Rapicut Carbides Ltd. — Capital/Financing Update 2020

Feb 23, 2020

Rapicut Carb! des Limited

Regd. Office & Works:

119, GIDC Industrial Area, Ankleshwar - 393 002, Gujarat (India) Tel. : ++91 (2646) 251118, 221071 e-mail : info@rapicutcarbides.com Web site : www.rapicutcarbides.com

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An ISO 9001 CERTIFIED COMPANY

CIN: L28910GJ1977PLC002998 PAN No. AAACR8753N

The Manager Corporate Relationship Dept. BSE Limited Phiroze Jeejeebhoy Towers Dalal Street, Mumbai - 400 001.

REF: RCL:KMS:BSE-CARE-RATING/20:

Date: 23/02/2020

Sub: Credit Rating for Long Term and Short Term Bank Facilities. Scrip Code: 500360

Dear Sir,

Pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 20 l 5 read with Para A of Part A of Schedule Ill of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find attached Credit Ratings for Bank facilities issued by Credit Analysis & Research Limited(CARE).

This is for your kind information and records.

Thanking you,

Yours faithfully, For Rapicut Carbides Limited \� Kamlesh M Shinde (Company Secretary)

Cs\care-rating

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Review Rating Letter_Rapicut Carbides Limited

Subject: Review Rating Letter_Rapicut C:-11bideslimited From: "Sajni Shah" sajni.shah@careratings.com Date: 2/22/2020, 5:32 PM

To: accounts@rapicutcarbides.com CC: "Shachee Tripathi" shachee.tripathi@careratings.com

Dear Sir,

Please find attached copy of letter. Hard copy will be dispatched shortly.

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Regards

Sajni Shah I Analyst

Ratings cfro� P�km1l ltbk OpinN,11

CARE Ratings Limited

(Formerly known as Credit Analysis & Research Ltd)

32-Titanium, Prahladnagar Corporate Road,

Prahladnagar, Satellite, Ahmedabad- 380015

Tel.: +91-79-40265683 (Direct), +91-79-4026 5656 (Board)

Mob.: +91- 9662549687

CIN: L67190MH1993PLC071691

www.careratings.com

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Review Rating Letter_Rapicut Carbides Limited

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Review Rating Letter_Rapicut Carbid�s Limited.pdf 2.7 MB

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2/23/2020, 1:52 PM

~~Ratings Professional Risk Opinion

CARE/ARO/RL/2019-20/1718

Mr. Jagdish Bhatia

Director

Rapicut Carbides limited

Ground Floor,

119, GIDC Industrial Area,

Ankleshwar - 393002 Gujarat

February 20, 2020

Confidential

Dear Sir,

Credit rating for bank facilities

On a review of recent developments including operational and financial performance of your company during 9MFY20 (UA), our Rating Committee has reviewed the following ratings:

companyduring	companyduring	RatingCommittee hasreviewed	RatingCommittee hasreviewed
	Amount
		l
Facilities Long Term Bank Facilities	(Rs. crore) 1.35	Rating CARE B88M (Triple B Minus) (Under credit watch with developing	Rating Action Revisedfrom CAREBBB;(Triple B); [Under credit watch with developing
Long Term/ Short-Term Bank Facilities	4.70	implications) CARE BBB-I CARE A3 (Triple B Minusl A Three) [Under credit watch with developing	implications] Revised from CARE BBBI CARE A3+ (Triple B/ A Three Plus) [Under credit watch with developing
Short Term Bank Facilities	3.75	implications} CARE A3 (A Three) [Under credit watch with developing	implications] Revisedfrom CAREA3+ (A Three Plus) IUnder credit watch with developing
Total	9.80 (Rupees Nine crore Eighty lakhs only)	Implications]	implications]

• 2 Refer Annexure 1 for details of rated facilities.

3 A write-up (press release) on the above rating is proposed to be issued to the press shortly, a draft of which is enclosed for your perusal as Annexure 2. We request you to peruse the annexed document and offer your comments, if any. We are doing this as a matter of courtesy to our 0/ clients and with a view to ensure that no factual inaccuracies have inadvertently crept in. Kindly ~'6 . CARE Ratings limited

CARE Ratings limited

CORoRAfEqwJl~e w,gi!w,f/j H.,fi1M'~~iR!1 ~1'JlbRf. a ib e at I-tww.carerating.v.coman OJ .Efjt~ffnfl' :wtJ~~o,po,at" RQad all h,t",n hp'"'' Highway. Sian (El.Mumbal • 400 400 022. Satellite. Ahmedabad. 380 015 Tel.: +91.22.6754 3456 • Fa~, +91.22.6754 +91.22.6754 )457 Tel: +91-79.4026 5656 • F.u.: +91-79.4026 5657

all h,t",n hp'"'' Highway. Sian (El.Mumbal • 400 400 022. Tel.: +91.22.6754 3456 • Fa~, +91.22.6754 +91.22.6754 )457 Emall.ca ••••@lca•••••ahng •.com • www.ca•••••ating •.com

CIN-L67190MH 1993PLC071 b91

revert as early as possible. In any case, if we do not hear from you by February 24, 2020, we will proceed on the basis that you have no any comments to offer.

• 4 CAREreserves the right to undertake a surveillance/review of the rating from time to time, based on circumstances warranting such review, subject to at least one such review/surveillance every year.

• S CAREreserves the right to revise/reaffirm/withdraw the rating assigned as also revise the outlook, as a result of periodic review/surveillance, based on any event or information which in the opinion of CAREwarrants such an action. In the event of failure on the part of the entity to furnish such information, material or clarifications as may be required by CAREso as to enable it to carry out continuous monitoring of the rating of the bank facilities, CAREshall carry out the review on the basis of best available information throughout the life time of such bank facilities. In such cases the credit rating symbol shall be accompanied by "ISSUERNOT COOPERATING", CAREshall also be entitled to publicize/disseminate all the afore~mentioned rating actions in any manner considered appropriate by it, without reference to you.

• 6 CAREratings do not take into account the sovereign risk, if any, attached to the foreign currency loans, and the ratings are applicable only to the rupee equivalent of these loans.

• 7 Our ratings do not factor in any rating related trigger clauses as per the terms of the facility/instrument, which may involve acceleration of payments in case of rating downgrades. However, if any such clauses are introduced and if triggered, the ratings may see volatility and sharp downgrades.

• 8 Users of this rating may kindly refer our website www.careratings.com for latest update on the outstanding rating.

• 9 CAREratings are not recommendations to sanction, renew, disburse or recall any bank facilities.

Ifyou need any clarification, you are welcome to approach us in this regard.

Thanking you, Yours faithfully Q.V,a (slifni Shah] es~ Analyst Associate Director sa jni.shah@careratings.com kalpesh. patel@careratings.com Encl.: As above

CARE Ratings limited

1. Titanium, Prahaladnagar Corpo,at ••Road 5alelllle, Ahrnedabad . 380015 Tel, +91.79_4026 5656 • Fax.: +91.79.4026 S657

CORPORATEOFFICE, 4" Floor, God,ej Coli.eum, Somalya Hospital Road, Off East••,n Exp,•••• Highway. Sion (El, Mumbal .400022. T••I., +91-22-6754 34S6 • Fa~, +91.22.6754 3457 Em••il: ca, ••@c•••••r••ling •.com • _w.ca, ••,ating'.com

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Disclaimer

~ARE's ratings are opinions on the likelihood of timely payment of the obligations under the rated instrument and are not recommendations to sanction, renew, disburse or recall the concerned bank acilities or to buy, sell or hold any security. CARE'sratings do not convey suitability or price for the investor, CARE's ratings do not constitute an audit on the rated entity. CARE has based its ratings/outlooks on information obtained from sources believed by it to be accurate and reliable. CARE ~oes not, however, guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. Most !entities whose bank facilities/instruments are rated by CAREhave paid a credit rating fee, based on the mount and type of bank facilities/instruments. CAREor its subsidiaries/associates may also have other ommercial transactions with the entity. In caseof partnership/proprietary concerns, the rating /outlook ssigned by CAREis, inter.alia, based on the capital deployed by the partners/proprietor and the financial trength of the firm at present. The rating/outlook may undergo change in case of withdrawal of capital lorthe unsecured loans brought in by the partners/proprietor in addition to the financial performance and iother relevant factors. CAREis not responsible for any errors and states that it has no financial liability ~hatsoever to the usersof CARE'srating.

pur ratings do not factor in any rating related trigger clauses as per the terms of the facility/instrument ~hich may involve acceleration of payments in caseof rating downgrades. However, if any such clauses ar introduced and if triggered, the ratings may seevolatility and sharp downgrades.

CARE Ratings limited

1. Titanium, Prahaladnag'" Corporate Road 5at"lIite, Ahmedabad. 380 015 Tel: +91.79.4026 5656 • Fax.: +91.79-4026 5657

CORPORATEOFFICE: 4- Floor, God,el Coliseum, Somaiya Hospital Road, Off Eastern Exp'''1$ Highway, 5ion lEI, Mumbal. 400 022. Tel.: +91.22.6754 3456 • Fax: +91.22.6754 3457 Email: care@ca,erating,.com • www.ca.eratlng •.com

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Annexure 1 Details of Rated Facilities

1. long Term facilities

l.A. Rupee Term loan

	r. No. Name of Bank	r. No. Name of Bank	Rated Amount	Sanctioned	(RS.crore) Debt Repayment Terms
	1.	State Bank of India	1.35.	Amount 1.40	Repayable in 60 monthly installments of RS.2.33Iakhs each commenced from
September 2019 to August 2024 . •Outstanding as on October 14, 2019 and till date only RS.40 lakhs were disbursed.

Total long.term bank facilities at (l.A.): Rs. 1.35 crore

2. long Term/Short Term facilities

2. A.	Fund.based limits
			(Rs Crare)
Sr. No. 1	Name of Bank State Bank of India	CC' 4.70	Fund Based limits Others Remark One way interchange ability of - RS.0.90 crore from cash credit to
			letter of credit
Total "CC:Cash Credit		4.70	-

Total long-term/ Short-term bank facilities at (2.A.): Rs. 4.70 crore

1. Short.term facilities

3. A. Non-Fund Based Facilities

Sr. No. 1 2	Name of Bank State Bank of India	Nature of Facility letter of Credit Bank Guarantee	Amount (Rs. Crore) 3.00 0.75	Remarks Interchange ability of Rs.0.30 crore between letter of Credit and Bank Guarantee and vice versa Credit exposure limit (forward contract) worth Rs.0.36 crore within sub limit of letter of Credit
	Total		3.75

Total Short-term bank facilities at 13.A.): Rs. 3.75 crore

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Total bank facilities as at (1+2+3) - RS.9.80 crore

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CARE Ratings limited

~FICf: 4~ Floor, God,e; Coll.eum. Somaiya Ho'pltal Road. Off fa'l",n hpr"" Highway, Sion (fl. Mumbai - 400 022. hI.: +'11-22-6754 3456 • Fax:+'11-22-6754 3457

32, Tllanium. p".haladnagar Corporale Road Sale!!ite, Ahmedabad. 380 015 Tel: +91_7'1_40265656 • Fax.:+91-79.4026 5657

Email: ca,e@Cllreratlng'.com • www.Clrerating •.com 9 >

Annexure 2 Press Release

Rapicut Carbides limited

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Ratings
Amount
Facilities Rating [l] Rating Action
(Rs.crore)
CAREBBB-(Triple B Minus) Revisedfrom CAREBBB;
LongTerm Bank
1.35 (Under credit watch with (Triple B); (Under credit
Facilities
developing watch with developing
Implications] implications]
Revisedfrom CAREBBB/
CARE BBB-/ CAREA3 (Triple B
LongTerm/ CAREA3+ (Triple S/ A Three
Minus! A Three)
Short-Term Bank 4.70 Plus)
[Under credit watch with
Facilities [Under credit watch with
developing
developing
implications]
implications]
CAREA3 Revisedfrom CAREA3+ {A
Short Term Bank (A Three) Three Plus)
3.75
Facilities [Under credit watch with [Under credit watch with
developing developing
implications] implications]
9.80
(Rupees Nine
Total
crore Eighty lakhs
only)
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Details of instruments/facilities in Annexure-l

Detailed Rationale & Key Rating Drivers

The revision in ratings assigned to the bank facilities of Rapicut Carbides Limited (RCl) is on account of decrease in scale of operations along with profitability during 9MFY20 (UA, refers to period April 01 to December 31). The ratings, also, continue to remain constrained on account of its elongated operating cycle, susceptibility of profit margins to fluctuations in raw material prices and competition from imported products. However, the ratings continue to derive strength from its above average financial risk profile marked by comfortable capital structure, debt coverage indicators as well as liquidity position during FY19 (audited, FY; refers to period April 01 to March 31). The ratings also continue to take into consideration vast experience of promoters of RCl, its established track record of operations and diversified product mix coupled with strong marketing and distribution network.

The ratings for the bank facilities of RCl continue to remain 'under credit watch with developing implications' in view of the proposed change in ownership and management and the probable impact of the same on the credit profile of RCL CARE will continue to closely monitor the CARE Ratings limited C~PORA fliM ,e4 ~{Jl.tlfb'Ar Co ,l.fl'~~~Jt£fH¥~$,alff*a~'Q/ aole at lI'\tw.carerarmg.~.com and iW.~~ft:WUtfi,BJf1/l.iiirl.y!w.:brporate Road Off Eastern hpre •• Hi9hway, 5ion (El, Mumbai _400 022. Satellite, Ahmedabad - 380015 Tel.: .•91_22_6754 3456 • f.•.•: +91_22_6754 3457 Tel: +91-79.4026 5656 • f"".: +91.79.4026 5657 Email: care@care,atin9 •.com • www.careralin.} •.com

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developments with respect to the proposed changed in ownership as well as management and will take a view on the ratings of the company once the exact implication of this event on the credit risk profile of the company becomes clear.

Key Rating Sensitivities

Positive Factors

• Significant increase in scale of operations by more than 50% with achieving PBILDTmargin of more than 13%.

• Sustaining capital structure at below unity level as well as debt coverage ratio marked by total debt/gross cash accruals at below unity level.

• Reduction in inventory holding period below three months on sustained basis.

Negative Factors

• Decline in PBILDTmargins below 9% on sustained basis.

• Increase in collection period by more than 30 days resulted into elongation in operating cycle and putting pressure on liquidity.

Detailed description of the key rating drivers

Proposed change in ownership and management; which is under process

There is proposed change in ownership and management as Mr. Abhishek Gami (acquirer, Partner at MIS United Wolfram, one of the supplier of RCL)and Mrs. Shruti Gami (person acting in concert with acquirer) have executed share purchase agreement dated August 19, 2019 for acquisition of 27.77% (14,91,451 shares at price of RS.42 per share) of stake from existing promoters. This event triggered open offer on August 19, 2019 to the public share-holders for acquisition of up to 13,96,524 equity shares constituting 26% of share capital with consideration of Rs,42 per share as against existing share price of RS.35,40 as on August 19, 2019. Out of total 13,96,524 shares proposed in open offer, 3,01,862 shares were actually tendered by public as per publication dated November 01,2019.

However, change in management and publication of revised shareholding pattern is still pending. As such, CAREwill continue to closely monitor the developments with respect to the proposed change in ownership as well as management and will take a view on the ratings of the company once the exact implication of this event on the credit risk profile of the company becomes clear.

Key Rating Strengths

Comfortable capital structure and debt coverage indicators Capital structure of RCLdeteriorated marginally but remained comfortable marked by an overall gearing ratio of 0.13 times as on March 31, 2019 as against 0.06 times as on March 31, 2018 due to higher utilization of working capital bank borrowings as on balance sheet date.

CARE Ratings limited

1. Tilanium. Prahaladnaqar Corporate Road Sal••lIlle, Ahmedabad - 380 01S Tel: .•91.]9.4026 5656 • F•.•.: +91.19.4026 5651

C ORAU OffICE: 4~ Floor. Godr"j Coil,,,,,,,,, 50",~lya Ho'pllal Road. Off E." ••r" Expr••ss Hiqhway. 5ion (E),M"mb.1 - 400 022. Tel.:.•91.22-6754 3456 • F•.•: .•91 .22-61S4 34S1

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Debt coverage indicators also continued to remain comfortable marked by total debt to GCA of 0.93 times as on March 31, 2019 (0.35 times as on March 31, 2018). Interest coverage of RCl although reduced marginally over previous year, remained comfortable at 20.96 times during FY19 (22.72 times during FY18) owing to decrease in operating profits. However in 9MFY20, interest coverage ratio deteriorated significantly due to significant decrease in operating profitability coupled with increase in interest expenses during the period due to increased utilization of its working capital limits. Rel has utilized 60% of its sanctioned working capital limit on average basis for the past 12-months ended January 2020. Vast experience of promoters with established track record of operations and diversified product mix coupled with strong marketing and distribution network RCl's existing management consists of directors who have over three decade long experience in the machine tools manufacturing industry. Mr. Jagdish Bhatia is the founder promoter and managing director of the company. He looks after overall operations of the company and is involved in strategic decisions at RCL. Further, operations of the entity are supported by other experienced professionals. Further, CAREwill continue to closely monitor the developments with respect to the proposed changed in ownership as well as management and will take a view on the ratings of the company once the exact implication of this event on the credit risk profile of the company becomes clear.

RCl started its operations in 1979, thereby has a long track record of business operations of over three decades and has diversified product mix having more than 100 types of metal cutting tools which is being used in varied industries. Further, RCl has developed business relationship with its customers for more than a decade from whom it gets repetitive orders regularly.

Key Rating Weaknesses

Decrease in scale of operations as well as profitability during 9MFY20 During 9MFY20, total operating income (TOl) exhibited de-growth by 23% against Tal of 9MFY19 and remained moderate at RS.25.17 crore as against RS.32.76 crore in 9MFY19 due to moderation in Tal during Q3FY20 owing to lower demand of its products as mines were closed due to extended monsoon season in southern and eastern India. Further, the profitability of RCl declined in 9MFY20 due to moderation in Tal in Q3FY20 with reporting operating loss in Q3FY20 owing to increased raw material costs coupled with fixed overheads against lower level of income which RCl was not able to pass on to customers due to lower demand. The PBllDT margin reduced to 4.05% during 9MFY20 as against PBllDT margin of 11.93% during 9MFY19. Consequently with increase in interest expenses during the 9MFY20, RCl reported PAT margin of 0.40% during 9MFY20 as against healthy PAT margin 6.86% during 9MFY19.

CARE Ratings limited

32, Tilanlum, Prahaladnagar Corporate Road Satellite. Ahmedabad .380015 Tel: +91-19.4026 S6S6 • Fax.: +91.79.4026 5657

CORPORATE OFFICE, 4'" Floor, God,el Coliseum, Somaiya Hospllal Road. Off Eane,n Express Higtlway, Slo" (E), Mum!>ai - 400 012. Tel~ +91-12-6154 34S6 • F",,: +91.12.67543457 Email: care@careralings.com._w.c •••eratln9~.com

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Elongated operating cycle

During FY19, working capital cycle of the company elongated to 198 days as against 174 days during FY18 on account of higher inventory holding period and increase in collection period. Further, operating cycle remained elongated owing to elongated inventory holding period, as RCl holds higher inventory in form of processed material viz, tungsten car-bide powder to execute quick final product in receipt of order.

Susceptibility of operating margins to raw material price fluctuations The primary raw material that RCL require for manufacturing carbides tools are cobalt, blue tungsten oxide, ammonium Para tungstate and tungsten carbide powder. RCl is exposed to the risk associated with fluctuation in prices of these raw materials from imported as well as indigenous market.

Competition from imported products

The major manufacturers of sintered and powdered industrial tools are based in Europe, USAand China. Further, low cost and ease of availability of tungsten carbide have been an impetus for Chinese manufacturers. In India, domestic requirements of tungsten are met by imports as well as domestic producers. In the domestic market, RCLfaces competition from big players whose scale of operations is higher than that of RCL.

Liquidity Analysis: Adequate liquidity

Overall liquidity remained adequate marked by moderate working capital limit utilization at 60% for past 12 months ended January, 2020 as balance working capital requirement is met through internal accruals. Further, although RCl reported cash loss of RS.0.10 crore in Q3FY20 and lower level of cash profit of RS.0.72 crore in 9MFY20, it is considered to be adequate against its scheduled debt repayment of RS.O.19crore for FY20.

Analytical Approach: Standalone

Applicable Criteria

Criteria on assigning outlook to Credit Ratings Rating MethodologyManufacturing Companies Criteria for Short Term Instruments CARE'sPolicy on Default Recognition Financial ratios - Non-Financial Sector

CARE Ratings limited

Road.

32, Titanium, Prahaladnaga, Co'po,a!e Road Satellite, Ahmedabad. 380 015 Tel: +91.79.4026 5656 • Fa".: +91.79.4026 5657

CORPORATE OFFICE, 4" Floor, God'''i Coliseum, Somaiya Ho'pital Ofl Easte,n hp,e •• Highway, Sion (El, Mumbal • 400 022. Tel., +'11-22.6754 3456 • Fax, +91.22-6754 3457 Email: care@ca,e,atlng •.com • www.care •••ting •.com

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About the Company

Incorporated in 1977, RCL is a public limited company promoted by Mr, Jagdish Bhatia, RCL commenced commercial production of tungsten carbide products such as metal cutting tips and inserts, special formed tips, wire drawing dies, integrated drill steel rods and tungsten metal and carbide powder in October 1979. RCL operates from its ISO 9001:2015 certified manufacturing facility located in Ankleshwar (Gujarat) having an installed production capacity of 150 metric tons per annum (MTPA) of tungsten and tungsten carbide related products as on March 31, 2019. RCL's products find application in the mining, automobile, rock drilling, oil exploration and general engineering industries as cutting tools. Over the years, RCLhas setup its marketing network across India and it has moderate exports to Saudi Arabia.

Brief Financials{Rs. crore	FY18 (A)	FY19 (A)
Total operating income	41.83	46.27
PBllDT	5.35	4.81
PAT	3.16	2.84
Overall gearing (times)	0.06	0.13
Interest coverage (times) A: Audited,	22.72	20.97

In 9MFY20(UA),RCLhas achieved TOI of RS.2S.17crore with PBILOTand PATof RS.1.02crore and RS.O.I0 crore respectively as against Tal of Rs.32.78crare with PBILOTand PATof RS.3.91crore and Rs.2.25crare respectively during 9MFY19(UA).

Status of non-cooperation with previous eRA: Not Applicable

Any other information: Not Applicable

Rating History for last three years: ReferAnnexure-2

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CARE Ratings limited

Road.

1. Tilanlum, P,ahaladnagar Co,po,ale Road Salellile. Ahmedabad. 380015 Tel: .•91.79.4026 5656 • Fn.' .•91-79-4026 5657

CORPORATEOFFICE, 4~ Floo'. God,el Coli<eum. Somaiya Ho'pila! all (ane,n Exp,e •• Highway, Sian (E). Mumbal - 400 022. Tel~ .•91-22-6754 3456 • Fn, .•91.22-6754 3457 Emall.ca.e@ca.e.aling •.com • www.ca.e.aUng<.com

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Annexure-!: Details of Instruments/Facilities

Name of the Instrument	Date of Issuance	Coupon Rate	Maturity Date	Size of the Issue	Rating assigned along with Rating Outlook
Fund-based -lTI ST- ash Credit	-	-	-	IRs. crore) 14.70	ARE BBB-I CARE A3 Under Credit watch with
Non-fund-based - ST- Bank Guarantees	-	-	-	p.7S	Developing Implications) ARE A3 (Under Credit watch with Developing
Non-fund-based - ST- etter of credit	-	-	.	~.OO	Implications) CARE A3 (Under Credit watch with Developing
Fund-based - LT-Term loan	-	-	August 2024	1.35	Implications) ARE BBB- (Under Credit watch with Developing Implications)

Annexure-2: Rating History of last three years

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5•. Name of the Current Ratings Rating history
No Instrument/Bank Type Amount Rating Date{s) & Datels) & Date(s) & Date(s) &
Facilities Outstanding Rating(s) Rating(s) Ratlng{s) Rating(s)
IRs. crore) assigned in assigned In assigned assigned
2019-2020 2018-2019 in 2017. in 2016-
2018 2017
1. Fund-based - l T 1ST- IT/ST 4.70 CARE BBB- I I)CARE BBB I l)CARE BBB; l)CARE l)CARE
ash Credit CAREA3 CAREA3+ table / CARE BBB; BBB-;
Under Credit Under Credit 3+ table / table I
watch with atch with 20-Sep-18) CARE A3+ ARE A3+
Developing Developing (04-0ct- OB-Dec-
Implications) Implications) 17) 16)
06-Nov-19)
}CARE BBBI
CAREA3+
Under Credit
atch with
Developing
Implications)
21-Aug-19)
,. Non-fund-based - ST- ST 0.7S CAREA3 l)CARE A3+ l)CARE A3+ l)CARE l)CARE
Bank Guarantees Under Credit Under Credit (20-Sep-18) 3+ 3+
watch with atch with 04-0ct- OS-Dec-
Developing Developing 17} 16}
Implications) mplications)
06-Nov-19)
)CARE A3+
9C ARE Ratings li ~M:fr ~redit
c . , , Road
Off fastern Expre's Highway, Sion (E), Mumbai - 400 022. Satellite. Ahmedabad _180 01S
Tel., +91-22-67S4 34S6 • Fax: +91 .22.6754 3457 Tel: +91-79-4026 S6S6 • Fa~.: +91_79_4026 S6S7
Email: care@carerating •.com.www_careratings.com
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9C
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l

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l~evelOPing
Implications)
21-Aug-19)
3. Non-fund-based - ST- ST 3.00 CARE A3 l)CARE A3+ l)CARE A3+ l)CARE l)CARE
Letter of credit Under Credit Under Credit 20-$ep-18) 3+ 3+
watch with atch with 04-0ct- OS-Dec-
Developing Developing 17) 16)
Implications) Implications)
06-Nov-19)
)CAREA3+
Under Credit
atch with
Developing
Implications)
2l-Aug-19)
4. und-based -LT- IT . . . l)Withdrawn l)CARE l)CARE
erm Loan 20-Sep-1S) BBB; BBB-;
table table
04-0ct- OB-Dec-
17) 16)
S. und-based -IT- IT 1.35 CARE BBB. l)CARE BBB . . .
rrerm Loan Under Credit Under Credit
Natch with atch with
Developing Developing
IlmPlicationS) mplications)
06-Nov-19)
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CARE Ratings limited

32, Titanium, P,ahaladnagar Corporat" Road Satellite. Ahmedabad _380 015 Tel: +91.79-4026 5656 • fax.: +91_79.4026 5657

CORPORATEOFFICE:4~ Floor. God'''i Coll."um, Somaiya Ho'pltal Road. Off Ea,t"rn hp'"" Highway, Sian (E),Mumbai - 400 022. T"L: +91-22-6754 3456 • Fax: +91_22_6754 3457 Email:car ••@ca<erating •.com • ..-.....W.carerating•.com

CIN-L67190MH1993PlC071691

Note on complexity levels of the rated Instrument: CAREhas classified instruments rated by it on the bosis of complexity. This classification is available at www.careratings.cam. Investors/market intermediaries/regulators or others are welcome to write to care@carerotings.comforanyclarifications.

Contact us Media Contact Mradul Mishra Contact no. - +91-22-6837 4424 EmaillD-mradul.mishra@careratings.com

Analyst Contact Name - Mrs. ShacheeVyas Contact no.- (079) 4026S66S EmailID.shachee.tripathi@careratlngs.com Business Development Contact Name: Mr. Deepak Prajapati Contact no. : (079) 4026S6S6 Email JD:deepak.prajapati@careratings.com

About CARERatings:

CARERatingscommenced operations in April 1993 and over two decades, it has established itself as one of the leading credit rating agencies in India. CAREis registered with the Securities and Exchange Board of India (SEBI)and also recognized as an External Credit Assessment Institution (ECAI)by the Reserve Bank of India (RBI). CARERatings is proud of its rightful place in the Indian capital market built around investor confidence. CARERatings provides the entire spectrum of credit rating that helps the corporates to raise capital for their various requirements and assiststhe investors to form an informed investment decision based on the credit risk and their own risk-return expectations. Our rating and grading service offerings leverage our domain and analytical expertise backed by the methodologies congruent with the international best practices.

Disclaimer

CARE'sratings are opinions on the likelihood of timely payment of the obligations under the rated instrument and are not recommendations to sanction, renew, disburse or recall the concerned bank facilities or to buy, sell or hold any security. CARE'sratings do not convey suitability or price for the investor. CARE'sratings do not constitute an audit on the rated entity. CAREhas based its ratings/outlooks on information obtained from sources believed by it to be accurate and reliable. CAREdoes not, however, guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. Most entities whose bank facilities/instruments are rated by CAREhave paid a credit rating fee, based on the amount and type of bank facilities/instruments. CAREor its subsidiaries/associates may also have other commercial transactions with the entity. In case of partnership/proprietary concerns, the rating /outlook assigned by CAREis, inter-alia, ba;ed on the capital deployed by the partners/proprietor and the financlal strength of the firm at present. The rating/outlook may undergo change in case of withdrawal of capital or the unsecured loans brought in by the partners/proprietor in addition to the financial performance and other relevant factors. CAREis not responsible for any errors and states that it has no financial liability whatsoever to the users of CARE'srating. Our ratings do not factor in any rating related trigger clauses as per the terms of the facility/instrument, which may involve acceleration of payments in case of rating downgrades. However, if any such clauses are introduced and if triggered, the ratings may see volatility and sharp downgrades.

UFor detailed Rationale Report and subscription information, please contact us at www.careratings.com

CARE Ratings limited

1. Titanium, Prahaladnagar Corporale Road Satellite, Ahmedabad _ 380015 Tel: .91.79-4026 5656 • Fa~.: +91.79.4026 56S7

CORPORATE OffiCE: 4~ floor. Godre! Coliseum, Somaiva Ho.pilal Road. Off EaOlern Expre•• Highway, Slon (El, Mumbal - 400 022. Tel.: +91_22_67S4 34S6 • fa~; +91-22.6754 3457 Email:care@car •••ating •.com • www.care.alings.com

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