MIRA
INFORM REPORT
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Report Date : |
05.05.2007 |
IDENTIFICATION DETAILS
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Name : |
MEGHMANI INDUSTRIES LIMITED |
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Registered Office : |
Plot No:27, Phase-I GIDC Industrial Vatva, Ahmedabad;382445, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
22.02.1993 |
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Com. Reg. No.: |
019013 |
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CIN No.: [Company
Identification No.] |
U29199GJ1993PLC019013 |
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Legal Form : |
A Closely Held Public Limited Liability Company. |
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Line of Business : |
Manufacturers, sellers, traders and exporters of dyes, agrochemicals and intermediates. |
RATING & COMMENTS
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MIRA’s Rating : |
A |
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RATING |
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 26000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established company having satisfactory track. The company is doing well. Financial position is good. Payments are correct and as per commitments. The company can be considered good for normal business dealings at usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
Plot No:27, Phase-I GIDC Industrial Vatva, Ahmedabad;382445, |
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Tel. No.: |
91-79-25833381 |
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Fax No.: |
91-79-26463999/ 25834588 |
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E-Mail : |
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Website : |
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Head Office : |
Meghmani Europe SPRL Uitbreidingstraat 84, 2600 Berchem, Tel:+32-3-2182147 Fax:+32-3-2182247
No.5-306 BuRuoNi DeZhengYuan, Xiantao city,
Meghmani Organics USA, Inc. 8215 Vinoy Blvd. Apartment No. 403
Home : +1 704 510 1464 |
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Corporate Office : |
“MEGHMANI HOUSE” Street : Shree
Nivas Society, Area : Paldi, City : Ahmedabad
- 380 007. State : Country : |
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Tel. No.: |
91-79-26640668 /
669 |
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Fax No.: |
91-79-26640 670 |
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Factory 1 : |
Pigment Plants:
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Factory 2 : |
Agrochemicals
Plants:
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DIRECTORS
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Name : |
Mr. Natubhai M. Patel |
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Designation : |
Chairman cum Managing Director |
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Address : |
A-7 Ayojan Nagar Shreyas Crossing Ahmedadabad;380015, |
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Date of Birth/Age : |
01.06.1953 |
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Date of Appointment : |
01.11.1993 |
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Name : |
Mr. Rameshbhai M Patel |
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Designation : |
Managing Director |
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Address : |
54 Shree Nathpark Society Nr. Manek Baug Hall Ambawadi ,
Ahmedabad;380015, Gujrarat |
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Date of Birth/Age : |
01.03.1956 |
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Date of Appointment : |
01.11.1996 |
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Name : |
Mr. Lalitbhai K Patel |
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Designation : |
Director |
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Address : |
31, Park Hill Siociety Opp: Karnavati Club Nr. Narmada Vasahant,
Ahmedabad;380015, |
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Date of Birth/Age : |
15.02.1967 |
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Date of Appointment : |
22.02.1993 |
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Name : |
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Designation : |
Executive Chairman |
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Name : |
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Designation : |
Managing Director |
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Name : |
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Designation : |
Managing Director |
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Name : |
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Designation : |
Executive Director |
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Name : |
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Designation : |
Executive Director |
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Name : |
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Designation : |
Executive Director |
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Name : |
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Designation : |
Independent Director |
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Name : |
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Designation : |
Independent Director |
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Name : |
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Designation : |
Independent Director |
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Name : |
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Designation : |
Independent Director |
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Name : |
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Designation : |
Independent Director |
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Name : |
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Designation : |
Independent Director |
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Senior Management: |
Head of Corporate Communication
Head of International Marketing (Pigments)
Head of International Marketing (Pigments) Vice President (Operations) Chharodi & Ankleshwar Plants
Vice President (Domestic Agrochemical Marketing)
General Manager (Corporate Affairs) and Company Secretary
General Manager (Operations) Chharodi Plant
General Manager Administration (Agro Unit)
General Manager (Domestic Marketing) General Manager (Operations) Panoli
General Manager (International Marketing)
Works Manager - Ankleshwar Agro Unit |
MAJOR SHAREHOLDERS
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Names of Shareholders |
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No. of Shares |
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Popatbhai N Patel |
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100 |
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Haribhai M Patel |
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100 |
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Anandbhai I Patel |
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100 |
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Natubhai M Patel |
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100 |
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Rameshbahi M Patel |
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100 |
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Lalitbhai K. Patel |
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100 |
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Equity Shares Break-up:
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Category |
Percentage |
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Directors or Relative of directors |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers, sellers, traders and exporters of dyes, agrochemicals and intermediates. |
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Products : |
v O.P.D.A v Atrazine v Heaconazole |
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Exports : |
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Countries : |
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Imports : |
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Countries : |
Bayer AG, |
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Terms : |
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Purchasing : |
L/C (90 days) terms. |
PRODUCTION STATUS
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Particulars |
Unit |
Licensed
Capacity |
Installed
Capacity |
Actual
Production |
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Agrochemicals Basics |
MT |
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2400 |
1137.06 |
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Solid Formulations |
MT |
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1200 |
947.342 |
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Liquid Formulations |
MT |
-- |
720 |
716.434 |
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Dyes and Others |
MT |
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2100 |
600.298 |
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GENERAL INFORMATION
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Customers : |
Pigments
Pesticides
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No. of Employees : |
65 |
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Bankers : |
State Bank of Vatva Industrial Estate Branch, Vatva, Ahmedabad – 382
445, |
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Facilities : |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
Mr. Balkrishna t Thakkar Chartered Accountant |
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Address : |
602, Saffron, Ambawadi, Ahmedabad;380015, |
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Associates/Subsidiaries : |
Meghmani Dyes and Intermediates Limited Meghmani Organics Limited Tapasheel Enterprise Maeghmani Chemicals Patel Dyestuff Industries |
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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1800000 |
Equity Shares |
Rs.10/- each |
Rs.18.000
Millions |
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 |
18.000 |
16.500 |
15.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
632.905 |
433.730 |
279.709 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
650.905 |
450.230 |
294.709 |
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LOAN FUNDS |
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1] Secured Loans |
1.379 |
18.591 |
7.809 |
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2] Unsecured Loans |
187.087 |
190.543 |
224.422 |
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TOTAL BORROWING |
188.466 |
209.134 |
232.231 |
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DEFERRED TAX LIABILITIES |
8.484 |
10.346 |
9.473 |
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TOTAL |
847.855 |
669.710 |
536.413 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
106.672 |
105.87 |
105.570 |
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Capital work-in-progress |
3.539 |
2.828 |
3.233 |
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INVESTMENT |
54.834 |
12.133 |
17.521 |
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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 |
219.690 |
273.410 |
163.593 |
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Sundry Debtors |
332.243 |
410.781 |
239.578 |
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Cash & Bank Balances |
28.787 |
25.282 |
23.240 |
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Other Current Assets |
0.000 |
0.000 |
0.000 |
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Loans & Advances |
43.911 |
102.799 |
38.516 |
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Total
Current Assets |
812.272
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624.631 |
464.927 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
51.357 |
61.995 |
29.794 |
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Provisions |
24.400 |
67.466 |
25.044 |
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Total
Current Liabilities |
129.461
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75.757 |
54.838 |
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Net Current Assets |
682.810
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548.874 |
410.089 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
847.855 |
669.710 |
536.413 |
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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 |
885.479 |
741.003 |
544.037 |
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Other Income |
2.313 |
1.543 |
3.219 |
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Stock increase/Decrease |
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55.284 |
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Total Income |
887.801 |
742.546 |
547.540 |
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Profit/(Loss) Before Tax |
184.392 |
160.609 |
126.473 |
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Provision for Taxation |
31.526 |
25.272 |
24.446 |
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Profit/(Loss) After Tax |
152.866 |
135.337 |
102.027 |
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Earnings in Foreign Currency : |
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Export Earnings |
0.000 |
0.004 |
0.000 |
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Total Earnings |
0.000 |
0.004 |
0.0000 |
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Imports : |
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Raw Materials |
0.000 |
0.002 |
0.000 |
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Stores & Spares |
0.000 |
0.000 |
0.000 |
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Capital Goods |
0.000 |
0.000 |
0.000 |
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Total Imports |
0.000 |
0.002 |
0.000 |
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Expenditures : |
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Raw Material Consumed |
423.757 |
592.292 |
346.460 |
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Cost of Trading Sales |
0.000 |
0.000 |
0.929 |
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Purchases made for re-sale |
4.794 |
3.193 |
62.072 |
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Consumption of stores and spares parts |
4.381 |
4.797 |
95.612 |
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Increase/(Decrease) in Finished Goods |
6.434 |
(71.265) |
10.425 |
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Selling and distribution Expenses |
0.000 |
0.000 |
36.697 |
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Salaries, Wages, Bonus, etc. |
10.928 |
13.327 |
0.000 |
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Managerial Remuneration |
0.324 |
0.324 |
0.000 |
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Payment to Auditors |
0.088 |
0.102 |
0.000 |
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Interest |
0.060 |
0.000 |
0.000 |
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Insurance Expenses |
2.338 |
2.705 |
0.000 |
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Power & Fuel |
24.113 |
28.460 |
0.000 |
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Depreciation & Amortization |
10.550 |
12.071 |
0.000 |
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Other Expenditure |
94.167 |
117.400 |
0.000 |
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Total Expenditure |
703.733 |
581.934 |
552.195 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
31.03.2004 |
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PAT / Total Income |
(%) |
17.21 |
18.22 |
18.63 |
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Net Profit Margin (PBT/Sales) |
(%) |
20.82 |
21.67 |
23.24 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
19.73 |
21.98 |
22.16 |
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Return on Investment (ROI) (PBT/Networth) |
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0.28 |
0.35 |
0.42 |
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Debt Equity Ratio (Total Liability/Networth) |
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0.19 |
0.16 |
0.18 |
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Current Ratio (Current Asset/Current Liability) |
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6.27 |
8.24 |
8.47 |
LOCAL AGENCY FURTHER INFORMATION
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Name of the company |
MEGHMANI INDUATRIES LIMITED |
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Presented By |
LALIT K PATEL |
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1) Date and description of instrument creating the change |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.20.000
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 |
Freehold Non
Agricultural Land Bearing Block No.401 (Paiki) (Notheren side)admeasuring
10718 Sq. Mts. Of Mouje Chharodi of Laluka Sanand, District Ahmedabad
together with any superstructure standing theron. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
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5) Name and Address and description of the person entitled to the charge. |
State Bank of Vatva Industries
Estate Branch, Vatva, Ahmedabad ( |
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6) Date and brief description of instrument modifying the charge |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
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Fixed Assets:
Land
Factory Buildings
Staff Quarters
Plant and Machinery
Electrical Installation
Furniture
Motor Car
Other Vehicles
Office Equipment
Miscellaneous Assets
Effluent Treatment Plant
Contingent
Liabilities:
Particulars Rs.
in Million(As on 31.03.2005)
- Outstanding
Bank Guarantees 4.630
- Income Tax
Matters under Appeal
4.218
- Sales tax
matters 1.717
As Per Web site:
Corporate Profile
“No one ever attains very eminent success by simply doing
what is required of him; it is the amount and excellence of what is over and
above the required that determines the greatness of ultimate distinction.”
Charles Adams
At Meghmani Organics Limited, our ideological leanings resonate with this thought. They believe that growth is built on doing better than what is good enough, rising above individual limitations and transgressing the borders of circumstantial impediments.
About them
It was in 1986,
when Gujarat Industries was established as a partnership firm in
Today, Meghmani Organics Limited is a leading manufacturer of pigment and pesticide products in the country and is the recipient of several prestigious awards in recognition of its outstanding business performance.
Company Overview
Sound fundamentals, outstanding export performance, strong presence in the domestic market and a focused management team has seen Meghmani Organics Limited grow at a compounded annual growth rate (CAGR) of 17% and profits 10% over the past 3 years
The Rs 6000 million Rupees Meghmani Organics Limited is:
One of the largest producers of pigment blue in the world
One of the leading producers of pigment green
One of the largest producers of pesticides in
More than 80% of our pigment products and over 50% of our
pesticides products are exported the world over. They have four multifunctional
production facilities in
The landmarks in our journey
1986: Began operations to produce Phthalocynine Green 7, popularly known as Pigment Green 7 at Vatva Plant.
1995: Diversified into manufacture of Agrochemicals at Chharodi Plant.
1996: Expansion of pigments business. Panoli Plant was established to manufacture CPC Blue. CPC Blue is a key raw material used for the manufacture of our Pigment Blue (15) and Pigment Green (7) Products.
2003: Ankleshwar Plant was acquired to expand our range of Agrochemical Products.
Products:
Products
It is said, “The most authentic statement about an organisation is in the performance of its products”. At Meghmani Organics Limited, they believe our products – pigments – blue & green, and pesticides – are the voice of our character, the strength of our customer focus and the yardstick of our potential. Frankly, the most eloquent statement of our commitment to customer satisfaction comes through our products.
Markets
Global marketing network
Warehouses in
Overseas offices in
They market via direct sales teams and distributors / agents
They have:
An extensive network of 20 overseas distributors worldwide
Over 1000 stockists, agents, distributors and dealers covering
Warehouses in
Related Companies
Meghmani Dyes & Intermediates & Meghmani Industries Limited
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.41.00 |
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1 |
Rs.81.80 |
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Euro |
1 |
Rs.55.58 |
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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