MIRA
INFORM REPORT
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Report Date : |
15.03.2007 |
IDENTIFICATION
DETAILS
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Name : |
VISEN INDUSTRIES LIMITED |
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Registered Office : |
A/102, Virwani Industrial Estate, W. E. Highway, Goregaon (E), Mumbai – 400063, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2005 |
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Date of Incorporation : |
03.09.1985 |
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Com. Reg. No.: |
11-037350 |
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CIN No.: [Company
Identification No.] |
U24100MH1985PLC037350 |
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TAN No.: [Tax Deduction
& Collection Account No.] |
MUMV10076D |
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PAN No.: [Permanent
Account No.] |
AAACV1768K |
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Legal Form : |
Closely held Public Limited Liability Company |
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Line of Business : |
Manufacturer of Polymer Emulsion, Textile Finishing Agent and Acrylic Co-Polymers |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
RATING
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STATUS |
PROPOSED
CREDIT LINE |
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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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Maximum Credit Limit : |
USD 700000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having satisfactory track. Directors are reported as experienced, respectable and resourceful businessmen. Their trade relations are fair. Financial position is satisfactory. Payments are usually correct and as per commitments. The company can be considered good for normal business dealings. |
LOCATIONS
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Registered / Corporate Office : |
A/102, Virwani Industrial Estate, W. E. Highway, Goregaon (E), Mumbai – 400063, Maharashtra |
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Tel. No.: |
91-22-28746534 |
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Fax No.: |
91-22-28747824 |
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E-Mail : |
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Website : |
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Factory 1 : |
Plot No. 68, 69, 88, B- Nanji Industrial Estate, Village Kharadpada, Silvassa, Dadra and Nagar Haveli-396230 |
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Branches : |
Ř 12/104, Aditya Commerical Complex, Preet Vihar Community Centre, Delhi-110092. Ř 127, 2nd Floor, Room No. 3, N.S. Road, Kolkata-700001 Ř C/o. Lyengar Engineers, 34/44, 9th Cross, Swimming Pool Extn., Malleshwaram, Bangalore- 560003 Ř 39/5634, Thoundyil Road, Panaqmpilly Nagar, Kochi-682036. |
DIRECTORS
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Name : |
Mr. Vijay S. Nair |
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Designation : |
Chairman and Managing Director |
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Address : |
E/7-9, Jain Taramani CHS Limited, Bangur Nagar, Goregaon (West), Mumbai-400090 |
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Date of Birth/ Age : |
50 years |
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Qualification : |
B.Com. |
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Experience : |
30 years |
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Date of Appointment : |
03.09.1985 |
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Name : |
T. P. Ramachandran |
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Designation : |
Director Technical |
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Address : |
1202/Runwal Heights, L.B.S. Marg, Mulund (West), Mumbai-400080 |
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Name : |
Ms. Geeta V. Nair |
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Designation : |
Director |
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Address : |
E/7-9, Jain Taramani CHS Limited, Bangur Nagar, Goregaon (West), Mumbai-400090 |
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Name : |
Mr. Arun Mehta |
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Designation : |
Independent Director |
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Address : |
E/7-13, Jain Taramani CHS Limited, Bangur Nagar, Goregaon (West), Mumbai-400090 |
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Date of Birth : |
06.04.1960 |
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Qualification : |
B.E. |
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Date of Appointment : |
01.04.2003 |
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Name : |
Mr. Dilip P. Patil |
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Designation : |
Nominee Director |
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Address : |
Industrial Development Bank of India IDBI Tower, WTC Complex, Cuffe Parade, Mumbai-400005 |
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Name : |
Mr. Sreekant V. Albel |
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Designation : |
Independent Director |
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Date of Birth : |
02.12.1945 |
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Qualification : |
B.Com, ACA |
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Date of Appointment : |
21.04.2005 |
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Name : |
Mr. Ashok Rao |
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Designation : |
Independent Director |
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Date of Birth : |
13.11.1945 |
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Qualification : |
B.Com. (Hons.), FCA, ACMA (Lond.) |
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Date of Appointment : |
27.05.2005 |
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Name : |
Mr. Sharadchandra D. Abhyankar |
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Designation : |
Independent Director |
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Date of Birth : |
09.10.1965 |
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Qualification : |
B.A, LLB, FCS, DBM |
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Date of Appointment : |
04.07.2005 |
KEY EXECUTIVES
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Name : |
Mr. A.K. Jhunjhunwala |
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Designation : |
Finance Controller and Company Secretary |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
No. of Shares |
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Vijay S. Nair |
583,010 |
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Visen Organic Industries Limited |
3,304,700 |
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Geeta V .Nair |
167,440 |
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Visen Marketing Private Limited |
178,700 |
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Ruchirag Investments Private Limited |
25,810 |
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Kamlakshi Amma |
23,100 |
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Bhadrayan Nair |
22,750 |
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Suprabha Nair |
18,900 |
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Vijay S. Nair |
17,850 |
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Rajeshwari Nair |
14,230 |
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Padmakumari T. Nair |
10,850 |
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Raveendrani Nair |
10,000 |
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Thankappan Nair |
6,950 |
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Vijay S. Nair |
2,500 |
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Rajesh Nair |
1,000 |
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Maya Nair |
500 |
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Arun Mehta |
7,700 |
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Ashok Khurana |
10,620 |
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Bharti Chitroda |
14,000 |
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D.C. Chitroda |
5,000 |
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Arun Chidarkar |
500 |
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P. D. Chidarkar |
3,500 |
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Prajakta Chidarkar |
1,550 |
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Surendra Singh |
14,400 |
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TOTAL |
4,445,560 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Polymer Emulsion, Textile Finishing Agent and Acrylic Co-Polymers |
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Products : |
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PRODUCTION STATUS
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Particulars |
Unit |
Installed Capacity |
Actual Production |
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Polymer Emulsion |
Qty. in MT |
30000 |
29887.57 |
GENERAL
INFORMATION
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Bankers : |
52/60, Mahatma Gandhi Road, P. O. Box 128, Mumbai-400001
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Facilities : |
Secured Loan (Rs. in millions)
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Banking Relations
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Satisfactory |
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Auditors : |
Sushil Budhia Associates 106, 107 Shrikant Chambers, V.N. Purav Marg, Chembur, Mumbai-400071 |
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Associates : |
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Subsidiaries : |
Visen Industries Lanka Private Limited Visen Polymers FZE (UAE) |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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10000000 |
Equity Shares |
Rs. 10/- each |
Rs. 100.000 millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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8891120 |
Equity Shares |
Rs. 10/- each |
Rs. 88.911 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
88.911 |
44.456 |
44.456 |
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2) Share Application Money Pending Allotment |
0.000 |
0.000 |
4.512 |
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3] Reserves & Surplus |
180.193 |
117.293 |
58.450 |
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NETWORTH
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269.104 |
161.749 |
107.418 |
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LOAN FUNDS |
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1] Secured Loans |
120.040 |
106.707 |
103.086 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING
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120.04 |
106.707 |
103.086 |
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DEFERRED TAX LIABILITIES |
9.661 |
7.679 |
0.000 |
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TOTAL
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398.805 |
276.135 |
210.504 |
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APPLICATION OF FUNDS
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FIXED ASSETS [Net Block]
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110.232 |
102.410 |
101.943 |
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Capital work-in-progress
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6.805 |
0.470 |
1.735 |
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INVESTMENT
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10.678 |
7.150 |
7.150 |
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DEFERREX TAX ASSETS
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0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES
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Inventories
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206.095 |
93.970 |
72.531 |
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Sundry Debtors
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293.930 |
183.877 |
106.815 |
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Cash & Bank Balances
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0.596 |
13.713 |
8.149 |
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Loans & Advances
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40.194 |
10.277 |
8.920 |
Total Current Assets
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540.815 |
301.837 |
196.415 |
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Less : CURRENT
LIABILITIES & PROVISIONS
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Current Liabilities and Provisions
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269.725 |
135.732 |
96.739 |
Total Current Liabilities
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269.725 |
135.732 |
96.739 |
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Net Current Assets
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271.090 |
166.105 |
99.676 |
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MISCELLANEOUS EXPENSES
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0.000 |
0.000 |
0.000 |
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TOTAL
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398.805 |
276.135 |
210.504 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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Sales Turnover |
1404.786 |
936.907 |
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Other Income |
1.616 |
0.692 |
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Total Income |
1406.402 |
937.599 |
564.313 |
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Profit/(Loss) Before Tax |
118.473 |
72.208 |
32.849 |
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Provision for Taxation |
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13.366 |
2.602 |
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Profit/(Loss) After Tax |
107.356 |
58.842 |
30.247 |
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Total Earnings |
7.393 |
0.000 |
0.388 |
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Imports : |
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Capital Goods |
0.446 |
454.800 |
264.588 |
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Others |
871.429 |
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Total Imports |
871.875 |
454.800 |
264.588 |
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Expenditures : |
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Cost of Goods Sold |
1076.897 |
712.048 |
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Manufacturing Expenses |
150.377 |
102.268 |
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Salaries, Wages, Bonus, etc. |
21.223 |
14.949 |
507.669 |
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Interest |
28.926 |
26.273 |
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Depreciation & Amortization |
10.504 |
9.852 |
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Total
Expenditure |
1287.927 |
865.390 |
507.669 |
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KEY RATIOS
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PARTICULARS |
31.03.2005 |
31.03.2004 |
31.03.2003 |
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Debt-Equity Ratio |
0.53 |
0.79 |
1.00 |
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Long Term Debt-Equity Ratio |
0.53 |
0.79 |
1.00 |
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Current Ratio |
1.99 |
2.04 |
1.94 |
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TURNOVER RATIOS |
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Fixed Assets |
11.74 |
8.77 |
4.79 |
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Inventory |
10.80 |
12.86 |
7.76 |
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Debtors |
6.78 |
7.38 |
5.28 |
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Interest Cover Ratio |
5.11 |
3.75 |
3.09 |
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Operating Profit Margin(%) |
9.74 |
10.12 |
10.04 |
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Profit Before Interest And Tax Margin(%) |
9.09 |
9.19 |
8.61 |
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Cash Profit Margin(%) |
7.28 |
6.94 |
6.80 |
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Adjusted Net Profit Margin(%) |
6.63 |
6.02 |
5.36 |
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Return On Capital Employed(%) |
44.79 |
41.51 |
23.53 |
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Return On Net Worth(%) |
49.85 |
48.72 |
29.32 |
LOCAL AGENCY
FURTHER INFORMATION
Operational Results
The Company has
registered its highest ever turnover of Rs. 1619.8 Millions for the year ended March'05
as against Rs.1071.1 Millions in the Previous Year. The company has also made a
record net profit Rs. 107.3 Millions- against Rs.58.8 Millions in the Previous
year. Turnover of the company has increased by 51.22% and Net Profit has
registered a growth of 82.45% in the year ended March'05. The company is
continuing to grow and is expected to reach greater heights in the coming
years.
The company had
already implemented required procedures for ISO 9001: 2000 and has been
recommended for Registration with Orion Registrar Inc., USA, which are
accredited by ANAB, USA.
International Expansions
The Company has a
significant export potential. With a view to diversify and tap the
international market, the company is looking at increasing its geographical
footprint. Over the next few years, they are planning to establish strong
presence of their business in the overseas market. They have incorporated two
wholly owned subsidiaries overseas viz.
Visen Industries
Lanka (Private) Limited in Sri Lanka
Visen Polymers FZE,
in Sharjah, UAE
The projects for
the above companies are still in development stage. The directors are confident
that both of these ventures would result into considerable benefits for the
company.
Fixed Assets:-
Leasehold Land,
Freehold Land, Office, Factory Buildings, Plant and Machinery, Furniture and
Fixtures, Vehicles, Computers, Tankers and Forklift
AS
PER WESITE
The roots of Visen Group of Industries date back to 1979
when Mr. Vijay Nair, began trading in various specialty chemicals.
Following the stringent adherence to quality, delivery schedule and customer
service, a large number of customers started patronizing us. They ventured in
to manufacturing on modest scale, during the year 1985 catering mainly
to Textile Industry. Since then, there is no looking back. They expanded their
product range in the year 1994 by adding products having application in Paint
Industry, Adhesive & Lamination and Construction Chemicals. At present,
they have two manufacturing facilities at Silvassa and Tarapur,
capacity aggregating to 36,000 MT per annum. All through they have valued their
customers, employees and other stakeholders.
Today, Visen Group of Industries is leading manufacturer dedicated
to producing largest range in water based Polymer Emulsions. Business success
is driven by their long-term strategy of innovation and continuous operational
improvements. They strive to achieve customers' delight through quality
products and highest standard of service - both pre and post sales.
Visen produces a large range of Polymer Emulsions for a
number of industries and applications. The Company aims to develop products to
add value for customers' needs by delivering customer specific products. They serve
the various industries viz.: -
Paints
and Coatings
Adhesives
Construction
Chemicals
Textiles
At Visen, they realize that manufacturing emulsion is as much a Science as Art
and hence their best and experienced talent ensures that they achieve the best
quality product at the least cost. Geared to meet such complex challenges,
Visen is focused on advanced technology to reduce the cost and time-to-market
of the next generation of polymer emulsions.
Corporate Goal
v
Visen
is committed to be number one in all its chosen markets. They strive to be the
partner of choice for customers seeking quality and cost effective water based
polymer emulsions.
v
They
endeavor to be the employer of choice for the best people.
v
They
are determined to create value for all their stakeholders.
Quality Control
Visen seek to be a Quality leader committed to exceeding customer
expectations through initiative, teamwork and competence. Visen focuses on the
customer to achieve this. Visen employs high ethical standards and demonstrates
respect for individuals combined with a sense of urgency and a responsible
attitude towards the environment.
Visen is committed to continual improvement. Quality Assurance is
at the leading edge of these efforts by adhering to established Quality
Assurance principles and Quality System.
R&D Laboratory
Polymer
Emulsion for Paints & Coatingss
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Product /Type |
Various Grades |
Suggested Application |
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Styrene Acrylate |
Visicryl 7050 |
Distempers, Emulsion paints,
cement primer, Exterior coloured paint, Coloured paint for interior, textured
coatings, wall putty and Economy paints. |
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VAM/Acrylate |
Visicryl 6155 |
Distempers, cement paints,
Primer, spray plaster, good quality plastic emulsion paint, Coir mat paint,
textured coatings, Exterior & interior good quality paint with good flow
and leveling(white and coloured). |
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VAM/Versate |
Visimer 4054 |
Exterior/interior paint,
Textured coatings, Masonry paints, synthetic plaster & Non-sag
coatings(white and coloured). |
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Speciality VAM Copolymer |
Visimer 4254 |
Good quality white &
coloured paint with flow and leveling. |
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All Acrylate |
Visicryl 8155 |
Premium quality paints and
coatings with very good shine and sheen meant for exterior and interior,
coloured & white, with good weather resistance. |
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All Acrylate |
Visicryl 830 |
Low foaming Dispersing agent |
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Visicryl 828 |
Cross linking thickner(Acidic) |
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Visicryl 844 |
Ammonium poly Acrylate |
Polymer
Emulsions for Construction Chemicals
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Product /Type |
Various Grades |
Suggested Application |
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Styrene Acrylate |
Visicryl 7555 |
Water proofing of terrace,
balconies etc., cement admixtures and concrete modifier to enhance properties
and for non crack coatings with good water resistance and flexural strength. |
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All Acrylate |
Visicryl 86 |
Polymer
Emulsions for Adhesives
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Product /Type |
Various Grades |
Suggested Application |
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VAM Homopolymer |
Visicol |
Adhesives with good bond
strength, wet tack and workability for wood lamination, wood jointing, labeling,
Art work, Pencil manufacture, Sports good manufacture & Misc. adhesive
applications |
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VAM Co-polymer |
Visicol LM 5155 (s) |
Wet lamination of films (BOPP,
PVC, Polyester) to board with good bonding, gloss and workability. |
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VAM Co-polymer |
Visicol 5656 |
Sticker, stock labels, bind etc.
with good peel strength tack and clarity. Suitable for screen and machine
applicability. |
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VAM Co-polymer |
Visicol 5555 |
Adhesive for side pasting of
laminated/varnished and unvarnished cartons, suitable for both hand
application and machine application. |
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All Acrylate |
Visicol 8555 |
BOPP tape manufacturing |
Polymer
Emulsions for Textiles
|
Product /Type |
Various Grades |
Suggested Application |
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VAM Homopolymer |
Visitex 2000, 1045, 1035, 2001,
2100, |
Finishing of fabric to impart
durable stiff feel with body and fullness. |
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VAM Homopolymer (plasticized) |
Visitex 3000, |
Finishing of fabric to impart
soft, full feel with smooth feelness. |
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VAM Co-polymer |
Visitex MB5500, MB5000, MB,
5600, 5400, 5200 |
Finishing of fabric to get
durable soft feel with body. |
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Styrene/Acrylate |
Visitex 7045, 7246, 7448, 7449 |
Non-woven, stiff interlining,
back coating, wadding and other areas of stiffening application. |
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VAM Homopolymer |
Visitex 1044M, 5681 |
Stiff finishing of non-wovens
& wovens and carpet backings |
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Acrylic polymers and
co-polymers |
Visitex 7187, 9500 |
Flocking |
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Visitex 4000 |
Pigment printing. |
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Visitex 630 |
Thickner for printing paste. |
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Reactive Softner |
Octadex EM |
Fabric softner without yellowing
and fastness to wash cycles. |
Polymer
Emulsions for Other Products
|
Product /Type |
Various Grades |
Suggested Application |
|
Styrene /Acrylate |
Visicryl 7350 |
Clay Coating of Paper. |
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.43.98 |
|
UK Pound |
1 |
Rs.85.59 |
|
Euro |
1 |
Rs.58.49 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
|
63 |
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 |
|