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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Fixed Deposits (FD) | 40.00 | ACUITE BB | Reaffirmed | Issuer not co-operating* | - |
| Bank Loan Ratings | 51.30 | - | Not Applicable | Withdrawn |
| Total Outstanding | 40.00 | - | - |
| Total Withdrawn | 51.30 | - | - |
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Rating Rationale |
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Acuite has reaffirmed the long term rating of Acuite BB(read as Acuite double B), and now it has been marked as 'Issuer not Co-operating' on the Rs.40.00 Cr. Fixed Deposit Programme of Inkel Limited. The rating is based on the best available information Acuité has also withdrawn the short term rating on Rs.51.30 Cr. bank loan facilties of Inkel Limited.The rating withdrawal is in accordance with Acuite’s policy on withdrawal of rating. The rating is being withdrawn on account of request received from the Company and No Objection Certificate received from the banker indicating that the liabilities to the banker have been discharged. |
| About the Company |
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Inkel is PPP (Public-Private-Partnership) initiative of Government of Kerala (GoK) to encourage NRI (Non-resident Indian) investments in Infrastructure. The government along with State owned companies holds 29.6 percent in in the company. Further, the board consists of Mr. P Rajeeve as Chairman - Minister for Industries, Law and Coir in the Govt. of Kerala, Dr. Kamalakannan Ellangovan as Managing Director - Former Additional Chief Secretary, Department of Industries & NORKA, Government of Kerala and Mr. Suman Billa - Principal Secretary, Department of Industries & NORKA, Government of Kerala. The company provides holistic consultancy services as a Project Management Consultant (PMC) for Infrastructure projects Inkel’s major source of revenue of is centage fees which is 3-7 percent the project cost. The company has been diversifying profit-earning streams from predominantly PMC to EPC contractor. Further, the company intends to to set up wind power plant of 14 MGW with total project cost of Rs. 98.00 Cr. Additinally, the company earns Initial lease premium and operating lease through subleasing land leased from Inkel KSIDC. |
| 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 Sensitivities |
| "No information provided by the issuer / available for Acuite to comment upon." |
| All Covenants |
| Not Applicable |
| Liquidity Position |
| No information provided by the issuer / available for Acuite to comment upon. |
| Outlook |
| Not Applicable |
| Other Factors affecting Rating |
| Not Applicable |
| Particulars | Unit | FY 23 (Actual) | FY 22 (Actual) |
| Operating Income | Rs. Cr. | 85.01 | 94.70 |
| PAT | Rs. Cr. | 14.43 | 8.88 |
| PAT Margin | (%) | 16.98 | 9.37 |
| Total Debt/Tangible Net Worth | Times | 0.57 | 0.62 |
| PBDIT/Interest | Times | 2.50 | 2.19 |
| Status of non-cooperation with previous CRA |
| Not Applicable |
| Any other information |
| None |
| Applicable Criteria |
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• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Infrastructure Sector: https://www.acuite.in/view-rating-criteria-51.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. |
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