Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 19.59 ACUITE BB- | Reaffirmed & Withdrawn | Issuer not co-operating* -
Total Outstanding Quantum (Rs. Cr) 0.00 - -
Total Withdrawn Quantum (Rs. Cr) 19.59 - -
 
Rating Rationale
­Acuité has reaffirmed and withdrawn the long-term rating of ‘ACUITE BB-’ (read as ACUITE double B minus) on the Rs.19.59 Cr bank facilities of K Subraya Anantha Kamath and Sons (KSAKS). The rating is flagged as “Issuer Not-Cooperating” based on account of information risk.

The rating has been withdrawn on Acuite's policy of withdrawal of ratings. The rating has been withdrawn on account of the request received from the company, and the NOC received from the banker.

About the Company
K Subraya Anantha Kamath is a Kerala based firm incorporated in the year 1945 as a proprietorship firm. Later in the year 1965, the constitution of the firm was changed into partnership. The firm’s operation is entirely managed by the third and the fourth generation family members. The partners of the firm are Mr. K. Giridhar Kamath, Mrs. Radha Kamath, Mr. Pramod Kamath and Mr. Prasad Kamath. The firm is engaged in processing and export of cashew nut kernels, flavored kernels, cashew nut shell liquid and other by-products. The firm has two processing units located at Karnataka and Kerala with an installed capacity of 5400MTPA.­
 
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 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 ratingis based.­
 
Rating Sensitivity
­No information has been shared by the company for Acuite to comment
 
Material Covenants
None
 
Liquidity Position
No information has been shared by the entity for Acuite to comment­
 
Outlook
N­ot Applicable­
 
Other Factors affecting Rating
­None
 

Particulars Unit FY 20 (Actual) FY 19 (Actual)
Operating Income Rs. Cr. 58.90 84.51
PAT Rs. Cr. (2.68) 3.57
PAT Margin (%) (4.55) 4.22
Total Debt/Tangible Net Worth Times 1.89 1.05
PBDIT/Interest Times 0.07 3.44
Status of non-cooperation with previous CRA
­None
 
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
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.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
28 Jun 2022 Term Loan Long Term 0.60 ACUITE BB- (Downgraded and Issuer not co-operating*)
Working Capital Term Loan Long Term 3.57 ACUITE BB- (Downgraded and Issuer not co-operating*)
Cash Credit Long Term 15.42 ACUITE BB- (Downgraded and Issuer not co-operating*)
19 May 2021 Working Capital Term Loan Long Term 3.57 ACUITE BB | Stable (Assigned)
Cash Credit Long Term 15.42 ACUITE BB | Stable (Reaffirmed)
Term Loan Long Term 0.60 ACUITE BB | Stable (Reaffirmed)
21 Dec 2020 Packing Credit Short Term 9.00 ACUITE A4+ (Issuer not co-operating*)
Term Loan Long Term 2.09 ACUITE BB (Downgraded and Issuer not co-operating*)
Cash Credit Long Term 5.00 ACUITE BB (Downgraded and Issuer not co-operating*)
Post Shipment Credit Short Term 3.50 ACUITE A4+ (Issuer not co-operating*)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating
Canara Bank Not Applicable Cash Credit Not Applicable Not Applicable Not Applicable 15.42 Simple ACUITE BB- | Reaffirmed & Withdrawn | Issuer not co-operating*
Canara Bank Not Applicable Term Loan Not available Not available Not available 0.60 Simple ACUITE BB- | Reaffirmed & Withdrawn | Issuer not co-operating*
Canara Bank Not Applicable Working Capital Term Loan Not available Not available Not available 3.57 Simple ACUITE BB- | Reaffirmed & Withdrawn | Issuer not co-operating*

Contacts
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