CARE Ratings Limited has revised (upgraded from 'D' to 'BB-') its ratings on Long term Bank Facilities of the Company as below:
Facility: Long term
Amount: INR 5,850.70 Crores
Previous Rating: CARE D
New Rating: CARE BB-
The previous ratings are withdrawn as Bank facilities rated were the debt prior to the execution of the Framework Agreement of the resolution plan. As the characteristics of the facility has now substantially changed in accordance to the resolution plan, the outstanding rating has been withdrawn and subsequently, rating has been re-assigned to the outstanding debt.
Detailed Rationale & Key Rating Drivers
The rating re-assigned to the bank facilities of JPVL takes into account the delay free track record of more than three months in servicing of debt obligations of the company. The rating also factors in conversion of unsustainable portion of debt into Cumulative Convertible Preference Shares (CCPS) and Compulsory Redeemable Preference Shares (CRPS) in accordance to the resolution plan. The rating also takes into account the firm Fuel supply Agreements (FSA) for its thermal plants and healthy operational performance to the extent of its contracted capacity.
The ratings are however constrained by significant installed capacity not tied with Power Purchase Agreement (PPA) exposing the cash accruals to the fluctuation in merchant market. The ratings also factors in the under recovery of energy charge from Nigrie super thermal power plant (JNSTPP) and the associated counter party risk upon sale of power to Uttar Pradesh Power Corporation Limited (UPPCL) and MP Power Management Company Ltd (MPPMCL) which have relatively weaker financial profile.
- Increase in long term PPA tie up to more than 85% for the installed capacity.
- Better realization on sale of power through merchant basis, significantly improving cash accrual on sustained basis.
- Poor sales volume and realization on merchant basis, leading to deteriorating cash accrual.
- Significant deterioration in average collection period on sustained basis.
Full read: JP POwer Ratings upgrade by CARE.pdf (1.17 mb)
Amara Raja Batteries - Q1 (Cons) update
Full read: Amara Raja Batteries Q1FY21.pdf (2.11 mb)
Dilip Buildcon - HCC (JV) has executed the EPC Agreement with the Narmada, Water Resources, Water Supply and Kalpasar Department (Water Resources), Gujarat for EPC project in the state of Gujarat.
- Project - EPC contract for construction of Bhadbhut Barrage, Flood Protection Embankments and associated works across River Narmada Near Village Bhadbhut of Bharuch District.
- Bid Project: INR 4,167.70 Crores
- Mode: EPC
- Completion period: 48 months
- Operational period: 10 years from COD
Steel Strips Wheels has bagged firm export orders for close to 20,000 wheels for EU Caravan Trailer Market to be executed in the month of Sept from its Chennai plant. Similar orders are expected in times to come from other regular customers as the market regains normalcy.
This will support further ramping up of production at Chennai steel wheels plant.
Dilip Buildcon has been declared as L-1 bidder for a new HAM project under Bharatmala Pariyojana in the state of Karnataka (Package-II).
- Project - 4 laning from km 42.000 to 80.000 of Dodaballapur Bypass to Hoskoke section of NH-648 (Old NH-207)
- Bid Project: INR 1,278 Crores
- Mode: Hybrid Annuity Mode (HAM)
- 1st Year O & M: INR 3.00 Crores
- Completion period: 24 months
- Operational period: 15 years from COD
- Length: 38 kms
AU Small Finance Bank has today commenced its operations in Bangaluru. Today, the Bank launched its first branch at J.P. Nagar in Bengaluru. With this branch, AU Bank has 664 Banking Touchpoints across 12 states and one Union Territory.
Another branch of AU Bank is going to be launched at Residency Road this month.
Wipro Limited has announced that it will join forces with Intel to enable Wipro's LIVE Workspace™, Wipro's digital workspace solution with the Intel vPro® platform. This joint collaboration will help customers drive business continuity by enabling remote IT support and solutions, as they seek to keep employees productive amid social distancing boundaries and other remote-work limitations that have become the new normal.
Full read: Wipro Intel collaboration.pdf (682.42 kb)
Lupin Limited has announced today that its U.S. based wholly-owned subsidiary Lupin Pharmaceuticals Inc. has entered into an agreement with ForDoz Pharma Corp (ForDoz) for granting Lupin the exclusive rights to market and distribute 2 complex injectable assets in advanced stages of development in the U.S. and its territories.
The two assets are in the Oncology and Anti-infective therapeutic areas which when approved, will provide affordable alternatives to patients and healthcare professionals.
The assets will be manufactured in ForDoz’s U.S. based manufacturing site and ForDoz will be responsible for the development, and obtaining the necessary regulatory approvals. Lupin shall leverage its existing commercial infrastructure for marketing and distribution of the two assets.
Full read: Lupin - ForDoz Pharma agreement.pdf (921.52 kb)
Jubilant FoodWorks Limited forays into the FMCG category with ‘ChefBoss’ range of Ready-To-Cook sauces, gravies and pastes.
Launches 8 products across Indian and Chinese cuisine
Jubilant FoodWorks Limited , one of the largest foodservice companies in India and master franchisee of Domino's Pizza and Dunkin' Donuts, today announced its entry into the INR 500 Crore ready-to-cook segment with the launch of a new brand, 'ChefBoss'.
The 'ChefBoss' range of sauces and pastes includes eight different products across two types of cuisines (Indian and Chinese) and will initially be exclusively available for consumers across e-commerce portals.
The online sale of products will shortly start with Amazon (National), Flipkart Supermart (NCR, Mumbai and Bangalore) and Milkbasket (NCR). The brand plans to expand product availability by adding more ecommerce platforms as well as retailing through supermarkets and hypermarkets in the near future.
Full read: Jubilant Foodworks ChefBoss launch.pdf (858.55 kb)
Lupin in alliance with Concord Biotech Limited (Concord) announced that it has received approval from the United States Food and Drug Administration (U.S. FDA) for Mycophenolate Mofetil Tablets USP, 500 mg, to market a generic version of CellCept® Tablets of Roche Palo Alto LLC (Roche).
Mycophenolate Mofetil Tablets are indicated for the prophylaxis of organ rejection in recipients of allogeneic kidney, heart or liver transplants, in combination with other immunosuppressants.
Mycophenolate Mofetil Tablets USP, 500 mg (RLD: CellCept® ) had an annual sales of approximately USD 96 million in the U.S. (IQVIA MAT Mar 2020).
Unichem Laboratories has received ANDA approval for its Tolterodine Tartrate Tablets, USP 1 mg and 2 mg from the United States Food and Drug Administration (USFDA) to market a generic version of DETROL® (tolterodine tartrate) tablets of Pfizer Inc.
Tolterodine tartrate tablets are indicated for the treatment of overactive bladder with symptoms of urge urinary incontinence, urgency, and frequency.
The product will be commercialized from Unichem’s Goa Plant.
Apar Industries - Q1 (Cons) update
Full read: Apar Industries Q1FY21.pdf (505.18 kb)
- Glenmark is the first company in India to have received the regulator’s approval for 400 mg dosage form
- Glenmark remains the only company in India to successfully complete an randomized, controlled, open-labelled, multi-center Phase 3 clinical trial on Indian patients with mild to moderate Covid-19
Glenmark Pharmaceuticals today has announced that it will introduce a 400 mg version of oral antiviral FabiFlu®, for the treatment of mild to moderate COVID-19 in India. The higher strength will improve patient compliance and experience, by effectively reducing the number of tablets that patients require per day.
A higher pill burden has been associated with lower adherence to therapy, the latter affecting viral suppression and overall treatment outcomes. Also reducing the pill burden has been a demand from doctors and patients to enable adherence. The 200 mg dosage of FabiFlu® required patients to take 18 tablets on Day 1 (nine in the morning and nine in the evening), followed by 8 tablets each day thereafter for a maximum of 14 days. With the new 400 mg version, patients will now have a more relaxed dosage regimen, with 9 tablets required on Day 1( 4.5 in the morning and 4.5 in the evening), and thereafter 2 tablets twice a day from Day 2 till end of the course.
Canara Bank revised MCLR rates w.e.f 7th August 2020
Meghmani Finechem Limited (MFL), is a material subsidiary of Meghmani Organics Limited (MOL). MFL has commenced Commercial production of HYDROGEN PEROXIDE (H202) project with capacity of 60,000 Mt. per annum, in the existing Caustic Chlorine complex situated at GIDC Dahej, Bharuch, in South Gujarat.
The plant production process is based on the latest state-of-the-art technology. The Plant has been set up at the cost of Rs. 180 Crore. MFL expects to achieve Turnover of Rs. 160 Crores in full year of operation in 2021-22 and total revenue of integrated complex will reach to Rs. 1,200 Cr by FY 2022. The two new upcoming projects Viz., Epichlorohydrin and CPVC resin will be commissioned in FY 2022 and FY 2023 respectively and the total revenue of MFL will eventually reach to Rs. 2,000 Crore on full operation.
Full read: Meghmani Organics subsidiary commences operation.pdf (257.03 kb)
PNC Infratech Limited informs signing of concession agreements for the three HAM projects and contract agreements for the two EPC highway projects with National Highways Authority of India (NHAI) for an aggregate contract value of Rs. 6,731.8 crores.
Full read: PNC Infratech signign of concession agreements.pdf (292.79 kb)
The Federal Bank Limited has entered into an agreement to purchase up to 4% stake in IDBI Federal Life Insurance Co Ltd., from IDBI Bank at a price not exceeding Rs.27.56 per equity share. The transaction is subject to regulatory approvals. The Bank currently holds 26% stake in IFLIC, making it an Associate of the Bank. Post purchase the total stake will increase up to 30%.
- Entity details:
- Name: IDBI Federal Life Insurance Co Ltd
- Asset Size: Rs.9979.95 Cr
- Turnover: Rs.170.76 Cr
- Industry: Insurance
- Permissions Required: IRDAI and RBI
- Time period for completion of acquisition: 9 months
- Type of Transaction: Cash
Indoco Remedies has received the approval for its ANDA for Olanzapine Tablets USP 2.5mg, 5mg, 7.5 mg, 10mg, 15mg and 20 mg. The products are therapeutically equivalent to the Reference Listed Drug ‘Zyprexa’ of Eli Lilly.
Olanzapine is indicated for the treatment of schizophrenia and bipolar disorder. The drug may also be used in combination with other medication to treat depression and certain mental conditions.
The US market size of Olanzapine Tablets is USD 65 million as per available IMS data.