MIRA
INFORM REPORT
|
Report Date : |
17.12.2007 |
IDENTIFICATION
DETAILS
|
Name : |
HYGIENE WEAR
INTERNATIONAL LIMITED |
|
|
|
|
Registered
Office : |
47/C, Laxmibai
Nagar, Industrial Estate Fort, Indore, Madhya Pradesh – 452 006 |
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Country : |
India |
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|
Financials (as
on) : |
31.03.2006 |
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Date of
Incorporation : |
21.03.1996 |
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|
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|
Com. Reg. No.: |
10-10641 |
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|
CIN No.: [Company
Identification No.] |
U51311MP1996PLC010641 |
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|
|
TAN No.: (Tax
Deduction & Collection Account No.) |
BPLH00445E |
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|
|
|
Legal Form : |
A Closely Held
Public Limited Liability Company |
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|
Line of
Business : |
Manufacturer of
Sterilized diapers, Cotton pods, Antiseptic cotton and Linen dressing like bandages
and band aids, Surgical and Sanitary napkins mode or cotton, Jute, paper and
other materials, Synthetic and otherwise of all sizes and kinds for use of
Infants, Children and Adults including patients. |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 200000 |
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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 : |
Subject is a
well-established company having satisfactory track. Directors are
experienced, respectable and resourceful businessmen. Their trade relations are
fair. General financial position is satisfactory. Payments are usually
correct and as per commitments. The company can
be considered normal for business dealings at usual trade terms and
conditions. |
LOCATIONS
|
Registered Office/Factory
: |
47/C, Laxmibai
Nagar, Industrial Estate Fort, Indore, Madhya Pradesh – 452 006, India |
|
Tel. No.: |
91-731-2453441 /
2220220 / 2410836 / 2415257 |
|
Fax No.: |
91-731-2220216 /
2410836 |
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E-Mail : |
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|
Website : |
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Head Office/
Branch/ Factory : |
Khasra No. 403/5,
Ray Pithampur Bye Pass, Sanwaya Tehsil, Mhow District – 453 332, Indore,
Madhya Pradesh |
|
Tel. No.: |
91-731-24020220 (9 Lines) |
|
Fax No.: |
91-731-24020216 |
|
E-Mail : |
DIRECTORS
|
Name : |
Mr. Shishir S.
Gupta |
|
Designation : |
Managing Director |
|
Address : |
3, Green Park,
South Tukoganj, Indore, Madhya Pradesh |
|
Date of
Birth/Age : |
28.03.1970 |
|
Date of
Appointment : |
21.03.1996 |
|
Election
Commission Identity Card No.: |
MP-37-274-186212 |
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|
|
|
Name : |
Mr. Sanjay Jain |
|
Designation : |
Director |
|
Address : |
52/5, South
Tukoganj, Indore – 452 001, Madhya Pradesh |
|
Date of
Appointment : |
29.12.1969 |
|
Election
Commission Identity Card No.: |
LHV229090621.06.1996 |
|
|
|
|
Name : |
Mr. Kantilal Jain |
|
Designation : |
Director |
|
Address : |
52/5, South
Tukoganj, Indore – 452 001, Madhya Pradesh |
|
|
|
|
Name : |
Mr. Shravan K.
Gupta |
|
Designation : |
Director |
|
Address : |
3, Green Park, South
Tukoganj, Indore, Madhya Pradesh |
|
Date of
Birth/Age : |
14.08.1941 |
|
Date of
Appointment : |
21.03.1996 |
|
Election
Commission Identity Card No.: |
MP37-274-186210 |
|
|
|
|
Name : |
Mr. Sharda Gupta |
|
Designation : |
Director |
|
Address : |
3, Green Park,
South Tukoganj, Indore, Madhya Pradesh |
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Date of
Birth/Age : |
24.11.1945 |
|
Date of
Appointment : |
25.04.2007 |
|
Other
Directorship : |
Saker Exim
Private Limited CIN No.
U51109MP2006PTC018724 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
Shravan K Gupta |
|
547900 |
|
Shishir Gupta |
|
576358 |
|
Sharda Gupta |
|
176100 |
|
Anju Gupta |
|
30660 |
|
Sanjay Jain |
|
69362 |
|
Kantilal Jain |
|
18420 |
|
Sandeep Jain |
|
13600 |
|
Mangala Jain |
|
100 |
|
BARCO |
|
1350000 |
|
Easaw Thomas |
|
27200 |
|
Mad Molly |
|
27200 |
|
Mary Thomas |
|
27200 |
|
V Thomas James |
|
27200 |
|
Thomas Anjula |
|
27200 |
|
Sharon Marine Mathew |
|
27200 |
|
Vidya Maria Thomas |
|
27200 |
|
Mathew Kurian |
|
27100 |
|
Total |
|
3000000 |
|
|
|
|
|
Equity Share
Breakup |
|
Percentage of
Holding |
|
Category |
|
|
|
Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
|
52.25 |
|
Directors or relatives of directors |
|
47.75 |
|
Total
|
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of
Sterilized diapers, Cotton pods, Antiseptic cotton and Linen dressing like
bandages and band aids, Surgical and Sanitary napkins mode or cotton, Jute,
paper and other materials, Synthetic and otherwise of all sizes and kinds for
use of Infants, Children and Adults including patients. |
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Products : |
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Exports : |
L/C at sight terms
with American, British or Indian approved Banks. |
PRODUCTION STATUS
|
Particulars |
Licensed
Capacity |
Installed
Capacity |
|
Diaper and Pad |
288 in Single
Shift |
288 in Single
Shift |
GENERAL
INFORMATION
|
No. of Employees : |
80 |
|
|
|
|
Bankers : |
·
IDBI Bank
Limited, Indore ·
HDFC Bank
Limited, Indore ·
Punjab
National Bank, Indore |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
Vandit Sanghi and Company Chartered Accountants |
|
Address : |
G 5, Man Heritage, 6/2, South Tukoganj, Near High Court, Indore –
452001, Madhya Pradesh, India |
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Tel. No.: |
91-731-2512060 |
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Mobile No.: |
91-9827229919 |
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|
|
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Memberships : |
Chamber of
Commerce |
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|
|
|
Collaborators : |
Braco Manufacturing
Company – USA |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
3,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 30.000 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 |
30.000 |
30.000 |
31.500 |
|
|
2] Share Application Money |
7.555 |
0.555 |
0.000 |
|
|
3] Reserves & Surplus |
11.251 |
7.385 |
5.662 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
48.806 |
37.940 |
37.162 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
129.453 |
112.677 |
108.172 |
|
|
2] Unsecured Loans |
14.523 |
14.445 |
7.010 |
|
|
TOTAL BORROWING |
143.976 |
127.122 |
115.182 |
|
|
DEFERRED TAX LIABILITIES |
4.415 |
5.022 |
3.976 |
|
|
|
|
|
|
|
|
TOTAL |
197.197 |
170.084 |
156.320 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
61.945 |
65.647 |
68.021 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.347 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.000 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
95.646
|
94.237 |
74.020 |
|
|
Sundry Debtors |
54.923
|
54.116 |
12.932 |
|
|
Cash & Bank Balances |
3.064
|
3.330 |
3.929 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
13.169
|
8.168 |
6.037 |
|
Total
Current Assets |
166.802
|
159.851 |
96.918 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
20.214
|
45.695 |
7.604 |
|
|
Provisions |
12.179
|
11.036 |
5.021 |
|
Total
Current Liabilities |
32.393
|
56.731 |
12.625 |
|
|
Net Current Assets |
134.409
|
103.120 |
84.293 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.843 |
1.317 |
3.659 |
|
|
|
|
|
|
|
|
TOTAL |
197.197 |
170.084 |
156.320 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
183.915 |
174.158 |
111.909 |
|
|
Other Income |
0.077 |
0.065 |
0.106 |
|
|
Total Income |
183.992 |
174.223 |
112.015 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
3.970 |
3.047 |
7.071 |
|
|
Provision for Taxation |
0.712 |
1.324 |
3.006 |
|
|
Profit/(Loss) After Tax |
3.258 |
1.723 |
4.065 |
|
|
|
|
|
|
|
|
Earnings in Foreign Currency : |
|
|
|
|
|
|
Export Earnings |
NA |
11.158 |
12.257 |
|
Total Earnings |
NA |
11.158 |
12.257 |
|
|
|
|
|
|
|
|
Imports : |
|
|
|
|
|
|
Raw Materials |
NA |
41.840 |
48.420 |
|
|
Stores & Spares |
NA |
0.182 |
0.120 |
|
Total Imports |
NA |
42.022 |
48.540 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Manufacturing Expenses |
0.000 |
0.000 |
4.340 |
|
|
Administrative Expenses |
0.000 |
0.000 |
8.699 |
|
|
Selling and Distribution Expenses |
0.000 |
0.000 |
28.350 |
|
|
Raw Material Consumed |
64.976 |
52.032 |
54.332 |
|
|
Purchases made for re-sale |
66.050 |
70.640 |
7.334 |
|
|
Consumption of stores and spares parts |
0.293 |
0.108 |
0.000 |
|
|
Increase/(Decrease) in Finished Goods |
[6.025] |
[11.962] |
[16.897] |
|
|
Salaries, Wages, Bonus, etc. |
6.198 |
6.656 |
0.000 |
|
|
Managerial Remuneration |
1.402 |
1.008 |
0.000 |
|
|
Payment to Auditors |
0.035 |
0.035 |
0.000 |
|
|
Interest |
16.717 |
14.016 |
12.023 |
|
|
Insurance Expenses |
0.645 |
0.599 |
0.000 |
|
|
Power & Fuel |
1.792 |
1.470 |
0.000 |
|
|
Depreciation & Amortization |
4.023 |
3.985 |
3.956 |
|
|
Other Expenditure |
23.915 |
32.589 |
2.807 |
|
Total Expenditure |
180.021 |
171.176 |
104.944 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
1.77
|
0.99 |
3.63 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.16
|
1.75 |
6.32 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.74
|
1.35 |
4.29 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.08
|
0.08 |
0.19 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.61
|
4.85 |
3.44 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
5.15
|
2.82 |
7.68 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges
Report as per Registry
|
Name of the company |
HYGIENE WEAR INTERNATIONAL LIMITED |
|
Presented By |
Mr. Shishir Gupta [Director] |
|
1) Date and description of instrument creating the change |
Hypothecation of
goods to secure demand Cash Credit and the letter of consent for creation of
second charge by Industrial Development Bank of India, Bhopal dated
30.09.2003 |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Second charge of
Rs. 49.500 Millions towards the fund based facilities in favour of Punjab
National Bank, Manormaganj. |
|
3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Hypothecation of
company’s entire stocks of raw Material Stock in process finished goods
stores and spars packing material like non-woven fabric diapers, lincar pad lying
in the premises or Godown of Gram – Sonwaya. District Indore MP. The charge
is further secured by second charge on the assets of the Company financed by
Industrial Development bank fo India, Bhopal for foreign Currency loan of 1
Million U S Dollar equipment to Rs. 36 Millions Joint Mortage of land adm
43.486 sq. ft. bearing Khasra No. 403/5 and construction of building over
this land further secures the charge.
|
|
4) Gist of the terms and conditions and extent and operation of the charge. |
PLR + 3.0 % i.e.
at present @ 14.0 % p.a. with monthly rests as per L & A CIR No. 22/2001
dated 01.03.2001 and LA CIR 25/02 or as prescribed by HO from time under ‘A’
rating. Margin : 25 % |
|
5) Name and Address and description of the person entitled to the charge. |
Punjab national
Bank, Manoramaganj, Indore, Madhya Pradesh |
|
6) Date and brief description of instrument modifying the charge |
Creation of
second charge in favour of Punjab National bank for the Fund Based Limits up
to Rs. 49.500 Millions |
|
7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
Copy of agreement
dated 24.10.2003. |
|
This form is for |
Modification of
charge |
|
Charge
identification number of the charge to be modified |
9020841 |
|
Corporate
identity number of the company |
U51311MP1996PLC010641 |
|
Name of the
company |
HYGIENE WEAR
INTERNATIONAL LIMITED |
|
Address of the registered
office or of the principal place of
business in India of the company |
403/5, Rau
Pithampur Bypass, Sonwaya, Indore – 453 332, Madhya Pradesh, India. |
|
Particular of
charge holder |
Punjab National
Bank Saiyaganj Branch Indore – 452001,
Madhya Pradesh, India |
|
Nature of
description of the instrument creating or modifying the charge |
|
|
Date of instrument
Creating the charge |
28.03.2007 |
|
Amount secured by
the charge |
Rs. 32.300
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest Rate @ 13.50 %
p.a. Terms of
repayment On Demand Margin Nature of Goods
and Commodities Stocks – 25 % Extent operation
of the charge Raw Materials,
Stock in process, finished goods [Packed and unpacked], like cotton, cloth, chemical,
diapers etc. Packing Material, consumable spares, trading tools, book debts
and all other current asset of the company |
|
Short particulars
of the property charged |
|
|
Date of latest
modification prior to the present modification |
21.11.2006 |
|
Particulars of
the present modification |
Hypothecation of goods
and book debts to secure cash credit facility. |
Fixed Assets
- Land and Site
Development
- Factory
Building
- Office
Building
- Plant and
Machinery
- Vehicles
- Furniture and
Fixture
- Electrical
Equipment
- Computers
Attached herewith
website details :
The company started
its operations with the manufacturing of Koochees Disposable Diapers. Koochees,
a brand trusted by mothers across America, is made in India through a joint
venture between Hygiene Wear International and Braco Manufacturing Company,
USA. The entire project has been appraised, approved and financed by IDBI.
Braco is a
reputed name in the personal hygiene market, with premium brands such as
Koochees, Diapees and Feelfresh sanitary napkins to its credit.
Hygiene Wear
International has plans to penetrate and entrench itself firmly in the personal
hygiene category in India. Its substantial investments stands proof of its
mission. Backed by strategic marketing and advertising effort their products
has soon become a household name nationwide
Hygiene Wear International has also a host of other products for the Indian and
the world market viz. sanitary napkins, tissue rolls, swabs, kitchen tissues,
catheters and
surgical pads.
Hygiene Wear International has been promoted
by
Mr. S. K. Gupta- a
mechanical engineer, is the Chairman of Hygiene Wear International. He has
several decades experience in the field of heavy engineering and customised
plant machinery.
Mr. Shishir S.
Gupta- an electronics engineer, is the Managing Director of the Company. He
holds an MBA in Marketing, International Business and Operations Management
from Chicago University, USA.
Mr. Jack Braha-
Vice President, Braco Manufacturing Company Inc., USA is a member of the Board
of Directors.
Mr. Sanjay Jain- is
an electronics engineer and also a member of the Board.
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.39.35 |
|
UK Pound |
1 |
Rs.80.36 |
|
Euro |
1 |
Rs.57.62 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--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 |
|
49 |
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. |
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 |
|