MIRA INFORM REPORT
|
Report Date : |
11th May 2006 |
IDENTIFICATION DETAILS
|
Name : |
MY
DOLLAR STORES – PROPRIETOR – SANKALP RETAIL VALUE STORES PRIVATE LIMITED |
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Registered Office : |
401,
Ravji Premji Apartment, 262 S. V. Road, Borivali (W), Mumbai – 400092
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 : |
20th
January, 2004 |
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CIN No.: |
U51909MH2004PTC144105 |
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Com. Reg. No.: |
11-144105 |
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Legal Form : |
Private
Limited Liability Company |
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Line of Business : |
Retail
Chain Stores |
RATING & COMMENTS
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MIRA’s Rating : |
B |
RATING
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STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
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Status : |
New Company |
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Payment Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
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Comments : |
Subject
is a relatively new entrant in the retail chain stores segment. The company
has incurred some losses during the first year of its operations. Trade
relations are reported as fair. Payments are however reported as slow but
correct. The
company can be considered for small business dealings at usual trade terms
and conditions. |
LOCATIONS
|
Registered Office : |
401,
Ravji Premji Apartment, 262 S. V. Road, Borivali (W), Mumbai – 400092
Maharashtra , India |
DIRECTORS
|
Name : |
Mr.
Unesh Chandrasen Asher |
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Designation : |
Director
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Address : |
3rd
Floor, Heenaasmruti, Plot 42, Vallabh Nagar, Society N. S. Road 2, J.V.P.D.
Scheme Mumbai-400056, Maharashtra |
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Date of Birth/Age : |
21.09.1962 |
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Date of Appointment : |
20.01.2004 |
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Name : |
Mr.
Unmesh Kantilal Kamdar |
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Designation : |
Director
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Address : |
31/32
jeewan Jyot 25, New India Co-Op Society N. S. Road 1, J.V.P.D. Scheme
Mumbai-400056, Maharashtra |
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Date of Birth/Age : |
21.10.1959 |
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Date of Appointment : |
20.01.2004 |
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Name : |
Mr.
Milind Vinayak Govilkar |
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Designation : |
Director
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Address : |
M-1
Ambedkar Nagar, G. D. Ambedkar Marg, Parel Mumbai-400012, Maharashtra, India |
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Date of Birth/Age : |
13.10.1960 |
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Date of Appointment : |
20.01.2004 |
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Name : |
Mr.
Ajoy Krishnamurti |
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Designation : |
Ceo-
Sankalp Retail Value Stores Private Limited |
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Qualification : |
MBA,
BE |
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Date of Birth/Age : |
41
years |
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Experience: |
17
years |
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Date of Appointment : |
21.08.2004 |
MAJOR SHAREHOLDERS
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Names of Shareholders |
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No. of Shares |
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Mr.
Unmesh Kantilal Kamdar |
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3,334 |
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Mr.
Unesh Chandrasen Asher |
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3,333 |
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Mr.
Milind Vinayak Govilkar |
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3,333 |
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Sankalp Consumer Products
Private Limited |
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3,709,662 |
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Mr. Mahesh Shah |
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416,667 |
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Ms. Harsha Shah |
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416,666 |
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Total |
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4,552,995 |
BUSINESS DETAILS
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Line of Business : |
Retail
Chain Stores |
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GENERAL INFORMATION
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Suppliers : |
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Bankers : |
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Facilities : |
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Banking Relations : |
Satisfactory
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Auditors : |
S.
K. Kamdar and Company Chartered
Accountants C-3/2,
Khira nagar, S.V. Road, Santacruz (W), Mumbai – 400054 |
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Tel. No.: |
91-22-26614713/26615677 |
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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5000000 |
Equity
Shares |
Rs. 10/- each |
Rs. 50.000 millions |
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Issued, Subscribed
& Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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4553995 |
Equity
Shares |
Rs. 10/- each |
Rs. 45.530 millions |
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FINANCIAL
DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
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SOURCES OF FUNDS |
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31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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45.530 |
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2] Share Application Money |
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0.000 |
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3] Reserves & Surplus |
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1.667 |
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4] (Accumulated Losses) |
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(25.750) |
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NETWORTH
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21.447 |
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LOAN FUNDS |
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1] Secured Loans |
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0.401 |
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2] Unsecured Loans |
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0.000 |
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TOTAL
BORROWING
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0.401 |
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DEFERRED TAX LIABILITIES |
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0.511 |
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TOTAL
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22.359 |
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APPLICATION OF FUNDS
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FIXED ASSETS [Net Block]
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15.809 |
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Capital work-in-progress
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0.000 |
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INVESTMENT
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0.000 |
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DEFERREX TAX ASSETS
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0.000 |
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CURRENT ASSETS, LOANS & ADVANCES
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Inventories
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19.176 |
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Sundry Debtors
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0.097 |
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Cash & Bank Balances
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1.857 |
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Other Current Assets
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0.000 |
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Loans & Advances
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14.056 |
Total Current Assets
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35.186 |
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Less : CURRENT LIABILITIES & PROVISIONS
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Current Liabilities
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28.637 |
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Provisions
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Total Current Liabilities
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26.637 |
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Net Current
Assets
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6.550 |
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MISCELLANEOUS EXPENSES
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0.000 |
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TOTAL
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22.359 |
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PROFIT & LOSS ACCOUNT
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PARTICULARS |
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|
31.03.2005 |
Sales Turnover [including other income]
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90.635 |
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Profit/(Loss) Before Tax
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(25.239) |
Provision for Taxation
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0.511 |
Profit/(Loss) After Tax
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(25.750) |
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Import Value
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25.922 |
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Total Expenditure
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115.874 |
KEY RATIOS
|
PARTICULARS |
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31.03.2005 |
PAT / Total Income
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(%)
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(28.41) |
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Net Profit Margin
(PBT/Sales) |
(%) |
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(27.85) |
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Return on Total Assets
(PBT/Total Assets} |
(%) |
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(49.49) |
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Return on Investment (ROI)
(PBT/Networth) |
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(1.18) |
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Debt Equity Ratio
(Total Liability/Networth) |
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1.26 |
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Current Ratio
(Current Asset/Current
Liability) |
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1.32 |
LOCAL AGENCY FURTHER INFORMATION
Fixed
Assets :
- Motor Car
- Computer
- Electrical Fittings
- Equipments
- Furniture and Fixture
Financial
Result :
The
working of the Company for the period under review shows a net loss. The debit
balance in the Profit and Loss account which is carried forward to the next
year is Rs. 25.749 millions.
US's My
Dollar Store debuts in India
[ WEDNESDAY, SEPTEMBER
08, 2004 12:35:55 AM]
MUMBAI: My Dollar Store, the
US-based retail chain where everything sells for one dollar, has made an entry
into India through the franchisee route. The retail store, owned by Dollar
Store Corporation, has opened its maiden franchisee store in Nirmal Life Style
mall at Mulund, located in north-east Mumbai.
Rex Mehta, an American of Indian origin based in California, is one of the main
promoters of My Dollar Store Inc.
Sankalp Retail Value stores, a company floated by some local business groups,
is the master franchisee for My Dollar Store in India. Ajoy Krishnamurthy (40),
who was earlier with Shoppers’ Stop, is the chief executive officer (CEO) of
Sankalp Retail.
My Dollar Store, which is now selling goods for Rs 99, is planning to open two
more stores in Mumbai. The company is understood to have finalised properties
in Goregaon and Phoenix Mall.
My Dollar Store plans to offer a vast portfolio of goods ranging from
shampoos-to-juices-to-toys. The store has taken up 4,000 sq ft of space in
Nirmal Lifestyle.
The retail chain, which could give stiff competition to hypermarkt chains, is
planning to import products from US — both branded and non-branded. The parent
company, which runs around 250 stores in US, sources products for franchisees
world-wide. In addition to US, the store is present in the Caribbean and the
Philippines.
My
Dollar to ramp up retail presence
Cashing
in on the Indian consumer’s fancy for imported stuff, US retailer My Dollar
Stores is looking at ramming up its presence in India.
Pankaj
Oza, Manager – marketing, My Dollar Stores, said the company planning to set up
at least 70 more stores in addition to the existing 26 by August, 2006.
“The
time we are looking at the smaller cities like Surat and Baroda” he said. Sankapl Retail Value Stores is the
master franchisee for the brand in India.
Apart
from the larger format stores of about 1500 sq. ft. the company is also setting
up smaller Express stores and IT parks which would cater to people who don’t
have the time to go malls high streets.
The
company has set up few of the Express outlets at HPCL petrol pumps as well as
although the two haven’t entered into any sort of arrangement for future
outlets.
Oza
said that the newer outlets would be a mixa of company owned and franchisee
stores. The stores have a mix of 20 products categories like home, food, toys
etc and Oza said that all products have been imported mainly form the states
and china.
Oza
is not too worried about the competition from local retailers who also stock
imported products as he believes that they have an edge in terms of pricing.
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 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. 44.93 |
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UK
Pound |
1 |
Rs. 83.82 |
|
Euro |
1 |
Rs. 57.35 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
2 |
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PAID-UP CAPITAL |
1~10 |
4 |
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OPERATING SCALE |
1~10 |
3 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
1 |
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--LIQUIDITY |
1~10 |
4 |
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--LEVERAGE |
1~10 |
4 |
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--RESERVES |
1~10 |
3 |
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--CREDIT LINES |
1~10 |
3 |
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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 |
NO |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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29 |
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
|
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 |
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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 |
|
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 |