MIRA
INFORM REPORT
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Report Date : |
11.07.2007 |
IDENTIFICATION DETAILS
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Name : |
MINERAL ENTERPRISES LIMITED |
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Registered Office : |
300/1B, 16th Cross, Sadashivnagar, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
04.12.1962 |
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Com. Reg. No.: |
08-1473 |
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CIN No.: [Company
Identification No.] |
U14219KA1962PTC001473 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
BLRM05775A |
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PAN No.: [Permanent
Account No.] |
AABCM3220A |
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Legal Form : |
A closely held public limited liability company. |
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Line of Business : |
Manufacturers of Mining Equipment. |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 2900000 |
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Status : |
Good |
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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 fine 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. The company can be regarded as a promising business partner in a
medium to long-run. |
LOCATIONS
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Registered Office : |
300/1B, 16th Cross, Sadashivnagar, |
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Tel. No.: |
91-80-23612569 / 23619939 |
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Fax No.: |
91-80-23612737 |
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E-Mail : |
DIRECTORS
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Name : |
Mr. K. P. Poddar |
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Designation : |
Director |
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Address : |
487, 10th Cross, R M V Extension, |
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Date of Birth/Age : |
25.04.1924 |
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Date of Appointment : |
30.09.1984 |
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Name : |
Mr. Vikram Poddar |
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Designation : |
Director |
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Address : |
487, 10th Cross, R M V Extension, |
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Date of Birth/Age : |
12.12.1954 |
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Date of Appointment : |
11.08.1980 |
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Name : |
Mr. Basant Poddar |
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Designation : |
Director |
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Address : |
487, 10th Cross, R M V Extension, |
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Date of Birth/Age : |
12.10.1959 |
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Date of Appointment : |
29.09.1983 |
KEY EXECUTIVES
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Name : |
Mr. Hukam Raj Jain |
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Designation : |
Company Secretary |
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Address : |
13 MTCS Extn. After 4th Cross RMS Colony, Sanjay Nagar, |
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Date of Birth/Age : |
20.09.1946 |
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Date of Appointment : |
01.09.2006 |
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Other Directorship : |
Sajjan Investments Private Limited U18201KA1953PTC000754 Apex Surveyors Private Limited U66010KA1986PTC007830 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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K. P. Poddar |
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7000 |
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Vikram Poddar |
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8000 |
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Malavika Poddar |
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5000 |
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Linkwell Enterprises Private Limited |
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20500 |
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Basant Poddar |
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37970 |
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Shridhar Poddar |
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5000 |
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Sudha Devi Poddar |
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1000 |
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Vandana Poddar |
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15000 |
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H R Jain |
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10 |
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Ashwin Paul |
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10 |
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Manas Sen Gupta |
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10 |
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Total |
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99500 |
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Equity Share
Breakup |
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Category |
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Percentage of
Holding |
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Directors of relatives of directors |
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99.97 |
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Other top fifty shareholders |
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0.03 |
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Total |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers of Mining Equipment. |
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Product : |
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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 : |
Rajagopal and Badrinarayanan Chartered Accountants |
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Address : |
No. 25, Padmashree Mansions, 2nd Floor, 1st
Cross, Sampige Road, Mallwswaram, Bangalore – 560003, Karnataka, India |
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Associates/Subsidiaries : |
Sajjan Investments Private Limited U18201KA1953PTC000754 Apex Surveyors Private Limited U66010KA1986PTC007830 Karnatak Mining Company Private Limited U13209KA1957PTC001280 |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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100,000 |
Equity Shares |
Rs. 100/- each |
Rs. 10.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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99,500 |
Equity Shares |
Rs. 100/- each |
Rs. 9.950
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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9.950 |
9.950 |
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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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730.656 |
573.256 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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740.606 |
583.206 |
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LOAN FUNDS |
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1] Secured Loans |
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624.423 |
186.210 |
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2] Unsecured Loans |
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9.641 |
2.997 |
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TOTAL BORROWING |
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634.064 |
189.207 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
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1374.670 |
772.413 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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830.745 |
250.453 |
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Capital work-in-progress |
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21.388 |
4.529 |
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INVESTMENT |
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171.828 |
161.899 |
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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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302.115 |
148.833 |
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Sundry Debtors |
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27.600 |
160.187 |
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Cash & Bank Balances |
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18.585 |
29.949 |
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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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435.806 |
413.544 |
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Total
Current Assets |
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784.106 |
752.513 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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239.391 |
274.773 |
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Provisions |
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194.264 |
122.208 |
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Total
Current Liabilities |
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433.655 |
396.981 |
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Net Current Assets |
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350.451 |
355.532 |
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MISCELLANEOUS EXPENSES |
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0.258 |
0.000 |
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TOTAL |
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1374.670 |
772.413 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Sales Turnover [Estimated] |
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1500.000 |
1000.000 |
KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Debt Equity Ratio (Total Liability/Networth) |
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1.44 |
1.01 |
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Current Ratio (Current Asset/Current Liability) |
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1.81 |
1.90 |
LOCAL AGENCY FURTHER INFORMATION
Bankers Charges
Report as per Registry
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Name of the company |
MINERAL ENTERPRISES
LIMITED |
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Presented By |
STANDARD
CHARTERED BANK, |
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1) Date and description of instrument creating the change |
22.01.2005
Both documents
relate to single charge |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 100.000
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
all the present and future plant and machinery belonging to or which may at
any time hereafter. Hypothecation of all stocks and book debts belonging to
or which may at any time hereafter belonging to the borrower or be in course
of transit or awaiting transit by any made of transport to the borrower’s
said min / factory or premises. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
First and lose
charge as security under the packing credit / Bills discounting / post
shipment facilities of Rs. 100.000 Millions availed by Mineral Enterprises
Limited from the Bank. |
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5) Name and Address and description of the person entitled to the charge. |
Standard Chartered Bank, No. 26-27, M |
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6) Date and brief description of instrument modifying the charge |
21.03.2005 Supplementary
Hypothecation Agreement stocks / book debts / machinery |
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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 enhanced
from Rs. 100.000 millions to Rs. 200.000 Millions All other terms,
conditions and existing securities to continue. |
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This form is for |
Modification of
charge |
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Charge
identification number of the charge to be modified |
10004261 |
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Corporate
identity number of the company |
U14219KA1962PTC001473 |
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Name of the
company |
MINERAL ENTERPRISES LIMITED |
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Address of the
registered office or of the principal place of business in |
300/1B, 16th Cross, Sadashivnagar, |
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Type of charge |
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Particular of
charge holder |
State Bank of No. 664/645,
Avenue Road, |
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Nature of
description of the instrument creating or modifying the charge |
Letter from State
Bank of |
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Date of
instrument Creating the charge |
17.05.2007 |
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Amount secured by
the charge |
Rs. 320.000
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest Interest @ 7.00 %
p.a. upto 180 days under exporters gold card scheme Terms of repayment
Repayment on
demand Margin 25 % Extent and
operation of the charge There is no
change in the credit facilities of Rs. 320.000 Millions sanctioned. Exclusive
first charge on 5 Wind Turbines installed at |
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Short particulars
of the property charged |
Hypothecation by
way of first charge over 5 Wind
Turbines installed at Hypothecation
chare over entire current assets of the company includes stock of manganese,
iron ore, receivables and other current assets ranking pari passu with Standard
Chartered Bank, Hypothecation over entire movable and immovable assets, Plant
and Machinery of the company, ranking with Standard Chartered Bank. All other terms, conditions to continue. |
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Date of latest
modification prior to the present modification |
20.05.2006 |
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Particulars of the
present modification |
Hypothecation by
way of first charge over 5 Wind
Turbines installed at Hypothecation chare
over entire current assets of the company includes stock of manganese, iron
ore, receivables and other current assets ranking pari passu with Standard
Chartered Bank, Hypothecation over entire movable and immovable assets, Plant
and Machinery of the company, ranking with Standard Chartered Bank. All other terms, conditions to continue. |
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
|
Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.40.38 |
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1 |
Rs.81.88 |
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Euro |
1 |
Rs.55.52 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
9 |
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PAID-UP CAPITAL |
1~10 |
7 |
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OPERATING SCALE |
1~10 |
7 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
9 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
8 |
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--LEVERAGE |
1~10 |
8 |
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--RESERVES |
1~10 |
7 |
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--CREDIT LINES |
1~10 |
7 |
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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 |
YES |
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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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68 |
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 |
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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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