RATING RATIONALE
07Dec2023

Amrut Exports.

Brickwork Ratings downgrades the long-term rating for the Bank Loan Facilities of Rs. 150.00 Crs. of Amrut Exports based on best available information, as the issuer did not cooperate.

Particulars
Facilities** Amount (Rs.Crs.) Tenure Rating#
Previous Present Previous
(21 Oct 2022)
Present
Fund Based 150.00 150.00 Long Term BWR BBB- /Stable
Assignment
BWR BB /Stable
ISSUER NOT COOPERATING* /Downgrade
(150.00) (150.00)
(30.00) (30.00)
(60.00) (60.00)
Grand Total 150.00 150.00 (Rupees One Hundred Fifty Crores 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 took up with the firm to provide the required information over emails and through telephonic communication as the rating was due for review in Oct2023. Despite the best efforts of BWR to get at least the minimum information for a review, the firm has not provided the same and has not been submitting NDS to BWR.

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

In absence of adequate information, non submission of no default statement and lack of management cooperation, the rating action is recommended based on best available information as the issuer did not cooperate. Accordingly, appropriate press releases will be made on our website. The rating of the said instrument is as follows - Downgrade the long-term rating to “BWR BB/Stable” from “BWR BBB-/Stable”  and simultaneously migrate the rating to Issuer Not Cooperating* category.

LIMITATIONS OF THE RATING

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

ABOUT THE ENTITY
Macro Economic Indicator Sector Industry Basic Industry
Consumer Discretionary Consumer Durables Consumer Durables Gems, Jewellery And Watches

Amrut Exports commenced business as a proprietary entity in 1993, and was later converted into a partnership firm in April 2016. The firm is engaged in processing of rough diamonds and sale of polished diamonds which vary between 0.01 CTS  TO  3.00 carats. Amrut Exports offers a wide range of cut and polished diamonds with various shapes, clarity, colors and sizes. The operations of Amrut Exports are well integrated from sourcing of rough diamonds from mining companies and also from overseas suppliers. The firm's manufacturing units are located in Surat(Gujarat) and its branch office is located at Bharat Diamond Bourse, Bandra (E), Mumbai. The firm derived 60% revenue from exports to countries such as Hong Kong, USA, Dubai, Japan, Thailand, China and Belgium. Amrut Exports sources more than 80% of its raw material demand from Dubai and Belgium. (As per information received during FY2022 review)

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

Acuite Ratings migrated the company's ratings to the ISSUER NOT COOPERATING* category w.e.f. 14 Oct 2022 as the issuer did not provide the information to conduct the rating exercise

ANY OTHER INFORMATION

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 150.00
BWR BB/Stable
(ISSUER NOT COOPERATING* /Downgrade)
21Oct2022
BWR BBB- Stable
(Assignment)
NA
NA
NA
NA
FB SubLimit LT (150.00)
BWR BB/Stable
(ISSUER NOT COOPERATING* /Downgrade)
21Oct2022
BWR BBB- Stable
(Assignment)
NA
NA
NA
NA
(30.00)
BWR BB/Stable
(ISSUER NOT COOPERATING* /Downgrade)
NA
NA
NA
NA
NA
NA
(60.00)
BWR BB/Stable
(ISSUER NOT COOPERATING* /Downgrade)
NA
NA
NA
NA
NA
NA
Grand Total 150.00 (Rupees One Hundred Fifty Crores 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

Harshit Rastogi

Ratings Analyst harshit.r@brickworkratings.com

Suryanarayan N

Chief Manager - Ratings suryanarayan.n@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Amrut Exports.
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 IndusInd Bank Foreign bills discountSanctioned 150.00 _ 150.00
Sub-Limit (Cash Credit/WCDL) Sanctioned (30.00)
Sub-Limit (Export Packing Credit ) Sanctioned (60.00)
Sub-Limit (PCFC) Sanctioned (150.00)
Total 150.00 0.00 150.00
TOTAL (Rupees One Hundred Fifty Crores Only)
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