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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 12.85 | ACUITE D | Reaffirmed | Issuer not co-operating* | - |
| Total Outstanding | 12.85 | - | - |
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Rating Rationale |
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Acuité has reaffirmed the long term rating of ‘ACUITE D’ (read as ACUITE D) on the Rs. 12.85 crore bank facilities of Essar Agrotech Limited (EAL). The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information. |
| About the Company |
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Essar Agrotech Limited (EAL) was incorporated in 1993 and is a part of Essar Group, a leading industrial group with a significant presence in Energy, Infrastructure, Metals & Mining and Service industries. EAL is currently into production and supplying of Dutch variety of roses for the domestic market through its manufacturing plant situated in Lonavla, Maharashtra. The present directors of the company are Mr. Kamlesh Kishor Karle, Mr. Ravikiran Dinkarrao Tribhuwan, Mr. Vasudha Prashant Ruia and Mr. Ashish Vijay Kumar Rajgarhia. |
| Unsupported Rating |
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Not Applicable |
| Non-cooperation by the issuer/borrower: |
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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 due date.Acuité believes that information risk is a critical component in such ratings, and noncooperation by the issuer along with unwillingness to provide information could be a sign of potential deterioration in its overall credit quality. |
| Limitation regarding information availability: |
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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 |
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"No information provided by the issuer / available for Acuite to comment upon." |
| Liquidity Position |
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"No information provided by the issuer / available for Acuite to comment upon." |
| Outlook |
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Not Applicable |
| Other Factors affecting Rating |
| None |
| Particulars | Unit | FY 23 (Actual) | FY 22 (Actual) |
| Operating Income | Rs. Cr. | 3.18 | 4.86 |
| PAT | Rs. Cr. | (6.90) | (11.14) |
| PAT Margin | (%) | (216.62) | (229.36) |
| Total Debt/Tangible Net Worth | Times | 0.00 | 0.00 |
| PBDIT/Interest | Times | (20.64) | (9.94) |
| Status of non-cooperation with previous CRA |
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Not Applicable |
| Any other information |
| None |
| Applicable Criteria |
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• 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 |
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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 categorisa?on of the instruments across the three categories is based on factors like variability of the returns to the investors, uncertainty in cash flow pa?erns, number of counterpar?es 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 Ra?ng Criteria “Complexity Level Of Financial Instruments” on www.acuite.in |
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