MIRA
INFORM REPORT
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Report Date : |
21.03.2007 |
IDENTIFICATION
DETAILS
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Name : |
MRS. BECTORS FOOD SPECIALTIES LIMITED |
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Formerly Known As : |
QUAKER CREMICA FOODS LIMITED |
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Registered Office : |
2/539, Pipal Wala Mohalla Badli, New Delhi – 110043 |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
15.09.1995 |
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Com. Reg. No.: |
55-72475 |
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CIN No.: [Company
Identification No.] |
U74899DL1995PLC072475 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
JLDM 00897B |
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Legal Form : |
A closely held public limited liability company. |
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Line of Business : |
Manufacturer of Canned Food, Spices & Seasonings. |
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 250000 |
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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 : |
2/539, Pipal Wala Mohalla Badli, New Delhi – 110043, India |
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E-Mail : |
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Website : |
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Head Office : |
B-XXX111 324, G.T. Road (West), Jalandhar Bye Pass, Ludhiana - 141
005, Punjab |
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Tel. No.: |
91-1826-222826 / 222430 |
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Fax No.: |
91-1826-222915 |
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Factories and Works : |
Theing Road, Phillaur - 144 409, Punjab |
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Tel. No.: |
91-1826-225410, 225418 |
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Fax No.: |
91-1826-222915 |
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Email : |
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DIRECTORS
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Name : |
Mr. Anoop Bector |
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Designation : |
Director |
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Address : |
C-13, Sarabha Nagar, Ludhiana – 141001, Punjab, India |
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Date of Birth/Age : |
05.10.1962 |
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Date of Appointment : |
18.04.2000 |
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Name : |
Mr. Ajay Bector |
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Designation : |
Director |
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Address : |
C-13, Sarabha Nagar, Ludhiana – 141001, Punjab, India |
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Date of Birth/Age : |
17.12.1958 |
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Date of Appointment : |
19.09.1995 |
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Name : |
Mr. Akshay Bector |
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Designation : |
Managing Director |
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Address : |
C-13, Sarabha Nagar, Ludhiana – 141001, Punjab, India |
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Date of Birth/Age : |
29.03.1961 |
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Date of Appointment : |
19.09.1995 |
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Name : |
Mr. Dharam Vir Bector |
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Designation : |
Director |
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Address : |
C-13, Sarabha Nagar, Ludhiana – 141001, Punjab, India |
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Date of Birth/Age : |
02.06.1940 |
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Date of Appointment : |
30.09.2006 |
SHAREHOLDING
PATTERN
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Names of Shareholders |
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Percentage of
Holding |
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Directors or relative of directors |
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100.00 % |
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BUSINESS DETAILS
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Line of Business : |
Manufacturer of Canned Food, Spices & Seasonings. |
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Products : |
Ø Vegetables
/ Gravy Ø Tomato
Ketchup Ø Sauces Ø Mayonnaise Ø Condiments Ø Indian
Snacks Ø Sauces Ø Syrups
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GENERAL
INFORMATION
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Customers : |
Ø
McDonalds Ø
PizzaHut Ø
BaristaCafe Ø
Cafe Coffee Day Ø
Jet Airways Ø
United Nations (World Food
Programme) Ø
Indian Railways Ø
Canteen Stores Department
(Indian Army) Ø
Super Bazaar |
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No. of Employees : |
About 200 |
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Bankers : |
Bank of Patiala H. O. The Mall, Head Office Patiala B. O. Commercial Branch, Miller Ganj, Ludhiana – 141003, Punjab, India
State Bank of
Patiala, Commercial Branch, Ludhiana |
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Banking Relations
: |
Satisfactory |
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Auditors : |
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Name : |
Ashish Agarwal and Company Chartered Accountants |
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Address : |
400/1, Rani Jhansi Road, Civil Lines Ludhiana – 141001, Punjab, India |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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1125000 |
Equity Shares |
Rs. 10/- each |
Rs. 11.250 Millions |
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175000 |
Preference Shares |
Rs. 50/- each |
Rs. 8.750 Millions |
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Total |
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Rs. 20.000
Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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704020 |
Equity Shares |
Rs. 10/- each |
Rs. 7.040
Millions |
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100000 |
Preference Shares |
Rs. 50/- each |
Rs. 5.000
Millions |
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Total |
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Rs. 12.040 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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7.040 |
7.040 |
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2] Share Application Money |
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1.509 |
1.509 |
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3] Reserves & Surplus |
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53.283 |
36.005 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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61.832 |
44.554 |
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LOAN FUNDS |
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1] Secured Loans |
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78.945 |
20.140 |
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2] Unsecured Loans |
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1.588 |
1.363 |
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TOTAL BORROWING |
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80.533 |
21.503 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.032 |
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TOTAL |
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142.365 |
66.089 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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59.847 |
41.036 |
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Capital work-in-progress |
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0.364 |
0.272 |
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INVESTMENT |
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0.488 |
0.488 |
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DEFERREX TAX ASSETS |
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1.719 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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37.229 |
13.337 |
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Sundry Debtors |
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17.506 |
11.730 |
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Cash & Bank Balances |
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6.268 |
3.985 |
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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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53.594 |
17.238 |
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Total
Current Assets |
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114.597 |
46.290 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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34.650 |
21.997 |
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Provisions |
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Total
Current Liabilities |
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34.650 |
21.997 |
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Net Current Assets |
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79.947 |
24.293 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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142.365 |
66.089 |
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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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207.058 |
145.974 |
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Other Income |
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0.193 |
1.178 |
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Total Income |
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207.251 |
147.152 |
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Profit/(Loss) Before Tax |
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185.891 |
131.172 |
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Provision for Taxation |
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21.360 |
15.980 |
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Profit/(Loss) After Tax |
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164.531 |
115.192 |
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Earnings in Foreign Currency : |
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Export Earnings |
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Commission Earnings |
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27.017 |
NA |
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Other Earnings |
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Total Earnings |
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27.017 |
NA |
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Expenditures : |
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Raw Material Consumed |
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114.132 |
80.760 |
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Increase/(Decrease) in Finished Goods |
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[2.474] |
[0.282] |
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Salaries, Wages, Bonus, etc. |
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13.979 |
8.678 |
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Managerial Remuneration |
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1.180 |
0.930 |
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Payment to Auditors |
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0.029 |
0.027 |
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Interest |
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4.209 |
1.728 |
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Insurance Expenses |
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0.719 |
0.528 |
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Power & Fuel |
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5.888 |
3.838 |
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Depreciation & Amortization |
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8.801 |
6.507 |
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Other Expenditure |
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39.428 |
28.458 |
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Total Expenditure |
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185.891 |
131.172 |
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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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79.39 |
78.28 |
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Net Profit Margin (PBT/Sales) |
(%) |
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89.78 |
89.86 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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106.56 |
150.21 |
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Return on Investment (ROI) (PBT/Networth) |
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3.01 |
2.94 |
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Debt Equity Ratio (Total Liability/Networth) |
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1.86 |
0.98 |
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Current Ratio (Current Asset/Current Liability) |
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3.31 |
2.10 |
LOCAL AGENCY
FURTHER INFORMATION
The registered office of the company has been shifted from Shop No. 10,
Near Shiv Mandirghazipur, New Delhi, India to the present address w.e.f.
01.07.2006
The CREMICA Group was established in 1978 by Mrs. Rajni Bector. Turning
her passion for ice cream-making (also her hobby) into a small backyard
enterprise, she established the CREMICA Group — today a widely diversified food
products and services company with an annual sales figure of INR 1 billion,
growing at a rate of 30 per cent per annum.
In the course of the past two decades, The CREMICA Group has established
itself as a huge food products conglomerate, leading the food processing
business through its range of products, its internationally certified
production facilities, the consistency of its quality, and its unmatched
expertise in the industry. This gives the Group a critical edge in the market,
enabling it to entrench itself as a leading supplier to global and Indian food
giants like McDonalds, Pizza hut, Cafe Coffee Day and BARISTA, to name just a
few.
The top-of-the-line quality offered by CREMICA represents a key
component of the value proposition. Setting aside Indian standards, the Group
has established a Quality Assurance Department that is responsible for the
implementation of GMP guidelines, online inspection of products, analysis of
all raw materials and testing of finished products. To facilitate this, the
Group has set up a fully-equipped laboratory geared to handle even
microbiological analysis. And to maintain the highest standards in food safety,
the Group has adopted the HACCP Programme, which is certified by the NSF of
USA.
THE CREMICA QUALITY POLICY
All commitments, actions and products of the cremica group shall be recognised
as an expression of quality & food safety.
The cremica group was established in 1978 by Mrs. Rajni bector turning her
passion for ice cream making (also her hobby) into a small backyard enterprise.
She established the cremica group today a widely diversified food products and
services company with an annual sales figure of Rs. 2000 Millions, growing at
the rate of 30 per cent per annum.
In the course of the past two decades, the cremica group has established itself
as a huge food products conglomerate, leading the food processing business
through its range of products, its internationally certified production
facilities, the consistency of its quality, and its unmatched expertise in the
industry.
Mrs. Bector's food specialities Limited is a part of cremica group.
Cremica, a name that always spelt quality,
is fast becoming a household name in India. Its vast array of products has been
carefully selected to provide the best food processing industry has to offer.
Today, cremica is known for its unique recipes, health oriented ingredients and
state-of-the art standards. Cremica manufactures high quality biscuits, bread
and buns, confectioneries, Indian gravies / curries, tomato ketchup, sauces,
mayonnaise, thousand island, spreads, syrups, toppings, salad dressings,
biscuits, bread & buns, ice-cream, confectionery and Indian snacks, fruit
& flavored syrups for milk and thick shakes, ice creams and desserts etc.
it will not be out of place to mention here that cremica is an approved
supplier of bakery and liquid products to world's largest fast food giants
"mc donald's". Its products are also on the approved list of canteen
stores department, which caters to the requirements of Indian armed forces.
Cremica is also a major supplier to Indian railways, super bazaars, big bazaar,
vishal mega mart, reliance, pizza hut, cafe coffee day, barista, papa john's,
United nations (world food program me) , jet airways to name just a few.
The company was incorporated as 50: 50 joint ventures with the quaker oats
company of U. S. A fortune 200 company. This project has been set up to produce
liquid products such as, tomato ketchup, mayonnaise, tartar & sandwich
spreads, milk shake syrups and ice cream toppings mainly for mc donald's
requirement in India and for the neighboring countries. The plant has been
operational from October 1996. Quaker oats company withdrew from the joint
venture in 1999-2000 and the name of the company changed from quaker cremica
foods (p) Limited To Mrs. Bector food specialities (Private) Limited Then
company started institutional & retail market in addition to mc donald. In
the year 2001, the company was converted into public limited company.
The top of the line quality offered by cremica represents a key component of
the value proposition. Setting aside Indian standards, the group has
established a quality assurance department that is responsible for the
implementation of GMP guidelines, online inspection of products, analysis of all
raw materials and testing of finished products. To facilitate this, the group
has set up a fully equipped laboratory geared to handle even microbiological
analysis.
And to maintain the highest standards in food safety, the group has adopted the
HACCP standards, which is certified by the NSF of USA.
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Business Type: |
Manufacturer |
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Industry Focus: |
Canned
Food , Spices & Seasonings |
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Geographic Markets: |
Worldwide |
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Annual Sales Range (USD): |
US$50
Million - US$100 Million |
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Certificates: |
HACCP,
GMP & FPO |
Bankers Charges
Report as per Registry
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Name of the company |
MRS. BECTROS
FOOD SPECIALITIES LIMITED |
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Presented By |
Mr. Akshay
Bector, Managing Director |
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1) Date and description of instrument creating the change |
Agreement for loan of overall limit dated 02.09.2005 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 37.500
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 Stock
of raw materials, semi finished and finished goods and book debts etc. and
bill of leading RR/GR/Airways bills covering import/ purchases of new
materials for the company and collaterally secured by hypothecation of the
machinery and other fixed assets of the company and extension of land and
building situated at village Theing Road, Phillaur, Jalandhar, Measuring 7 /
6 Marla comparised in Khasra No. 19 Khatuni No. 343 |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Limits repayable
on demand. Extent and operation of charge is 100 %
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5) Name and Address and description of the person entitled to the charge. |
State Bank of
Patiala, Commercial Branch, Ludhiana |
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6) Date and brief description of instrument modifying the charge |
NA |
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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. |
NA |
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.43.39 |
|
UK Pound |
1 |
Rs.85.16 |
|
Euro |
1 |
Rs.57.60 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
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 |
5 |
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--LEVERAGE |
1~10 |
5 |
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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 |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
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 |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
45 |
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 |
|