%20LIMITED-%2008-Nov-2007_files/image002.jpg){kind=small}
MIRA
INFORM REPORT
|
Report Date : |
08.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
FINE JEWELLERY (INDIA) LIMITED |
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|
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Registered Office : |
G-6, Gems and Jewllery Complex, Seepz, Andheri (East),
Mumbai – 400096, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
29.04.1987 |
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Com. Reg. No.: |
11-43293 |
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CIN No.: [Company
Identification No.] |
U99999MH1987PLC043293 |
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Legal Form : |
A Closely Held Public Limited Liability Company |
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Line of Business : |
Manufacturers and Exporters of Diamond Studded Gold and Platinum Jewellery. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 1500000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company owned by Kothari Family. It is one of the largest exporters of diamond jewellery in India. Directors are reported as experienced and respectable businessmen. Their trade relations are fair. Payments are usually correct and as per commitments The company can be considered normal for business dealings at usual trade terms and conditions. |
LOCATIONS
|
Registered Office : |
Unit No. G-6, Gems and Jewllery Complex, Seepz, Andheri
(East), Mumbai – 400096, Maharashtra, India |
|
Tel. No.: |
91-22-26910669 / 28293010-20 |
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Fax No.: |
91-22-28292728 / 28293248 |
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E-Mail : |
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Website : |
DIRECTORS
|
Name : |
Mr. Premkumar Lalitkumar Kothari |
|
Designation : |
Chairman and Managing Director |
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Address : |
131-C Rambha, 66, Nepean Sea Road, Mumbai – 400006, Maharashtra, India
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Date of Birth/Age : |
18.05.1951 |
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Date of Appointment : |
29.04.1987 |
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Name : |
Mr. Rajesh Lalitkumar Kothari |
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Designation : |
Director |
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Address : |
112 A, Embassy Apartments Nepeansea Road, Mumbai – 400006,
Maharashtra, India |
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Date of Birth/Age : |
13.03.1956 |
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Date of Appointment : |
01.07.1989 |
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|
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Name : |
Mr. Lalitkumar Chimanlal Kothari |
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Designation : |
Director |
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Address : |
112 A, Embassy Apartments Nepeansea Road, Mumbai – 400006,
Maharashtra, India |
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Date of Birth/Age : |
23.08.1924 |
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Date of Appointment : |
29.12.1997 |
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|
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Name : |
Mr. Saurabh Surendra Bhow |
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Designation : |
Director |
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Address : |
C / 3, Ashita Park, Navrangpura, Ahmedabad – 380014, Gujarat, India |
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Date of Birth/Age : |
24.07.1956 |
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Date of Appointment : |
29.12.1997 |
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|
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Name : |
Mr. Sohil Premkumar Kothari |
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Designation : |
Director |
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Address : |
131-C Rambha, 66, Nepean Sea Road, Mumbai – 400006, Maharashtra, India |
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Date of Birth/Age : |
11.12.1978 |
|
Date of Appointment : |
01.09.2001 |
KEY EXECUTIVES
|
Name : |
Mr. Vinayak Motiram Shirsat |
|
Designation : |
Company Secretary |
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Address : |
9/A/401 Ekta C. H. S. Mhada Colony, Chandivali, Andheri [East], Mumbai
– 400072, Maharashtra, India |
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Date of Birth/Age : |
03.06.1965 |
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Date of Appointment : |
02.07.2001 |
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|
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Name : |
Mr. Shrenik
Nanalal Shah |
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Designation : |
Chief Executive
Officer |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
Premkumar Lalitkumar Kothari |
|
1815175 |
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Smita Premkumar Kothari |
|
502950 |
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Premkumar Lalitkumar Kothari – HUF |
|
22050 |
|
Sohil Premkumar Kothari |
|
2463822 |
|
Viral Premkumar Kothari |
|
612150 |
|
Nilesh Surendra Bhow |
|
2718450 |
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Premkumar Lalitkumar Kothari and Sohil Premkumar Kothari |
|
24000 |
|
Total |
|
8158597 |
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|
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Equity Share
Breakup |
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|
Category |
|
Percentage of
Holding |
|
Foreign holdings [Foreign institutional investors, Foreign
Companies, Foreign Financial Institutions, Non-resident Indian or Overseas
corporate bodies or others] |
|
33.00 |
|
Directors or relatives of directors |
|
67.00 |
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Total |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturers and Exporters of Diamond Studded Gold and Platinum Jewellery. |
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Products : |
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PRODUCTION STATUS
|
Particulars |
Unit |
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|
Installed
Capacity |
|
Jewellery |
Kgs. |
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|
2941.00 |
|
Studded Mountings |
Pcs. |
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|
9.00 |
|
Cut & Polished Diamonds |
Cts. |
|
|
27925.00 |
GENERAL
INFORMATION
|
No. of Employees : |
600 |
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Bankers : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Kantilal Parekh and Company Chartered Accountants |
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Address : |
606, Om Chambers, Kemps Corner, Mumbai – 400036,
Maharashtra |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
12000000 |
Equity Shares |
Rs.10/- each |
Rs. 120.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
8158597 |
Equity Shares |
Rs.10/- each |
Rs. 81.586
Millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
81.586 |
108.738 |
108.738 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
298.140 |
333.544 |
305.316 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
379.726 |
442.282 |
414.054 |
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|
LOAN FUNDS |
|
|
|
|
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1] Secured Loans |
269.354 |
303.237 |
298.350 |
|
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2] Unsecured Loans |
45.268 |
48.957 |
54.614 |
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TOTAL BORROWING |
314.622 |
352.194 |
352.964 |
|
|
DEFERRED TAX LIABILITIES |
10.813 |
5.948 |
5.396 |
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|
|
|
|
|
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TOTAL |
705.161 |
800.424 |
772.414 |
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|
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APPLICATION OF FUNDS |
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|
|
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|
|
|
|
|
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FIXED ASSETS [Net Block] |
73.945 |
82.473 |
87.713 |
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|
Capital work-in-progress |
0.423 |
0.000 |
0.900 |
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|
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|
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INVESTMENT |
4.585 |
4.585 |
0.000 |
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|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
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Inventories |
409.510
|
579.345 |
685.970 |
|
|
Sundry Debtors |
373.284
|
315.205 |
323.315 |
|
|
Cash & Bank Balances |
12.527
|
89.401 |
15.701 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
28.688
|
34.379 |
52.719 |
|
Total
Current Assets |
824.009
|
1018.330 |
1077.705 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
217.860
|
288.464 |
393.904 |
|
|
Provisions |
4.444
|
16.500 |
0.000 |
|
Total
Current Liabilities |
222.304
|
304.964 |
393.904 |
|
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Net Current Assets |
601.705
|
713.366 |
683.801 |
|
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|
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|
|
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MISCELLANEOUS EXPENSES |
24.503 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
705.161 |
800.424 |
772.414 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Sales Turnover |
978.438 |
1211.620 |
1181.209 |
|
|
Other Income |
6.039 |
5.295 |
2.878 |
|
|
Total Income |
984.477 |
1216.915 |
1184.087 |
|
|
|
|
|
|
|
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Profit/(Loss) Before Tax |
25.680 |
43.658 |
97.392 |
|
|
Provision for Taxation |
9.123 |
18.674 |
27.845 |
|
|
Profit/(Loss) After Tax |
16.557 |
24.984 |
69.547 |
|
|
|
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Earnings in Foreign Currency : |
|
|
|
|
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Total Earnings |
NA |
956.978 |
1030.183 |
|
|
|
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|
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Imports : |
|
|
|
|
|
|
Raw Materials |
NA |
|
663.950 |
|
|
Consumables |
NA |
566.844 |
11.258 |
|
|
Others |
NA |
|
143.336 |
|
Total Imports |
NA |
566.844 |
818.544 |
|
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|
|
|
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Expenditures : |
|
|
|
|
|
|
Raw Material Consumed |
606.195 |
954.365 |
947.208 |
|
|
Increase/(Decrease) in Finished Goods |
74.581 |
[73.463] |
[77.265] |
|
|
Salaries, Wages, Bonus, etc. |
75.171 |
82.403 |
0.000 |
|
|
Managerial Remuneration |
1.106 |
1.136 |
0.000 |
|
|
Payment to Auditors |
0.525 |
0.546 |
0.000 |
|
|
Interest |
24.882 |
23.885 |
21.503 |
|
|
Insurance Expenses |
1.700 |
2.440 |
0.000 |
|
|
Power & Fuel |
5.447 |
6.737 |
0.000 |
|
|
Depreciation & Amortization |
12.554 |
13.951 |
15.067 |
|
|
Other Expenditure |
156.636 |
161.257 |
180.182 |
|
Total Expenditure |
958.797 |
1173.257 |
1086.695 |
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%20LIMITED-%2008-Nov-2007_files/image003.gif){kind=small}
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
1.68
|
2.05 |
5.87 |
|
|
|
|
|
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|
Net Profit Margin (PBT/Sales) |
(%) |
2.62
|
3.60 |
8.25 |
|
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.86
|
3.97 |
8.36 |
|
|
|
|
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|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
3.60 |
0.24 |
|
|
|
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|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
1.41
|
1.49 |
1.80 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.71
|
3.34 |
2.74 |
LOCAL AGENCY
FURTHER INFORMATION
Bankers Charges Report
as per Registry
|
Name of the company |
FINE JEWELLERY
(INDIA) LIMITED |
|
Presented By |
ING Vysya Bank
Limited |
|
1) Date and description of instrument creating the change |
General
Hypothecation Agreement dated 10.08.2004 |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs. 12.000
Millions |
|
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 |
Hypothecation of
entire current assets of the company consisting of stock of raw materials,
stock in process, finished goods, stores, consumable items, spares all other
articles, goods, stocks and movable properties wheresoever situated and / or
in transit and all book debts, bills / monies / claims receivables, both
present and future on pari passu basis.
|
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Interest subject
to minimum @ 8.50 % p.a. for PCL and 11.50 % p.a. for PSL or such other rate
as may be prescribed by the bank from time to time. Security to secure PCL /
PSL together with interest, cost, expenses, charges, commission etc. |
|
5) Name and Address and description of the person entitled to the charge. |
ING Vysya Bank
Limited Floral Deck Plaza MIDC Central Road Andheri [East],
Mumbai – 400093 |
|
6) Date and brief description of instrument modifying the charge |
-- |
|
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. |
-- |
|
This form is for |
Modification of
charge |
|
Charge
identification number of the charge to be modified |
80001924 |
|
Corporate
identity number of the company |
U99999MH1987PLC043293 |
|
Name of the
company |
FINE JEWELLERY (INDIA) LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
G-6, Gems and Jewllery Complex, Seepz, Andheri (East),
Mumbai – 400096, Maharashtra, India |
|
Type of charge |
Immovable Property |
|
Particular of
charge holder |
ING Vysya Bank Limited # 103/104, A Wing, 1st Floor, Floral Deck Plaza, MIDC
Central Road, Andheri [East], Mumbai – 400093, Maharashtra, India |
|
Nature of
description of the instrument creating or modifying the charge |
Supplemental memorandum of Entry |
|
Date of
instrument Creating the charge |
25.04.2007 |
|
Amount secured by
the charge |
Rs. 403.500
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Extent operation
of the charge First charge on
the immovable property of the company |
|
Date of latest
modification prior to the present modification |
01.12.2006 |
|
Particulars of
the present modification |
The credit limit
additionally secured by equitable mortgage of immovable property of the
company. |
Fixed Assets
- Factory
Building
- Plant &
Machinery
- Factory
Equipment
- Tools &
Instrument
- Electrical
installation
- Furniture and Fixture
- Mice Machinery
- Office
Equipment
- Exhaust Fan
- Water Cooler
- Electrical
Fans
- Air
Conditioner
- Vehicle
- Motor Car
- Scooter
- Cycle
- Computer
- Refrigerator
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.39.33 |
|
UK Pound |
1 |
Rs.81.75 |
|
Euro |
1 |
Rs.57.54 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
9 |
|
--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 |
|
67 |
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. |
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 |
|