MIRA
INFORM REPORT
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Report Date : |
29.05.2007 |
IDENTIFICATION DETAILS
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Name : |
P. D. SEKHSARIA TRADING COMPANY PRIVATE LIMITED |
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Registered Office : |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
23.09.1987 |
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Com. Reg. No.: |
16-7679 |
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CIN No.: [Company
Identification No.] |
U51109PB1987PTC007679 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMP13918C |
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PAN No.: [Permanent
Account No.] |
AAATP0180C |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Importers and Exporters of Cotton Yarns |
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 : |
USD 110000 |
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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 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
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Registered Office : |
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Tel. No.: |
91-164-2250741 |
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E-Mail : |
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Factory 1 : |
904, Tulsiani Chambers, Nariman Point, Mumbai – 400021, |
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Tel. No.: |
91-22-22854088 |
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Fax No.: |
91-22-22834284 / 55 |
DIRECTORS
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Name : |
Mr. Jagmohan Sekhsaria |
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Designation : |
Director |
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Address : |
Sekhsaria House, 28, |
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Date of Birth/Age : |
10.10.1944 |
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Date of Appointment : |
23.09.1987 |
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Name : |
Mr. Alok Sekhsaria |
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Designation : |
Director |
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Address : |
Sekhsaria House, 28, |
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Date of Birth/Age : |
31.01.1972 |
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Date of Appointment : |
04.11.1996 |
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Name : |
Ms. Mayuri Sekhsaria |
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Designation : |
Director |
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Address : |
Sekhsaria House, 28, |
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Date of Birth/Age : |
10.08.1977 |
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Date of Appointment : |
20.05.1998 |
MAJOR SHAREHOLDERS
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Names of Shareholders |
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No. of Shares |
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Jagmohan Sekhsaria |
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4000 |
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Aditya Sekhsaria |
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4000 |
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Alok Sekhsaria |
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2000 |
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J. P. Sekhsaria – HUF |
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2000 |
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Vidya Sekhsaria |
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9000 |
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Vandana Sekhsaria |
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2000 |
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Sekhsaria Polycct Private Limited |
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2000 |
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Total |
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25000 |
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Category |
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Percentage of Holding |
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Bodies corporate |
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8.00 % |
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Directors or relatives of directors |
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92.00 % |
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Total |
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100.00
% |
BUSINESS DETAILS
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Line of Business : |
Importers and Exporters of Cotton |
GENERAL INFORMATION
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Suppliers: |
Ismail Spinning Mills Limited, Little Star Spinning Mills Limited, Namah Cotton Compnay Talha Spinning Mills Limited, Zarina Composite Textile Industries Ambica Enterprises Chaware Oil Industries Chetan Enterprises Jain Trading Company Ashok Enterprises, Bathinda Arihant Cotex, Shripur Apura Industries Limited |
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Customers: |
PT Kewal Kaynak Jplik Sanayi Ticaret Nassa Spinning Limited Sufita Cotton Mills Limited Uspar Takstil San Ve Yasmin Spinning Mills Limited The Merhant Enterprises Private Limited |
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No. of Employees : |
About 50 |
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Bankers : |
Union Bank of Mumbai Samachar
Marg, Branch 66/80, Mumbai
Samachar Marg, Fort, Mumbai –
400023 Citi Bank ICICI Bank State Bank of Centurtion Bank
of Punjab Limited HDFC Bank Limited State Bank of State Bank of State Bank of
Saurashtra |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Phirodia and Associates Chartered Accountants |
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Address : |
701, Maker Chamber 5, Nariman Point, Mumbai – 400021, |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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25000 |
Equity Shares |
Rs. 100/- each |
Rs. 2.500 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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25000 |
Equity Shares |
Rs. 100/- each |
Rs. 2.500 Millions |
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FINANCIAL DATA
[all figures are in
Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
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31.03.2006 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
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2.500 |
2.500 |
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2] Share Application Money |
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0.000 |
0.000 |
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3] Reserves & Surplus |
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25.482 |
21.995 |
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4] (Accumulated Losses) |
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0.000 |
0.000 |
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NETWORTH |
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27.982 |
24.495 |
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LOAN FUNDS |
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1] Secured Loans |
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144.784 |
39.260 |
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2] Unsecured Loans |
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0.429 |
0.995 |
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TOTAL BORROWING |
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145.213 |
40.255 |
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DEFERRED TAX LIABILITIES |
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0.027 |
0.018 |
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TOTAL |
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173.222 |
64.768 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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0.338 |
0.345 |
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INVESTMENT |
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1.437 |
1.237 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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41.011 |
3.806 |
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Sundry Debtors |
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139.736 |
55.691 |
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Cash & Bank Balances |
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13.595 |
5.865 |
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Other Current Assets |
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0.023 |
0.019 |
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Loans & Advances |
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26.869 |
29.933 |
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Total
Current Assets |
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221.234 |
95.314 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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47.689 |
29.498 |
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Provisions |
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2.098 |
2.630 |
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Total
Current Liabilities |
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49.787 |
32.128 |
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Net Current Assets |
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171.447 |
63.186 |
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MISCELLANEOUS EXPENSES |
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0.000 |
0.000 |
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TOTAL |
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173.222 |
64.768 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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Sales Turnover |
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310.596 |
N.A |
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Other Income |
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0.000 |
N.A |
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Total Income |
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310.596 |
N.A |
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Profit/(Loss) Before Tax |
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5.594 |
2.182 |
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Provision for Taxation |
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2.106 |
0.86 |
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Profit/(Loss) After Tax |
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3.488 |
1.313 |
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Expenditures : |
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Depreciation & Amortization |
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0.094 |
0.132 |
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Total Expenditure |
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0.094 |
0.132 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
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1.12 |
-- |
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Net Profit Margin (PBT/Sales) |
(%) |
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1.80 |
-- |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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2.52 |
2.28 |
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Return on Investment (ROI) (PBT/Networth) |
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0.19 |
0.08 |
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Debt Equity Ratio (Total Liability/Networth) |
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6.97 |
2.96 |
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Current Ratio (Current Asset/Current Liability) |
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4.44 |
2.97 |
LOCAL AGENCY FURTHER INFORMATION
Bankers Charges
Report as per Registry
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Name of the company |
P. D. SEKHSARIA
TRADING COMPANY PRIVATE LIMITED |
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Presented By |
UNION BANK OF |
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1) Date and description of instrument creating the change |
Packing Credit
Agreement Dated |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 10.000
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 |
Goods meant for export
as per confirmed sale contracts approved by the Bank and / or Letters of
Credit opened in the borrower’s favour.
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest at the
rate of 3 % points over the Bank rate subject to minimum of 13 % per annum
and / or at such other rate as may be prescribed by the Bank / Reserve Bank
of |
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5) Name and Address and description of the person entitled to the charge. |
Union Bank of Mumbai Samachar
Marg, Branch 66/80, Mumbai
Samachar Marg, Fort, Mumbai –
400023 |
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6) Date and brief description of instrument modifying the charge |
Packing Credit
Agreement [SD-04] Dated 19.03.2005 |
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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. |
The Original
charge dated 16.12.1997 for Rs. 10.000 Millions has been modified from time
to time as under : On 12.01.2001 an
additional sum of Rs. 15.000 Millions was granted by the Bank, thereby
enhancing the Packing Credit limit from Rs. 10.000 Millions to Rs. 25.000
Millions against the same security as stated in column No. 3 above On 22.12.2003 the
Packing Credit limit of Rs. 25.000 Millions was reduced to Rs. 22.500
Millions to Rs. 35.000 Millions against hypothecation by way of first charge
in favour of the Bank all those movable properties of the Borrower meant or
intended for export of goods, such as cotton, cotton bales including raw
material, semi finished goods and finished goods and / or any other goods
meant, intended or being manufactured for export lying in the factory or
stored at the Borrower’s factory or in sheds whether situate in the transit,
belonging to or that may at any time during the continuance of this security
belong to or that may at any time during the continuance of this security
belong to the borrower and meant or intended or being manufactured for export or that may be held by any party to
the order and disposition of the borrower all of which said properties, goods
and assets both present and future. Interest at the
rate of 7 % Margin 10 % |
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Corporate
identity number of the company |
U51109PB1987PTC007679 |
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Name of the
company |
P. D. SEKHSARIA TRADING COMPANY PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in |
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This form is for |
Modification of
charge |
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Type of charge |
Hypothecation |
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Particular of
charge holder |
Union Bank of Mumbai Samachar
Marg, Branch 66/80, Mumbai
Samachar Marg, Fort, Mumbai –
400023 |
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Nature of
instrument creating charge |
Letter of
Hypothecation |
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Date of
instrument Creating the charge |
16.12.1997 |
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Amount secured by
the charge |
Rs. 20.000
Millions |
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Brief of the
principal terms an conditions and extent and operation of the charge |
Interest as per
FEDAI rules for FDBP limit of Rs. 20.000 Millions granted by the Bank to the
company. |
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Description of
the property charged indicating whether it is a charged on |
Others |
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Particulars of
the property charged |
Negotiation of bill
or bills of exchange drawn / accepted / endorsed against goods or documents
for collection on the borrower account under lien to the
bank. |
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Charge
identification number of the charge to be modified |
Document No. 48 Regd. On 14.02.2005 |
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Brief description
of the instrument modifying the charge under section 135 |
Letter of
hypothecation of bills |
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Date of
instrument modifying the charge |
07.03.2006 |
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Particulates of
the present modification |
FDBP / FUDBP Limit
has been reduced from Rs. 55 millions to Rs. 50 millions secured against
bills. |
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
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Indian Rupees |
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US Dollar |
1 |
Rs.40.53 |
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1 |
Rs.80.41 |
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Euro |
1 |
Rs.54.52 |
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 |
NO |
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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 |
|
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 |
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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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