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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 22.99 | ACUITE BB+ | Downgraded | Issuer not co-operating* | - |
| Bank Loan Ratings | 0.34 | - | ACUITE A4+ | Downgraded | Issuer not co-operating* |
| Total Outstanding Quantum (Rs. Cr) | 23.33 | - | - |
| Rating Rationale |
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Acuité has downgraded the long-term rating of "ACUITE BBB-" (read as ACUITE Triple B Minus)’ to "ACUITE BB+" (read as ACUITE Double B Plus) and short term rating "ACUITE A3" (read as ACUITE A Three) to "ACUITE A4+" (read as ACUITE A four Plus) on the Rs.23.33 crore bank facilities of Shilpa Alloys Private Limited (SAPL). This rating is now an indicative rating and is based on best available information.
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| About the Company |
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Shilpa Alloys Private Limited (SAPL), incorporated in 1990, is a Jaipur-based company promoted by Mr. Ved Prakash Gupta, Mr. Vaibhav Gupta and Mr. Sushant Gupta. The company commenced commercial operations in October 2009 and is involved in manufacturing of unmachined wear-resistant steel castings. It caters to industries such as cement, minerals, and mining among others with manufacturing facilities located at Jaipur. The company currently has an installed capacity of 13545 MTPA
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| Non-cooperation by the issuer/borrower |
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Acuité has been requesting for No Default Statement and Critical information required for rating review from the rated entity. However, the issuer / borrower failed to submit such information before due date. Acuité believes that information risk is a critical component in such ratings, and non - cooperation 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.
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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 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 |
| No information provided by the issuer / available for Acuite to comment upon |
| Outlook: Not Applicable |
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| Key Financials: |
| The rated entity has not shared the latest financial statements for Acuite to comment |
| 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 • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.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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