MIRA INFORM REPORT
|
Report
Date : |
03.11.2006 |
IDENTIFICATION
DETAILS
|
Name : |
MADHAV GRANITE
AND REALTY LIMITED |
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Formerly
Known As : |
MADHAV
MARBLES AND GRANITES LIMITED |
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Registered
Office : |
National
Highway 8, Amberi, Udaipur - 313 004, Rajasthan |
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Country : |
India |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
07.04.1989 |
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Com.
Reg. No.: |
17-4903 |
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CIN No.: [Company Identification No.] |
U14101RJ1989PLC004903 |
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TAN No.: [Tax Deduction & Collection Account No.] |
JDHM02908D |
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Legal Form
: |
Public Limited Liability Company. Its Share are listed on
Stock Exchange. |
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Line
of Business : |
Manufacturing and selling of marble tiles, granite tiles
and marble slabs. |
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 |
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Maximum
Credit Limit : |
USD
3000000 |
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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. The slowdown in the US
market has affected the total exports of the company since USA was the major export
market for the company. Consequently, this has affected the company's
turnover and profitability. Directors are reported as experienced, respectable and
resourceful businessmen and eminent personalities. Their trade relations are reported as fair. General financial position is
satisfactory. Payments are reported
as correct and as per commitments. However, the company can be considered normal for business
dealings at usual trade terms and conditions. |
LOCATIONS
|
Registered
Office : |
National
Highway 8, Amberi, Udaipur - 313 004, Rajasthan, INDIA |
|
Tel.
No.: |
91-294-2525808
/ 2527535 / 2440113 / 131 |
|
Fax
No.: |
91-294-2525887
/ 2440139 |
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E-Mail
: |
marble@madhavmarbles.com granites@madhavmarbles.com |
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Website
: |
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Administrative
Office : |
59, Moti
Magri, Scheme V, Udaipur – 313 001, Rajasthan, India |
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Tel.
No.: |
91-294-2525808 / 2527535 |
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Fax
No.: |
91-294-2525887 |
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E-Mail
: |
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Website
: |
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Overseas
Distributors : |
Located
at : USA,
Canada, Ohio, Holland, Germany and Australia |
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Factory
: |
v
Marble Division Sukher Industrial Area, National Highway - 8, Udaipur, Rajasthan,
India Phone : 91-294-2440113/2440131 v
Granite Division Village Thopur, Distt. Dharampuri, Salem, Tamil Nadu,
India Tel : 91-4342-246233/246224 v Wind Mills SF No 405/1 [Part] and 412 [Part] Village
Balabathiraramapuram, Tirunelveli, Tamilnadu |
DIRECTORS
|
Name : |
Mr. Raj
Singh Dungarpur |
|
Designation
: |
Chairman |
|
|
|
|
Name : |
Mr. Ashok
Doshi |
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Designation
: |
Managing
Director |
|
Qualification
: |
B.Sc. |
|
Date
of Appointment : |
01-05-1995 |
|
Previous Employment |
A.R.
Enterprises Limited |
|
|
|
|
Name : |
Mr.
Suranjan Gupta |
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Designation
: |
President
- Granite Division |
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Qualification
: |
B.E.
(Mining) |
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Date of
Appointment : |
30-07-1990 |
|
Previous Employment |
Atlas
Copco Limited |
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|
|
|
Name : |
Mr. Raj
Kumar Bapna |
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Designation
: |
Wholetime Director |
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Name : |
Mr. C. D.
Gopinath |
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Designation
: |
Director |
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Name : |
Mr.
Arvind Apte |
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Designation
: |
Director |
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|
Name : |
Mr. Ajay
Thakore |
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Designation
: |
Director |
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|
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|
Name : |
Mr.
Jagdish Dashora |
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Designation
: |
Director |
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|
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|
Name : |
Mr. Ravi K Krishnamurthi |
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Designation
: |
Director |
KEY EXECUTIVES
|
Name : |
Mr. R.
Sridhar |
|
Designation
: |
Company Secretary |
MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
Percentage of Holding |
|
Promoter’s Holding |
|
|
|
Indian
Promoters |
2419000 |
27.04 |
|
Foreign
Promoters |
886238 |
9.91 |
|
Persons
acting in Concert |
844562 |
9.44 |
|
Non Promoter’s Holding |
|
|
|
Mutual
Funds and UTI |
13100 |
0.15 |
|
Banks,
Financial Institutions, Insurance
Companies |
2400 |
0.03 |
|
FIIS |
2200 |
0.02 |
|
Others |
|
|
|
Private
Corporate Bodies |
756050 |
8.45 |
|
Indian
Public |
3697300 |
41.32 |
|
NRIs/OCBs |
313600 |
3.51 |
|
Clearing
Member |
12550 |
0.14 |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturing
and selling of marble tiles, granite tiles and marble slabs. |
PRODUCTION STATUS
|
Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
|
Marble
Tiles |
Sq. mtr. |
361338 |
361338 |
42337.70 |
|
Granite
Tiles |
Sq. mtr. |
260000 |
158400 |
183516.322 |
|
Granite
Slabs |
Sq. mtr. |
340000 |
240000 |
196275.813 |
|
Marble
Slabs |
Sq. mtr. |
NA |
-- |
15905.53 |
GENERAL INFORMATION
|
No. of
Employees : |
188 |
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Bankers
: |
Ø
State
Bank of India Ø
Allahabad
Bank Ø
ICICI
Bank Limited |
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Facilities : |
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Banking Relations : |
Good |
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Auditors
: |
Nyati
& Associates Chartered Accountants Udaipur, Rajasthan - 313001 |
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|
|
|
Associates
: |
v
Akshat
Exports v
Raj
Exports v
Rajdarshan
Industries Limited v
Ashok Drilling Company v Sumal Finance and Investment Private
Limited |
|
|
|
|
Subsidiary
: |
Rose Marble Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
17,250,000 |
Equity
Shares |
Rs. 10/- each |
Rs. 172.500 millions |
|
75,000 |
Cumulative
Convertible Preference Shares |
Rs. 100/- each |
Rs. 7.500 millions |
|
|
Total |
|
Rs. 180.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
8,947,000 |
Equity
Share |
Rs. 10/- each |
Rs. 89.470 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share
Capital |
89.470 |
89.470 |
89.470 |
|
|
3]
Reserves & Surplus |
684.862 |
542.108 |
538.245 |
|
NETWORTH
|
774.332 |
631.578 |
627.715 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
155.830 |
87.896 |
69.700 |
|
|
2]
Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
TOTAL
BORROWING
|
155.830 |
87.896 |
69.700 |
|
|
DEFERRED
TAX LIABILITIES |
64.428 |
50.972 |
25.242 |
|
|
|
|
|
|
|
TOTAL
|
994.590 |
770.446 |
722.657 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
359.418 |
318.837 |
214.097 |
|
Capital work-in-progress
|
36.584 |
7.096 |
6.740 |
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|
|
|
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INVESTMENT
|
-- |
-- |
-- |
|
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CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
172.333
|
187.530
|
137.453
|
|
|
Sundry Debtors
|
118.938
|
38.494
|
37.151
|
|
|
Cash & Bank Balances
|
95.091
|
74.566
|
68.205
|
|
|
Loans & Advances
|
320.686
|
269.164
|
315.656
|
Total Current Assets
|
707.048 |
569.754 |
558.465 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
82.929
|
95.119
|
37.027
|
|
|
Provisions
|
25.531
|
30.348
|
20.187
|
Total Current Liabilities
|
108.460 |
125.467 |
57.214 |
|
Net
Current Assets
|
598.588 |
444.287 |
501.251 |
|
|
|
|
|
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MISCELLANEOUS EXPENSES
|
0.000 |
0.226 |
0.569 |
|
|
|
|
|
|
|
TOTAL
|
994.590 |
770.446 |
722.657 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
755.227 |
733.983 |
617.614 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
176.378 |
143.678 |
102.350 |
Deferred Tax Adjustment
|
29.267 |
25.730 |
3.069 |
Profit/(Loss) After Tax
|
147.111 |
117.948 |
105.419 |
|
|
|
|
|
Export Value
|
639.123 |
672.950 |
571.512 |
|
|
|
|
|
Import Value
|
NA |
NA |
86.017 |
|
|
|
|
|
Total Expenditure
|
578.848 |
590.304 |
515.264 |
QUARTERLY
RESULTS
|
PARTICULARS |
|
30.06.2006 |
30.09.2006 |
|
|
|
1st Qtr |
2nd Qtr |
|
Sales
Turnover |
|
235.600 |
242.800 |
|
Other
Income |
|
09.400 |
02.700 |
|
Total Income |
|
245.000 |
245.500 |
|
Total
Expenditure |
|
179.000 |
169.800 |
|
Operating
Profit |
|
66.000 |
75.700 |
|
Interest |
|
04.300 |
05.900 |
|
Gross
Profit |
|
61.700 |
69.800 |
|
Depreciation |
|
08.000 |
08.400 |
|
Tax |
|
00.200 |
00.200 |
|
Reported
PAT |
|
53.500 |
61.200 |
200606 Quarter 1 –
Expenditure Includes
(Increase)/Decrease in stock in Trade Rs (31.305) million Consumption of Raw
Material Rs 101.372 million Purchase of traded goods Rs 45.890 million Manufacturing
expenses Rs 47.776 million Staff Cost Rs 6.368 million Administrative &
Other expenditure Rs 8.893 million Tax Indicates Provision for Fringe Benefit
Tax Status of Investor Complaints for the quarter ended June 30, 2006
Complaints Pending at the beginning of the quarter Nil Complaints Received
during the quarter 84 Complaints disposed off during the quarter 84 Complaints
unresolved at the end of the quarter Nil 1. The above financial results have
been reviewed by the Audit Committee and taken on record by the Board at its
Meeting held on July 29, 2006, and also been reviewed by the Auditors. 2. The
Segment Report for the quarter ended June 30, 2006 is being filed with the
Stock Exchanges. 3. The Current & Deferred tax adjustments will be made by
the Company at the end of the financial year. 4. During this quarter realty
Segment contributed Rs 10.20 million in Profit.
200609 Quarter 2 –
Status of Investor
Complaints for the quarter ended September 30, 2006 Complaints Pending at the beginning
of the quarter Nil Complaints Received during the quarter 58 Complaints
disposed off during the quarter 58 Complaints unresolved at the end of the
quarter Nil 1. The above financial results for the quarter and half-year ended
September 30, 2006 were taken on record by the Board of Directors on October
31, 2006 and have been reviewed by the Auditors. 2. The Segment Report for the
quarter ended September 30, 2006 is being filed with the Stock Exchanges. 3.
The provision for Taxation adjustments will be made by the Company at the end
of the Financial year.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity Ratio |
0.17 |
0.13 |
0.13
|
|
Long Term Debt Equity Ratio |
0.09 |
0.06 |
0.06
|
|
Current Ratio |
2.73 |
3.17 |
3.75
|
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
1.22 |
1.42 |
1.44
|
|
Inventory |
4.13 |
4.45 |
4.41
|
|
Debtors |
9.43 |
19.11 |
17.49
|
|
Interest Cover Ratio |
12.23 |
8.11 |
7.35
|
|
Operating Profit Margin (%) |
30.12 |
26.32 |
23.93
|
|
Profit Before Interest and Tax Margin (%) |
25.87 |
22.64 |
19.15
|
|
Cash Profit Margin (%) |
24.16 |
19.98 |
21.83
|
|
Adjusted Net Profit Margin (%) |
19.82 |
16.30 |
17.04
|
|
Return on Capital Employed (%) |
23.28 |
23.13 |
17.96
|
|
Return on Net Worth (%) |
20.92 |
18.72 |
18.01
|
STOCK PRICES
|
Face Value |
Rs. 10.00 |
|
High |
Rs. 113.90 |
|
Low |
Rs. 107.45 |
LOCAL AGENCY FURTHER INFORMATION
HISTORY :
The company was incorporated on 7th April, 1989 at
Udaipur in Rajasthan as a Private Limited Company. It became a Public Limited Company with effect from 1st
January, 1990.
It’s Company Registration Number is 4903.
Subject was promoted by Mr. Rajsingh Dungarpur, Mr. J. H.
Dashora, Mr. R. B. Bapna and Ms. Lata Mangeshkar.
The company processes
marbles and granites. The products of the company are marble and granite tiles
used for flooring and wall cladding in residential and commercial complexes and
also for interior decoration.
The company came out with a public issue in May 1992 to set
up a 100% Export Oriented Unit to process granite tiles with an installed
capacity of 1,38,000 sq. mtr. p.a. and another unit to process marbles tiles
with an installed capacity of 3,61,338 sq. mtr. p.a.
The company is in processing and exporting granite and green
marble tiles since 1992.
It has been unable to make a breakthrough in the development
of mines, inspite of substantial investments, due to huge developmental
expenses, infrastructure bottlenecks, quality of materials and operational
difficulties.
During the year, 1999-2000, a 100% Export Oriented Unit was
set up for manufacturing polished granite slabs.
During
the year 2000-01,the company had received Capexil Award for highest exports of granite
tiles made during the year 1999-2000.
Rose Marbles Limited has became the subsidiary of the
company in 2001-02, consequent to acquisition of 52300 equity shares which
represents 51.27%. Rose Marbles Limited is in the business of processing Marbles
Slabs / Marble Trading.
Today, the company is the largest producer and exporter of
granite and green marble tiles in India
The company had an agreement with Khimji Ramdas, Muscat to
sell its entire production of granite tiles and 35% of its production of marble
tiles. The company proposed to sell the remaining in domestic markets.
The company exports its products to over 20 countries
including USA, Germany, Holland, Singapore and Australia. The company had
received Capexil award consecutively for the seven years, the last being
1998-99, for highest exports of processed granite.
The
manufacture of granite and marble tiles comprises block cutting, cross cutting,
grinding, calibrating, polishing and chamfering.
The company has acquired two wind turbine generators each of 1.25 MW during
January 2005 and has started generation of
power.
Business :
Generic
Names of the Principal Products/Services of company (As per monetary terms) are
as under:
|
Item Code No. (ITC Code) |
Product Description |
|
251512.20 |
Marble Slabs |
|
251512.30 |
Marble Tiles |
|
251612.00 |
Granite Tiles |
|
251612.00 |
Granite Slabs |
The company’s fixed assets of important value include free
hold land, lease hold land, building, plant and machinery, electrical installation,
factory equipments, furniture, fixture and office equipment and vehicles.
PERFORMANCE
The Company had a successful year under review with consistent
growth in sales and profits. Consolidated net sales and other income during the
year grew by 4.86% to Rs. 764.02 million while profit after tax registered
growth of 24.72% to Rs.147.11 million and is the highest ever achieved by the
Company.
The company could achieve growth in operation due to strongly maintaining its
policy of keeping the highest standards for quality. The profit after tax is
the highest ever achieved by the company Inspite of adverse environment the
company produce good results. Their operating margins are amongst the best in
the industry segment.
EXPANSION:
During the year under view the Company had undertaken the expansion of granite
processing capacity by installing two gang saws and polishing line. The
expansion was completed during March 2006, and the benefits of enhanced
capacity would be realized during the financial year 2006-07. The company has
also installed a tile polishing line and a block cutter and the enhanced
production will be realized during the current financial year. The aforesaid
expansion has been met from internal accruals.
The Company had earlier proposed to install one additional Wind Trubine
Generator but the same has been deferred, as the company is not getting the
facility for power evacuation at the grid.
The company is also planning to replace the existing tile finishing line, which
is 15 years old with a new finishing and resining line from Pedrini of Italy at
a cost of Rs.65.00 million.
CHANGE IN NAME:
The company's name has been changed to'Maadhav Granite & Realty Limited'
after seeking the approval by calling an Extra Ordinary General Meeting on 19th
June 2006.
The registration of change of name was done by the office of the Registrar of
Companies by issuing afresh certificate of incorporation with effect from 14th
July 2006.
AWARDS:
During the year, the Company has received the 'Special Export Award', in
recognition of outstanding export achievement, in respect of Granite, Marble -
Slabs & Tiles, for the year 2004-2005 from CAPEXIL. The Company is
receiving CAPEXIL Awards from the year 1992-1993, Thirteen years in succession.
The Management is hopeful of receiving the CAPEXIL Award for the year under
review.
Research and Development (R&D)
In house R&D activities are primarily directed towards development of
Company's products and reduced cost of Diamond Tools. Faster adaptations with
changing market demand with improved productivity and better yield results into
cost savings and higher quality products.
The Company has not maintained separate accounts for expenditure incurred on
R&D and therefore no specific figures are mentioned.
Business:
MGRL is mainly engaged in the following business:
Manufacturing and processing Marble Tiles and Slabs;
Manufacturing and processing Granite Tiles and Slabs; and
Other trading activities related to Marble and Granite.
Generalies of power by WTG
Granite Tile Business:
Review of Operations:
The turnover from the tile business was at Rs. 217.84 million as against Rs.
234.84 million in the previous year, registering a decline of around
7.23%.
The production during the year was at 183516.322 sq. meters as compared to
204636.67sq. meters of previous year, negative growth of around 10.32%.
The reduction in production and sales was primarily due to shortage of granite
blocks in the Indian market. In order to rectify the situation, the company has
started importing granite blocks from Saudi Arabia, Norway and South
Africa.
The company is also planning to replace the existing tile finishing line, which
is 15 years old with a new finishing and resining line from Pednni of Italy at
a cost of Rs. 6 crores. The company expects a modest growth for the Granite
Tiles business during the current financial year.
Outlook:
The unit is one of the leading exporters of granites tiles in India. The unit
expects to register a significant growth during the current financial year
since it has commissioned the expansion which will increase its capacity and
the company will get advantage of volume business which will improve its
profitability.
Marble tiles and slab business:
Review of Operations:
During the year the marble business registered a positive growth of around
4.03% with turnover of Rs.62.97 million.
The trend for marble tiles in the international market is not so encouraging
and moreover competition in domestic market from vitrified ceramic tiles is
pausing a threat of revenue and profitability of marble tile business.
The marble business no doubt helps in the overall growth of the company because
at times buyers demand granite and marble products together.
However the company has already commissioned marble gang saw unit. The
polishing machines would be installed during the current year. The benefits of
the same will be realized during 2006-07.
Beside the company's focus will remain on efficiency improvement, cost control
measures, quality maintenance and aggressive efforts to open new market areas
and opportunities both in International and domestic Markets.
Outlook:
The company's diversification plans for setting up slab processing unit which
was undertaken during the year under review with an installed capacity of 40000
sq. mtr. per annum was commissioned w.e.f. 16th September 2005.
The company has rededicated itself to improving the operations of the division
through cost control measures, improving productivity, maintaining quality
standards and committed to significant increase in profits which would be
possible.
The company is receiving orders for slabs from the existing customers and the
trend of the international market is encouraging.
Overall the business outlook for the current year remains positive.
Granite Slab Business:
During the year, the Slab business was margnially lower at Rs.417.05 million as
against 428.22 million in the previous year.
Review of Operations:
The turnover from the slab business was marginally lower at Rs.417.05 million
as against Rs.428.22 million in the previous year.
The production quantity was 196275.813 sq. meters and the sale quantity was at
209416.381 sq. meters. against 216795.70 Sq. meters and 218938.38 Sq.meters
respectively in the previous year.
As indicated for the tile, the company has started importing blocks from Saudi
Arabia. Norway and South Africa for slabs also and this is going to help the
company in increasing production and sale.
Demand from their
traditional markets like US, Germany, Holland, Australia, UK and South Africa,
remain strong.
Outlook:
The company has successfully commissioned the expansion undertaken by putting
two Gangsaw unit and a polishing line, as a result with increase in its
capacity the company will get advantage of volume business which will improve
its profitability.
Power Generation:
The production 4870436 units against 350398 units in the previous year
resulting into surplus power of 387876 units which were sold to TNEB after
utilizing 4482560 units by granite division. The increase production in
generation has helped in reducing the power cost of the granite division and
increase in overall profitability.
Realty Business:
The company has diversified in the field of realty business comprising of Urban
infrastructure, Township, Housing and construction development projects.
The construction sector accounts for nearly 78% of India's GDP and is emerging
as one of the key growth segments in the economy. The sector's contribution is
likely to increase in the coming years.
In recent years, the Government of India's focus and sustained increased
budgetary allocation for infrastructure development in India has resulted in or
is expected to result in several large infrastructure projects in the
region.
Net Sales and Other
Income:
Net sales and other income during the year has grown by around 4.86% to
Rs.764.02 million from Rs.728.63 million in previous year which includes over
81.36% contribution from granite division (slab & tiles) and around 9%
contribution from marble division.
Maadhav Granite & Realty Limited was incorporated as a
Public Limited Company in 1990 to set up modern processing plants for marble
and granite tiles and slabs.
A plant for producing marble tiles was set in Udaipur in the state of Rajasthan
in 1992 and a similar plant for granite tiles was set up near Salem in the
state of Tamilnadu. Thus both the plants are located near sources of raw
material.
The granite plant is a 100% export oriented unit and exports
almost all its production to many countries including U.S.A., Germany, Holland,
U.K., Australia and South Africa. A granite slab plant was set up in 2001 and
they are a full service company offering granite tiles, slabs and cut to size
products, from a single plant.
The marble plant, though not a 100% export oriented unit,
exports almost its entire production to various countries, prominent ones being
Italy, Spain, Japan, Germany, Holland and U.S.A. Both tiles and slabs are
processed in Udaipur and the company operates marble quarries in Keshariaji
near Udaipur , famous all over the world for its Green Marble, and also exports
marble blocks to Italy, Spain and China.
Maadhav Granite & Realty Limited is a member of the
Marble Institute of America
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. 44.45 |
|
UK Pound |
1 |
Rs. 84.83 |
|
Euro |
1 |
Rs. 57.12 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP
CAPITAL |
1~10 |
6 |
|
OPERATING
SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT
LINES |
1~10 |
6 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER
MERIT FACTORS |
YES/NO |
YES |
|
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 |
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 |