Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 7.00 ACUITE B- | Downgraded | Issuer not co-operating* -
Bank Loan Ratings 4.50 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding 11.50 - -
Total Withdrawn 0.00 - -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 minus) from 'ACUITE B' (read as ACUITE B) and reaffirmed the short term rating of ‘ACUITE A4’ (read as ACUITE A four) on the Rs. 11.50 crore bank facilities of Balaji Rice Mill (Andhra Pradesh) on account of information risk. The rating continues to be flagged as “Issuer Not Co-operating” and is based on best available information. 


About the Company

­Established in 1983, as a partnership firm, Balaji Rice Mill (Andhra Pradesh) is engaged in processing of raw and boiled rice. Based in Palakollu (Andhra Pradesh), the entity is promoted by Mr. Jagannadha Raju, Mr. Rama Koti Raju, Mr. Dharma Raju and Mr. Ramachandra Raju. The entity has sortex and milling installed capacity of 150 Tons per Day (TPD).

 
About the Group

­The group consists of Sri Satyalakshmi Rice Mill, Sri Jagannadha Surya Lakshmi Rice Mill and Balaji Rice Mill (Andhra Pradesh). Established in 1984, as a partnership firm, Sri Satyalakshmi Rice Mill is engaged in processing of raw and boiled rice. Based in Palakollu (Andhra Pradesh), the entity is promoted by Mr. Jagannadha Raju, Mr. Rama Koti Raju, Mr. Dharma Raju and Mr. Ramachandra Raju. The entity has sortex and milling installed capacity of 6 Tons per hour (TPH). ­Established in 1981, as a partnership firm, Sri Jagannadha Surya Lakshmi Rice Mill (SJSLRM) is engaged in processing of raw and boiled rice. Based in Palakollu (Andhra Pradesh), the entity is promoted by Mr. Jagannadha Raju, Mr. Rama Koti Raju, Mr. Dharma Raju and Mr. Ramachandra Raju. The entity has sortex and milling installed capacity of 6 Tons per hour (TPH). Established in 1983, as a partnership firm, Balaji Rice Mill (Andhra Pradesh) is engaged in processing of raw and boiled rice. Based in Palakollu (Andhra Pradesh), the entity is promoted by Mr. Jagannadha Raju, Mr. Rama Koti Raju, Mr. Dharma Raju and Mr. Ramachandra Raju. The entity has sortex and milling installed capacity of 150 Tons per Day (TPD).

 
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

­"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 19 (Provisional) FY 18 (Actual)
Operating Income Rs. Cr. 63.46 55.99
PAT Rs. Cr. 0.10 0.06
PAT Margin (%) 0.16 0.11
Total Debt/Tangible Net Worth Times 1.54 1.23
PBDIT/Interest Times 1.14 1.12
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
• Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm

Note on complexity levels of the rated instrument

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
22 Jul 2024 Bank Guarantee (BLR) Short Term 4.50 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 7.00 ACUITE B (Downgraded & Issuer not co-operating* from ACUITE B+)
26 Apr 2023 Bank Guarantee (BLR) Short Term 4.50 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 7.00 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
01 Feb 2022 Bank Guarantee (BLR) Short Term 4.50 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 7.00 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
Indian Bank Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 4.50 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
Indian Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 7.00 Simple ACUITE B- | Downgraded | Issuer not co-operating* ( from ACUITE B )
* The issuer did not co-operate; based on best available information.

Disclosure of list of non-cooperative issuers
• Listed :- https://www.acuite.in/Non-Cooperative_Issuer_Listed.php
• Unlisted :- https://www.acuite.in/Non-Cooperative_Issuer_Unlisted.php


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