MIRA
INFORM REPORT
|
Report Date : |
29.03.2007 |
IDENTIFICATION
DETAILS
|
Name : |
KARNATAKA VIDYUTH
KARKHANE LIMITED |
|
|
|
|
Registered Office : |
P. B. No. 2610,
Mysore Road, Bangalore – 560026, Karnataka |
|
|
|
|
Country : |
India |
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|
|
|
Financials (as on) : |
31.03.2006 |
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|
Date of Incorporation : |
13.02.1976 |
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|
|
|
Com. Reg. No.: |
08-2954 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U31101KA1975PLC002954 |
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|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
BLRK00261C |
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|
|
PAN No.: [Permanent
Account No.] |
44-019-CX |
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|
Legal Form : |
A Closely Held
Public Limited Liability Company. The
company is owned by Karnataka State Government. |
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|
Line of Business : |
Producers of Distribution
of Transformers for Power Transmission. |
RATING &
COMMENTS
|
MIRA’s Rating : |
C |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not recommended |
|
Maximum Credit Limit : |
|
|
|
|
|
Status : |
Poor |
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|
|
|
Payment Behaviour : |
Slow and delayed |
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|
|
|
Litigation : |
Exist |
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|
Comments : |
The company
continue to incur heavy losses. It’s
financial position is poor. Ways and
means positions are difficult.
Payments are reported as slow and delayed. The company can
be considered for any business dealings on safe and secured trade terms and
conditions. |
LOCATIONS
|
Registered Office : |
P. B. No. 2610, Mysore
Road, Bangalore – 560026, Karnataka, India |
|
Tel. No.: |
91-80-26749045 /
3331 / 3337 / 8274 |
|
Fax No.: |
91-80-26744291 |
|
E-Mail : |
DIRECTORS
|
Name : |
Mr.
Lakshmivenkatachalam, IAS |
|
Designation : |
Chairman |
|
Address : |
Principal
Secretary to Government, Commerce & Industries Department, Vikasa Soudha,
Bangalore – 560001, Karnataka, India |
|
Date of Birth/Age : |
25.09.1953 |
|
Date of Appointment : |
03.09.2005 |
|
|
|
|
Name : |
Mr. G. Kumar
Naik, IAS |
|
Designation : |
Managing Director |
|
Address : |
Kavika Limited,
Bangalore – 560026, Karnataka, India |
|
Date of Birth/Age : |
12.09.1963 |
|
Date of Appointment : |
13.07.2005 |
|
|
|
|
Name : |
Ms. Aditi Raja |
|
Designation : |
Director –
Finance |
|
Address : |
KPTCL, Cauvery
Bhavana, Bangalore – 560009, Karnataka, India |
|
Date of Birth/Age : |
18.09.1959 |
|
Date of Appointment : |
27.07.2005 |
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|
|
|
Name : |
Mr. K. L. Jayaram |
|
Designation : |
Director |
|
Address : |
Deputy Secretary
to Government, Commerce & Industries Department, Bangalore – 560001,
Karnataka, India |
|
Date of Birth/Age : |
18.05.1948 |
|
Date of Appointment : |
27.07.2005 |
|
|
|
|
Name : |
Mr. S. Shivamallu |
|
Designation : |
Director |
|
Address : |
No. D – 4, KEB
Quarters, Rajajinagar, Bangalore – 560001, Karnataka, India |
|
Date of Birth/Age : |
24.06.1947 |
|
Date of Appointment : |
25.07.2001 |
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|
|
|
Name : |
Mr. N. Gokulram,
IAS |
|
Designation : |
Chairman |
|
Address : |
Principal
Secretary to Government, C & I Department & Chairman, Kavika Limited,
Bangalore – 560026, Karnataka, India |
|
Date of
Birth/Age : |
16.11.1950 |
|
Date of
Appointment : |
27.07.2005 |
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Date of
Ceasing : |
03.09.2005 |
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|
|
|
Name : |
Mr. H. V.
Raghuram |
|
Designation : |
Executive
Director |
|
Address : |
Kavika Limited,
Bangalore – 560026, Karnataka, India |
|
Date of
Birth/Age : |
16.03.1957 |
|
Date of
Appointment : |
17.01.2005 |
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Date of
Ceasing : |
26.10.2005 |
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|
|
|
Name : |
Mr.
Lakshmidevamma |
|
Designation : |
Chairman |
|
Address : |
Kavika Limited,
Mysore Road, Bangalore – 560026, Karnataka, India |
|
Date of
Birth/Age : |
03.05.1946 |
|
Date of
Appointment : |
23.10.2003 |
|
Date of
Ceasing : |
02.07.2005 |
|
|
|
|
Name : |
Mr. Bharat Lal
Meena |
|
Designation : |
Managing Director |
|
Address : |
Kavika Limited,
Mysore Road, Bangalore – 560026, Karnataka, India |
|
Date of
Birth/Age : |
05.02.1957 |
|
Date of
Appointment : |
11.10.2004 |
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Date of
Ceasing : |
13.07.2005 |
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|
|
|
Name : |
Mr. M. K.
Gadavale |
|
Designation : |
Director |
|
Address : |
Nehrunagar,
Mundagod, Uttara Kannada District |
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Date of
Birth/Age : |
01.02.1953 |
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Date of
Appointment : |
01.08.2003 |
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Date of
Ceasing : |
26.07.2005 |
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|
|
|
Name : |
Mr. Sait |
|
Designation : |
Director |
|
Address : |
Joint Secretary
to Government, C & I Department, Bangalore – 560001, Karnataka, India |
|
Date of
Birth/Age : |
03.02.1951 |
|
Date of
Appointment : |
30.03.2004 |
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Date of
Ceasing : |
27.07.2005 |
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|
|
|
Name : |
Mr. Abdul Azeez |
|
Designation : |
Executive
Director |
|
Address : |
No. 505,
Sharavathi Block, National Games Village, Koramangala, Bangalore – 560034,
Karnataka, India |
|
Date of
Birth/Age : |
06.08.1955 |
|
Date of
Appointment : |
10.07.2002 |
|
Date of
Ceasing : |
17.01.2005 |
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|
|
|
Name : |
Mr. P. Ravikumar |
|
Designation : |
Director |
|
Address : |
Secretary to
Government, Urban Development Department, M. S. Building, Bangalore – 560001,
Karnataka, India |
|
Date of
Birth/Age : |
03.05.1962 |
|
Date of
Appointment : |
19.07.2000 |
|
Date of
Ceasing : |
27.07.2005 |
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|
|
|
Name : |
Mr. S. B. Reddy |
|
Designation : |
Director |
|
Address : |
Vivekananda
Colony, Gangavathi |
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Date of
Birth/Age : |
20.08.1950 |
|
Date of
Appointment : |
14.10.2003 |
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Date of
Ceasing : |
26.07.2005 |
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|
|
|
Name : |
Mr. G. S.
Dharmapal |
|
Designation : |
Director |
|
Address : |
Penugunda Road,
Pavagada, Tumkur District |
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Date of
Birth/Age : |
15.04.1934 |
|
Date of
Appointment : |
14.01.2003 |
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Date of
Ceasing : |
26.07.2005 |
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|
|
|
Name : |
Mr. B. M.
Huchegowda |
|
Designation : |
Director |
|
Address : |
Kuvempunagar,
Kunigal |
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Date of
Birth/Age : |
10.07.1944 |
|
Date of
Appointment : |
14.10.2003 |
|
Date of
Ceasing : |
02.07.2005 |
|
|
|
|
Name : |
Mr. M. Prasanna
Kumar |
|
Designation : |
Director |
|
Address : |
Subedarpalya,
Yeshwanthpur, Bangalore – 560022, Karnataka, India |
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Date of
Birth/Age : |
07.01.1952 |
|
Date of
Appointment : |
14.10.2003 |
|
Date of
Ceasing : |
02.07.2005 |
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|
|
|
Name : |
Mr. Imithiyaz
Pasha |
|
Designation : |
Director |
|
Address : |
Badamakhan, H.
Siddaiah Road, Bangalore – 560027, Karnataka, India |
|
Date of
Appointment : |
14.10.2003 |
|
Date of
Ceasing : |
26.07.2005 |
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|
|
|
Name : |
Mr. MS Ganapathy |
|
Designation : |
Director |
|
Address : |
No. 44, 3rd
Cross, 2nd Stage, Chandra Layout, Bangalore – 560040, Karnataka,
India |
|
Date of Birth
: |
30.08.1953 |
|
Date of
Appointment : |
02.08.2006 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
Governor of
Karnataka |
|
561904 |
|
Mr. G. Kumar
Naik, IAS |
|
1 |
|
Mr. N. Gokulram,
IAS |
|
10 |
|
Mr. Ruthvik
Pande, IAS |
|
1 |
|
Mr. K. L. Jayaram |
|
1 |
|
Mr. Chandregowda |
|
1 |
|
Mr. N. T. Naik |
|
2 |
|
Mr. M. P.
Gandigudi |
|
2 |
|
Smt. I.
Rajeshwari |
|
1 |
|
TOTAL |
|
561923 |
|
Category |
|
Percentage of Holding |
|
Government
[Central and State] |
|
100.00 % |
BUSINESS DETAILS
|
Line of Business : |
Producers of
Distribution of Transformers for Power Transmission. |
||||||
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||||||
|
Products : |
|
PRODUCTION STATUS
|
Particulars |
|
Installed Capacity |
|
Distribution Transformers |
|
1000000 KVA |
|
Cost Repair |
|
N.A. |
GENERAL
INFORMATION
|
Suppliers : |
Ranisha
Conductors Sharavathi
Conductors Mohan Aluminium
Private Limited |
|
|
|
|
No. of Employees : |
400 |
|
|
|
|
Bankers : |
Ø
State Bank
of Mysore Ø
Canara Bank |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
MN Seetharaman
RVS & Company Chartered
Accountants |
|
Address : |
90/1, 1st Floor, 6th Cross, Ashok Nagar, Near NR
Colony, Bangalore – 560050, Karnataka, India |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
600,000 |
Equity Shares |
Rs. 100/- each |
Rs. 60.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
561,923 |
Equity Shares |
Rs. 100/- each |
Rs. 56.192 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 |
56.192 |
56.192 |
56.192 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
20.150 |
21.264 |
22.379 |
|
|
4] (Accumulated Losses) |
[207.247] |
[194.291] |
[129.145] |
|
|
NETWORTH |
[130.905] |
[116.835] |
[50.574] |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
115.918 |
164.823 |
200.360 |
|
|
2] Unsecured Loans |
75.453 |
54.302 |
21.011 |
|
|
TOTAL BORROWING |
191.371 |
219.125 |
221.371 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
60.466 |
102.290 |
170.797 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
37.910 |
40.963 |
44.209 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
6.262 |
6.262 |
1.158 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
41.590
|
46.506 |
64.484 |
|
|
Sundry Debtors |
94.849
|
82.019 |
138.040 |
|
|
Cash & Bank Balances |
24.072
|
4.963 |
7.162 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
12.144
|
12.777 |
19.179 |
|
Total Current Assets |
172.655
|
146.265 |
228.865 |
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
148.945
|
78.506 |
98.309 |
|
|
Provisions |
7.416
|
12.694 |
5.126 |
|
Total Current Liabilities |
156.361
|
91.200 |
103.435 |
|
|
Net Current Assets |
16.294
|
55.065 |
125.430 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
60.466 |
102.290 |
170.797 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
68.943 |
152.793 |
184.631 |
|
|
Other Income |
0.571 |
1.933 |
149.311 |
|
|
Total Income |
69.514 |
154.726 |
333.942 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
[25.552] |
[72.275] |
[108.064] |
|
|
Provision for Taxation |
-- |
-- |
-- |
|
|
Profit/(Loss) After Tax |
[25.552] |
[72.275] |
[108.064] |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Operating Expenses |
0.000 |
0.000 |
67.520 |
|
|
Selling Expenses |
0.000 |
0.000 |
0.440 |
|
|
Raw Material Consumed |
0.000 |
0.000 |
233.068 |
|
|
Labour Charges |
0.000 |
0.000 |
35.965 |
|
|
Consumption of stores and spares parts |
22.822 |
115.505 |
0.000 |
|
|
Salaries, Wages, Bonus, etc. |
54.274 |
64.069 |
0.000 |
|
|
Managerial Remuneration |
0.254 |
0.976 |
0.000 |
|
|
Payment to Auditors |
0.029 |
0.029 |
0.000 |
|
|
Interest |
7.418 |
24.370 |
47.679 |
|
|
Insurance Expenses |
0.127 |
0.326 |
0.000 |
|
|
Power & Fuel |
1.334 |
2.705 |
0.000 |
|
|
Depreciation & Amortization |
1.995 |
2.246 |
2.266 |
|
|
Other Expenditure |
6.813 |
16.775 |
57.587 |
|
Total Expenditure |
95.066 |
227.001 |
444.525 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
[36.76]
|
[46.71] |
[32.36] |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
[37.06]
|
[47.30] |
[58.53] |
|
|
|
|
|
|
|
Return on Total
Assets (PBT/Total Assets} |
(%) |
[12.13]
|
[38.60] |
[39.57] |
|
|
|
|
|
|
|
Return on
Investment (ROI) (PBT/Networth) |
|
[0.20]
|
[0.62] |
[2.14] |
|
|
|
|
|
|
|
Debt Equity Ratio (Total
Liability/Networth) |
|
[2.66]
|
[2.66] |
[6.42] |
|
|
|
|
|
|
|
Current Ratio (Current
Asset/Current Liability) |
|
1.10
|
1.60 |
2.21 |
LOCAL AGENCY
FURTHER INFORMATION
Fixed Assets
Ø
Land
Ø
Buildings
Ø
Plant
Machinery & Equipment
Ø
Office
Equipment
Ø
Furniture
& Fixtures
Ø
Vehicles
Project work :
Accelerated Power Development Programme [APDP] Project.
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.43.59 |
|
UK Pound |
1 |
Rs.85.53 |
|
Euro |
1 |
Rs.58.14 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
1 |
|
OPERATING SCALE |
1~10 |
1 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
1 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
- |
|
--LEVERAGE |
1~10 |
2 |
|
--RESERVES |
1~10 |
- |
|
--CREDIT LINES |
1~10 |
- |
|
--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 |
|
10 |
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 |
|