Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 22.40 ACUITE B | Reaffirmed | Issuer not co-operating* -
Bank Loan Ratings 3.00 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding Quantum (Rs. Cr) 25.40 - -
 
Rating Rationale
­Acuité has reaffirmed the long-term rating of ‘ACUITE B’ (read as ACUITE B) and short term rating of ‘ACUITE A4’ (read as ACUITE A four) on the Rs.25.40 crore bank facilities of T Abdul Wahid Tanneries Private Limited (TAWTPL). The rating continues to be flagged as “Issuer Not-Cooperating” on account of information risk.

About the Company
­TAWTPL, incorporated in 1975, is a Chennai-based company promoted by Mr. Rafeeq Ahmed. The company commenced commercial operations in July 1975 to manufacture and export finished leather to USA, Germany, Italy, Korea, Hong Kong, China and Portugal. The company has set up two tanneries - B Tannery and C Tannery at Ambur (Tamil Nadu) each with capacity of 36 lakhs pieces (goat skins per annum) and 30 lakhs pieces (semi-finished skins to finished skins per annum).
 
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 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 Sensitivity
­"No information provided by the issuer / available for Acuite to comment upon."
 
All Covenants
­None
 
Liquidity Position
­"No information provided by the issuer / available for Acuite to comment upon."
 
Outlook
­Not Applicable
 
Other Factors affecting Rating
­Not Applicable
 

Particulars Unit FY 22 (Actual) FY 21 (Actual)
Operating Income Rs. Cr. 25.96 24.93
PAT Rs. Cr. (3.10) (3.19)
PAT Margin (%) (11.96) (12.82)
Total Debt/Tangible Net Worth Times (13.63) 70.60
PBDIT/Interest Times (0.67) (0.23)
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
• Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm
• Default Recognition: https://www.acuite.in/view-rating-criteria-52.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
11 Jul 2022 Post Shipment Credit Long Term 4.00 ACUITE B ( Issuer not co-operating*)
Post Shipment Credit Long Term 3.00 ACUITE B ( Issuer not co-operating*)
Packing Credit Long Term 13.00 ACUITE B ( Issuer not co-operating*)
Letter of Credit Short Term 3.00 ACUITE A4 ( Issuer not co-operating*)
Standby Line of Credit Long Term 2.40 ACUITE B ( Issuer not co-operating*)
12 Apr 2021 Packing Credit Long Term 13.00 ACUITE B (Issuer not co-operating*)
Post Shipment Credit Long Term 4.00 ACUITE B (Issuer not co-operating*)
Letter of Credit Short Term 3.00 ACUITE A4 (Issuer not co-operating*)
Standby Line of Credit Long Term 2.40 ACUITE B (Issuer not co-operating*)
Post Shipment Credit Long Term 3.00 ACUITE B (Issuer not co-operating*)
30 Jan 2020 Letter of Credit Short Term 3.00 ACUITE A4 (Reaffirmed)
Post Shipment Credit Long Term 4.00 ACUITE B | Stable (Upgraded from ACUITE B-)
Post Shipment Credit Long Term 3.00 ACUITE B | Stable (Upgraded from ACUITE B-)
Standby Line of Credit Long Term 2.40 ACUITE B | Stable (Upgraded from ACUITE B-)
Packing Credit Long Term 13.00 ACUITE B | Stable (Upgraded from ACUITE B-)
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating
State Bank of India Not Applicable Letter of Credit Not Applicable Not Applicable Not Applicable 3.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
State Bank of India Not Applicable PC/PCFC Not Applicable Not Applicable Not Applicable 13.00 Simple ACUITE B | Reaffirmed | Issuer not co-operating*
State Bank of India Not Applicable Post Shipment Credit Not Applicable Not Applicable Not Applicable 3.00 Simple ACUITE B | Reaffirmed | Issuer not co-operating*
State Bank of India Not Applicable Post Shipment Credit Not Applicable Not Applicable Not Applicable 4.00 Simple ACUITE B | Reaffirmed | Issuer not co-operating*
State Bank of India Not Applicable Stand By Line of Credit Not Applicable Not Applicable Not Applicable 2.40 Simple ACUITE B | Reaffirmed | Issuer not co-operating*

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