* The issuer did not co-operate; based on best available information.
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
Rating Rationale
Acuité has downgraded the long-term rating to 'ACUITE B+' (read as ACUITE B plus) from ‘ACUITE BB-’ (read as ACUITE double B minus) on the Rs. 43.00 crore bank facilities of A Shama Rao Foundation (ASRF) on account of information risk. The rating continues to be flagged as "Issuer Not-Cooperating" and is based on the best available information.
About the Company
Established in 1988 as a trust, A Shama Rao Foundation is a part of Srinivas Group (SG) and CA.A.Raghavendra Rao is the founder. The trust manages 18 educational institutes and offers various programmes in Science, Engineering, Management, and in Health Sciences in three campuses in Mangalore with about 12,000 students, 76 courses, and 3000 staff members. SG was established in 1988 with the opening of its first college, Srinivas College of Hotel Management and has a presence in education since then. SG has its own private university, Srinivas University, approved by the government. The Colleges are located on three campuses. First campus is located in Pandeshwar (1.5 Acres of land with 8,500 Sq. Mts. of buildup area), the heart of downtown Mangalore, the business and financial centre of Western Karnataka. The other Campus is located at Valachil (35 Acres of land with 60,000 Sq. Mts. of buildup area), nearly 10 KM from Mangalore along Mangalore Bangalore Highway. The third campus is located at Mukka, Surathkal (40 Acres of land and about 140000 Sq.Mts. built-up area).
Unsupported Rating
Not Applicable
Non-cooperation by the issuer/borrower:
Acuité has been requesting for data, information and undertakings from the rated entity for conducting surveillance & review of the rating. However, the issuer/borrower failed to submit such information before the due date. Acuité believes that information risk is a critical component in such ratings, and non-cooperation by the issuer along with unwillingness to provide information could be a sign of potential deterioration in its overall credit quality. This rating is, therefore, being flagged as “Issuer not-cooperating”, in line with prevailing SEBI regulations and Acuité’s policies.
Limitation regarding information availability
Rating Sensitivity
Potential triggers (individual or collective) for an upward rating action:
Not Applicable
Potential triggers (individual or collective) for a downward rating action:
Not Applicable
Liquidity Position
"No information provided by the issuer / available for Acuite to comment upon."
ACUITE BB-
(Downgraded & Issuer not co-operating* from ACUITE BB)
Proposed Term Loan
Long Term
1.50
ACUITE BB-
(Downgraded & Issuer not co-operating* from ACUITE BB)
14 Dec 2023
Term Loan
Long Term
41.50
ACUITE BB
(Reaffirmed & Issuer not co-operating*)
Proposed Term Loan
Long Term
1.50
ACUITE BB
(Reaffirmed & Issuer not co-operating*)
* The issuer did not co-operate; based on best available information.
Lender’s Name
ISIN
Facilities
Listing Status
Regulated By
Date Of Issuance
Coupon Rate
Maturity Date
Quantum (Rs. Cr.)
Complexity Level
Rating
Not Applicable
Not avl. / Not appl.
Proposed Term Loan
Unlisted
RBI
Not avl. / Not appl.
Not avl. / Not appl.
Not avl. / Not appl.
1.50
Simple
ACUITE B+ | Downgraded | Issuer not co-operating* ( from ACUITE BB- )
BANK OF MAHARASHTRA
Not avl. / Not appl.
Term Loan
Unlisted
RBI
Not avl. / Not appl.
Not avl. / Not appl.
Not avl. / Not appl.
41.50
Simple
ACUITE B+ | Downgraded | Issuer not co-operating* ( from ACUITE BB- )
* The issuer did not co-operate; based on best available information.
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
