MIRA
INFORM REPORT
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Report Date : |
30.04.2007 |
IDENTIFICATION DETAILS
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Name : |
SHUBHANG PROCESSING MILLS PRIVATE LIMITED |
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Registered Office : |
126, New Cloth market, Ahmedabad, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
22.10.1980 |
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Com. Reg. No.: |
04-3990 |
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CIN No.: [Company
Identification No.] |
U17119GJ1980PTC003990 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Traders of Textile Fabrics |
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 : |
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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 ell-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 : |
126, New Cloth market, Ahmedabad, |
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Administrative Office : |
4001, World Trade Centre, |
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Tel. No.: |
91-261-2311263 |
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Mobile No: |
91-9925809180 (Mr. A. Sheth) |
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Fax No.: |
91-261-2347278 |
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Factory : |
Plot No. 5304, Road No. 53, GIDC, Sachin, |
DIRECTORS
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Name : |
Mr. Lalitkumar Sheth |
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Designation : |
Director |
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Address : |
Shivam Mayur Prathmikshala, Near Devki Nandan Derasar, |
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Date of Birth/Age : |
02.02.1952 |
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Date of Appointment : |
22.10.1980 |
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Name : |
Mr. Ashwinkumar Ramshakti Sheth |
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Designation : |
Director |
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Address : |
Shivam Mayur Prathmikshala, Near Devki Nandan Derasar, |
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Date of Birth/Age : |
14.12.1956 |
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Date of Appointment : |
22.10.1980 |
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Name : |
Mr. Subhang Lalitkumar Sheth |
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Designation : |
Director |
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Address : |
Shivam Bunglow, Opposite Swetamber Flats, Naranpura, Ahmedabad 380
013, |
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Date of Birth/Age : |
24.03.1976 |
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Date of Appointment : |
02.04.1996 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
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Names of Shareholders |
No. of Shares |
Percentage of
Holding |
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Mr. Ramshakti Jivandas |
1,500 |
15.96 |
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Mr. Lalitkumar Sheth |
1,500 |
15.96 |
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Mr. Ashwinkumar Sheth |
1,500 |
15.96 |
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M/s. Ramshakti Jivandas HUF |
1,000 |
10.64 |
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Mr. Rajkumar Ramshakti |
1,500 |
15.96 |
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M/s Lalitkumar Ramshakti HUF |
1,000 |
10.64 |
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Ms. Prabhakumari Lalitkumar Sheth |
1,000 |
10.64 |
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Mr. Ashutosh Lalitkumar |
100 |
1.06 |
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Mr. Subhang Lalitkumar Sheth |
100 |
1.06 |
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Mr. Kartik Ashwinkumar |
100 |
1.06 |
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Ms. Anika Ashwinkumar |
100 |
1.06 |
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Total |
9,400 |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Traders of Textile Fabrics |
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Products : |
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Exports to : |
Wholesalers and exporters in the domestic market |
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Imports : |
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Products : |
Embroidery machineries and Textile Machineries |
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Countries : |
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Terms : |
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Purchasing : |
Letter of Credit / Documents against Acceptance: 90 days |
GENERAL INFORMATION
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Customers : |
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No. of Employees : |
51- 100 People |
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Bankers : |
Bank of |
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Facilities : |
The subject has availed the following facilities from Bank of India as
per Hypothecation agreement dated 31.05.2005 Term Loan Rs. 5.472 millions Foreign Letter of Credit
Rs. 5.272 millions DA (90 days) – One Time It is secured by way of Hypothecation of Plant and Machinery, Stock,
Book Debts. |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
M/s R R Tibrawala and Company Chartered /Accountants (Mr. R R Tibrawala, Membership No. 16885) |
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Address : |
403, Samruddhi, Opposite Old High Court, |
CAPITAL STRUCTURE
Authorized Capital:
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No. of Shares |
Type |
Value |
Amount |
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10,000 |
Equity Shares |
Rs.100.00 each |
Rs. 1.000 million |
Issued, Subscribed Capital:
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No. of Shares |
Type |
Value |
Amount |
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9,400 |
Equity Shares |
Rs.100.00 each |
Rs.0.940 millions |
Paid-up Capital:
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No. of Shares |
Type |
Value |
Amount |
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9,400 |
Equity Shares |
Rs. 100.00
each |
Rs.0.940 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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0.940 |
0.940 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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1.596 |
1.411 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NET WORTH |
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2.536 |
2.351 |
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LOAN FUNDS |
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1] Secured Loans |
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1.357 |
- |
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2] Unsecured Loans |
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0.895 |
- |
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TOTAL BORROWING |
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2.252 |
- |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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4.788 |
2.351 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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3.827 |
0.143 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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0.057 |
0.057 |
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Sundry Debtors |
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1.286 |
0.149 |
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Cash & Bank Balances |
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0.111 |
0.106 |
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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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0.022 |
1.896 |
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Total
Current Assets |
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1.476 |
2.208 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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0.486 |
- |
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Provisions |
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0.029 |
- |
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Total
Current Liabilities |
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0.515 |
- |
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Net Current Assets |
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0.961 |
2.208 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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4.788 |
2.351 |
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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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1.670 |
0.149 |
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Other Income |
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2.131 |
0.145 |
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Total Income |
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3.801 |
0.294 |
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Profit Before Tax |
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0.310 |
0.018 |
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Provision for Taxation |
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0.125 |
- |
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Profit/(Loss) After Tax |
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0.185 |
0.018 |
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Total Expenditure |
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3.112 |
0.276 |
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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4.87 |
6.12 |
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Net Profit Margin (PBT/Sales) |
(%) |
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18.56 |
12.08 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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3.49 |
0.77 |
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Return on Investment (ROI) (PBT/Networth) |
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7.29 |
0.77 |
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Current Ratio (Current Asset/Current Liability) |
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2.87 |
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Quick Ratio |
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2.76 |
- |
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Debt Equity Ratio (Total Liability/Networth) |
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0.89 |
- |
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Current Liabilities / Networth |
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0.20 |
- |
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Fixed Asset / Networth |
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1.51 |
0.06 |
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Average Collection Days |
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281.07 |
365.00 |
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Account Receivables Turnover |
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1.30 |
1.00 |
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Inventory Turnover |
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29.30 |
2.61 |
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Asset Turnover |
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0.44 |
1.04 |
LOCAL AGENCY FURTHER INFORMATION
Incorporated on October22, 1980 the subject is engaged in the business
of Manufacturers and Traders of Textile Fabrics. The subject company is specialized in
supplying fashion fabrics for men and women wear.
Their product profile includes a variety of fashion fabrics like
multiple types of pure cottons, voils, blends, polyesters, chiffons, polyester
Georgettes, polyester Crapes etc.
The subject is also manufacturing handprints, hand sprays, finer
machines prints and other variety of value addition like pleating, crushing,
hand works etc.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs. 40.90 |
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1 |
Rs. 81.29 |
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Euro |
1 |
Rs. 55.47 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
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 |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
NO |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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46 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history (10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average/normal. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
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