Rating Rationale
February 29, 2024 | Mumbai
Sturdy Industries Limited
Issuer not cooperating, based on best-available information; Ratings continues to be ‘CRISIL D/CRISIL D Issuer not cooperating'
 
Rating Action
Total Bank Loan Facilities RatedRs.331.93 Crore
Long Term RatingCRISIL D (ISSUER NOT COOPERATING*)
Short Term RatingCRISIL D (ISSUER NOT COOPERATING*)
Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings.
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 rating rationale did not provide the requisite information needed to conduct the rating exercise or did not provide the No Default Statements (NDS) for the last three months and is therefore classified as 'non cooperative'.

Non cooperation by Issuer

CRISIL Ratings has been consistently following up with Sturdy Industries Limited (SIL) for obtaining information through letter and email dated January 08, 2024 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 SIL, which restricts CRISIL Ratings’ ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SIL is consistent with ‘Assessing Information Adequacy Risk’. Based on the last available information, the ratings on bank facilities of SIL continues to be ‘CRISIL D/CRISIL D Issuer Not Cooperating’.

About the Company

Established in 1995, SIL, promoted by Mr. Ramesh Guptamanufactures polyvinyl chloride pipes and irrigation systems, aluminium composite panels, and aluminium cables and conductors, and trades in aluminium products. The company also has a plant for manufacturing asbestos cement roofing sheets.

Key Financial Indicators

 

Dec-23

FY23

Revenue

0.10

3.39

Profit After Tax (PAT)

-0.87

-4.22

Operating Profit Margin (OPM)

-VE

-ve

Net Profit Margin (NPM)

-VE

-ve

Source: BSE

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 and are included (where applicable) in the 'Annexure - Details of Instrument' in this Rating Rationale.

CRISIL Ratings will disclose complexity level for all securities - including those that are yet to be placed - based on available information. The complexity level for instruments may be updated, where required, in the rating rationale published subsequent to the issuance of the instrument when details on such features are available.

For more details on the CRISIL Ratings` complexity levels please visit www.crisilratings.com. 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 Assigned with Outlook

NA

Cash Credit

NA

NA

NA

70

NA

CRISIL D/Issuer Not Cooperating

NA

Funded Interest Term Loan

NA

NA

Not Available

24

NA

CRISIL D/Issuer Not Cooperating

NA

Funded Interest Term Loan

NA

NA

Not Available

2.21

NA

CRISIL D/Issuer Not Cooperating

NA

Letter of credit & Bank Guarantee

NA

NA

NA

141.9

NA

CRISIL D/Issuer Not Cooperating

NA

Proposed Cash Credit Limit

NA

NA

NA

0.13

NA

CRISIL D/Issuer Not Cooperating

NA

Term Loan

NA

NA

Not Available

18.6

NA

CRISIL D/Issuer Not Cooperating

NA

Working Capital Term Loan

NA

NA

Not Available

65.87

NA

CRISIL D/Issuer Not Cooperating

NA

Working Capital Term Loan

NA

NA

Not Available

9.22

NA

CRISIL D/Issuer Not Cooperating

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

Annexure - Rating History for last 3 Years
  Current 2024 (History) 2023  2022  2021  Start of 2021
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT 190.03 CRISIL D (Issuer Not Cooperating)*   --   -- 30-12-22 CRISIL D (Issuer Not Cooperating)* 29-10-21 CRISIL D (Issuer Not Cooperating)* CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Facilities ST 141.9 CRISIL D (Issuer Not Cooperating)*   --   -- 30-12-22 CRISIL D (Issuer Not Cooperating)* 29-10-21 CRISIL D (Issuer Not Cooperating)* CRISIL D (Issuer Not Cooperating)*
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 70 CRISIL D (Issuer Not Cooperating)*
Funded Interest Term Loan 24 CRISIL D (Issuer Not Cooperating)*
Funded Interest Term Loan 2.21 CRISIL D (Issuer Not Cooperating)*
Letter of credit & Bank Guarantee 141.9 CRISIL D (Issuer Not Cooperating)*
Proposed Cash Credit Limit 0.13 CRISIL D (Issuer Not Cooperating)*
Term Loan 18.6 CRISIL D (Issuer Not Cooperating)*
Working Capital Term Loan 65.87 CRISIL D (Issuer Not Cooperating)*
Working Capital Term Loan 9.22 CRISIL D (Issuer Not Cooperating)*
* - 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 Aluminium Industry
CRISILs Approach to Recognising Default
CRISILs Criteria for Consolidation

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