MIRA
INFORM REPORT
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Report Date : |
18.01.2007 |
IDENTIFICATION
DETAILS
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Correct Name : |
JINDAL POLY FILMS LIMITED |
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Formerly Known As : |
JINDAL POLYESTER & STEELS LIMITED |
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Registered Office : |
19th K.M., Hapur-Bulandshahr Road, P.O.
Gulaothi, Distt. Bulandshahr, Uttar Pradesh
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
09.09.1974 |
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Com. Reg. No.: |
20-3979 |
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CIN No.: [Company
Identification No.] |
L17111UP1974PLC003979 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MRTJ00149C |
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Legal Form : |
Subject is a Public Limited Liability Company. The company's
shares are listed on the Stock Exchanges. |
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Line of Business : |
Manufacturing of Polyester Resin, Polyester Filament Yarn,
Polyester Chips and Biaxially Oriented Polyester Film. |
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
29000000 |
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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 reputed company of Jindal Organisation.
Available information indicates high financial responsibility of the company.
Their trade relations are fair. Financial position is satisfactory. 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 : |
19th K.M., Hapur-Bulandshahr Road, P.O.
Gulaothi, Distt. Bulandshahr, Uttar Pradesh
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Tel. No.: |
91-5732-2312088 |
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Fax No.: |
91-5732-2311087 |
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E-Mail : |
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Website : |
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Head
Office : |
"Jindal", 56, Hanuman Road, New
Delhi-110 001 |
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Tel.
No.: |
91-11-23748201 / 23349270 / 23748245 / 8349 / 23349270 / 74 |
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Fax
No.: |
91-11-23345918 / 23748246 / 23748209 |
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E-Mail
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Website : |
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Sales
Office : |
Located at: v
Mumbai, Surat and Kolkata v
Also at USA |
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Factory
1 : |
resin
& yarn:
19th K.M., Hapur-Bulandshahr Road, P.O.
Gulaothi, District Bulandshahr, Uttar Pradesh |
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Tel.
No.: |
91-122-2312088 / 2311087 91-5732-229143 / 229105 |
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Fax
No.: |
91-122-2312244 |
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Factory
2: |
film
& resin:
28th K.M., Nasik-Bombay Highway, Village -
Mundegaon, Igatpuri, District Nasik,
( Maharashtra) |
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Tel.
No.: |
91-2553-285402 / 285405 |
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Fax
No.: |
91-2553-285403 |
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Factory
3 : |
india
polyfilms Limited (film):
160/1/7, Amboli Road, Village Kala , Khanvel,
Silvassa ( UT of D&N ) |
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Tel.
No.: |
91-2638-247264 / 358 |
DIRECTORS
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Name : |
Mr. P. Gupta |
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Designation : |
Director ( Films) |
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Name : |
Mr. S. Banerjee |
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Designation : |
Director (Marketing) |
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Name : |
Mr. S. Singhal |
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Designation : |
Chief Operating Officer |
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Date of Birth : |
26-08-1976 |
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Qualification
: |
Fca |
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Date of
Appointment : |
29-07-2006 |
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List of outside Directorship
: |
1) Jindal Photo Limited 2) Rishi Trading Company Limited |
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Name : |
Mr. A. C. Wadhawan |
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Designation : |
Director
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Name : |
Mr. R. Jilani |
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Designation : |
Director
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Name : |
Mr. S. J. Khaitan |
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Designation : |
Director
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Date of Birth : |
09-02-1959 |
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Qualification
: |
B.A. Eco (H), L.L.B. |
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Date of
Appointment : |
26-07-1996 |
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List of outside Directorship : |
1) Hindustan Vidyut Products
Limited 2) Jindal Stainless Limited 3) Kpl International Limited 4) Lumax Ind. Limited 5) Oriental Carbon & Chemicals Limited 6) Rameswara Transport Limited 7) Suman Khaitan Advisory Services Private Limited 8) Gopi Nursery Private Limited |
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Name : |
Mr. J. Bansal |
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Designation : |
Director
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Date of Birth : |
03-04-1952 |
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Qualification
: |
B.Com |
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Date of
Appointment : |
29-06-2004 |
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List of outside Directorship : |
1) International Technotex Private Limited 2) Sarthak India Limited 3) Southwest Probuild Private Limited |
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Name : |
Mr. S. Bansal |
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Designation : |
Director
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Date of Birth : |
28-12-1970 |
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Qualification
: |
Mba |
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Date of
Appointment : |
29-07-2006 |
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List of outside Directorship : |
Swastik Pipes Limited |
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Name : |
Mr. R.Chander |
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Designation : |
Director
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Name : |
Mr. R. Adusumalli |
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Designation : |
Director
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KEY EXECUTIVES
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Name
: |
Mr. S. Aggarwal |
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Designation
: |
Chief Financial
Officer |
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Name : |
Mr. S. Maheshwari |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS
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Names
of Shareholders |
No. of Shares |
Percentage of Holding |
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Shareholding of Promoter and Promoter Group |
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Individuals/Hindu Undivided Family |
446600 |
1.59 % |
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Bodies Corporate |
15062726 |
53.61 % |
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Institutions |
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Mutual Funds/UTI |
75000 |
0.27 % |
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Financial Institutions/ Banks |
880000 |
3.13 % |
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Insurance Companies |
2666993 |
9.49 % |
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Foreign Institutional Investors |
2069140 |
7.36 % |
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Any Other - OCBs |
2772300 |
9.87 % |
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Non-institutions |
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Bodies Corporate |
1238887 |
4.41 % |
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I. Individual shareholders holding nominal share capital up to
Rs. 0.1 Millions |
2446439 |
8.71 % |
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II. Individual shareholders holding nominal share capital in excess
of Rs. 0.1 Millions |
383779 |
1.37 % |
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Any Other- |
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Non resident Indians |
50612 |
0.18 % |
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Trusts |
1081 |
0.00 % |
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Clearing Members |
2323 |
0.01 % |
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Total |
28095880 |
100.00 % |
BUSINESS DETAILS
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Line of Business : |
Manufacturing of Polyester Resin, Polyester Filament Yarn,
Polyester Chips and Biaxially Oriented Polyester Film. |
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Products : |
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PRODUCTION
STATUS
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Particulars |
Unit |
Licensed Capacity |
Installed Capacity |
Actual Production |
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Polyester Filament
Yarn |
MT |
54000 |
54000 |
10405680 |
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Polymer Chips |
MT |
131000 |
121175 |
70366615 |
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Biaxially Orineted Polyester/ Polyproplyne Film |
MT |
131000 |
131000 |
97702418 |
GENERAL
INFORMATION
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No. of Employees : |
1000 |
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Bankers : |
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Facilities : |
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Banking Relations : |
Satisfactory
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Auditors : |
Kanodia Sanyal & Associates Chartered Accountants |
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Associates : |
Consolidated Photo & Finvest Limited Jumbo Finance Limited Jupax BarterPrivateLimited Rishi Trading Company Limited Jindal Photo Limited Soyuz Trading Company Limited Jindal Photo Investments Limited Jindal Imaging Limited Jindal Realtors Limited Jindal India Limited Consolidated Realtors Limited Jindal Meadows Limited Conslidated Finvest & Holdings Limited Consolidated Buildwell Limited Agile Properties Limited Vigile Farms Limited Jindal Thermal Power Limited Jasmine Investment Limited Pasion Tea Private Limited Bajaloni Group Limited |
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Subsidiaries : |
Hindustan Polyester Limited Jindal France SAS Rexor SAS |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
30,000,000 |
Equity Shares |
Rs.10/- each |
Rs. 300.000 Millions |
|
175,000,000 |
Equity Shares |
Rs.10/- each |
Rs. 1750.000 Millions |
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Total |
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Rs. 2050.000
Millions |
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Issued,
Subscribed & Paid-up Capital :
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No.
of Shares |
Type |
Value |
Amount |
|
28,095,880 |
Equity Shares |
Rs.10/- each |
Rs. 280.959 Millions |
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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 |
280.959 |
857.625 |
1568.200 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
7005.562 |
3868.901 |
2765.500 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
7286.521 |
4726.526 |
4333.700 |
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LOAN FUNDS |
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1] Secured Loans |
2737.436 |
3077.317 |
1920.400 |
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2] Unsecured Loans |
7.936 |
12.999 |
21.600 |
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TOTAL BORROWING |
2745.372 |
3090.316 |
194200 |
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DEFERRED TAX LIABILITIES |
1106.915 |
1083.185 |
0.000 |
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TOTAL |
11138.808 |
8900.027 |
6275.700 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
8023.876 |
7734.804 |
5494.700 |
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Capital work-in-progress |
499.458 |
467.699 |
382.900 |
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INVESTMENT |
1656.881 |
262.131 |
856.900 |
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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 |
1154.331
|
1115.969 |
971.900 |
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Sundry Debtors |
538.883
|
712.030 |
317.000 |
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Cash & Bank Balances |
101.290
|
177.105 |
174.100 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
551.125
|
633.420 |
551.300 |
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Total Current Assets |
2345.629
|
2638.524 |
2014.300 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
1270.525
|
1975.455 |
2240.400 |
|
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Provisions |
116.657
|
231.427 |
233.600 |
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Total Current Liabilities |
1387.182
|
2206.882 |
2474.000 |
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Net Current Assets |
958.447
|
431.642 |
(459.700) |
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MISCELLANEOUS EXPENSES |
0.146 |
3.751 |
0.900 |
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TOTAL |
11138.808 |
8900.027 |
6275.700 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other
income] |
8589.276 |
7086.300 |
6463.300 |
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Profit/(Loss)
Before Tax |
530.256 |
1060.789 |
801.400 |
|
Provision
for Taxation |
63.229 |
292.541 |
242.800 |
|
Profit/(Loss)
After Tax |
467.027 |
768.248 |
558.600 |
|
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Export
Value |
2495.786 |
[2412.149] |
NA |
|
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Import
Value |
2134.355 |
[2977.138] |
NA |
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Total
Expenditure |
8059.020 |
6025.511 |
5661.900 |
QUARTERLY
RESULTS
|
PARTICULARS |
|
30.06.2006 |
30.09.2006 |
|
Type |
|
1st
Quarter |
2nd
Quarter |
|
Sales
Turnover |
|
2195.700 |
2396.400 |
|
Other
Income |
|
07.900 |
07.600 |
|
Total
Income |
|
2203.600 |
2404.000 |
|
Total
Expenditure |
|
1874.500 |
2006.900 |
|
Operating
Profit |
|
329.100 |
397.100 |
|
Interest |
|
47.000 |
48.400 |
|
Gross
Profit |
|
282.100 |
348.700 |
|
Depreciation |
|
144.600 |
144.600 |
|
Tax |
|
14.400 |
12.500 |
|
Reported
PAT |
|
83.900 |
157.700 |
200606 Quarter 1 –
EPS is Basic. 1. The Above results were reviewed by the Audit Committee
and taken on record at the meeting of the Board of Directors held on
29.07.2006. 2. The Polyster Yarn segment incurred loss due to slackness in
demand. 3. Tax Liability(Including Fringe benefit Tax) for the quarter ended
30.06.2006 has been provided/adjusted based upon the estimated tax computation
for the current year. 4, Pending Full Utilisation of fund raised through public
offering, the balance funds have been deployed temporarily in short Term
Investments. 5. EPS for the current quarter is not comparable with
corresponding quarter of the previous year as there was expansion of Capital on
27.06.2005 and therefore the EPS for the corresponding previous quarter was
calculated on weighted average share capital. 6. The number of Investor
complaints received during the quarter were 36, out of which Nil are pending at
the end of the quarter.
200609 Quarter 2 –
1 The above results were reviewed by the Audit Committee and taken
on record at the meeting of the Board of Directors held on October 30, 2006. 2
The polyester yarn segment was not operated during the quarter due to adverse
market conditions. 3 Tax liability (including Fringe benefit tax) for the
quarter ended 30.9.2006 has been provided/ adjusted based upon the estimated
tax computation for the year. 4 Pending full utilisation of funds raised
through public offering, the balance funds have been deployed temporarily in
short term investments. 5EPS for the half year is not comparable with
corresponding half year of the previous year as the current EPS has been
calculated on expanded Equity Capital consequent to public issue of shares. 6
Expansion projects OPP-3 was successfully commissioned and commenced
production. 7 The number of investor complaints received during the quarter
were 18, out of which Nil are pending at the end of the quarter.
KEY
RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt Equity Ratio |
0.49 |
0.56 |
0.41 |
|
Long Term Debt Equity Ratio |
0.35 |
0.39 |
0.29 |
|
Current Ratio |
0.69 |
0.65 |
0.70 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
0.86 |
0.88 |
0.92 |
|
Inventory |
8.16 |
7.63 |
7.11 |
|
Debtors |
14.81 |
15.49 |
23.50 |
|
Interest Cover Ratio |
3.59 |
11.64 |
7.56 |
|
Operating Profit Margin (%) |
12.52 |
20.18 |
20.15 |
|
Profit Before Interest and Tax Margin (%) |
6.10 |
14.56 |
14.54 |
|
Cash Profit Margin (%) |
10.30 |
15.26 |
14.41 |
|
Adjusted Net Profit Margin (%) |
3.87 |
9.64 |
8.79 |
|
Return on Capital Employed (%) |
6.33 |
16.47 |
16.67 |
|
Return on Net Worth (%) |
6.17 |
21.04 |
19.91 |
STOCK PRICES
|
Face
Value |
Rs.10.00/- |
|
High |
Rs.168.00/- |
|
Low |
Rs.163.00/- |
LOCAL AGENCY
FURTHER INFORMATION
FIXED ASSETS
- Land (Freehold)
- Factory
Buildings
- Other Buildings
- Plant &
Machinery
- Furniture &
Fixture
- Office
Equipments
- Computers
- Vehicles
HISTORY
Jindal Polyester Limited (JPL), incorporated as a public limited company
in Sep.'74 in the name of Hindustan Pipe Udyog, got its present name in
Jan.'95. In 1974, the company set up its first unit to manufacture ERW steel
pipes and tubes, black and galvanised, at Jindal Nagar (Ghaziabad district),
UP. In Apr.'93, the steel unit of the company was transferred to Jindal Pipes.
The company is the largest producer of flexible packaging films in the country.
The company also manufacture and sell POY and manufacture polyester chips for
captive comsumption. Jindal France SAS, Rexor SAS and Hindustan Polyester
Limited are the subsidiaries of the company.
In 1985, JPL diversified into the manufacture of polypropylene filament yarn
and polyester filament yarn at Gulaothi, UP. It also modernised its POY plant
in 1990 to update technology and replace certain old and worn-out
equipments/components. In 1992, it set up a polycondensation plant with an
installed capacity of 15000 tpa for captive consumption.
During 1994-95, Northern Plastics Finance Company (NPFCL), engaged mainly in
investing and dealing in securities and finance, was amalgamated with the
company. JPL has also came out with a public issue in Aug.'94 to part-finance
the expansion scheme and to diversify to manufacture bottle-grade chips.
During 1995-96, the company has set up a new project of bi-axially oriented
polyester film at Nasik as a 100% EOU with an installed capacity of 12000 tpa.
In Apr.'99, India Polyfilms and Patel Poly Products were merged with the
company and all the assets and liabilities of the merged companies were
transferred and vested in the company on 14th Mar. 2000.
JPL has expanded the capacity of Polyester film plant 12000 tonnes to 36000
tonnes by commissioning a new thick polyester film line in the month of
December 2000. The commercial production of BOPP with a annual capacity of
13000 TPA was commissioned in 2002-03. To meet the future demand the company is
planning to take some new projects like Manufacture of BOPP film with total
capacity of 45000 TPA, Metalizing of Bopet Film with a capacity of 12000 TPA
and to augment the Poly condensation with a total capacity of 50000 tpa
etc.
During 2004-05 the company has increased the installed capacity of Biaxially
Oriented Polyester/Polypropylene Film by 57000 MT and with this expansion the
total installed capacity of Biaxially Oriented Polyester/Polypropylene Film has
increased to 131000 MT.
During 2005 the company made a public offer by way of 100% Book Building by
issuance of 83,33,325 Equity Shares of face value of Rs.10 each at a premium of
Rs.350 per shares amounting to Rs.3000 Million.
During 2004-05 the company has commissioned an 8.2 metre wide, five-layer line
with the capacity to produce 32000 TPA of BOPP films at Nashik Maharashtra.
Further it also proposes to set up a 45000 TPA, 8.2 metre wide line to make
BOPP films at Nashik, Maharashtra by August 2006. The company has also
established an 8.7 metre wide thin film line at Nashik, Maharashtra. With the
implementation of this line the company now has a total capacity of 86000
tonnes for Bopet film.
In August 2005 the company increased its metallising capacity by 14000 TPA to
26000 TPA at its plant in Nashik, Maharashtra. The company also proposes to
install two line of 7000 TPA by September 2006. The company has already commissioned
4500 TPA capacity to manufacture PVDC, Acrylic and LTS Coated films, at Nashik.
A second line with same capacity is likely to start by February 2006.
During March 2005 the name of the company was changed from Jindal Polyester
Limited to Jindal Poly Films Limited
BUSINESS
The company is also producing specialty polyester partially
oriented yarn like cationic bright triloble, bright triloble, bright cationic
dyeable and dope dyed (coloured) polyester partially oriented yarn. At present
the company is producing polyester partially oriented yarn from circular and
warp knitting in various shades and deniers.
The company is also specialised in the production of specialty
resin like bright, white opaque, milky white, cationic and other additive
loaded chips.
INDUSTRY
Good domestic demand, improved operating margins of the POY
manufacturers in last 2-3 years alongwith easy availability of cheap second
hand POY manufacturing equipments have attracted many down stream texturisers to
backward integrate into manufacturing POY. None of the large manufacturers are
likely to undertake any green field expansions. Existing domestic POY
manufacturers are going in for capacity additions, modernisation and
de-bottlenecking. The total addition in capacity is likely to be to the tune of
0.6 million tonnes in next 2 years.
The
domestic demand for PET films was good and all PET film producers produced at
higher than the rated capacities. Exports from India maintained a growth of
over 12% compared to the previous year and the current year should see growth
of over 20% with almost every PET film consuming country choosing to buy from
India.
Overview
Jindal Poly Films Limited (JPFL) is a leading producer
of flexible packaging films. The Company operates the world's largest single
location facility for flexible packaging films at Nashik, Maharashtra and
employs modern technology to produce high quality products at lower cost.
OUTLOOK
Flexible Packaging Film
India
continues to lag the world in usage of flexible packaging film with one of the
lowest per capita consumption rates globally. Nevertheless, the momentum from
applications in packaging continues to be strong driving growth in both BOPET
Film and BOPP Film markets. The growth is also driven by an increase in the
export of flexible packaging laminates from India as converting operations are
shifting from Europe and USA to India.
BOPET
Films
As much
as 80% of the sales of BOPET Film can be attributed to applications in
packaging. Rapid economic growth being witnessed in India & China is
creating larger opportunities for the use of flexible packaging film in
consumer products, hot stamping foils, metallic yarns, telecom and other
electrical applications. The Asian region is expected to account for 30% of
worldwide BOPET Film sales over the next two years expanding at a rate of 15%.
Meanwhile, estimated growth for thin films in the global markets is at 9%.
BOPP Films
The BOPP
Film market in India is increasing mainly on account of greater prevalence of
modern format retailing and higher preference for hygienically packed,
convenient forms of food articles amongst customers. Moreover, the replacement
of TQPP Film is expected to intensify with lowering of cost differentials with
BOPP Film, better availability of superior quality BOPP Film and creation of
novel application areas for BOPP Film. Growth in Indian demand for BOPP Film
over the next few years is being projected at 20% compared to 7.5% globally.
FINANCIAL PERFORMANCE
Jindal
Poly Films reported a 16.2% increase in gross revenues from Rs. 7,967.6 million
to Rs. 9,261.5 million driven primarily by its flexible packaging films
business. Other income during the period was at Rs. 169.6 million. Sales in the
domestic market improved 22.2% to Rs. 6,596.5 million, where volume growth in
BOPET Films was strong. The Company continues to develop the BOPP Film market
and has doubled its sales volumes in BOPP Films. Exports during FY2006 were at
Rs. 2,665.0 million. Polyester Yarn/Chips business contributed 13.2% to gross
sales .
Given
JPFL's ongoing expansion initiative and increase in the rate of interest in
general (including LIBOR) , depreciation and interest costs were higher at Rs.
594.7 million (Rs. 447.8 million in FY2005) and Rs. 157.2 million (Rs. 99.7
million earlier) respectively. The Profit Before Tax stood at Rs. 530.3
million. Jindal Poly Films had Net Profits of Rs. 467.0 million in FY2006
giving an EPS of Rs. 17.52.
OPERATING HIGHLIGHTS
PUBLIC ISSUE OF EQUITY SHARES
During the year the Company has successfully completed
its follow on Public offering by way of 100% Book Building by issuance of
83,33,325 equity shares of face value of Rs.10 each at a premium of Rs. 350 per
share aggregating around Rs. 3000 million.
NEW PROJECTS
BOPP FILMS
The Company is expanding its BOPP Films capacity from
the existing 45000 tpa to 90000 tpa by setting up of 8.2 mtr. Wide single line
of 45,000 tpa (BOPP Film Line-Ill) at its exiting unit at Nasik, Maharashtra.
Line-Ill is likely to commence production
in September, 2006.
The Company has plans to further expand its BOPP Film
capacity to 135000 tpa by installing 8.2 mtr. wide line-IV of 45,000 tpa at the
existing location by third quarter of financial year 2007-08.
METALLISER
Presently, the Company has a total metallising
capacity of 26000 tpa, which is proposed to be expanded to 40,000 tpa by
setting up of two lines of 7,000 tpa each by fourth quarter of 2006-07.
COATING
The existing capacity of 4500 tpa to manufacture PVDC,
Acrylic and LTS coated films is proposed to be doubled to 9000 tpa at Nasik,
Maharashtra. The expansion is scheduled to be completed in fourth quarter of
2006-07.
REDEMPTION OF REDEEMABLE PREFERENCE SHARES
During the year, the company has redeemed 6,60,00,000
2% Redeemable Cumulative Preference Shares (series I) of Rs. 660 million as per
the terms of issue.
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.44.25 |
|
UK
Pound |
1 |
Rs.87.30 |
|
Euro |
1 |
Rs.57.36 |
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 |
|