MIRA
INFORM REPORT
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Report Date : |
05.07.2007 |
IDENTIFICATION DETAILS
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Name : |
A R F ENGINEERING PRIVATE LIMITED |
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Formerly Known As : |
AXIAL AND RADIAL FANS PRIVATE LIMITED |
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Registered Office : |
No. 212, SIDCO Aiema Tower, Main Road, Ambattur Industrial Estate,
Chennai – 600058, Tamilnadu |
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Country : |
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Financials (as on) : |
31.03.2004 |
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Date of Incorporation : |
18.07.1980 |
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Com. Reg. No.: |
18-8347 |
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CIN No.: [Company
Identification No.] |
U27200TN1980PTC008347 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEA01048F |
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PAN No.: [Permanent
Account No.] |
AAACA6240R |
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Legal Form : |
Private Limited Liability Company. |
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Line of Business : |
Manufacturer of Precision CNC Machinery on Carge CNC,
Horizontal, Boring Machine, And Vertical Turing Cathe, Carge Industrial Fans,
Blowers, Heavy Fabrication Machining Upto 40 Tones Per Single Piece. |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average/normal. |
Small |
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Maximum Credit Limit : |
USD 47000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track.
Company’s profitability is under severe pressure. It has some accumulated
losses. Payments are reported as slow but correct. The company can be considered normal for small business dealings at
usual trade terms and conditions, with slight caution initially. |
LOCATIONS
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Registered Office : |
No. 212, SIDCO Aiema Tower, Main Road, Ambattur Industrial Estate,
Chennai – 600058, Tamilnadu, India |
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Tel. No.: |
91-44-26258099 |
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Fax No.: |
91-44-26258099 |
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E-Mail : |
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Website : |
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Factory 1 : |
4-C/2, Developed Plot – III, |
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Tel. No.: |
91-44-26357415 / 26258099 |
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Fax No.: |
91-44-26258099 |
DIRECTORS
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Name : |
Mr. Alan J. D’cruz |
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Designation : |
Managing Director |
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Address : |
4/11, St Patrick Church Road, St Thomas Mount, Chennai – 600016, |
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Date of Birth/Age : |
28.02.1954 |
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Date of Appointment : |
01.04.1991 |
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Name : |
Mr. A. Raghavan |
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Designation : |
Chairman cum Managing Director |
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Address : |
Plot No. 1485, 13th |
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Date of Birth/Age : |
19.03.1936 |
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Date of Appointment : |
01.04.1991 |
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Name : |
Mr. A. Suri Raghavan |
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Designation : |
Chairman cum Managing Director |
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Address : |
Plot No. 1485, 13th |
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Date of Birth/Age : |
19.09.1972 |
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Date of Appointment : |
01.09.1997 |
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Name : |
Mr. C. F. Royan |
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Designation : |
Director |
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Address : |
AL – 7, 108A, |
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Date of Birth/Age : |
14.11.1962 |
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Date of Appointment : |
01.04.1996 |
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Name : |
Mr. K. M. Lekshmi |
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Designation : |
Director |
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Address : |
Plot No. 1485, 13th |
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Date of Birth/Age : |
21.01.1940 |
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Date of Appointment : |
01.04.1991 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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A. Raghavan |
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410160 |
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A. Suri Raghavan |
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4064 |
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A. J. D’Cruz |
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1020 |
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K. M. Lekshmi |
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53140 |
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C. F. Royan |
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7000 |
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G. K. Rajagopal |
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500 |
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Mrs. Rajagopal |
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500 |
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Mrs. G. D’cruz |
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500 |
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Sabari Motors Private Limited |
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57500 |
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S. S. Wandlers Private Limited |
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50000 |
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Giri Raghavan |
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5700 |
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Total |
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590084 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Precision CNC Machinery on Carge CNC,
Horizontal, Boring Machine, And Vertical Turing Cathe, Carge Industrial Fans,
Blowers, Heavy Fabrication Machining Upto 40 Tones Per Single Piece. |
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Products : |
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GENERAL INFORMATION
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Bankers : |
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Facilities : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
B. B. Naidu and Company Chartered Accountants |
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Address : |
5, |
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Tel. No.: |
91-44-26411061 / 26411283 |
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Fax No.: |
91-44-26412575 |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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1000000 |
Equity Shares |
Rs. 10/- each |
Rs. 10.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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590084 |
Equity Shares |
Rs. 10/- each |
Rs. 5.901
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2004 |
31.03.2003 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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5.901 |
5.901 |
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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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7.889 |
7.889 |
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4] (Accumulated Losses) |
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[1.795] |
[1.103] |
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NETWORTH |
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11.995 |
12.687 |
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LOAN FUNDS |
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1] Secured Loans |
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7.943 |
10.679 |
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2] Unsecured Loans |
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5.726 |
6.099 |
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TOTAL BORROWING |
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13.669 |
16.778 |
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DEFERRED TAX LIABILITIES |
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0.800 |
0.491 |
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TOTAL |
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26.464 |
29.956 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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11.652 |
10.543 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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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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5.006 |
5.222 |
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Sundry Debtors |
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15.495 |
19.543 |
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Cash & Bank Balances |
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0.570 |
0.569 |
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Other Current Assets |
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0.000 |
0.000 |
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Loans & Advances |
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6.629 |
6.821 |
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Total
Current Assets |
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27.700 |
32.155 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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12.888 |
12.692 |
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Provisions |
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0.000 |
0.050 |
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Total
Current Liabilities |
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12.888 |
12.742 |
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Net Current Assets |
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14.812 |
19.413 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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26.464 |
29.956 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2004 |
31.03.2003 |
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Sales Turnover |
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23.440 |
35.478 |
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Other Income |
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0.279 |
[0.957] |
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Total Income |
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23.719 |
34.521 |
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Profit/(Loss) Before Tax |
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[0.383] |
0.791 |
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Provision for Taxation |
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0.309 |
0.111 |
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Profit/(Loss) After Tax |
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[0.692] |
0.680 |
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Expenditures : |
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Raw Material Consumed |
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2.849 |
9.875 |
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Manufacturing Expenses |
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8.199 |
9.431 |
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Employees Cost |
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3.868 |
3.500 |
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Directors Remuneration |
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1.080 |
1.080 |
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Administrative Expenses |
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3.255 |
3.937 |
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Selling and Distribution Expenses |
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1.420 |
2.485 |
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Total Expenditure |
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20.671 |
30.308 |
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KEY RATIOS
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PARTICULARS |
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31.03.2004 |
31.03.2003 |
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PAT / Total Income |
(%) |
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[2.92] |
1.97 |
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Net Profit Margin (PBT/Sales) |
(%) |
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[1.63] |
2.23 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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[0.97] |
1.85 |
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Return on Investment (ROI) (PBT/Networth) |
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[0.03] |
0.06 |
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Debt Equity Ratio (Total Liability/Networth) |
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2.21 |
2.33 |
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Current Ratio (Current Asset/Current Liability) |
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2.15 |
2.52 |
LOCAL AGENCY FURTHER INFORMATION
Fixed Assets
- Land
- Building
- Plant and
Machinery
- Factory
Equipments
- Electrical
Installation
- Vehicles
- Furniture and
Fittings
- Computers
- Cycles
Bankers Charges
Report as per Registry
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Name of the company |
A R F
ENGINEERING PRIVATE LIMITED |
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Presented By |
State Bank of Ambattur Industrial
Estate, Chennai – 600058 |
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1) Date and description of instrument creating the changers. |
Dated 11.05.1984 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 0.200 Million |
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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 |
Movable
properties together with building and other structures fixed plant and
machineries, fixtures and fittings both present and future. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest at the
rate of 3.25 % above SBAR with a minimum of 18.25 % p.a. |
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5) Name and Address and description of the person entitled to the charge. |
State Bank of Ambattur Industrial Estate, Chennai – 600058, |
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6) Date and brief description of instrument modifying the charge |
Dated 15.03.2001 Extension of
Equitable mortgage of the company immovable of title deeds. |
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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. |
Extension of
Equitable mortgage of all piece and parcel of land and building bearing Plot
No. 4C/2 Developed Plot III Main Road, 1E, Ambattur, Madras in Saidapet
Taluka Chennai MGR adm about 43562.55 sq. ft. comprised in S. No. 9 Part 27,
29 part of Athipattu Village Extension of
Equitable mortgage of all piece and parcel of land and building bearing Plot
No. 4C/2 Developed Plot III Main Road, 1E, Ambattur, Madras in Saidapet
Taluka Chennai MGR adm about 0.494 Acres comprised in S. No. 26 Part 27, 29
part of Athipattu Village. Shall cover the entire limit of Rs. 22.000 Million Earlier
securities given by the company shall cover the enhanced limit of Rs. 22.000
Millions All other terms
and conditions remains the same. |
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This form is for |
Modification of
charge |
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Charge
identification number of the charge to be modified |
90306101 |
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Corporate
identity number of the company |
U27200TN1980PTC008347 |
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Name of the
company |
A R F ENGINEERING PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in |
No. 212, SIDCO Aiema Tower, Main Road, Ambattur Industrial Estate,
Chennai – 600058, Tamilnadu |
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Type of charge |
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Particular of
charge holder |
State Bank of Ambattur Industrial Estate, 86 A& B, 2nd Main Road,
Ambattur Industrial Estate, Chennai – 600058, Tamilnadu, India |
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Nature of
description of the instrument creating or modifying the charge |
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Date of
instrument Creating the charge |
03.11.2006 |
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Amount secured by
the charge |
Rs. 31.100
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest
: Working Capital :
0.75 % above SBAR 11.00 % w.e.f. 01.08.2006 with a minimum of 11.75 % p.a. Term Loan : 1.25
% above SBAR 11.00 % w.e.f. 01.08.2006 with a minimum of 12.25 % p.a. Terms of
repayment Working Capital :
Repayment in 12 Months Term Loan :
Repayment in 36 monthly installments of Rs. 0.125 Million each first
installment commencing from November 2006 and last installment falling due on
October, 2009 Margin Raw Materials,
Semi finished, Finished goods, Components / Consumables / Spares / Domestic
Receivables, Term Loan, Letter of
Credit, Bank Guarantee 25 % Extent and
operation of the charge As stipulated by
the Bank from time to time. |
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.46 |
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1 |
Rs.81.55 |
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Euro |
1 |
Rs.55.09 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
4 |
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OPERATING SCALE |
1~10 |
3 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
2 |
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--LIQUIDITY |
1~10 |
4 |
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--LEVERAGE |
1~10 |
4 |
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--RESERVES |
1~10 |
3 |
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--CREDIT LINES |
1~10 |
3 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
NO |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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34 |
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
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems comparatively
below average/normal. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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