Company Background:
Operates integrated sugar plant in Punjab with 7500 TCD sugar crushing capacity, 28 MW Cogen, and two distillery units (30 KLPD grain-based, 45 KLPD molasses-based)
Problem:
In 2020, account with two leading banks was classified under NPA. Credit facility restructuring required an RP4 rating but received an RP5 from 2 Rating Agencies.
Solution:
Engaged with another Rating Agency and presented improved performance in FY 2023. Emphasized on minimal fund infusion required by the promoters due to bank cut-off deposits and manageable debt.
Impact:
Secured the crucial RP4 rating , leading to the acceptance of restructuring proposal after nearly 4 years.
