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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 12.40 | ACUITE BB+ | Reaffirmed | Issuer not co-operating* | - |
| Bank Loan Ratings | 9.10 | - | ACUITE A4+ | Reaffirmed | Issuer not co-operating* |
| Total Outstanding Quantum (Rs. Cr) | 21.50 | - | - |
| Total Withdrawn Quantum (Rs. Cr) | 0.00 | - | - |
| Rating Rationale |
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Acuité 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.21.50 crore bank facilities of Shri Maa Sales. The rating continues to be flagged as “Issuer Not Co-operating” and is based on the best available information.
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| About the Company |
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Shri Maa Sales (SMS) is part of the Bhopal based Shri Maa Group which also includes Shri Maa Group Marketing Private Limited, Shri Maa Retail Private Limited, Aradhana Telecom. Shri Maa Sales was initially established as proprietorship concern by Mr. Ramswarupji Gupta in the year 1995. The concern was initially engaged in trading and distribution of FMCG products, consumer electronics, pharmacy, telecom, lighting and many more products in Datia district and Bhopal. It was associated with brands including Hindustan Lever Limited, Britannia Industry and Philips till the year 2009.
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| About the Group |
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The Bhopal based Shri Maa Group consists of SMMPL and Shri Maa Sales (SMS) established in 1995 which is engaged as authorized dealer for sale and service of Samsung India Electronics Private Limited (SIEPL) in Bhopal. SMS is also engaged as regional distributor for various mobile brands including Reliance Jio handsets, Oppo, LYF and Xiaomi (Mi) in Bhopal and surrounding region. SMS is also engaged in manufacturing of almirah. The group is promoted by Mr. Ramswarup Ji Gupta, Mr. Sanjay Seth, Mr. Prashant Gupta, Mrs. Keerti Devi Gupta, Mrs. Kirti Seth and Ms. Shubra Gupta. The group has presence in all 67 districts of Madhya Pradesh with network of 100 regional distributors all over Madhya Pradesh and 500 dealers in Bhopal.
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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 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: |
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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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| About the Rated Entity - Key Financials |
| The rated entity has not shared the latest financial statements despite repeated requests. |
| Rating Sensitivity |
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No information provided by the issuer/ available for Acuité to comment upon.
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| Material Covenants |
| None |
| Liquidity Position |
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No information provided by the issuer/ available for Acuité to comment upon.
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| 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 |
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• 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 |
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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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