RATING RATIONALE
14Jul2023

Riddhi Steel and Tube Ltd

Brickwork Ratings downgrades and simultaneously withdraws the long-term rating and the short-term rating for the Bank Loan Facilities of Rs. 49.35 Crs. of Riddhi Steel and Tube Ltd based on best available information, as the issuer did not cooperate.

Particulars
Facilities** Amount (Rs.Crs.) Tenure Rating#
Previous Present Previous
(22 Jun 2022)
Present
Fund Based 49.10 49.10 Long Term BWR BB+/Stable
Reaffirmation/ISSUER NOT COOPERATING*
BWR BB /Stable
Continues to be in ISSUER NOT COOPERATING* category/Downgraded and withdrawn
Non Fund Based 0.25 0.25 Short Term BWR A4+
Reaffirmation/ISSUER NOT COOPERATING*
BWR A4
Continues to be in ISSUER NOT COOPERATING* category/Downgraded and withdrawn
Grand Total 49.35 49.35 (Rupees Forty Nine Crores and Thirty 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
Note: *Issuer did not cooperate; based on best available information.

RATING ACTION / OUTLOOK

Brickwork Ratings (BWR) downgrades and simultaneously withdraws the ratings under the Issuer Not Cooperating* category based on the request of the "Riddhi Steel and Tube Ltd" for rating withdrawal.

The company has not submitted the NDS (No Default Statement) for more than three months. The request letter for rating withdrawal from the client along with No Objection Certificates (NOC) from the banker wherein the banker/s confirms that there is No Objection in the withdrawal of the Credit Rating for the Bank Loan Facilities has been received and is held on record.

In accordance with extant regulatory guidelines and as per BWR Rating Withdrawal Policy, the ratings of the said instrument is as follows: Downgrade the long-term rating to "BWR BB/Stable" from "BWR BB+/Stable" and short-term rating to "BWR A4" from “BWR A4+”, and continued the rating in the ISSUER NOT COOPERATING* category and simultaneously withdraws the ratings.

ABOUT THE ENTITY

Riddhi Steel And Tube Limited was incorporated on 07 September 2001 in Ahmedabad, Gujarat. The Directors of the company are Mr. Kirankumar Mushaddilal Agarwal, Mr. Paras Kumarpal Shah, Mr. Saurin Shailesh Shah, Mr. Rajeshkumar Ramkumar Mittal and Ms. Preeti Rajeshkumar Mittal. The Company manufactures MS ERW pipes and tubes used mainly in various infrastructure and engineering projects, water supply and irrigation projects. In September 2016 the company was listed on the BSE SME Platform. The company has an installed capacity of 60,000 MTPA at Kamod village Gujarat.

(Information received as per the year 2021 review).

NON-COOPERATION WITH PREVIOUS CREDIT RATING AGENCY

NA

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 49.10
BWR BB/Stable
(Continues to be in ISSUER NOT COOPERATING* category/Downgraded and withdrawn)
22Jun2022
BWR BB+Stable
(Reaffirmation/ISSUER NOT COOPERATING*)
22Mar2021
BWR BB+Stable
(Upgrade)
23Jul2020
BWR BB-Stable
(Downgrade/ISSUER NOT COOPERATING*)
Non Fund Based ST 0.25
BWR A4
(Continues to be in ISSUER NOT COOPERATING* category/Downgraded and withdrawn)
22Jun2022
BWR A4+
(Reaffirmation/ISSUER NOT COOPERATING*)
22Mar2021
BWR A4+
(Upgrade)
23Jul2020
BWR A4
(Downgrade/ISSUER NOT COOPERATING*)
Grand Total 49.35 (Rupees Forty Nine Crores and Thirty 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

Sneha S Khapare

Rating Analyst sneha.k@brickworkratings.com

Nagaraj K

Director - Ratings Board : +91 80 4040 9940 nagaraj.ks@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Riddhi Steel and Tube 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 City Union Bank Term LoanSanctioned 4.60 _ 4.60
2 City Union Bank Cash CreditSanctioned 44.50 _ 44.50
3 City Union Bank Bank GuaranteeSanctioned _ 0.25 0.25
Total 49.10 0.25 49.35
TOTAL (Rupees Forty Nine Crores and Thirty Five lakhs Only)
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