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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 49.95 | ACUITE BB+ | Reaffirmed | Issuer not co-operating* | - |
| Bank Loan Ratings | 6.30 | - | ACUITE A4+ | Reaffirmed | Issuer not co-operating* |
| Total Outstanding | 56.25 | - | - |
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Rating Rationale |
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ACUITE has reaffirmed the long-term rating of ‘ACUITE BB+’ (read as ACUITE double B plus) and the short-term rating of 'ACUITE A4+' (read as ACUITE A four plus) on the Rs.56.25 Cr. bank facilities of Prime Movers Auto Associates Private Limited.
This rating is now flagged as issuer not cooperating on account of information risk and is based on best available information |
| About the Company |
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Incorporated in 1986 by Mr. Nand Lal Kothari, Prime Movers Auto Associates Pvt Ltd is a Kolkata based company engaged in the business of distributorship of auto components. Mr. Nand Lal Kothari has a rich experience of ~45 years of dealing with auto components. Currently, the day to day operations is headed by his son Mr. Ajay Kothari. The company currently deals with the principal of Maruti Suzuki, Mahindra & Mahindra, Tata Motors Ltd, Mahindra Sona Limited, Hindustan Composites Limited and many more. It has its physical presence at 14 locations in West Bengal and 2 locations at Guwahati.
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| About the Group |
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Incorporated in 2011 and promoted by Mr. Nand Lal Kothari and his son Mr. Mr. Ajay Kothari- Prime Movers Auto Agency Private Limited is a Kolkata based company engaged in the distribution of the auto components for Tata Motors limited for small, light and medium commercial vehicles (grease, coolants, brake oil, accessories and durafit products).
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| Unsupported Rating |
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Not Applicable
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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 non-cooperation 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.
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| 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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| 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 |
| None |
| Particulars | Unit | FY 22 (Actual) | FY 21 (Actual) |
| Operating Income | Rs. Cr. | 157.82 | 152.20 |
| PAT | Rs. Cr. | 1.80 | 1.65 |
| PAT Margin | (%) | 1.14 | 1.08 |
| Total Debt/Tangible Net Worth | Times | 2.30 | 2.53 |
| PBDIT/Interest | Times | 1.64 | 1.41 |
| Status of non-cooperation with previous CRA |
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Not Applicable
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| Any other information |
| None |
| Applicable Criteria |
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• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Trading Entitie: https://www.acuite.in/view-rating-criteria-61.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 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.
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| *Annexure 2 - List of Entities (applicable for Consolidation or Parent / Group / Govt. Support) |
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1. Prime Movers Auto Associates Private Limited.
2. Prime Movers Auto Agency Private Limited.
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Contacts |
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About Acuité Ratings & Research |
