Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 20.12 ACUITE B+ | Reaffirmed | Issuer not co-operating* -
Bank Loan Ratings 3.75 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding 23.87 - -
 
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. 23.87 crore bank facilities of Induro Lifestyle Resources Private Limited (ILPL). The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information.


About the Company

­ILPL was incorporated in 2008 by Mr. Kishan Kumar. At present, the company is managed by Mr. Kishan Kumar and Mrs. Panna Kishen Jain. The company is engaged in manufacturing of denim and non-denim bottoms for men, women and kids. The company has two manufacturing units and a washing unit in Bangalore. The unit I has size of around 40,000 sq. Ft. and unit II of 4,000 sq. ft. The installed production capacity of the ILPL is around 15,00,000 units per annum, whereas it is utilised at about 82 per cent in FY2019. The Company's products are sold under the brand names of Lee, Wrangler, US Polo, Flying Machine, Ed Hardy, Chirokee, Vee Dot, and Louis Phillipe.

 
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 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 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 23 (Actual) FY 22 (Actual)
Operating Income Rs. Cr. 58.80 34.39
PAT Rs. Cr. 3.57 (2.86)
PAT Margin (%) 6.07 (8.33)
Total Debt/Tangible Net Worth Times (3.52) (1.88)
PBDIT/Interest Times 4.72 (1.11)
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

­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
20 Dec 2022 Term Loan Long Term 0.11 ACUITE B+ ( Issuer not co-operating*)
Proposed Bank Facility Long Term 1.00 ACUITE B+ ( Issuer not co-operating*)
Bills Discounting Short Term 2.00 ACUITE A4 ( Issuer not co-operating*)
Standby Line of Credit Short Term 1.75 ACUITE A4 ( Issuer not co-operating*)
Channel Financing Long Term 2.00 ACUITE B+ ( Issuer not co-operating*)
Cash Credit Long Term 14.65 ACUITE B+ ( Issuer not co-operating*)
Term Loan Long Term 2.30 ACUITE B+ ( Issuer not co-operating*)
Term Loan Long Term 0.06 ACUITE B+ ( Issuer not co-operating*)
24 Sep 2021 Term Loan Long Term 0.11 ACUITE B+ ( Issuer not co-operating*)
Channel Financing Long Term 2.00 ACUITE B+ ( Issuer not co-operating*)
Bills Discounting Short Term 2.00 ACUITE A4 ( Issuer not co-operating*)
Proposed Long Term Facility Long Term 1.00 ACUITE B+ ( Issuer not co-operating*)
Term Loan Long Term 0.06 ACUITE B+ ( Issuer not co-operating*)
Cash Credit Long Term 14.65 ACUITE B+ ( Issuer not co-operating*)
Standby Line of Credit Short Term 1.75 ACUITE A4 ( Issuer not co-operating*)
Term Loan Long Term 2.30 ACUITE B+ ( Issuer not co-operating*)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
State Bank of India Not avl. / Not appl. Bills Discounting Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 14.65 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Stand By Line of Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.75 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.06 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.11 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*
State Bank of India Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.30 Simple ACUITE B+ | Reaffirmed | Issuer not co-operating*

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