MIRA
INFORM REPORT
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Report Date : |
12.11.2007 |
IDENTIFICATION
DETAILS
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Name : |
CHAITANYA SILKS |
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Registered Office : |
79/8, Ground Floor, Paripaty Plaza, Bangalore – 560002, Karnataka |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
2001 |
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Legal Form : |
Sole Proprietory Concern |
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Line of Business : |
Manufacturers and Exporters of pure silk, viscose, cotton and
polyester fabrics |
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 20,000 |
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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. Proprietor is young
and energetic. Trade relations are fair. Payments are usually correct and as
per commitments The concern can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered/Head Office: |
79/8, Ground Floor, Paripaty Plaza, Bangalore – 560002, Karnataka,
India |
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Tel. No.: |
91-80-41136806 |
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Mobile No.: |
91-9845779907 |
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Telefax No.: |
91-80-22217582 |
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E-Mail : |
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Webside : |
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Area : |
700 sq. ft. |
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Location : |
Rented |
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Factory 1 : |
Anekal (Bangalore South) |
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Area : |
25000 sq. ft. |
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Location : |
Owned |
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SOLE PROPRIETOR
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Name : |
Mr. Mahesh Bajaj |
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Designation : |
Proprietor |
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Date of Birth/Age : |
28 years |
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Qualification : |
B. Com, MBA |
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Experience : |
12 years |
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BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of pure silk, viscose, cotton and
polyester fabrics |
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Products : |
Fabrics such as :
Made-ups such as :
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Exports : |
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Countries : |
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Terms : |
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Selling : |
L/C sight (30-60 days) |
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Purchasing : |
30-60 days |
GENERAL
INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
40 (35-Office, 5-Other) |
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Bankers : |
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Facilities : |
Operating on own funds |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
C.M.M.Sharma and Company Chartered Accountants |
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Address : |
Bangalore |
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Memberships : |
Indian Silk Export Promotion Council |
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Associates/Subsidiaries : |
Mahesh Yarn Company (Bangalore) Mahesh and Company (Bangalore) |
CAPITAL STRUCTURE
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Capital Investment : |
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Owned : |
Rs.5.000 Millions |
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Borrowed : |
- |
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Total : |
Rs.5.000 Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
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Particulars |
31.03.2007 |
31.03.2006 |
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Sales Turnover |
45.000 |
37.500 |
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Profit/Loss for the year |
Margin around 8% |
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Export Value |
20.000 |
15.000 |
Average Value of inventories at any given time : Rs.1.000 Million
LOCAL AGENCY FURTHER
INFORMATION
Company
Profile
Subject is a leading manufacturer, exporter, supplier and
wholesaler of an exquisite collection of silk fabrics such as pure silk, satin
silk fabric, cotton/silk fabrics, viscose/silk fabrics, chiffon silk fabrics, dupioni
silk fabric, organza fabric, georgette, taffeta, and crepe woven from superior
quality of grey and dyed silk yarns.
Established in 1982, they offer their wide array of fabrics in diverse variety
of fibers, counts, constructions, blends, finishes, etc. Their fabrics are
available in various colours & different designs. Over the years, they have
earned a strong client base in the market. Apart from standard specifications,
they also cater to various requirements of their esteemed clients.
Infrastructure
They possess a strong infrastructure. They have a high-tech production unit
equipped with complete range of machinery such as semi-automated looms,
sectional warping & twisting units, etc. under one roof. Backed by
well-experienced and talented workers, managers and quality control department,
they are successful in maintaining high standards of quality of their
manufactured silk fabrics.
Competitive Edge
They are experts in producing excellent quality fabrics, and
have made a reputation in the market for their silk products and services.
Under the able guidance of their managers and supervisors, they produce and are
able to deliver bulk orders at competitive prices within a very short span of
time.
Quality
They have developed niche expertise in maintaining highest standards of quality
of our silk fabrics. Their quality control department ensures to produce
excellent quality silk fabrics, which undergo various stringent quality
measures & computerized yarn dyeing to decrease the handling of yarn &
maintain color constancy.
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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.39.34 |
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UK Pound |
1 |
Rs.82.66 |
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Euro |
1 |
Rs.57.57 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
5 |
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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 |
NO |
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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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45 |
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. |
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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