|
|
| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 70.00 | ACUITE BB- | Reaffirmed | Issuer not co-operating* | - |
| Total Outstanding Quantum (Rs. Cr) | 70.00 | - | - |
| Rating Rationale |
|
Acuité has reaffirmed the long-term rating of 'ACUITE BB-' (read as ACUITE double B minus) on the Rs.70.00 crore bank facilities of KMC Developers. The rating continues to be flagged as “Issuer Not Co-operating” and is based on the best available information.
|
| About the Company |
|
Established in 2008, KMC developers (KMC) is a Mumbai based Special Purpose Vehicle (SPV) promoted by A & O Realty, engaged in the business of real estate development. Presently the firm is developing a Slum redevelopment residential project, KMC located at Borivali East. KMC is a partnership firm wherein AOPL is holding 85 stakes.
|
| About the Group |
|
Established in 2006, Arihant realtors (AR) is a Special Purpose Vehicle (SPV) promoted by Mumbai based A & O Realty, engaged in the business of real estate development. Presently the firm is developing a Slum redevelopment residential project, ‘F-residencies’ located in Ghatkopar East. AR is a partnership firm with Mr. Chetan Bhanushali (1%), Mr. Praveen Girish Chamaria (1%), Ashapura Edifice Private Limited (62%) and Ashapura Options Private Limited (1%) holding majority stake.
Established in 2003, Charmee Enterprises (CE) is a Special Purpose Vehicle (SPV) promoted by Mumbai based A & O Realty, engaged in the business of real estate development. Presently the firm is developing a Slum redevelopment residential project, Florante located at Andheri East. CE is a partnership firm with AOPL holding 32 percent stake. |
| 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 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 Sensitivity |
| No information provided by the issuer / available for Acuite to comment upon. |
| Material 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 19 (Actual) | FY 18 (Actual) |
| Operating Income | Rs. Cr. | 18.88 | 73.09 |
| PAT | Rs. Cr. | 0.24 | 4.23 |
| PAT Margin | (%) | 1.29 | 5.78 |
| Total Debt/Tangible Net Worth | Times | 8.14 | 9.24 |
| PBDIT/Interest | Times | 1.97 | 354.16 |
| 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 |
|
• 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 • 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.
|
|
| |
|
|
||||||||||||||||||
|
|
Contacts |
| Analytical | Rating Desk |
| About Acuité Ratings & Research |
