MIRA INFORM REPORT
|
Report
Date : |
29.11.2006 |
IDENTIFICATION
DETAILS
|
Name : |
DIVINE PETROCHEMICAL PRIVATE LIMITED |
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Registered
Office : |
308, Adhyaru Industrial estate, Sun Mill Compound, Lower
Parel, Mumbai, Maharashtra |
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Country
: |
India |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
25.08.2004 |
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Com.
Reg. No.: |
11-148207 |
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CIN
No.: [Company Identification No.] |
U24100MH2004PTC148207 |
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TAN
No.: (Tax
Deduction & Collection Account No.) |
MUMD12052F |
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PAN
No.: (Permanent
Account No.) |
AACCD0223H |
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Legal
Form : |
Private Limited Liability Company |
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Line
of Business : |
Manufacturer, Exporter and Importer of Unsaturated
Polyester Resins |
RATING & COMMENTS
|
MIRA’s
Rating : |
B |
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Status
: |
Moderate |
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Payment
Behaviour : |
Slow but
correct |
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Litigation
: |
Clear |
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Comments
: |
Subject is a new company having no track records. Trade
relations are reported as fair. Payments are reported as slow but correct. The company can be considered for small to mediocre
business dealings on safe and secured trade terms and conditions, initially. |
LOCATIONS
|
Registered
Office : |
308, Adhyaru Industrial estate, Sun Mill Compound, Lower
Parel, Mumbai, Maharashtra |
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Tel.
No.: |
91-22-26830301 |
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E-Mail
: |
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Website
: |
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Status : |
Leased |
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Corporate
Office : |
4th Floor, Crystal Plaza, New AG Link Road,
Chakala, Andheri (E), Mumbai – 400099, Maharashtra |
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Tel.
No.: |
91-22-28240401 / 02 / 03 |
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Fax
No.: |
91-22-28240404 |
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E-Mail
: |
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Website
: |
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Factory
1 : |
S. No. 443, Village Bhimasar, Anjar Road, Taluka Anjar,
Kutch – 370201, Gujarat |
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Fax
No.: |
91-2836-285366 |
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E-Mail
: |
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Status : |
Owned |
DIRECTORS
|
Name : |
Mr. Sandeep Khandelwal (Main Promoter) |
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Designation
: |
Director |
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|
Name : |
Mr. Atul Aggarwal |
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Designation
: |
Whole Time Director |
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Address
: |
F-17, Indraprasht Apartment, Rohini, Sector – 14, Delhi,
India |
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Date
of Birth : |
29.03.1964 |
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Date of Appointment : |
18.01.2006 |
KEY EXECUTIVES
|
Name : |
Mr. N. K. Jain |
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Designation
: |
Chief Executive Officer |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturer, Exporter and Importer of Unsaturated
Polyester Resins |
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Product
: |
Unsaturated Polyester Resin |
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Exports
to : |
Europe, Middle East, etc. |
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Imports
from : |
Germany, China, etc. |
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Terms
: |
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Selling : |
Cash or Credit (30-60 days) |
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Purchasing : |
Cash or Credit (30-60 days) |
GENERAL INFORMATION
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Customers
: |
Wholesalers and OEM’s |
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No. of
Employees : |
125 |
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Bankers
: |
Punjab National Bank, Mumbai Dena Bank, Industrial Finance Branch, Maker Tower Cuffe
Parade, Mumbai – 400005, Maharashtra, India Punjab National Bank, MID Corporate Branch, Siyaganj
Branch, Indore – 542007, Madhya
Pradesh, India |
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Banking Relations : |
Unknown |
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Auditors
: |
Shah and
Taparia Chartered
Accountants 403,
Sanjay Appa Chambers, New Chakala Link Road, Andheri [East], Andheri –
400099, Mumbai, Maharashtra |
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|
|
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Associates/Subsidiaries
: |
Divine Polymer Products Limited, Mumbai |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
16000000 |
Equity Shares |
Rs. 10/- each |
Rs. 160.000 Millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
1592800 |
Equity Shares |
Rs. 10/- each |
Rs. 15.928 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS
FUNDS |
|
|
|
|
|
1] Share
Capital |
|
15.168 |
0.100 |
|
|
2] Share
Application Money |
|
72.640 |
20.575 |
|
|
3]
Reserves & Surplus |
|
67.392 |
0.000 |
|
|
NETWORTH |
|
155.200 |
20.675 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
|
118.692 |
38.110 |
|
|
2]
Unsecured Loans |
|
0.000 |
1.162 |
|
|
TOTAL BORROWING |
|
118.692 |
39.272 |
|
|
DEFERRED
TAX LIABILITIES |
|
8.521 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
|
282.413 |
59.947 |
|
|
|
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|
|
|
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APPLICATION
OF FUNDS |
|
|
|
|
|
|
|
|
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|
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FIXED
ASSETS [Net Block] |
|
202.844 |
0.000 |
|
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Capital
work-in-progress |
|
24.400 |
27.055 |
|
|
|
|
|
|
|
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INVESTMENT |
|
3.445 |
0.000 |
|
|
|
|
|
|
|
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CURRENT
ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
52.079 |
0.000 |
|
|
Sundry
Debtors |
|
25.294 |
0.000 |
|
|
Cash
& Bank Balances |
|
8.597 |
4.077 |
|
|
Loans
& Advances |
|
40.424 |
28.816 |
|
Total Current Assets |
|
126.394 |
32.893 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current
Liabilities |
|
87.296 |
1.933 |
|
|
Provisions |
|
|
|
|
Total Current
Liabilities |
|
87.296 |
1.933 |
|
|
Net Current Assets |
|
39.098 |
30.960 |
|
|
|
|
|
|
|
|
MISCELLANEOUS
EXPENSES |
|
12.626 |
1.932 |
|
|
|
|
|
|
|
|
TOTAL |
|
282.413 |
59.947 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
|
|
31.03.2006 |
|
Sales Turnover [including other
income] |
|
|
36.459 |
|
|
|
|
|
|
Profit/(Loss) Before Tax |
|
|
[3.933] |
|
Provision for Taxation |
|
|
-- |
|
Profit/(Loss) After Tax |
|
|
[3.933] |
|
|
|
|
|
|
Export Value |
|
|
0.018 |
|
|
|
|
|
|
Total Expenditure |
|
|
40.392 |
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
|
[10.79] |
-- |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
|
[10.79] |
-- |
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|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
[1.19] |
-- |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
|
[0.03] |
-- |
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|
|
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|
|
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Debt Equity Ratio (Total Liability/Networth) |
|
|
1.33 |
1.99 |
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Current Ratio (Current Asset/Current Liability) |
|
|
1.45 |
17.02 |
LOCAL AGENCY FURTHER INFORMATION
Subject started its Commercial Production in the year 2005.
Subject exports polyester resins to Europe, Middle East,
etc.
Subject imports raw materials from Germany, China, etc.
WEBSITE DETAILS ATTCHED:
ABOUT US:
DIVINE PETROCHEMICAL PRIVATE LIMITED
is a new greenfield project set up by a two decade old company, well
experienced in the field of unsaturated polyerster resins. It is today India’s
largest single location producer of Unsaturated Polyester resins, vinyl
ester laminating resins, gel coats and flame retardant resins. The company’s Dipol
polyester resins are compatible with every major fiber reinforced polymer
composite fabrication process and end-use market. It’s manufacturing facility,
strategically located near the major chemical port of Kandla, in the State of
Gujarat in Western India, ensures easy accessibility to the major composite
fabrication centers in Western, Northern, Southern and Central India, besides
exporting globally at competitive prices made possible by its close proximity
to the major port.
Dipol resins offer the best combination of
cost-effectiveness and required performance for any application including open
molding, compression molding, resin transfer molding, filament winding,
pultrusion, centrifugal casting and resin infusion processes.
An experienced and qualified salesforce and branch offices at Pune, Vadodara and New Delhi, with distributors in all the key markets for the company’s products and a strong focus on exports, will enable the company to service diversified markets, both in India and abroad.
Their future success depends on their lasting and reliable presence in the market place and a strong sense of partnership with their customers. Their efforts will be focused on expanding markets and leading their customers towards a promising future with constantly improved materials and more effective solutions. Their objective is to maintain the high level of existing achievements and ensure sustained, dynamic growth for the future.
Their growth and their existence in the market place, will be measured by the success of their customers and their ability to respond to their needs and requirements and that is precisely why they have adopted the undermentioned vision statement.
MANUFACTURING
* One of the largest manufacturer of Unsaturated Polyester
Resins in India with large sized reactors and blenders thus ensuring batch
consistencies.
LOCATION OF PLANT
* At Kandla in the State of
Gujarat – A major chemical port in Western India ensures easy
Transportation of raw
materials and exports. Also in close
proximity to the developed markets of the
West.
EFFICIENT
& PROMPT DELIVERIES
Through
Company owned Transport and tie-up with major transporters.
TESTING
LABORATORY AND R & D
* Well
equiped facility with the latest imported testing equipments, manned
by Qualified and Experienced personnel .
PEOPLE
* A progressive company’s greatest asset.Young, Qualified
and Experienced team of Production, Marketing, Finance and other support
function personnel.
COMPOSITES
ENTER THE WORLD OF COMPOSITES
Welcome to the world of Composites! A
world made possible by the combination of dissimilar constituent materials
comprising of a thermosetting or in some cases a thermoplastic resin matrix in
combination with a fibrous reinforcement resulting in a Fiber Reinforced
Plastic or FRP as commonly known in India.
Composites are an unusually versatile and
valuable family of materials which can solve problems, improve productivity and
facilitate the introduction of new products in the market or business. It is
important to remember that with traditional materials, i.e.
sheet steel, aluminum bar stock, magnesium die casting,
etc., the fabrication process shapes the material into final
product form without changing the basic properties of the materials
themselves. This is not necessarily the case with composites. The
properties and characteristics of composite materials are generally created at
the same time as the product is being formed. In this way, composites are
more like concrete than metals. That is, you create a concrete
material system when the ingredients are mixed and allowed to set and cure.
There are great benefits inherent in the versatile family of composite
materials. But, there can also be real pitfalls if proper attention is not
given to the initial design and testing phase and if adequate materials,
process and quality control procedures are not in place during
manufacture. This requires knowledge of the materials and process in the
design and evaluation phase of an application development to assure that the
properties and benefits of composites have been optimized. Ineffective
application of composite materials or processes may result in
cost/performance disadvantages. An additional benefit of working with composite
materials is that models and prototypes can be produced which essentially
duplicate the performance of the desired production part. This allows
comprehensive testing of the design before commitment to manufacturing
investment.
Thermoset resins widely used in the
field of FRP are special due to their exceptional
versatility. Depending on the processing technique used, one can
obtain a product in the desired form and color from a few seconds
to a few hours. The selection of appropriate resin type
enables the designer to vary the service temperature
capabilities, weather ability, chemical resistance properties, electrical
properties, fire
resistance and adhesive characteristics of the finished
composite.
PRODUCTS
UNSATURATED POLYESTER RESINS
UNSATURATED POLYESTERS are
the product of a condensation reaction between
difunctional acids and alcohols, one of which (generally the acid)
contributes olefinic unsaturation. This polymer is dissolved in
styrene or other monomeric material containing vinyl
unsaturation. With heat or chemically activated free radical initiation, the
polyester and reactive diluents crosslinks into a solid, non-melting
network.
The physical properties of a
resin can predict its performance in corrosion
resistance and other applications. They must recognize that these
properties are interdependent. Although it is possible to tailor
a resin property to a specific value, a change in one
characteristic produces changes in others. Therefore, one must
look at parameters collectively, in determining
the profile of a resin, rather than isolating a single property.
Unsaturated Polyesters are divided into classes
depending upon structure of their basic building blocks. DIVINE
PETROCHEMICAL’s manufactures the following range of
Unsaturated Polyester resins which are further classified
according to end use application as either general purpose (GP) or
specialty polyesters which are tailored to meet the requirements of a
wide range of applications :
MODES OF ACTION:
1.
COOLING: Certain additives, e.g. Aluminium trihydrate, will liberate their
water of crystallisation and cool down the system.
2.
INSULATION OF THE SURFACE (Protective layer): Through the
formation of gases that are heavier than air or a solid crust e.g.
soot and/or carbonization, it is possible to insulate
and shield the surface from oxygen and thereby reduce the
possibility of combustion. Certain phosphorous compounds can be used for this
purpose.
3.
DILUTION:
Under the influence of heat and/ or fire, special additives, e.g. certain
halogenated substances, will develop non-combustible gases and
these will dilute the concentration
of combustible
gases.
In most applications, the use of
GRP presents no greater fire hazard than the use of timber. In a
building where it is important to localize any fire which might arise,
e.g. a small fuel store, any internal fire would rapidly burn through a
self-extinguishing laminate whether it forms part of the roof
or the wall. In this situation, the most important factor is the glass content
of the laminate. The resin will burn, but the laminate can contain and
stop the spread of the fire in quite a spectacular way provided it has a
high glass content.
However, there are several important reasons why a laminate should
not be made self-extinguishing unless it is really necessary:
(a)
Weather resistance:
Self-extinguishing laminates have poorer resistance to
outdoor exposure that normal laminates. This is an important
consideration, because for many applications
good weathering properties are more important than
self-extinguishing properties.
(b) Cost: Most
self-extinguishing laminates are more costly than normal
laminates.
(c) Opacity: Laminates with
the best self-extinguishing properties are opaque.
(d)
The degree of fire retardance possible may be
totally inadequate. This depends on the method used to reduce the burning
rate of the cured resin.
# FIRE RETARDANT
GRADES - of above resins with Low Flammability as per IS - 6746 - 1994.
Form 8 Particular for creation or modification of
charges
|
Corporation identity number or foreign company
registrations number of the company |
U24100MH2004PTC148207 |
||||||||
|
Name of the company |
DIVINE
PETROCHEMICAL PRIVATE LIMITED |
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|
Address |
308,
Adhyaru Industrial estate, Sun Mill Compound, Lower Parel, Mumbai,
Maharashtra |
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|
This Form is for |
Creation of charge |
||||||||
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Type of Charges |
Hypothecation |
||||||||
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Particular of the charge holder |
Dena Bank Industrial Finance Branch Maker Tower Cuffe Parade Mumbai – 400005 Maharashtra, India |
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Nature or description of the instrument creating
charge |
Agreement of hypothecation of movables |
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Date of the instrument creating charge |
22.04.2006 |
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Amount Secure by the charge |
Rs. 258.700 Millions |
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Description of the property charge whether it is a charge
on |
Plant and Machinery, Stock in Trade and Book Debts |
||||||||
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||||||||
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Corporation identity number or foreign company
registrations number of the company |
U24100MH2004PTC148207 |
||||||||
|
Name of the company |
DIVINE
PETROCHEMICAL PRIVATE LIMITED |
||||||||
|
Address |
308, Adhyaru Industrial estate, Sun Mill Compound, Lower
Parel, Mumbai, Maharashtra |
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|
This Form is for |
Modification of charge |
||||||||
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Type of Charges |
Simple Mortgage |
||||||||
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Particular of the charge holder |
Punjab National Bank MID Corporate Branch Siyaganj Branch, Indore - 542007 Madhya Pradesh, India |
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Amount Secure by the charge |
Rs. 120.000 Millions |
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Brief of the principal terms and conditions and extent and
operation of the charge |
Term Loan Agreement Agreement of Hypothecation of Assets to secure Term Loan Declaration and undertaking of all above dated 05.03.2005 |
||||||||
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Description of the property charge whether it is a charge
on |
Immovable properties, Plant and Machinery and other |
||||||||
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If Others specify |
All movable asses of the proposed unit @Bhuj |
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Modification charge Charge identification number of the charge to be modified |
80011426 |
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Brief
of the principal terms and conditions and extent and operation of the charge |
Limit Term Loan enhanced
from Rs. 120 millions to Rs. 508.7 Millions as under Punjab National Bank : Rs. 250.000 Millions First
Parripassu Charges Dena Bank : Rs. 258.700 millions Second PP Charge |
||||||||
|
Date of instrument modifying the charge |
22.07.2006 |
||||||||
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Particulars of the Property charged |
Equitable mortgage on Land / Building, Plant and Machinery embedded to
ground and hypothecation of all movable assets of the proposed unit situated
at village Bhimsar, Gandhidham Dist Gujarat
|
||||||||
|
Particulars of the present modification |
Total agreement limit avail by
Punjab National Bank enhanced from Rs. 220.000 millions to Rs. 250 millions
Second Parripassu charge created in facour of Dena Bank for Rs. 258.7
millions total limit Rs. 508.7 Millions |
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. 44.65 |
|
UK Pound |
1 |
Rs. 87.23 |
|
Euro |
1 |
Rs. 58.96 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP
CAPITAL |
1~10 |
4 |
|
OPERATING
SCALE |
1~10 |
4 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
-- |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
-- |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER
MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
27 |
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 |