RATING RATIONALE
11Aug2023

Akbar Travels Of India Pvt. Ltd.

Brickwork Ratings downgrades the ratings for the Bank Loan Facilities of Rs. 351.65 Crs. of Akbar Travels Of India Pvt. Ltd. based on best available information, as the issuer did not cooperate.

Particulars
Facilities** Amount (Rs.Crs.) Tenure Rating#
Previous Present Previous
(08 Aug 2022)
Present
Fund Based 83.65 83.65 Long Term BWR BBB- /Stable
Reaffirmation and change in Outlook
BWR BB + /Stable
ISSUER NOT COOPERATING* /Downgrade
Non Fund Based 268.00 268.00 Short Term BWR A3
Reaffirmation
BWR A4 +
ISSUER NOT COOPERATING* /Downgrade
Grand Total 351.65 351.65 (Rupees Three Hundred Fifty One Crores and Sixty Five lakhs Only)
#Please refer to BWR website www.brickworkratings.com for definition of the ratings
**Details of Bank Loan facilities,consolidation or instruments are provided in Annexure
*Issuer did not cooperate; based on best available information.


RATING ACTION / OUTLOOK / NATURE OF NON-COOPERATION

BWR downgrades the rating to BWR BB+/ Stable from BWR BBB-/ Stable and Short term rating to BWR A4+ from BWR A3 and migrated the same under the ISSUER NOT COOPERATING* category for the bank loan facilities of  Akbar Travels of India Pvt. Ltd based on the best available information. 

The rating was last reviewed on 08th Aug 2022. 
BWR followed up with the company via emails and calls to get updates on the current happenings in the company. The company has not provided the information required to execute the annual review however the surveillance has been done based on the best available information.
The company did not cooperate for a review of the rating for the bank loan facilities of Rs. 351.65crs. The company has not provided any information wrt business, management, operations, latest liquidity, etc. for its review hence, Brickwork Ratings has downgraded the rating to BWR BB+/ Stable and BWR A4+ and migrated under the ISSUER NOT COOPERATING* category, based on the best available information.

The lenders/investors may note to exercise due caution while using the above rating which mentions "Issuer Not Cooperating" since the rating lack any projections or forward looking component as it is arrived at based on the best available information without any management/banker's interaction.

LIMITATIONS OF THE RATING

Information availability risk is a key factor in the assessment of credit risk and non-cooperation by the firm to provide the required information for a review of the assigned rating may also be accompanied by financial stress. Users of the credit ratings should therefore take into account possible deterioration in the credit quality of the rated entity arising from its non-transparency and withholding of information required for a review of the rating.

ABOUT THE ENTITY

The Company was incorporated in 1978 as a proprietorship concern by Mr. K V Abdul Nazar. Later on in the year 2001, it was converted into a private limited company. ATIPL is engaged in the business of International & Domestic Air Ticketing, Foreign Exchange [FFMC], Hotel Bookings, Visa Servicing, Hajj & Umrah Services, Travel Insurance, Car Rental Services, Cruise and Railway bookings, and Holiday Packages. Presently the company is managed by Mr. K V Abdul Nazar and his wife Mrs. Noorjahan Abdul Nazar in the Capacity of directors. ATIPL’s head office is located in Mumbai and has a pan-India presence with offices located in cities like Mangalore, Cochin, Trivandrum, Chennai, Delhi, Kolkata, Jalandhar, Ahmedabad, Bangalore, Lucknow, etc. Further, post establishing itself in India, ATIPL has set up its offices across the countries in the Middle East and the U.S.A.

As per the information available with BWR, there are total 25 companies consolidated with Akbar Travels of India Pvt. Ltd.

KEY FINANCIAL INDICATORS

Please refer to the following link for the previous detailed rationale that captures the Key Financials Drivers and their Description, Liquidity Position. Rating Sensitivities, Key Financial Indicators. View Previous Document

STATUS OF NON-COOPERATION WITH PREVIOUS CRA

NA

RATING HISTORY FOR THE PREVIOUS THREE YEARS (including withdrawal and suspended)
Facilities Current Rating  (2023) 2022 2021 2020
Type Tenure Amount
(Rs.Crs.)
Rating Date Rating Date Rating Date Rating
Fund Based LT 83.65
BWR BB+/Stable
(ISSUER NOT COOPERATING* /Downgrade)
08Aug2022
BWR BBB- Stable
(Reaffirmation and change in Outlook)
07Jan2021
BWR BB Stable
(Downgrade/ISSUER NOT COOPERATING*)
07Jan2020
BWR BBB- Stable
(Assignment)
0.00
NA
NA
NA
19Jul2021
BWR BBB- Negative
(Upgrade and Removed from the INC category)
NA
NA
Non Fund Based ST 268.00
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade)
08Aug2022
BWR A3
(Reaffirmation)
07Jan2021
BWR A4
(Downgrade/ISSUER NOT COOPERATING*)
07Jan2020
BWR A3
(Assignment)
0.00
NA
NA
NA
19Jul2021
BWR A3
(Upgrade and Removed from the INC category)
NA
NA
Grand Total 351.65 (Rupees Three Hundred Fifty One Crores and Sixty Five lakhs Only)
COMPLEXITY LEVELS OF THE INSTRUMENTS - Simple

BWR complexity levels are meant for educating investors. The BWR complexity levels are available at www.brickworkratings.com / download / ComplexityLevels.pdf. Investors queries can be sent to info@brickworkratings.com.

Hyperlink/Reference to applicable Criteria
Analytical Contacts

Sonali Mittal

Rating Analyst sonali.m@brickworkratings.com

Bal Krishna Piparaiya

Principal Director - Ratings Board : +91 22 2831 1426, +91 22 2831 1439 piparaiya.bk@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Akbar Travels Of India Pvt. Ltd.
ANNEXURE-I
Details of Bank Facilities rated by BWR
SL.No. Name of the Bank/Lender Type Of Facilities Long Term(Rs.Crs.) Short Term(Rs.Crs.) Total(Rs.Crs.)
1 Bank of Baroda Cash CreditSanctioned 19.00 _ 19.00
2 Bank of Baroda Cash CreditProposed 6.00 _ 6.00
3 Bank of Baroda Bank GuaranteeSanctioned _ 111.00 111.00
4 Bank of Baroda Bank GuaranteeProposed _ 157.00 157.00
5 Bank of Baroda GECLSanctioned 54.40 _ 54.40
6 Federal Bank Over DraftSanctioned 4.25 _ 4.25
Total 83.65 268.00 351.65
TOTAL (Rupees Three Hundred Fifty One Crores and Sixty Five lakhs Only)
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