Rating Rationale
March 14, 2022 | Mumbai
Bal Pharma Limited
Ratings Withdrawn
 
Rating Action
Total Bank Loan Facilities RatedRs.95 Crore
Long Term RatingCRISIL BB/Stable (Withdrawn)
Short Term RatingCRISIL A4+ (Withdrawn)
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities

Detailed Rationale

CRISIL Ratings has withdrawn its ratings on the bank facilities of Bal Pharma Limited (BPL) at the company’s request and on receipt of 'no-dues certificate' from the bank. This is in line with the rating withdrawal policy of CRISIL Ratings.

Analytical Approach

CRISIL Ratings has taken the consolidated approach for BPL and its subsidiaries, Lifezen Healthcare Private Limited, Balance Clinic LLP, Bal Research Foundation and Golden Drugs Private Limited.

 

Please refer Annexure - List of entities consolidated, which captures the list of entities considered and their analytical treatment of consolidation

About the Group

BPL incorporated in 1987, is engaged in the business of manufacturing active pharmaceutical intermediates (APIs), pharmaceutical formulations and parenterals. BPL has manufacturing facilities in Bangalore (Karnataka), Pune (Maharashtra) and Uttarakhand. The operations of the company are managed by the Managing Director, Mr. Shailesh Siroya.

Key Financial Indicators

Particulars

Unit

2021*

2020

Revenue

Rs.Crore

251

171

Profit After Tax (PAT)

Rs.Crore

5

(12)

PAT Margin

%

3.6

(7.5)

Adjusted debt/adjusted networth

Times

1.46

3.41

Interest coverage

Times

2.26

0.46

*Provisional

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL Ratings' complexity levels are assigned to various types of financial instruments. The CRISIL Ratings' complexity levels are available on www.crisil.com/complexity-levels. Users are advised to refer to the CRISIL Ratings' complexity levels for instruments that they consider for investment. Users may also call the Customer Service Helpdesk with queries on specific instruments.

Annexure - Details of Instrument(s)

ISIN

Name of Instrument

Date of Allotment

Coupon Rate (%)

Maturity Date

Issue Size (Rs.Cr)

Complexity Level

Rating Assigned with Outlook

NA

Bank Guarantee

NA

NA

NA

3

NA

Withdrawn

NA

Cash Credit

NA

NA

NA

51

NA

Withdrawn

NA

Letter of Credit

NA

NA

NA

25

NA

Withdrawn

NA

Packing Credit

NA

NA

NA

16

NA

Withdrawn

 

Annexure - List of Entities Consolidated

Names of Entities Consolidated

Extent of Consolidation

Rationale for Consolidation

Bal Pharma Limited

Full

Holding company

Lifezen Healthcare Private Limited

Full

51% subsidiary with financial and operational fungibities

Balance Clinic LLP

Full

80% subsidiary with financial and operational fungibities

Bal Research Foundation

Full

80% subsidiary with financial and operational fungibities

Golden Drugs Private Limited

Full

100% subsidiary with financial and operational fungibities

Annexure - Rating History for last 3 Years
  Current 2022 (History) 2021  2020  2019  Start of 2019
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT/ST 67.0 Withdrawn   -- 03-02-21 CRISIL BB/Stable / CRISIL A4+   --   -- Suspended
Non-Fund Based Facilities ST 28.0 Withdrawn   -- 03-02-21 CRISIL A4+   --   -- Suspended
All amounts are in Rs.Cr.
Annexure - Details of Bank Lenders & Facilities
Facility Amount (Rs.Crore) Rating
Bank Guarantee 2 Withdrawn
Bank Guarantee 1 Withdrawn
Cash Credit 17 Withdrawn
Cash Credit 24 Withdrawn
Cash Credit 5 Withdrawn
Cash Credit 5 Withdrawn
Letter of Credit 15 Withdrawn
Letter of Credit 2 Withdrawn
Letter of Credit 8 Withdrawn
Packing Credit 5 Withdrawn
Packing Credit 11 Withdrawn
Criteria Details
Links to related criteria
Rating criteria for manufaturing and service sector companies
CRISILs Approach to Financial Ratios
Rating Criteria for the Pharmaceutical Industry
CRISILs Criteria for Consolidation
Understanding CRISILs Ratings and Rating Scales

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