MIRA INFORM REPORT
|
Report
Date : |
06.02.2007 |
IDENTIFICATION
DETAILS
|
Correct
Name : |
HENKEL TEROSON INDIA LIMITED |
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Registered
Office : |
74, Industrial Development Colony, Mehrul Road, Gurgaon -
122 001, Haryana |
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Country: |
India |
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Financials
as on: |
31.03.2006 |
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Date
of Incorporation : |
31.10.1996 |
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Com.
Reg. No.: |
05-33371 |
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CIN
No.: [Company
Identification No.] |
U24222HR1996PLC033371 |
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TAN
No.: [Tax
Deduction & Collection Account No.] |
RTKH01176A |
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Legal
Form : |
Closely Held Public Limited Liability Company |
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Line
of Business : |
Manufacturing and exporting of adhesives, sealants and
surface coating products in technical and financial collaboration with Henkel
AG of Germany. |
RATING & COMMENTS
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MIRA’s
Rating : |
Aa |
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
600000 |
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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 subsidiary of Henkel, Germany. Available
information indicates high financial responsibility of the company. Their
trade relations are fair. Financial
position is good. Payments are correct
and as per commitments. The company can be considered good for any business
dealings at usual trade terms and conditions. It can be regarded as a promising business partners in a medium
to long run |
LOCATIONS
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Registered
Office/Factory : |
74, Industrial Development Colony, Mehrul Road, Gurgaon -
122 001, Haryana, India |
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Tel.
No.: |
91-124-2301097
/ 4082409-10 |
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Fax
No.: |
91-124-232
1401 |
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E-Mail
: |
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Website
: |
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Location : |
Commercial
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Branches
: |
1, Sri Aurobindo Marg, New Delhi - 110 016, India |
DIRECTORS
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Name : |
Mr. Arvind Walia |
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Designation
: |
Director |
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Address
: |
C-222, Greater Kailash, Part I, Delhi – 110048, India |
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Mobile
No. : |
91-9811067780 |
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Fax
No. |
91-11-26862644 |
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E-mail
: |
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Other
Directorship : |
Gabriel India limited U34101PN2001PLC015735 Whole Time Director Anfilco Limited U99999HR2001PLC034614 Director |
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Name : |
Mr. Deepak Chopra |
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Designation
: |
Director |
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Address: |
House no. 768, Anfilco Housing Colony, Palam Road,
Gurgaon-122016, Haryana |
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Date
of Birth/Age : |
25.12.1954 |
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Date
of Appointment : |
22.05.2002 |
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Name : |
Mr. Shyam Mulchand Chandani |
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Designation
: |
Director |
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Address
: |
B-1, Old
DLF Colony, Sunder Singh Marg, Gurgaon, Haryana |
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Date
of Appointment : |
31.10.1996 |
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Date
of Ceasing : |
15.09.2003 |
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Name : |
Mr. W. Krey |
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Designation
: |
Director |
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Address
: |
40191, Henkelstrasseb
67, Dusseldorf, Germany |
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Date
of Birth/Age : |
25.02.1941 |
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Date
of Appointment : |
11.02.1997 |
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Date
of Ceasing : |
11.12.2003 |
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Name : |
Mr. Peter Scherer |
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Designation
: |
Director |
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Address
: |
P O Box
No. 25790,Riyadh 11476 (Saudi Arabia) |
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Date
of Appointment : |
11.02.1997 |
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Date
of Ceasing : |
11.12.2003 |
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Name : |
Mr. David Oudot |
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Designation
: |
Director |
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Address
: |
Haug
Burte, Street 4, 69123, Heildelberg, Germany |
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Date
of Appointment : |
28.05.1997 |
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Name : |
Mr. Faruk Arig |
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Designation
: |
Director |
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Address
: |
N-19,
Jurang Port Road, Singapore 619093 |
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Date
of Birth/Age : |
08.12.1999 |
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Date
of Ceasing : |
11.12.2003 |
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Name : |
Mr. Aditya Narayan |
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Designation
: |
Director |
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Address: |
B-20/02,
DLF City-I, Gurgaon-122022, Haryana |
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Date
of Birth/Age : |
08.01.1952 |
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Date of
Appointment : |
15.09.2003 |
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Date
of Ceasing : |
24.08.2004 |
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Name : |
Mr. Griffin Bartholomen |
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Designation
: |
Director |
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Address: |
18/F
Island Place Tower, 510 Kings Road, North Point, Hong Kong |
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Date
of Birth/Age : |
28.05.1966 |
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Date
of Appointment : |
11.12.2003 |
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Name : |
Mr. David Minshaw |
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Designation
: |
Director |
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Address: |
Suite 2301, Parkside Pacific Place, 88 Queensway, Hong
Kong |
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Date
of Birth/Age : |
11.07.1946 |
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Date
of Appointment : |
11.12.2003 |
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Name : |
Mr. Steve Ellis |
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Designation
: |
Director |
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Address: |
18/F Island Place Tower, 510 Kings Road, North Point, Hong
Kong |
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Date
of Birth/Age : |
14.12.1956 |
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Date
of Appointment : |
11.12.2003 |
KEY EXECUTIVES
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Name : |
Mr. Arvind Walia |
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Designation
: |
Chief Operating Officer |
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Address
: |
C-222, Greater Kailash, Part I, Delhi – 110048,
India |
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Mobile
No. : |
91-9811067780 |
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Fax
No. |
91-11-26862644 |
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E-mail
: |
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Name : |
Mr. Sanjay Saraf |
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Designation
: |
General Manager – Operations |
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Address
: |
74, Industrial Development Colony, Mehrauli Road,
Gurgaon – 122001, Haryana |
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Tel.
No. : |
91-124-2321749/2321085 |
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Fax
No. : |
91-124-2321401 |
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E-mail
: |
sanjay.saraf@henkelindia.com |
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Name : |
Sanjeev Bhatia and Associates |
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Designation
: |
Company Secretary |
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Address
: |
E-406, Rail Vihar, Sector-15 II, Gurgaon, Haryana |
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Tel.
No. : |
91-124-2304628 |
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E-mail
: |
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Name : |
Mr. D. J. Rao |
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Designation
: |
Head of Operations |
MAJOR SHAREHOLDERS
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Names of Shareholders |
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No. of Shares |
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Henkel Kgaa, Germany |
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697735 |
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Asia Investment Private Limited |
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670368 |
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Mr. S. C. Patel |
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1 |
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Mr. K. N. Subramaniam |
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1 |
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Mr. Deepak Chopra |
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1 |
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Mr. P. S. Sharma |
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1 |
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Mr. K. P. Shrivastava |
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1 |
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Total |
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1368108 |
BUSINESS DETAILS
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Line
of Business : |
Manufacturing and exporting of adhesives, sealants and
surface coating products in technical and financial collaboration with Henkel
AG of Germany. |
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Products
with its Brands: |
·
Ride
Control-Gabriel Kayaba ·
Filtration-Purolator
·
Engine
Sealing-Perfect Circle, Victor ·
Drivetrain-Spicer
·
Car
Care Products-STP, Armor All ·
Climate
Control-Behr ·
Engine
Bearings-Federal-Mogul ·
Friction
Materials-Valeo ·
Sealants
and Coatings-Henkel Teroson ·
Synchroniser
Rings-Chang Yun ·
Exhaust-Arvin
·
Tools
and Dies-Dytek ·
Hydraulic
Brakes-Mando ·
Air
Brake Components-Haldex |
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Imports
from : |
Germany and other European countries. |
PRODUCTION STATUS
|
Particulars |
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Unit |
Installed Capacity |
Actual Production |
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Sealants
& Adhesives |
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Kgs Ltrs |
5100 |
3765 216 |
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Preformed
Parts |
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Mtrs. Nos. |
6300 |
3746 4722 |
GENERAL INFORMATION
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Customers
: |
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No. of
Employees : |
5000 |
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Bankers
: |
State
Bank of India, Gurgaon, Haryana, India Standard
Chartered Grindlays Bank Limited, Sansad Marg, New Delhi, India The Bank
of Nova Scotia, New Delhi, India Punjab
National Bank, Gurgaon, Haryana, India HDFC Bank Deutsche Bank
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Banking Relations : |
Satisfactory |
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Auditors
: |
Bharat S.
Raut & Company Chartered
Accountants, 4-B, DLF Corporate Park, DLF City, Phase – III, Gurgaon -
122001, Haryana, India |
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Tel.
No.: |
91-124-2549191 |
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Associates
: |
C
Anchemco
Limited C
Anfilco
Limited C
Perfect
Circle Victor Limited C
Gabriel
India Limited C
Purolator
India Limited C
Anand
Automobiles Limited C
Ansysco
Private Limited C
Asia
Investment Limited C
Asia
Automotive Limited C
Anand
and Anand Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
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2000000 |
Equity
Shares |
Rs. 10/- |
Rs. 20.000 millions |
Issued,
Subscribed & Paid-up Capital :
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No. of
Shares |
Type |
Value |
Amount |
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1368108 |
Equity
Shares |
Rs. 10/- |
Rs. 13.681 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES
OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
13.681 |
13.681 |
13.681 |
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2] Reserves & Surplus |
135.679 |
113.333 |
114.929 |
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NETWORTH
|
149.360 |
127.014 |
128.610 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
83.500 |
91.000 |
95.500 |
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TOTAL BORROWING
|
83.500 |
91.000 |
95.500 |
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DEFERRED
TAX LIABILITIES |
4.173 |
2.862 |
0.359 |
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TOTAL
|
237.033 |
220.876 |
224.469 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
138.476 |
90.653 |
60.275 |
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Capital work-in-progress |
6.299 |
6.315 |
36.011 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
109.682 |
100.133 |
74.310 |
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Sundry Debtors |
80.911 |
74.419 |
63.783 |
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Cash & Bank Balances |
7.802 |
2.447 |
4.234 |
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Loans & Advances |
52.531 |
43.326 |
59.788 |
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Total Current Assets |
250.926 |
220.325 |
202.115 |
||||
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Less: CURRENT LIABILITIES &
PROVISIONS |
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||||
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Current
Liabilities |
127.175
|
78.246 |
73.932 |
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||
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Provisions |
31.493
|
18.172 |
|
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||
Total Current Liabilities
|
158.668 |
96.418 |
73.932 |
||||
|
Net Current Assets |
92.258 |
123.907 |
128.183 |
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|
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|
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TOTAL
|
237.033 |
220.876 |
224.469 |
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PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales Turnover (including other income] |
683.658 |
606.505 |
410.618 |
|
|
|
|
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|
Profit/(Loss) Before Tax |
62.852 |
43.986 |
37.210 |
|
Provision for Taxation |
28.025 |
18.083 |
61.237 |
|
Profit/(Loss) After Tax |
34.827 |
25.903 |
24.027 |
|
|
|
|
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|
Export Value |
0.929 |
0.485 |
0.378 |
|
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|
|
|
|
Import Value |
NA |
6.928 |
7.246 |
|
|
|
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|
Total Expenditure
|
620.806 |
632.408 |
362.248 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
PAT / Total Income
|
(%)
|
5.09 |
4.27
|
5.85
|
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|
Net Profit Margin
(PBT/Sales) |
(%) |
9.19 |
60.86
|
9.06
|
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|
Return on Total Assets
(PBT/Total
Assets} |
(%) |
16.14 |
13.86
|
12.47
|
|
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|
|
|
Return on Investment (ROI)
(PBT/Networth) |
|
0.42 |
0.35
|
0.29
|
|
|
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|
Debt Equity Ratio
(Total
Liability/Networth) |
|
1.62 |
1.47
|
2.32
|
|
|
|
|
|
|
Current Ratio
(Current
Asset/Current Liability) |
|
1.58 |
2.28
|
2.73
|
LOCAL AGENCY FURTHER INFORMATION
PROFILE
'Henkel Teroson India Limited was established in 1996 at
Gurgaon (Haryana) in collaboration with Henkel Teroson GmbH, a wholly-owned
subsidiary of the US $ 16 billion Group Henkel KGaA, Germany. The Company has
also set up plants in Parwanoo (HP) and in Chennai. A supplier to all OEMs in
the automobile industry, the Company manufactures adhesives, sealants and
coatings. Certified for both ISO 9002 and QS 9000 quality standards, Henkel
Teroson India also has a Technical collaboration with Sunrise MSI, Japan.
BUSINESS
To carry on the business as manufacturers, producers,
purchasers, sellers, importers, exporters, distributors, dealers, commission
agents an market representatives of all kinds adhesives, sealants, coatings and
related products.
GROUP PROFILE
Anand is a leading manufacturer of automotive components and systems in
India. With a sales turnover of US $
326 million, it has the widest range of auto components, supplied to vehicle and
engine produced in the country.
In 1961, Mr Deep C Anand, Chairman of Anand Automotive Systems, founded
the Group’s company – ‘Gabriel India’ in Mumbai for the manufacture of shock
absorbers. Anand comprises nineteen companies spread in eight states of the
country. It has also built up a sizeable export market, currently about 13% of
the total sales of existing products, targeted to reach 30% in the next few
years.
Employing over 5000 people, Anand has 800 professionally qualified
Engineers, MBAs and CAs. It invests two per cent of its sales every year on
training and development programmes, conducted by its in-house technical and
management institute - Anand 'U'.
Anand also believes that excellence in technology is the key to future
growth. Anand Technology Services (ATS) in Bangalore is an essential step
towards realisation of this belief. The role of ATS is to upgrade the Group’s
technological competence to world-class levels, acquiring knowledge and skills
in cutting-edge disciplines, developing products, modules and processes, and
undertaking assignments in areas of IT, Engineering Services & Machine
Building/Design for collaborators and customers.
Its product
range includes :
Shock
Absorbers, Struts, Front Forks
Engine
Bearings
Piston
Rings, Castings
Gaskets
Automotive
Filters
Axles,
Driveshafts
Industrial
Filters
Car Care
Products, Coolants, Resins
Adhesives,
Sealants, Coatings
Synchronizer
Rings
Exhaust
Systems
Climate
Control
Hydraulic
Brakes
Air Brake
Components
Friction
Material
Tools &
Dies
Engineering
Services
Machine
Building and Vibration Monitoring Services
Water &
Environment Technologies
Anand Initiatives
Women
Empowerment
Concept of
Operating Engineers
Integration
of Managers with International Partners
Corporate
Governance
Overseas
Board/Review Meetings
Supervisory
Board in Place
Exports
Broadest
range of Auto Components in India
Anand
Technology Services established in 1995
Thirty Two
manufacturing locations in 8 states of India
Contact
Mr. Arvind
Walia (Chief Operating Officer)
74 Industrial Development Colony, Mehrauli Road, Gurgaon – 122001, Haryana,
India
E-mail : arvind.walia@henkelindia.com
Phone : 91-124-2321749, 2321085
Fax : 91-124-2321401
Mr. Sanjay Saraf (General Manager - Operations)
74 Industrial Development Colony, Mehrauli Road, Gurgaon – 122001, Haryana,
India
E-mail : sanjay.saraf@henkelindia.com
Phone : 91-124-2321749, 2321085
Fax : 91-124-2321401
It is in
Trade Terms with:
¶
A K
Enterprises India
¶
Anysysco
¶
Chandigardh
Zinc & Residues Private Limited
¶
Chemicals
and Industries
¶
Cinq
Micron Chem Private limited
¶
Gaurav
Enterprises
¶
Gupta
Drum Company
¶
Nagraj
Industries
¶
Navkar
Iron Store
¶
Oswal
Poly Rubbers
¶
Resinova
Chemie Limited
¶
Stick
Add Enterprises
¶ Time Packaging Limited
¶
Vee
Kay Industries
¶ Abhishek Poly Pack
Fixed
Assets:
¶
Leasehold
Land
¶
Leasehold
Buildings
¶
Plant
& Machinery
¶
Vehicles
¶
Office
Equipments
¶
Computers
¶
Furniture
¶
Goodwill
¶
Non
Compete
Review 2004-05
Overall the Indian Economy had a Robust Growth of 7% over
Previous Year while inflation was contained under 5%. Participating in this
growth, manufacturing as well as service sectors showed healthy growth rates of
8.3% & 8.9% respectively
The Automotive industry continued its momentum and exceeded
one million number of passenger cars production during the year 2004-05. the
buoyancy in this sector is considered to be sustainable over a long period,
resulting in all automotive manufacturers initiating programmes for capacity
augmentation as well as introduction of new models
Analysis of company
results for year 2004-05
Net
sales of the company at 535.4 Min exceeded previous year sales by 31.4% PBT at
62.2 Min was 29% more than previous year. this years growth came after two
successive high growth years for the company in which company grew at a CAGR of
35% from year 2001-02. the company was able to record this growth in excess of
the industry growth, because of introduction of new products specially in the
field of NVH products which now contributes 12% of the total net sales.
The company
continued its dominance in the market share at around 60%.
Relentless pressure from customers as well as competitors
saw unit sale prices coming down on one hand while raw material prices going up
very significantly during the year.
Innovative substitution and localization of raw materials
and balancing of product mix contributed to the company maintaining its
profitability
Facilities:
New facility for manufacturing of DGX at Parwanoo got fully
operational during the course of the year with all its initial teething
problems resolved. There has been a delay in getting customers approval for use
of local DGX. Approvals from customers are expected shortly.
Facility at Chennai is under construction. This facility
would add 3500 MTs of capacities of PVC and would also have facility to produce
preformed parts. This facility scheduled to be operational by Dec-05 would
cater to customers based in South India
The company had set up a facility at Pune for producing
parts with Terocore for a specific requirement of Tata Motors. However the Pune
facility is being put to alternate use for production of Radiator Coolants and
as service godown. The company is also planning to set up facilities for Wax
and preformed parts
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.44.13 |
|
UK Pound |
1 |
Rs.86.40 |
|
Euro |
1 |
Rs.56.99 |
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 |
|
|
|
--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/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 |