MIRA INFORM REPORT
|
Report
Date : |
05.02.2007 |
IDENTIFICATION
DETAILS
|
Name : |
SHITAL
FIBRES LIMITED |
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Registered
Office : |
A-17, Focal Point Extn.,
Jalandhar-144009, Punjab |
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Country
: |
India |
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Financials
(as on) : |
31.03.2006 |
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Date
of Incorporation : |
14.05.1993 |
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Com.
Reg. No.: |
16-13335 |
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CIN
No.: [Company
Identification No.] |
L17219PB1993PLC013335 |
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TAN
No.: [Tax
Deduction & Collection Account No.] |
JLDS01021G |
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|
Legal
Form : |
Closely
Held Public Limited Liability Company |
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Line
of Business : |
Manufacturers of Carpets and Blankets |
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
1750000 |
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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 and reputed company having
fine track. Available information indicates high financial responsibility of
the company and its management. Trade relations are fair. Payments are
correct and as per commitments. The company can be considered normal for business dealings
at usual trade terms and conditions. |
LOCATIONS
|
Registered
Office :` |
A-17, Focal Point Extn.,
Jalandhar-144001, Punjab, India |
|
Tel.
No.: |
91-181-2292047/2298663/2603001
to 4 |
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Fax
No.: |
91-181-2600011/2290001 |
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Email
: |
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Website
: |
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Area : |
5600 yards (owned) |
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Factory
1 : |
A-17,
Focal Point Ext. Jalandhar-144009, Punjab, India |
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Tel.
No.: |
91-181-2296011/2292827 |
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Fax
No.: |
91-181-2292047 |
DIRECTORS
|
Name : |
Mr. Basant Parkash Vij |
|
Designation
: |
Director |
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Address
: |
S-8, Industrial Area, Jalandhar– 144001, Punjab, India |
|
Date
of Appointment : |
14.05.1993 |
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|
|
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Name : |
Mr. Shital Vij |
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Designation
: |
Director |
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Address
: |
S-8, Industrial Area, Jalandhar– 144001, Punjab, India |
|
Date
of Appointment : |
14.05.1993 |
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|
|
|
Name : |
Mr. Shitesh Vij |
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Designation
: |
Director |
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Address
: |
S-8, Industrial Area, Jalandhar– 144001, Punjab, India |
|
Date
of Appointment : |
31.01.2002 |
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|
|
|
Name : |
Ruchi Vij |
|
Designation
: |
Director |
|
Address
: |
S 9, Industrial Area, Jalandhar – 144001, Punjab, India |
|
Date
of Birth/Age : |
28.07.1983 |
|
Date
of Appointment : |
15.11.2006 |
KEY EXECUTIVES
|
Name : |
Ms.
Sunita Lall |
|
Designation
: |
Company
Secretary |
|
Address
: |
House No.
3110, Sector 47-D, Chandigarh |
MAJOR SHAREHOLDERS
|
Names of Shareholders |
No. of Shares |
|
Shital K.
Vij |
1034400 |
|
Vani Vij |
210100 |
|
Basant
Parkash Vij |
5100 |
|
Surinder
Jain |
10000 |
|
Sonu
Dhanda |
10000 |
|
R. K.
Bansal |
10000 |
|
Juhi Jain
|
5000 |
|
Parkash
Kumar |
20000 |
|
Kailash
Kapoor |
5000 |
|
Pardeep
Kumar |
10000 |
|
Ravi
Parash |
50300 |
BUSINESS DETAILS
|
Line
of Business : |
Manufacturers of Carpets and Blankets |
|
|
|
|
Agencies
Held : |
Ø
Aytans
Manufacturing Company, U.K. Limited Ø
Banwait
Brothers and Company, U.K. |
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|
|
|
Exports
to : |
U.K.,
Germany and France |
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|
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Imports
from : |
The Netherlands, U.K. and Spain |
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|
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Terms
: |
|
|
Selling : |
L/C, Cash or Credit (90 days) |
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|
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Purchasing : |
L/C, Cash or Credit (60 days) |
PRODUCTION STATUS
|
Particulars |
Unit |
|
Licensed Capacity |
|
|
|
|
|
|
|
|
Mink
Blankets and Spreads |
PCS. |
|
|
6,000,000 |
GENERAL INFORMATION
|
Suppliers
: |
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Customers
: |
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No. of
Employees : |
410 |
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|
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Bankers
: |
Ø
Punjab
National Bank, Industrial Area, Jalandhar, Punjab, India |
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|
|
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Facilities : |
Credit limit of Rs. 25.000 millions |
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|
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Banking Relations : |
Good |
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|
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Auditors
: |
Koul Vijh
and Associates Chartered
Accountant |
|
Address: |
30
Prakash Nagar, Model Town, Jalandhar-144001, Punjab, India |
|
Tel.
No.: |
91-181-2270582 |
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|
|
|
Associates/Subsidiaries
: |
Ø
Shital
Exports, Jalandhar, Punjab, India Ø
Shital
Spinning Mills Private Limited, Jalandhar, Punjab, India |
CAPITAL STRUCTURE
Authorised
Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
1,500,000 |
Equity Shares |
Rs.10/- each |
Rs. 15.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No. of
Shares |
Type |
Value |
Amount |
|
1,375,000 |
Equity Shares |
Rs.10/- each |
Rs. 13.750 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 |
13.750 |
13.750 |
13.750 |
|
|
2] Share
Application Money |
0.000 |
0.000 |
0.000 |
|
|
3]
Reserves & Surplus |
432.861 |
423.691 |
412.508 |
|
|
4]
(Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
NETWORTH
|
446.611 |
437.441 |
426.258 |
|
|
LOAN
FUNDS |
|
|
|
|
|
1]
Secured Loans |
30.728 |
47.301 |
50.359 |
|
|
2]
Unsecured Loans |
12.361 |
14.596 |
7.944 |
|
TOTAL
BORROWING
|
43.089 |
61.897 |
58.303 |
|
|
DEFERRED
TAX LIABILITIES |
25.993 |
30.020 |
30.563 |
|
|
|
|
|
|
|
TOTAL
|
515.693 |
529.358 |
515.124 |
|
|
|
|
|
|
|
APPLICATION OF FUNDS
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block]
|
233.540 |
258.953 |
274.406 |
|
Capital work-in-progress
|
0.797 |
0.386 |
0.000 |
|
|
|
|
|
|
|
INVESTMENT
|
13.726 |
13.726 |
13.726 |
|
DEFERREX TAX ASSETS
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES
|
|
|
|
|
|
|
Inventories
|
110.705
|
165.964
|
168.409
|
|
|
Sundry Debtors
|
233.659
|
201.601
|
125.888
|
|
|
Cash & Bank Balances
|
47.010
|
28.146
|
52.847
|
|
|
Other Current Assets
|
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances
|
91.178
|
112.428
|
95.897
|
Total Current Assets
|
482.552 |
508.139 |
443.041 |
|
Less : CURRENT LIABILITIES & PROVISIONS
|
|
|
|
|
|
|
Current Liabilities
|
214.922
|
251.846
|
216.049
|
|
|
Provisions
|
|
|
0.000
|
Total Current Liabilities
|
214.922
|
251.846
|
216.049 |
|
Net
Current Assets
|
267.630 |
256.293 |
226.992 |
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES
|
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
TOTAL
|
515.693 |
529.358 |
515.124 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
Sales Turnover [including other income]
|
1060.303 |
937.418 |
608.683 |
|
|
|
|
|
Profit/(Loss) Before Tax
|
16.417 |
19.127 |
27.065 |
Provision for Taxation
|
NA |
5.738 |
3.308 |
Profit/(Loss) After Tax
|
NA |
13.389 |
23.757 |
|
|
|
|
|
Export Value
|
226.150 |
279.998 |
350.025 |
|
|
|
|
|
Import Value
|
NA |
382.714 |
260.373 |
|
|
|
|
|
Total Expenditure
|
1043.886 |
918.291 |
581.618 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
NA |
1.43 |
3.90 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.55
|
2.04 |
4.45 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.29
|
2.49 |
3.77 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.04
|
0.04 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.58
|
0.72 |
0.64 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.25
|
2.02 |
2.05 |
LOCAL AGENCY FURTHER INFORMATION
The company’s fixed assets of important values includes land
and building, plant and machinery, electrical equipments, vehicles, furniture
and fixtures.
Performance and
Prospectus
The company has gained quality brand image name in the
international market. This attributed to establishing its product name in
Europe, Middle East and South-East Asian Countries. The company had total
turnover of Rs. 931.004 Millions for the year ended 31.03.2005. The efforts of
the company are to explore the US market and other European countries, which
will be possible as their products are offered in competition with other
manufacturers and are of quality acceptable in the international market the
company will also be intensively pursuing various cost controls and cost
reduction measures so that profitability in further improves. The company is
gearing itself to play leadership role in this part of the country by enhancing
production capacities and delivering goods of international standards. With
this, the company is well potsed to achieve further growth in the near future
both in quantitative and value terms. In the light of the above the directors
are confidence of showing encouraging results in the year 2004-05.
Quality
The company believes in producing high quality products.
Therefore all essential internal control measures are implemented and improved
from time to time.
HRD, Activities and
Industrial Relations
The company felt that human beings are the most important
resources and that the growth of the business and its people go together.
Inspired by this belief systematically with the objective of delivering and
maintaining a healthy and productive organizational culture where the employees
realize their full potential. Industrial relations have remained cordial last
year. The directors acknowledge the active participation commitment and
dedication of employees at all levels.
Finance
The company’s financing needs were adequately met despite
tight market and inflationary conditions during the year under report.
TRADE REFERENCE:
- Duke
Blankets & Breeding Limited
- Esskay
Ind.
- S.
K. Import Limited
Website Details Attached:
Group
Shital group of companies was
established in the year 1971. They started its operation with a small venture
involved in the production of fur lining, fabric and other textile items. After
that their company has diverted into manufacturing and export of Acrylic mink blankets,
lightweight carpets, fur lining fabric and furnishing fabric.
Shital Group of companies comprises
of four companies with its administrative offices at S-9 Industrial Area and
A-17 Focal Point Ext.
- Shital
International
- Omega
Hosiery Mills
- Shital
Exports
- Shital
Fibres
Shital International is located in Industrial Area,
Jalandhar.It was established with the concept of manufacturing of fur lining
fabric with most modern and imported machinery.
Omega Hosiery Mills is located in Industrial Area,
Jalandhar.This unit manufacturers Knitted fabric, various type of woven and
non-woven fabric.
Shital Export is located at Focal Point
Extension, Jalandhar. This unit is manufacturing Velboa, Boa, Vonnel, Hipile,
Velour and different other types of value Added fabrics in Jacquard print etc.
Shital Fibres Limited is located at Focal Point
Jalandhar.Shital Fibres limited was incorporated in 1992 to manufacture acrylic
mink blankets. This unit is first unit of its own kind in India with the latest
sophisticated and computerized technology. They have technical collaboration
with Sucker+Muller GMBH, Germany. It's a 100% export oriented unit, exporting
to almost all the countries of the world which consists mainly Middle East,
South East Asia, European Union ,UK ,Latin America,Africa,Australia, New
Zealand,, USA and Canada. This company has its own in-house arrangements for
the spinning of acrylic yarn to be used for making mink blankets. Apart from
that they have a very strong R&D team who is continuously working on developing
new products and also conducting regularly different quality tests at each and
every manufacturing process. They also have very professional CAD/CAM and
designing team who is working day and night for the development of new designs
of mink blanket.
Their company is the largest manufacturer of mink blankets
in South East Asia .The fastest growth of this company is the result of more
than 2000 highly qualified and dedicated employees. Apart from that, under the
dynamic leadership and vision of their CMD, Mr. Shital K Vij, the group has
earned fastest growth and good reputation in the global market.
Brands:
Shilon - Mink Blankets
A well known name in international market , mainly renowned
for its color schemes, exclusive designs and special kind of furnishing.
Eskimo - Mink Blankets
Top brand of mink blankets in Indian market.
This is 'The Only Choice of New Generation' due to its cozy,
comfortable and eco-friendly properties.
Royal Excel Gold- Mink Blankets
Another highly in demand brand of Indian market known for
supersoftness of the blankets.
KING ESKIMO - Mink Blankets
A revolution in the world of two ply blankets. Consist of
different range of weight and color.
Shilon - Acrylic Carpets
Light weight acrylic carpets, blend of traditional and
modern designs.
'First Choice of Any Generation'
Shital Luxury - Polar
Fleece Plain Blankets
A family of Light weight Polar Fleece Plain Blankets.
A Brand known to offer the widest range of colors with a luxurious cozy
softness
'Luxury in a class of its own'
Excell Kids - Polar Fleece Blankets
Light Weight Polar Fleece Blankets
specially designed for kids. Range consist of Special themes of cartoons and
animal characters to make it a joyful experience.
Shital Kids - Baby Quilts
Top brand of Indian market for baby blankets and baby wraps.
Multipurpose educative and informative products which are totally play safe due
to their anti fungal, antibacterial & anti- allergic properties.
Shilon Mink Classic
The Soft and Sensuous range to cover yourself in luxury.
Range consist of Bed Spread Sets, exceptionally realistic Rugs , high quality
Fur Throws and Cushions for complete home decor. Products offering all of the
luxury and no guilt of real fur.
Quality:
Started with the establishment of
fur lining and garments just 2 decades ago, the company has now diversified
into the manufacturing and export of fur lining, textiles, acrylic mink
blankets, carpets etc.
Shital Fibres has been successful to get recognition for SFL
products globally in a short span of time. This has been possible only because
of their sustained highest standard of quality, product, design and packaging.
Their technological capabilities and strict quality measures ensure highest
quality products and customer appreciation.
Some of their strengths that ensure quality:
- One of the biggest manufacture of Mink product in
the world.
- 100% testing with latest research and development
facilities managed by highly experienced and dedicated staff.
- Complete finishing line with latest sophisticated
equipments from Sucker + Muller Gmbh Germany.
- Complete inhouse manufacturing from Acrylic yarn
to blankets.
- Strict inspection procedure from incoming of raw
material to finished product.
- High quality designing, printing and processing
units are well equipped with modern computerized machinery.
- An ISO 9002 company, certified by DNV-Netherlands
Awards:
Company is
regularly recieving export awards from Ministry of Commerce (The Synthetic and
Rayon Textile Export Promotion Council) Govt of India for excellence since last
five years. Also winner of international quality submit award 2001 in New York,
USA.
News:
- On July 12 2001,Shital fibres limited
receives the fifteenth International Quality Summit Award in
New York, the purpose of which is to recognize companies of different
sectors and activities, from all over the world in their commitment to
leadership, technology and innovation.
- Shital
Fibres participated in the following fairs
Hemitextil 2003, Germany and
Domotex, Hanover
- Shital
Fibres will be participating in the following fair :
Spielwarenmesse
International toy fair
Nurnberg
30th Jan -4th Feb 2003
Hall number : 12.0
Stand No. G.43
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. 44.13 |
|
UK Pound |
1 |
Rs. 86.40 |
|
Euro |
1 |
Rs. 56.99 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP
CAPITAL |
1~10 |
6 |
|
OPERATING
SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS
SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER
MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
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 |
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 |