MIRA
INFORM REPORT
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Report Date : |
17.07.2007 |
IDENTIFICATION DETAILS
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Name : |
GEM
GRANITES |
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Registered Office : |
76
& 78, |
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Country : |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
1973 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEG00042A |
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PAN No.: [Permanent
Account No.] |
AAAFG2370F |
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Legal Form : |
A partnership
concern with an unlimited liability of the partners. |
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Line of Business : |
Manufacturers of Dimensional Rough Granite Blocks, Cut and
Polished Granites both Slabs, Cut to sizes Monuments, Ornamental Pieces, etc. |
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 3000000 |
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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 concern in
granite industry. Trade relations are fair. Financial position is satisfactory.
Payments are usually correct and as per commitments. The concern can
be considered good for normal business dealings at usual trade terms and
conditions. |
LOCATIONS
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Registered Office : |
76
& 78, |
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Tel. No.: |
91-44-28115190 (10 lines) |
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Fax No.: |
91-44-28117338 / 1636 |
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E-Mail : |
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Website : |
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Location : |
Owned |
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Factory 1 : |
146, |
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Tel. No.: |
91-44-24490885/24491835 |
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Location : |
Owned |
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Factory 2 : |
Old |
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Location : |
Owned |
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Factory 3 : |
3/400,
Circle Thottam, Near |
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Tel. No.: |
91-427-2270810 |
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Fax No.: |
91-427-2270811 |
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Location : |
Owned |
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Factory 4 : |
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Location : |
Owned |
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Factory 5 : |
Venkateswarapuram
H/O Velavadi, M. Kothur Post 517 590, Nagari, Chitoor District, Andhra
Pradesh |
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Location : |
Owned |
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Branches : |
Located
at : ·
Hoodi Apartments, 120, Tel. No. 91-80-22257824 Fax No. 91-80-22259704 ·
Tel. No. 91-44-28115190 (10
lines)
Fax No. 91-44-28117338 / 1636
E-Mail 1. gemigpl@vsnl.com 2. gemgran@giasmd01.vsnl.net.in ·
8, Tel. No. 91-44-28116107/8112333 Fax No. 91-44-28117338 |
PARTNERS
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Name : |
Mr.
R. Veeramani |
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Designation : |
Managing Partner |
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Name : |
Mr. S. R.
Asaithambi |
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Designation : |
Partner |
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Name : |
Mr. R. Sekar |
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Designation : |
Partner |
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Name : |
Mr. S. R. Kumar |
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Designation : |
Partner |
KEY EXECUTIVES
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Name : |
Mr. R. Veeramani |
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Designation : |
Chairman (Group) |
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Experience : |
Chairman – Development Panel for Granite Industry, President – Confederation of Export Units, Chairman – Granite and Other Stone Products Panel of
Chemicals & Allied Products Export Promotion Council, Member – Board of Trade
National Vice President, Past & Current Chairman - Indo American Chamber of Commerce Vice President - Indo Former Trustee - Chairman – Ministry of Industry, Government of Member – Granite Development Council Founder President - All |
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Name : |
Mr. Vasudevan |
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Designation : |
Company Secretary |
BUSINESS DETAILS
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Line of Business : |
Manufacturers
of Dimensional Rough Granite Blocks, Cut and Polished Granites both Slabs,
Cut to sizes Monuments, Ornamental Pieces, etc. |
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Products : |
Rough
Dimensional Blocks, Flamed, Honed and Cut to size structural building slabs,
Monuments and memorials of different countries in exclusive designs and
modular tiles, Vanity and Counter Tops, Table Tops and Sculpture and moulded
sculpture pieces in different colours of natural granites stones. |
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Exports : |
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Products : |
Rough
Granite Blocks, Cut and Polished Granites in various forms |
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Countries : |
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Imports : |
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Products : |
Machineries,
Consumables and Spares for Granite Processing |
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Countries : |
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Terms : |
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Selling : |
L/C
terms |
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Purchasing : |
L/C
terms |
GENERAL INFORMATION
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Customers : |
Wholesalers
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No. of Employees : |
2000 |
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Bankers : |
Indian
Overseas Bank Foreign
Exchange Department, Esplanade Branch, Chennai – 600 001, |
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Facilities : |
The
concern enjoys comprehensive facilities from its’ banker. [Packing Limit] |
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Banking
Relations : |
Satisfactory |
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Memberships : |
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Associates/Subsidiaries : |
·
Imperial Granites Private Limited Tel. No. 91-44-28115190 (10
lines)
Fax No. 91-44-28117338 / 1636
E-Mail 1. gemigpl@vsnl.com 2. gemgran@giasmd01.vsnl.net.in Subject specialises in production of tiles and slabs for
the international market. It is an ISO
9002 certified company. ·
Gem Spinners India Limited Subject is a modern cotton yarn-spinning mill with
knitting facility, with a project cost of 31 million DM. ·
Gem Holiday Resorts Limited It has established a ·
Pronet System Limited Subject was founded in 1997 to provide customised business
software solutions in the areas of manufacturing, finance, purchase,
inventory, sales management, customer service, human resource management,
internet, E-commerce, etc. ·
Coromandel Agencies 8, Tel. No. 91-44-28116107/8112333 Fax No. 91-44-28117338 ·
Cauvery Stones Impact Private Limited 3/400, Circle Thottam, Near Tel. No. 91-427-2270810 Fax. No. 91-427-2270811
·
Stone Wonders ( |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs. 800.000
millions |
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Borrowed : |
-- |
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Total : |
Rs. 800.000
millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
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Particulars |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
Sales Turnover |
2080.000 |
1800.000 |
1620.000 |
Expected Sales (2007-08) : Rs.2600.000 Millions
LOCAL AGENCY FURTHER INFORMATION
HISTORY
Subject
was established in the year 1973 at Chennai in Tamil Nadu as a family
partnership concern.
The Gem
Group is headed by Mr. R. Veeramani. He
was the only Indian entrepreneur to be honoured by the Government of India with
a Special Award on the occasion of the celebration of the 50th
Anniversary of India’s
The Gem
Group has diversified into industrial and commercial areas like textiles, hotels
and resorts and information technology.
The Gem
Group also manufactures modular tiles, vanity and counter tops, table tops,
vases and sculptured granite pieces in different colours. Several prestigious buildings in the world
have used the stones from the concern.
The
concern and its sister concern, Imperial Granites Private Limited have been
awarded ISO 9002 Certification for their products.
A
number of Granite companies around world have used the materials from the Gem
Group for their prestigious buildings and memorials worldwide. Some of them are
:
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Matsushita Sangyo Co. Limited,
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Hyundai Villa,
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Happy World Inc.,
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Nisso Iwai New
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Holocaust Memorial Building,
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International Monetary Fund,
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Amgen Centre,
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Ministry of
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Tower,
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Urban Bank,
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Currency Operation Centre, Bank of
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HongKong Electricity Supply Co.,
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Kingswood Villa,
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Eastern
·
Fat Cheong Project,
BUSINESS
Subject
is engaged in the business as manufacturers of Dimensional Rough Granite
Blocks, Cut and Polished Granites both Slabs, Cut to sizes Monuments,
Ornamental Pieces, etc.
The
concern has promoted exclusive branded colours like New Imperial Red, New
Mahogany, Oyster Pearl, Lavendar Blue, Bahama Blue, Q4 Black, Imperial White,
Tropical Green, Kashmir White, Golden Dragon (Yellow), Pacific Rainbow, Indian
Jurpana and Paradiso and Multi Colour varieties.
The concern
is one of the largest exporters of Granite Products. It manufactures quality granites for
buildings, polished flame finished slabs, modular tiles, cut to size panels,
monuments of all kinds, etc.
The
concern’s product range includes rough dimensional blocks, polished, flamed,
honed and cut to size structural building slabs, monuments, memorials and
mausoleums for different countries in exclusive designs.
The
concern has the capacity of producing rough dimensional blocks, upto 7500 cubic
meters.
Subject
is a 100% Export Oriented Unit.
It is in trade terms with :-
·
Matsushita Sangyo Company Limited,
·
Mitsubishi Corporation,
·
Sumitomo Corporation,
The
Group has over 150 quarries of its own and a few more are in the pipeline.
Subject
has received several awards such as CAPEXIL Award, National Export Award,
Certificate of Merit, Special Award from Ministry of Steel & Mines, etc.
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 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.40.37 |
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1 |
Rs.82.18 |
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Euro |
1 |
Rs.55.67 |
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 |
6 |
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OPERATING SCALE |
1~10 |
6 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
6 |
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--CREDIT LINES |
1~10 |
6 |
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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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54 |
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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