Brickwork Ratings downgrades the ratings for the Bank Loan Facilities of Rs. 154.46 Crs. of Techno Power Enterprises Pvt Ltd and migrates the ratings to 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 (19 Apr 2022) |
Present | ||
Fund Based | 26.46 | 26.46 | Long Term |
BWR BBB /Stable
Reaffirmation |
BWR BB +
/Stable ISSUER NOT COOPERATING* /Downgrade |
Non Fund Based | 128.00 | 128.00 | Short Term |
BWR A3+
Reaffirmation |
BWR A4 +
ISSUER NOT COOPERATING* /Downgrade |
(32.50) | (32.50) | ||||
(5.00) | (5.00) | ||||
(5.00) | (5.00) | ||||
(17.00) | (17.00) | ||||
Grand Total | 154.46 | 154.46 | (Rupees One Hundred Fifty Four Crores and Forty Six lakhs Only) |
Brickwork Ratings has downgraded the long-term rating to BWR BB+/Stable for bank loan facilities of Rs.26.46 crores and the short term rating to BWR A4+ for bank loan facilities of Rs.128.00 crores with simultaneous migration of the ratings to the “ISSUER NOT COOPERATING” category, based on best available information as the Issuer did not cooperate.
The rating is due for a review in April,2023. BWR took up with the entity to provide information over repeated emails, in respect of their loan facilities. Despite the best efforts of BWR to get the relevant information for the review, the entity has not provided the same. Mails to the bankers also have gone un responded.
The company is not providing NDS for more than three months.
Accordingly, based on inadequate information and non submission of NDS for more than three months, as well as lack of cooperation in providing the information, lack of banker's feedback and in order to comply with regulatory requirements, Brickwork Ratings has downgraded the ratings and migrated the same to the ISSUER NOT COOPERATING category, based on best available information 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 ratings should therefore take into account the possible deterioration in the credit quality of the rated entity arising from its non-transparency and withholding of information required for a review of the rating.
ABOUT THE ENTITYIncorporated on 02 Feb., 2000, Techno Power Enterprises Pvt Ltd. (TPEPL) is into Engineering, Procurement and Construction (EPC) services for the Power Utilities in India. It provides turnkey services for Survey, Design and Construction of Transmission & Distribution Lines, Substations, Rural Electrification, Civil Works for Power Projects and Engineering. Although TPEPL’s registered office is in Shillong, all the activities are managed from their Corporate Office in Kolkata. TPEPL is one of the leading EPC contractors in the North East market for power transmission solutions. It has extended its activities to executing major transmission contracts to Bihar, Jharkhand, Sikkim etc. It has major contracts of electrification under the Deen Dayal Upadhyay rural electrification schemes.
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
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 | 26.46 |
BWR BB+/Stable
(ISSUER NOT COOPERATING* /Downgrade) |
19Apr2022 |
BWR BBB Stable
(Reaffirmation) |
15Jan2021 |
BWR BBBStable
(Reaffirmation) |
30Jun2020 |
BWR BBBStable
(Reaffirmation) |
Non Fund Based | ST | 128.00 |
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade) |
19Apr2022 |
BWR A3+
(Reaffirmation) |
15Jan2021 |
BWR A3+
(Reaffirmation) |
30Jun2020 |
BWR A3+
(Reaffirmation) |
NFB SubLimit | ST | (32.50) |
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
(5.00) |
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
||
(5.00) |
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
||
(17.00) |
BWR A4+
(ISSUER NOT COOPERATING* /Downgrade) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
||
Grand Total | 154.46 | (Rupees One Hundred Fifty Four Crores and Forty Six 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.
Hyperlink/Reference to applicable CriteriaAnalytical Contacts | |
---|---|
Anitha More Rating Analyst anithamore@brickworkratings.com |
Anuradha Gupta Director - Ratings anuradha.g@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.) | |
---|---|---|---|---|---|---|
1 | Axis Bank Ltd. | Cash CreditSanctioned | 0.50 | _ | 0.50 | |
2 | Axis Bank Ltd. | Bank GuaranteeSanctioned | _ | 23.50 | 23.50 | |
Sub-Limit (Letter of Credit) Sanctioned | (5.00) | |||||
3 | Canara Bank | Cash CreditSanctioned | 4.50 | _ | 4.50 | |
4 | Canara Bank | Bank GuaranteeSanctioned | _ | 22.50 | 22.50 | |
Sub-Limit (Letter of Credit) Sanctioned | (5.00) | |||||
5 | Canara Bank | CECLSanctioned | 0.15 | _ | 0.15 | |
6 | Canara Bank | GECLSanctioned | 0.78 | _ | 0.78 | |
7 | Karnataka Bank Ltd | GECLSanctioned | 0.67 | _ | 0.67 | |
8 | Karnataka Bank Ltd | Bank GuaranteeSanctioned | _ | 17.00 | 17.00 | |
Sub-Limit (Letter of Credit) Sanctioned | (17.00) | |||||
9 | Karnataka Bank Ltd | Over DraftSanctioned | 4.00 | _ | 4.00 | |
10 | State Bank Of India (SBI) | Bank GuaranteeSanctioned | _ | 65.00 | 65.00 | |
Sub-Limit (letter of credit) Sanctioned | (32.50) | |||||
11 | State Bank Of India (SBI) | Term LoanSanctioned | 1.40 | _ | 1.40 | |
12 | State Bank Of India (SBI) | Cash CreditSanctioned | 12.00 | _ | 12.00 | |
13 | State Bank Of India (SBI) | GECLSanctioned | 2.26 | _ | 2.26 | |
14 | State Bank Of India (SBI) | CECLSanctioned | 0.20 | _ | 0.20 | |
Total | 26.46 | 128.00 | 154.46 | |||
TOTAL (Rupees One Hundred Fifty Four Crores and Forty Six lakhs Only) |
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