MIRA
INFORM REPORT
|
Report Date : |
17.02.2007 |
IDENTIFICATION
DETAILS
|
Name : |
UNIWORD
TELECOM LIMITED |
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Registered Office : |
H 58,
Himalaya House, Kasturba Gandhi Marg, New Delhi – 110001 |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
12.04.1993 |
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Com. Reg. No.: |
55-53022 |
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CIN No.: [Company
Identification No.] |
U33119DL1993PLC053022 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
DELU02606C |
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PAN No.: [Permanent
Account No.] |
AAACU5105D |
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Legal Form : |
A closely held public limited liability company. |
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Line of Business : |
Manufacturers and exporters of Telephones, PA [Public Address]
Systems and Energy Electric Meters [Digital]. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD
1000000 |
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Status : |
Satisfactory
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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 satisfactory track.
Directors are reported as experience and respectable businessmen. Trade
relations are reported as fair. Business is active. Payments are usually
correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
H 58,
Himalaya House, Kasturba Gandhi Marg, New Delhi – 110001, India |
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E-Mail : |
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Website : |
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Corporate
Office : |
F-18 & 19, Sector-8, Noida - 210301, Uttar Pradesh, India |
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Tel.
No.: |
91-120-2556691/2544924/2526033/2526052 |
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Fax
No.: |
91-120-2526035 |
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Factory
1 : |
F-18 & 19, Sector-8,
Noida - 210301, Uttar Pradesh, India |
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Tel.
No.: |
91-120-2556691/2544924/2526033/2526052 |
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Fax
No.: |
91-120-2526035 |
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Factory
2 : |
D-149, Sector 63, Phase III,
Noida - 201301, Uttar Pradesh, India |
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Tel.
No.: |
91-120-2401096/97/98 |
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Fax
No.: |
91-120-2401099 |
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Regional
Office : |
4,Vishwa Kutir Building , Shankar
Ghanekar Marg, Dadar (West),
Mumbai-400028 (Maharashtra) |
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Tel.
No.: |
91-22-65940947,32436334 |
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Fax
No.: |
91-22- 24363670 |
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Mobile
No. |
91-9322128338 |
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E-Mail
: |
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Branches
: |
Noida D-149, Sector-63, phase-III,
Electronic city Noida-201301, Distt Gautam Budha Nagar(UP), India Tel.: 91-120-2401096-98 E-mail: sales@uniwordtelecom.com Bangalore BRIGADE MM, B11/B5,3/1, New KR
Road Bangalore, Karnataka E-mail: utl@uniwordtelecom.com Secunderabad
Shop # 134 1st Floor , 10-3-189 &190 St
Johns Road, Opposite Secunderabad Rly. Station Complex,
Behind Hotel Ramakrishna, E-mail: utl@uniwordtelecom.com |
DIRECTORS
|
Name : |
Mr. Ashok B. Motha |
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Designation : |
Chairman and Managing Director |
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Address : |
B-353, New Friends Colony, New
Delhi, India |
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Date of Birth/Age : |
10.07.1949 |
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Qualification : |
B.Com, LLB |
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Date of Appointment : |
01.01.1994 |
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Name : |
Mr.
Aashish Mutha |
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Designation : |
Deputy Chairman and Executive Director |
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Name : |
Mr.
Abhishek Mutha |
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Designation : |
Executive Director |
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Address : |
B-353, New Friends Colony, New
Delhi, India |
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Date of Birth/Age : |
23.05.1977 |
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Date of Appointment : |
18.01.2002 |
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Name : |
Mr.
Suresh Mutha |
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Designation : |
Director |
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Name : |
Ms. Neha Motha |
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Designation : |
Director |
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Address : |
B-353, New Friends Colony, New
Delhi, India |
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Date of Birth/Age : |
12.03.1976 |
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Date of Appointment : |
18.01.2002 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
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No. of Shares |
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Mr. Suresh Mutha |
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35050 |
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Mrs. Usha Motha |
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159120 |
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Mr. Ashok Motha |
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478630 |
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Mrs.
Neela Mutha |
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29450 |
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Mr. S.
L. Chordia |
|
7500 |
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Kamla
Devi |
|
6000 |
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Mr.
Samim Ahmed |
|
3000 |
|
Motha Brothers Private Limited |
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305730 |
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Mrs.
Harhita Vyas |
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8750 |
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Om
Lata Jain |
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60000 |
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Suraj
Devi Mutha |
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2500 |
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Mr. Aashish Motha |
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208300 |
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Mr.
Abhishek Mutha |
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5330 |
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Pukhraj
Bafna |
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75950 |
|
Clive Fabrics Limited |
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190000 |
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Anju Chordia |
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67730 |
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Asia Telecom Private Limited |
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517000 |
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Vinay Mittal |
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3000 |
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Ashok Chordia |
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3300 |
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Rekha Jain |
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37800 |
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Ms. Neha Motha |
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200100 |
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Danson Chemicals Private Limited |
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250000 |
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Vandana
Singhvi |
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5000 |
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Taurus
Exports Private Limited |
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242000 |
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Ashok
Mutha – HUF |
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21800 |
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Suresh
Mutha – HUF |
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22500 |
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Karan
Mutha |
|
2900 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturers and exporters of Telephones, PA [Public Address]
Systems and Energy Electric Meters [Digital]. |
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Products : |
> STD/ISD/PCO
Monitor > Call Charger
Indicators > Telephone
Instruments |
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Exports to : |
PA Systems to UAE and African Countries |
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Imports from : |
M Peg Card, VCD, DVD and Mobile Phones from Hong Kong |
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Terms : |
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Selling : |
L/C [60/90 days] terms |
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Purchasing : |
L/C [60/90 days] terms |
PRODUCTION
STATUS
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Particulars |
Unit |
Installed Capacity |
Actual Production |
|
Telecom Equipments / Products |
Qty [In Pcs] |
180000 |
766045 |
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Sound Amplifiers / Products |
Qty [In Pcs] |
-- |
219658 |
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Others |
Qty [In Pcs] |
-- |
4525831 |
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Electronic Telecom Equipments |
Nos |
3000000 |
-- |
GENERAL
INFORMATION
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No. of Employees : |
About 200 |
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Bankers : |
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Facilities : |
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Banking Relations : |
Satisfactory
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Auditors : |
Dhamija
Sukhija and Company Chartered
Accountants 913-914,
Navrang House, 9th Floor, 21, Kasturba Gandhi Marg, New Delhi –
110001, India |
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Tel. No.: |
91-11-23325184
/ 23315549 / 23313243 |
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Subsidiaries : |
Mutha
Brothers Private Limited |
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Holding Company : |
Baffin
Engineering Projects Limited CIN
No. : L29199GJ1995PLC027455 |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
5100000 |
Equity Shares |
Rs.10/- each |
Rs. 51.000 Millions |
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Issued,
Subscribed & Paid-up Capital :
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No.
of Shares |
Type |
Value |
Amount |
|
5048440 |
Equity Shares |
Rs.10/- each |
Rs. 50.484 Millions |
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FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
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SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
50.484 |
31.484 |
29.484 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
240.586 |
123.143 |
92.569 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
291.070 |
154.627 |
122.053 |
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LOAN FUNDS |
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1] Secured Loans |
334.707 |
273.802 |
202.866 |
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2] Unsecured Loans |
36.459 |
24.665 |
19.582 |
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TOTAL BORROWING |
371.166 |
298.467 |
222.448 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
8.978 |
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TOTAL |
662.236 |
453.094 |
353.479 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
240.523 |
156.664 |
123.519 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
198.052
|
140.339 |
91.237 |
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Sundry Debtors |
499.103
|
240.088 |
157.580 |
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Cash & Bank Balances |
52.527
|
26.423 |
15.232 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
62.842
|
58.443 |
47.549 |
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Total Current Assets |
812.524
|
465.293 |
311.598 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
355.963
|
154.013 |
83.595 |
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Provisions |
37.925
|
16.318 |
-- |
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Total Current Liabilities |
393.888
|
170.331 |
83.595 |
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Net Current Assets |
418.636
|
294.962 |
228.003 |
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MISCELLANEOUS EXPENSES |
3.077 |
1.468 |
1.957 |
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TOTAL |
662.236 |
453.094 |
353.479 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
Sales Turnover [including other income] |
1659.420 |
978.846 |
589.903 |
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Profit/(Loss)
Before Tax |
58.861 |
37.253 |
31.940 |
|
Provision
for Taxation |
22.263 |
7.340 |
5.898 |
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Profit/(Loss)
After Tax |
36.598 |
29.913 |
26.042 |
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Export
Value |
282.101 |
239.507 |
40.000 |
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Import
Value |
274.461 |
30.588 |
NA |
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Total
Expenditure |
1600.559 |
941.593 |
557.362 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
31.03.2003 |
|
PAT / Total Income |
(%) |
2.21
|
3.06 |
4.41 |
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Net
Profit Margin (PBT/Sales) |
(%) |
3.55
|
3.81 |
5.41 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
5.59
|
5.99 |
7.34 |
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Return
on Investment (ROI) (PBT/Networth) |
|
0.20
|
0.24 |
0.26 |
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Debt
Equity Ratio (Total
Liability/Networth) |
|
2.63
|
3.03 |
2.51 |
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Current
Ratio (Current
Asset/Current Liability) |
|
2.06
|
2.73 |
3.73 |
LOCAL AGENCY
FURTHER INFORMATION
The company’s registered office
was shifted from B-353, New Friends Colony, New Delhi – 110065, India
to the present address.
Fixed Assets
- Land and Building
- Plant and Machinery
- Furniture and Fixture
- Computers and Software
- Office Equipments
- Air Conditioner
- Electrical Fittings
- Fire Fighting Equipments
- Vehicles
Business
To carry
on the business as manufacturers Traders, Distributors, Importers, Exporters,
assemblers, fabricators of land marketing in engineering, scientific,
mechanical, electrical, electronic thermal, sonic, ultrasonic, optical,
surgical and surveying equipments and instruments of all kinds and descriptions
including without limiting the generality of the foregoing radar equipment,
computers, electronic communication equipment, electronic control instruments
and basic components such as valves, transistors condensers, coils, magnetic
materials and microwave components, radiographs, telephone exchange system,
apparatus, accessories, public telephone exchanges system, exchanges including
frequency signalling equipment, private telephone systems inter communicating
system, telephone sets, railway telephone systems, train despatching system,
train and traffic controls, EPABX / FPBX, facsimile modems and associated
apparatus.
Rs in Millions
|
Segment Revenue |
Electronic Products |
Other Products |
Total |
|
Export
Market |
172.850 |
109.251 |
282.101 |
|
Indigenous
Market |
1358.044 |
0.765 |
1350.809 |
|
Total |
1530.894 |
110.016 |
1640.910 |
Bankers
Charges Report as per Registry
|
Name of the company |
UNIWORD TELECOM LIMITED |
|
Presented By |
Punjab National Bank |
|
1) Date and description of instrument creating the change |
31.08.2005
– Hypothecation of Goods and Book Debts to secure Cash Credit facility. Hypothecation
of Current Assets |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs.
55.000 Millions CC Stock Limited [Cc BD
Rs. 15.200 Millions, Packing Credit Rs. 10.000 Millions, ODD, OBD, FOUBP /
FABC / USANCE] Rs. 12.000 Millions |
|
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 imported raw materials, indigenous raw materials, stock in process,
finished goods, stores, spares, receivables, current assets etc. Pari
Passu Charges with other Banks : State
Bank of Hyderabad 19,
Surya Kiran Building, New Delhi – 110001 Oriental
Bank of Commerce Limited A-30-33,
Connaught Circus, New Delhi – 110001 Allahabad
Bank, 17 Parliament Street, New Delhi – 110001 The
Jammu and Kashmir Bank Limited G-40, Connaught Circus, New Delhi – 110001 State
Bank of Bikaner and Jaipur G-72,
Connaught Circus, New Delhi – 110001 |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Rate
of Interest @ 10.75 % Margin
Stock 25 % Stores
/ Spares 35 % Book
debts 40 % |
|
5) Name and Address and description of the person entitled to the charge. |
Punjab
National Bank M.C.B.
Barakhamba Road, New Delhi – 110001 |
|
6) Date and brief description of instrument modifying the charge |
Not
Applicable |
|
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. |
Not
Applicable |
AS PER WEBSITE
THE COMPANY
Founded in
1989, UTL is based in India with 2 production plants in the most strategic
locations including Noida city of Uttar Pradesh and Parwanoo city of Himachal
Pradesh. The 2 plants have a total production area of about 112,000 square feet
accommodating over 20 production lines with over 400 employees
UTL (Subsidiary of Baffin Engineering
Project Limited) has today transformed itself into a wide spectrum of
operational areas as follow: -
Design, manufacturing and marketing of products like
telecommunication equipments, public address systems, consumer electronics and
energy meters
Electronic Manufacturing Services (including Lead Free
Technology)
What Make UTL Unique?
The company
holds a prestigious certificate of ISO 9001:2000 issued by North America's leading
Management System Registrar QMI
The company is
an approved vendor for the Ministry of Defence and Telecommunication
The company has a technical tie-up with D.M.
Technology of South Africa
The products of
the company are even approved by the giant players in telecommunication field like Airtel, Hutch, Idea, Tata,
Actaris and MIDAS and they are pursuing strategic tie-up with them
The company has its registered office in Delhi and
business associates in other major cities like Mumbai, Hyderabad, Banglore and
Ahmedabad. They are also planning to have marketing setups in all metros
BUSINESS 
UTL is employed in the manufacturing of a wide
range of telecommunication equipments, public address systems, consumer
electronics and energy meter. Apart from this, the company is also involved in
EMS business, where it provides PCBA and complete product assembly services.
Business Module
Volume based manufacturing without retail involvement
Low fixed capital investment to scale down risk
profile of business
Flexibility in product mix to contain exit costs of
business
Business Imperatives
Low manufacturing costs
Lean management structure
Competitive finance costs
Business Products and Services Spectrum
Telecommunication Equipment
Public Address System
GSM
FCT
Radio Communication System
Home Appliances
Consumer Electronic
Energy Meter
PCBA Contract Manufacturing
Merchant Exporting
People – The Pillars of Success
UTL belief has always been that the pursuit for
excellence begins and ends with people. It is this fundamental recognition that
has created a work environment, which facilitates people to pursue goals that
enhance organizational performance while simultaneously fulfilling personal
needs of growth.
PRODUCT CATEGORY
Their corporate vision is to establish their selves among
the major players in the electronics industry. They aim to do so by providing
customers with cost effective products and EMS solutions arising from the
outsourcing of their manufacturing processes to them. As a result they have a
diversified product and service solutions for their customers. Basically their
products comprise of telecommunication equipments, public address systems, consumer
electronics and energy meter whereas their service includes providing PCBA and
complete product assembly services to both low and high-volume customers.
Product Categories
Public Address Systems – 65 Product
GSM Products – 3 Product
Payphone – 3 Product
Call Monitoring Machine – 1 Product
Corded Phones – 2 Product
OVERVIEW
UTL aspires to be one of the top Electronic Manufacturing Services (EMS)
provider in India. With modern manufacturing technologies, highly developed
production facilities and devoted management committed to customer
satisfaction, UTL delivers flexible, cost effective and high quality EMS
solutions for assembly of printed circuit board (PCB) and complete products
UTL owns a production plant located at Noida, India
spread over an area of 90,000 sq. feet, which is one among
the most strategic locations in India. Over 300 employees - engineers,
technicians, production planners and line workers - make sure that the targeted
output is met keeping in mind that meeting customer’s requirements is their
priority. With existing production lines, their current annual production
capacity accounts for 6 million assemblies per annum
UTL is committed in providing the finest service to
its customers. As a result, UTL has been able to bag PCBA projects from
companies in India like MIDAS, HAVELLS, ONIDA, BHARTI, FUTEC, DIXON,
T-SERIES, HOT LINE, KINGER, SUKAM, and SHYAM. With consistent and high
quality EMS solutions, UTL strongly believes in building long-term partnership
with its current customers and attracting new ones
MANUFACTURING SERVICES
UTL offers Electronic Manufacturing Services (EMS) and
Electronics Contract Manufacturing (ECM) to Original Equipment Manufacturers (OEMs)
of telecommunications, consumer electronics and energy meter. They provide PCBA
and complete product assembly services to both low and high-volume customers
Their range of services in electronic assembly
includes development, purchasing, manufacturing, box-build assemblies and
packaging. As a provider of EMS, their
services are not limited to those of a typical contract manufacturer. They work
closely with customers throughout their product development and manufacturing
processes sequentially to increase these processes plus the reliability of
their products. In this respect, they make available the following value-added
services: - Sourcing, Development, Engineering, Production, Testing, Quality
assurance, Logistics, Shipping.
All state of the art production technologies are
available. Surface Mount Devices (SMD) or leaded components are mounted
automatically or by hand.
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.44.20 |
|
UK
Pound |
1 |
Rs.86.28 |
|
Euro |
1 |
Rs.58.22 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
53 |
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 |
|
NR |
In view of the lack of information, we
have no basis upon which to recommend credit dealings |
No Rating |
|