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MIRA
INFORM REPORT
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Report Date : |
27th
May 2006 |
IDENTIFICATION
DETAILS
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Name : |
KARMEN INTERNATIONAL (PRIVATE) LIMITED |
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Registered Office : |
12,
Ponniamman Nagar Road, Ayanambakkam, Chennai
- 600 095, India.
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Country : |
India |
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Financials (as on) : |
31/03/2003 |
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Date of Incorporation : |
16/09/1997 |
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Com. Reg. No.: |
39036 |
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CIN No.: [Company
Identification No.] |
U28999TH1997PTC039036 |
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Legal Form : |
Private
Limited Liability Company |
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Line of Business : |
Engaged
in Manufacturing of Foundry Chemicals and Binders for Moulds |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
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
50000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow
but correct |
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Litigation : |
Clear |
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Comments : |
Subject
is a well established company having satisfactory track. Trade relations are
fair. General financial position is satisfactory. Payments are reported as
slow but correct. The
company can be considered normal for business dealings at usual trade terms
and conditions. |
LOCATIONS
|
Registered Office : |
12,
Ponniamman Nagar Road, Ayanambakkam, Chennai
- 600 095, India.
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Tel. No.: |
91 -
44 - 2653 12 88 / 2653 10 73 |
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Fax No.: |
91 -
24 - 2653 10 35 |
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E-Mail : |
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Website : |
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Area : |
Leased
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Corporate
Office : |
39, Prithvi Avenue, Chennai - 600 018,
Tamilnadu, INDIA |
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Tel.
No.: |
91-44-625 5685 |
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Fax
No.: |
91-44-625 8412 |
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Area : |
Leased
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Factory
1 : |
Plot
C-15A, Industrial Estate Ambattur, Chennai - 600 058, Tamilnadu, India |
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Tel.
No.: |
91-44-625 5685 |
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Fax
No.: |
91-44-625 8412 |
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Area : |
5000
sq.fts.- Owned |
DIRECTORS
|
Name : |
Mr.
Ramganeshan Venkatesa |
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Designation : |
Managing
Director |
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Name : |
Mr.
Karthikesan Venkatesan |
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Designation : |
Director
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Name : |
Mr.
Divya Biyani Venkatesan |
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Designation : |
Director
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MAJOR SHAREHOLDERS
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Names
of Shareholders |
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The
company's entire (100%) share capital is held by the Directors and their
Relatives. |
BUSINESS DETAILS
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Line of Business : |
Engaged
in Manufacturing of Foundry Chemicals and Binders for Moulds |
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Products : |
Binders
for Foundry Moulds |
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GENERAL
INFORMATION
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No. of Employees : |
80 |
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Bankers : |
State
Bank of India AMB
Industrial Estate, Chennai - 600 058, Tamilnadu, India |
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Banking Relations : |
-- |
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Auditors : |
R.
Muruganathan Chartered Accountants 10,
Arisikara Street, Mylapore, Chennai - 600 004, Tamilnadu, INDIA. |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
500000 |
Equity shares |
Rs. 10 each |
Rs. 5.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
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In the year 1998 |
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50000 |
Equity shares |
Rs. 10 each |
Rs. 0.500 million |
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In
the year 2003
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500000 |
Equity shares |
Rs. 10 each |
Rs. 5.000 million |
FINANCIAL DATA
[all figures are in Rupees
Millions]
No
subsequent financial could be available from any sources.
Management
remained non-cooperative during current investigation.
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2003 |
31.03.2002 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
|
5.000 |
0.500 |
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3] Reserves & Surplus |
|
8.070 |
5.526 |
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NETWORTH |
|
13.070 |
6.026 |
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LOAN FUNDS |
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1] Secured Loans |
|
6.237 |
6.791 |
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2] Unsecured Loans |
|
0.000 |
0.000 |
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TOTAL BORROWING |
|
6.237 |
6.791 |
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DEFERRED TAX LIABILITIES |
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0.163 |
0.000 |
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TOTAL |
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19.470 |
12.817 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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2.907 |
3.012 |
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Capital work-in-progress |
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INVESTMENT |
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0.290 |
0.000 |
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DEFERREX TAX ASSETS |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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Sundry Debtors |
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Cash & Bank Balances |
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22.502 |
16.481 |
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Other Current Assets |
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Loans & Advances |
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Total Current Assets |
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22.502 |
16.481 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
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6.239 |
6.688 |
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Provisions |
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Total Current Liabilities |
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6.239 |
6.688 |
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Net Current Assets |
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16.263 |
9.793 |
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MISCELLANEOUS EXPENSES |
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0.010 |
0.012 |
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TOTAL |
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19.470 |
12.817 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2003 |
31.03.2002 |
|
Sales Turnover [including other income] |
|
20.000 |
15.000 |
KEY
RATIOS
|
PARTICULARS |
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31.03.2003 |
31.03.2002 |
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Debt
Equity Ratio (Total
Liability/Networth) |
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0.954 |
2.236 |
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Current
Ratio (Current
Asset/Current Liability) |
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3.606 |
2.464 |
LOCAL AGENCY
FURTHER INFORMATION
The
chemical industry which had been on a path of high growth since liberalisation,
slowed down in FY’97. Year-on-year growth rate in Index of Industrial
Production (IIP) for chemical production in FY’96. This slowdown has been
attributed to a number of reasons. The overall slowdown in economy, including
that of the agriculture sector has bad on impact on the chemical industry. The
impact of reforms on the industry has also been severe.
The
caustic soda industry, with a size of around Rs.36 bn, comprises around 5% of
the chemical process industry in India.
Caustic
soda is manufactured/sold in liquid
(lye) or solid (flakes) form. It finds usage in diverse applications such as in
the manufacture of paper, alumina, man-made and cotton fibres, soaps/detergents and a host of chemicals.
Chlorine is a co-product and for every tonne of caustic soda manufactured, 0.88
tonnes of chlorine is produced. Chlorine is used in a number of applications
such as in the manufacture of PVC and several other organic/inorganic chemicals.
Soda
ash, chemically known as Sodium Carbonate is a versatile inorganic chemical
with a wide variety of applications. It is largely used in the manufacture of
detergents, silicates and several downstream chemicals. The domestic soda ash
industry has been facing the onslaught of imports for quite some time.
The
industry is likely to continue to be a net importer although imports may be
lower in the coming year due to larger capacities in the domestic market. The
competitiveness of the industry will be severely tested as import duties on the
furnished products come down further and foreign major seek to establish a
toehold in the country.
AS
PER WEBSITE
Karmen
International Private Limited company is an ISO 9001-2000 certified company
that is in the business of supplying fully machined casting and compenents in ferrous
and non-ferrous materials to the value pumps and engineering industries.
- Machined casting and
forgings
- Machined precision
components
- Weld Overlayed
- Sub Assemblies
- OEM Complete Assemblies
Vision
Karmen
International is emerging as a leading manufacturer and supplier of quality
machined cast and forged parts and precision components for the international
valve, pump and engineering industries.
We
take pride in our unique business model, our technical expertise, our proven
quality systems and our ability to offer seamless supply chain management
solutions.
Vision
is to forge strong, sustainable partnerships with International companies for
specific product ranges on an exclusive basis.
Strengths
·
Its ability to understand and appreciate our customer
requirements and translate them consistently into finished parts and components
using castings, forgings and bar stock
·
Its ability to offer our customers a smooth, reliable and
hassle-free experience in every step of the process - from quotation to product
development to consistent supply of parts and components
·
Its ability to integrate the supply chain and offer seamless
solutions to valued customers
·
Its flexible manufacturing capabilities and those of our
suppliers and partners are at par with the best in the world
Quality
Systems
- Karmen International is certified to BS
EN ISO 9001:2000 standards by Lloyd's Register Quality Assurance
- The Quality Management system is
applicable to " developing and manufacturing of ferrous and
non-ferrous manchined components to customers's specifications".
- Karmen offers castings and components
with full certification including
o
Chemical
Analysis
o
Mechanical
testing
o
Ultrasonic
Inspection
o
Magnetic
Particle Inspection
o
Radiography
Quality Policy:
We
at Karmen International are committed to strive towards achieving customer
satisfaction by :
Supplying consistently reliable products
Supplying products at best total cost
Maintaining
on time delivery
We
shall achieve this through
Meeting mutually agreed national and international standards
Motivated and Trained Team
Key
Deliverable
Karmen
offers its global customers the following key deliverables:
- Quality
Products & Service
- Best
Total Cost of procurement
- Supply
chain Management Solutions
- Customer
service
Quality Products
and Service
98%+
acceptable quality level (AQL)
ISO 9002
certified by Lloyds Register Quality Assurance, U.K.
Hydrostatic
testing can be carried on request.
Third
party inspection by agencies such as Lloyds, TUV, and BVQI can be arranged.
Online test certificates - e-cert. available at www.karmengroup.com/customerssupport.html
Best Total Cost of procurement
Price stability and assurance of ongoing
competitiveness
Superior
Supply Chain management Solutions
Virtually
no repair/upgrade costs for Karmen products
Supply Chain Management Solutions
Optimum
Inventory Back-up
Consignment
Sales / Warehousing (key locations)
Back-
to- Back Kanban
Customer Service
Track
your order with an update at www.ordertracker.yourcompany.karmengroup.com
(Under Construction)
Commitment
to 24-hour response time for every query
Karmen
Team
Karmen International is a
privately owned and managed by a core team with extensive experience in the
foundry, engineering and flow control industries.
Sales & Customer Support
Ramesh Venkatesan, BE, M.Sc - Chief
Executive Officer
E-mail:ramesh@karmengroup.com
Operations Technical Support
R. Marudhachalam (RM), BE. -General Manager
E-mail: rmengg@karmengroup.com
Quality Assurance
K Subramaniam (KS),B.Sc., - QA Head
Level III certified by American Society of Non Destructive Testing
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.45.85 |
|
UK
Pound |
1 |
Rs.85.82 |
|
Euro |
1 |
Rs.58.62 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--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 |
|
--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 |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
45 |
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 |