Icra has reaffirmed the LD rating assigned to the partly convertible debenture (PCD) programme of DCM Limited. The rating indicates default. In its endeavour to deal with debt-related problem and strengthen the financials, the company has drawn up a comprehensive restructuring plan and the said restructuring plan is pending confirmation/approval before the Delhi high court. The envisaged debt-settlement and future health of the company critically depend upon realisation of funds from the restructuring of various assets.Needs Finvest Ltd gets MB rating
Icra has assigned an MB rating to the fixed deposit programme of Needs Finvest Limited indicating inadequate safety. The timely payment of interest and principal are more likely to be affected by future uncertainties. Incorporated in 1997 as a NBFC to carry out loan and investment activities, NFL's business is currently focussed on unsecured loans. NFL's funding so far has been limited to equity, which has entirely been raised from the promoters and their acquaintances.
Medpat Fin FD rating retained
Icra has reaffirmed the MA- rating assigned to the fixed deposit programme of Medpat Finance Limited. It indicates adequate safety. The rating takes into account its conservative asset growth, presence of a loyal customer base, continuing thrust on commercial vehicle financing, an improvement in collection efficiency witnessed in 1999-2000 and the company's ability to sustain its profitability despite competitive pressures.
The rating also factors in the company's relatively high cost of funds, a high dividend pay-out and the credit risks associated with recent exposures made to small corporate entities.
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