Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 4.25 ACUITE B | Reaffirmed | Issuer not co-operating* -
Bank Loan Ratings 6.50 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding Quantum (Rs. Cr) 10.75 - -
Total Withdrawn Quantum (Rs. Cr) 0.00 - -
 
Rating Rationale

­Acuité has reaffimred the long-term rating of ‘ACUITE B’ (read as ACUITE B) and the short-term rating of ‘ACUITE A4’ (read as ACUITE A four) on the Rs. 10.75 crore bank facilities of Patel Timber Corporation (PTC). The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information.


About the Company

­PTC, a partnership firm, was established in 1996 by Mr. Devjibhai Patel and Mrs. Vasantiben Patel as founder partners at Bangalore. PTC is engaged in processing and trading of timber. The day to day operations are handled by Mr. Dev jibhai Patel. PTC procures 80 per cent of raw material from Burma and Taiwan and the sales are made to local furniture manufacturers.

 
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 endeavored 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.

 
About the Rated Entity - Key Financials

­The rated entity has not shared the latest financial statements despite repeated requests.

 
Rating Sensitivity

­"No information provided by the issuer / available for Acuite to comment upon."

 
Material Covenants

None

 
Liquidity Position

­"No information provided by the issuer / available for Acuite to comment upon."

 
Outlook

­­Not Applicable.

 
Other Factors affecting Rating

­­Not Applicable.

 
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
• 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

­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
14 Sep 2021 Letter of Credit Short Term 2.50 ACUITE A4 ( Issuer not co-operating*)
Cash Credit Long Term 4.25 ACUITE B ( Issuer not co-operating*)
Letter of Credit Short Term 2.00 ACUITE A4 ( Issuer not co-operating*)
Letter of Credit Short Term 2.00 ACUITE A4 ( Issuer not co-operating*)
30 Jun 2020 Cash Credit Long Term 4.25 ACUITE B (Issuer not co-operating*)
Letter of Credit Short Term 2.00 ACUITE A4 (Issuer not co-operating*)
Letter of Credit Short Term 2.50 ACUITE A4 (Issuer not co-operating*)
Letter of Credit Short Term 2.00 ACUITE A4 (Issuer not co-operating*)
24 Apr 2019 Cash Credit Long Term 4.25 ACUITE B (Issuer not co-operating*)
Letter of Credit Short Term 2.00 ACUITE A4 (Issuer not co-operating*)
Letter of Credit Short Term 2.50 ACUITE A4 (Issuer not co-operating*)
Letter of Credit Short Term 2.00 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 4.25 Simple ACUITE B | Reaffirmed | Issuer not co-operating*
Canara Bank Not Applicable Letter of Credit Not Applicable Not Applicable Not Applicable 2.50 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
Canara Bank Not Applicable Letter of Credit Not Applicable Not Applicable Not Applicable 2.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
Canara Bank Not Applicable Letter of Credit Not Applicable Not Applicable Not Applicable 2.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*

Contacts
Analytical Rating Desk
About Acuité Ratings & Research

Acuité Ratings & Research Limitedwww.acuite.in