MIRA
INFORM REPORT
|
Report Date : |
24.01.2007 |
IDENTIFICATION
DETAILS
|
Name : |
AFCIL
INDUSTRIES LIMITED |
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Registered Office : |
Gate
No.907/2/4, Saras Wadi, Taluka Shirur, District Pune-412208, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
05.04.1999 |
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Com. Reg. No.: |
25-13504 |
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CIN No.: [Company
Identification No.] |
U24119PN1999PTC013504 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
PNEA06717E |
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PAN No.: [Permanent
Account No.] |
AADCA4341G |
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Legal Form : |
Private
Limited Liability Company |
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Line of Business : |
Manufacturer & Exporter of Foundry Chemicals,
Castings and Allied products |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal.
Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD
15000 |
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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 experienced 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
|
Registered Office : |
Gate
No.907/2/4, Saras Wadi, Taluka Shirur, District Pune-412208, Maharashtra,
India |
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Tel. No.: |
91-2137-262571 |
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E-Mail : |
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Website : |
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Factory
1 : |
207 B,
Ashoka Mall, Bund Garden Road, Pune-411001 |
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Telefax
No.: |
91-20-26131285/
26130937 |
DIRECTORS
|
Name : |
Mrs.
Kavita Manik Desarda |
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Designation : |
Whole
time Director |
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Address : |
Liberty
II, Bunglow No.4, 323, Koregaon Park, Pune-411001, Maharashtra, India |
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Date of Birth/Age : |
01.12.1956 |
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Date of Appointment : |
05.04.1999 |
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Name : |
Mohak
Manik Desarda |
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Designation : |
Whole
time Director |
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Address : |
Liberty
II, Bunglow No.4, 323, Koregaon Park, Pune-411001, Maharashtra, India |
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Date of Birth/Age : |
10.07.1977 |
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Date of Appointment : |
01.02.2003 |
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Name : |
Mr.
Manik Kesharchand Desarda |
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Designation : |
Chairman
and Managing Director |
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Address : |
Liberty
II, Bunglow No.4, 323, Koregaon Park, Pune-411001, Maharashtra, India |
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Date of Birth/Age : |
10.06.1951 |
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Date of Appointment : |
02.10.2001 |
MAJOR SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
|
Mr.
Manik Kesharchand Desarda |
332300 |
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Mr.
Mohak Manik Desarda |
6100 |
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Mrs.
Kavita Manik Daserda |
94650 |
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Mrs.
Anandiben Jaisinghlal Shah |
4000 |
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Mrs.
Deepti Manik Daserda |
6000 |
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Mrs.
Karishma Manik Daserda |
4000 |
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Mr.
Badambai Dulichand Shrishrimal |
4000 |
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Mr.
Deelip Dulichand Shrishrimal |
4000 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer & Exporter of Foundry Chemicals,
Castings and Allied products |
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Products : |
Core and Mould Binders Ø
Coreoll Ø
Cereal
Binder Ø
Silcate
Binder Ø
Silicate
Binder Collapsible Agent Ø
Hardener
for Silicate Binder Ø
Core
Joining Compound Sand Additives Ø
Anti-Scabbing
Sand Additive Ø
Facing
Sand Additive Ø
Low
Ash additive to substitute Coal dust Resin coated Sand Ø
Range
of Resin coated sand with varied additions Parting Agent Ø
Range
of Pattern Releasing Agent Core/ Mould Coatings Water Based Ø
Graphite
Wash Ø
Graphite
– Zircon wash Ø
Zircon
Wash Ø
Zircon
Graphite Wash Ø
Magnesite
Wash Ø
Mixed
Wash Core/Mould Coating Thinner Based Ø
Graphite
Wash Ø
Graphite
– Zircon Wash Ø
Zircon
Wash Ø
Zircon
Graphite Wash Ø
Mangnesite
Wash Ø
Ceramic
Wash Ø
Thinner Exothermic and Insulating Compound Ø
Range
of Exothermic and Insulating Compound Exothermic and Insulating Sleeves Open and
Blind Ø
Exothermic
Sleeves Ø
Insulating
Sleeves Other Products Ø
Hot
strength Addictives Ø
Slag
Holding Compound Ø
Natural
Bentonite Ø
Carbon
Pickup Ø
Fluxes |
GENERAL
INFORMATION
|
Customers : |
Ø
Shriram
Foundry Limited Ø
Kirloskar
Oil Agencies Limited Ø
Bajaj
Tempo Limited Ø
Tata
Motors Limited Ø
C.M.
Smith Sons Limited Ø
Simplex
Cashew Limited |
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|
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Bankers : |
Ø
State
Bank of India, Tilak Road, Pune Ø
Central
Bank of Commerce, Synodosue Street Camp, Pune-411001, Maharashtra, India Ø
State
Bank of India, 1548 A, Sadshiv Peth, Pune-411030, Maharashtra, India |
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Banking Relations : |
Satisfactory |
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Auditors : |
Khandelwal
Jain & Associates Chartered
Accountants |
CAPITAL STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
2000000 |
Equity
Shares |
Rs.10/- each |
Rs.20.000 millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
467050 |
Equity
Shares |
Rs.10/- each |
Rs.4.670 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 |
|
4.670 |
2.480 |
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2] Share Application Money |
|
0.000 |
0..000 |
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3] Reserves & Surplus |
|
1.478 |
0.378 |
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4] (Accumulated Losses) |
|
0.000 |
0.000 |
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NETWORTH |
|
6.148 |
2.858 |
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LOAN FUNDS |
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1] Secured Loans |
|
5.381 |
2.021 |
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2] Unsecured Loans |
|
0.000 |
1.690 |
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TOTAL BORROWING |
|
5.381 |
3.711 |
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DEFERRED TAX LIABILITIES |
|
0.201 |
0.000 |
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DEFERRED SALES TAX PAYABLE |
|
5.352 |
0.000 |
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TOTAL |
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17.082 |
6.569 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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7.208 |
0.000 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
|
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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5.520 |
0.000 |
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Sundry Debtors |
|
14.700 |
6.685 |
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Cash & Bank Balances |
|
0.124 |
0.102 |
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Other Current Assets |
|
0.000 |
0.000 |
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Loans & Advances |
|
3.134 |
2.742 |
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Total Current Assets |
|
23.478 |
9.529 |
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Less : CURRENT LIABILITIES & PROVISIONS |
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Current Liabilities |
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2.989 |
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Provisions |
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Total Current Liabilities |
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13.604 |
2.989 |
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Net Current Assets |
|
9.874 |
6.540 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.029 |
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TOTAL |
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17.082 |
6.569 |
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PROFIT
& LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2005 |
31.03.2004 |
|
Sales Turnover [including other income] |
|
37.296 |
22.918 |
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Profit/(Loss)
Before Tax |
|
1.801 |
0.331 |
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Provision
for Taxation |
|
0.672 |
0.135 |
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Profit/(Loss)
After Tax |
|
1.129 |
0.196 |
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Total
Expenditure |
|
12.014 |
5.149 |
KEY
RATIOS
|
PARTICULARS |
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|
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
|
3.03 |
0.85 |
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Net
Profit Margin (PBT/Sales) |
(%) |
|
4.83 |
1.44 |
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Return
on Total Assets (PBT/Total
Assets} |
(%) |
|
5.87 |
3.47 |
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Return
on Investment (ROI) (PBT/Networth) |
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|
0.29 |
0.11 |
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Debt
Equity Ratio (Total
Liability/Networth) |
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3.09 |
2.34 |
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Current
Ratio (Current
Asset/Current Liability) |
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|
1.72 |
3.19 |
LOCAL AGENCY
FURTHER INFORMATION
Form
8 Particular for creation or modification of charges
|
Corporation identity number or foreign company registrations number of the company |
U24119PN1999PTC013504 |
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Name of the company |
AFCIL
INDUSTRIES LIMITED |
|
Address |
Gate
No.907/2/4, Saras Wadi, Taluka Shirur, District Pune-412208, Maharashtra,
India |
|
This Form is for |
Creation
of Charge |
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Type of Charges |
A Charge on Book Debts, Movable Property (not being pledge), Floating charge |
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Particular of the charge holder |
State Bank of India 1548, Sadashiv Peth, Pune-411030, Maharashtra, India E-Mail : vbokil@gmail.com |
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Nature or description of the instrument creating charge |
Agreement of loan-cum-hypothecation and letter of agreement (Both constitute a single charge) |
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Date of the instrument creating charge |
29.09.2006 |
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Amount Secure by the charge |
Rs.42.500 millions |
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Brief of the principal terms and conditions and extent and operation of the charge |
Cash Credit and DDP (Within limit of cash credit) – 1.25% p.a. is the present effective rate) Term Loan – 1.75% above State Bank advance rate (12.25% p.a. is the present effective rate) Terms of Repayment Cash Credit (DDP) – Repayable on demand New Term Loan – Repayable on or before 10.11.2010 in equal monthly instalments of 0.155 millions Margin Indigenous Raw Materials, Finished Goods, Domestic Receivables, Letters of Credit – 25% Semi-finished goods – 33 and 1/3% Term Loan – 27% Extent and Operation of charge Cash Credit (Rs.32.500 millions) DDP of Rs.2.500 millions within cash credit Term Loan (Rs.3.500 millions) Letter of Credit Inland and Foreign (Rs.5.000 millions) 1st Charge by way of Hypothecation of Book Debts, Stocks and Movable assets |
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Short particulars of the property charge |
Raw Material, Stock in process, Finished Goods, Receivables, Goods, Book Debts, Vehicles and other movable assets including Receivables, Documents of title to goods, outstanding monies, bills, invoices, documents, contracts, insurance policies, guarantees, engagements, securities, investments and rights and all the present and future machinery belonging to or in possession or control of the borrower wherever lying, stored and kept, more particularly stated in the list attached to agreement. |
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Name of the company |
AFCIL
INDUSTRIES LIMITED |
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Presented By |
Mr. Manik
Desarda, Managing Director |
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1) Date and description of instrument creating the change |
Agreement of Hypothecation of Assets, dated 02.11.2004 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.5.000 millions |
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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 stock of raw material work in process, finished goods of foundry chemicals etc. Spares and consumable stored at the unit and/or anywhere in India and charge on book debts Hypothecation of entire plant and machinery |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest @ 1%p.a. over the prime lending rate of Bank with a minimum of 12%p.a. charged on monthly rests or any other rate that shall be charged under intimation to the company Hypothecation – 25% Book Debts – 40% |
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5) Name and Address and description of the person entitled to the charge. |
Oriental Bank of Commerce Synagogue Street, Camp, Pune-411001 |
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6) Date and brief description of instrument modifying the charge |
Agreement of Hypothecation of assets dated 13.08.2005 Supplemental Agreement to secure credit/ loan facilities dated 13.08.2005 |
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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. |
Limit increased and freshly granted as under: Cash credit from Rs.5.000 millions to Rs.10.000 millions Bill Purchase : Rs.1.000 millions Bank Guarantee/ Financial guarantee/ Performance guarantee : Rs.1.000 millions Term Loan facilities : Rs.4.500 millions Rate of Interest for all facilities : 12.75% |
Website Details :
Subject is
well known as AFCIL, centrally located in Pune, India was founded in 1975 under the able
shoulders of their Chairman Mr. Manik
Desarda who has expertise in the field of the foundry Industry since the
last three decades.
They introduce subject as a leading Manufacturer
& Exporter of Foundry Chemicals, Castings and Allied products, with
over two decades of Experience in the manufacture and export of a wide range of
foundry Chemicals, Castings and Allied products.
AFCIL Foundry Chemicals Division
has always dedicated itself to the development and manufacture of a wide range
of high quality Foundry Chemicals, to enable Foundries to enhance the Quality
of their Castings and improve Productivity levels.
Their wide product range includes:
Ø Core and Mould Binders
Ø Sand Additives
Ø Resin Coated Sand
Ø Parting Agent
Ø Water Based Core / Mould Coatings
in Various Refractory Bases
Ø Solvent Based Core / Mould Coatings
in Various Refractory Bases
Ø Exothermic and Insulating Compounds
Ø Exothermic and Insulating Sleeves :
Open & Blind
Ø Hot Strength Additives
Ø Slaghold (Perlite)
Ø Bentonite
Ø Carbon Pick Up
Ø Treatment Fluxes
Ø Allied Products
Works:
Their products have always been manufactured with the aim to enhance
Productivity, Quality, Economy, and User friendliness, while not compromising
on Quality, Consistency and Environment friendliness. To achieve this they
manufacture products in an individual, electronically monitored, accurately
controlled & tested batches. Their Production process and Production
equipment meets the environmental regulations.
Quality Control, Research & Development:
Their center of excellence, the R & D department works on one objective:
"Analyze The Past, Cast The Future"
With the forethought of Foundry Industry constantly changing, becoming more
challenging, subject to strict environmental regulations & severe
competition; Subject has always taken the innovative approach with
groundbreaking Research through the intelligent and effective use of Technology
& Ecology. Their in house R & D Dept is equipped with ultra modern
equipment and highly qualified Chemists and Metallurgists with expertise in
their field of work.
Sales & Marketing:
Technical & Commercial service to the customers is the foundation pillar of
their company. Their Sales & Marketing Department works in hand with all
departments and thereby this enables them to analyze and offer solution to
customers' problems.
In India they have a nationwide network to provide customers Technical &
Commercial Services that far exceeds customer expectation.
Some of the countries they export Foundry Chemicals to include European
countries, USA, China, France, UAE, USSR etc.
They have always borne
in mind their motto "Customer
Satisfaction Through Customer Care " while keeping in mind deeply
that " Customer Satisfaction Is
Their Reward ".
Assurance of products meeting the highest standards of Quality, User
friendliness, Cost effectiveness, Timely delivery, and Personalized after sales
service, they now look forward to seek a valued business association.
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.44.21 |
|
UK
Pound |
1 |
Rs.87.48 |
|
Euro |
1 |
Rs.57.23 |
SCORE &
RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--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 |
|
45 |
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 |
|