MIRA
INFORM REPORT
|
Report Date : |
21st
June, 2006. |
IDENTIFICATION
DETAILS
|
Name : |
VEGA
CONVEYORS & AUTOMATION LIMITED |
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|
|
|
Registered Office : |
102
Sterling Court Apartments, Sapperslines Balamrai, Secunderabad – 500 003,
Andhra Pradesh, Maharashtra, India. |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
29.10.1999 |
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Com. Reg. No.: |
01-032770 |
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CIN No.: [Company
Identification No.] |
U21014AP1999PLC032770 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MYDV0291D |
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PAN No.: [Permanent
Account No.] |
AABCV1639C |
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Legal Form : |
A
Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer
of Idler, Powered and Accumulatory, Roller convator, Belt conveyor, Assembly
line, Chain conveyor, Truck and Container loader. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD
10000 |
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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. Directors are
reported as experienced, respectable and having satisfactory means of their
own. Financial position is satisfactory. Payments are usually correct and as
per commitments. The
company can be considered good for normal business dealings at usual trade
terms and conditions. |
LOCATIONS
|
Registered Office : |
102
Sterling Court Apartments, Sapperslines Balamrai, Secunderabad – 500 003,
Andhra Pradesh, Maharashtra, India. |
|
Tel. No.: |
91-40-27261123 |
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Fax No.: |
91-40-27261279 |
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|
|
|
Factory
1 : |
Plot
No. 201/7, Phase – II, IDA Cherlapally, Hyderabad – 500 051, Andhra Pradesh,
India. |
|
Tel.
No.: |
91-40-27261123/
27261124 |
|
Fax
No.: |
91-40-27261279 |
DIRECTORS
|
Name : |
Mr.
Garimella Srinivas |
|
Designation : |
Whole
Time Director |
|
Address : |
102
Sterling Court Apartments, Sapperslines Balamrai, Secunderabad – 500 003,
Andhra Pradesh, Maharashtra, India. |
|
Date of Birth/Age : |
23.12.1966 |
|
Date of Appointment : |
29.10.1999 |
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|
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Name : |
Mr.
Vavilala Sri Ranga Sai Srinivas |
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Designation : |
Whole
Time Director |
|
Address : |
2, Sri
Ragmavendra Nilayam Apartments, Road No. 8, Habsiguda, Hyderabad, Andhra
Pradesh |
|
Date of Birth/Age : |
02.02.1965 |
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Date of Appointment : |
29.10.1999 |
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|
|
|
Name : |
Mr.
Garimella Valli Vyjayanthi |
|
Designation : |
Director |
|
Address : |
102
Sterling Court Apartments, Sapperslines Balamrai, Secunderabad – 500 003,
Andhra Pradesh, Maharashtra, India. |
|
Date of Birth/Age : |
10.08.1970 |
|
Date of Appointment : |
15.12.2003 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
|
Garimella
Srinivas |
12510 |
|
Vavilala
Sri Ranga Sai Srinivas |
12510 |
|
Cherukupalli
Tandava Siva Murthy |
10 |
|
Ratna
Kumari Cauta |
12510 |
|
Valli
Vyjayanthi Garimella |
12510 |
|
Garimella
Suryanarayana |
10 |
|
Vavilala
Vankata |
10 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
of Idler, Powered and Accumulatory, Roller convator, Belt conveyor, Assembly
line, Chain conveyor, Truck and Container loader. |
GENERAL
INFORMATION
|
No. of Employees : |
80 |
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Bankers : |
Babk
of India |
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Facilities : |
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Banking Relations : |
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Auditors : |
D.V.
Aditya & Company |
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Address: |
Srinivasa
Nilayam, 2-2-3/1/2, Shivam Road, Hyderabad – 500 044, India. |
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Tel. No.: |
91-27619229 |
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E-Mail : |
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Sister Concern: |
v
L.V.
Associates v
Vega
Packaging Equipment Private Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
250000 |
Equity
Shares |
Rs. 10/- each |
Rs. 2.500 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
50070 |
Equity
Shares |
Rs. 10/- each |
Rs. 0.500 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
0.500 |
0.500 |
|
|
2] Share Application Money |
|
0.050 |
0.050 |
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|
3] Reserves & Surplus |
|
1.371 |
0.934 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
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NETWORTH |
|
1.921 |
1.484 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
0.158 |
0.887 |
|
|
2] Unsecured Loans |
|
2.702 |
2.381 |
|
|
TOTAL BORROWING |
|
2.860 |
3.268 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
|
4.781 |
4.752 |
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|
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|
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
|
3.408 |
2.904 |
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Capital work-in-progress |
|
0.000 |
0.000 |
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INVESTMENT |
|
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
|
0.700 |
0.800 |
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Sundry Debtors |
|
10.126 |
4.657 |
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Cash & Bank Balances |
|
0.513 |
0.400 |
|
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Deposits |
|
0.057 |
0.066 |
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Loans & Advances |
|
0.124 |
0.082 |
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Total Current Assets |
|
11.520 |
6.005 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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|
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|
Current Liabilities |
|
10.147 |
4.157 |
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|
Provisions |
|
0.000 |
0.000 |
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Total Current Liabilities |
|
10.147 |
4.157 |
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|
Net Current Assets |
|
1.373 |
1.848 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
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|
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|
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TOTAL |
|
4.781 |
4.752 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other income] |
|
39.554 |
22.386 |
|
|
|
|
|
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Profit/(Loss)
Before Tax |
|
1.387 |
0.717 |
|
Provision
for Taxation |
|
0.385 |
0.067 |
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Profit/(Loss)
After Tax |
|
1.002 |
0.650 |
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|
|
|
|
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Total
Expenditure |
|
38.166 |
21.669 |
KEY
RATIOS
|
PARTICULARS |
|
|
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
|
2.53 |
2.90 |
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|
Net
Profit Margin (PBT/Sales) |
(%) |
|
3.51 |
3.20 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
|
9.29 |
8.05 |
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Return
on Investment (ROI) (PBT/Networth) |
|
|
0.72 |
0.48 |
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Debt
Equity Ratio (Total
Liability/Networth) |
|
|
6.77 |
5.00 |
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Current
Ratio (Current
Asset/Current Liability) |
|
|
1.14 |
1.44 |
LOCAL AGENCY
FURTHER INFORMATION
Fixed
Assets:
Land,
Building, Plant & Machinery, Office Equipment, Vehicle, Furniture etc.
Status
of the Projects & Operations:
The
directors are extremely happy to inform you that the company had performed
extremely well during the year under construction. The company had achieved a
Turnover of Rs. 40.104 Millions recording a growth of about 85% from earlier
year. It has also made a healthy profit of rs. 1.387 Millions before tax for
the year. The directors are extremely confident that the company would achieve
greater heights in the current year as demand for the company,s systems is
steadily picking up.
|
Name of the company |
VEGA
CONVEYORS & AUTOMATION LIMITED |
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Presented By |
Jointly by the company and the banker |
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1)
Date and description of instrument creating the change |
Hypothecation
of tangible movable property. Sanctation
letter dated 13.09.2001 |
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2)
Amount secured by the charge/amount owing on the securities of charge |
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3)
Short particular of the property charged. If the property acquired is subject
to charge, date of the acquired of the property should be given |
All
tangible movable assets of the borrower including in particular all stocks of
raw material such as steel, bearing, drives, electrical items etc. and finished goods such as packaging
machines, conveyors, loading equipment etc. stock – in – process, movable
machinery, stores, spares parts, furniture etc. wheresover situate and / or
in transit. All
the types of stocks, plant & machinery and equitable mortgage of
immovable property of land and building in the name of the company situated
at Plot No. 201/7, Phase – II, IDA Cherlapally, kapra Municipally , R.R.
District. |
||||||||
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4)
Gist of the terms and conditions and extent and operation of the charge. |
Interest
: 4% p.a. OBR with a minimum of 16% Repayment
: repayable on Demand. Margin:
25% |
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|
5)
Name and Address and description of the person entitled to the charge. |
Bank
of India, Vasavi Nagar Branch, Secundarabad |
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6)
Date and brief description of instrument modifying the charge |
Deed
of Hypothecation of Book debts dated 14.05.2004. |
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7)
Particulars of modifications specifying the terms and conditions or the
extent of operations of the charge in which modification is made and the
details of the modification. |
The
cash credit is further secured by the hypothecation of book debts,
outstanding, moneys receivable, claims and bills which are now due or at any
time hereafter becomes due. Interest
rate has been increased to 10.75% p.a. or at such rate as may be fixed by the
bank with quarterly rests instead 4% p.a. OBR with a minimum of 16%. The
security hereby constituted is to operate as a constinuing security for all
sums due or owing to the bank at any time and in the event of the borrowers
current account loan or cash credit or any other account with the bank. Margin
on book debts 40% |
|
Name of the company |
VEGA
CONVEYORS & AUTOMATION LIMITED |
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|
Presented By |
Jointly by the company and the banker |
||||||||
|
1)
Date and description of instrument creating the change |
Hypothecation
of tangible movable property. Sanctation
letter dated 13.09.2001 |
||||||||
|
2)
Amount secured by the charge/amount owing on the securities of charge |
|
||||||||
|
3)
Short particular of the property charged. If the property acquired is subject
to charge, date of the acquired of the property should be given |
All
tangible movable assets of the borrower including in particular all stocks of
raw material such as steel, bearing, drives, electrical items etc. and finished goods such as packaging
machines, conveyors, loading equipment etc. stock – in – process, movable
machinery, stores, spares parts, furniture etc. wheresover situate and / or
in transit. All
the types of stocks, plant & machinery and equitable mortgage of
immovable property of land and building in the name of the company situated
at Plot No. 201/7, Phase – II, IDA Cherlapally, kapra Municipally , R.R.
District. |
||||||||
|
4)
Gist of the terms and conditions and extent and operation of the charge. |
Interest
: 4% p.a. OBR with a minimum of 16% Repayment
: repayable on Demand. Margin:
25% |
||||||||
|
5)
Name and Address and description of the person entitled to the charge. |
Bank
of India, Vasavi Nagar Branch, Secundarabad |
||||||||
|
6)
Date and brief description of instrument modifying the charge |
Not
Applicable |
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|
7)
Particulars of modifications specifying the terms and conditions or the
extent of operations of the charge in which modification is made and the
details of the modification. |
Not
Applicable |
|
Name of the company |
VEGA
CONVEYORS & AUTOMATION LIMITED |
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|
Presented By |
Jointly by the company and the banker |
||||||||
|
1)
Date and description of instrument creating the change |
Hypothecation
of tangible movable property. Sanctation
letter dated 28.09.2005 |
||||||||
|
2)
Amount secured by the charge/amount owing on the securities of charge |
|
||||||||
|
3)
Short particular of the property charged. If the property acquired is subject
to charge, date of the acquired of the property should be given |
All
tangible movable assets of the borrower including in particular all stocks of
raw material such as steel, bearing, drives, electrical items etc. and finished goods such as packaging
machines, conveyors, loading equipment etc. stock – in – process, movable
machinery, stores, spares parts, furniture etc. wheresover situate and / or
in transit. All
the types of stocks, plant & machinery and equitable mortgage of
immovable property of land and building in the name of the company situated
at Plot No. 201/7, Phase – II, IDA Cherlapally, kapra Municipally , R.R.
District. |
||||||||
|
4)
Gist of the terms and conditions and extent and operation of the charge. |
Interest
: 4% p.a. OBR with a minimum of 11.75% Repayment
: repayable on Demand. Margin:
40% abook deposit of 90 days 25%
cash margin on Bank Guarantee. |
||||||||
|
5)
Name and Address and description of the person entitled to the charge. |
Bank
of India, Vasavi Nagar Branch, Secundarabad |
||||||||
|
6)
Date and brief description of instrument modifying the charge |
Not
Applicable |
||||||||
|
7)
Particulars of modifications specifying the terms and conditions or the
extent of operations of the charge in which modification is made and the
details of the modification. |
Not
Applicable |
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.46.01 |
|
UK
Pound |
1 |
Rs.84.93 |
|
Euro |
1 |
Rs.58.30 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
48 |
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 |