RATING RATIONALE
14Oct2024

Lakshmi Vinayaka Traders

Brickwork Ratings reaffirms the long term ratings for the Bank Loan Facilities of Rs. 8.00 Crs. of Lakshmi Vinayaka Traders based on best available information, as the issuer did not cooperate.

Particulars
Facilities** Amount (Rs.Crs.) Tenure Rating#
Previous Present Previous
(10 Oct 2023)
Present
Fund Based 8.00 8.00 Long Term BWR C
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed
BWR C
Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed
Grand Total 8.00 8.00 (Rupees Eight 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

The ratings were due for review in September 2024. BWR took up with the issuer to provide the required information over emails and through telephone calls. Despite the best efforts of BWR to get at least the minimum required information for a review, the concern has not provided the same. The concern has also been irregular with respect to the submission of the monthly No Default Statement. In the absence of adequate information from the concern, BWR is unable to assess the entity's financial performance and its ability to service its debt and maintain a valid rating.

Based on best available information, Brickwork Ratings has reaffirmed the long-term rating at 'BWR C' and continued the ratings in the Issuer Not Cooperating* category.

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 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 the 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 Textiles Textiles & Apparels Other Textile Products

Lakshmi Vinayaka Traders is a proprietorship concern located in Guntur, Andhra Pradesh. Mr P Siva Rami Reddy is the proprietor of the concern. The concern is engaged in ginning and pressing of cotton Kapas and trading of Cotton Lint and Cotton Seed.

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

Not Applicable

ANY OTHER INFORMATION

Not Applicable 

RATING HISTORY FOR THE PREVIOUS THREE YEARS (including withdrawal and suspended)
Facilities Current Rating  (2024) 2023 2022 2021
Type Tenure Amount
(Rs.Crs.)
Rating Date Rating Date Rating Date Rating
Fund Based LT 8.00
BWR C
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed)
10Oct2023
BWR C
(Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed)
21Sep2022
BWR C
(Downgrade/ISSUER NOT COOPERATING*)
23Sep2021
BWR C+
(Downgrade/ISSUER NOT COOPERATING*)
Grand Total 8.00 (Rupees Eight Crores Only)
Hyperlink/Reference to applicable Criteria
Analytical Contacts

Md Saif Ali Khan

Rating Analyst saifali.k@brickworkratings.com

V Ramachandra

Director - Ratings ramachandra.v@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Lakshmi Vinayaka Traders
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.) Complexity of the Instrument
1 Union Bank of India Cash CreditSanctioned 8.00 _ 8.00 Simple##
Total 8.00 0.00 8.00
TOTAL (Rupees Eight Crores 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.

ANNEXURE-II
INSTRUMENT DETAILS

InstrumentIssue DateAmount (Rs.Crs)Coupon Rate (%)Maturity DateISIN ParticularsComplexity of the Instrument
NilNilNilNilNilNilNil

ANNEXURE-III
List of entities consolidated

Name of Entity% OwnershipExtent of consolidationRationale for consolidation
NilNilNilNil

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Brickwork Ratings (BWR), a Securities and Exchange Board of India [SEBI] registered Credit Rating Agency and accredited by Reserve Bank of India [RBI], offers credit ratings of Bank Loan, Non- convertible / convertible / partially convertible debentures and other capital market instruments and bonds, Commercial Paper, perpetual bonds, asset-backed and mortgage-backed securities, partial guarantees and other structured / credit enhanced debt instruments, Security Receipts, Securitization Products, Municipal Bonds, etc. BWR has rated over 11,560 medium and large corporates and financial institutions’ instruments. BWR has also rated NGOs, Educational Institutions, Hospitals, Real Estate Developers, Urban Local Bodies and Municipal Corporations. BWR has Canara Bank, a leading public sector bank, as one of the promoters and strategic partner.

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