Rating Rationale
August 26, 2021 | Mumbai
Chandra Prabhu International Limited
Issuer not cooperating, based on best-available information; Ratings Continues to be ‘CRISIL B/Stable/CRISIL A4 Issuer not cooperating'; Ratings Withdrawn
 
Rating Action
Total Bank Loan Facilities RatedRs.21 Crore
Long Term RatingCRISIL B/Stable (ISSUER NOT COOPERATING*; Rating Withdrawn)
Short Term RatingCRISIL A4 (ISSUER NOT COOPERATING*; Rating Withdrawn)
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities
*Issuer did not cooperate; based on best-available information
 
Please note that the rating(s) are based on best available information with the credit rating agency: the entity whose debt is being published via this press release did not provide the requisite information needed to conduct the rating exercise and is therefore classified as 'non cooperative'.

Non cooperation by Issuer

CRISIL Ratings has been consistently following up with Chandra Prabhu International Limited (CPIL) for obtaining information through letters and emails dated March 26, 2021 among others, apart from telephonic communication. However, the issuer has remained non cooperative.

 

‘The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.’

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of CPIL. This restricts CRISIL Ratings’ ability to take a forward looking view on the credit quality of the entity. CRISIL Ratings believes that rating action on CPIL is consistent with ‘Assessing Information Adequacy Risk’. CRISIL Ratings has Continues the ratings on the bank facilities of CPIL to 'CRISIL B/Stable/CRISIL A4 Issuer not cooperating'.

 

CRISIL Ratings has withdrawn its rating on the bank facilities of CPIL on the request of the company and after receiving no objection certificate from the bank. The rating action is in-line with CRISIL Rating's policy on withdrawal of its rating on bank loan facilities.

About the Company

Incorporated in 1984 and based in New Delhi, CPIL is promoted by Mr Gajraj Jain. The company trades in coal and rubber, which contribute 50% each to the turnover. It procures coal from Coal India Ltd's subsidiaries based in North-East India and from traders, and supplies to brick manufacturers. It imports rubber for catering to footwear and tyre manufacturers. Operations are managed by Mr Akash Jain, son of Mr Gajraj Jain.

Key Financial Indicators

Particulars

Unit

2021

2020

Revenue

Rs crore

252.82

119.13

Profit after tax

Rs crore

5.71

1.91

PAT margin

%

2.53

1.60

Adjusted debt/adjusted networth

Times

0.15

0.49

Interest coverage

Times

13.26

4.63

 

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL Ratings' complexity levels are assigned to various types of financial instruments. The CRISIL Ratings' complexity levels are available on www.crisil.com/complexity-levels. Users are advised to refer to the CRISIL Ratings' complexity levels for instruments that they consider for investment. Users may also call the Customer Service Helpdesk with queries on specific instruments.

Annexure - Details of Instrument(s)*

ISIN

Name of Instrument

Date of Allotment

Coupon
Rate (%)

Maturity Date

Issue
Size
(Rs. Cr)

Complexity Levels

Rating Assignedwith Outlook

NA

Cash Credit

NA

NA

NA

3

NA

CRISIL B/Stable/Issuer Not Cooperating

(Withdrawn)

NA

Letter of credit & Bank Guarantee

NA

NA

NA

12

NA

CRISIL A4/Issuer Not Cooperating

(Withdrawn)

NA

Proposed Long Term Bank Loan Facility

NA

NA

NA

6

NA

CRISIL B/Stable/Issuer Not Cooperating

(Withdrawn)

*Issuer did not cooperate; based on best-available information

Annexure - Rating History for last 3 Years
  Current 2021 (History) 2020  2019  2018  Start of 2018
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT 9.0

CRISIL B/Stable/Issuer Not Cooperating*

(Withdrawn)

  -- 30-07-20 CRISIL B /Stable(Issuer Not Cooperating)* 05-04-19 CRISIL B /Stable(Issuer Not Cooperating)* 31-01-18 CRISIL B /Stable(Issuer Not Cooperating)* CRISIL B/Stable
Non-Fund Based Facilities ST 12.0

CRISIL A4/Issuer Not Cooperating*(Withdrawn)

  -- 30-07-20 CRISIL A4 (Issuer Not Cooperating)* 05-04-19 CRISIL A4 (Issuer Not Cooperating)* 31-01-18 CRISIL A4 (Issuer Not Cooperating)* CRISIL A4
All amounts are in Rs.Cr.
* - Issuer did not cooperate; based on best-available information
 
Annexure - Details of Bank Lenders & Facilities
Facility Amount (Rs.Crore) Rating
Cash Credit 3 CRISIL B/Stable/Issuer Not Cooperating* (Withdrawn)
Letter of credit & Bank Guarantee 12 CRISIL A4/Issuer Not Cooperating* (Withdrawn)
Proposed Long Term Bank Loan Facility 6 CRISIL B/Stable/Issuer Not Cooperating* (Withdrawn)
* - Issuer did not cooperate; based on best-available information    
 
Criteria Details
Links to related criteria
CRISILs Approach to Financial Ratios
Rating criteria for manufaturing and service sector companies
CRISILs Bank Loan Ratings - process, scale and default recognition
Assessing Information Adequacy Risk
Rating Criteria for Retailing Industry
CRISILs Criteria for rating short term debt

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