MIRA INFORM REPORT

 

 

 

Report Date :

11.05.2007

 

IDENTIFICATION DETAILS

 

Name :

PEPSICO INDIA HOLDINGS PRIVATE LIMITED

 

 

Registered Office :

B-3, DLF Corporate Park, ‘S’ Block Qutab Enclave, Phase III, Gurgaon-122 002, Haryana

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

16.10.1997

 

 

Com. Reg. No.:

05-33754

 

 

CIN No.:

[Company Identification No.]

U15549HR1997PTC033754

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

DELP10965D

 

 

PAN No.:

[Permanent Account No.]

AAACP1272G

 

 

Legal Form :

Private Limited Liability Company

 

 

Line of Business :

Manufacturing of package bottles, snack foods, fruit products, mineral water, potato product, milk malted foods, beverage and aerated water.

 

 

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 50000000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well-established company and a part of Pepsico Group.  Available information indicates high financial responsibility of the company.

 

The company is experiencing difficult times presently, due to   pesticides found by Government laboratories in soft drinks.  The company’s sale has been affected seriously. Payments are reported as correct and as per commitments

 

No subsequent financials could be available from any sources.

 

The company can be considered normal for business dealings at usual trade terms and conditions.

 

 

LOCATIONS

 

Registered Office :

B-3, DLF Corporate Plaza, ‘S’ Block, Phase III, Qutab Enclave, Gurgaon-122 002, Haryana, India

Tel. No.:

91-124-2355880 / 2355863 / 2355871

Fax No.:

91-124-2355853 / 2355861 / 2355862

 

 

Corporate Office :

13th Floor, Mohan Dev Building, 13 Tolstoy Marg, New Delhi – 110001

Tel. No.:

91-11-51522541

Fax No.:

91-11-23323021

Location :

Commercial

 

 

Factory 1 :

36, DLF Corporate Park, S Block, Qutab Enclave, Phase III, Gurgaon, Haryana

Tel. No.:

91-124-2335880 / 6355880 / 863

Fax No.:

91-124-6355862

 

 

Factory 2 :

Sangrur, Punjab, India

 

 

Branches :

Located at :

 

Chandigarh, Phillaur, Sangrur, Gurgaon and New Delhi.

 

 

DIRECTORS

 

Name :

Mr. Rajeev Bakshi

Designation :

Director

Address :

03.05.1957

Date of Appointment :

03.09.2001

 

 

Name :

Mr. Pradeep Sardana

Designation :

Director

Address :

30.06.1949

Date of Appointment :

15.09.2001

 

 

Name :

Mr. Vinod Rao

Designation :

Director

Address :

02.06.1962

Date of Appointment :

03.02.2003

 

 

Name :

Mr. Ajit Yadav

Designation :

Director & Secretary

Address :

05.07.1952

Date of Appointment :

01.04.2001

 

 

 

 

KEY EXECUTIVES

 

Name :

Mr. D. Sarma Veeeraghanta

 

Designation :

Vice President- Exports

 

Address :

3B, DLF Corporate Park, S Block, Qutab Enclave, Gurgaon-122002, Haryana, India

 

Tel. No.:

91-124-2355880

 

Fax No.:

91-124-2355861

 

Mobile No.:

91-9810409658

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

Names of Shareholders

No. of Shares

Percentage of Holding

Panimex Inc., Mauritius

1,453,104,724

99.78

Beaman Bottling Company

3,149,000

0.22

TOTAL

1,456,253,724

100.00

 

Ultimate Holding Company : Pepsi Co. Inc. (Trademark owner)

 

Holding Company : Panimex Inc., Mauritius

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing of package bottles, snack foods, fruit products, mineral water, potato product, milk malted foods, beverage and aerated water.

 

 

Brand Names :

Pepsi /Mirinda/7UP.

 

 

Exports :

 

Countries :

USA

 

 

Imports :

 

Countries :

USA

 

 

Terms :

 

Purchasing :

L/C, Cash or Credit [30 days]

 

 

PRODUCTION STATUS

 

Particulars

Unit

Licensed Capacity

Installed Capacity

Actual Production

Aerated & Non- aerated beverages

Cases

 

* 64726000

76809000

 

 

GENERAL INFORMATION

 

Customers :

Wholesalers and Retailers

 

 

No. of Employees :

1000

 

 

Bankers :

v      Bank of America, 16, Barakhamba Road, New Delhi – 110001, India

 

v      Deutsche Bank, Tolstoy Marg, Tolstoy House, New Delhi – 110001, India

 

 

Facilities :

--

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

Bharat S Raut & Company

Chartered Accountants

Address :

48 DLF Corporate Park, DLF City, Phase – III, Gurgaon – 122002

Tel. No.:

91-124-2549191

Fax No.:

91-124-2549101

 

 

Associates/Subsidiaries :

Fellow Subsidiaries:

v      Pepsi Foods Private Limited

v      Pepsico World Trading Company Inc.

v      Pepsi Cola International Cork

 

Subsidiaries:

v      Aradhana Beverages and Food Company Private Limited

v      Aradhana Carbonated Beverages Private Limited

v      Aradhana Drinks and Beverages Private Limited

v      Frito Lay India

v      Tropicana Beverages Company

v      Pangarh Marketing Private Limited

v      Ahmedabad Advertising and Marketing Consultants Private Limited

v      Aradhana Snack Foods Company

v      Aradhana Soft Drinks Company

 

Associates:

v      Pearl Drink Private Limited

v      Steel City Drinks Beverages Limited

v      Dhillon Kool Drinks and Beverages Limited (part of the year)

v      Devyani Beverages Limited

v      Krishna Mohan Beverages and Construction Private Limited

v      Charminar Bottling Company Private Limited

v      Varun Beverages Limited

v      Tripty Drinks Private Limited

v      SMV Beverages Private Limited

v      Chattisgarh Beverages Private Limited

 

Others:

v      Pepsico India Holdings Employees Provident Fund Trust

v      Pepsico India Holdings Employees Superannution Fund Trust

 

 

CAPITAL STRUCTURE

 

Authorised Capital :

No. of Shares

Type

Value

Amount

2,500,000,000

Equity Shares

Rs.10/- each

Rs. 25000.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

1126253724

Equity Shares

Rs.10/- each

Rs. 11262.537 Millions

 

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2006

31.03.2005

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

11262.537

11262.537

2] Share Application Money

 

0.000

0.000

3] Reserves & Surplus

 

5.701

6..095

4] (Accumulated Losses)

 

(4837.583)

(4190.617)

NETWORTH

 

6430.655

7078.015

LOAN FUNDS

 

 

 

1] Secured Loans

 

0.000

0.000

2] Unsecured Loans

 

9510.541

8889.379

TOTAL BORROWING

 

9510.541

8889.379

DEFERRED TAX LIABILITIES

 

0.000

0.000

 

 

 

 

TOTAL

 

15941.196

15967.394

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

9316.540

9887.991

Capital work-in-progress

 

373.316

339.988

 

 

 

 

INVESTMENT

 

2349.731

2314.855

DEFERREX TAX ASSETS

 

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

1952.968

2191.626

 

Sundry Debtors
 

1448.733

911.851

 

Cash & Bank Balances
 

417.520

569.810

 

Other Current Assets
 

0.000

0.000

 

Loans & Advances
 

4554.520

4210.443

Total Current Assets
 

8373.741

7883.730

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
 

3955.276

4292.116

 

Provisions
 

516.856

167.054

Total Current Liabilities
 

4472.132

4459.170

Net Current Assets
 

3901.609

3424.560

 

 

 

 

MISCELLANEOUS EXPENSES

 

0.000

0.000

 

 

 

 

TOTAL

 

15941.196

15967.394

 

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

 

31.03.2006

31.03.2005

Sales Turnover

 

18567.064

14891.121

Total Income

 

18567.064

14891.121

 

 

 

 

Profit/(Loss) After Tax

 

(604.147)

(875.177)

 

 

 

 

Earnings in Foreign Currency :

 

 

 

Total Earnings

 

2091.925

894.935

 

 

 

 

Expenditures :

 

 

 

 

Interest

 

420.383

422.699

 

Depreciation & Amortization

 

2110.059

2017.482

 

Other Expenditure

 

16640.769

13326.117

Total Expenditure

 

19171.211

15766.298

 

KEY RATIOS

 

PARTICULARS

 

 

 

31.03.2006

31.03.2005

PAT / Total Income

(%)
 

(3.25)

(5.87)

 

 
 

 

 

Debt Equity Ratio

(Total Liability/Networth)

 
 

0.69

0.63

 

 
 

 

 

Current Ratio

(Current Asset/Current Liability)

 
 

1.87

1.76

 

 

LOCAL AGENCY FURTHER INFORMATION

 

History:

 

The company was incorporated on 16.10.1997 at Gurgaon in Haryana having Company Registration Number 33754.

 

The company became a deemed public company in terms of section 43 (A) with effect from 1st April 1997. Company shifted its registered office from Delhi to Gurgaon (Haryana) and got new Registration Number from Roc Delhi and Haryana Vide (05-33754) dated 20/10/1997. The Company once again was converted into a private limited company from a deemed limited company w.e.f. 22nd January 2001.

 

Business:

 

Subject acts as manufacturers and dealers in all kinds of food and food products and beverages. It also acts as holding company for various pepsico companies in India.

 

The company is from Pepsi Cola Group.

 

The company is under collaboration with Pepsico Capital Corporation, The Netherlands.

 

Aradhana Beverages Manufacturing Company has been amalgamated with the company w.e.f. 14th January 2003.

 

It is in trade terms with:

 

Ø       Agra Beverages Corporation Limited, India

Ø       Pearl Drinks Private Limited, India 

Ø       Steel City Drinks Beverages Limited, India

Ø       Dhillon Kool Drinks and Beverages Limited, India

Ø       Devyani Beverages Limited, India

Ø       Varun Beverages Limited, India

Ø       Pearl Beverages Limited, India

 

The company operates from caption leased office premises of medium size situated in commercial area.

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No 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

UK Pound

1

Rs.81.81

Euro

1

Rs.55.74

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

6

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

-

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

NO

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

YES

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

52

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

 

 

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions