MIRA
INFORM REPORT
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Report Date : |
31.07.2007 |
IDENTIFICATION DETAILS
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Name : |
ADVENT DYESTUFFS AND CHEMICALS PRIVATE LIMITED |
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Registered Office : |
Plot No. 22 A and B, Phase I, GIDC, Vapi – 396 195, Valsad, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
12.04.1971 |
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Com. Reg. No.: |
001877 |
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CIN No.: [Company
Identification No.] |
U24231GJ1971PTC001877 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
SRTA01838E |
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PAN No.: [Permanent
Account No.] |
AAECA0629E |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Exporters of Acid, Direct Leather, Reactive, Basic and
Solvent Dyes, Pigments and Dyes Intermediates. |
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 68000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established and reputed company having satisfactory track. Directors are reported as experienced and
respectable businessmen. Trade
relations are reported as fair.
Business is active. Payments
are usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office / Factory: |
Plot No. 22 A and B, Phase I, GIDC, Vapi – 396 195, Valsad, |
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Tel. No.: |
91-260-2430146 / 2432142 |
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Fax No.: |
91-260-2400195 |
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Area : |
10000 Sq. yards |
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Location : |
Owned |
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Administrative Office : |
Pitruchhaya, Sanghvi Estate, |
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Tel. No.: |
91-22-2557 6668 / 6797 3368 |
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Fax No.: |
91-22-2557 6578 |
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E-Mail : |
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Website : |
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Location : |
Owned |
DIRECTORS
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Name : |
Mr. Viren V. Sanghvi |
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Designation : |
Director |
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Date of Birth/Age : |
40 years |
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Qualification : |
Graduate |
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Experience : |
20 years |
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Name : |
Mr. Atul V. Sanghvi |
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Designation : |
Director |
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Date of Birth/Age : |
51 years |
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Qualification : |
Chartered Accountant |
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Experience : |
30 years |
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Name : |
Mr. Rajan Shah |
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Designation : |
Director |
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Mobile No.: |
91-9825146920 |
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Date of Birth/Age : |
51 years |
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Qualification : |
Double Graduate |
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Experience : |
30 years |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of Acid, Direct Leather, Reactive, Basic
and Solvent Dyes, Pigments and Dyes Intermediates. |
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Products : |
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Exports : |
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Countries : |
Germany, Italy, United States, United Kingdom, Hongkong, Republic of Korea,
China, Australia, Japan, Taiwan, Thailand |
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Imports : |
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Products : |
Raw Material |
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Countries : |
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Terms : |
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Selling : |
Credit (30 days – 90 days) |
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Purchasing : |
L/C, Credit (90 days) |
GENERAL INFORMATION
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Customers : |
Wholesalers |
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No. of Employees : |
20 – 25 |
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Bankers : |
State Bank of GIDC, Vapi Industrial Branch, |
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Facilities : |
v
Cash Credit Facility v
Overdraft Facility v
L/C Facility |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Manoj Ashra and Associates Chartered Accountants |
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Memberships : |
CHEMEXCIL |
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Associates/Subsidiaries : |
Techno Colour Corporation Address: Vapi, Line of Business: Manufacturers and Exporters of Acid, Direct
Leather,
Reactive, Basic and Solvent Dyes, Pigments and Dyes
Intermediates. |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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900000 |
Equity Shares |
Rs. 10.00 each |
Rs. 9.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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481400 |
Equity Shares |
Rs. 10.00 each |
Rs. 4.814
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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4.814 |
4.814 |
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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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12.379 |
11.687 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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17.193 |
16.501 |
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LOAN FUNDS |
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1] Secured Loans |
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0.000 |
0.000 |
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2] Unsecured Loans |
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0.000 |
0.000 |
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TOTAL BORROWING |
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0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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17.193 |
16.501 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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8.844 |
8.348 |
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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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2.189 |
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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4.290 |
4.117 |
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Sundry Debtors |
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4.628 |
9.139 |
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Cash & Bank Balances |
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1.179 |
0.558 |
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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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3.879 |
4.332 |
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Total
Current Assets |
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13.976 |
18.146 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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6.135 |
8.144 |
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Provisions |
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1.681 |
1.849 |
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Total
Current Liabilities |
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7.816 |
9.993 |
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Net Current Assets |
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6.160 |
8.153 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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17.193 |
16.501 |
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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 |
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31.517 |
39.428 |
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Other Income |
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4.590 |
4.590 |
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Total Income |
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67.337 |
75.248 |
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Profit/(Loss) Before Tax |
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5.173 |
4.982 |
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Provision for Taxation |
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1.881 |
1.849 |
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Profit/(Loss) After Tax |
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3.292 |
3.133 |
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Expenditures : |
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Raw Material consumed |
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21.658 |
28.466 |
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Wages and Labour charges |
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0.875 |
1.628 |
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Electricity Charges |
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0.744 |
0.964 |
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Repairs and Maintenance |
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0.297 |
0.259 |
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Bank Charges |
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0.044 |
0.037 |
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Bank Interest |
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0.002 |
0.000 |
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Depreciation |
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0.746 |
0.724 |
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Insurance Charges |
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0.080 |
0.070 |
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Audit Fees |
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0.075 |
0.074 |
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Administration Charges |
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0.002 |
0.002 |
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Remuneration to Directors |
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0.360 |
0.360 |
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Staff Welfare Expenses |
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0.040 |
0.104 |
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Telephone Charges |
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0.010 |
0.017 |
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Printing and Stationery Charges |
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0.039 |
0.030 |
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Rent, Rates and Taxes |
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0.116 |
0.044 |
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Donation |
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0.256 |
0.017 |
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Miscellaneous Expenses |
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0.114 |
0.103 |
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Other Expenditure |
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36.706 |
37.458 |
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Total Expenditure |
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62.164 |
70.266 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
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4.89 |
4.16 |
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Net Profit Margin (PBT/Sales) |
(%) |
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16.41 |
12.64 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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22.67 |
18.80 |
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Return on Investment (ROI) (PBT/Networth) |
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0.30 |
0.30 |
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Debt Equity Ratio (Total Liability/Networth) |
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0.45 |
0.61 |
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Current Ratio (Current Asset/Current Liability) |
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1.79 |
1.82 |
Expected Sales (2007-08): Rs. 100.000 millions
LOCAL AGENCY FURTHER INFORMATION
Trade References
M.
M.
Website details attached:
Profile
Subject is one of the manufacturers, suppliers and
exporters of textile dyes, textile dyes, leather dyes, acid dyes, acid metal complex
dyes, acid mordant dyes, and acid milling dyes, direct dyes, solvent dyes and
host of other products. The company has made a rapid progress in the business
owing to its premium quality products. It has some of most experienced
professionals with an illustrious career track record in its team.
The Company
presents a range of outstanding quality of dyes and colours which are used in
various industries like textile, leather, nylon, silk, wool, paper and printing
ink.
Quality Control
The company has a
dedicated team of highly qualified and experienced technical persons to back
the manufacturing activities. The management adopts rigid safety rules and also
keeps in mind the environmental aspects. The products are thoroughly checked
for quality in the laboratory. The quality laboratory is well equipped with
most modern equipments.
Infrastructure
The manufacturing unit is located on the banks of
Clients
The company has a huge list of clients. Its products are
exported to the quality conscious market of U.S.A,
Subject has a product line to include wide range of dyestuffs like Acid
Dyes, Acid Metal Complex Dyes, Acid Mordant Dyes, and Non Benzidine Direct
Dyes. Though these range of products are used mainly by Leather and Textile
Industry, it also finds other applications
QUALITY ASSURANCE
Research and
Development
The Development of subject is based on a
continuous research effort, creating it own Innovative Technologies. It has
highly specialized team of technicians and collaborates with the
Quality
Assurance
Subject maintains
a very high level of Quality standards matching to international level. Full
pledged testing laboratory with computerized color matching systems gives
perfect result required by the user.
Besides their
normal products, they shall be willing to manufacture any of the products from
azo series of dyestuffs from Ciba range, BASF range, Clariant's range and
Dyestar's range.
EFFLUENT
TREATMENT PLANT (ETP) AND ITS OPERATION
Subject is
producing S.O.Dyes. Most of the dyes are spray-dried with their recently
commissioned Spray Dried Plant.
The waste water generated
from the production process is mainly the washings of the Spray Dried Plant and
the reactors, which gets collected in 25 M3 capacities RCC underground
Collection Tank from this tank, the waste water is pumped to 3 X 5 M3
capacities R.C.C stirred tanks, three such tanks are available in series. The
waste water is checked for pH. (There are 2 X 10 M3 capacity HDPE underground
tanks in reserve. In most cases, it is neutral and if not, it is corrected
either with HCl or Caustic Lye depending on the pH value to get the resultant
pH within 6.5 - 8.5. It is then treated with diluted Ferrous Sulphate solution
and the pH is compensated to form small flocks. It is then treated with
Polyelectrolyte solution to precipitate the coagulated mass. The resultant coagulated
mass is then filtered in Nutsche filter. The clear liquid is allowed to flow
either in underground 10 M3 HDPE tank or underground 25 M3 R.C.C tank. The
contents are checked for COD. The treated waste water is aerated further by
diffuse aeration system, if required.
LOCATION
Subject is promoted by a group of people having sound
Technical knowledge and financial expertise.
Plant is located at Vapi, in beautiful surrounding of
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. 40.54 |
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1 |
Rs. 82.02 |
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Euro |
1 |
Rs. 55.31 |
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 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
6 |
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--LEVERAGE |
1~10 |
6 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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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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48 |
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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