Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 22.10 ACUITE C | Downgraded | Issuer not co-operating* -
Bank Loan Ratings 27.90 - ACUITE A4 | Downgraded | Issuer not co-operating*
Total Outstanding 50.00 - -
 
Rating Rationale

­Acuité has downgraded the long-term rating to ‘ACUITE C’ (read as ACUITE C) from ‘ACUITE BB’ (read as ACUITE double B) and short-term rating to 'ACUITE A4' (read as ACUITE A four) from 'ACUITE A4+' (read as ACUITE A four plus) on the Rs.50.00 Cr. bank facilities of RASIK PRODUCTS PRIVATE LIMITED (RPPL). The rating is now flagged as “Issuer Not-Cooperating” and is downgraded on account of information risk.

Rationale for downgrade
As per the reporting in Credit Beaureau Report, there are several accounts which are into delinquency and few of them are under SMA 2 category as well. On the basis of the above mentioned information, rating is being downgraded. 

About the Company
­Rasik Products Private Limited (RPPL), a Mathura-based company was incorporated by Mr. G. Khandelwal in the year 1998. It is engaged in the manufacturing and marketing of multilayer transferable coatings, films, foils and laminates. It also offers security base materials like holograms and variety of decorative packing papers, graphic grade films and foils, used in the packaging of various consumer goods and a broad range of security applications for use in tamperproof and tamper-evident packaging. The company mainly caters to markets in USA and UK along with domestic market.
 
Unsupported Rating
­Not Applicable.
 
Non-cooperation by the issuer/borrower
­Acuité has been requesting for No Default Statements (NDS); however, despite multiple requests; the Company’s management has remained non-cooperative and not submitted the NDS for the preceding 03 consecutive months. 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. 
 
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. 122.15 102.04
PAT Rs. Cr. 2.44 3.22
PAT Margin (%) 2.00 3.15
Total Debt/Tangible Net Worth Times 1.94 2.15
PBDIT/Interest Times 2.60 2.97
Status of non-cooperation with previous CRA
­Not Applicable. 
 
Any other information
­None. 
 
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.
 

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
27 Dec 2023 Bank Guarantee (BLR) Short Term 1.90 ACUITE A4+ (Assigned)
Packing Credit Short Term 26.00 ACUITE A4+ (Assigned)
Cash Credit Long Term 7.00 ACUITE BB | Stable (Assigned)
Covid Emergency Line. Long Term 3.94 ACUITE BB | Stable (Assigned)
Term Loan Long Term 4.96 ACUITE BB | Stable (Assigned)
Proposed Long Term Bank Facility Long Term 6.20 ACUITE BB | Stable (Assigned)
12 Oct 2021 Proposed Working Capital Demand Loan Long Term 1.85 ACUITE B+ (Reaffirmed & Withdrawn)
Bank Guarantee/Letter of Guarantee Short Term 2.90 ACUITE A4 (Reaffirmed & Withdrawn)
PC/PCFC Short Term 10.00 ACUITE A4 (Reaffirmed & Withdrawn)
Secured Overdraft Long Term 9.00 ACUITE B+ (Reaffirmed & Withdrawn)
Term Loan Long Term 1.25 ACUITE B+ (Reaffirmed & Withdrawn)
30 Mar 2021 Proposed Working Capital Demand Loan Long Term 1.85 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Secured Overdraft Long Term 9.00 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Term Loan Long Term 1.25 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
Bank Guarantee (BLR) Short Term 2.90 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
PC/PCFC Short Term 10.00 ACUITE A4 (Reaffirmed & 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 avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.90 Simple ACUITE A4 | Downgraded | Issuer not co-operating* ( from ACUITE A4+ )
Canara Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 7.00 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BB )
Canara Bank Not avl. / Not appl. Covid Emergency Line. Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 3.94 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BB )
Canara Bank Not avl. / Not appl. Packing Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 26.00 Simple ACUITE A4 | Downgraded | Issuer not co-operating* ( from ACUITE A4+ )
Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 6.20 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BB )
Canara Bank Not avl. / Not appl. Term Loan Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 4.96 Simple ACUITE C | Downgraded | Issuer not co-operating* ( from ACUITE BB )

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