MIRA
INFORM REPORT
|
Report Date : |
15.11.2006 |
IDENTIFICATION
DETAILS
|
Name : |
ADSORBENT
CARBONS LIMITED |
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Registered Office : |
C –
92, Sipcot Industrial Complex, Tuticorin – 628008, Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
07.03.1991 |
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Com. Reg. No.: |
18-20438 |
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CIN No.: [Company
Identification No.] |
U15141TN1991PLC020438 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEA09613C |
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PAN No.: [Permanent
Account No.] |
AABCV0223A |
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Legal Form : |
A
Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer
of Granulated Activated Carbon, Coconut Oil and Gingelly Oil |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
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RATING |
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 : |
Moderate
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Payment Behaviour : |
Slow
but Correct |
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Litigation : |
Clear |
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Comments : |
Business
shows downward trend due to shortage of raw material. The company intends to
import raw materials. Trade relations are fair. Payments are reported as slow
by average 30 days The
company can be considered for any small to mediocre business dealings at
usual trade terms and conditions.
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LOCATIONS
|
Registered Office/Factory |
C –
92, Sipcot Industrial Complex, Tuticorin – 628008, Tamilnadu |
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Tel. No.: |
91-461-2340047/28191563 |
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Fax No.: |
91-461-2340975 |
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E-Mail : |
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Website : |
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Sales
& Administrative Office |
Casa
Blanca, No 6/18, Casa Major Road, Egmore, Chennai – 600008, Tamilnadu |
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Tel.
No.: |
91-44-28191430 |
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Fax
No.: |
91-44-28190431 |
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E-Mail
: |
DIRECTORS
|
Name : |
Mr. W
D Dhayanandam |
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Designation : |
Director
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Address : |
No.
25B, Toovipuram, 3rd Street, Tuticorin – 628003 |
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Date of Birth/Age : |
23.02.1932 |
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Date of Appointment : |
04.09.2002 |
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Name : |
Mr. D
Rukmani Ammal |
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Designation : |
Director
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Address : |
No.
76A, Meenakshipuram, Tuticorin - 628003 |
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Date of Birth/Age : |
31.12.1929 |
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Date of Appointment : |
07.03.1991 |
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Name : |
Mr. D
N Nirranjan Janj |
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Designation : |
Director
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Address : |
2nd
Floor, Crown Court, 13/9, Bank Street, Kilpauk, Chennai - 600010 |
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Date of Birth/Age : |
14.03.1960 |
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Date of Appointment : |
15.03.1999 |
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Name : |
Mr. D
Kabilan |
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Designation : |
Director
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Address : |
No.
25B, Toovipuram, 3rd Street, Tuticorin – 628003 |
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Date of Birth/Age : |
15.07.1956 |
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Date of Appointment : |
18.08.2000 |
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Name : |
Mr. B
Anoopchand Danush Kumar |
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Designation : |
Director
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Address : |
18,
Toovipuram, 6th Street, Tuticorin – 628003 |
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Date of Birth/Age : |
10.12.1968 |
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Date of Appointment : |
18.08.2000 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
|
Mr. W
D Nithyanandam |
53000 |
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Mr. W
D Dhayanandam |
5000 |
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Mr. M
D Ravindran |
44000 |
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Mr. W
D Bremanandam |
85000 |
|
Mr. D
Rukmani Ammal |
15000 |
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Mr. B
Anoopchand Danush Kumar |
5000 |
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Mr. B
Arvind Kumar |
5000 |
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Mr. D
N Nirranjan Kani |
326799 |
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Mr. N
Vikraman |
50000 |
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Mr. D
Vijayanandan |
1000 |
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Mr. D
Vivekanandan |
7500 |
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Mr. D
V Dhanush Deepan |
1250 |
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Ms. V
Poomima Deepan |
201 |
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Mr. D
V Sangeetham |
1500 |
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Ms. D
Soona Poomi |
250 |
|
Mr. D
V Dhanush Prathap |
1500 |
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M/s.
Ecoclean Adsorbents Private Limited |
20000 |
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Mr. N
Neerja |
1000 |
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Mr. N
Sahana |
1000 |
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Mr. D
Kabilan |
6000 |
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Ms. D
Rukmani Ammal |
6000 |
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Mr. D
Senthil Kannan |
5000 |
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Mr. D
S Kannammal |
2000 |
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Ms S
Dhanush karthik Suman |
500 |
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Mr. V
Ajay |
500 |
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Mr. V
Arjun |
2000 |
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Mr. V
Vinod |
2000 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
of Granulated Activated Carbon, Coconut Oil and Gingelly Oil |
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Products : |
Activated
Carbon – 8021.10 |
GENERAL
INFORMATION
|
Employs |
30 |
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Bankers : |
Canara
Bank, Beach Road Branch, 55, Beach Road, Tuticorin - 628001 |
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Facilities : |
-- |
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Banking Relations : |
Satisfactory
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Auditors : |
Sri P
Seshan Chartered
Accountant |
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Address: |
160D/43A,
5th Street, Polpettai West, Kurunji Nagar, Tuticorin – 628002 |
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Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
1500000 |
Equity
Shares |
Rs. 10/- Each |
Rs. 15.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
6240000 |
Equity
Shares |
Rs. 10/- Each |
Rs. 6.240 Millions |
|
26000 |
12.5%
Cumulative Readable Preference |
Rs. 10/- Each |
Rs. 0.260 Millions |
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Total |
|
Rs. 6.500 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
6.500 |
6.500 |
6.500 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
6.940 |
6.017 |
5.997 |
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4] (Accumulated Losses) |
0.000 |
(1.215) |
0.000 |
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NETWORTH |
13.440 |
11.302 |
12.497 |
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|
LOAN FUNDS |
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1] Secured Loans |
19.142 |
15.034 |
12.414 |
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2] Unsecured Loans |
10.703 |
8.078 |
2.640 |
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TOTAL BORROWING |
29.845 |
23.112 |
15.054 |
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DEFERRED TAX LIABILITIES |
0.615 |
0.615 |
0.615 |
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TOTAL |
43.900 |
35.029 |
28.166 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
23.172 |
21.868 |
17.685 |
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Capital work-in-progress |
0.000 |
0.071 |
0.297 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
12.592
|
9.559 |
7.664 |
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Sundry Debtors |
6.136
|
4.156 |
2.438 |
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Cash & Bank Balances |
5.793
|
4.407 |
1.426 |
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Other Current Assets |
3.341
|
1.633 |
2.605 |
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Loans & Advances |
0.742
|
0.100 |
1.256 |
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Total Current Assets |
28.604
|
19.855 |
15.389 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
7.633
|
6.385 |
4.830 |
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|
Provisions |
0.243
|
0.380 |
0.375 |
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Total Current Liabilities |
7.876
|
6.765 |
5.205 |
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Net Current Assets |
20.728
|
13.090 |
10.184 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
43.900 |
35.029 |
28.166 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other income] |
89.074 |
38.142 |
52.419 |
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Profit/(Loss)
Before Tax |
0.232 |
(1.215) |
(3.046) |
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Provision
for Taxation |
0.000 |
0.000 |
0.000 |
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Profit/(Loss)
After Tax |
0.232 |
(1.215) |
(3.046) |
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|
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Total
Expenditure |
88.842 |
39.357 |
55.465 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
0.26
|
(3.19) |
(5.81) |
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Net
Profit Margin (PBT/Sales) |
(%) |
0.26
|
(3.19) |
(5.81) |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
0.45
|
(2.91) |
(9.21) |
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Return
on Investment (ROI) (PBT/Networth) |
|
0.02
|
(0.11) |
(0.24) |
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Debt
Equity Ratio (Total
Liability/Networth) |
|
2.81
|
2.64 |
1.62 |
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Current
Ratio (Current
Asset/Current Liability) |
|
3.63
|
2.93 |
2.96 |
LOCAL AGENCY
FURTHER INFORMATION
Fixed
Assets
v
Land
v
Building
v
Plant
& Machinery
v
Vehicles
v
Computer
Accessories
v
Software
v
Books
v
Cell
Phone
|
Name
of the company |
ADSORBENT CARBONS LIMITED |
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Presented By |
Mr. D. N. Nirranjan Kani,
Director |
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1)
Date and description of instrument creating the change |
1.
Letter
by Adsorbent Carbons Limited, dated 16.03.2002 confirming extension of
equitable mortgage of deposit of title deeds by the company on 22.03.2002
with Tamilnadu Industrial Investment Corporation Limited by holding the title
deeds of the propertu in favour of Canara Bank, Beach Road, Tuticorin by way
of second charge to secure the working capita facilities of Rs. 18.500
Millions. 2.
Confirmation
of second charge created in favour of Canara Bank, Beach Road, Tuticorin for
working capital facilities of Rs. 18.500 Millions by way of letter from
Tamilnadu Industrial Investment Corporation Limited dated 26.03.2002 |
||||||||||||||||||
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2)
Amount secured by the charge/amount owing on the securities of charge |
Working
capital facilities of Rs. 18.500 Millions |
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3)
Short particular of the property charged. If the property acquired is subject
to charge, date of the acquired of the property should be given |
All
the land premises present and future situated at C-92, SIPCOT Industrial
Complex, Tutikorin-628008. All the buildings, structures, plant and machinery
erected or to be erected on the land |
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4)
Gist of the terms and conditions and extent and operation of the charge. |
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5)
Name and Address and description of the person entitled to the charge. |
Canara Bank Beach Road, Tuticorin |
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6)
Date and brief description of
instrument modifying the charge |
Date
of Modifying Cahrges-28.08.2002 The
following Instrument for modifying Charges 1.
Common
hypothecation agreement
|
||||||||||||||||||
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7)
Particulars of modifications specifying the terms and conditions or the
extent of operations of the charge in which modification is made and the
details of the modification. |
Limit: Credit facilities enhanced from 18.500 Millions to 19.500
Millions
Terms and Conditions For packing credit : Rate of Interest 8 % per annum. Margin – 25 % Period – Not to exceed 60 days ECGC to be covered under WT PGC of ECGC For FDB / FBE – Period not to exceed 60 days in case of FBE Rate not to exceed 60 days in case of FBE Rate of Interest 8 % p a. Security Hypothecation of Stock of raw materials work in process and finished
goods of Activated carbon meant for Export / Local sales. Export receivables
for Bill Limit. Collateral EMT of vacant lant at S. No. 132/2A, 132/2B, 132/2, 132/1, 131/1B,
measuring 3.21 Acres at Pudur Pandiapuram valued Rs. 1.8 Millions in the name
of Company. Existing cut back deposit kept in KDR amounting to Rs. 0.95 millions Secured charge land and buildings and machinery valued at Rs. 11.4
millions first charge with TIIC. Personal guarantee given by Mr. D. N. Niranjankani, Mr. B. Annopchand
Dhanushkumar, Mr. D. Kabilan. |
Company
Profile
Catering to international markets with a focus on coconut shell based,
wood based & coal based activated carbons, ACL is having existing clientele
in America, Europe, Oceania & South East Asia. With the passing of each
year they are spreading their wings to capture all over the world.
ACL
has grown from Virgin activated carbon to Value Added activated carbon,
enabling the clients a single source for all the grades of activated carbon
(Product range covers standard, washed and impregnated carbons, and they are
available in granules, pellets and powder form) required by them, and help them
to sustain a real competitive advantage.
To
adhere the commitment given by us to their valued customers, they have
made all alternatives to fulfill their requirement on schedule. Over the last
few months, they have successfully integrated certain tie up arrangements with
few manufacturers who are located in South East Asia.
Coconut
Shell Based Carbon
Coconut shell-based Activated Carbons have a predominance of micropores measuring under 1 nanometres in diameter and are highly efficient in absorbing small gaseous molecules in application where the contaminant concentration is low.
Products
Specification
|
pH Value |
9 ~11 |
|
CTC |
50-60 |
|
Bulk Density |
0.45 - 0.51 |
|
Moistrure (max.) |
5% |
|
Ash (max) |
5% |
|
Hardness |
98 |
Activated Carbon
Product Characteristics
|
Form |
Powder |
|
Grade |
Liquid
phase or de-colouring carbon. |
Liquid phase or decolouring Carbon
|
Form |
Light fluffy powder |
|
Characteristics |
Large precentage of transitional or macropores |
Gas phase or vapour absorbent carbon
|
Form |
Granules or pellet |
|
Characteristics |
Large percentage of micropores |
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.44.99 |
|
UK
Pound |
1 |
Rs.85.34 |
|
Euro |
1 |
Rs.57.63 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
35 |
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 |
|
NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
|