Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 7.00 ACUITE B | Downgraded | Issuer not co-operating* -
Total Outstanding 7.00 - -
Total Withdrawn 0.00 - -
* The issuer did not co-operate; based on best available information.
 
Rating Rationale

­Acuité has downgraded the long-term rating to ‘ACUITE B’ (read as ACUITE B) from 'ACUITE B+' (read as ACUITE B plus) on the Rs. 7.00 crore bank facilities of Advanced Enterprises 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 2003, Advanced Enterprises is a Haryana-based partnership firm promoted by Mr. Hemant Khera and Mrs. Seema Khera. The firm is engaged in manufacturing of industrial gears and gearboxes. The firm diversified its product line to manufacturing machines for pvc pipes and profiles. The firm has its manufacturing unit located at Bahadurgarh, Haryana with installed capacity of manufacturing 2000 units of gear case per annum and 24 units of pvc pipe machines per annum.

 
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:

­The rating is based on information available from sources other than the issuer/borrower (in the absence of information provided by the issuer/borrower). Acuité endeavored to gather information about the entity/industry from the public domain. Therefore, Acuité cautions lenders and investors regarding the use of such information, on which the indicative credit ratingis based.

 
Rating Sensitivity

­"No information provided by the issuer / available for Acuite to comment upon."

 
Liquidity Position

­"No information provided by the issuer / available for Acuite to comment upon."

 
Outlook

­Not Applicable

 
Other Factors affecting Rating

­None

 

Particulars Unit FY 18 (Provisional) FY 17 (Actual)
Operating Income Rs. Cr. 4.28 4.87
PAT Rs. Cr. 0.15 0.15
PAT Margin (%) 3.48 3.09
Total Debt/Tangible Net Worth Times 0.48 0.77
PBDIT/Interest Times 6.94 5.13
Status of non-cooperation with previous CRA

­Not Applicable

 
Any other information

­None

 
Applicable Criteria
• Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm
• 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

Note on complexity levels of the rated instrument

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
02 Aug 2023 Cash Credit Long Term 1.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Term Loan Long Term 4.60 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Proposed Long Term Bank Facility Long Term 0.90 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
16 May 2022 Cash Credit Long Term 1.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Term Loan Long Term 4.60 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Proposed Long Term Bank Facility Long Term 0.90 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
09 Feb 2021 Cash Credit Long Term 1.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Proposed Long Term Bank Facility Long Term 0.90 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Term Loan Long Term 4.60 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
* The issuer did not co-operate; based on best available information.
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
Small Industries Development Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.50 Simple ACUITE B | Downgraded | Issuer not co-operating* ( from ACUITE B+ )
Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.90 Simple ACUITE B | Downgraded | Issuer not co-operating* ( from ACUITE B+ )
Small Industries Development Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 4.60 Simple ACUITE B | Downgraded | Issuer not co-operating* ( from ACUITE B+ )
* The issuer did not co-operate; based on best available information.

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