala, Tamil Nadu and Andhra Pradesh, with a combined
processing capacity of around 250 tonne per day.
Liquidity: Poor
Bank limit utilisation was high at 98.43% on average for the 12
months ended September 30, 2024. Cash accrual is expected to be
INR0.28 crore which will be insufficient against term debt
obligation of INR1.80 crore over the medium term. The current ratio
was healthy at 1.42 times as on March 31, 2024. The partners are
likely to extend support in the form of equity and unsecured loans
to meet the working capital requirement and debt obligation.
Outlook: Stable
CRISIL Ratings believes SEE will continue to benefit from its
partners' extensive industry experience.
Rating sensitivity factors
Upward factors
* Sustained increase in net cash accrual to above INR2 crore per
annum to be able meet the debt obligation
* Improvement in the liquidity profile
Downward factors
* Decline in scale of operations by 30% or dip in profitability,
leading to lower cash accrual
* Delays in debt servicing
Founded as a partnership firm by Mr. Mohan Chandra Nair and Ms K R
Ushasree in Kerala in 1995, SEE processes and exports cashew
kernels.
SARDA RICE: CRISIL Keeps B+ Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Sarda Rice
and Oil Mills (SROM) continue to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 7.6 CRISIL B+/Stable (Issuer Not
Cooperating)
Term Loan 5.4 CRISIL B+/Stable (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SROM 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 SROM, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SROM
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SROM continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
SROM, a partnership firm, was formed in 1917; operations are
managed by Mr. Prakash Chandra Sarda and his son Mr. Karan Sarda.
The firm mills and processes paddy into rice, rice bran, broken
rice, and husk at its facility in Birbhum.
SHRESHT INDUSTRIES: CRISIL Keeps D Debt Rating in Not Cooperating
-----------------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Shresht
Industries Private Limited (SIPL) continues to be 'CRISIL D Issuer
Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 12.5 CRISIL D (Issuer Not
Cooperating)
CRISIL Ratings has been consistently following up with SIPL 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 SIPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SIPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SIPL continues to be 'CRISIL D Issuer Not Cooperating'.
SIPL, based in Hyderabad and incorporated in 2013, manufactures
water purifiers for domestic and industrial use, under the Shresht
RO brand. The company is promoted by Mr. Pattela Gaurav and his
family.
SPAHJ INDIA: CRISIL Keeps B Debt Ratings in Not Cooperating
-----------------------------------------------------------
CRISIL Ratings said the rating on bank facilities of Spahj India
Trading Private Limited (SITPL) continues to be 'CRISIL B/Stable
Issuer Not Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Proposed Working 20 CRISIL B/Stable (ISSUER NOT
Capital Facility COOPERATING)
CRISIL Ratings has been consistently following up with SITPL 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 SITPL, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SITPL
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SITPL continues to be 'CRISIL B/Stable Issuer Not Cooperating'.
SITPL was incorporated in 2019 by Anupama Haridas and Shreedharan
Pillai Haridas. The company is engaged in business of trading of
metals, non-metals, plant and machineries, used vehicles,
miscellaneous scrap, surplus items, etc in Andaman and Tamil Nadu.
Company has also ventured into the pharma sector focusing on
supplying pharma products to government and private institutions.
SUPRIMA COSMO: CRISIL Keeps B+ Debt Ratings in Not Cooperating
--------------------------------------------------------------
CRISIL Ratings said the ratings on bank facilities of Suprima
Cosmo- Tech (SCT) continue to be 'CRISIL B+/Stable Issuer Not
Cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Cash Credit 0.85 CRISIL B+/Stable (Issuer Not
Cooperating)
Long Term Loan 0.50 CRISIL B+/Stable (Issuer Not
Cooperating)
Proposed Cash 0.65 CRISIL B+/Stable (Issuer Not
Credit Limit Cooperating)
Proposed Long Term 8.00 CRISIL B+/Stable (Issuer Not
Bank Loan Facility Cooperating)
CRISIL Ratings has been consistently following up with SCT 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 SCT, which restricts CRISIL
Ratings' ability to take a forward looking view on the entity's
credit quality. CRISIL Ratings believes that rating action on SCT
is consistent with 'Assessing Information Adequacy Risk'. Based on
the last available information, the rating on bank facilities of
SCT continues to be 'CRISIL B+/Stable Issuer Not Cooperating'.
Established in 2001 as a proprietorship firm by Mr. Sunil Mahajan,
SCT manufactures baby care and personal care products. It is a 100%
export-oriented unit, exporting mainly to the US, Latin America,
and South America.
SWASTI TRADERS: CRISIL Moves D Debt Ratings to Not Cooperating
--------------------------------------------------------------
CRISIL Ratings has migrated the rating on bank facilities of Swasti
Traders to 'CRISIL D/CRISIL D Issuer not cooperating'.
Amount
Facilities (INR Crore) Ratings
---------- ----------- -------
Bill Discounting 13 CRISIL D (Issuer Not
Cooperating; Rating Migrated)
Cash Credit 5 CRISIL D (Issuer Not
Cooperating; Rating Migrated)
CRISIL Ratings has been consistently following up with Swasti
Traders for obtaining information through letter and email dated
October 11, 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 Swasti Traders, which restricts
CRISIL Ratings' ability to take a forward looking view on the
entity's credit quality. CRISIL Ratings believes that rating action
on Swasti Traders is consistent with 'Assessing Information
Adequacy Risk'. Therefore, on account of inadequate information and
lack of management cooperation, CRISIL Ratings has migrated the
rating on bank facilities of Swasti Traders to 'CRISIL D/CRISIL D
Issuer not cooperating'.
Swasti Traders trades in tiles such as glazed and polished
vitrified tiles. The firm started operations on April 1, 2021, and
it is owned and managed by Ashvinbhai S Patel from Sabarkanta,
Gujarat.
VINKEM LABS: Insolvency Resolution Process Case Summary
-------------------------------------------------------
Debtor: Vinkem Labs Limited
29, Shanti Colony, Anna Nagar
Chennai 600040
Insolvency Commencement Date: September 25, 2024
Court: National Company Law Tribunal, Chennai Bench
Estimated date of closure of
insolvency resolution process: March 24, 2025
Insolvency professional: Kavitha Surana
Interim Resolution
Professional: Kavitha Surana
S.U.S. Bhawan, No. 2,
Vimala Street, Ayyavoo Colony
Aminjikarai, Chennai 600029
Email: kavitha@mksurana.com
Last date for
submission of claims: October 9, 2024
=========
J A P A N
=========
FUNAI ELECTRIC: Chairman Files for Co's Court-Led Rehabilitation
----------------------------------------------------------------
The Japan Times reports that Funai Electric Chairperson Yoshiaki
Harada filed with the Tokyo District Court on Dec. 2 for court-led
rehabilitation of the company, despite the court's recent decision
to initiate bankruptcy procedures for the audio and video equipment
maker.
The start of the liquidation process was "a complete surprise," Mr.
Harada told a press conference in Tokyo.
"The Funai group can still get back on its feet," he said.
The Japan Times relates that the court decision came after one of
the company's directors filed a "quasi-voluntary bankruptcy"
petition in late October.
But Mr. Harada, a former Liberal Democratic Party lawmaker that
served as environment minister, immediately appealed the decision
to Tokyo High Court, arguing that the company was not insolvent.
At the news conference, Mr. Harada's team claimed that the director
in question was dismissed on Oct. 15 and, therefore, was
unqualified to seek the court order to begin the liquidation
process, The Japan Times relates. They also maintained that the
district court failed to recognize the fact that the entire Funai
group's net worth still stands at JPY20 billion.
Even if the Harada side shows its net worth assessment to Tokyo
District Court, however, it would be difficult to overturn the
court's liquidation decision, people familiar with
bankruptcy-related matters said.
According to The Japan Times, the company had expanded its sales
network in and outside Japan with the popularity of "Funai" brand
television sets and audio products, but lost competitiveness due to
its sluggish performance in the North American market and the rise
of Chinese manufacturers following the global financial crisis
triggered by the 2008 collapse of U.S. investment bank Lehman
Brothers.
About Funai Electric
Funai Electric Co., Ltd., -- https://www2.funai.co.jp/en/ --
manufactures audio-visual equipment such as televisions and
DVD/Blue-ray recorder. The Company also produces office equipment
such as printers and computer related equipment. The company
produces products as OEM (Original Equipment Manufacturer) as well
as sells at own brand worldwide.
As reported in the Troubled Company Reporter-Asia Pacific in late
October 2024, Funai Electric received court approval for its
bankruptcy plan on Oct. 24, credit research firm Teikoku Databank
said. The Japan Times, citing Teikoku Databank, related that Funai
Electric, based in Daito, Osaka Prefecture, had some JPY46.1
billion ($303.6 million) in liabilities.
TOKYO ELECTRIC: Moody's Alters Outlook on 'Ba1' CFR to Positive
---------------------------------------------------------------
Moody's Ratings has affirmed Tokyo Electric Power Company Holdings,
Inc.'s (TEPCO) Baseline Credit Assessment (BCA) of b2, Ba1
corporate family rating and Baa3 senior secured bond ratings. At
the same time, Moody's has changed the outlook to positive from
stable.
"The affirmation of the Ba1 CFR and outlook change to positive are
driven by TEPCO building its track record of paying
Fukushima-related costs and Moody's expectation that the government
will continue to support TEPCO in facilitating these payments,"
says Hiroe Yamamoto, a Moody's Ratings Analyst.
RATINGS RATIONALE
TEPCO's Ba1 CFR incorporates its b2 BCA and a four-notch uplift
reflecting the company's very high dependence on the Government of
Japan (A1 stable) and the high probability that the company will
continue to receive support from the government under Moody's Joint
Default Analysis (JDA) approach.
TEPCO became a government-related issuer (GRI) following the 2011
nuclear disaster at its Fukushima nuclear power plant. Without the
direct and indirect support from the central government and the
Nuclear Damage Compensation and Decommissioning Facilitation
Corporation (NDF), the company cannot meet the large obligations
associated with Fukushima. The government's strong involvement in
managing the company and capital injections indirectly from
taxpayers through the NDF support the company's credit quality.
TEPCO maintains its critical role as the provider of essential
electricity infrastructure around the Tokyo metropolitan area.
Further, its vertical integration and ownership of regulated
transmission and distribution (T&D) mitigate business risk.
TEPCO has progressed in paying Fukushima-related costs under the
well-established payment scheme, although Fukushima's recovery
costs are unpredictable and will likely increase as trial debris
removal provides more insights. TEPCO is also progressing on its
decommissioning efforts and has achieved the milestone of releasing
treated radioactive water. It also completed a trial to remove
debris in early November, the first step toward full-fledged
removal.
TEPCO's rating continues to benefit from the government's strong
involvement and support to pay the large Fukushima-related costs.
For example, the government promptly raised its budget by JPY1.9
trillion to JPY15.4 trillion in late 2023 when total payments
approached the government's budget to pre-fund compensation
payments. The government now estimates Fukushima-related costs will
rise to JPY23.4 trillion, including decommissioning, compensation,
decontamination and interim storage facilities costs. Despite the
rise in these costs, Moody's expect the government to continue to
support the company and its payment needs.
TEPCO revised its regulated and unregulated tariffs to allow
greater cost recoveries following the surge in fuel prices in
2022.
The long awaited restart of the Kashiwazaki-Kariwa nuclear power
plant is pending consent from the local governor. A restart will be
credit positive because it will allow the company to reduce its
fuel cost significantly and improve the company's earnings and cash
flow. The company estimates that restarting a nuclear reactor will
increase its profit by about JPY100 billion per unit.
Meanwhile, TEPCO's investments will remain elevated at least over
the next 2-3 years as it enhances its T&D capacities and ahead of
the nuclear restart. The high capital investments will prevent
material deleveraging. Moody's forecast TEPCO's cash flow to be low
in fiscal year ending March 2025 (fiscal 2024) because of a
temporary large Fukushima related payment but improve thereafter
over the next 12-18 months and estimate retained cash flow
(RCF)/net debt to be around 7%.
FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS
The positive outlook reflects Moody's expectation that TEPCO will
continue to pay the costs associated with Fukushima. The outlook
also incorporates Moody's expectation that the government will
continue to show support for the company in it is business plan
which is expected to be updated in the coming months. The company
will likely maintain a credit-supportive financial policy and be
able to maintain its profitability, although its debt will remain
high until its nuclear units restart.
Upward pressure on the ratings could occur if (1) TEPCO generates
steady cash flow, for example through the restart of its
Kashiwazaki-Kariwa nuclear plant; (2) it increases its profit
without raising its business risks; (3) the government expands its
support program and caps the company's Fukushima-related costs; or
(4) the company's credit metrics improve, such that its RCF/net
debt remains around the mid-teens in percentage terms, without
increasing its business risk.
A downgrade is unlikely in the near future, given the positive
outlook. However, Moody's could consider revising the outlook to
stable if (1) support from the government or banks for TEPCO
declines or (2) the company's profit declines such that it is
unable to generate sufficient funds to pay its Fukushima-related
costs.
The methodologies used in these ratings were Unregulated Utilities
and Unregulated Power Companies (Japanese) published in December
2023.
Tokyo Electric Power Company Holdings, Inc. which is headquartered
in Tokyo, is one of the 10 major electric utilities in Japan.
===============
M A L A Y S I A
===============
CAPITAL A: Targets January 2025 for PN17 Exit, Says CEO
-------------------------------------------------------
The Malaysian Reserve reports that Capital A Bhd, the holding
company of low-cost carrier AirAsia, has revised its timeline for
exiting its Practice Note 17 (PN17) status to January 2025.
In a statement on Nov. 28, Capital A CEO Tan Sri Tony Fernandes
confirmed that the company is on track to exit its financially
distressed status by January 2025, The Malaysian Reserve relates.
"We are thrilled to announce a significant milestone in our journey
to emerge from PN17 status. Having secured the shareholder approval
for the disposal of our aviation business, we are on track to
complete this transaction by January 2025.
"Concurrently, we are actively working on submitting and securing
approval for our regularisation plan, which is now simplified," he
said.
Initially, the company had set its target for the first half of
2025, The Malaysian Reserve notes.
Last October, Mr. Fernandes had said the company was aiming to exit
PN17 status by December this year.
However, in announcing its third-quarter financial results on Nov.
28, Capital A stated it is now aiming to exit PN17 status by the
first quarter of 2025.
In its latest bourse filing, Capital A explained, "The proposal to
dispose of our aviation business has received shareholders'
approval at the EGM and RCUIDS holder meeting in mid-October. The
group is now in its final stages where it needs to fulfil the
conditions precedents set forth in the proposal, while waiting for
approval from the high court."
The revised timeline highlights the company's accelerating pace in
meeting regulatory and operational requirements.
Despite previous adjustments, the company remains confident about
its position, stating, "Our goal is to complete the aviation
business disposal by January 2025 and aim to exit the PN17 status
by the first quarter of 2025, subject to the necessary waiver and
approvals from Bursa Malaysia and other regulatory authorities."
This updated timeline reflects Capital A's significant progress in
its corporate restructuring, including efforts to diversify its
revenue streams through its non-aviation businesses, which are
expected to play an increasingly important role in the group's
future growth.
According to The Malaysian Reserve, Capital A also reported strong
financial performance, with a net profit of RM1.64 billion for
3Q24, a significant turnaround from last year, driven by a foreign
exchange gain and increased travel demand. Revenue grew by 16.6%,
supported by both domestic and international travel.
In addition to its aviation business, Capital A is diversifying
into non-aviation sectors, with its logistics, engineering,
catering, and digital services arms all seeing growth. The company
expects strong performance in Q4, fueled by high demand during the
festive season and continued capacity recovery.
Looking ahead, Capital A expects strong performance in the fourth
quarter, typically its best period, with load factors exceeding 85%
driven by seasonal demand, The Malaysian Reserve relates.
The Aviation Group plans to recover 84% of its pre-COVID capacity
and will introduce new aircraft and launch 18 additional routes in
Malaysia, Thailand, and Indonesia, targeting markets in China,
India, and the year-end global festivities.
In terms of its non-aviation businesses, Capital A said it is
diversifying its revenue streams, The Malaysian Reserve adds.
About Capital A
Capital A Bhd, formerly known as AirAsia Group Bhd, provides
low-cost air carrier service. The company provides services on
short-haul, point-to-point domestic and international routes.
Capital A, headquartered in Malaysia, operates from hubs in
Malaysia, Thailand, Indonesia, Philippines and India. The airline's
Malaysia and Thailand operations are undertaken via AirAsia Bhd and
Thai AirAsia Co Ltd while AirAsia Group's Indonesia and Philippines
operations are managed under PT Indonesia AirAsia and Philippines
AirAsia Inc.
As reported in the Troubled Company Reporter-Asia Pacific on Jan.
18, 2022, Capital A is in the midst of formulating a plan to
regularize its financial condition to address its Practice Note 17
(PN17) status.
Capital A triggered the PN17 suspended criteria in July 2020 after
its external auditors, Ernst & Young PLT, issued an unqualified
audit opinion with material uncertainty relating to going concern
in respect of its audited financial statements for the financial
year ended Dec. 31, 2019 (FY19) and its shareholders' equity on a
consolidated basis was 50% or less of its share capital.
Capital A also triggered the prescribed criteria pursuant to
Paragraph 8.04 and Paragraph 2.1(a) of PN17 of Bursa's Main Market
Listing Requirements (Main LR), where AirAsia's shareholders'
equity on a consolidated basis was 25% or less of its share capital
and the shareholders' equity is less than MYR40 million based on
the audited financial statements for FY20.
Following relief measures introduced by Bursa and the Securities
Commission Malaysia, Capital A was not classified as a PN17 listed
issuer and was not required to comply with the obligations under
Paragraph 8.04 and PN17 of the Main LR for a period of 18 months
from the date of the first relief announcement, theedgemarkets.com
said. The date of the first relief announcement was July 8, 2020,
and the 18-month period ended on Jan. 7, 2022. Under the relief
measures, companies that triggered any of the suspended criteria
between April 17, 2020 and June 30, 2021, would not be classified
as a PN17 and Guidance Note 3 (GN3) company for 12 months.
=====================
N E W Z E A L A N D
=====================
D & Y COMPANY: Creditors' Proofs of Debt Due on Dec. 27
-------------------------------------------------------
Creditors of D & Y Company Propriety Limited and Taonga
Developments Limited are required to file their proofs of debt by
Dec. 27, 2024, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on Nov. 27, 2024.
The company's liquidators are:
Steven Khov
Kieran Jones
Khov Jones Limited
PO Box 302261
North Harbour
Auckland 0751
DU VAL: Charlotte and Kenyon Clarke's Rent Payments End
-------------------------------------------------------
BusinessDesk reports that receivers made the last rental payment on
Du Val founders Charlotte and Kenyon Clarke's Remuera home on
November 27, and that would be it, the High Court heard on December
3.
The Clarkes are personally in receivership following the NZD240
million collapse of the Auckland property development group in
August. And 70 Du Val entities are in statutory management.
According to BusinessDesk, receivers and statutory managers PwC
have asked the court to relieve them of liability for the Clarkes'
rent, as would normally be the case in a receivership.
BusinessDesk says Charlotte Clarke, representing herself, cried and
told the court that ceasing to pay the rent on the couple's
Victoria Ave home would further "destabilise" her family. She said
they were being hounded by the media, and ongoing public scrutiny
of their situation was "disgusting".
About Du Val Group
Du Val Group -- https://duval.co.nz/ -- is a developer of
large-scale residential projects in New Zealand, renowned for their
innovative design.
As reported in the Troubled Company Reporter-Asia Pacific, the
Financial Markets Authority (FMA) on Aug. 21, 2024, confirmed that
the Governor-General, on the advice of the Minister of Commerce and
Consumer Affairs given in accordance with a recommendation from the
FMA, declared a number of entities within the Du Val group be
placed in statutory management under the terms of the Corporations
(Investigation and Management) Act 1989 (the Corporations Act).
Statutory management for these entities was announced by the
Minister on Aug. 21, effective immediately. John Fisk, Stephen
White and Lara Bennett of PwC New Zealand, who were appointed as
interim receivers on Aug. 2, 2024, have been appointed as the
Statutory Managers.
J M CONSTRUCTION: Creditors' Proofs of Debt Due on Dec. 24
----------------------------------------------------------
Creditors of J M Construction 2024 Limited are required to file
their proofs of debt by Dec. 24, 2024, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on Nov. 25, 2024.
The company's liquidator is:
Brenton Hunt
PO Box 13400
City East
Christchurch 8141
MAX FORTUNA: Court to Hear Wind-Up Petition on Dec. 13
------------------------------------------------------
A petition to wind up the operations of Max Fortuna 3 Limited will
be heard before the High Court at Auckland on Dec. 13, 2024, at
10:00 a.m.
Jeffrey Gray Ussher filed the petition against the company on Oct.
15, 2024.
The Petitioner's solicitor is:
Jeffrey Gray Ussher
United Legal Limited
110 Carlton Gore Road
Newmarket
Auckland 1023
RYCAM AG: Creditors' Proofs of Debt Due on Jan. 31
--------------------------------------------------
Creditors of Rycam AG Limited are required to file their proofs of
debt by Jan. 31, 2025, to be included in the company's dividend
distribution.
The High Court at Hamilton appointed Wendy Somerville and Malcolm
Hollis of PwC as liquidators on Nov. 25, 2024.
SEMI-PRO: Court to Hear Wind-Up Petition on Dec. 6
--------------------------------------------------
A petition to wind up the operations of Semi-Pro Limited will be
heard before the High Court at Auckland on Dec. 6, 2024, at 10:45
a.m.
The Commissioner of Inland Revenue filed the petition against the
company on Oct. 10, 2024.
The Petitioner's solicitor is:
Cloete Van Der Merwe
Inland Revenue, Legal Services
5 Osterley Way
Manukau City
Auckland 2104
SOLARZERO NZ: Owes More Than NZD40MM to Creditors and Staff
-----------------------------------------------------------
The New Zealand Herald reports that the first liquidator's report
on SolarZero NZ revealed the company owes more than NZD40 million
to more than 700 creditors and staff.
The Kiwi-founded solar and battery firm ceased operations last week
and was placed in voluntary liquidation by its sole shareholder, an
investment fund controlled by US private equity BlackRock.
SolarZero NZ offers customers solar power systems. SolarZero is
owned by US private equity firm BlackRock and has 160 employees
across offices in Auckland, Christchurch, and Wanaka.
Russell Moore and Stephen Keen of Grant Thornton were appointed as
the company's liquidators in late November.
=================
S I N G A P O R E
=================
CFG PERU: Creditors' Proofs of Debt Due on Dec. 29
--------------------------------------------------
Creditors of CFG Peru Investments Pte. Ltd. are required to file
their proofs of debt by Dec. 29, 2024, to be included in the
company's dividend distribution.
The company commenced wind-up proceedings on Nov. 22, 2024.
The company's liquidator is:
David Chew Hock Lin
c/o DHC Capital Pte Ltd
1 Raffles Quay #49-00
Singapore 048583
DASIN RETAIL: Seeks Court Order to Restrain Proceedings for 6 Mos.
------------------------------------------------------------------
The Business Times reports that the trustee-manager of Dasin Retail
Trust on December 2 said it has filed an application under the
Insolvency, Restructuring and Dissolution Act to restrain
proceedings against it for six months.
BT relates that under the moratorium, no resolution can be passed
for the winding-up of the company, and no proceedings can be
commenced or continued against it.
There will also be no appointment of a receiver or manager over any
property, or to undertake the trustee-manager.
Additionally, there will be no enforcement order or other legal
process against the trust, enforcement action to repossess assets
held by the trust, or enforcement of lease violations without court
permission.
For a period of 30 days after the trustee-manager's application –
or until the court decides on the application, whichever comes
first – no winding-up orders can be made. Nor can any receivers
be appointed, and legal or enforcement actions cannot be issued or
executed, BT relays.
About Dasin Retail
Dasin Retail Trust's principal investment mandate is to invest in,
own or develop land, uncompleted developments and income-producing
real estate in Greater China (comprising People's Republic of
China, Hong Kong and Macau), used primarily for retail purposes, as
well as real estate-related assets, with an initial focus on retail
malls. The portfolio of Dasin Retail Trust comprises seven retail
malls strategically located in Foshan, Zhuhai and Zhongshan Cities
in PRC. Dasin Retail Trust is managed by Dasin Retail Trust
Management Pte. Ltd. ("Trustee-Manager"). The Trustee-Manager's key
objectives are to provide Unitholders of Dasin Retail Trust with an
attractive rate of return on their investment through regular and
stable distributions to Unitholders and to achieve long-term
sustainable growth in DPU and net asset value per Unit, while
maintaining an appropriate capital structure for Dasin Retail
Trust.
As reported in the Troubled Company Reporter-Asia Pacific in early
September 2023, Dasin Retail Trust has received a notice declaring
that an event of default has occurred under its onshore syndicated
term loan facility of up to CNY400 million (SGD74.6 million).
Issued by the Bank of China's Zhongshan branch as the facility and
security agent of the onshore facility, the bank is claiming an
outstanding sum of CNY355.2 million plus interest after the term
loan matured on Dec. 31, 2022, according to the Business Times.
This interest shall go on accruing until full payment is made by
Dasin Retail Trust's subsidiary, Zhongshan Yuanxin Commercial
Property Management, noted the trustee-manager late on Sept. 4,
2023.
Notices of these facilities were dated Aug. 31, and issued to the
trust's subsidiaries, including Zhongshan Yuanxin.
According to BT, Dasin's trustee-manager said it is continuing to
explore available options for the restructuring exercise with
lenders under its various facilities.
BT added the announcement comes weeks after Dasin Retail Trust
received separate notices of default occurring under its Singapore
dollar and US dollar-denominated offshore syndicated term loan
facility of up to SGD430 million, as well as a Singapore dollar and
Hong Kong dollar-denominated offshore syndicated term loan facility
of up to SGD106.6 million.
EDGE INSURANCE: Commences Wind-Up Proceedings
---------------------------------------------
Members of Edge Insurance Brokers (Singapore) Pte. Ltd. on Nov. 22,
2024, passed a resolution to voluntarily wind up the company's
operations.
The company's liquidator is:
Ng Hoe Kiat Keith
c/o 7500A Beach Road
#05-303/304 The Plaza
Singapore 199591
HGC ENGINEERING: Commences Wind-Up Proceedings
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Members of HGC Engineering & Construction Pte. Ltd. and HGC
Plumbing & Sanitary Works Ptd Ltd. on Nov. 22, 2024, passed a
resolution to voluntarily wind up the company's operations.
The company's liquidator is Seah Chee Wei of Rock Stevenson Pte.
Ltd.
NANKO SPE: Creditors' Proofs of Debt Due on Dec. 30
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Creditors of Nanko Spe 1 Pte. Ltd., Nanko Pte. Ltd., and NKA Japan
21 Pte. Ltd. are required to file their proofs of debt by Dec. 30,
2024, to be included in the company's dividend distribution.
The companies commenced wind-up proceedings on Nov. 21, 2024.
The companies' liquidator is:
Chek Khai Juat
c/o Tricor Singapore Pte. Ltd.
9 Raffles Place
#26-01 Republic Plaza
Singapore 048619
ZD SINGAPORE: Commences Wind-Up Proceedings
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Members of ZD Singapore Pte. Ltd. on Nov. 15, 2024, passed a
resolution to voluntarily wind up the company's operations.
The company's liquidators are:
Luke Anthony Furler
Tan Kim Han
Quantuma (Singapore)
137 Amoy Street
#02-03, Far East Square
Singapore 049965
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