Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 10.00 ACUITE BB | Reaffirmed | Issuer not co-operating* -
Total Outstanding Quantum (Rs. Cr) 10.00 - -
 
Rating Rationale
­Acuité has reaffirmed the long-term rating of ‘ACUITE BB’ (read as ACUITE double B) on the Rs.10.00 crore bank facilities of Firstchoice Ready Mix Private Limited (FRMPL).

This rating is now an indicative rating and is based on the best available information.

About the Company
­Firstchoice Ready Mix Private Limited (FRMPL) is a Hyderabad, Telangana based company established in 2014. The company is engaged in the manufacturing of Ready Mix Concrete (RMC), Admixture Chemicals (AC), Dry Mix Mortar (DMM), Block Jointing Mortars, Ready Plasters, Wall Putty, Tile Adhesive, Grouts, Epoxy, surface treatment products. FRMPL is specialize in masonry construction, walling, and paving. Company also have wide selection of materials that can be used for home improvement projects of any size or scope. FRMPL has state-of-the-art RMC plants in Hyderabad. In addition, it has diversified the business with two more state-of-the-art manufacturing facilities of Tile and Stone Installation Solutions & Construction Chemicals in Hyderabad and Kolkata.
 
Non-cooperation by the issuer/borrower
­Acuité has been requesting for No Default Statements (NDS); however, despite multiple requests; the Company’s management has remained non-cooperative and not submitted the NDS for the preceding 03 consecutive months. Acuité has also 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 noncooperation 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 has endeavoured 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 Sensitivities
­No information provided by the issuer / available for Acuite to comment upon.
 
All Covenants
­None
 
Liquidity Position
No information provided by the issuer / available for Acuite to comment upon.­
 
Outlook
­None
 
Other Factors affecting Rating
­None
 

Particulars Unit FY 23 (Provisional) FY 22 (Actual)
Operating Income Rs. Cr. 58.35 45.66
PAT Rs. Cr. 0.65 0.01
PAT Margin (%) 1.11 0.03
Total Debt/Tangible Net Worth Times 1.69 1.71
PBDIT/Interest Times 3.58 2.47
Status of non-cooperation with previous CRA
­Not Applicable
 
Any other information
­Acuité is yet to receive the latest No Default Statement (NDS) from the rated entity, despite repeated requests and follow-ups.
 
Applicable Criteria
• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm
• Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm
• Real Estate Entities: https://www.acuite.in/view-rating-criteria-63.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
08 Aug 2023 Cash Credit Long Term 3.50 ACUITE BB | Stable (Reaffirmed)
Proposed Bank Facility Long Term 6.50 ACUITE BB | Stable (Reaffirmed)
02 Jun 2022 Proposed Bank Facility Long Term 10.00 ACUITE BB | Stable (Reaffirmed)
08 Mar 2021 Proposed Bank Facility Long Term 10.00 ACUITE BB | Stable (Assigned)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating
ICICI Bank Ltd Not Applicable Cash Credit Not Applicable Not Applicable Not Applicable 3.50 Simple ACUITE BB | Reaffirmed | Issuer not co-operating*
Not Applicable Not Applicable Proposed Long Term Bank Facility Not Applicable Not Applicable Not Applicable 6.50 Simple ACUITE BB | Reaffirmed | Issuer not co-operating*
­

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