MIRA
INFORM REPORT
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Report Date : |
18.05.2007 |
IDENTIFICATION DETAILS
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Name : |
H K A BAWA AND SONS |
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Registered Office : |
P O Box 35, Bawan Chambers, Goods – Shed Road, Bunder, Manglore –
575001, Karnataka |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
1947 |
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Legal Form : |
Partnership Concern with an Unlimited Liability of the partners. |
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Line of Business : |
Manufacturers of Fishmeal and
Fish Oil |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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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 : |
- |
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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 concern having satisfactory
track. Partners are reported as experienced and respectable businessmen. Trade
relations are fair. Business is active. Payments are usually correct and as
per commitments. The concern can be considered normal for business dealings at usual
terms trade and conditions. |
LOCATIONS
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Registered Office : |
P O Box 35, Bawan Chambers, Goods – Shed Road, Bunder, Manglore –
575001, Karnataka |
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Tel. No.: |
91-824-2420568 |
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Mobile No.: |
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Fax No.: |
91-824-2420405 |
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E-Mail : |
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Factory 1 : |
Located on the seashore at Mukka 2 kms from Mangalore |
PARTNERS
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Name : |
Mr. H. K. Arif Bawa |
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Designation : |
Partner |
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Name : |
Mrs. Asha Bawa |
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Designation : |
Partner |
BUSINESS DETAILS
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Line of Business : |
Manufacturers of Fishmeal and
Fish Oil |
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Products : |
Industrial Grade Fish Oil used in Tanneries, Soap manufacturing Paint
Industries |
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Exports : |
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Countries : |
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GENERAL INFORMATION
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Suppliers : |
Main Raw Material is Fish Varities such as Sardine, Mackerels, Tuna
and Small Red Snappers procured from |
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Customers : |
♦
♦
C.P. Group, ♦
Godrej Feeds, ♦
Higashimaru Feeds , ♦
Brook Bond Lipton, ♦
The Water Base Limited, ♦
Government of |
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Banking
Relations : |
Satisfactory |
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CAPITAL STRUCTURE
Not Available
FINANCIAL DATA
[all figures are
in Rupees Millions]
Not Available now shall supplement if the details are able to be
obtained.
LOCAL AGENCY FURTHER INFORMATION
Company Profile:
Subject is
the second generation of the family
formed by founder of the company late Mr. H K A Bawa which started operations
in 1947 which was later expanded by Late Mr Mohideen Bawa who was instrumental
is setting up several fishmeal and oil factories. They are pioneers in
export of Fishmeal from
They
produce Steam Sterilized Fishmeal and Fishoil in our modern fully mechanized
Fishmeal and Oil plant situated on the coastline of Mangalore. They are
one of the largest manufacturers of Fishmeal and fishoil in India.They export
to
They also produce Industrial Grade Fishoil which are used in Leather
Tanneries, soap manufacture, Paint Industries in
Their goal is to deliver top quality products, efficiently and cost
effective worldwide. The professional and technical qualifications of their
personnel, together with the use of technology in their fishoil and fish meal
plants, ensure the company's continued growth.
They, at H.K.A Bawa, are committed to the following principles.
- Being
- Providing
excellent service, through innovation and dedication.
- Being in the
relentless pursuit to produce top quality Fishmeal and Fishoil and
adapting uncompramising quality parameters and standards at competitive
prices.
- Achieving
excellence in their relationships with their staff, customers, and
suppliers.
- Using
teamwork to create a competitive advantage for their customers and
They Specialise in
Manufacturing of Steam sterilised Fishmeal & Fishoil.
Fishmeal is a Fine powder obtained from cooking, drying, and grinding
raw fish. Fishmeal is a rich protein source, and is used in aqua and paultary
feeds and is also used in pharmaceutical companies for extracting Omega - 3
fatty acids.
They guarantee the following quality specifications for Sterilised
fishmeal produced
and markete by them
A + Grade A Grade B Grade
Protien 65
% 60 % 50 %
Sand Silica 2
% 2 % 2 %
Salt 2 % 2 % 2 %
Moisture 10 % 10 % 10
%
Fishmeal are used
for :
- Aqua feed
- Prawn &
Trout culture feed
- Poultry feed
They
Specialise in Manufacturing of Steam sterilised Fishmeal &
Fishoil.
Fishoil:
- Aqua semi-refined Fishoil is produced
during the process of manufacturing fishmeal by pressing and centrifugation
of fresh fish such as sardines and Mackerel which are the main species of
pelagic Fish available in the Arabian sea on the west coast of
Crude Fishoil is processed in order to eliminate impurities. The oil
must pass through a Filter or seperator to reduce solid and water content. This
results in a very stable product in terms of Free fatty Acid content with an
extended shelf life.
Packing of fishoil is in 200 kg Steel drums.
They
Manufacture Steam sterilised Fishmeal at their modern mechanised Plant
located on the sea shore at Mukka 20 Kms from Mangalore. Freshly caught fish
like Sardines, Mackerels, Tuna, and small Red Snappers are generally used as
raw material. Fishmeal is processed in their plant using stringent quality
control.
Process:
First the
fish is cooked to an optimum temperature which then flows down into double
screw presses.The oil and the water mixture seperated goes into a centrifuge
where fish oil is seperated. The fish cake from the press goes into rotary hot
air drier. The dried meal is than pulverised and cooled. The fine powder is
than filled in HDPE sacks.The Filtered Fishoil is packed in steel drums of 200
litres.
Every
stage is strictly monitored to maintain the quality. The quality of fish meal
and Fishoil is tested at laboratories and batches are segregated
according to their specifications.
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.40.90 |
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1 |
Rs.80.78 |
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Euro |
1 |
Rs.55.18 |
SCORE & RATING EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
6 |
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PAID-UP CAPITAL |
1~10 |
5 |
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OPERATING SCALE |
1~10 |
5 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
6 |
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--PROFITABILIRY |
1~10 |
4 |
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--LIQUIDITY |
1~10 |
5 |
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--LEVERAGE |
1~10 |
5 |
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--RESERVES |
1~10 |
5 |
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--CREDIT LINES |
1~10 |
5 |
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--MARGINS |
-5~5 |
- |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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46 |
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
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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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