MIRA
INFORM REPORT
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Report Date : |
31.10.2006 |
IDENTIFICATION
DETAILS
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Name : |
DAVARS
MP ORGANICS |
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Registered Office : |
Tansen
Road, Gwalior – 474002, Madhya Pradesh |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
1982 |
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Legal Form : |
Sole
Proprietory Concern |
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Line of Business : |
Manufacturers,
Traders, Exporters and Importers of Ingredience used in making Ice Cream and
Bakery & other Edible Products. |
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
10000 |
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Status : |
Clear |
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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/ Factory : |
Tansen
Road, Gwalior – 474002, Madhya Pradesh, India |
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Tel. No.: |
91-751-2376888 |
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Mobile No.: |
91-9301609874
[Mr. Vinod Yadav] |
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Fax No.: |
91-751-2382278 |
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E-Mail : |
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Website : |
http://www.davars.com |
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Area : |
10000
sq. mtrs. [Factory – 2000 sq. mtrs.] |
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Location : |
Owned |
SOLE PROPRIETOR/PARTNERS/DIRECTORS
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Name : |
Mrs.
Meera Davar |
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Designation : |
Sole
Proprietor |
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Address : |
Tansen
Road, Gwalior, Madhya Pradesh, India |
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Date of Birth/Age : |
50
years |
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Qualification : |
Graduate |
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Experience : |
17
years |
KEY EXECUTIVES
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Name
: |
Mr.
Vinod Yadav |
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Designation
: |
General
Manager – Operations |
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Date
of Birth/Age : |
39
years |
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Qualification
: |
B. E.
[Mechanical] |
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Experience
: |
16
years |
BUSINESS DETAILS
|
Line of Business : |
Manufacturers,
Traders, Exporters and Importers of Ingredience used in making Ice Cream and
Bakery & other Edible Products. |
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Exports to : |
Middle
East, Sri Lanka, Nepal and East Africa [Ingredients] |
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Imports from : |
China,
Philippines and Belgium [Machinery and Raw Material] |
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Terms : |
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Selling : |
L/C,
Cash and Credit [30 days] |
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Purchasing : |
L/C,
Cash, Credit [30 days] and Sight |
GENERAL
INFORMATION
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Customers : |
Manufacturers
& Wholesalers, Retailers and End Users |
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No. of Employees : |
20 |
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Bankers : |
State
Bank of India Gwalior,
Madhya Pradesh, India Industrial
Development Bank of India Gwalior,
Madhya Pradesh, India |
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Facilities : |
Credit
Limit – Several Facilities from both the banks |
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Banking Relations : |
Satisfactory
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Auditors : |
Vidyarthi
& Company Chartered
Accountants, Gwalior,
Madhya Pradesh, India |
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Associates : |
Dars
Specifics Gwalior,
Madhya Pradesh, India Davar
Addidics Gwalior,
Madhya Pradesh, India |
CAPITAL STRUCTURE
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Capital
Investment : |
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Owned : |
Rs.
3.500 millions |
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Borrowed : |
-- |
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Total : |
Rs.
3.500 millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
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Particulars |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover |
25.000 |
23.500 |
20.000 |
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Net Profit |
0.200 |
1.175 |
1.150 |
Projected Turnover for March, 2007 is Rs. 30.000
millions
LOCAL AGENCY
FURTHER INFORMATION
Trade
Reference :
Vadilal
Ice Cream
Amul Ice
Cream
Mister
Bakers – Dubai
Shinerode
Shanghi Company Limited, China
WEBSITE
DETAILS
Davars M.P. Organics was started in 1982. Project began by setting up an in house R & D laboratory for the development and standardization of food, pharmaceutical and industrial grade additives which were essentially import substitutes of Carrageenans, Pectin, Alginates and Locust bean gum. Samples of their products were sent to different concerned laboratories of C.S.I.R. as well as others to receive their test reports and confirmation of quality. After receiving positive test reports industry was started at a small scale by investing individual capital and without raising any loan what-so-ever from any of the lending institutions.
The
industry, by his grace, received 1st rating on the basis of quality
of their products, which are sold under their registered trade name and
patented formulations which were accepted by the industry as perfect import
substitutes.
The
company having proved excellence in the field of food additives carries on to
develop & offer innovative products to almost all the food industries
engaged in the manufacturing of diverse processed & finished foods.
Financial
performance reveals that consistently from its inception the company has grown
from strength to strength. It is a company being run by a lady entrepreneur
Mrs. Meera Davar, Mrs. Meera Davar, on the basis of her personal and her
industry's performance was nominated by the M.P. Government as one of the
Directors M.P. Women's Economic Development Corporation and by the LIC as one
of its advisors and by Social Health Organization of India as Vice President of
its Gwalior chapter. Technical Director is her husband Dr. G.S. Davar who is
also the Managing Director of Cold Storage & General Mills Limited and
Davars M.P. Food Products. Dr. Davar went under CDG scholarship for conducting
advanced studies and research in West-Germany at Bundesforschungsanstalt fur
Lebensmittel, Karlsruhe. His work was selected for presentation at SOS
"Science of Survival conference held at Washington in 1976. In 1977 he was
invited as a visiting food-scientist by the International Institute of protein
food technology U.S.A. His work was also presented in Paris, France at the
International Food Refrigeration Conference. Mr. Puneet Davar is the Chief
Executive of the company. These units were awarded Udyog Patra Award (in favour
of the founder of the industry Late Shri. K.S. Davar) and Transworld Trade Fair
selection Award and Gold Medal by the Institute of Trade & Industrial
Development & Institute of self Defence and National Character
respectively.
With the
above background, it was considered by the management that to keep in step with
changing consumer needs & dynamic industrial environment this was the right
time to adopt international food safety standard - HACCP (Hazard Analysis &
Critical Control Point) to ensure complete safety to its produce and thus
infuse further confidence to the domestic buyers as well as the buyers abroad
their safety for human consumption wherever their products are used as
ingredients. They are thus a HACCP certified company and are the only Indian
company in food additives to be certified for HACCP. The company has received
its HACCP certification from TUV Mitte of Germany.
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.44.84 |
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UK
Pound |
1 |
Rs.85.55 |
|
Euro |
1 |
Rs.57.28 |
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 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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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 |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
|
54 |
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 |
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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 |
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NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
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