MIRA
INFORM REPORT
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Report Date : |
13.01.2007 |
IDENTIFICATION
DETAILS
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Name : |
RAHMAN EXPORTS PRIVATE LIMITED |
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Registered Office : |
184/167, Wajidpur, Jajmau, Kanpur
– 208 010, Uttar Pradesh |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
24.12.1991 |
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Com. Reg. No.: |
20-13871 |
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CIN No.: [Company
Identification No.] |
U19111UP1991PTC013871 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
KNPR01517F |
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PAN No.: [Permanent
Account No.] |
AAACR6862N |
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Legal Form : |
Private Limited Liability Company. |
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Line of Business : |
Manufacturing and Exporting of Finished Leather, Shoe Uppers and
Shoes. |
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
2250000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and family owned company engaged in
the business as manufacturers and exporters of finished leather, hides and
shoe uppers. The company is also trading in Leather Chemicals and Textiles.
Though there has been increased turnover, there was no corresponding increase
in its profits. Financial position is good. Trade relations are reported as
fair. Directors are resourceful businessmen. Payments are reported as slow
but correct. The company can be considered normal for business dealings at
usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
184/167, Wajidpur, Jajmau, Kanpur
– 208 010, Uttar Pradesh, India |
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Tel. No.: |
91-512-2462118 / 2462191 |
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Fax No.: |
91-512-2465715 / 2464357 |
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E-Mail : |
repl@sancharnet.in
repl@rahman-group.com
info@rahman-group.com |
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Website : |
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Area : |
2.5 acres |
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Location : |
Owned |
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Factory
1 : |
Tannery Division Allah Dad Tannery Tel No. : 91-512-2460063,24666072 Sheep & Goat Tannery Division Allah Dad Banthar Upholstery Division Allah Dad Tannery PU Footwear Division Unnao Unit: Site No. III, UPSIDC Industrial Area, Akrampur Chakrampur,
Unnao. India. Kanpur Unit: Vulcanizing Footwear Division Rahman Exports – Vulcanizing Unit Upper Division Unnao Unit: Kanpur Unit: Casual footwear, Sandal & Slipper Division Kanpur Unit: Unnao Unit: Akrampur Chakrampur Industrial Area, Unnao – 209801, India. Equestarian Division A.T.O. Exims Private Limited |
DIRECTORS
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Name : |
Mr. Nadeem Fazlur Rehman |
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Designation : |
Director |
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Address : |
39/39, Maida Bazar, Meston
Road, Kanpur - 208 001, Uttar Pradesh |
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Date of Birth/Age : |
26.11.1957 |
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Qualification : |
B. Tech. Leather Technology |
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Experience : |
25 Years |
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Date of Appointment : |
24.12.1991 |
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Name : |
Mr. Fazlur Abdul Rehman |
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Designation : |
Director |
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Address : |
39/39, Maida Bazar, Meston
Road, Kanpur - 208 001, Uttar Pradesh |
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Date of Birth/Age : |
18.05.1932 |
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Qualification : |
M.A. LLB |
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Experience : |
55 Years |
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Date of Appointment : |
15.01.1996 |
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Name : |
Mr. Kamran Fazlur Rehmanc |
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Designation : |
Director |
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Address : |
39/39, Maida Bazar, Meston Road, Kanpur - 208 001, Uttar Pradesh |
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Date of Birth/Age : |
14.03.1963 |
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Qualification : |
B. Com. |
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Experience : |
18 Years |
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Date of Appointment : |
24.04.1995 |
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Name : |
Mr. M. U. Razi |
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Designation : |
Director |
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Address : |
Q-P-5/2, Padam Apartments,
Civil Lines, Kanpur – 208 001, Uttar Pradesh |
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Date of Birth/Age : |
10.04.1957 |
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Date of Appointment : |
13.11.2000 |
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Name : |
Mr.
Hammad Rahman |
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Designation : |
Director
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Address : |
63,
Cantt, Kanpur, Uttar Pradesh |
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Date of Birth/Age : |
30.11.1984 |
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Date of Appointment : |
01.06.2004 |
MAJOR SHAREHOLDERS
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Names
of Shareholders |
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No. of Shares |
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Mr. Nadeem Fazlur Rehman |
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14,00,000 |
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Mrs. Sameena Rehman |
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2,00,000 |
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Mrs. Heena Rehman |
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2,00,000 |
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Mrs. Sultanjaha Rehman |
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2,00,000 |
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Mr. Fazlur Abdul Rehman |
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14,00,000 |
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Mr. Kamran Fazlur Rehman |
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14,00,000 |
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Mr.
Hammad Rahman |
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1200 |
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Edaad
Rahman |
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1200 |
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Yushra
Rahman |
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1200 |
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Imran
Rahman |
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1200 |
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Esra
Rahman |
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1200 |
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Total
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4806000 |
BUSINESS DETAILS
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Line of Business : |
Manufacturing and Exporting of Finished Leather, Shoe Uppers and
Shoes. |
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Products : |
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Exports to : |
UK, Germany, France and Belgium [Finished Leather] |
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Imports from : |
Germany and U.K. [Machinery And Chemicals] |
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Terms : |
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Selling : |
L/C or Credit (30 days) terms |
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Purchasing : |
L/C, Credit or CAD terms |
PRODUCTION
STATUS
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Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
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Leather |
Pairs |
-- |
1320000 |
980133 |
GENERAL
INFORMATION
|
Suppliers : |
v
Allah
– dad Tannery v
Avadh
Engines and Machine Private Limited v
Excel
Packagers v
Gaurav
Trades v
Jasch
Marketing v
Mini
Packagers v
National
Enterprises v
R.
K. Supply Company v
Narmada
Fabrics v
Pack
Tek v
R.
K. Traders v
Sheela
Foam v
Taraknath
Engineering Works Supply Company v
Rolex
Graphics v
Twin
Star Engineering Works v
Unifab
Industries v
Ummed
Agencies v
Ajanta
Lables v
Atlas
Copco v
Gaurav
Traders v
Guari
Graphics v
Huntsman
Int. Private Limtied v
Parvati
Chemicals v
Sanghavi
Shoes v
Sun
Foot Wear v
Universal
Engineering Works v
Khanna
Polyrib |
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Customers : |
Wholesalers And End Users v
Safetix,
France v
Sadaf
Enterprises Private Limited v
Allah
Dad Tannery |
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No. of Employees : |
430 |
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Bankers : |
State Bank of India Overseas Branch, 15/54-B, Civil Lines, Virendra Smriti Complex,
Civil Court Road, Jajmau, Kanpur – 208 001, Uttar Pradesh |
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Facilities : |
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Banking Relations : |
Satisfactory
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Auditors : |
Prakash & Santosh Associates Chartered Accountants Kanpur, Uttar Pradesh |
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Associates/Subsidiaries : |
v
Safetix
[France] v
Safetix
UAE v
Eahmco
SRL Leather on Line Limited v
ATO
Exims Private Limited v
Allahdad
Tannery v
Sadaf
Enterprises Private Limited v
Jaabaaz
Security Services v
Safetix
SARL v
Rahmco
SRL v
Leather
Online Limited |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
5,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
4,806,000 |
Equity Shares |
Rs. 10/- each |
Rs. 48.060 millions |
FINANCIAL DATA
[all figures are in Rupees
Millions]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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48.060 |
48.060 |
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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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544.937 |
483.677 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
|
592.997 |
531.737 |
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LOAN FUNDS |
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1] Secured Loans |
|
178.820 |
128.228 |
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2] Unsecured Loans |
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2.050 |
2.050 |
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TOTAL BORROWING |
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180.870 |
130.278 |
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DEFERRED TAX LIABILITIES |
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16.850 |
12.900 |
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TOTAL |
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790.717 |
674.915 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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241.570 |
228.163 |
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Capital work-in-progress |
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20.257 |
8.879 |
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INVESTMENT |
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74.094 |
61.404 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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292.376 |
226.199 |
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Sundry Debtors |
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176.529 |
194.508 |
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Cash & Bank Balances |
|
[0.469] |
7.259 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
|
105.696 |
81.809 |
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Total Current Assets |
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574.132 |
509.775 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
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95.720 |
90.405 |
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Provisions |
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23.696 |
43.001 |
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Total Current Liabilities |
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119.416 |
133.406 |
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Net Current Assets |
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454.716 |
376.369 |
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MISCELLANEOUS EXPENSES |
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0.080 |
0.100 |
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TOTAL |
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790.717 |
674.915 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
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Sales Turnover [including other income] |
|
1011.135 |
974.107 |
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Profit/(Loss)
Before Tax |
|
90.165 |
98.663 |
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Provision
for Taxation |
|
30.742 |
21.124 |
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Profit/(Loss)
After Tax |
|
59.423 |
77.539 |
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Export
Value |
|
905.837 |
881.438 |
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Import
Value |
|
208.902 |
291.513 |
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Total
Expenditure |
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920.970 |
875.445 |
KEY
RATIOS
|
PARTICULARS |
|
|
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
|
5.88 |
7.96 |
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Net
Profit Margin (PBT/Sales) |
(%) |
|
8.92 |
1.13 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
|
11.05 |
13.37 |
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Return
on Investment (ROI) (PBT/Networth) |
|
|
0.15 |
0.19 |
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Debt Equity
Ratio (Total
Liability/Networth) |
|
|
0.51 |
0.50 |
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Current
Ratio (Current
Asset/Current Liability) |
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|
4.80 |
3.82 |
LOCAL AGENCY
FURTHER INFORMATION
Fixed Assets
v
Land and Land Development
v
Buildings
v
Plant and Machinery
v
Furniture and Fixture
v
Motor Vehicles
v
Computers
It is in trade terms with :-
v
Galiath Footwear Company
v
King Shoe Manufacturing Pte. Limited
v
Crescent Tanners Private Limited
v
Mark Leathers Private Limited
Working Operation
The company has achieved a turnover of Rs. 940.619 Millions
approx. in comparison to the last year of Rs. 930.115 Millions approx. The
profit of the year of the company is Rs. 59.423 Millions as compared to the
last years profit of Rs. 77.539 Millions
Ongoing expansion has been
financed from internal Accruals and promoters.
The company had formed a subsidiary at Italy in the name of RAHMCO
SRL for the direct marketing of leather products.
The Board proposes to continue its drive of expansion after
analysing the cost and benefit and SWOT analysis.
Future Prospects
The company has focused on maintaining a sound position in the
Leather Industry through customer responsiveness and appropriate technology
solution from time to time.
The future prospects of the company is bright barring unforeseen
circumstances and the company to
maintain upward trend by making constant towards betterment. However the
international market is facing extreme pressure from Chinese manufacturers
coupled with heavy fluctuation in EURO Currency.
Subsidiaries and Joint ventures
The company has four wholly – owned subsidiaries namely Safetix
SARL [France], Safetix [Mid-East] UAE, Rahman Corporation Limited and RAHMCO
SRL [Italy]. As required u/s 212 of the Companies Act, 1956 and Financial
Statements of Safetix SARL [France] , Safetix [Mid-East] UAE, Rahman
Corporation Limited are form part of Annual Report of the company. The
financial statements and RAHMCO SRL [Italy] have not been made as it being the
first financial year of the subsidiary.
Management Discussion and Analysis Report
Company Overview
The company is engaged in manufacturing Safety and Industrial
footwear. It had formed a subsidiary company at France namely SARL Safetix, and
at UAE namely Safetix [Mid-East] UAE for the purpose of direct marketing of
safety of safety products and at Italy namely Rahmco SRL for the purpose of
marketing and processing or raw and finished hides. The company is complying
with the quality standards of many countries like Australia, Europe etc.
The company had opened a marketing division at New Delhi for
promotion of its shoes in local market. The company has proposed to promote its
business in local market under a brand name of the company.
The company has focused on maintaining a sound position in the
leather Industry through customer responsiveness and appropriate technology
solution from time to time.
The company has also emphasis to accomplish higher level of
excellence to better serve its customers.
Industry structure and development
The leather industry witnessed a significant growth in the past
years. The company is in the process of amalgamating two companies namely
Rahman Corporation Limited and Nadkan Exports India Private Limited with its
u/s 391 & 394 of the companies act. 1956. The scheme of amalgamation for
merger of both the companies with Rahman Exports Private Limited had been
approved by the Honble High Court, Allahabad and a provisional order dated
24.12.2005 had been issued with a conditions that the formal order will be
issued at the earliest.
Opportunities and Threats
In the liberalized economic environment the company faces
challenges form domestic and international competitors in the market place.
However it is expected that the improved business strategies and globally
competitive cost positions will enable the company to maintain the operating
margins and successfully compete in the market.
Contingent Liability
Bills discounted with the
company’s Bankers Rs. 116.694 Millions
Letter of credit with the
company’s Bankers Rs. 0.598 Millions
Bank Guarantee Rs. 0.755
Millions
The scheme of Amalgamation of Rahman Corporation Limited and
Nadkam Exports India Private Limited with Rahman Exports Private Limited has
been approved by the shareholders and creditors meetings of the company pursuant
to order / direction of honorable Allahabad High Court. The scheme shall
operate w.e.f. 01.04.2003 on becoming effective on Sanction / approved of
honourable High Court subject to such condition as may be imposed by Honourable
Allahabad High Court. The approval / sanction u/s 391 read with sec 394 of
companies act is awaited.
Safety Footwear – DV Rubber SOLE
FOOTWEAR Division
This Division was established in 1998 for
producing Direct Vulcanised Rubber SOLE Safety / ARMY Footwear.
During the span of EIGHT year the division has
multiplied its size, capacity and product range. With installed capacity for
producing 100,000 pairs/month on various products, the unit is capable of
producing Goodyear Welted Footwear AND Direct Vulcanized Rubber SOLE Safety &
Military Footwear to the international norms. Never compromising with the
quality, the unit has opted the best infrastructure resources.
Infrastructure
Total Area in factory 20000 Sq. ft. total area & 9000
sq. ft covered area.
Capacity
100,000 pairs / month.
Products
Dv Nitrile Rubber Sole
and Goodyear Welted Safety / Army Footwear
Quality Standards
ISO 9001-2000 unit with certifications from AS/NZS & EN
standards.
Safety
Footwear – PU Division
This Division was established in 1999 for producing Dual
Density Pu Safety Footwear. First Of Its Kind In India.
During the span of Seven year the division has multiplied its size, capacity
and product range. WITH 6 PU Direct Injection Desma Machines, THE
Installed capacity Is Of 250,000 pairs/month Is The Biggest In India.
Infrastructure
Total area in factory 20000 Sq. ft. total area & 12000
sq. ft covered area.
SIX Desma Direct Injection PU Machines & all OTHER required machinery,
Capacity
250,000 pairs / month.
Products
Single / Dual Density PU/PU AND PU/Rubber,
Quality Standards
ISO 9001-2000 unit with certifications from EN AND AS/NZS
standards.
Upper Division
This division was established in 1993. During the span of thirteen year the
division has multiplied its size, capacity and product range. With our
installed capacity for producing 200000+ pairs/month on various varieties.
Never compromising with the quality, the unit has opted for the best
infrastructure resources, having most advanced machines.
Infrastructure
22,000 sq. ft. carpet area & 10,000 sq. ft. open area with Modern Machinery.
Capacity
210000 pairs per month,
Products
Upper for Safety,
Army And Fire Fighter Shoes / Boots.
Quality Standards
ISO 9001:2000 with certification from EUROPEAN & Australian
standards.
Manufacturer & Exporter Of All Types Of Leather, Shoe / Boot Uppers, Finished Footwear And Leather Goods.
Since last 3 decades rahman group is
involved in various manufacturing and trading, business activities.
Core activity of Rahman Group has
been in manufacturing & exporting of :
v
Quality leather from buffalo,cow
& goat skins(specializing in leather for safety/army footwear &
upholstery leathers)
v
Fully finished safety / army
footwear & their components
v
Fashion / casual shoes, sandal /
slippers
v
Equestrian products
|
Creation
date |
Amount Secured |
Description
of Charge |
Last Modification |
Final Amount Secured |
|
27.03.1995 |
4.000 Millions |
Export
Packing Credit |
13.01.2005 |
Rs. 160.00 Millions |
|
27.03.1995 |
10.50 Millions |
Foreign
Bills Purchased |
13.01.2005 |
Rs. 140.00 Millions |
|
09.12.2000 |
10.50 Millions |
Letter
of Credit |
13.01.2005 |
Rs. 150.00 Millions |
This is
to certify that following loans sanctioned to Rahman Exports Private Limited ,
at the branch as detailed below have since been liquidated.
|
Year
of Sanction |
Amount of Loan |
Facility |
|
1994 |
Rs. 3.000 Millions |
Term Loan |
|
1994 |
Rs. 2.990 Millions |
Term Loan |
|
1994 |
Rs. 1.510 Millions |
Term Loan |
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.44.61 |
|
UK
Pound |
1 |
Rs.86.80 |
|
Euro |
1 |
Rs.57.54 |
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 |
|