Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 2.00 ACUITE B+ | Reaffirmed | Issuer not co-operating* -
Bank Loan Ratings 8.00 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding 10.00 - -
 
Rating Rationale

­Acuité has reaffirmed the long term rating of ‘ACUITE B+ ’ (read as ACUITE B plus) and short term rating of ‘ACUITE A4’ (read as ACUITE A four)’ on the Rs. 10.00 crore bank facilities of Bismillah Timber Private Limited (BTPL). The rating continues to be flagged as “Issuer Not Co-operating” and is based on best available information.


About the Company

­Chennai-based Bismillah Timber Private Limited (BTPL) was incorporated in 2004 by Mr. V.M.M. Sharfudeen and Mr. Abdulla Parvin. The company derives revenue primarily from trading in timber, imports timber logs from Malaysia, Singapore, South Africa and South America. 

 
About the Group

­Bismillah Timber Private Limited (BTPL) and Emperor Timber Trader Private Limited (ETTPL) incorporated in 2004 and 1997 respectively, derive revenue primarily from trading in timber. The group’s operations are managed by its promoters Mr. V.M.M. Sharfudeen and Mr. Naushad Ali. The group imports timber logs from Malaysia, Singapore, South Africa and South America.

 
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 rating is 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 22 (Actual) FY 21 (Actual)
Operating Income Rs. Cr. 9.63 8.82
PAT Rs. Cr. 0.02 0.02
PAT Margin (%) 0.17 0.18
Total Debt/Tangible Net Worth Times (45.40) (31.09)
PBDIT/Interest Times 1.20 1.36
Status of non-cooperation with previous CRA
­Not Applicable
 
Any other information
­None
 
Applicable Criteria
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.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

­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.

 

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
13 Feb 2023 Cash Credit Long Term 2.00 ACUITE B+ | Not Applicable (Reaffirmed & Issuer not co-operating*)
Letter of Credit Short Term 8.00 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
19 Nov 2021 Letter of Credit Short Term 8.00 ACUITE A4 (Downgraded & Issuer not co-operating*)
Cash Credit Long Term 2.00 ACUITE B+ | Not Applicable (Downgraded & Issuer not co-operating*)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
Indian Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
Indian Bank Not avl. / Not appl. Letter of Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 8.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*

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