Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 57.00 ACUITE C | Reaffirmed & Withdrawn | Issuer not co-operating* -
Bank Loan Ratings 5.00 Not Applicable | Withdrawn -
Total Outstanding 0.00 - -
Total Withdrawn 62.00 - -
 
Rating Rationale

­Acuité has reaffirmed and withdrawn the long-term rating to 'ACUITE C (read as ACUITE C)' on the Rs.57.00 crore bank facilities of R R Gold Palace Private Limited (RRGPPL). and aslo withdrawn the long-term proposed limit without assigning any rating on the Rs.5.00 crore bank facilities of R R Gold Palace Private Limited (RRGPPL). 
The rating continues to be flagged as “Issuer Not Cooperating” and is based on the best available information.

The rating has been withdrawn as per Acuite's policy of withdrawal of ratings as applicable to the respective instrument/facility. The rating has been withdrawn on account of the request received from the company and the NOC(No Objection Certificate) received from the banker.

About the Company
­­Established in 2006 as a partnership firm by Mr. R. Ramesh and Mrs. G.S. Prabhalatha, R R Gold Palace was later converted into a private limited company in 2011 and renamed as R R Gold Palace Private Limited (RRGPPL). The company is engaged in the retailing of finished gold jewellery, silver jewellery and other precious stones at its 3 showrooms located in Balgalore, each at Malleshwaram, Jayanagar and Yelahanka.
 
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 ratingis based.
 
Rating Sensitivity
­­"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. 301.60 260.67
PAT Rs. Cr. 2.17 1.55
PAT Margin (%) 0.72 0.60
Total Debt/Tangible Net Worth Times 2.34 2.77
PBDIT/Interest Times 1.31 1.26
Status of non-cooperation with previous CRA
­Not Applicable
 
Any other information
­None
 
Applicable Criteria
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.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 May 2024 Cash Credit Long Term 45.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 12.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
Proposed Long Term Bank Facility Long Term 5.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
14 Feb 2023 Cash Credit Long Term 45.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 12.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
Proposed Long Term Bank Facility Long Term 5.00 ACUITE C (Reaffirmed & Issuer not co-operating*)
17 Nov 2021 Cash Credit Long Term 12.00 ACUITE C (Downgraded from ACUITE B+)
Cash Credit Long Term 45.00 ACUITE C (Downgraded from ACUITE B+)
Proposed Long Term Bank Facility Long Term 5.00 ACUITE C (Downgraded from ACUITE B+)
01 Feb 2021 Cash Credit Long Term 50.00 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB- | Stable)
Cash Credit Long Term 12.00 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB- | Stable)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
State Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 45.00 Simple ACUITE C | Reaffirmed & Withdrawn | Issuer not co-operating*
Bank of Baroda Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 12.00 Simple ACUITE C | Reaffirmed & Withdrawn | Issuer not co-operating*
Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple Not Applicable|Withdrawn

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