MIRA
INFORM REPORT
|
Report Date : |
19TH
June 2006 |
IDENTIFICATION
DETAILS
|
Name : |
KONE
ELEVATOR INDIA PRIVATE LIMITED |
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Registered Office : |
Nos :
50-55 and 58 Vanagaram Road, Ayanambakkam Village, Chennai – 600095,
Tamilnadu, India |
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Country : |
India |
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Financials (as on) : |
31.12.2002 |
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Date of Incorporation : |
12.06.1984 |
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Com. Reg. No.: |
18-10913 |
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CIN No.: [Company
Identification No.] |
U29141TN1984PTC010913 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEB00075F |
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PAN No.: [Permanent
Account No.] |
AAACK2567P |
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Legal Form : |
Private
Limited Liability Company. |
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Line of Business : |
Subject is engaged in developing, manufacturing, installing,
modernising and servicing of Elevators, Escalators and Auto Walks and
servicing automatic building doors, passenger lifts for Hospitals, commercial
building and apartments, railways, fright and other services. |
RATING & COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
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Maximum Credit Limit : |
USD
1000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular
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Litigation : |
Clear |
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Comments : |
Subject
is a well established company having satisfactory track. Trade relations are
fair. Financial position is good. Payments are correct and as per
commitments. The
company can be considered good for any normal business dealings. It can
be regarded as a promising business partner in a medium to long-run. |
LOCATIONS
|
Registered Office / Head Office /
Factory : |
Nos :
50-55 and 58 Vanagaram Road, Ayanambakkam Village, Chennai – 600095,
Tamilnadu, India |
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Tel. No.: |
91-44-26533901
/ 26533902 / 903 / 904 / 905 / 906 |
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Fax No.: |
91-44-26533912 |
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E-Mail : |
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Website : |
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Area : |
Total
Land 8.7 Acres, Building Area 67000 sq, ft, |
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Location : |
Owned |
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Corporate office: |
275, J. J. Road,
Alwarpet, Chennai – 600 018, Tamilnadu |
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Tel. No.: |
91-44-24992655 / 24996423 |
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Branches
: |
Located
at : Mumbai, Delhi, Kolkata, Secunderabad, Coimbatore, Bangalore, Ernakulam,
New Delhi, Lucknow, Chandigarh, Patna, Mangalore and Vishakhapatnam |
DIRECTORS
|
Name : |
Mr.
Heimo Makinen |
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Designation : |
Director
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Name : |
Dr. M
R Naidu |
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Designation : |
Director
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Date of Birth: |
04.08.1933 |
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Address: |
21 RMU Extension State II,
Bangalore, Karnataka |
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Name : |
Mr.
David Mc Fadden |
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Designation : |
Director
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Date of Birth: |
07.08.1954 |
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Address: |
19, Lonrong 8, To Apayon,
Singapore |
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Name : |
Mr. A
Sankarakrishnan |
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Designation : |
Director
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Address: |
195 Street Mary’s Road,
Chennai – 600 018, Tamilnadu |
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Date of Birth: |
27.10.1942 |
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Name : |
Mr. S
Rajagopal |
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Designation : |
Director
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MAJOR SHAREHOLDERS
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Names
of Shareholders |
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Percentage of Holding |
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Kone Corporation, Finland and Nominees |
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100 % |
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BUSINESS DETAILS
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Line of Business : |
Subject is engaged in developing, manufacturing, installing,
modernising and servicing of Elevators, Escalators and Auto Walks and
servicing automatic building doors, passenger lifts for Hospitals, commercial
building and apartments, railways, fright and other services. |
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Products : |
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Exports to : |
Asian
Market |
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Imports from : |
Europe
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Terms : |
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Selling : |
L/C
and Credit (60 days) Maximum |
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Purchasing : |
L/C
and Credit (30 days) |
GENERAL
INFORMATION
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Suppliers : |
Steel
Authority of India Limited, Chennai |
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Customers : |
Ř
Delhi
Metro Fail Corporation (For Escalators) Ř
Bangalore
Airport, Bangalore Ř
Tidel
Park, Chennai |
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No. of Employees : |
760 |
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Bankers : |
Allahabad
Bank, Anna Salai, Chennai – 600002 Standard
Chartered Bank, Arnenian Street, Chennai - 600001 |
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Facilities : |
Operates
on Own Fund. |
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Banking Relations : |
Good |
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Auditors : |
Bharat
S Raut and Company Chartered
Accountants 16, Cenotaph Road, Chennai – 600 018, Tamilnadu |
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Subsidiaries : |
Tiger
Elevators India Limited |
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Parent Company : |
Kone Corporation, Finland Subject was founded in
1910. Class B Kone Shares have been
quoted on the Helsinki Exchanges since 1967.
An international expansion strategy based on business acquisition, adopted
in the 1960s, fuelled Kone’s development into a worldwide organisation. They have more than 23000 employees and
operations in some 800 locations in about 40 countries. It supplies more than 20000 new elevators
and escalators annually. They service
almost 500000 elevators and escalators as well as 140000 automatic building
doors. |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
28000000 |
Equity
Shears |
Rs. 10/- each |
Rs. 280.000 millions |
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Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
24950900 |
Equity
Shears |
Rs. 10/- each |
Rs. 249.509 millions |
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FINANCIAL DATA
[all figures are in Rupees
Millions]
Ni
subsequent financials could be available form any sources. Management remained
non-cooperative during current investigation.
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.12.2002 |
31.12.2001 |
31.12.2000 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
249.509 |
249.509 |
249.509 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
11.804 |
4.086 |
0.000 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
261.313 |
253.595 |
249.509 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
261.313 |
253.595 |
249.509 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
122.777 |
127.394 |
118.992 |
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Capital work-in-progress |
0.000 |
0.000 |
4.269 |
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INVESTMENT |
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DEFERREX TAX ASSETS |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
286.229
|
207.147 |
230.346 |
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Sundry Debtors |
122.210
|
128.492 |
113.130 |
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Cash & Bank Balances |
224.267
|
167.165 |
92.274 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
112.439
|
85.350 |
54.951 |
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Total Current Assets |
745.145
|
588.154 |
490.701 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
482.688
|
461.953 |
368.022 |
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Provisions |
123.921
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Total Current Liabilities |
606.609
|
461.953 |
368.022 |
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Net Current Assets |
138.536
|
126.201 |
122.679 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
3.569 |
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TOTAL |
261.313 |
253.595 |
249.509 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.12.2002 |
31.12.2001 |
31.12.2000 |
|
Sales Turnover [including other income] |
972.871 |
745.753 |
810.439 |
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Profit/(Loss)
Before Tax |
123.212 |
75.944 |
94.190 |
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Provision
for Taxation |
|
27.339 |
8.180 |
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Profit/(Loss)
After Tax |
72.590 |
48.605 |
86.010 |
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Export
Value |
14.278 |
8.210 |
36.972 |
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Import
Value |
158.610 |
83.197 |
91.803 |
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KEY
RATIOS
|
PARTICULARS |
|
31.12.2002 |
31.12.2001 |
31.12.2000 |
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PAT / Total Income |
(%) |
7.46
|
6.52 |
10.61 |
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Net
Profit Margin (PBT/Sales) |
(%) |
12.66
|
10.18 |
11.62 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
14.19
|
10.61 |
15.45 |
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Return
on Investment (ROI) (PBT/Networth) |
|
0.47
|
0.30 |
0.38 |
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Debt
Equity Ratio (Total
Liability/Networth) |
|
2.32
|
1.82 |
1.47 |
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Current
Ratio (Current
Asset/Current Liability) |
|
1.23
|
1.27 |
1.33 |
LOCAL AGENCY
FURTHER INFORMATION
Subject
is the company incorporated on June 12, 1984, Under the Name of “BEACON KNOW
LIMITED”.
NAME
CHANGED TO “KONE ELEVATOR INDIA PRIVATE LIMITED” form June 01, 1990, Consequent
to acquisition of controlling interest by M/s KONE CORPORATION OY. , FINLAND
Become A Private Limited Liability from 14th
June 2001
Subject also acts as sales and service agents.
Subject is one of the leading companies in the global elevator and
escalator business.
The company also seeks growth from servicing automatic building
doors.
operations
The company has won an order from ISRO for a special elevator to
be housed in the stationery unblical tower which is connected to rockets before
take off at ISRO facility at Sriharikota. The elevator has a travel of 60
meters and 16 stops and travels at a speed of 1 m/s.
The company completed the installations of 19 elevators for the
Tidel Park project in Chennai, Tamilnadu, a software development center created
by the Tamilnadu Government. The company has carried out the 15 story building
project with an entirely tight schedule for delivery, installations and
handling over.
CMT REPORT [Corruption, Money
laundering & Terrorism]
The
Public Notice information has been collected from various sources including but
not limited to: The Courts, India Prisons Service, Interpol, etc.
1] INFORMATION
ON DESIGNATED PARTY
No records exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court
Declaration :
No records exist to suggest that subject is or was the subject of any
formal or informal allegations, prosecutions or other official proceeding for
making any prohibited payments or other improper payments to government
officials for engaging in prohibited transactions or with designated parties.
3] Asset
Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction registered
against subject: None
5] Records
on Violation of Anti-Corruption Laws :
Charges or investigation registered
against subject: None
6] Records
on Int’l Anti-Money Laundering Laws/Standards :
Charges or investigation registered
against subject: None
7] Criminal
Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation
with Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation
Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA
INFORM as part of its Due Diligence do provide comments on Corporate Governance
to identify management and governance. These factors often have been predictive
and in some cases have created vulnerabilities to credit deterioration.
Our
Governance Assessment focuses principally on the interactions between a
company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject
is not known to have contravened any existing local laws, regulations or
policies that prohibit, restrict or otherwise affect the terms and conditions
that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US
Dollar |
1 |
Rs. 45.89 |
|
UK
Pound |
1 |
Rs. 84.65 |
|
Euro |
1 |
Rs. 57.78 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
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PAID-UP CAPITAL |
1~10 |
8 |
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OPERATING SCALE |
1~10 |
8 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
8 |
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--PROFITABILIRY |
1~10 |
8 |
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--LIQUIDITY |
1~10 |
8 |
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--LEVERAGE |
1~10 |
8 |
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--RESERVES |
1~10 |
8 |
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--CREDIT LINES |
1~10 |
8 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
72 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit
history (10%) Market
trend (10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial
base with the strongest capability for timely payment of interest and
principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No
caution needed for credit transaction. It has above average (strong)
capability for payment of interest and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are
regarded healthy. General unfavourable factors will not cause fatal effect.
Satisfactory capability for payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors
carry similar weight in credit consideration. Capability to overcome
financial difficulties seems comparatively below average/normal. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of
interest and principal sums in default or expected to be in default upon
maturity |
Limited with full security |
|
<10 |
C |
Absolute credit risk exists. Caution
needed to be exercised |
Credit not recommended |