MIRA
INFORM REPORT
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Report Date : |
23.06.2007 |
IDENTIFICATION DETAILS
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Name : |
PADMASH LEATHERS AND EXPORTS PRIVATE LIMITED |
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Registered Office : |
17, [Old No. 25], |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
02.08.1991 |
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Com. Reg. No.: |
18-21215 |
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CIN No.: [Company
Identification No.] |
U18209TN1991PTC021215 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEP07232B |
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PAN No.: [Permanent
Account No.] |
AAACN3589J |
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Legal Form : |
Private Limited Liability Company. |
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Line of Business : |
Manufacturer and Exporter of Leather Goods. |
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 37000 |
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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
records. 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 : |
17, [Old No. 25], |
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Tel. No.: |
91-44-22640563 / 2227 |
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Fax No.: |
91-11-22641572 |
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E-Mail : |
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Website : |
DIRECTORS
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Name : |
Mr. K. K. Ashok |
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Designation : |
Director |
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Address : |
No. 4, |
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Date of Birth/Age : |
30.11.1957 |
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Date of Appointment : |
02.08.1991 |
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Name : |
Mr. Sarath Naru |
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Designation : |
Director |
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Address : |
No. 2, Harrington, |
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Date of Birth/Age : |
15.11.1957 |
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Date of Appointment : |
29.11.1991 |
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Date of Ceasing : |
28.12.2004 |
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Name : |
Mr. M Sridharan |
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Designation : |
Director |
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Address : |
4/13, |
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Date of Appointment : |
01.11.2004 |
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Key Executive |
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Name : |
Mr. T Murugan |
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Designation : |
Company Secretary |
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Address : |
22-E, Sri Subah Colony, |
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Tel. No.: |
91-44-24847075 |
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Mobile No.: |
91-9381035900 |
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E-Mail. |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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K. K. Ashok |
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10000 |
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Akkamma Krishnamurthy |
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10000 |
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Equity Share
Breakup |
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Category |
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Percentage of
Holding |
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Directors or relatives of directors |
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100.00 % |
BUSINESS DETAILS
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Line of Business : |
Manufacturer and Exporter of Leather Goods. |
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Products : |
Chappals / Slippers / Horrachis (Gents), Long/Half Boots
(Ladies), Other Leather Goods , Diary Covers / Cheque Book Covers, Leather
Belts, Caps & Ties, Passport holders/Credit card holders, etc, Ladies
Handbags and Other Bags, Purses and Wallets |
GENERAL INFORMATION
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Bankers : |
Andhra Bank No. 48/39, |
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Facilities : |
-- |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
G. V. N. Shankar and Company Chartered Accountant |
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Address : |
No. 11 [Old No. 6], |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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1600000 |
Equity Shares |
Rs. 10/- each |
Rs. 16.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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1600000 |
Equity Shares |
Rs. 10/- each |
Rs. 16.000 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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16.000 |
1.500 |
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2] Share Application Money |
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3.748 |
0.000 |
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3] Reserves & Surplus |
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0.000 |
0.000 |
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4] (Accumulated Losses) |
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[10.434] |
[18.461] |
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NETWORTH |
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9.314 |
[16.961] |
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LOAN FUNDS |
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1] Secured Loans |
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5.383 |
6.676 |
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2] Unsecured Loans |
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2.566 |
21.092 |
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TOTAL BORROWING |
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7.949 |
27.768 |
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DEFERRED TAX LIABILITIES |
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0.082 |
0.134 |
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TOTAL |
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17.345 |
10.941 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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5.077 |
4.486 |
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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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1.059 |
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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2.279 |
1.600 |
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Sundry Debtors |
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16.650 |
10.930 |
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Cash & Bank Balances |
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6.306 |
3.038 |
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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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8.914 |
4.696 |
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Total
Current Assets |
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34.149 |
20.264 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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22.492 |
13.747 |
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Provisions |
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0.448 |
0.062 |
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Total
Current Liabilities |
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22.940 |
13.809 |
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Net Current Assets |
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11.209 |
6.455 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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17.345 |
10.941 |
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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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60.000 |
50.000 |
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Earnings in Foreign Currency : |
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Export Earnings |
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80.338 |
42.096 |
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Total Earnings |
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80.338 |
42.096 |
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Imports : |
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Raw Materials |
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0.647 |
0.679 |
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Stores & Spares |
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0.690 |
0.264 |
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Capital Goods |
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0.427 |
0.000 |
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Total Imports |
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1.764 |
0.943 |
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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3.32 |
[2.45] |
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Current Ratio (Current Asset/Current Liability) |
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1.49 |
1.47 |
LOCAL AGENCY FURTHER INFORMATION
Bankers Charges
Report as per Registry
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Name of the company |
PADMASH LEATHERS
AND EXPORTS PRIVATE LIMITED |
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Presented By |
Manager, Andhra
Bank |
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1) Date and description of instrument creating the change |
12.11.2005 Composite
Agreement dated 12.11.2005 Bill Agreement R
F 289 A dated 12.11.2005 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 4.500
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
Fixed Assets of the company. Hypothecation of Raw materials, Work in Progress and
Finished Goods of leather meant for exports. Exports bills drawn against
confirmed orders / letter of credit tenor not exceeding 90 days. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Margin : 25 % on
stocks 10 % on Advance
against collection bills. |
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5) Name and Address and description of the person entitled to the charge. |
Andhra Bank Main Branch,
48/39, Rajaji Salai, Chennai – 600001 |
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6) Date and brief description of instrument modifying the charge |
-- |
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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. |
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This form is for |
Modification of
charge |
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Charge identification
number of the charge to be modified |
90289772 |
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Corporate
identity number of the company |
U18209TN1991PTC021215 |
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Name of the
company |
PADMASH LEATHERS AND EXPORTS PRIVATE LIMITED |
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Address of the registered
office or of the principal place of
business in |
17, [Old No. 25], |
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Type of charge |
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Particular of
charge holder |
Andhra Bank No. 48/39, |
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Nature of
description of the instrument creating or modifying the charge |
Composite agreement dated 24.11.2006 |
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Date of
instrument Creating the charge |
24.11.2006 |
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Amount secured by
the charge |
Rs. 15.000
Millions |
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Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest
: 11.5 % Minimum and
various spread as per the agreement. Term of repayment
Repayable on
demand Margin 25 % on the
packing credit and nil for export bills Extent and
operation of the charge On the Book debts
and Stock WIP and Finished Goods as per the agreements. |
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Short particulars
of the property charged |
Book debts and
stocks including WIP and finished goods available at 17, [Old No.
25], |
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Particulars of
the present modification |
Rs. 4.500
Millions of packing credit is renewed and enhanced to Rs. 15.000 Millions
with a sub limit of Rs. 7.500 Millions for FBP / FUBD. To meet the working
capital requirement. Security for PC is hypothecation of raw materials, WIP
and semi finished goods, FBP / FUBD Export Bills drawn under PCs of prime
Banks or against confirmed orders. Margin 25 % for PC. |
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.40.71 |
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1 |
Rs.81.24 |
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Euro |
1 |
Rs.54.63 |
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 |
NO |
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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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