MIRA
INFORM REPORT
|
Report Date : |
07.05.2007 |
IDENTIFICATION DETAILS
|
Name : |
WASAN MOTORS LIMITED |
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Registered Office : |
4, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
06.10.1997 |
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Com. Reg. No.: |
111090 |
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CIN No.: [Company
Identification No.] |
U50100MH1997PLC111090 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMW02093A |
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PAN No.: [Permanent
Account No.] |
AAACW1373P |
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Legal Form : |
Closely held Public Limited liability Company |
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Line of Business : |
Dealers in , Importers, Exporters, Assemblers of automobiles, motor Cars,
Motor Unicycles, Motor Bicycles, Motor Tricycle, Motor Quadricycles, auto
Wheelers, Motor Omnibuses, Char-a-banes, Scooters, Carriages and vehicles of
all kinds, whether mechanically propelled by steam, oil gas, petrol,
electricity, or moved by electrical, hydroelectric power, solar energy or
other energy sources. |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
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 640000 |
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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
experience and respectable businessmen.
Trade relations are reported as fair.
Business is active. Payments
are correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
|
Registered Office : |
4, |
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Tel. No.: |
91-22-5222297 (6 lines) |
DIRECTORS
|
Name : |
Mr. Kundanlal Tilakchand Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
18.08.1932 |
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Date of Appointment : |
06.10.1997 |
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Date of Ceasing: |
26.07.2001 |
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Name : |
Mr. Vijay Kundanlal Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
26.11.1957 |
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Date of Appointment : |
06.10.1997 |
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Date of Ceasing: |
01.04.1999 |
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Name : |
Mr. Pradeep Kundanlal Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
21.11.1963 |
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Date of Appointment : |
06.10.1997 |
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Date of Ceasing: |
01.04.1999 |
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Name : |
Mrs. Bala Kasturilal Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
04.11.1962 |
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Date of Appointment : |
19.08.2002 |
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Name : |
Mrs. Mohinidevi Kundanlal Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
11.08.1940 |
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Date of Appointment : |
01.04.1990 |
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Name : |
Mr. Kasturilal Kundanlal Wasan |
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Designation : |
Director |
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Address : |
4, |
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Date of Birth/Age : |
27.09.1960 |
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Date of Appointment : |
31.07.2001 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
Mr. Vijay K Wasan (HUF) |
|
70000 |
|
Mr. Pradeep K Wasan (HUF) |
|
105000 |
|
Mr. Tarun Wasan |
|
105000 |
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Mrs. Sonia Wasan |
|
105000 |
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Mr. Rahul Wasan |
|
390000 |
|
Mrs. Mohinidevi Wasan |
|
319000 |
|
Ms. Rashi K Wasan |
|
105000 |
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Mr. Kunal K Wasan |
|
105000 |
|
Mr. Pradeep K Wasan |
|
185000 |
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Mrs. Meera P Wasan |
|
135000 |
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Mr. Vijay K Wasan |
|
135000 |
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Mrs. Bala K Wasan |
|
185000 |
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Mr. Kasturilal K Wasan |
|
185000 |
|
Mrs. Usha V Wasan |
|
135000 |
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Total |
|
2264000 |
BUSINESS DETAILS
|
Line of Business : |
Dealers in , Importers, Exporters, Assemblers of automobiles, motor
Cars, Motor Unicycles, Motor Bicycles, Motor Tricycle, Motor Quadricycles, auto
Wheelers, Motor Omnibuses, Char-a-banes, Scooters, Carriages and vehicles of
all kinds, whether mechanically propelled by steam, oil gas, petrol,
electricity, or moved by electrical, hydroelectric power, solar energy or
other energy sources. |
GENERAL INFORMATION
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Bankers : |
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Facilities : |
Secured Loans:
As on 31.03.2005 |
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Bank overdraft with Bank of Baroda Account 20034 (It is secured
against stock, book debts and building of the company and against the
personal guarantee of the Director) |
Rs. 147.888 millions |
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HDFC Bank Limited (E-Net Account 0600440000234) (Secured against stock and personal guarantee of the director.) |
Rs. 49.753 millions |
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HDFC Bank Limited (E-Net Account 0600450000244) (Secured against stock and personal guarantee of the director.) |
Rs. 4.414 millions |
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ICICI Bank Limited (E-banking Account 010251002601) (Secured against stock and personal guarantee of the director.) |
Rs. 18.398 millions |
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Bank of Baroda (Term Loan account 1245) (Secured against stock, book debts and building of the company and
against the personal guarantee of the director.) |
Rs. 13.500 millions |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Banshi Jain and Associates Chartered Accountants |
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Address : |
404 / 405, |
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Tel. No.: |
91-22-2651 1213 / 2651 1215 |
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Fax No.: |
91-22-2651 1197 |
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E-Mail : |
bjaa@rediffmail.com |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
2500000 |
Equity Shares |
Rs. 10.00 each |
Rs. 25.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
2264000 |
Equity Shares |
Rs. 10.00 each |
Rs.22.640 millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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|
SHAREHOLDERS FUNDS |
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|
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|
1] Share Capital |
22.640 |
22.640 |
22.640 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
139.492 |
49.055 |
33.106 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
162.132 |
71.695 |
55.746 |
|
|
LOAN FUNDS |
|
|
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1] Secured Loans |
322.493 |
233.954 |
78.630 |
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2] Unsecured Loans |
8.533 |
57.415 |
54.790 |
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TOTAL BORROWING |
331.026 |
291.369 |
133.420 |
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DEFERRED TAX LIABILITIES |
1.549 |
1.866 |
0.976 |
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TOTAL |
494.707 |
364.931 |
190.142 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
168.013 |
88.180 |
14.959 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.500 |
0.500 |
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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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|
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Inventories |
168.604
|
142.037 |
127.129 |
|
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Sundry Debtors |
126.205
|
140.798 |
63.298 |
|
|
Cash & Bank Balances |
24.483
|
14.978 |
5.121 |
|
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Other Current Assets |
0.000
|
0.000 |
0.000 |
|
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Loans & Advances |
83.821
|
52.284 |
88.128 |
|
Total
Current Assets |
403.113
|
350.097 |
283.676 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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Current Liabilities |
54.520
|
54.703 |
97.917 |
|
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Provisions |
21.910
|
19.165 |
11.110 |
|
Total
Current Liabilities |
76.430
|
73.868 |
109.027 |
|
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Net Current Assets |
326.683
|
276.229 |
174.649 |
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MISCELLANEOUS EXPENSES |
0.011 |
0.022 |
0.034 |
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TOTAL |
494.707 |
364.931 |
190.142 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
2811.793 |
3972.929 |
2932.088 |
|
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Other Income |
0.000 |
0.000 |
0.000 |
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|
(Decrease) / Increase in Closing Stock |
0.000 |
14.908 |
92.594 |
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Total Income |
2811.793 |
3987.837 |
3024.683 |
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Profit/(Loss) Before Tax |
19.075 |
24.893 |
17.873 |
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Provision for Taxation |
11.867 |
8.943 |
6.483 |
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Profit/(Loss) After Tax |
7.208 |
15.950 |
11.390 |
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Earnings in Foreign Currency : |
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Export Earnings |
0.000 |
0.000 |
0.000 |
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Commission Earnings |
0.000 |
0.000 |
0.000 |
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Other Earnings |
0.000 |
0.000 |
0.000 |
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Total Earnings |
0.000 |
0.000 |
0.000 |
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Imports : |
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Raw Materials |
0.000 |
0.000 |
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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Others |
0.000 |
0.000 |
0.000 |
|
Total Imports |
0.000 |
0.000 |
0.000 |
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Expenditures : |
|
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Cost of Goods Sold |
0.000 |
0.000 |
0.000 |
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Manufacturing Expenses |
0.000 |
0.000 |
0.000 |
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|
Administrative Expenses |
0.000 |
91.632 |
75.639 |
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|
Raw Material Consumed |
0.000 |
0.000 |
0.000 |
|
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Purchases made for re-sale |
2600.123 |
3835.643 |
2908.253 |
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Consumption of stores and spares parts |
76.441 |
0.000 |
0.000 |
|
|
Increase/(Decrease) in Finished Goods |
(41.088) |
0.000 |
0.000 |
|
|
Salaries, Wages, Bonus, etc. |
13.347 |
15.027 |
12.018 |
|
|
Managerial Remuneration |
5.400 |
0.000 |
0.000 |
|
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Payment to Auditors |
0.049 |
0.000 |
0.000 |
|
|
Interest |
26.025 |
16.454 |
8.015 |
|
|
Insurance Expenses |
2.922 |
0.000 |
0.000 |
|
|
Power & Fuel |
0.000 |
0.000 |
0.000 |
|
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Depreciation & Amortization |
9.433 |
4.175 |
2.031 |
|
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Other Expenditure |
100.066 |
0.011 |
0.011 |
|
Total Expenditure |
2792.718 |
3962.942 |
3005.967 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
0.26
|
0.40 |
0.38 |
|
|
|
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|
Net Profit Margin (PBT/Sales) |
(%) |
0.68
|
0.63 |
0.61 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
3.34
|
5.68 |
5.98 |
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.12
|
0.35 |
0.32 |
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Debt Equity Ratio (Total Liability/Networth) |
|
2.51
|
5.09 |
4.35 |
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|
Current Ratio (Current Asset/Current Liability) |
|
5.27
|
4.74 |
2.60 |
LOCAL AGENCY FURTHER INFORMATION
|
Name of the company |
WASAN MOTORS PRIVATE LIMITED |
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Presented By |
Bank of |
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1) Date and description of instrument creating the change |
Composite Hypothecation
agreement dated 05.02.1998. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 46.400
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 |
All stocks of Raw
Materials, work-in-progress, semi-finished goods and finished goods, packing
materials and stores. All present and
future book debts. All tangible
movable machinery and plant, cranes, boats and crafts and vehicles together
with spares, tools and accessories and other movable present and future and
furniture, fixtures and fittings and office equipments etc. (And as shown in
detail as per second schedule of the composite Hypothecation agreement.) |
|||
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4) Gist of the terms and conditions and extent and operation of the charge. |
Nature of Banking
Facility |
Amount (in Rupees millions) |
Rate of Interest |
Margin |
|
Cash Credit |
46.400 |
2 % above PLR with Minimum 16 % per annum plus Interest Tax with
quarterly rests. |
30 % |
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5) Name and Address and description of the person entitled to the charge. |
Bank of Chembur, Mumbai –
400 071 |
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6) Date and brief description of instrument modifying the charge |
Instrument of
Hypothecation dated 26.10.2002 |
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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. |
By this second
modification additional facility of Rs. 40.00 millions only is granted
thereby increasing the facility granted from Rs. 60.00 millions to Rs. 100.00
millions Rate of Interest 1.5
% above STPLR, minimum 12.5 %. Margin – 30 % |
|||
Fixed Assets:
- Land (
- Plant and
Machinery
- Air
Conditioners
- Office
Equipments
- Computers
- Motor Cars
- Furniture and
Fixture
- Tools and
Equipments
- Building
(Borivali)
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 does 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 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
7 |
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--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 |
|
53 |
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 |
|