MIRA
INFORM REPORT
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Report Date : |
24.12.2007 |
IDENTIFICATION
DETAILS
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Name : |
KONE ELEVATOR
INDIA PRIVATE LIMITED |
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Registered Office : |
Nos : 50-55 and
58 Vanagaram Road, Ayanambakkam Village, Chennai – 602102, Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
12.06.1984 |
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Com. Reg. No.: |
18-10913 |
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CIN No.: [Company
Identification No.] |
U29141TN1984PTC010913 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEB00075F |
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PAN No.: [Permanent
Account No.] |
AAACK2567P |
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Legal Form : |
Private Limited
Liability Company. |
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Line of Business : |
Subject
is engaged in developing, manufacturing, installing, modernising and
servicing of Elevators, Escalators and Auto Walks and servicing automatic
building doors, passenger lifts for Hospitals, commercial building and
apartments, railways, fright and other services. |
RATING &
COMMENTS
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MIRA’s Rating : |
Aa |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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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Maximum Credit Limit : |
USD 2680000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well
established company having satisfactory track. Trade relations are fair.
Financial position is good. Payments are correct and as per commitments. The company can
be considered good for any normal business dealings. It can be
regarded as a promising business partner in a medium to long-run. |
LOCATIONS
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Registered Office / Head Office /
Factory : |
Nos : 50-55 and
58 Vanagaram Road, Ayanambakkam Village, Chennai – 602102, Tamilnadu, India |
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Tel. No.: |
91-44-26533901 /
26533902 / 903 / 904 / 905 / 906 |
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Fax No.: |
91-44-26533912 |
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E-Mail : |
k.rangarajan@kone.com
, kei.cs@kone.com , c.v.s.krisnhakumar@kone.com |
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Website : |
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Area : |
Total Land 8.7
Acres, Building Area 67000 sq, ft, |
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Location : |
Owned |
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Corporate office: |
275, J. J. Road, Alwarpet, Chennai – 600 018,
Tamilnadu |
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Tel. No.: |
91-44-24992655
/ 24996423 |
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Branches : |
Located at :
Mumbai, Delhi, Kolkata, Secunderabad, Coimbatore, Bangalore, Ernakulam, New Delhi,
Lucknow, Chandigarh, Patna, Mangalore and Vishakhapatnam |
DIRECTORS
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Name : |
Mr. Heimo Makinen
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Designation : |
Director |
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Address : |
Kuhlendahl, D –
45470, Mulhelm, Germany |
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Date of Birth/Age : |
03.09.1944 |
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Date of Appointment : |
28.041999 |
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Name : |
Dr. M R Naidu |
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Designation : |
Director |
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Address: |
8 – 2 – 467 Road No. 5, Banjara Hills, Hyderabad 500034 |
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Date
of Birth: |
04.08.1933 |
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Date of
Appointment : |
12.11.1992 |
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Name : |
Mr. David Mc
Fadden |
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Designation : |
Director |
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Address: |
19, Lonrong 8, Toapayon, Vicplas Building 319255,
Singapore 654246200 |
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Date
of Birth: |
07.08.1954 |
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Date of Appointment : |
28.02.2003 |
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Name : |
Mr. A
Sankarakrishnan |
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Designation : |
Director |
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Address: |
195 Street Mary’s Road, Chennai – 600 018, Tamilnadu |
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Date
of Birth: |
27.10.1942 |
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Date of
Appointment : |
28.02.1992 |
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Name : |
Mr. S Rajagopal |
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Designation : |
Director |
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Address: |
Flat No. 5, Door No. 6, Dr. Subbarayan Nagar, 6th
street, Chennai 600024, Tamilnadu. India |
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Date
of Birth: |
13.05.1966 |
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Date of
Appointment : |
27.09.2001 |
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Name : |
Mr. C. V.
Krishnakumar |
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Designation : |
Director |
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Address : |
99, SRP Colony,
Third Street, Chennai 600082, Tamilnadu, India |
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Date of Birth/Age : |
21.03.1965 |
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Date of Appointment : |
27.02.2007 |
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Name : |
Mr. Pekka
Kemppainen |
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Designation : |
Director |
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Address: |
Erkinkuja 9,
Hyuinkaa, Finland |
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Date of Birth: |
11.04.1954 |
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Date of Appointment : |
11.06.2004 |
KEY EXECUTIVES
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Name : |
Mr. C. V. S. Krishna Kumar |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Kone OY, Finland |
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14947095 |
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Kone Capital Corporation, Finland |
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100 |
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Total
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14947195 |
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Preference
Shareholder |
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No.
of Shares |
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Kone OY, Finland |
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2000000 |
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Equity Share
Break-up |
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Percentage of
Holding |
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Foreign Holdings |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Subject
is engaged in developing, manufacturing, installing, modernising and servicing
of Elevators, Escalators and Auto Walks and servicing automatic building
doors, passenger lifts for Hospitals, commercial building and apartments,
railways, fright and other services. |
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Products : |
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Exports to : |
Asian Market |
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Imports from : |
Europe |
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Terms : |
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Selling : |
L/C and Credit
(60 days) Maximum |
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Purchasing : |
L/C and Credit
(30 days) |
GENERAL
INFORMATION
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Suppliers : |
Steel Authority
of India Limited, Chennai |
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Customers : |
Ø
Delhi Metro
Fail Corporation (For Escalators) Ø
Bangalore
Airport, Bangalore Ø
Tidel Park,
Chennai |
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No. of Employees : |
760 |
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Bankers : |
Ø
Allahabad
Bank, Anna Salai, Chennai – 600002 Ø
Standard
Chartered Bank, 19, Rajaji Salai, Chennai 600001 |
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Facilities : |
Operates on Own
Fund. |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
Per S. Balasubramaniyam S. R. Batliboi and Associates Chartered Accountants |
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Address : |
TDL House, Second Floor, No. 3, Cenotaph Road, Chennai 600018,
Tamilnadu, India |
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Associates/Subsidiaries : |
Ø Olympus Elevator
Private Limited Ø Tiger Elevators India Limited |
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Ø |
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Parent Company : |
Kone
Corporation, Finland Subject was founded in 1910. Class B Kone Shares have been quoted on
the Helsinki Exchanges since 1967. An
international expansion strategy based on business acquisition, adopted in
the 1960s, fuelled Kone’s development into a worldwide organisation. They have more than 23000 employees and
operations in some 800 locations in about 40 countries. It supplies more than 20000 new elevators
and escalators annually. They service
almost 500000 elevators and escalators as well as 140000 automatic building
doors. |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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15000000 |
Equity Shares |
Rs. 10/- each |
Rs. 150.000 Millions |
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2000000 |
Preference Shares |
Rs. 100/- each |
Rs. 200.000 Millions |
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Total |
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Rs. 350.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
14947195 |
Equity Shares |
Rs. 10/- each |
Rs. 149.471 Millions |
|
2000000 |
Preference Shares |
Rs. 100/- each |
Rs. 200.000 Millions |
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Total |
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Rs. 349.471
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.12.2006 |
31.12.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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349.472 |
349.472 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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322.583 |
293.261 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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672.055 |
642.733 |
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LOAN FUNDS |
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1] Secured Loans |
|
2.361 |
5.982 |
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2] Unsecured Loans |
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0.000 |
0.000 |
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TOTAL BORROWING |
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2.361 |
5.982 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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674.416 |
648.715 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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296.379 |
235.404 |
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Capital work-in-progress |
|
30.958 |
6.932 |
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INVESTMENT |
|
330.100 |
330.100 |
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DEFERREX TAX ASSETS |
|
16.016 |
24.152 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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2443.921 |
2002.824 |
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Sundry Debtors |
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288.473 |
200.329 |
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Cash & Bank Balances |
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857.181 |
302.851 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
|
348.845 |
303.928 |
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Total
Current Assets |
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3938.420 |
2809.932 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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3580.992 |
2652.438 |
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Provisions |
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356.465 |
105.367 |
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Total
Current Liabilities |
|
3937.457 |
2757.805 |
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Net Current Assets |
|
0.963 |
52.127 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
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TOTAL |
|
674.416 |
648.715 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
31.12.2006 |
31.12.2005 |
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Sales Turnover |
|
3820.669 |
2855.970 |
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Total Income |
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3820.669 |
2855.970 |
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Profit/(Loss) Before Tax |
|
453.784 |
176.019 |
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Provision for Taxation |
|
163.047 |
65.549 |
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Profit/(Loss) After Tax |
|
290.737 |
110.470 |
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Expenditures : |
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Financial Charges |
|
0.287 |
1.768 |
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Depreciation & Amortization |
|
66.124 |
75.107 |
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Other Expenditure |
|
3300.474 |
2603.076 |
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Total Expenditure |
|
3366.885 |
2679.951 |
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KEY RATIOS
|
PARTICULARS |
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|
31.12.2006 |
31.12.2005 |
|
PAT / Total Income |
(%) |
|
7.60 |
3.86 |
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Net Profit Margin (PBT/Sales) |
(%) |
|
11.87 |
6.16 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
|
10.71 |
5.77 |
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Return on Investment (ROI) (PBT/Networth) |
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|
0.67 |
0.27 |
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Debt Equity Ratio (Total Liability/Networth) |
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5.86 |
4.30 |
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Current Ratio (Current Asset/Current Liability) |
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|
1.00 |
1.01 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8
Bankers Charges
Report as per Registry
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Name of the company |
KONE ELEVATOR
INDIA PRIVATE LIMITED |
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Presented By |
KONE ELEVATOR
INDIA PRIVATE LIMITED |
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1) Date and description of instrument creating the change |
Agreement of Hypothecation of Stocks
and Book Debts dated 28.02.2000 |
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2) Amount secured by the charge/amount owing on the securities of
charge |
Rs. 30.000
Millions |
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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 current assets such as raw materials, finished goods,
consumable stores, spares and receivables |
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4) Gist of the terms and conditions and extent and operation of the
charge. |
This is a
continuing charge |
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5) Name and Address and description of the person entitled to the
charge. |
Standard
Chartered Bank 19, Rajaji Salai,
Chennai 600001, |
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6) Date and brief description
of instrument modifying the charge |
Supplementary
Agreement of stocks/book debts dated 29.08.2005 |
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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. |
The hypothecation
charge on stocks and book debts of the Company has been enhanced from Rs.
30.000 Millions to Rs. 50.000 Millions consequent to enhancement of working
capital facilities extended. All other
terms and conditions remain unchanged. |
AS PER WEBSITE
DETAILS:
Profile
Subject is one of the world’s leading elevator and escalator companies.
It provides its customers with industry-leading elevators and escalators and with
innovative solutions for their maintenance and modernization. Subject also
provides maintenance of automatic building doors. In 2006, KONE had annual net
sales of EUR 3.6 billion and approximately 29,000 employees. Its class B shares
are listed on the OMX Nordic Stock Exchange Helsinki.
Subject is one of the world’s leading elevator and escalator companies.
It provides its customers with industry-leading elevators and escalators and
with innovative solutions for their maintenance and modernization. Subject also
provides maintenance of automatic building doors. In 2006, KONE had annual net
sales of EUR 3.6 billion and approximately 29,000 employees. Its class B shares
are listed on the Helsinki Stock Exchange in Finland.
KONE Sells its KONE
Building in Finland
30
Nov, 2007
Subject announced on August 7, 2007, that it
was considering the sale of its KONE Building located in Espoo, Finland. KONE
sold the KONE Building today to Hanseatische Investment-GmbH (“Hansainvest”).
The selling price is EUR 35 million. KONE will stay in the building as a tenant
under a long-term lease agreement.
They are pleased with the outcome of the
sales process and they welcome Hansainvest as their partner and long-term
property owner,” comments Klaus Cawén, Executive Vice President, KONE
Corporation.
The KONE Building is located next to the sea
in the Keilaniemi business district of Espoo, and was designed by Antti-Matti
Siikala. The office building reaches up to 72 meters and has become one of the
visual landmarks of Espoo. Thanks to its height, scenic elevators and steel
structure, the KONE Building characterizes the area’s technology orientation
while maintaining its presence as an architectural monument between Espoo and
Helsinki.
About
KONE
KONE is one of the world’s leading elevator
and escalator companies. It provides its customers with industry-leading
elevators and escalators, with innovative solutions for their maintenance and
modernization. KONE also provides maintenance of automatic building doors. In
2006, KONE had annual net sales of EUR 3.6 billion and approximately 29,000
employees. Its class B shares are listed on the OMX Nordic Exchange in
Helsinki, Finland.
About
HANSAINVEST
Founded in 1969, HANSAINVEST Hanseatische
Investment-GmbH, Hamburg, is part of the SIGNAL IDUNA Group, one of the largest
German insurance and financial service providers. 125 employees are managing
assets of about EUR 9.4 billion in 43 mutual funds and app. 20 special funds.
In the real estate sector HANSAINVEST is managing real estate assets of app.
EUR 2.3 billion, split up into direct investments, three special real estate
funds and one open real estate fund HANS Aimmobilia.
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. 39.57 |
|
UK Pound |
1 |
Rs. 78.93 |
|
Euro |
1 |
Rs. 56.85 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
72 |
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 |
|