Press Release

Press Release

November 26, 2025

MAS ADDITIVES PRIVATE LIMITED
Rating Upgraded

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	5.00	ACUITE BBB- \| Stable \| Upgraded	-
Bank Loan Ratings	11.00	-	ACUITE A3+ \| Upgraded
Total Outstanding	16.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuité has upgraded its long-term rating to ‘ACUITE BBB-’ (read as ACUITE Triple B Minus) from 'ACUITE BB+' (read as ACUITE Double B Plus) and short term rating to 'ACUITE A3+' (read as ACUITE A Three Plus) from 'ACUITE A4+' (read as ACUITE A Four Plus) on the Rs.16.00 Cr. bank facilities of Mas Additives Private Limited (MAPL). The outlook is ‘Stable’.

Rationale for upgrade
The rating upgrade takes into account the growing scale of operations, and profitability of the Company. The rating also factors the established track record of operations of the company, along with the long-standing experience of the promoters in the chemical industry. The financial risk profile of the company is marked by a healthy net worth and below unity gearing, supported by comfortable debt protection metrics, along with an adequate liquidity position. However, the rating remains constrained on account of moderate working capital management, and intensive competition in the industry coupled with the volatility in prices.

About the Company

MAS Additives Private Limited (MAPL) incorporated in 2008, is a Maharashtra based company promoted by Mr. Manish Shah and family engaged as authorized agent for Kaneka Corporation, Akdeniz Chemson Additives (Zhejiang) Co. Limited, Mitsui Chemicals India Private Limited, Kerry Ingredients (M) SDN.BHD amongst other for trading of additives polymer chemicals. Earlier, MAPL was MAS Chemicals and was formed as proprietorship concern in the year 1992, subsequently converted into private limited in the year 2008.

Unsupported Rating

Not Applicable

Analytical Approach

Acuité has considered the standalone business and financial risk profile of Mas Additives Private Limited to arrive at the rating.

Key Rating Drivers

Strengths

Established track record of operations along with experienced management
MAS Additives Private Limited (MAPL), incorporated in 2008 in Mumbai by Mr. Manish Shah and family, is engaged in trading various chemicals, primarily polymer additives used in PVC films, plastic pipes, and other plastic products. The promoters possess over two decades of experience in the trading business. The extensive experience of the promoters has helped the group to established strong ties with its suppliers and customers. The company is an authorized distributor for companies such as Mitsui Chemicals India Private Limited and Kaneka Corporation amongst others.
Acuité believes the company shall continue to benefit from its experienced management and established relationships with customers and suppliers.

Improving scale of operations:
The company’s revenue increased by ~18%, reaching to Rs. 133.77 Cr. as of March 31, 2025, compared to Rs. 113.02 Cr. in the previous year. The improvement in the revenue is primarily driven by improvement in price realisation. The operating profit margin of the company stood at 5.52% in FY2025 against 1.81% in FY2024. The improvement in operating profit margin is due to improvement in price realization and marginal decline in operating expenses. Further, the PAT margin stood at 5.44 percent in FY2025 against 3.26 percent in FY2024.
Acuité believes that going forward, the sustenance of growth in revenues while maintaining its profitability margins will remain a key rating sensitivity.

Healthy Financial Risk Profile
The financial risk profile of the company is healthy, marked by healthy net worth, debt protection metrics, and below unity gearing. The net worth of the company has improved to Rs. 57.85 Cr. as on March 31st, 2025, against Rs. 50.57 Cr. as on March 31st, 2024, owing to accretion of profit into reserves. The gearing level of company stood below unity at 0.06 times as on March 31, 2025, as compared to 0.03 times as on March 31, 2024. The Total Outside Liabilities/Tangible Net Worth (TOL/TNW) stood at 0.43 times as on March 31, 2025 as against 0.45 times as on March 31,2024. The debt protection metrices of the company remain healthy marked by Interest Coverage ratio of 30.55 times in FY2025 as against 22.66 times in FY2024 and debt service coverage ratio (DSCR) of 23.57 times for March 31, 2025 as against 18.10 times in FY2024. The net cash accruals to total debt (NCA/TD) stood at 2.39 times as on March 31, 2025 as compared to 3.05 times as on March 31, 2024.
Acuité believes that the financial risk profile will remain healthy in the absence of any major debt funded capital expenditure plan over the medium term.

Weaknesses

Moderate Working Capital Management:
The company have moderate working capital cycle as evident by Gross Current Asset (GCA) Days of 98 days as on March 31, 2025 as against 126 days as on March 31, 2024. The GCA days improved on account of decline in debtor days. The debtor days stood at 49 days in FY2025 as against 69 days in FY2024. The company offers a credit period ranging from 45 to 60 days. The inventory days stood at 26 days in FY2025 as compared to 25 days in FY2024. Further, the creditor days stood at 52 days in FY2025 as compared to 66 days in FY2024. The average utilization of the fund based working capital limits of the company remained at 24% in last seven months ended Oct 2025.
Going ahead, the working capital operations of the company are expected to remain at the similar levels over the medium term.

Highly competitive and fragmented industry
Provided the commodity nature of the Chemical that the company deals in, the industry is highly competitive and fragmented with several small to mid-size players in the market. The company faces intensive competition from peers and international players. This limits the bargaining power of the company and limits its profitability. Furthermore, the profitability of the company is susceptible to fluctuations in chemical pricing.

Rating Sensitivities

Movement in revenue and profitability
Movement of financial risk profile
Movement in working capital cycle

Liquidity Position

Adequate

The liquidity profile of the company is adequate marked by sufficient net cash accruals of Rs. 7.64 Cr. in FY 2025 against absence of debt repayment obligation for the same year. Going ahead, the company is expected to continue to generate steady cash accruals against its nil repayment obligations over the medium-term. It’s working capital operations are efficient and the reliance on working capital limits stood low at ~23.84% for the last 07 months ended Oct 2025. The current ratio stood at 1.93 times as on March 31, 2025. Further, the company maintained unencumbered cash and bank balance of Rs. 4.67 Cr. as on March 31, 2025. Acuité believes that going forward the company will maintain adequate liquidity position owing to steady accruals and buffer available from the unutilized working capital limits.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	133.77	113.02
PAT	Rs. Cr.	7.27	3.69
PAT Margin	(%)	5.44	3.26
Total Debt/Tangible Net Worth	Times	0.06	0.03
PBDIT/Interest	Times	30.55	22.66

Status of non-cooperation with previous CRA (if applicable)

Not Applicable

Any other information

None

Applicable Criteria

• Default Recognition :- https://www.acuite.in/view-rating-criteria-52.htm
• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.htm

Note on complexity levels of the rated instrument

In order to inform the investors about complexity of instruments, Acuité has categorized such instruments in three levels: Simple, Complex and Highly Complex. Acuite’s categorisation of the instruments across the three categories is based on factors like variability of the returns to the investors, uncertainty in cash flow patterns, number of counterparties and general understanding of the instrument by the market. It has to be understood that complexity is different from credit risk and even an instrument categorized as 'Simple' can carry high levels of risk. For more details, please refer Rating Criteria “Complexity Level Of Financial Instruments” on www.acuite.in.

Rating History

Date	Name of Instruments/Facilities	Term	Amount (Rs. Cr)	Rating/Outlook
28 Aug 2024	Letter of Credit	Short Term	11.00	ACUITE A4+ (Upgraded from ACUITE A4)
	Letter of Credit	Short Term	8.00	ACUITE A4+ (Upgraded & Withdrawn from ACUITE A4)
	Cash Credit	Long Term	5.00	ACUITE BB+ \| Stable (Assigned)
11 Aug 2023	Letter of Credit	Short Term	19.00	ACUITE A4 (Reaffirmed & Issuer not co-operating*)
24 May 2022	Letter of Credit	Short Term	19.00	ACUITE A4 (Reaffirmed & Issuer not co-operating*)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
Saraswat Bank	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE BBB- \| Stable \| Upgraded ( from ACUITE BB+ )
Saraswat Bank	Not avl. / Not appl.	Letter of Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	11.00	Simple	ACUITE A3+ \| Upgraded ( from ACUITE A4+ )

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Sahil Sawant
Associate Analyst - Rating Operations

Contact details exclusively for investors and lenders

Mob: +91 8591310146
Email ID: analyticalsupport@acuite.in

About Acuité Ratings & Research

Acuité is a full-service Credit Rating Agency registered with the Securities & Exchange Board of India (SEBI). The company received RBI Accreditation as an External Credit Assessment Institution (ECAI) for Bank Loan Ratings under BASEL-II norms in the year 2012. Acuité has assigned ratings to various securities, debt instruments and bank facilities of entities spread across the country and across a wide cross section of industries. It has its Registered and Head Office in Kanjurmarg, Mumbai.

Disclaimer: An Acuité rating does not constitute an audit of the rated entity and should not be treated as a recommendation or opinion that is intended to substitute for a financial adviser's or investor's independent assessment of whether to buy, sell or hold any security. Ratings assigned by Acuité are based on the data and information provided by the issuer and obtained from other reliable sources. Although reasonable care has been taken to ensure that the data and information is true, Acuité, in particular, makes no representation or warranty, expressed or implied with respect to the adequacy, accuracy or completeness of the information relied upon. Acuité is not responsible for any errors or omissions and especially states that it has no financial liability whatsoever for any direct, indirect or consequential loss of any kind, arising from the use of its ratings. Ratings assigned by Acuité are subject to a process of surveillance which may lead to a revision in ratings as and when the circumstances so warrant. Please visit our website (www.acuite.in) for the latest information on any instrument rated by Acuité. Please visit https://www.acuite.in/faqs.htm to refer FAQs on Credit Rating.

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