MIRA
INFORM REPORT
|
Report Date : |
24.11.2006 |
IDENTIFICATION
DETAILS
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Name : |
CHEMLINE INDIA LIMITED |
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Registered Office : |
F-1,
Sarda Chamber – I, Central Market, Prashant Vihar, Rohini, Delhi 110 085 |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
03.03.1993 |
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Com. Reg. No.: |
55-052378 |
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CIN No.: [Company
Identification No.] |
U00000DL1993PTC052378 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELC06137F |
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PAN No.: [Permanent
Account No.] |
AAACC0504G |
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Legal Form : |
A
Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturer
and Exporter of Speciality Adhesives |
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
200000 |
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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 fine track. Trade relations are fair.
Financial position is good. Payments are correct and as per commitments. The
company can be considered good for any normal business dealings. It can
be regarded as a promising business partner in a medium to long – run. |
LOCATIONS
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Registered Office : |
F-1,
Sarda Chamber – I, Central Market, Prashant Vihar, Rohini, Delhi 110 085 |
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Tel. No.: |
91-11-27555999
(6 Lines) |
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Fax No.: |
91-11-27555991,
27555992 |
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E-Mail : |
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Website : |
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Factory
1 : |
121,
HSIDC, Kundli, Haryana |
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Area : |
43,000
Sq. Meters |
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Location : |
Owned
(Industrial) |
DIRECTORS
|
Name : |
Dr.
Ravindra Nath Goel |
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Designation : |
Managing
Director |
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Address : |
431,
Deepali Chowk, Pitam Pura, Delhi 110 034 |
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Date of Birth/Age : |
03.11.1953 |
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Date of Appointment : |
03.03.1993 |
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Name : |
Mrs.
Bharti Goel |
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Designation : |
Director |
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Address : |
431,
Deepali Chowk, Pitam Pura, Delhi 110 034 |
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Date of Birth/Age : |
11.08.1962 |
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Date of Appointment : |
30.03.1995 |
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Name : |
Mr.
Dinesh Chand Gupta |
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Designation : |
Director |
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Address : |
B-1/92,
Janak Puri, New Delhi 110 058 |
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Date of Birth/Age : |
20.08.1953 |
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Date of Appointment : |
05.01.2002 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
Percentage of Holding |
|
Dr.
Ravindera Nath Goel |
328,350 |
73.458 |
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Mr.
Vishan Swaroops Aggarwal |
100 |
0.022 |
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Mr.
Jamna Das Gupta |
100 |
0.022 |
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Mr.
Balkrishana Goel |
43,170 |
9.658 |
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Mr.
Satya Narain Goel |
350 |
0.078 |
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Mr.
Sri Krishna Goel |
250 |
0.056 |
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Mrs.
Saraswati Gupta |
300 |
0.067 |
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Mr.
Abhay Kumar Kuchhal |
300 |
0.067 |
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Mrs.
Bharti Goel |
500 |
0.112 |
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Mrs.
Neeta Jain |
10 |
0.002 |
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Mr.
Deepak Gupta |
19,800 |
4.430 |
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Mrs.
Shashi Gupta |
11,000 |
2.461 |
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Mrs.
Shalija Gupta |
28,700 |
6.421 |
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Mrs.
Shikha Gupta |
5,020 |
1.123 |
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Mrs.
Savitri Jain |
9,040 |
2.022 |
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Total |
446,990 |
100.000 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer
and Exporter of Speciality Adhesives |
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Products : |
Speciality
Adhesives |
PRODUCTION
STATUS
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Particulars |
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Actual Production |
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Speciality Adhesives |
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1000 MT per month |
GENERAL
INFORMATION
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Bankers : |
v
State
Bank of Travancore, Balaji Plaza, Sector 8, Rohini, Delhi-85 v
ICICI
Bank Limited v
ABN-Amro
Bank |
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Facilities : |
It is secured against mortgage of immovable Property at Plot No. 121,
HSIDC, Kundli, Haryana owned by Dr Ravindra Nath Goel and Property in the
name of the subject company of Dhaturi Factory situated at 54th
Mile Stone, Post Office Bhigan, Village Dhaturi, District Sonepat,
Haryana. It is further secured
against Hypothecation of Plant & Machinery, Inventories, Book Debts and
personal guarantee of Directors Dr. Ravindra Nath Goel, Ms. Bharti Goel &
Mr. DC Gupta. |
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Banking Relations : |
Satisfactory
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Auditors : |
M/s.
Bansal Surinder & Company Chartered
Accountants |
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Address: |
201/8,
Sushma Tower, Central Market, D-Block, Prashant Vihar, Delhi 110 085 |
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Tel. No.: |
91-11-27569021,
27566021 |
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Fax No.: |
91-11-27566021 |
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Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
500,000 |
Equity
Shares |
Rs. 10/- Each |
Rs. 5.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
446,990 |
Equity
Shares |
Rs. 10/- Each |
Rs. 4.469 Millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
4.470 |
4.470 |
4.470 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
48.799 |
45.873 |
40.738 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
53.269 |
50.343 |
45.208 |
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LOAN FUNDS |
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1] Secured Loans |
26.993 |
8.597 |
17.175 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
26.993 |
8.597 |
17.175 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
80.262 |
58.940 |
62.383 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
29.686 |
21.512 |
19.987 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.322 |
0.010 |
0.010 |
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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 |
14.195 |
10.680 |
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Sundry Debtors |
32.761 |
29.303 |
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Cash & Bank Balances |
3.645 |
1.270 |
47.267 |
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Other Current Assets |
0.000 |
0.000 |
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Loans & Advances |
8.990 |
5.451 |
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Total Current Assets |
59.591
|
46.704 |
47.267 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
8.312 |
7.422 |
4.881 |
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Provisions |
1.025 |
1.864 |
0.000 |
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Total Current Liabilities |
9.337 |
9.286 |
4.881 |
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Net Current Assets |
50.254 |
37.418 |
42.386 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
80.262 |
58.940 |
62.383 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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Sales Turnover [including other income] |
78.305 |
75.344 |
70.531 |
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Profit/(Loss)
Before Tax |
4.283 |
8.106 |
6.866 |
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Provision
for Taxation |
1.357 |
2.971 |
1.544 |
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Profit/(Loss)
After Tax |
2.926 |
5.135 |
5.322 |
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Export
Value |
15.376 |
8.579 |
NA |
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Total
Expenditure |
68.720 |
63.007 |
63.665 |
KEY
RATIOS
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
PAT / Total Income |
3.74 |
6.82 |
7.54 |
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Net Profit Margin |
5.50 |
10.89 |
9.73 |
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Return on Total Assets |
3.27 |
7.53 |
10.20 |
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Return on Investment (ROI) |
5.49 |
10.20 |
0.15 |
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Current Ratio |
6.38 |
5.03 |
9.68 |
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Quick Ratio |
4.86 |
3.88 |
-- |
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Debt Equity Ratio |
0.51 |
0.17 |
0.48 |
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Current Liabilities/Networth |
0.18 |
0.18 |
-- |
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Fixed Asset / Networth |
0.56 |
0.43 |
-- |
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Average Collection Days |
153.55 |
143.65 |
-- |
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Account Receivables Turnover |
2.38 |
2.54 |
-- |
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Inventory Turnover |
5.49 |
6.97 |
-- |
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Asset Turnover |
2.62 |
3.46 |
-- |
LOCAL AGENCY
FURTHER INFORMATION
The
subject company was originally incorporated in the name of Chemline Marketing
(India) Private Limited on 03.03.1993 and the name of the said Company was
changed to Chemline India Private Limited on 24.02.1995 as per ROC letter No.
21/55-52378/263 dated 24/02/1995.
Subsequently
the subject company changed to Chemline India Limited with effect from
10.04.1995
Profile
CHEMLINE
manufactures and exports a wide range of Speciality Industrial Adhesives,
Coatings, Thermal Lamination Films, Protective Films & Stock Labels,
Speciality and Packaging Tapes etc.
The range of Speciality Industrial Adhesives manufactured by CHEMLINE
consists of:
1. Hot and Cold Labelling Adhesives used in Breweries, Distilleries, Wineries,
and Food and Pharma
Industries;
2. Adhesives and Coatings for Printing, Packaging & Converting Industries
for varied applications like:
Water-based Adhesives for Wet Lamination, Water-based Adhesives for Dry
Lamination of Paper to Film, Polyurethane-Polyurethane-based Adhesives for Dry
Lamination of Film to Film/Paper, Water-based Over Print Varnish, Heat Seal
Coatings for Blister Packaging, Pressure Sensitive Adhesivesboth water based
Acrylic and Hot Melt based, Hot Melt Adhesives, Hot Melt Sealable Coatings for
Soap Wrappers, Bottle Washing Adjuncts and Building Construction Polymers etc.
Their Products are time-tested and CHEMLINE is catering to the needs of both
the Indian, as well as Overseas markets, like countries of the Middle East,
Africa, Europe and Asia.
FROM THE MANAGING DIRECTOR’S DESK
With the birth of the New Millenium, quality technologies have advanced.
CHEMLINE has made concerted effort to modernize its manufacturing processes to
maximize the quality of its products. Their aggressive performance in producing
new environmentally friendly water-based adhesives has earned recognition
globally.
CHEMLINE will continue to lead the Adhesive industry as they enter
another decade of serving their honourable customers. I look forward to working
with people dedicated to quality and "Progress through innovation" to
ensure that CHEMLINE continues to add value to adhesives industry and to the
companies.
The rate of change in their world is escalating exponentially. Products
may last just months instead of years. Production, sourcing and markets move
quickly to find cost advantages, growth opportunities or technologies.
Information is instantly available and the consolidation of buyers and sellers
continues at a rapid rate.
Their industry is threatened, or advantaged, by these circumstances
depending upon the way they react.
Their goal in CHEMLINE is to be proactive to global trends and
opportunities, rather than reactive.
Their strengths lie in providing quality and timely service to their
customers through new products obtained through innovation and no efforts shall
be spared to achieve this.
The Greatest Challenge in their time is that while they continue to
exist within a period of economic uncertainty, CHEMLINE and its members must
grow and prosper by remaining the Preferred Supplier in the market.
CHEMLINE is a leading manufacturer and exporter of speciality adhesives.
Their
Company was established in the year 1990.
CHEMLINE started the manufacturing of specialty adhesives by developing world
class labelling adhesives, which received wide acceptance by industry owing to
their technical superiority and economic advantages. Today, CHEMLINE manufactures the complete
range of Cold and Hot Melt Adhesives and also other Industrial
Adhesives used by the Printing, Packaging and Converting Industries, as well as
for the Brewery, Distillery, Winery, Food and Pharmaceutical Industries.
The
range of products manufactured by CHEMLINE
are as follows:
Labelling
Adhesives
CHEMLINE has a large range of COLD
as well as HOT Labelling Adhesives
to suit all types of high-speed labelling machines, like KRONES, SASIB, KHS
etc. The adhesives have been designed to suit automatic/semi-automatic
machines, as well as manual labelling in Breweries, Distilleries, Wineries,
Food, Pharmaceutical, Beverages and Mineral Water Industries.
Printing,
Packaging & Converting Industries
One of
the major achievements of CHEMLINE
is its Water-based Dry Lamination
Adhesive - CHEMICRYL
- for reverse printed polyester to paper as well as plain film to printed
paper.
Another
novel product of CHEMLINE
is - Polyurethane Adhesives
- CHEMIFLEX - for
Flexible Laminates - suitable for Lamination of Film to Film/Paper/Foil.
Apart
from Dry Lamination Adhesives, they offer a range of Cold Lamination Adhesives - CHEMICRYL - for Gloss/ Matt film to
Printed Sheet/Board.
CHEMLINE’s range of Hotmelt Adhesives - QUIKLOCK - finds applications in Carton sealing, Book
binding etc.
AQUAGLOSS Water-based Over Print
Varnishes (OPV) and AQUASEAL
Heat Seal Over Print Varnishes (HSOPV)
are a replacement for conventional solvent-based varnishes. HSOPV are used for
Blister packaging and Hot Stamping foils.
CHEMLINE has developed a superior Heat
Seal Coating - CHEMISEAL
- for blister packaging of Aluminium Foils.
Products for Hygiene/Personal Care Products
CHEMLINE’s Hotmelt
for Soap wrappers - QUIKTACK
is suitable for inner coating of soap wrappers.
QUIKLOCK Hotmelt Adhesives
find applications in Sanitary Napkins / Diapers.
Products
for Building Industry
CHEMLINE’s Construction
Chemical ELASTOCRETE
an acrylic co-Polymer emulsion for building / structural repair and water
proofing, has built up a formidable reputation in and around the country.
The
above products are time tested, and CHEMLINE
is supplying to the Indian market, as well as Overseas markets in
countries of Middle East, Africa, Latin America and Asia. In these countries CHEMLINE is supplying to some of the
top Corporates and MNCs.
The
above range of adhesives has entirely been developed through in-house Research and Development efforts of
a team of highly efficient and dedicated polymer scientists of the Company,
headed by the Managing Director, Dr. R. N. Goel, a technocrat and a Polymer
Scientist of international fame.
CHEMLINE has fully equipped laboratories and an excellent infrastructure for
production with a production capacity of over 1000 MT a month. The three
factories, in the states of Haryana and Himachal Pradesh, consists of very
qualified and dedicated team of personnel, who, coupled with the marketing
professionals, encompass the needs of customers all over the globe.
CHEMLINE puts into practice its Motto “Progress
through Innovation”. Once a product is developed, then
maintaining and upgrading the quality, as per the feedback from customers,
remains the prime concern of the Company.
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.44.87 |
|
UK
Pound |
1 |
Rs.85.99 |
|
Euro |
1 |
Rs.58.15 |
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 |
NO |
|
--LISTED |
YES/NO |
NO |
|
--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 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 |
|