MIRA INFORM REPORT

 

 

Report Date :

11.05.2007

 

IDENTIFICATION DETAILS

 

Name :

STANCO TRADERS

 

 

Registered Office :

1/3, Thiruthangal Road, Sivakasi -626123, Tamilnadu.

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

1992

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MRIS01838E

 

 

PAN No.:

[Permanent Account No.]

AADFS3682F

 

 

Legal Form :

Partnership Concern with Unlimited Liability of the partners.

 

 

Line of Business :

Manufacturers and Exporters of Granite in all forms.

 

 

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 400000

 

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well- established and reputed having satisfactory track. Partners 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 concern can be considered normal for business dealings at usual trade and conditions.

 

 

LOCATIONS

 

Registered Office :

1/3, Thiruthangal Road, Sivakasi -626123, Tamilnadu.

Tel. No.:

91-4562-223366/223360

Fax No.:

91-4562-227074

E-Mail :

rajasingh@standardfireworks.co.in

Website :

www.standardfireworks.co.in

 

 

Factory 1 :

Survey Number 1323/1A, 1302/2, Thiruthangal Village, Sivakasi Taluk

Tel. No.:

91-4562-223366/0

Fax No.:

91-4562-227074

E-Mail :

redfort@md3.vsnl.net.in

 

 

PARTNERS

 

Name :

Mr. K.A.A. Arunachalam

Designation :

Partner

 

 

Name :

Mr. N. R. K. R. Ravindran

Designation :

Partner

 

 

Name :

Mrs. R. Thilagavathi Ravindran

Designation :

Partner

 

 

Name :

Mr. C. Dhanasingh Chelladhurai

Designation :

Partner

 

 

Name :

Mr. C. Rajasingh Chelladhurai

Designation :

Partner

 

 

Name :

Mr. N. R. K. R. Rajaratnam

Designation :

Partner

 

 

Name :

Mr. Chiranjeevi Ratnam

Designation :

Partner

 

 

Name :

Mr. S. Maheshwaran

Designation :

Partner

 

 

Name :

Mr. S. Annamalai

Designation :

Partner

 

 

Name :

Mr. A. Tenzing

Designation :

Partner

 

 

Name :

Mr. S. Ashok

Designation :

Partner

 

 

Name :

Mr. C. Subhashsingh Cheeladhurai

Designation :

Partner

 

 

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporters of Granite in all forms.

 

 

Products :

Granite

Countries :

Europe

 

 

Imports :

 

Products :

Machinery

Countries :

Korea, China, Spain

 

 

 

 

 

GENERAL INFORMATION

 

 

 

No. of Employees :

225 ( 25 Office, 200 Factory)

 

 

Bankers :

India Bank

Tamilnadu Co-operative Bank

Karur Vysya Bank

ICICI Bank, Sivakasi

 

 

Facilities :

 -

 

 

 

Banking Relations :

Satisfactory

 

 

 

 

Associates/Subsidiaries :

Associates:

¨       Pandian Chemical Limited

¨       Standard Fire Works Limited

¨       The Metal Powder Company Limited

¨       Pondicherry Papers Limited

 

¨       The Metal Powder Company Limited (MEPCO),

¨       Pioneer Overseas Finance Limited

¨       Pioneer Wincon Limited

¨       Pioneer Asia Packaging Private Limited

¨       Pioneer Press Private Limited

¨       Pioneer Asia Industries Private Limited

¨       Sree Ayyanar Spinning Weaving Mills Limited

 

 

 

CAPITAL STRUCTURE

 

 

Capital Investment :

 

Owned :

Rs. 100.000 million

Borrowed :

-

Total :

Rs. 100.000 million

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

Particulars

 

 

 

31.03.2006

Sales Turnover

 

 

500.000

 

 

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sister Concern:

 

The Metal Powder Company Limited (MEPCO), commenced its operation in 1961

 Is one of the leading manufacturers of Non – Ferrous Metal Powders and pastes globally.

 

Four manufacturing plants in India and one is Malaysia with a workforce exceeding 1000 people.

 

The Combined capacity exceeds 30000 MT/ Years.

 

Sales depots in India, at New Delhi, Mumbai, Kolkata, Gwalior, Chennai, Madurai and Sivakasi and distribution networks across the country.

 

ISO 9001 certified company and global player. Its products are exported to more than 40 countries.

 

Won several National Awards for export merit and import substitution and process development for Aluminum powder, Gold Bronze powder, Red Phosphorus powder and Magnesium powder.

 

On the threshold of introducing specially products for plastics, powder coating and automotive coating along with Silica encapsulated and resin coated Pigments.

 

Pioneer Overseas Finance Limited –

 

The group has promoted finance and leasing company in 1989 under the name and style of Pioneer Overseas Finance Limited, is a Non – Banking Finance Company with equity     participation from the Indian Overseas Bank, a premier Nationalized Bank headquartered at Madras. This company’s activities include various financial services including Personal Investments. With in the short period the company has now enlarged its capital to keep up with its growing business.

Mr. .R. Ramesh

178B, Kamarajar Salai, Madurai – 625009, Tamilnadu,

91-452-2628106/2626937

E-mail: pofl@pioneerasia.com

 

Pioneer Wincon Limited –

 

This unit has erected Wind Turbine Generators on Turkey basis in Kanyakumari and Coimbatore Districts with Technical collaboration and components imported from A/s Winco Westeind, Denmark.

 

 

Pioneer Asia Packaging Private Limited –

 

Is located at Madras and has the most modern gravure printing, lamination and finishing machines, and is run by a team of experienced technicians. This unit offers its clients excellent packaging materials, including laminated of all kinds, liquor/cigarette cartons etc

 

Pioneer Press Private Limited –

 

Is the one of the earliest activities of the group. Started in 1970 as part of match operations and now is one of the leading printers in Sivakasi equipped with the most modern offset printing machineries, Scanners, /magazine printing and Finishing facilities for executing jobs like Periodicals, Calendars, Catalogues, Labels, Leaflets, Diaries etc are being printed for clients all over India. Printing jobs executed by this company are used as packing.

 

Pioneer Asia Industries Private Limited

Is one of the companies belonging to Pioneer Asia Group. The company which had earlier manufacturer Ossein at Manalur near Madurai ahs now diversified its activities by establishing a manufacturing facility for Wind Turbine Generators. For this purpose, Pioneer Asia Wind Turbines (PAWT) has been formed as a Division of the company

Mr. S. Sundararaman

23, Vallabai  Road, Madurai – 625002, Tamilnadu

91-452-2534099/2533616

Fax: - 91-452-2534335

E-mail- pmclmdu@vsnl.com

 

Sree Ayyanar Spinning Weaving Mills limited –

 

Belonging to this group is among the largest spinning mills in Southern India with 50,000 spindles and 5 open End spinning machines, situated in Virudhunagar. The group’s emphasis on quality and modernization has enable the mill to export a substantial portion of it output of cotton yarn. The yarn from this mill has wide domestics and international markets. Long terms plans here include manufacture of value added products such as knitted and woven fabric. Unit 2 of the Mill has been recently commissioned under the expansion programmed

 

Subject is in the business of spinning cotton and synthetic yarns from fibre. SAM has been in business for more than 25 years now. This is a highly labour and capital intensive industry. Modern development in electronic are making this more capital intensive while making while making it less labour intensive. Cotton is the principal raw material for spinning all over the world. Man made fibres are used to a much small extent, for special applications. At SAM 6,000 spindles are dedicated for spinning synthetic fibre and the balance 44,500 are used for spinning cotton.

 

Company Profile:

 

Subject is a family concernbased at Sivakasi, South India. We mention the name Standard Fireworks and the world will known that they are taking about the company situated is Sivakasi. Such is the fame the Standard Fireworks has attained the entire world over. Stanco Traders is part of this group. This firm was established 15 years ago to deal in Granite. 45 Crores comes from Granite Exports alone for this group.

 

The sage of this group, Indi’s, nay, even Asia’s largest fireworks manufacturer manufacturers began in 1942. The company traces its origin to a modest Safety matches making shed in Sivakas.

 

The company zeal to manufacturer high quality products and created brand leaders, soon paid rich dividends when the brands gained market prominences and signified the emergence of India Pyrotechnics giant. 

 

Diversification and the varied activities of the company –

 

  • Metal power and steel filings
  • Printing and packaging units
  • Paper Mills
  • Spinning Mills
  • Granite Quarrying
  • Hotels and Restaurants
  • Financing and leasing
  • Trusts and Charities which operates three schools, a women’s College an engineering College and a Hospital

 

 

Overseas  Venture –

 

Sun Match Company Limited , Srilanka

Standard Firework Limited, 5 F- 8 Century Plaza, Liuyang City, Hunan, China – 410300

 

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 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

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

5

--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

 

54

 

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