Brickwork Ratings reaffirms both the long term and the short term rating for the Bank Loan Facilities of Rs. 51.90 Crs. of Lexus Granito India Ltd., under the Issuer Not Cooperating category, based on best available information, as the issuer did not cooperate.
ParticularsFacilities** | Amount (Rs.Crs.) | Tenure | Rating# | ||
---|---|---|---|---|---|
Previous | Present | Previous (30 Jun 2023) |
Present | ||
Fund Based | 47.20 | 47.20 | Long Term |
BWR D
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed |
BWR D
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed |
Non Fund Based | 4.70 | 4.70 | Short Term |
BWR D
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed |
BWR D
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed |
Grand Total | 51.90 | 51.90 | (Rupees Fifty One Crores and Ninety lakhs Only) |
Brickwork Ratings has reaffirmed the rating of the long term bank loan facilities of Lexus Granito India Ltd. for Rs. 47.20 crores at BWR D, and also has reaffirmed the rating of their short term bank loan facilities of Rs. 4.70 crores at BWR D (aggregate rated amount Rs. 51.90 crores), while retaining the same in the Issuer Not Cooperating’ category, based on best available information as the Issuer did not cooperate.
The Initial Rating of Lexus Granito India Ltd. of Rs.51.90 Crores was done on 09 Jan 2019 and ratings of BWR D and BWR D were assigned as the lender reported delay in servicing debt obligations. Subsequently, due to lack of cooperation from the issuer, despite continued follow up to enable us to carry out a review and based on Banker’s feedback on the Company, the long-term ratings was reaffirmed at BWR D and also the short term rating was reaffirmed at BWR D and moved to “Issuer Not Cooperating” category on 24 Mar 2020 for the first time. Both the ratings were reaffirmed at BWR D/D with continuation in Issuer Not Cooperating Category on 26 Apr 2021. Both the ratings were reaffirmed at BWR D/D with continuation in Issuer Not Cooperating Category on 13 Jun 2022. Both the ratings were reaffirmed at BWR D/D with continuation in Issuer Not Cooperating Category on 30 Jun 2023.
The rating was due for a review in Jun 2024. BWR took up with the issuer and its banker over emails and through telephone calls to provide the required information. Despite the best efforts of BWR to get at least the minimum required information for a review, neither the company nor its banker has provided the same. In the absence of adequate information from the company and its banker, including absence of specific information on the status of default / curing of default, BWR is unable to assess the company’s financial performance or its ability to service its debt and maintain a valid rating. The company has also been irregular with respect to the submission of the monthly No Default Statements. Hence, based on best available information, continued lack of management cooperation, non submission of NDS, and lack of banker’s feedback, both the long-term and the short-term rating is reaffirmed, and continued in the Issuer Not Cooperating* category, as the Issuer did not cooperate.
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 as generally, non cooperation by the rated entities to provide the 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 the possible deterioration in the credit quality of the rated entity arising from its non- transparency and withholding of the information required for a review of the rating.
ABOUT THE ENTITYMacro Economic Indicator | Sector | Industry | Basic Industry |
---|---|---|---|
Consumer Discretionary | Textiles | Textiles & Apparels | Other Textile Products |
Lexus Granito India Limited (LGIL), incorporated in 2007, is a NSE listed company based out of Morbi, Gujarat. Mr. Babulal Detroja, Mr. Anil Detroja, Mr. Nilesh Detroja and Mr. Hitesh Detroja are the managing directors of the company. The company is engaged in manufacturing and exporting of vitrified tiles and wall tiles. The company mainly exports the products to Saudi Arabia, Mexico and Kuwait. The unit has an installed capacity to produce 5,40,00,000 sq. ft. of wall tiles per annum and 91250 MTS of sizes 300”x 450 “, 300” x 600” of ceramic tiles per annum.
(As per the information available during CY2019)
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
Creadit Rating Agency | Status and Reason for Non-Cooparation | Date of Press Release |
---|---|---|
ICRA | In the absence of requisite information, ICRA has reaffirmed the rating at ICRA D/D with continuation in the Issuer Not Cooperating Category. | 30Jan2024 |
Facilities | Current Rating (2024) | 2023 | 2022 | 2021 | |||||
---|---|---|---|---|---|---|---|---|---|
Type | Tenure | Amount (Rs.Crs.) |
Rating | Date | Rating | Date | Rating | Date | Rating |
Fund Based | LT | 47.20 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
30Jun2023 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
13Jun2022 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
26Apr2021 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
Non Fund Based | ST | 4.70 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
30Jun2023 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
13Jun2022 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
26Apr2021 |
BWR D
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed) |
Grand Total | 51.90 | (Rupees Fifty One Crores and Ninety lakhs Only) |
Analytical Contacts | |
---|---|
Chinmaya R Rating Analyst chinmaya.r@brickworkratings.com |
Ravi Rashmi Dhar Associate Director - Ratings ravi.d@brickworkratings.com |
1-860-425-2742 | media@brickworkratings.com |
SL.No. | Name of the Bank/Lender | Type Of Facilities | Long Term(Rs.Crs.) | Short Term(Rs.Crs.) | Total(Rs.Crs.) | Complexity of the Instrument |
---|---|---|---|---|---|---|
1 | State Bank Of India (SBI) | Term LoanOut-standing | 25.20 | _ | 25.20 | Simple## |
2 | State Bank Of India (SBI) | Cash CreditSanctioned | 22.00 | _ | 22.00 | Simple## |
3 | State Bank Of India (SBI) | Bank GuaranteeSanctioned | _ | 4.70 | 4.70 | Simple## |
Total | 47.20 | 4.70 | 51.90 | |||
TOTAL (Rupees Fifty One Crores and Ninety lakhs Only) |
##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.
Instrument | Issue Date | Amount (Rs.Crs) | Coupon Rate (%) | Maturity Date | ISIN Particulars | Complexity of the Instrument |
---|---|---|---|---|---|---|
Nil | Nil | Nil | Nil | Nil | Nil | Nil |
Name of Entity | % Ownership | Extent of consolidation | Rationale for consolidation |
---|---|---|---|
Nil | Nil | Nil | Nil |
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