MIRA INFORM REPORT
|
Report Date : |
20.07.2007 |
IDENTIFICATION
DETAILS
|
Name : |
GLAND
PHARMA LIMITED |
|
|
|
|
Registered Office : |
6-3-862,
Ameerpet, Hyderabad-500016, |
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Country : |
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|
Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
20.03.1978 |
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|
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|
Com. Reg. No.: |
01-2276 |
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|
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CIN No.: [Company Identification No.] |
U24239AP1978PLC002276 |
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|
|
|
TAN No.: [Tax Deduction & Collection Account
No.] |
HYDG00199D |
|
|
|
|
Legal Form : |
Closely Held Public
Limited Liability Company |
|
|
|
|
Line of Business : |
Manufacturer of Small Volume Parentals (SVPs) Including Pre
Filled Syringes (PFSs). |
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 |
|
Maximum Credit Limit : |
USD 2600000 |
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|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually
Correct |
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|
|
Litigation : |
Clear |
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|
Comments : |
Subject is a closely held and well established company engaged
in manufacturing and marketing of Active Pharmaceutical Ingredients (APIs)
and Injectable formulations. The company’s business is progressing very well.
Financial position is satisfactory. Trade relations are reported as fair.
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 : |
6-3-862, Ameerpet, |
|
Tel. No.: |
91-40-55621010 / 23541535 |
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Fax No.: |
91-40-23402229 |
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E-Mail : |
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|
Website : |
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|
Area : |
4000 sq.fts. |
|
Location : |
Owned |
|
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Factory
1 : |
6-3-862, Ameerpet, |
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Tel.
No.: |
91-40-2331 2415/2157 |
|
Fax
No.: |
91-40-2331 2229 |
|
Area : |
12
acres |
|
Location : |
Owned |
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|
|
|
Factory
2: |
D. P. Pally Village, Dunogial P.O. Hyderabad-500016, |
DIRECTORS
|
Name : |
Mr.
P.V.N. Raju |
|
Designation : |
Chairman
|
|
Address : |
303,
My Home Gardenia Appartments, Ameerpet, Hyderabad-16 |
|
Date of Birth/Age : |
28/05/1933 |
|
Date of Appointment : |
01.07.1980 |
|
|
|
|
Name : |
Mr.
Ravi Penmesta |
|
Designation : |
Vice
Chairman and Managing Director |
|
Address : |
304,
My Home Gardenia Appartments, Ameerpet, Hyderabad-16 |
|
Date of Birth/Age : |
05/11/1956 |
|
Date of Appointment : |
30.08.2004 |
|
|
|
|
Name : |
Mr. B.
Rama Raju |
|
Designation : |
Executive
Director |
|
Address : |
1242,
Road No.62, Jubilee Hills, Hyderabad-500034, |
|
Date of Birth/Age : |
08.03.1980 |
|
Date of Appointment : |
13.06.2005 |
|
|
|
|
Name : |
Dr. G.
Nandamuni |
|
Designation : |
Director
|
|
Address : |
306,
My Home Gardenia Appartments, Ameerpet, Hyderabad-16 |
|
Date of Birth/Age : |
15/07/1939 |
|
Date of Appointment : |
05.07.2000 |
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|
|
|
Name : |
Mr. B.
Vijaypasad |
|
Designation : |
Director
|
|
Address : |
3/2,
RT, First Floor, Vijaya Nagar Colony, Hyderabad-500057 |
|
Date of Birth/Age : |
15/03/1952 |
|
Date of Appointment : |
07.09.2000 |
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|
|
|
Name : |
Mr.
UDO J Vetter |
|
Designation : |
Director
|
|
Address : |
IM
Kammer Bruehl 24, D 88212, |
|
Date of Birth/Age : |
23/11/1954 |
|
Date of Appointment : |
12.01.1996 |
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|
|
|
Name : |
Mr.
Jenik Ravon |
|
Designation : |
Director
|
|
Address : |
269,
W, |
|
Date of Birth/Age : |
14/01/1946 |
|
Date of Appointment : |
12.01.1996 |
|
|
|
|
Name : |
Mr.
Yuk Lam Lo |
|
Designation : |
Director
|
|
Address : |
Unit
No 1111, 11/F, New Jiwkiib, Okazam, 38.tai |
|
Date of Birth/Age : |
29/07/1948 |
|
Date of Appointment : |
12.01.1996 |
|
|
|
|
Name : |
Mr. A
Ramesh |
|
Designation : |
Nominee
of APIDC |
|
Address : |
7-7-77/C,
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|
Date of Birth/Age : |
21/05/1957 |
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|
|
|
Name : |
Mr.
Hans George Hansmann |
|
Designation : |
Nominee
of DEG |
|
Address : |
Director
DEG Office of |
|
Date of Birth/Age : |
17/06/1940 |
|
|
|
|
Name : |
Mr.
Klaus Schoenwetter |
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Designation : |
Alternate
Director of UDO J Vetter |
|
Address : |
IM
Kammer Bruehl 24, D 88212, |
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Date of Birth/Age : |
12/03/1945 |
|
|
|
|
Name : |
Dr. K.
Hanumanthappa |
|
Designation : |
Director |
|
Address : |
1262,
Prasanthi, 32nd G Cross, 28th Main, 4th T
Block, Jayantnagar, Bangalore-560041, |
|
Date of Birth/Age : |
08.08.1935 |
|
Date of Appointment : |
30.08.2004 |
|
|
|
|
Name : |
Mr. G.
Gopala Krishna Murty |
|
Designation : |
Director |
|
Address : |
7-B,
Sanjeev Areddy Nagar, Hyderabad-500038, |
|
Date of Birth/Age : |
16.01.1931 |
|
Date of Appointment : |
30.08.2004 |
|
|
|
|
Name : |
Ms.
Maria Spoelgen |
|
Designation : |
Director |
|
Address : |
Deg,
Belvederestrasse, 40, 50933, |
|
Date of Birth/Age : |
12.04.1956 |
|
Date of Appointment : |
30.08.2004 |
MAJOR
SHAREHOLDERS
|
Names
of Shareholders |
No. of Shares |
|
Gland
Celsus Biochemicals Private Limited |
2089600 |
|
Dr. P.V.N.
Raju |
17700 |
|
Mrs.
P. Suryakantam |
13000 |
|
Mrs.
K. Jhansi Lakshmi |
46000 |
|
Mrs.
S. Kanaka Durga |
53900 |
|
Dr. P.
Ravindranath |
70300 |
|
Dr.
Sagi N. Raju |
7500 |
|
Mr. K.
Aravind Raju |
12000 |
|
Dr. P.
Tirumala Raju |
4500 |
|
Mr.
B.V.S. Sagar |
5000 |
|
Mr. B.
Tirumala Kumar |
7000 |
|
Mr.
Shabbir Taher Chass |
8300 |
|
Mr.
Kuresh Tahar Chass |
8300 |
|
Mr.
Helmut Vetter and Mr. Jenik Radon |
899800 |
|
Dr. V.
P. Raju |
269500 |
|
Jeshta
Farms Private Limited |
200000 |
|
Satabisha
Agro Private Limited |
200000 |
|
Sravana
Agro Private Limited |
200000 |
|
Rohini
Biotech Private Limited |
200000 |
|
Chitta
Farms Private Limited |
200000 |
|
DEG –
Deutsche Investitions MBH |
1200000 |
|
Mrs.
Binaca Maria Vetter Kerkhoff |
38700 |
|
Fincity
Investments Private Limited |
280000 |
|
SNR
Investments Private Limited |
280000 |
|
Mrs.
S. Kanaka Durga |
53900 |
|
Veeyes
Investments Private Limited |
280000 |
|
Mr.
Jenik Radon |
36500 |
|
Ethigen
Labs Private Limited |
293200 |
|
Questar
Laboratories Private Limited |
293200 |
|
Hansgiri
Greenlands Private Limited |
210000 |
|
Vishnuipadi
Greenlands Private Limited |
200000 |
|
Arunagiri
Agro-farms Private Limited |
133000 |
|
Mr.
Udo J. Vertter and Mr. Jenik Radon |
147400 |
|
Mr.
Klaus Schoenwetter and Mr. Jenik Radon |
108700 |
|
Mr.
Rajiv Dutta |
100000 |
|
Smith
Barney as IRA Custodian, FBO Mr. Jenik Radon |
85400 |
|
Ms.
Kaara Radon |
198300 |
|
Mr.
Donald Hugh Keenan |
70500 |
|
Ms.
Radha Raju Vegesna |
108900 |
BUSINESS
DETAILS
|
Line of Business : |
Manufacturer of Small
Volume Parentals (SVPs) Including Pre Filled Syringes (PFSs). |
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Products : |
Its product range includes Ø
Heparin Ø
Indeparin Ø
Protomine Sulphate Ø
Ciprofloxacin Ø
Diclofenac
|
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Exports to : |
USA
& European Countries |
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Imports from : |
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GENERAL
INFORMATION
|
Customers : |
End
User |
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|
|
|
No. of Employees : |
500 |
|
|
|
|
Bankers : |
Syndicate Bank Khairatabad, Hyderabad-500004, Export-Import Bank of Centre One, World Trade Centre, Cuffe Parade, Mumbai-400005 |
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|
|
|
Banking Relations : |
Satisfactory |
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|
|
|
Auditors : |
Y. Raghuram and Company Chartered Accountants |
|
Address : |
118, Phase –I, Kamalapuri, 8-3-833/ 118, |
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|
|
|
Associates/Subsidiaries : |
Gland Celcius Biochemical Private Limited 6-3-862, Ameerpet, |
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Tel. No.: |
91-40-55621010 / 23541535 |
|
Fax No.: |
91-40-23402229 |
CAPITAL
STRUCTURE
Authorised
Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
16000000 |
Equity Shares |
Rs.10 each |
Rs.160.000 millions |
|
1000000 |
Preference Shares |
Rs.10 each |
Rs.10.000 millions |
|
|
Total |
|
Rs.170.000
millions |
Issued,
Subscribed & Paid-up Capital :
|
No.
of Shares |
Type |
Value |
Amount |
|
96,751,00 |
Equity Shares |
Rs. 10 each |
Rs.96.751 millions |
FINANCIAL
DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE SHEET
|
SOURCES OF FUNDS |
|
31.032006 |
31.03.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
96.751 |
96.751 |
|
|
2] Share Application Money |
|
1.184 |
1.184 |
|
|
3] Reserves & Surplus |
|
558.364 |
468.873 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
|
NETWORTH |
|
656.299 |
566.808 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
525.912 |
519.492 |
|
|
2] Unsecured Loans |
|
35.300 |
21.602 |
|
|
TOTAL BORROWING |
|
561.212 |
541.094 |
|
|
DEFERRED TAX LIABILITIES |
|
118.815 |
107.507 |
|
|
|
|
|
|
|
|
TOTAL |
|
1336.326 |
1215.409 |
|
|
|
|
|
|
|
|
APPLICATION
OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED
ASSETS [Net Block] |
|
952.983 |
853.816 |
|
|
Capital
work-in-progress |
|
41.480 |
64.819 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
0.000 |
0.000 |
|
|
DEFERREX
TAX ASSETS |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT
ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
233.891
|
147.689 |
|
|
Sundry
Debtors |
|
161.046
|
130.878 |
|
|
Cash
& Bank Balances |
|
15.871
|
39.153 |
|
|
Other
Current Assets |
|
24.059
|
13.720 |
|
|
Loans
& Advances |
|
21.330
|
25.941 |
|
Total Current
Assets |
|
456.197
|
357.381
|
|
|
Less : CURRENT LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current
Liabilities |
|
77.421
|
51.685 |
|
|
Provisions |
|
36.913
|
8.922 |
|
Total Current
Liabilities |
|
114.334
|
60.607
|
|
|
Net Current Assets |
|
341.863
|
296.774
|
|
|
|
|
|
|
|
|
MISCELLANEOUS
EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
1336.326 |
1215.409 |
|
PROFIT & LOSS ACCOUNT
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
|
Sales Turnover [including other income] |
|
830.224 |
703.672 |
|
|
|
|
|
|
Profit/(Loss) Before Tax |
|
137.599 |
109.061 |
|
Provision for Taxation |
|
48.108 |
26.404 |
|
Profit/(Loss) After Tax |
|
89.491 |
82.657 |
|
|
|
|
|
|
Export Value |
|
363.336 |
NA |
|
|
|
|
|
|
Total Expenditure |
|
692.625 |
594.611 |
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
|
10.78 |
11.75 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
|
16.57 |
15.50 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
9.76 |
9.00 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
|
0.21 |
0.19 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
|
1.03 |
1.06 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
|
3.99 |
1.20 |
LOCAL
AGENCY FURTHER INFORMATION
Form 8 Particular for creation or
modification of charges
|
Name
of the company |
Gland
Pharma Limited |
|
Presented By |
Dr. Ravi Penmetsa, MD |
|
1)
Date and description of instrument creating the change |
Unattested
Deed of Hypothecation dated 09.09.2004 executed by Gland Pharma Limited
(therein and hereinafter referred to as “the Borrower”) in favour of
Export-Import Bank of India (“Exim Bank”), a certified true copy whereof is
attached hereto. |
|
2)
Amount secured by the charge/amount owing on the securities of charge |
Loan
of Rs.100 millions together with interest, compound interest, additional
interest by way of liquidated damages (in case of default), costs, (legal
costs on a full indemnity basis), charges, expenses and all other monies
payable by the Borrower to Exim bank under the Loan Agreement dated the 09.09.2004
made between the Borrower and Exim Bank. |
|
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 |
The
whole of the Borrower’s movable fixed assets, both present and future,
briefly described in Schedule III to the Deed of Hypothecation, including its
movable Plant and machinery, spares and stores, tools and accessories, whether
or not installed. |
|
4)
Gist of the terms and conditions and extent and operation of the charge. |
The
charge created by the aforesaid Deed of Hypothecation shall operate as a
continuing security by way of a first passu charge for the due repayment by the
Borrower to Exim Bank of the Loan of Rs.100 millions together with payment of
interest, compound interest, additional interest by way of liquidated damages
(in case of default), costs (legal costs on a full indemnity basis), charges,
expenses and all other monies payable by the Borrower to Exim Bank in terms
of the said Loan Agreement. The said charge shall rank in the order of
priority set out in Schedule IV to the Deed of Hypothecation. |
|
5)
Name and Address and description of the person entitled to the charge. |
Export-Import Bank of Centre One World Trade Centre Cuffe Parade Mumbai-400005 |
|
6)
Date and brief description of
instrument modifying the charge |
Not
Applicable |
|
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. |
Not
Applicable |
Website Details :
Established in the
year 1978 as an exclusive facility for Small Volume Parenterals (SVPs), Subject
has developed into a progressive and quality conscious organization serving the
pharmaceutical needs of diverse markets across the globe.
The Company has
world-class & world-scale facilities for injectables set up in
collaboration with Vetter Group,
The Company is
constantly upgrading its operations and facilities to meet current Good
Manufacturing Practice (cGMP) standards. It has earned a position of leadership
in the country in injectables manufacture.
Subject is a
research-focused organization continuously developing niche products for the
Indian and global pharmaceutical markets. It has pioneered Heparin technology
in
Products
Subject's Product
strategy is an integration of its strengths in GAGs and Pre-Filled Syringes.
The Company has launched many niche molecules in the domestic markets and is
also marketing the same in other near regulated markets.
In keeping with the strengths, the company chooses products that fit into a
common pattern:
Possibility for
delivery in syringes or other injectables.
Application in niche
segments of Cardiology, Anticoagulants, Anaesthetics - Institutional products.
Through its research,
development and manufacturing, the company is committed to deliver products
that consistently meet or exceed the expectations of its customers. It ensures
this commitment through design of quality products, efficient production,
quality assurance systems, reliable delivery, and continued service of its
products.
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.44.33 |
|
|
1 |
Rs.87.49 |
|
Euro |
1 |
Rs.58.88 |
SCORE
& RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
|
53 |
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 |