MIRA
INFORM REPORT
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Report Date : |
13.08.2007 |
IDENTIFICATION DETAILS
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Name : |
SPRAYING SYSTEM ( |
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Registered Office : |
42-A, Yeshwanthpur, Industrial Suburb, Ring Road, Yeshwanthpur, Bangalore-560022, Karnataka |
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Country : |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
01.06.1999 |
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Com. Reg. No.: |
036505 |
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IEC No.: |
039942997 |
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CIN NO. |
U29120KA1999PTC036505 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRS12394E |
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PAN No.: [Permanent
Account No.] |
AADCS8656E |
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Legal Form : |
Private Limited Liability company |
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Line of Business : |
Manufacture of Spray Nozzles, Accessories and Turnkey System. |
RATING & COMMENTS
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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 : |
USD 246000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
The Company is a subsidiary of Spraying System Company; U S A. Subject is a well
established and reputed company having satisfactory track records. Directors are
reported as experienced and respectable businessmen. Trade relations are
fair. Business is active. Payments are usually correct and as per
commitments. The company can be considered normal for business dealings at
usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
42-A, Yeshwanthpur, Industrial Suburb, Ring Road (Opposite FTI),
Yeshwanthpur, |
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Tel. No.: |
91-80-23378166 / 23378177 / 23378188/ 23378199 |
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Fax No.: |
91-80- 23378188 / 23378111 |
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E-Mail : |
ssipl@sprayindia.com / bhat@springindia.com / ssipl@sprayingindia.com |
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Website : |
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Area : |
15000 sq. fts. |
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Location : |
Rented |
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Branch : |
7 Timmy Arcade, |
DIRECTORS
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Name : |
Mr. Sridhar Bhat |
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Designation : |
Managing Director |
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Address : |
Flat No. D; Champak Apartment, 30-11, 8th |
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Date of Birth/Age : |
20.07.1956 |
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Qualification : |
B.E., MBA |
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Experience : |
25 Years |
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Date of Appointment : |
15.11.2000 |
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Name : |
Mr. Hemant Konwar |
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Designation : |
Director |
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Name : |
Mr. James Bramsen |
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Designation : |
Director (Foreigner) |
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Address : |
No. 26, |
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Date of Birth/Age : |
27.07.1936 |
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Date of Appointment : |
01.06.1999 |
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Name : |
Mr. Ted Butterfield |
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Designation : |
Director (Foreigner) |
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Address : |
No. 223, C-Avenue, |
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Date of Birth/Age : |
07.05.1941 |
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Date of Appointment : |
01.06.1999 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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Spraying Systems Company, |
4324130 |
100.00 |
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Mr. Sridhar Bhat |
1 |
0.00 |
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Total |
4324131 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacture of Spray Nozzles, Accessories, Turnkey System |
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Products : |
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Brand Names : |
SSCO |
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Agencies Held : |
Wholly Owned Subsidiary of SSCO, United State Of |
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Exports : |
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Products : |
Spray Nozzles |
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Countries : |
United State Of |
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Products : |
Accessories |
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Countries : |
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Products : |
Turnkey System |
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Countries : |
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Imports : |
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Products : |
Raw Materials and Finished Goods |
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Countries : |
United State Of |
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Products : |
Accessories |
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Countries : |
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Terms : |
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Selling : |
L/C, Cash |
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Purchasing : |
L/C, Cash |
PRODUCTION STATUS
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Particulars |
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Unit |
Actual
Production |
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Industrial Spray Nozzles and Accessories |
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Nos. |
100909 |
GENERAL INFORMATION
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No. of Employees : |
80 |
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Bankers : |
HDFC Bank Limited Indira Nagar Branch, |
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Facilities : |
Cash Credit: Rs. 5.000 millions as per hypothecation agreement dated
January 8, 2007. It is secured against hypothecation of all the present and
future stock in trade, raw materials, work in progress, finished goods, book
debts, outstanding, money receivables, bills, claims, etc. belonging to the
company. |
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Banking
Relations : |
Satisfactory |
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Auditors: |
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Name : |
Price Water House and Company Chartered Accountant |
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Address : |
32, |
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Holding Company : |
Spraying Systems Company, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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30,000,000 |
Equity Share |
Rs. 10/- each |
300.000 millions |
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Paid up Share capital:
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No. of Shares |
Type |
Value |
Amount |
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4,324,131 |
Equity Share |
Rs.10/- each |
43.241 millions |
FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.12.2006 |
31.12.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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43.241 |
43.241 |
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2] Reserves & Surplus |
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18.215 |
(3.604) |
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NETWORTH |
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61.456 |
39.637 |
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LOAN FUNDS |
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1] Secured Loans |
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0.000 |
0.000 |
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2] Unsecured Loans |
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0.000 |
9.001 |
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TOTAL BORROWING |
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0.000 |
9.001 |
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DEFERRED TAX LIABILITIES |
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0.672 |
0.000 |
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TOTAL |
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62.128 |
48.638 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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29.038 |
21.947 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.005 |
0.005 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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19.693 |
8.175 |
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Sundry Debtors |
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27.047 |
16.339 |
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Cash & Bank Balances |
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25.468 |
8.136 |
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Other Current Assets |
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0.443 |
0.278 |
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Loans & Advances |
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4.517 |
3.307 |
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Total
Current Assets |
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77.168 |
36.235 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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34.899 |
7.129 |
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Provisions |
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9.184 |
2.420 |
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Total
Current Liabilities |
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44.083 |
9.549 |
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Net Current Assets |
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33.085 |
26.686 |
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TOTAL |
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62.128 |
48.638 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.12.2006 |
31.12.2005 |
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Sales Turnover |
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129.434 |
82.915 |
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Other Income |
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3.761 |
2.234 |
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Total Income |
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133.195 |
85.149 |
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Profit/(Loss) Before Tax |
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30.394 |
3.191 |
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Provision for Taxation |
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8.575 |
0.000 |
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Profit/(Loss) After Tax |
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21.819 |
3.191 |
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Earnings in Foreign Currency : |
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Export Earnings |
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10.899 |
7.967 |
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Total Earnings |
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10.899 |
7.967 |
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Imports : |
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Raw Materials |
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15.909 |
11.995 |
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Capital Goods |
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1.498 |
0.000 |
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Others |
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2.605 |
2.533 |
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Total Imports |
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20.012 |
14.528 |
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Total Expenditure |
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102.126 |
80.881 |
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KEY RATIOS
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PARTICULARS |
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31.12.2006 |
31.12.2005 |
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PAT / Total Income |
(%) |
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16.38 |
3.75 |
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Net Profit Margin (PBT/Sales) |
(%) |
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23.48 |
3.85 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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20.54 |
5.48 |
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Return on Investment (ROI) (PBT/Networth) |
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35.50 |
8.05 |
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Debt Equity Ratio (Total Liability/Networth) |
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-- |
0.23 |
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Current Ratio (Current Asset/Current Liability) |
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1.75 |
3.79 |
LOCAL AGENCY FURTHER INFORMATION
Subject exports it products and also supplies
in the domestic market.
Subject is an ISO 9001:2000 certified company.
The Company’s Fixed Assets of important value
includes:
- Plant and Machinery
- Computers
- Office Equipments
- Furniture and Fixtures
- Vehicles
- Software
As Per Web
Profile
Spraying Systems Company, which is celebrating its 70th anniversary, is
the leader in spray technology. Founded in 1937 in
Subject has the right nozzle for your spray application, with nozzles
readily available in thousands of sizes, hundreds of configurations and dozens
of materials. Their innovative spray nozzles are designed to improve efficiency
– from quick-change nozzles that require no tools for installation to
anti-bearding nozzles that increase throughput.
AutoJet® Technologies
is the spray control and automation division of Spraying Systems Company. Their
turnkey systems are designed to: reduce overspray and save chemicals; obtain
higher product quality through precise and uniform coating; simplify setup time
and reduce downtime; increase throughput and conveyor speed; improve regulatory
compliance and reduce maintenance costs.
Their Spray Analysis and
Research Services group operates the industry’s most sophisticated
spray laboratories. With the experience and knowledge to properly collect and
analyze spray data, their research staff helps customers achieve the highest
level of performance from their spray system. In addition to spray performance
tests, they conduct proof-of-concept tests, quality control tests and design
prototypes for new product or process development.
Their in-house spray
fabrication experts design and fabricate custom lances, manifolds
and shower headers. Custom solutions can optimize spray performance, improve
product quality, simplify system installation and minimize physical changes to
existing operations.
Many of customers rely on us as their single-source supplier for spray
research and testing, custom lance and header design/fabrication, automated
spray systems and, of course, spray nozzles. No matter which products or
services you use, they appreciate your business.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.67 |
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1 |
Rs.82.12 |
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Euro |
1 |
Rs.55.60 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
7 |
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OPERATING SCALE |
1~10 |
- |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
- |
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--PROFITABILIRY |
1~10 |
- |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
7 |
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--RESERVES |
1~10 |
- |
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--CREDIT LINES |
1~10 |
7 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
NO |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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33 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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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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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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