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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 1.80 | ACUITE B+ | Downgraded | Issuer not co-operating* | - |
| Bank Loan Ratings | 25.00 | - | ACUITE A4 | Downgraded | Issuer not co-operating* |
| Total Outstanding Quantum (Rs. Cr) | 26.80 | - | - |
| Total Withdrawn Quantum (Rs. Cr) | 0.00 | - | - |
| Rating Rationale |
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Acuité has downgraded its long term rating to ‘ACUITE B+’ (read as ACUITE B plus) from ACUITE BB (Read as ACUITE double B)and the short term rating to ‘ACUITE A4’ (read as ACUITE A four)’ from ACUITE A4+ (Read as ACUITE A four plus) to the Rs.26.80 crore bank facilities of Mother India Construction Private Limited (MICPL).
This rating is now an indicative rating and is based on the best available information. The rating has been downgraded on account of information risk. |
| About the Company |
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Established in 1990, Mother India Construction Private Limited is a Patna-based company promoted by Mr. Chandra Sen Singh and Mr. Ramjee Singh. The company is engaged in civil construction work in the region of Bihar & Jharkhand for construction, maintenance and renovation work for roads, irrigation canals and drainage systems among others.
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| Non-cooperation by the issuer/borrower |
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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 an 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 |
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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 has 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.
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| Rating Sensitivities |
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No information provided by the issuer / available for Acuite to comment upon.
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| Material Covenants |
| None |
| Liquidity Position |
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No information provided by the issuer / available for Acuite to comment upon.
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| Outlook |
| Not Applicable |
| Other Factors affecting Rating |
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None
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| About the Rated Entity - Key Financials |
| The entity has not shared the latest financial statements despite repeated requests. |
| Status of non-cooperation with previous CRA |
| None |
| Any other information |
| Acuité is not in receipt of the “No Default Statement (NDS)" since April 2022. |
| Applicable Criteria |
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• 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 • Infrastructure Investment Trust (InvIT): https://www.acuite.in/view-rating-criteria-72.htm |
| Note on Complexity Levels of the Rated Instrument |
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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 categorisa??on of the instruments across the three categories is based on factors like variability of the returns to the investors, uncertainty in cash flow pa??erns, number of counterpar??es 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 Ra??ng Criteria “Complexity Level Of Financial Instruments” on www.acuite.in
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