RATING RATIONALE
12 Apr 2022

Avadhoot Project Pvt. Ltd.

Brickwork Ratings assigns the ratings for the Bank Loan Facilities of Rs.25.75 Crs. of Avadhoot Project Pvt. Ltd.

Particulars
Facility** Amount (Rs.Crs) Tenure Rating*
Fund Based
Cash Credit Sanctioned 04.75 Long Term BWR BB (Stable)
Sub Total 04.75
Non-Fund Based
Bank Guarantee Sanctioned 21.00 Short Term BWR A4 +
Sub Total 21.00
Grand Total 25.75 (Rupees Twenty Five Crores and Seventy Five lakhs Only)
*Please refer to BWR website www.brickworkratings.com for definition of the ratings
**Details of Bank facilities are provided in Annexure-I
RATING ACTION / OUTLOOK : Stable

BWR has essentially relied upon the audited financial statements of Avadhoot Project Pvt. Ltd. for FY18-19, FY19-20, FY20-21, provisional financial statements of F21-22, and projected financial statements of FY22-23, publicly available information, and information/clarifications provided by the entity’s management. The rating draws strength from the vast business experience of the member/s, established track of operations, and modest financial risk profile.

However, the rating is constrained by the current scale of operations, inherent cyclicality in the industry as well as the intense competition from other established players in the market.

BWR believes that Avadhoot Project Pvt. Ltd. business risk profile will be maintained over the medium term. The 'Stable' outlook indicates a low likelihood of rating change over the medium term. The rating outlook may be revised to 'Positive' in case the revenues and profit show sustained improvement. The rating outlook may be revised to 'Negative' if the revenues go down and profit margins show lower than expected figures.

KEY RATING DRIVERS

Credit Strengths:


Credit Risks:

ANALYTICAL APPROACH AND APPLICABLE RATING CRITERIA

For arriving at its ratings, BWR has applied its rating methodology as detailed in the Rating Criteria detailed below (hyperlinks provided at the end of this rationale).

PROFILE

Avadhoot Project Pvt. Ltd established as Avadhoot Construction Company in 1983. It was constituted as Pvt.Ltd from 01/04/2017. It is working as civil engineering Contractor since its establishment. It has constructed number of Bridges and ROBs including its approaches. It is registered as "AA" class contractor in Road and Buildings Department, Government of Gujarat with special Category " I " for Bridge Works. It is also registered in the recent past as 'A' category for major bridge work with western railway Mumbai.

KEY FINANCIAL INDICATORS
Key Parameters Units FY 20-21
(Audited)
FY 19-20
(Audited)
Operating Revenue Rs.Crs. 57.86 71.70
EBITDA Rs.Crs. 4.49 4.20
PAT Rs.Crs. 2.10 2.21
Tangible Net Worth Rs.Crs. 11.95 9.85
Total Debt/Tangible Net Worth Times 0.98 1.62
Current Ratio Times 1.12 0.87

RATING HISTORY (INCLUDING WITHDRAWAL AND SUSPENSION)
S.No Current Rating (2022) Rating History
Facilities Tenure Amount (Rs.Crs) Rating 2021 2020 2019
Fund Based
1
Cash Credit - Sanctioned
Long Term
04.75
BWR BB
(Stable)
NA NA NA
Non-Fund Based
2
Bank Guarantee - Sanctioned
Short Term
21.00
BWR A4+ NA NA NA
Total 25.75 (Rupees Twenty Five Crores and Seventy Five lakhs Only)
COMPLEXITY LEVELS OF THE INSTRUMENTS

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 : For More Information Contact:
Analytical Contacts

Joshi Vishalkumar Dinkarkumar

Lead Analyst vishalkumar.j@brickworkratings.com

Dileep Narayan Singh

Director dileep.s@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Avadhoot Project 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 The Mehsana Urban Co-operative Bank Cash CreditSanctioned 4.75 _ 4.75
2 The Mehsana Urban Co-operative Bank Bank GuaranteeSanctioned _ 21.00 21.00
Total 4.75 21.00 25.75
TOTAL (Rupees Twenty Five Crores and Seventy Five lakhs Only)
ANNEXURE-II
INSTRUMENT DETAILS

InstrumentIssue DateAmount (Rs.Crs)Coupon RateMaturity DateISIN Particulars
NANANANANANA

ANNEXURE-III
List of entities consolidated

Name of Entity% OwnershipExtent of consolidationRationale for consolidation
NANANANA

Additional information is available at www.brickworkratings.com The ratings above were solicited by,or on behalf of , the issuer, and therefore, Brickwork Ratings has been compensated for the provision of the ratings.
Ratings are not a recommendation or suggestion ,directly or indirectly, to you or any other person, to buy sell, make or hold on any investement,loan or security or to undertake any investement strategy with respect to any investment,loan or security or any issuer.
About Brickwork Ratings

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 11,400 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. BWR has its corporate office in Bengaluru and a country-wide presence with its offices in Ahmedabad, Chandigarh, Chennai, Hyderabad, Kolkata, Mumbai and New Delhi along with representatives in 150+ locations.

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Brickwork Ratings India Pvt. Ltd. (BWR), a Securities and Exchange Board of India [SEBI] registered Credit Rating Agency and accredited by the Reserve Bank of India [RBI], offers credit ratings of Bank Loan facilities, 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. [ hereafter referred to as "Instruments"]. BWR also rates NGOs, Educational Institutions, Hospitals, Real Estate Developers, Urban Local Bodies and Municipal Corporations.

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