|
|
| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 16.15 | ACUITE B+ | Downgraded | Issuer not co-operating* | - |
| Total Outstanding | 16.15 | - | - |
|
Rating Rationale |
|
Acuité has downgraded its long term rating to ‘ACUITE B+' (read as ACUITE B plus) from 'ACUITE BB-' (read as ACUITE double B minus) on the Rs. 16.15 Cr. bank facilities of Micron Enterprises Private Limited. The rating is now flagged as “Issuer Not-Cooperating” on account of information risk and is based on the best available information. The rating has been downgraded on account of information risk and the company has not provided No Default Statement for the last two months ending August 2024.
|
| About the Company |
|
Incorporated in 1999 in Ghaziabad (Uttar Pradesh, India), "Micron Enterprises Private Limited." is a reputed manufacturer, trader, and supplier of Wires, CR strips, HR and CR coils, and Packing Strips. The company manufactures these products using high-quality raw materials and advanced technology as per the set industrial standards. They offered products that are highly demanded among their clients for their features like dimensional accuracy, high strength, light weight, anti-corrosive, easy to install, smooth finish, superior quality, and sturdy design. The company offers these products in different specifications as per the information laid down by our clients. Mr. Raj kumar Kakkar, Mr. Gautam Kakkar and Mr. Sachin Kamra are the promoters of the company.
|
| 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 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 rating is based.
|
| Rating Sensitivities |
| 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 23 (Actual) | FY 22 (Actual) |
| Operating Income | Rs. Cr. | 97.06 | 81.45 |
| PAT | Rs. Cr. | 1.00 | 0.85 |
| PAT Margin | (%) | 1.03 | 1.05 |
| Total Debt/Tangible Net Worth | Times | 2.44 | 2.08 |
| PBDIT/Interest | Times | 1.95 | 1.91 |
| Status of non-cooperation with previous CRA |
| Not Applicable |
| Any other information |
| Acuite is yet to receive the latest No Default Statement from the rated entity despite repeated requests and followups. |
| Applicable Criteria |
|
• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.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 |
|
|
|
About Acuité Ratings & Research |
