Press Release

Press Release

July 30, 2025

MAHAVIR COAL WASHERIES PRIVATE LIMITED
Rating Downgraded

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	47.52	ACUITE C \| Downgraded	-
Bank Loan Ratings	133.00	-	ACUITE A4 \| Downgraded
Total Outstanding	180.52	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuité has downgraded its long-term rating to 'ACUITE C' (read as ACUITE C) from 'ACUITE A-' (read as ACUITE A minus) and short-term rating to 'ACUITE A4' (read as ACUITE A Four) from 'ACUITE A2+ (read as ACUITE A two plus) on Rs.180.52 Cr. bank facilities of Mahavir Coal Washeries Private Limited (MCWPL).

Rationale for downgrade
The rating downgrade is on the account of delays observed in the servicing of loan obligations by the company in the recent past as observed in the Credit Report Information Bureau (CRIF).

About the Company

Mahavir Coal Washeries Private Limited (MCWPL) was incorporated in 2007. It is registered in Nagpur. The company is engaged in beneficiation, trading and transportation of coal for various powerhouses, cement companies and others. The major consumers are power sector, steel sector, cement sector, etc. The company is having two washeries at Bhelai (Balodaa) and one at Belmudi and a private railway siding at Kanhaiband, Naila Janjgir district Chhattisgarh. Mr. Vinod Kumar Jain, Mr. Vishal Kumar Jain, Mr. Vikash Jain, Mr. Arvind Kumar Jain are directors of the company.

Unsupported Rating

Not Applicable

Analytical Approach

Acuité has considered the standalone business and financial risk profile of MCWPL while arriving at the rating

Key Rating Drivers

Strengths

Long track record of operation and experienced management
The directors of the company Mr. Vinod Kumar Jain, Mr. Vishal Kumar Jain, Mr. Arvind Kumar Jain and Mr. Pramod Jain have experience of more than a decade in the business of coal washeries through other group companies. The long-standing experience of the directors has helped the company to establish comfortable relationship with their customers such as Tirupati Minerals Private Limited, Maharashtra State Mining Corporation, JK Lakshmi Cement Ltd, Hindalco Industries Limited among others as well as suppliers such as South Eastern Coalfields Limited, MP Power Generating Company Limited, Sonadih Cement Plant and among others.

Weaknesses

Instances of delays in servicing of debt obligation
There were delays in the servicing of loan obligations in the equipment financing and auto loan account of MCWPL as observed in the Credit Report Information Bureau (CRIF) in the month of June and July 2025.

Rating Sensitivities

Timely servicing of debt obligations

Liquidity Position

Poor

Liquidity position of the company is poor as there have been instances of delays in servicing of debt obligations in recent past.

Outlook: Not Applicable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 24 (Actual)	FY 23 (Actual)
Operating Income	Rs. Cr.	381.03	469.75
PAT	Rs. Cr.	55.07	55.31
PAT Margin	(%)	14.45	11.78
Total Debt/Tangible Net Worth	Times	0.23	0.06
PBDIT/Interest	Times	13.96	34.19

Status of non-cooperation with previous CRA (if applicable)

Not Applicable

Any other information

None

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
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.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.

Rating History

Date	Name of Instruments/Facilities	Term	Amount (Rs. Cr)	Rating/Outlook
02 Dec 2024	Term Loan	Long Term	0.23	ACUITE A- \| Stable (Reaffirmed)
	Term Loan	Long Term	14.00	ACUITE A- \| Stable (Assigned)
	Cash Credit	Long Term	2.00	ACUITE A- \| Stable (Reaffirmed)
	Cash Credit	Long Term	25.00	ACUITE A- \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	2.29	ACUITE A- \| Stable (Reaffirmed)
	Cash Credit	Long Term	3.00	ACUITE A- \| Stable (Reaffirmed)
	Cash Credit	Long Term	1.00	ACUITE A- \| Stable (Assigned)
	Bank Guarantee (BLR)	Short Term	21.00	ACUITE A2+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	65.00	ACUITE A2+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	47.00	ACUITE A2+ (Reaffirmed)
29 Sep 2023	Cash Credit	Long Term	2.00	ACUITE A- \| Stable (Upgraded from ACUITE BBB+ \| Stable)
	Cash Credit	Long Term	10.00	ACUITE A- \| Stable (Upgraded from ACUITE BBB+ \| Stable)
	Cash Credit	Long Term	15.00	ACUITE A- \| Stable (Assigned)
	Proposed Long Term Bank Facility	Long Term	2.00	ACUITE A- \| Stable (Assigned)
	Cash Credit	Long Term	3.00	ACUITE A- \| Stable (Upgraded from ACUITE BBB+ \| Stable)
	Proposed Long Term Bank Facility	Long Term	0.52	ACUITE A- \| Stable (Upgraded from ACUITE BBB+ \| Stable)
	Bank Guarantee (BLR)	Short Term	21.00	ACUITE A2+ (Upgraded from ACUITE A2)
	Bank Guarantee (BLR)	Short Term	39.00	ACUITE A2+ (Upgraded from ACUITE A2)
	Bank Guarantee (BLR)	Short Term	26.00	ACUITE A2+ (Assigned)
	Bank Guarantee (BLR)	Short Term	47.00	ACUITE A2+ (Assigned)
16 Nov 2022	Bank Guarantee (BLR)	Short Term	25.00	ACUITE A2 (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	14.00	ACUITE A2 (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	14.00	ACUITE A2 (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	7.00	ACUITE A2 (Assigned)
	Cash Credit	Long Term	7.50	ACUITE BBB+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	2.50	ACUITE BBB+ \| Stable (Assigned)
	Cash Credit	Long Term	2.00	ACUITE BBB+ \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	3.50	ACUITE BBB+ \| Stable (Reaffirmed)
	Proposed Long Term Loan	Long Term	0.02	ACUITE BBB+ \| Stable (Assigned)
	Working Capital Demand Loan (WCDL)	Long Term	0.81	ACUITE BBB+ (Reaffirmed & Withdrawn)
	Working Capital Demand Loan (WCDL)	Long Term	2.71	ACUITE BBB+ (Reaffirmed & Withdrawn)
27 Oct 2022	Bank Guarantee (BLR)	Short Term	25.00	ACUITE A2 (Upgraded from ACUITE A3+)
	Bank Guarantee (BLR)	Short Term	14.00	ACUITE A2 (Upgraded from ACUITE A3+)
	Cash Credit	Long Term	7.50	ACUITE BBB+ \| Stable (Upgraded from ACUITE BBB \| Stable)
	Working Capital Demand Loan (WCDL)	Long Term	0.81	ACUITE BBB+ \| Stable (Upgraded from ACUITE BBB \| Stable)
	Cash Credit	Long Term	2.00	ACUITE BBB+ \| Stable (Upgraded from ACUITE BBB \| Stable)
	Working Capital Demand Loan (WCDL)	Long Term	2.71	ACUITE BBB+ \| Stable (Upgraded from ACUITE BBB \| Stable)
	Proposed Long Term Bank Facility	Long Term	13.98	ACUITE BBB+ \| Stable (Upgraded from ACUITE BBB \| Stable)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
ICICI Bank Ltd	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	21.00	Simple	ACUITE A4 \| Downgraded ( from ACUITE A2+ )
State Bank of India	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	65.00	Simple	ACUITE A4 \| Downgraded ( from ACUITE A2+ )
Yes Bank Ltd	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	47.00	Simple	ACUITE A4 \| Downgraded ( from ACUITE A2+ )
Yes Bank Ltd	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	3.00	Simple	ACUITE C \| Downgraded ( from ACUITE A- )
State Bank of India	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	25.00	Simple	ACUITE C \| Downgraded ( from ACUITE A- )
ICICI Bank Ltd	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	2.00	Simple	ACUITE C \| Downgraded ( from ACUITE A- )
HDFC Bank Ltd	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	1.00	Simple	ACUITE C \| Downgraded ( from ACUITE A- )
Not Applicable	Not avl. / Not appl.	Proposed Long Term Bank Facility	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	2.29	Simple	ACUITE C \| Downgraded ( from ACUITE A- )
HDFC Bank Ltd	Not avl. / Not appl.	Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	31 Jul 2030	14.23	Simple	ACUITE C \| Downgraded ( from ACUITE A- )

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Anuja Bele
Associate Analyst - Rating Operations

Contact details exclusively for investors and lenders

Mob: +91 8591310146
Email ID: analyticalsupport@acuite.in

About Acuité Ratings & Research

Acuité is a full-service Credit Rating Agency registered with the Securities & Exchange Board of India (SEBI). The company received RBI Accreditation as an External Credit Assessment Institution (ECAI) for Bank Loan Ratings under BASEL-II norms in the year 2012. Acuité has assigned ratings to various securities, debt instruments and bank facilities of entities spread across the country and across a wide cross section of industries. It has its Registered and Head Office in Kanjurmarg, Mumbai.

Disclaimer: An Acuité rating does not constitute an audit of the rated entity and should not be treated as a recommendation or opinion that is intended to substitute for a financial adviser's or investor's independent assessment of whether to buy, sell or hold any security. Ratings assigned by Acuité are based on the data and information provided by the issuer and obtained from other reliable sources. Although reasonable care has been taken to ensure that the data and information is true, Acuité, in particular, makes no representation or warranty, expressed or implied with respect to the adequacy, accuracy or completeness of the information relied upon. Acuité is not responsible for any errors or omissions and especially states that it has no financial liability whatsoever for any direct, indirect or consequential loss of any kind, arising from the use of its ratings. Ratings assigned by Acuité are subject to a process of surveillance which may lead to a revision in ratings as and when the circumstances so warrant. Please visit our website (www.acuite.in) for the latest information on any instrument rated by Acuité. Please visit https://www.acuite.in/faqs.htm to refer FAQs on Credit Rating.

Note: None of the Directors on the Board of Acuité Ratings & Research Limited are members of any rating committee and therefore do not participate in discussions regarding the rating of any entity.