MIRA
INFORM REPORT
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Report Date : |
28.04.2007 |
IDENTIFICATION DETAILS
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Name : |
RAJ LUBRICANTS [ |
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Registered Office : |
73/1B, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
02.04.1996 |
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Com. Reg. No.: |
18-35001 |
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CIN No.: [Company
Identification No.] |
U93090TN1996PLC035001 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHER02241B |
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PAN No.: [Permanent
Account No.] |
AAACR4681F |
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Legal Form : |
A closely held Public Limited Liability Company. |
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Line of Business : |
Manufacturing, wholesale dealings and distributing of petroleum
oil and lubricants, petroleum wax, petroleum chemical, etc |
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 680000 |
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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 : |
73/1B, |
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Tel. No.: |
91-44-25930065 |
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Fax No.: |
91-44-42288912 |
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E-Mail : |
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Website : |
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Factory : |
·
Ankleshwar ·
Silvassa ·
73/1-B, Vaikkadu, Manali, Chennai-600
103, Tamilnadu. |
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Branches : |
124, |
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Tel. No.: |
91-22-4714961 / 62 / 63 / 64 |
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E-Mail : |
DIRECTORS
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Name : |
Mr. Bipin Jaswantsing Nanavati |
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Designation : |
Managing Director |
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Address : |
8, |
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Date of Birth/Age : |
03.11.1944 |
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Date of Appointment : |
02.04.1996 |
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Name : |
Mr. Nalin Jaswantsing Nanavati |
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Designation : |
Whole Time Director |
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Address : |
Swapnalok Apartments, 60, |
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Date of Birth/Age : |
02.09.1957 |
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Date of Appointment : |
02.04.1996 |
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Name : |
Mr. Anjaria Chandrakant Rajesh |
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Designation : |
Director |
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Address : |
5 / 6, |
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Date of Birth/Age : |
01.11.1956 |
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Date of Appointment : |
04.04.1996 |
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Name : |
Mr. Porecha Laxmiya Vogin |
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Designation : |
Director |
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Address : |
33, |
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Date of Birth/Age : |
30.07.1955 |
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Date of Appointment : |
04.04.1996 |
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Name : |
Mr. Nanavathi Jaswantsing Uday |
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Designation : |
Director |
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Address : |
6-F, |
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Date of Birth/Age : |
14.12.1948 |
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Date of Appointment : |
19.11.1997 |
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Name : |
Mr. Nanavathi Bipin Viren |
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Designation : |
Director |
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Address : |
8, |
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Date of Birth/Age : |
08.10.1971 |
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Date of Appointment : |
19.11.1997 |
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Name : |
Mr. Nanavathi Bipin Amit |
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Designation : |
Director |
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Address : |
14, |
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Date of Birth/Age : |
16.08.1968 |
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Date of Appointment : |
19.11.1997 |
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Name : |
Mr. Asher Ajit Singh Surendra |
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Designation : |
Director |
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Address : |
98/3, Gopalarkrishna Bavan, |
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Date of Birth/Age : |
30.04.1943 |
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Date of Appointment : |
04.04.1996 |
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Name : |
Mr. Nanavathi Uday Mehul |
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Designation : |
Director |
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Address : |
6-F, |
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Date of Birth/Age : |
14.09.1974 |
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Date of Appointment : |
01.12.1997 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Equity
Shares |
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Bipin J Nanavati |
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75000 |
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Anjaria Vasanji Jaysinh |
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120000 |
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Anjaria Chandrakant Atul |
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125000 |
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Anjaria Chandrakant Rajesh |
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125000 |
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Nanavathi Jaswantsinh Nahn |
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195000 |
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Vidyuta Uday Nanvathi |
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120000 |
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Asher Ajit Singh Surendra |
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90000 |
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Yogin Laxmidas Porecha |
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150000 |
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Nanavathi Jaswant Sinh Bipin HUF |
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99900 |
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Viren B Nanavati |
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160000 |
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Shweta Viren Nanavati |
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40000 |
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Uday J Nanvathi |
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114800 |
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Sonal |
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104800 |
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Indira Laxmidas Porecha |
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60000 |
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Kalpana Yogin Porrecha |
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96000 |
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Surendra A Asher – HUF |
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27600 |
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Chaitanya Atul Anjaria |
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89800 |
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Niket Rajesh Anjaria |
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89900 |
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Rajani Jaysinh Anjaria |
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70000 |
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Ajay Jaysinh Anjaria |
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70000 |
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Shilpa A Anjaria |
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39700 |
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Bharati Bharat Nanavati |
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89000 |
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Samir Bharat Nanavati |
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80000 |
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Chandrika Anjaria |
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20000 |
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Neela Atul Anjaria |
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50000 |
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Names of Shareholders |
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No. of
Preference Shares |
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Bipin J Nanavati |
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21000 |
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Anjaria Vasanji Jaysinh |
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14500 |
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Anjaria Chandrakant Atul |
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31000 |
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Anjaria Chandrakant Rajesh |
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29500 |
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Nanavathi Jaswantsinh Nahn |
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41000 |
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Dhwani Uday Nanavati |
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12500 |
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Sonal |
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11000 |
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Indira Laxmidas Porecha |
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12500 |
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Chaitanya Atul Anjaria |
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25100 |
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Niket Rajesh Anjaria |
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16600 |
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Rajani Jaysinh Anjaria |
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27000 |
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Bharati Bharat Nanavati |
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60000 |
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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 : |
Manufacturing, wholesale dealings and distributing of
petroleum oil and lubricants, petroleum wax, petroleum chemical, etc |
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Products : |
Transformer Oils, White Oils, Petroleum Jellies, Vaseline,
Industrial Lubricants, Grease, Cable Jellies |
PRODUCTION STATUS
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Particulars |
Unit |
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Installed
Capacity |
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Transformer Oils |
Kilo
Liters |
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18000 |
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Petroleum Jelly |
MT |
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|
6000 |
GENERAL INFORMATION
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No. of Employees : |
160 |
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Bankers : |
·
Canara Bank ·
Dena Bank ·
State Bank of ·
Corporation Bank ·
ABN Amro Bank ·
ICICI Bank |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
C. A. Patel and Company Chartered Accountants |
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Address : |
31, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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3000000 |
Equity Shares |
Rs. 10/- each |
Rs. 30.000 Millions |
|
510000 |
Preference Shares |
Rs. 100/- each |
Rs. 51.000 Millions |
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Total |
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Rs. 81.000
Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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3000000 |
Equity Shares |
Rs. 10/- each |
Rs. 30.000 Millions |
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|
510000 |
Preference Shares |
Rs. 100/- each |
Rs. 51.000 Millions |
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Total |
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Rs. 81.000
Millions |
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FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
81.000 |
81.000 |
81.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
90.327 |
79.174 |
57.697 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
171.327 |
160.174 |
138.697 |
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LOAN FUNDS |
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1] Secured Loans |
202.971 |
131.781 |
88.106 |
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2] Unsecured Loans |
61.783 |
54.177 |
52.860 |
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TOTAL BORROWING |
264.754 |
185.958 |
140.966 |
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DEFERRED TAX LIABILITIES |
2.700 |
2.700 |
2.700 |
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TOTAL |
438.781 |
348.832 |
282.363 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
119.290 |
121.939 |
120.519 |
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Capital work-in-progress |
4.967 |
2.707 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
147.654
|
153.398 |
111.533 |
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Sundry Debtors |
323.411
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225.292 |
200.799 |
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Cash & Bank Balances |
93.300
|
48.055 |
45.747 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
47.242
|
22.647 |
22.240 |
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Total
Current Assets |
611.607
|
449.392 |
380.319 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
272.898
|
219.576 |
218.701 |
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Provisions |
24.236
|
5.700 |
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Total
Current Liabilities |
297.134
|
225.276 |
218.701 |
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Net Current Assets |
314.473
|
224.116 |
161.618 |
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MISCELLANEOUS EXPENSES |
0.051 |
0.070 |
0.226 |
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TOTAL |
438.781 |
348.832 |
282.363 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover |
1332.817 |
1143.626 |
970.979 |
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Other Income |
5.466 |
12.585 |
92.216 |
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Total Income |
1338.283 |
1156.211 |
1063.195 |
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Profit/(Loss) Before Tax |
48.646 |
27.177 |
27.020 |
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Provision for Taxation |
15.000 |
5.700 |
2.000 |
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Profit/(Loss) After Tax |
33.646 |
21.477 |
25.020 |
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Earnings in Foreign Currency : |
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Export Earnings |
203.075 |
155.197 |
212.230 |
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Commission Earnings |
-- |
0.956 |
0.562 |
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Total Earnings |
203.075 |
156.153 |
212.792 |
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Imports : |
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Raw Materials |
NA |
590.965 |
499.962 |
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Capital Goods |
NA |
0.477 |
0.279 |
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Others |
NA |
0.042 |
0.000 |
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Total Imports |
NA |
591.484 |
500.241 |
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Expenditures : |
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Purchase |
0.000 |
0.000 |
882.390 |
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Manufacturing Expenses |
0.000 |
0.000 |
30.974 |
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Administrative Expenses |
0.000 |
0.000 |
78.790 |
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Raw Material Consumed |
1110.034 |
1020.790 |
0.000 |
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Consumption of stores and spares parts |
1.714 |
1.333 |
0.000 |
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Increase/(Decrease) in Finished Goods |
5.743 |
41.864 |
0.000 |
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Salaries, Wages, Bonus, etc. |
1.061 |
1.300 |
0.000 |
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Managerial Remuneration |
1.800 |
1.644 |
0.000 |
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Payment to Auditors |
0.180 |
0.150 |
0.000 |
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Interest |
38.999 |
31.435 |
0.000 |
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Insurance Expenses |
0.603 |
0.524 |
0.000 |
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Power & Fuel |
8.180 |
6.317 |
0.000 |
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Depreciation & Amortization |
11.065 |
11.148 |
9.714 |
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Other Expenditure |
110.259 |
96.256 |
34.307 |
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Total Expenditure |
1289.638 |
1129.033 |
1036.175 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
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PAT / Total Income |
(%) |
2.51
|
1.86 |
2.35 |
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Net Profit Margin (PBT/Sales) |
(%) |
3.65
|
2.38 |
2.78 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
6.66
|
4.76 |
5.39 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.28
|
0.17 |
0.19 |
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Debt Equity Ratio (Total Liability/Networth) |
|
3.28
|
2.57 |
2.59 |
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Current Ratio (Current Asset/Current Liability) |
|
2.06
|
1.99 |
1.74 |
LOCAL AGENCY FURTHER INFORMATION
The Registered Office of the company has been shifted from No. 12,
Fixed Assets
Ř
Air Conditioners
Ř
Buildings
Ř
Computers and Software
Ř
Electric Fittings
Ř
Furniture
Ř
Laboratory Equipments
Ř
Land
Ř
Machinery
Ř
Motor Cars
Ř
Scooter
Ř
Tank Lorries
Ř
Water Storage Tanks
Ř
Weighing Scales
Ř
Generators
Ř
Office Equipment
Ř
Tanks and Tank Foundation
Ř
Bonded With Machinery
Contingent
Liabilities as on 31.03.2005
Letter of Guarantee Rs
17.418 Millions
Letter of Credit Rs
204.983 Millions
Bills Discounted Rs
23.537 Millions
Bankers Charges Report
as per Registry
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Name of the company |
RAJ LUBRICANTS [ |
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Presented By |
State
Bank of |
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1) Date and description of instrument creating the change |
All agreement
dated 22.03.2000 Joint deed of
Hypothecation Working Capital
Consortium Agreement between State Bank of Inter se
Agreement among State Bank of India, Dena Bank |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 204.500
Millions Rs in 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 |
The charge by way
of Hypothecation hereby created on the said hypothecated assets which is
referred in the schedule whole of the borrower’s current assets both present
and future viz. Stocks of raw materials,
stock in process, semi finished goods, stores and spares not relating
to Plant and Machinery, bills receivable and book debts and all other
movables both present and future whether now lying loose or in cases or which
are now lying or stored in or about or shall hereinafter from time to time
during the continuance of the security of these presents be bought into or
upon or be stored or be in or about of the borrower’s factories, premises and
godowns situated at Chennai,
Tamilnadu shall be a security by way of first charge on Pari Passu basis in
favour of said Banks jointly and to cach of them severally for the due
repayment and discharge on demand of the said facilities to the said Banks
together with interest thereon at the agreed rates. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
For Term Loan and
Cash Credit 15.30 % p.a. State Bank of |
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5) Name and Address and description of the person entitled to the charge. |
The Assistant
general Manager State Bank of The Manager Dena Bank, Tondiarpet Branch, Chennai – 600081 |
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6) Date and brief description of instrument modifying the charge |
Dated 07.06.2004 Agreement of
Hypothecation of Goods and Assets in Form C2 Letter Regarding the
Grant of Individual Limits with in the Overall Limit in Form C 5 Extension of
Equitable Mortgage by way of Deposit of Title deeds All dated
07.06.2004 and relates to one and the same 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. |
The credit
facility extended to the company from State Bank of
Security : Hypothecation of Stocks and Book Debts and other Current
assets, Bills, Documents, Goods Covered Under Letter of Credit and Counter Guarantee Hypothecation of Plant and Machinery A General charge over the entire movable and Immovable
assets of the company Extension of Equitable Mortgage of Company’s immovable
Property viz. Western Portion of the Land and Building Premises No 6 A, All that piece and parcel of land measuring 99.6 cents
known as Plot No 2, 3, 15 and 16 is the Industrial Estate Vichoor Comprised
in S F No. 196 and 197 Part of Vichoor Village, Ponneri Land and Building Situated at S. No. 73/A Extent of 2.16.0
Hectare Located at Cheglepet. Earlier securities given by the company shall continue to
cover the overall limit of Rs. 414.000 Millions Rate of interest, Margin and other terms and conditions as
per the agreement All other terms and conditions as per the agreement. |
The Raj Group began as a trading
house for the high-potential Petroleum Industry. Drops became a sea of success
as the group embarked on a sustained pursuit of self-reliance and
indegenisation to achieve a position of dominance in the industry. Today the
Group's efforts are manifest in every industry, as it reaches out to touch
daily life in numerous ways. The Group's wide range of products is the first
choice in most segments of various Industries and Services, with acceptance
sealing impressive heights. The Group is making rapid strides with its focused
growth oriented vision, aimed at strengthening its core capabilities
Raj Group of companies constitutes Raj Lubricants Madras Limited Chennai, Raj Petroleum Products Limited Mumbai and Suryoday Blending Private Limited, Silvassa & Ankleshwar. With strategically located manufacturing units each ISO 9001: 2000 certified, Raj group has been efficiently catering to the industry's requirement for the last four decades.
Industry Focus: Pharmaceutical Chemicals , Paraffin , Vaseline , Lubricant
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
|
Indian Rupees |
|
US Dollar |
1 |
Rs.41.29 |
|
|
1 |
Rs.82.30 |
|
Euro |
1 |
Rs.56.20 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
|
52 |
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 |
|