Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 9.36 ACUITE B- | Reaffirmed | Issuer not co-operating* -
Total Outstanding 9.36 - -
Total Withdrawn 0.00 - -
* The issuer did not co-operate; based on best available information.
 
Rating Rationale

­Acuité has reaffirmed the long-term rating of ‘ACUITE B-’ (read as ACUITE B minus) on the Rs.9.36 crore bank facilities of K M S Spinners. The rating continues to be flagged as “Issuer Not Cooperating” and is based on the best available information.


About the Company

­K M S Spinners was established in 2015 by Mr. Mani and Mr. S Sedhuram (Managing Partners) as a partnership firm in Coimbatore (Tamil Nadu). The firm started manufacturing operations in November 2016. The firm produces open-ended cotton yarns, used in the manufacture of tshirts, shirts and grey fabrics. The firm has a production capacity of 200 tons per Month. The firm's clients are weaving mills mainly located across Palladam, Palayam, Tirupur district.

 
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 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
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 19 (Provisional) FY 18 (Actual)
Operating Income Rs. Cr. 25.59 16.28
PAT Rs. Cr. 0.24 0.11
PAT Margin (%) 0.93 0.68
Total Debt/Tangible Net Worth Times 1.89 2.28
PBDIT/Interest Times 2.53 2.40
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

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
27 May 2024 Cash Credit Long Term 2.25 ACUITE B- (Downgraded & Issuer not co-operating* from ACUITE B)
Term Loan Long Term 5.86 ACUITE B- (Downgraded & Issuer not co-operating* from ACUITE B)
Cash Credit Long Term 1.25 ACUITE B- (Downgraded & Issuer not co-operating* from ACUITE B)
27 Feb 2023 Cash Credit Long Term 2.25 ACUITE B (Reaffirmed & Issuer not co-operating*)
Term Loan Long Term 5.86 ACUITE B (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 1.25 ACUITE B (Reaffirmed & Issuer not co-operating*)
* The issuer did not co-operate; based on best available information.
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
Canara Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.25 Simple ACUITE B- | Reaffirmed | Issuer not co-operating*
Canara Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.25 Simple ACUITE B- | Reaffirmed | Issuer not co-operating*
Canara Bank Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.86 Simple ACUITE B- | Reaffirmed | Issuer not co-operating*
* The issuer did not co-operate; based on best available information.

Disclosure of list of non-cooperative issuers
• Listed :- https://www.acuite.in/Non-Cooperative_Issuer_Listed.php
• Unlisted :- https://www.acuite.in/Non-Cooperative_Issuer_Unlisted.php


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