Credit rating agency, CARE has revised the rating assigned to the long-term bank facilities of Fenoplast for a reduced amount. The agency has revised the rating from ‘CARE BB’ to ‘CARE BB-‘and the amount is been reduced from Rs 52.18 crore to Rs 39.84 crore.
The agency has also reaffirmed the assigned ‘PR4’ rating assigned to the short-term bank facilities of the company. The amount is been enhanced from Rs 28.00 crore to Rs 34.68 crore.
The rating continues to factor in small size of operations, liquidity strain, low profitability and high debt levels leading to high overall gearing. Ability of the company to improve liquidity and the capacity utilization levels are the key rating sensitivities.
Fenoplast (FPL) is engaged in the business of manufacturing of PVC Leather Cloth and PVC film primarily for consumption by the automobile and pharma industries with an installed capacity of 75 LLM (lakh lane metres) for PVC Leather cloth and 15,000 metric tonnes per Annum for PVC film.
| Company Name | CMP |
|---|---|
| Supreme Industries | 3654.70 |
| Astral | 1569.55 |
| Finolex Inds | 177.95 |
| Nilkamal | 1302.00 |
| Jain Irrigation Sys | 35.10 |
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