MIRA INFORM REPORT

 

 

Report Date :

30.05.2007

 

IDENTIFICATION DETAILS

 

Name :

VIGNESHWARA EXPORTS LIMITED

 

 

Registered Office :

450/451, Kewal Industrial Estate, S B Marg, Lower Parel [West], Mumbai –

400013, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2005

 

 

Date of Incorporation :

01.04.1986

 

 

Com. Reg. No.:

039425

 

 

CIN No.:

[Company Identification No.]

U51900MH1986PLC039425

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMV05811B

 

 

Legal Form :

It is a closely held public limited liability company

 

 

Line of Business :

Manufacturer and Exporter of Home Textile Items like Cotton / Polyester bed Sets, Curtains, Sofa Throws and Kitchen Towels etc.

 

 

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 758000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually Correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well established company having satisfactory track. Trade relations are fair. Financial position is satisfactory. 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 :

450/451, Kewal Industrial Estate, S B Marg, Lower Parel [West], Mumbai – 400013, Maharashtra, India.

Tel. No.:

91-22-24926500 [6 Lines]

Fax No.:

91-22-24979304

E-Mail :

vigneshwara@vsnl.com ; vignesh@giasbm02.vsnl.net.in

Website :

http://www.vigneshwara.com

 

 

Factory:

Shed No. 2, 590, Narol – Vatva Road, Near Sonal Process, Ahmedabad

– 382 443, Gujarat, India

 

 

DIRECTORS

 

Name :

Mr. Krishnamurari S. Poddar

Designation :

Executive Director

Address :

4, Ameeta Building, 7th G. J. Bhosale Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Appointment :

01.04.1986

 

 

Name :

Ms. Neelam K. Poddar

Designation :

Director

Address :

4, Ameeta Building, 7th G. S. Bhosale Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Appointment :

14.08.1987

 

 

Name :

Mrs. Kamladevi S. Poddar

Designation :

Director

Address :

35, Ameeta Building, 7th G.J. Bhosale Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Appointment :

14.08.1987

 

 

Name :

Mr. Mahendra S. Poddar

Designation :

Executive Director

Address :

4, Ameeta Building, 7th G. S. Bhosale Marg, Nariman Point, Mumbai – 400021, Maharashtra, India

Date of Appointment :

14.08.1987

 

 

Name :

Mr. Gautam Poddar

Designation :

Director / Group President - Processing

 

 

Name :

Mr. Hari Ram Gupta

Designation :

Director

 

 

Name :

Mr. Ashok Bansal

Designation :

Director

 

 

Name :

Mr. Sunil Bhargava

Designation :

Director

 

 

Name :

Mr. Nils Redvald Lie

Designation :

Director

 

 

KEY EXECUTIVES

 

Name :

Mr. S K Poddar

Designation :

Chairman

 

 

Name :

Mr. Robert Erwine

Designation :

President – Technical and Processing

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

 

No. of Shares

Mr. Sarwankumar S. Poddar

 

145,920

Mrs. Kamladevi S. Poddar

 

706,080

Mr. Krishnamurari S. Poddar

 

589,920

Ms. Shreya K. Poddar

 

493,290

Ms. Kasturi K. Poddar

 

110,160

Ms. Neelam K. Poddar

 

336,000

Mr. Mahendra S. Poddar

 

408,000

Mr. Gautam S. Poddar

 

240,000

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Home Textile Items like Cotton / Polyester bed Sets, Curtains, Sofa Throws and Kitchen Towels etc.

 

 

Products :

Code

K#2482              E

 

K#2490               E

Kompass Code Description

Sanitary towels, tampons, baby napkins and incontinence wear[71]

Household Linen and soft furnishings[755]

 

 

Exports to:

Europe, Middle East, Asia, Australia

 

 

GENERAL INFORMATION

 

Suppliers :

·         Anjari Synthetics Limited

  • Omkar Textile Mills Limited
  • GDN Garments
  • Mahalaxmi Impex
  • Ramesh Textiles
  • Shree Prakash Textiles [Gujarat] Limited
  • S. P. Textiles

 

 

No. of Employees :

50

 

 

Bankers :

Punjab & Sind Bank

International Banking Division, Dilwara Building, MTC Road, Mumbai

– 400029, Maharashtra, India

 

 

Facilities :
  1. Hypothecation of Goods at borrower’s godowns or premises at Mumbai, Ahmedabad, Sholapur, Ludhiana or elsewhere: Rs.  30.000 millions as on 31.10.1996

 

  1. Immovable property of the company viz. property at Flat No. 35-A, Ameeta Building, Nariman Point, Mumbai – 400021 and other assets : Rs. 15.000 millions as on 20.07.2002

 

Auditors :

 

Name :

Chaturvedi and Company

Chartered Accountants

Address :

81, Mittal Chambers, 228, Nariman Point, Mumbai – 400021, Maharashtra

Tel. No.:

91-22-22020687

 

 

Holding company:

Vigneshwara Group

 

 

Associates/Subsidiaries :

Vigneshwara E-Biz Private Limited

 

 

CAPITAL STRUCTURE

 

Authorized Capital:

No. of Shares

Type

Value

Amount

3,000,000

Equity Shares

Rs. 10.00 each

Rs. 30.000 millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

4,100,000

Equity Shares

Rs. 10.00 each

Rs. 41.000 millions

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2005

31.03.2004

31.03.2003

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

41.000

30.000

30.000

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

129.700

78.600

67.100

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

170.700

108.600

97.100

LOAN FUNDS

 

 

 

1] Secured Loans

172.600

174.900

242.000

2] Unsecured Loans

0.000

27.500

27.500

TOTAL BORROWING

172.600

202.400

269.500

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

343.300

311.000

366.600

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

20.900

16.400

9.300

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
201.400

238.800

136.500

 

Sundry Debtors
377.600

213.300

444.600

 

Cash & Bank Balances
50.500

36.300

38.900

 

Other Current Assets
0.000

0.000

0.000

 

Loans & Advances
163.500

157.400

91.200

Total Current Assets
793.000

645.800

711.200

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
455.000

348.500

353.000

 

Provisions
15.900

2.800

1.000

Total Current Liabilities
470.900

351.300

354.000

Net Current Assets
322.100

294.500

357.200

 

 

 

 

MISCELLANEOUS EXPENSES

0.300

0.100

0.100

 

 

 

 

TOTAL

343.300

311.000

366.600

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

31.03.2005

31.03.2004

31.03.2003

Sales Turnover [including other income]

1455.300

1064.500

964.600

 

 

 

 

Profit/(Loss) Before Tax

46.800

13.500

13.300

Provision for Taxation

10.900

2.000

0.900

Profit/(Loss) After Tax

35.900

11.500

12.400

 

 

 

 

Total Expenditure

1408.500

1051.000

948.300

 

QUARTERLY RESULTS

 

PARTICULARS

 

 

 

30.09.2005

1st Half

 

 

 

 

Sales Turnover

 

 

678.700

Other Income

 

 

0.000

Total Income

 

 

678.700

Total Expenditure

 

 

620.800

Operating Profit

 

 

57.900

Interest

 

 

12.900

Gross Profit

 

 

45.000

Depreciation

 

 

2.500

Tax

 

 

9.000

Reported PAT

 

 

33.500

 

 

 

0.000

 

 

 

 

 

 

KEY RATIOS

 

PARTICULARS

 

31.03.2005

31.03.2004

31.03.2003

Debt Equity Ratio

1.34

2.29

2.35

Long Term Debt Equity Ratio

1.34

2.29

2.35

Current Ratio

1.75

1.92

2.13

TURNOVER RATIOS

 

 

 

Fixed Assets

36.43

32.40

40.38

Inventory

6.68

5.24

6.53

Debtors

4.97

2.99

3.24

Interest Cover Ratio

3.09

1.79

1.65

Operating Profit Margin (%)

5.05

3.51

3.74

Profit Before Interest and Tax Margin (%)

4.71

3.11

3.48

Cash Profit Margin (%)

2.78

1.57

1.54

Adjusted Net Profit Margin (%)

2.44

1.17

1.28

Return on Capital Employed (%)

21.17

9.03

11.09

Return on Net Worth (%)

25.71

11.18

13.67

 

 

LOCAL AGENCY FURTHER INFORMATION

 

BUSINESS

 

Subject acts as traders of Bed Linen, Knitted or Crocheted, Other Bed Linen of Cotton and Toilet Linen and Kit Linen of Terry Toweling.

 

Generic Names of Principal Products/Services of the company are as under:

 

>          Bed Linen, Knitted or Crocheted

>          Other Bed Linen of Cotton

>          Toilet Linen and Kit Linen of Terry Toweling

 

It is a Government Recognized Trading House.

 

The performance had been satisfactory considering the fact that the world trade was facing the impact of severe economic slowdown after the September 11 terrorist attack in the USA and volatile situation in the state of Gujarat where the works of company was situated.  Despite these constraints the company managed satisfactory overall result. 

 

In anticipation of an improved demand for the textile products of the company, it started another stitching unit at Bhiwandi, at the outskirts of Mumbai in the year under report.

 

The company continues to explore new markets for its made ups products outside India.  The series of measures had been taken by the company to streamline the product mix as well as the quality of the product to yield excellent results for the coming year.

 

Because of the markets of Indian marine products, the company has started the process to gradually exit from its fish export business.  The company is consolidating its position in the area of gems and jewellery exports to benefit from its existing global network.

 

The company’s fixed assets of important value include furniture and fixtures, plant and machinery, computers, vehicles, air conditioners, Xerox machine and electrical installation

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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

Indian Rupees

US Dollar

1

Rs. 40.54

UK Pound

1

Rs.80.21

Euro

1

Rs.54.51

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--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

NO

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

46

 

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

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions