MIRA
INFORM REPORT
|
Report Date : |
06.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
FCI TECHNOLOGY
SERVICES LIMITED |
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Registered Office : |
XXIX / 2089,
Tripunithura Road, Thykoodam Cochin, Ernakulam – 682019, Kerala |
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Country : |
India |
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Financials (as on) : |
31.12.2006 |
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Date of Incorporation : |
07.11.2000 |
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Com. Reg. No.: |
09 -15286 |
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CIN No.: [Company
Identification No.] |
U32109KL2000PLC015286 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHNF00397F |
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PAN No.: [Permanent
Account No.] |
AAACF5044Q |
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Legal Form : |
A Closely Held
Public Limited Liability Company |
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Line of Business : |
The subject is a
Software Service Provider Company |
RATING &
COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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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Maximum Credit Limit : |
USD 260116 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established
company in IT industry having moderate track. The company’s profitability is
under severe pressure. It continues to incur losses. Payments are however
reported as slow but correct. The company can
be considered for small business dealings at usual trade terms and
conditions, with slight caution initially. |
LOCATIONS
|
Registered Office : |
XXIX / 2089,
Tripunithura Road, Thykoodam Cochin, Ernakulam – 682019, Kerala, India |
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Tel. No.: |
91-484-2303027 |
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Fax No.: |
91-484-2301973 |
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E-Mail : |
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Website : |
DIRECTORS
|
Name : |
Mr P George
Varghese |
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Designation : |
Managing Director |
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Address : |
Flat No 52,
Choice Garden, Janatha Road, Cochin, Ernakulam - 682019, Kerala, India |
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Date of Birth/Age : |
18.04.1948 |
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Date of Appointment : |
07.11.2000 |
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Name : |
Mr Kambium
Valappil Sivadas |
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Designation : |
Director |
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Address : |
Varada 29/2577E,
Petah Tripunithura, Cochin,
Eranakulam – 682317, Kerala, India |
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Date of Birth/Age : |
25.12.1947 |
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Date of Appointment : |
18.12.2000 |
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|
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Name : |
Mr Bouillet
Ghislaine |
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Designation : |
Director |
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Address : |
55, Jalan Grejar,
Singapore – 488918 |
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Date of Birth/Age : |
18.05.1962 |
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Date of Appointment : |
28.12.2001 |
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Date of Ceasing: |
09.07.2004 |
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Name : |
Mr Lacarne
Thierry |
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Designation : |
Director |
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Address : |
81 Chiselhurst
Grove, Singapore – 558 663 |
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Date of Birth/Age : |
27.02.1956 |
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Date of Appointment : |
06.03.2002 |
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Name : |
Mr Brice Bernard |
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Designation : |
Director |
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Address : |
865, Avenue John,
Kennedy Villers, Ecalles (76) – 75076 |
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Date of Birth/Age : |
12.12.1948 |
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Date of Appointment : |
06.02.2003 |
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Name : |
Mr Sylvie Richard |
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Designation : |
Director |
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Address : |
60 Gilstead Road,
The Armadale, # 03-11, Singapore – 309 104 |
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Date of Birth/Age : |
19.05.1965 |
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Date of Appointment : |
15.10.2004 |
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Name : |
Mr. Sivadas Valappapil |
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Designation : |
Director |
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Address : |
“Varada”, Pettah, Poonithura P O Ernakulam, Cochin – 682317, Kerala |
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Date of Birth/Age : |
25.12.1947 |
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Date of Appointment : |
18.12.2000 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
|
Mr P George
Varghese |
|
110 |
|
Mr. Sunil K
Zachariah |
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22 |
|
FCI Asia PTE
Limited |
|
10999780 |
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Mr. K V Sivadas |
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22 |
|
Mr. M Sukumaran |
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22 |
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Mr. Elias K Biju |
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22 |
|
Mr. Deepak Kuriyan |
|
22 |
Equity Shares Breakup (Percentage of Total Equity):
|
Sr No. |
Category |
Percentage |
|
1 |
Foreign Holdings (Foreign Institutional Investor(s),
Foreign Companie(s), Foreign Financial Institution(s), Non Resident Indian(s)
Or Overseas Corporate Bodies Or Others |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The subject is a
Software Service Provider Company |
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Products : |
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GENERAL
INFORMATION
|
Bankers : |
Centurion Bank of Punjab Limited Address: Choice Towers, Manorama Junction,
Cochin – 682 016, Kerala Email ID: cblkochi@md2.vsnl.net |
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Banking
Relations : |
--- |
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Auditors : |
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Name : |
Deloitte Haskins
and Sells Chartered
Accountants |
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Address : |
Willmont Park
Business Centre, Warrioam Road, Kochi – 682016, Kerala, India |
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|
|
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Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
12500000 |
Equity shares |
Rs. 10/- each |
Rs. 125.000 millions |
|
17500000 |
Preference shares |
Rs. 10/- each |
Rs. 175.000 millions |
|
|
|
Total |
Rs. 300.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
11000000 |
Equity shares |
Rs. 10/-
each |
Rs.110.000
millions |
|
17500000 |
Preference shares |
Rs. 10/-
each |
Rs. 175.000
millions |
|
|
|
Total |
Rs. 285.000 millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.12.2006 |
31.12.2005 |
31.12.2004 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
110.000 |
110.000 |
110.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
0.000 |
0.000 |
0.000 |
|
|
4] (Accumulated Losses) |
(44.971) |
(47.892) |
(34.046) |
|
|
NETWORTH |
65.029 |
62.108 |
75.954 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
11.146 |
0.000 |
0.000 |
|
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2] Unsecured Loans |
157.306 |
165.574 |
128.465 |
|
|
TOTAL BORROWING |
168.452 |
165.574 |
128.465 |
|
|
DEFERRED TAX LIABILITIES |
5.893 |
11.216 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
239.374 |
238.898 |
204.419 |
|
|
|
|
|
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APPLICATION OF FUNDS |
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|
|
|
|
|
|
|
|
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FIXED ASSETS [Net Block] |
187.940 |
211.449 |
176.653 |
|
|
Capital work-in-progress |
1.459 |
4.501 |
1.361 |
|
|
|
|
|
|
|
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INVESTMENT |
0.000 |
0.000 |
0.000 |
|
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
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|
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
4.728
|
4.647
|
6.863 |
|
|
Sundry Debtors |
59.099
|
41.724
|
52.111 |
|
|
Cash & Bank Balances |
19.475
|
17.146
|
8.516 |
|
|
Other Current Assets |
0.173
|
0.135
|
0.119 |
|
|
Loans & Advances |
21.899
|
15.497
|
13.277 |
|
Total
Current Assets |
105.374
|
79.149
|
80.885 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
47.783
|
51.419
|
52.681 |
|
|
Provisions |
7.616
|
4.782
|
1.800 |
|
Total
Current Liabilities |
55.399
|
56.201 |
54.481 |
|
|
Net Current Assets |
49.975
|
22.948
|
26.405 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
239.374 |
238.898 |
204.419 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.12.2006 |
31.12.2005 |
31.12.2004 |
|
|
Sales Turnover |
39.234 |
42.753 |
186.855 |
|
|
Other Income |
2.740 |
0.000 |
0.000 |
|
|
Total Income |
41.974 |
42.753 |
186.855 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
4.580 |
[12.566] |
(9.294) |
|
|
Provision for Taxation |
1.660 |
1.280 |
---- |
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|
Profit/(Loss) After Tax |
2.920 |
[13.846] |
(9.294) |
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|
|
|
|
|
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Export Value |
235.823 |
182.062 |
|
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Expenditures : |
|
|
|
|
|
|
Raw Material Consumed |
12.669 |
2.796 |
|
|
|
Purchases made for re-sale |
0.000 |
0.000 |
|
|
|
Consumption of stores and spares parts |
9.384 |
8.575 |
|
|
|
Increase/(Decrease) in Finished Goods |
[1.383] |
0.736 |
|
|
|
Salaries, Wages, Bonus, etc. |
104.364 |
89.682 |
|
|
|
Managerial Remuneration |
1.606 |
1.529 |
196.149 |
|
|
Payment to Auditors |
0.000 |
0.590 |
|
|
|
Interest |
12.049 |
9.170 |
|
|
|
Insurance Expenses |
0.867 |
0.580 |
|
|
|
Power & Fuel |
11.016 |
9.877 |
|
|
|
Depreciation & Amortization |
50.603 |
44.024 |
|
|
|
Other Expenditure |
72.042 |
69.822 |
|
|
Total Expenditure |
274.600 |
237.381 |
196.149 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
PAT / Total Income |
(%) |
6.95
|
[32.38] |
[4.97] |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
10.91
|
[29.39] |
[4.97] |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.55
|
[4.25] |
[3.60] |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
[0.20] |
[0.12] |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.44
|
3.57 |
1.71 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.90
|
1.40 |
1.48 |
LOCAL AGENCY
FURTHER INFORMATION
|
Corporation identity number or foreign company registrations number of
the company |
U32109KL2000PLC015286 |
||||||||||
|
Name of the company |
FCI TECHNOLOGY
SERVICES LIMITED |
||||||||||
|
Address |
XXIX / 2089, Tripunithura
Road, Thykoodam Cochin, Ernakulam – 682019, Kerala, India |
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This Form is for |
Modification of charge |
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|
Type of Charges |
Immovable property |
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Particular of the charge holder
|
Centurion Bank of Punjab Limited Address: Choice Towers, manorama Junction,
Cochin – 682 016, Kerala Email ID: cblkochi@md2.vsnl.net |
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Nature or description of the instrument creating charge |
Confirmatory letter evidencing deposit of title
deeds on 21.11.2006 |
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Date of the instrument creating charge |
21.11.2006 |
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Amount Secure by the charge |
Rs. 47.000 millions |
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Brief of the principal terms and conditions and extent and operation
of the charge |
Rate
of interest: Interest: CC –CC @ 10.50% being BPLR less 200 bps BG Commission (Fin) -3% p.a BG Commission (Per) -2% p.a Terms
of repayment: Repayment / Tenor: CC / EPC – repayable on
demand LC / BG -3 years (including Claim period) BG (One time) – 9years (24.04.2001 to
23.04.2010) Margin:
Margin
i) 25% on stocks ii)40% on Book
debts less than 90 days iii)10% Cash
margin Extent and
operation of charge First Charge Others: Breakup of the agreement limit of Rs. 47.000 millions
|
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Short particulars of the Property charged |
All that pieces and parcel of land having an
extent of 1.044 hectors (2.58 acres) comprised in Survey No. 136 of
Thiruvaniyoor Village, Kumnathununad Taluk, Ernakulam District. |
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Particulars of the present modification |
By this modification on 21.11.2006 i) The limit was enhanced from Rs. 27.000
millions to Rs. 47.000 millions by additional CC/ EPC/ EBD of Rs. 20.000
millions ii) Additional security was offered for
loan limit aggregating to Rs. 47.000 millions creating equitable mortgage by
way of deposit of title deed iii) Interest on CC was revised to 10.5%
being BPLR less 200 bps. |
|
Name of the company |
FCI TECHNOLOGY
SERVICES LIMITED |
|
1) Date and description of instrument creating the change |
Agreement of
Mortgage/ Charge created on 19.05.2006 |
|
2) Amount secured by the charge/amount owing on the securities of charge |
Rs 27.000
Millions |
|
3) Name and Address and description of the person entitled to the charge. |
Centurion Bank of
Punjab Limited Choice Towers,
Manorama Junction, Cochin – 682016, Kerala, India |
|
4) Date and brief description of instrument modifying the charge |
19.05.2006 |
Fixed Assets
- Building
- Plant and Machinery - Owned
- Plant and Machinery – Leased
- Office Equipments
- Furniture and Fittings
- Data Processing Equipments
- Vehicles
- Leasehold Improvements
OTHER INFORMATION:
Subject was established in India, as a Private Limited Company, in the year 2000, and was granted the status of 100% Export oriented unit for its Chennai Division and Bangalore Division under the Software Technology Park of India scheme. Now converted into a limited company with registered office at Kochi, Kerala, this company has been promoted by Framatome Connectors International (FCI) France, the third largest connector manufacturing company in the world, having production units in 18 countries. Its activities are geared towards 4 major markets: Communications, Data and Consumer (CDC), Automotive (AUT), Electrical Power Interconnect (EPI) and Micro connections (MIC). FCI has its headquarters in Paris-France and employs more than 12,500 people in Europe, Asia and Americas.
The Company has four directors on the board; namely, (1) Mr. P George Varghese (Managing Director), (2) Mr. Thierry Lacarne, (3) Mr. K V Sivadas, and (4) Mr. Bernard Brice
Company has a paid
up capital of Rs.110 million and the combined turnover as on 31st December 2003
is Rs.116 million, in the third year of operation.
Subject has five
Divisions in India providing services to counterparts of FCI worldwide:
Software division in Bangalore, Karnataka State, Engineering Design Center in
Tamil Nadu State, Global Engineering Center at Cochin and Back Office Support
Services at Cochin, Tool and Die manufacturing division at Cochin, Kerala
State.
Information
Technology Support Center at Bangalore
This center provides
IT related services in ERP, Web applications, Data Warehouse, Infrastructure
Management and all related IT applications to the entire FCI sites world wide.
The said center is functioning at International Software Technology Park at
Bangalore and employs 78 people as on August 2004 and is in continuous growth
path to employ over 120 employees.
Engineering
Design Center at Chennai
This center provides
engineering design using CAD/ CAM software. This center, originally catering to
the automotive division of FCI, is now servicing to other divisions of FCI
also. It is functioning at Tidel Park at Chennai and employs 26 people now and
is proposed to increase to 100 people in the near future.
Global Engineering Center at Cochin
This facility
provides engineering support for the product and tool design of FCI’s
Automotive, CDC and EPI divisions. Prototyping for CDC division of FCI Europe
is also one of its activities. The said center employs 12 people.
Back Office
Support Division at Cochin
This activity is
launched at Cochin to function as a long-term cost effective and efficient
business back office support center that serves FCI CDC Global needs. The
objective is to minimize the business support overheads across FCI regions in
Asia Pacific, Europe and Americas. At present it has commenced the activity
with 10 business analysts who serve the Global Strategic Leaders in FCI CDC.
Regional Tooling
Center at Cochin
This center
manufactures tools/moulds required for the production of interconnection
devices. Manufacture of tools/ moulds is a high precision and technology
oriented business for which the company has been using high quality imported
equipment. The said center employs 139 people.
WEBSITE DETAILS:
Press Release:
10/08.2007
FCI Develops 0.4mm
High-Pin-Count, Flip-Type ZIF Connector
FCI, a leading manufacturer of connectors and interconnect systems, has
developed a 0.4mm-pitch flip-type ZIF connector ideal for optical disc drives
and flat-panel display applications. Designated the GLH Series, the connector
is available in pick-to-board, panel-to-board and board-to-board connections.
“The low profile, high pin count, and
ease of operation make this connector an ideal
solution for a variety of today’s streamlined, high-performance electronics,”
said Bavo Teunissen, Global Marketing Communications Director, FCI.
The GLH provides 0.4mm spacing, a height of 1.2mm with an FPC thickness of
0.2+/- 0.03mm, and a pin count of 40 to 60 contacts.
The ZIF connector offers front-side flip operation and easy cable
insertion.
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.39.39 |
|
UK Pound |
1 |
Rs.81.31 |
|
Euro |
1 |
Rs.57.44 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
-- |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
27 |
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 |
|