MIRA INFORM REPORT
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Report Date : |
27TH April 2006 |
IDENTIFICATION DETAILS
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Name : |
PURUSHOTHAM ENGINEERING INDUSTRIES |
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Registered Office : |
A-16, H M T Industries
Estate, Bangalore- 560031, Karnataka, India
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Country : |
India
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Date of Incorporation : |
1965 |
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Legal Form : |
Partnership
concern with and unlimited liability of the partners. |
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Line of Business : |
Manufacturers,
Importers and Exporters of products for shop inspection equipment, machines
tool accessories and M/C Tool components / Job works |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
RATING
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STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is
considered normal. Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 15000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject
is a well established concern having satisfactory track. Trade relations are
fair. Payments are usually correct and as per commitments. The
concern can be considered normal for business dealings at usual trade terms
and conditions. |
LOCATIONS
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Registered Office : |
A-16, H M T Industries
Estate, Bangalore- 560031, Karnataka, India
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Tel. No.: |
91-80-28389240 |
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Mobile No.: |
91-9845541008 |
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Fax No.: |
91-80-28389240 |
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E-Mail : |
DIRECTORS
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Name : |
Mr
P N Purshotham |
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Designation : |
Director
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Name : |
Mr.
Sarvotham P |
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Designation : |
Director
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Address : |
A-16, H M T Industries
Estate, Bangalore- 560031, Karnataka, India
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BUSINESS DETAILS
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Line of Business : |
Manufacturers,
Importers and Exporters of products for shop inspection equipment, machines
tool accessories and M/C Tool components / Job works |
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Products : |
Shop Inspection Equipment like cast-
iron Surface plates, Angle plates,Sine Plates, Bench centres, Straight edges
etc. Machine Tool Accessories in particular Milling machine Cutter holding
equipment like Stub Arbors, Long Milling Arbors, Reduction & extension
Sleeves, ISO/Morse Taper adopters, Boring bars & Low cost vertical
drilling, milling cum boring machines, Wheel Balancing Stands for Grinding
Machines. |
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Terms : |
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Selling : |
Credit
(30 days) |
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Purchasing : |
Credit
(30 days) |
GENERAL INFORMATION
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Customers : |
H
M T Machine Tools Limited, Bangalore Batliboi
SPM private Limited, Bangalore |
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No. of Employees : |
Office
: 4 + Production : 10 = Total 14 |
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Bankers : |
Central
Bank of India Peenya
Branch Bangalore-
560058 |
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Facilities : |
Credit
Limits : Rs. 0.500 millions |
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Banking Relations : |
Satisfactory
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Auditors : |
Shanmukhaiah
and Pandurang Chartered
Accounts |
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Memberships: |
KAASIA, PIA |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs.
4.000 millions |
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Borrowed : |
-- |
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Total : |
Rs.
4.000 millions |
FINANCIAL
DATA
[all figures are in Rupees Millions]
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Particulars |
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31.03.2005 |
31.03.2004 |
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Sales Turnover |
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3.000 |
2.000 |
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Profit/Loss for the year |
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0.700 |
0.700 |
LOCAL AGENCY FURTHER INFORMATION
As per website
Manufacturer / Supplier / Exporter of: milling Machine accessories, Surface
Grinding Machine accessories
Home Page
PURUSHOTHAM ENGINEERING INDUSTRIES is a small scale industry, an ancillary to the well known Indian Machine Tool Manufacturer M/s HMT Ltd., situated in Bangalore, the silicon valley of India. This company was started in the year 1964 by Mr. P.N.PURUSHOTHAM, Senior Partner/Chief Executive and a qualified Engineer from the University of Mysore in Mechanical Engineering (L.M.E) and a swiss trained engineer well versed in the area of Machine Tools, who was working at M/S H M T. In the year 1982 his son Mr. SARVOTHAM a graduate in Mechanical Engineering, joined as a partner. The Company has obtained ISO 9001-2000 Certificate in the year 2005.
Product Range
- Shop Inspection
Equipment: such as cast-iron
surface plates, angle plates, sine plates, bench centres, straight edges,
manufactured to relevant Indian and ISO standards. The material used is
close grained machine tool grade cast iron grade 20 having a BHN of
180-220, which is stress relieved before finishing.
- Machine Tool Accessories: in particular milling machine cutter holding
equipment like stub arbors, long milling arbors, reduction and extension
sleeves, ISO/M Taper adopters, boring bars and special to customer
requirement. These accessories are made out of alloy steel such as EN353,
EN354 which is case hardened to 55-58 HRC, threads maintained soft. The
company also manufactures Wheel Balancing Stands for Grinding Machines.
- The company also
manufactures low cost vertical drilling, milling cum boring machine with
co-ordinate table with ISO 40 spindle taper with speed ranges of 63 to
2800 rpm. The company manufactures various sub-assemblies and components
as per customer specifications. Presently the company are suppliers of a
variety of machine tool spindles and components to M/S Batliboi Engineers
(SPM Division) and M/S Ace Designers of Bangalore who one of the well
known manufacturers of machine tools in the country.
Potential
The products are well known in Indian market for their high standard of
workmanship and accuracy and well accepted by Public and Private Sector like
M/S H M T Ltd., BEL, BHEL, Ordnance Factory, Ashok Leyland Ltd., TVS Group of
Industries, Ace Designers, Batliboi Engineers (Bangalore) Ltd., B.F.W Bangalore
etc.
The company is well equipped with all the necessary inspection equipment’s to
produce a quality product.
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. 45.03 |
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UK
Pound |
1 |
Rs. 80.40 |
|
Euro |
1 |
Rs. 55.92 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
5 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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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 |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
46 |
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
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STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely
sound financial base with the strongest capability for timely payment of
interest and principal sums |
Unlimited |
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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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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 |
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26-40 |
B |
Unfavourable &
favourable factors carry similar weight in credit consideration. Capability
to overcome financial difficulties seems comparatively below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk
exists. Caution needed to be exercised |
Credit not recommended |