MIRA
INFORM REPORT
|
Report Date : |
12.05.2007 |
IDENTIFICATION DETAILS
|
Name : |
NEW CHEMI INDUSTRIES LIMITED |
|
|
|
|
Registered Office : |
33, 3rd Floor, Maker Chambers VI, 220, Nariman Point,
Mumbai-400021, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as on) : |
31.03.2006 |
|
|
|
|
Date of Incorporation : |
17.03.1966 |
|
|
|
|
Com. Reg. No.: |
11-13452 |
|
|
|
|
CIN No.: [Company
Identification No.] |
U74999MH1966PLC013452 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
MUMN09754D |
|
|
|
|
PAN No.: [Permanent
Account No.] |
AAACN1170D |
|
|
|
|
Legal Form : |
A Closely held Public Limited Liability Company. |
|
|
|
|
Line of Business : |
Manufactures of Pesticides and Insecticides Products. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 1050000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established and reputed company having satisfactory track
records. 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
|
Registered Office : |
33, 3rd Floor, Maker Chambers VI, 220, Nariman Point,
Mumbai-400021, |
|
Tel. No.: |
91-22-2872016/ 22871173 |
|
Fax No.: |
91-22-22870923 |
|
E-Mail : |
|
|
|
|
|
Head Office : |
Rohit Chambers, 2nd Floor, Janmabhiimi Marg, Mumbai-400001,
|
|
Tel. No.: |
91-22-22871422/ 22872425 |
|
Fax No.: |
91-22-22873495 |
DIRECTORS
|
Name : |
Mr. Jayaramdas Muljibhai Patel |
|
Designation : |
Chairman |
|
Address : |
101, Devi Bhavan, 38, |
|
Date of Birth/Age : |
05.09.1916 |
|
Date of Appointment : |
27.08.1971 |
|
|
|
|
Name : |
Mr. Shantilal S Shah |
|
Designation : |
Managing Director |
|
Address : |
18, Avilion Little |
|
Date of Birth/Age : |
19.11.1920 |
|
Date of Appointment : |
15.04.1966 |
|
|
|
|
Name : |
Mr. Chetan S Shah |
|
Designation : |
Managing Director |
|
Address : |
18, Avilion Little |
|
Date of Birth/Age : |
22.07.1954 |
|
Date of Appointment : |
31.01.1976 |
|
|
|
|
Name : |
Mr. Rohit J Patel |
|
Designation : |
Director |
|
Address : |
91, Devi Bhavan, 38, |
|
Date of Birth/Age : |
26.06.1939 |
|
Date of Appointment : |
27.08.1971 |
|
|
|
|
Name : |
Mr. Kantilal Nathlal |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Mansukhlal S Shah |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Chandrakant M Shah |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
M/s Manish Ghia & Associates |
|
Designation : |
Company Secretaries |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2005
|
Names of Shareholders |
No. of Shares |
|
Gangotri Trading Company Private Limited |
25000 |
|
Mr. Dharmesh S Shah and Mrs. Neepa D Shah |
8750 |
|
Mr. Chetan S Shah and Mrs. Rita C Shah |
8125 |
|
Mrs. Sushila S Shah, Mr. Dharmesh S Shah and Mrs. Neepa D Shah |
500 |
|
Mrs. Sushila S Shah, Mr. Chetan S Shah and Mrs. Rita C Shah |
250 |
|
Mr. Dharmesh S Shah |
4000 |
|
Mr. Dharmesh S Shah |
3375 |
As on 31.03.2006
|
Names of Shareholders |
|
Percentage of
Holding |
|
Foreign Holdings |
|
50.00 |
|
Bodies Corporate |
|
50.00 |
|
Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufactures of Pesticides and Insecticides Products. |
||||
|
|
|
||||
|
Products : |
v
Liquid Formulations v
Basic Agro Chemicals v
Powder Formulations
|
PRODUCTION STATUS
|
Particulars |
Unit |
|
Installed
Capacity |
Actual
Production |
|
Dusting Powder |
MT |
|
-- |
-- |
|
Wetable Powder |
MT |
|
-- |
-- |
|
Emulefier |
KT |
|
-- |
-- |
|
Concentrate Granutes |
KT |
|
-- |
|
|
Technical Grade Pesticides |
MT |
|
240 |
-- |
GENERAL INFORMATION
|
No. of Employees : |
About 500 |
|
|
|
|
Bankers : |
Bank
of |
|
|
|
|
Banking
Relations : |
Satisfactory |
|
|
|
|
Auditors : |
|
|
Name : |
M/s A J Shah & Company P M Khatiwala Chartered Accountants |
|
Address : |
|
|
Tel No. : |
91-22-22650834 / 22671269 |
|
Fax No. : |
91-22-22657122 |
|
|
|
|
Associates/Subsidiaries : |
v
Gujarat Krishi Chem Corporation v
VFC Indo Private Limited |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
100000 |
Equity Shares |
Rs.100/- each |
Rs.10.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
50000 |
Equity Shares |
Rs.100/-
each |
Rs.5.000
millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
5.000 |
5.000 |
5.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
259.372 |
248.393 |
225.196 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
264.372 |
253.393 |
230.196 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
6.105 |
0.000 |
0.000 |
|
|
2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
6.105 |
0.000 |
0.000 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.222 |
(0.536) |
|
|
|
|
|
|
|
|
TOTAL |
270.477 |
253.615 |
229.660 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
26.025 |
21.410 |
14.523 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
3.146 |
|
|
|
|
|
|
|
|
INVESTMENT |
18.105 |
2.925 |
0.131 |
|
|
DEFERREX TAX ASSETS |
0.447 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
126.823
|
92.057 |
55.861 |
|
|
Sundry Debtors |
148.276
|
142.993 |
116.737 |
|
|
Cash & Bank Balances |
23.345
|
79.489 |
91.181 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
42.573
|
26.096 |
9.508 |
|
Total
Current Assets |
341.017
|
340.635 |
273.287 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
105.541
|
90.689 |
51.605 |
|
|
Provisions |
9.576
|
20.666 |
9.822 |
|
Total
Current Liabilities |
115.117
|
111.355 |
61.427 |
|
|
Net Current Assets |
225.900
|
229.280 |
211.860 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
270.477 |
253.615 |
229.660 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
421.549 |
431.286 |
406.300 |
|
|
Other Income |
16.571 |
9.628 |
12.213 |
|
|
Total Income |
438.120 |
440.914 |
418.512 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
21.394 |
53.555 |
23.839 |
|
|
Provision for Taxation |
7.565 |
17.873 |
9.017 |
|
|
Profit/(Loss) After Tax |
13.829 |
35.682 |
14.822 |
|
|
|
|
|
|
|
|
Earnings in Foreign Currency : |
|
|
|
|
|
|
Export Earnings |
18.244 |
10.335 |
11.341 |
|
|
Other Earnings |
0.000 |
0.254 |
0.000 |
|
Total Earnings |
18.244 |
10.589 |
11.341 |
|
|
|
|
|
|
|
|
Imports |
|
|
|
|
|
|
Raw Materials |
6.108 |
328.816 |
279.532 |
|
|
Stores & Spares |
|
0.408 |
0.000 |
|
Total Imports |
6.108 |
329.224 |
279.532 |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Manufacturing Expenses |
65.807 |
63.464 |
56.007 |
|
|
Raw Material Consumed |
345.060 |
340.949 |
333.346 |
|
|
Interest |
|
0.579 |
1.623 |
|
|
Depreciation & Amortization |
|
4.396 |
3.733 |
|
Total Expenditure |
410.867 |
409.388 |
394.709 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
3.28
|
8.09 |
3.54 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.07
|
12.14 |
5.70 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
5.82
|
14.87 |
8.28 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.08
|
0.21 |
0.10 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.46
|
0.44 |
0.27 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.96
|
3.06 |
4.45 |
LOCAL AGENCY FURTHER INFORMATION
Form 8 Particular for
creation or modification of charges
|
Name of the company |
NEW CHEMI
INDUSTRIES LIMITED |
||||||||||||
|
Presented By |
NEW CHEMI
INDUSTRIES LIMITED |
||||||||||||
|
1) Date and description of instrument creating the change |
No instrument was executed. However, on 24.10.1994 equitable mortgage was created by the company by constructive delivery and deposit of title deed with Bank of Baroda, Industrial Finance Branch. |
||||||||||||
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs.31.000 millions |
||||||||||||
|
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 |
All that piece and parcel of land at Mouja Wadahavan Tarfa Malad in Greater Mumbai, Off Chakravati Ashok Road, Kandivali (East) formerly in Taluka Borivali, District Thane, but now in District and Sub district of Mumbai and Mumbai Suburban admeasuring 2839 Sq. yards equivalent to 2372.68 Sq. mtrs. or thereabouts and as over City survey and land records 2402.7 Sq. mtrs. bearing city survey No.59 of village Wadhavan comprising of part of village Wadhavan comprising of part of S. No. 1 and 3 being original plot No.13 and re numbered being plot No.12A together with the factory building standing thereon and bounded as follows : On or towards the North by a portion comprised of 40 road. On or towards the West Plot No.12 of the said scheme. On or towards the South by part of S. No.1 and S. No.3 and On or towards the East by Plot No.14 of the said scheme and assessed by the Municipal Corporation under R ward No.3910 (2), 3915(1) and Street No. 4991(2). |
||||||||||||
|
4) Gist of the terms and conditions and extent and operation of the charge. |
As security for the due
repayment discharge and redemption by the company to Bank of (Rs. In millions)
Granted by Bank of Baroda, to the company together with interest compound interest, additional interest by way of liquidated damages, charges and expenses and other monies whatsoever payable by the company to the Bank of Baroda under the respective loan agreements/ letters of sanction etc. |
||||||||||||
|
5) Name and Address and description of the person entitled to the charge. |
Bank of Industrial Finance Branch Fort, Mumbai-400001 |
||||||||||||
|
6) Date and brief description of instrument modifying the charge |
No instrument was executed but on 10.04.2000 the company created an extension of equitable mortgage in respect of its immovable properties situated at Chakravati Ashok Cross Road, Kandivali (East), Mumbai-400101 and in respect of their factory premises at Plot 8 MIDC Industrial Area, Tarapur. |
||||||||||||
|
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 equitable mortgage by deposit of title deeds created by the company on 24.10.1994 on the company’s Kandivali property wads extended on 10.04.2000 to secure working capital facilities aggregating to Rs.72 millions sanctioned by BOB, IFB, Mumbai together with interest, cost, charges and expenses payable thereon by the company to the Bank. The equitable mortgage created by Krypton Chemicals Private Limited on 08.02.1995 on their immovable properties situated at Tarapur which was filed as a modification of the charge created on 27.04.1994 on the movable machinery of Krypton Chems Private Limited. The said immovable property of New Chemi Industries Limited by virtue of merger of Krupton Chemicals Private Limited with New Chemi Industries Limited was also extended on 10.04.2000 to secure the working capital facilities aggregating to Rs.72 millions sanctioned by Bank of Baroda, IFB, Mumbai together withal costs, charges, interest payable by the company to the Bank. |
The Company’s fixed assets include
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.41.34 |
|
|
1 |
Rs.81.81 |
|
Euro |
1 |
Rs.55.74 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
51 |
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 |
|