January 16, 2025

Vardhini Industries: Continues to remain under issuer non-cooperating category

Summary of rating action

Previous Rated Current Rated

Instrument^ Amount Amount Rating Action
(Rs. crore) (Rs. crore)
Short Term- Non- [ICRA]A4; ISSUER NOT COOPERATING*; Rating continues
1.00 1.00
Fund Based- Others to remain under ‘Issuer Not Cooperating’ category
[ICRA]B+(Stable); ISSUER NOT COOPERATING*/[ICRA]A4;
Long Term / Short
3.00 3.00 ISSUER NOT COOPERATING*; Rating continues to remain
Term- Unallocated
under ‘Issuer Not Cooperating’ category
[ICRA]B+(Stable); ISSUER NOT COOPERATING*; Rating
Long Term- Fund
11.00 11.00 continues to remain under ‘Issuer Not Cooperating’
Based-Cash Credit
category

Total 15.00 15.00

*Issuer did not cooperate; based on best available information.
^Instrument details are provided in Annexure-1

Rationale
ICRA has kept the Long-Term and Short-Term ratings of Vardhini Industries in the ‘Issuer Not Cooperating’ category. The rating
is denoted as [ICRA]B+(Stable)/[ICRA]A4; ISSUER NOT COOPERATING”.

As part of its process and in accordance with its rating agreement with Vardhini Industries, ICRA has been trying to
seek information from the entity so as to monitor its performance Further, ICRA has been sending repeated reminders to the
entity for payment of surveillance fee that became due. Despite multiple requests by ICRA, the entity’s management has
remained non-cooperative. In the absence of requisite information and in line with the aforesaid policy of ICRA, the
rating has been continued to the “Issuer Not Cooperating” category. The rating is based on the best available information.

Please refer to the following link for the previous detailed rationale that captures Key rating drivers and their description,
Liquidity position, Rating sensitivities, Key Financial indicators: Click here ICRA is unable to provide the latest information
because of non-cooperation by the entity.

Analytical approach

Analytical Approach Comments

Policy in respect of non-cooperation by the rated entity

Applicable Rating Methodologies
Corporate Credit Rating Methodology

Parent/Group Support NA

Consolidation/Standalone Standalone

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 About the company
Vardhini Industries was established in 1992 as a proprietorship concern by Ms. D.S. Mala. The company is engaged in
manufacture of steel furniture namely – steel cots, steel racks, tables, benches, etc mainly for supply to government
departments (medical and education department requirements). The company has its manufacturing facility in Moulali,
Hyderabad.

Status of non-cooperation with previous CRA:

CRA Rating Action Date of Release

CRISIL CRISIL B+/Stable/CRISIL A4; ISSUER June 21, 2024
NOT COOPERATING

Any other information: None

Rating history for past three years

Chronology of Rating History for the past 3 years

Current Rating (FY2025)

Amount Date & Rating in

Instrument Date & Rating in Date & Rating in FY2023 Date & Rating in FY2022
Rated FY2024
Type
(Rs.
Crore) 16-January-2025 18-December-2023 28-October-2022 12-August-2021

Non- Fund [ICRA]A4;

Short [ICRA]A4;ISSUER NOT [ICRA]A4;ISSUER NOT [ICRA]A4;ISSUER NOT
1 Based- 1.00 ISSUER NOT
Term COOPERATING COOPERATING COOPERATING
Others COOPERATING
[ICRA] B+(Stable);
[ICRA] B+(Stable);
Long [ICRA] B+(Stable); ISSUER ISSUER NOT [ICRA] B+(Stable); ISSUER
ISSUER NOT
Term NOT COOPERATING/ COOPERATING/ NOT COOPERATING/
2 Unallocated 3.00 COOPERATING/
/Short [ICRA]A4;ISSUER NOT [ICRA]A4; [ICRA]A4;ISSUER NOT
[ICRA]A4;ISSUER NOT
Term COOPERATING ISSUER NOT COOPERATING
COOPERATING
COOPERATING
[ICRA] B+(Stable); [ICRA] B+(Stable); [ICRA] B+(Stable);
Fund Based- Long [ICRA] B+(Stable);
3 11.00 ISSUER NOT ISSUER NOT ISSUER NOT
Cash Credit Term ISSUER NOT COOPERATING
COOPERATING COOPERATING COOPERATING

Complexity level of the rated instrument

Instrument Complexity Indicator

Non- Fund Based- Others Very Simple
Unallocated Not Applicable
Fund Based-Cash Credit Simple
The Complexity Indicator refers to the ease with which the returns associated with the rated instrument could be estimated.
It does not indicate the risk related to the timely payments on the instrument, which is rather indicated by the instrument’s
credit rating. It also does not indicate the complexity associated with analysing an entity’s financial, business, industry risks or
complexity related to the structural, transactional, or legal aspects. Details on the complexity levels of the instruments, is
available on ICRA’s website: Click Here

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 Annexure-1: Instrument details
Amount
ISIN Date of Issuance / Coupon Maturity Rated
Instrument Name Current Rating and Outlook
No Sanction Rate Date
(RS Crore)

NA Non- Fund Based- NA NA NA 1.00 [ICRA]A4; ISSUER NOT

Others COOPERATING
NA NA NA NA [ICRA] B+(Stable); ISSUER NOT
3.00
Unallocated COOPERATING/[ICRA]A4;
ISSUER NOT COOPERATING
NA Fund Based-Cash NA NA NA 11.00 [ICRA] B+(Stable); ISSUER NOT
Credit COOPERATING
Source: Vardhini Industries

Annexure-2: List of entities considered for consolidated analysis: Not applicable

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 ANALYST CONTACTS
Ashish Modani Subhechha Banerjee
+91 20 6606 9912 +91 33 7150 1151
[email protected] [email protected]

Susmita Biswas
+91-033 7150 1182
[email protected]

RELATIONSHIP CONTACT
L. Shivakumar
+022-61693300
[email protected]

MEDIA AND PUBLIC RELATIONS CONTACT

Ms. Naznin Prodhani
Tel: +91 124 4545 860
[email protected]

Helpline for business queries

+91-9354738909 (open Monday to Friday, from 9:30 am to 6 pm)

[email protected]

About ICRA Limited:

ICRA Limited was set up in 1991 by leading financial/investment institutions, commercial banks and financial
services companies as an independent and professional investment Information and Credit Rating Agency.

Today, ICRA and its subsidiaries together form the ICRA Group of Companies (Group ICRA). ICRA is a Public
Limited Company, with its shares listed on the Bombay Stock Exchange and the National Stock Exchange. The
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For more information, visit www.icra.in

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