Credit rating agency, CARE has revised rating assigned to Real Strips’ long term bank facilities worth Rs 76.30 crore to ‘D’ from ‘C’. The rating agency has revised rating assigned to company’s short term bank facilities worth Rs 46.50 crore to ‘D’ from ‘A4’. The revision in the ratings assigned to the bank facilities of Real Strips (RSL) takes into account the on-going delays in servicing of its debt obligations due to acute liquidity stress faced by the company owing to cash losses incurred during FY16 and H1FY17.
RSL is engaged in the manufacturing of SS cold rolled (CR) coils & strips having manufacturing facilities near Ahmedabad (Gujarat). Based on FY16 audited results, RSL registered a total operating income (TOI) of Rs 193.52 crore (Rs 342.40 crore in FY15) with a net loss of Rs 43.66 crore (net loss of Rs 4.92 crore in FY15).
