July 26, 2014
Mumbai
Logix Microsystems Limited
 
Ratings Suspended
 
Total Bank Loan Facilities Rated Rs.150 Million
Long Term Rating Suspended
Short Term Rating Suspended
(Refer to Annexure 1 for Facility-wise details)

CRISIL has suspended its ratings on the bank facilities of Logix Microsystems Ltd (Logix; part of the Logix group). The suspension of ratings is on account of non-cooperation by Logix with CRISIL's efforts to undertake a review of the ratings outstanding. Despite repeated requests by CRISIL, Logix is yet to provide adequate information to enable CRISIL to assess Logix's ability to service its debt. The suspension reflects CRISIL's inability to maintain a valid rating in the absence of adequate information. CRISIL considers information availability risk as a key credit factor in its rating process and non-sharing of information as a first signal of possible credit distress, as outlined in its criteria 'Information Availability Risk in Credit Ratings'

About the Group

CRISIL has combined the business and financial profiles of Logix and its subsidiaries in the US, Europe, and Singapore, namely, Homestar LLC, IzmoCRM Inc, Midrange Software Pte Ltd, Logix Americas Inc, Izmo Media USA, Homestar Systems Inc, and Izmo Europe BVBA. All the entities, collectively referred to as the Logix group, provide automotive business solutions.
 
Incorporated in 1995 by Mr. Sanjay Soni, Logix provides software and web solutions to automotive dealers in Europe and the US. The company provides customised web marketing platforms, including online stores, car animation and graphics, and online marketing tools under its brand, Izmocars.

Annexure 1 - Details of various bank facilities
Current facilities Previous facilities
Facility Amount (Rs.Million) Rating Facility Amount (Rs.Million) Rating
Bank Guarantee 5 Suspended Bank Guarantee 5 CRISIL D
Cash Credit 10 Suspended Cash Credit 10 CRISIL D
Letter of Credit 5 Suspended Letter of Credit 5 CRISIL D
Long Term Loan 20 Suspended Long Term Loan 20 CRISIL D
Packing Credit 110 Suspended Packing Credit 110 CRISIL D
Total 150 -- Total 150 --
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About CRISIL Ratings
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July 26, 2014

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