MIRA
INFORM REPORT
|
Report Date : |
17.11.2007 |
IDENTIFICATION
DETAILS
|
Name : |
KOPRAN RESEARCH LABORATORIES LIMITED |
|
|
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|
Registered Office : |
Parijat House, 1076, Dr. E. Moses Road, Worli, Mumbai - 400 018,
Maharashtra |
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Country : |
India |
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|
Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
12.08.1986 |
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Com. Reg. No.: |
40601 |
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CIN No.: [Company
Identification No.] |
L24230MH1986PLC040601 |
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|
Legal Form : |
A closely held public limited liability company |
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|
|
|
Line of Business : |
Subject is engaged in numerous medicine research and
developmental activities |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ca |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Moderate |
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|
|
|
Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is just a research and development company having moderate
track. Company’s profitability is under severe pressure. It has huge accumulated
losses. Payments are slow and delayed. The company can be considered for business dealings on safe and
secured terms. |
LOCATIONS
|
Registered Office : |
Parijat House, 1076, Dr. E. Moses Road, Worli, Mumbai - 400 018,
Maharashtra, India |
|
Tel. No.: |
91-22- 6662 7000 |
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Fax No.: |
91-22- 2495 0363 |
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E-Mail : |
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Website : |
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Area : |
750 sq.ft. - Owned |
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|
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|
Corporate Office : |
D/28/2, T.T.C. Industrial Area, Village Bhonsari, Near Turbhe
Telephone Exchange, M.I.D.C., Turbhe, Navi Mumbai - 400 705, Maharashtra
(India) |
|
Tel. No.: |
91-22-2768 0674, 2763 0474 |
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Fax No.: |
91-22-2768 7886 |
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E-Mail : |
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|
Area : |
10000 sq. ft. – Leased |
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|
|
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Research and Development Centre : |
K-4/4, Additional M.I.D.C., Village Birwadi, Mahad - 403 201, District:
Raigad, Maharashtra (India) |
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Tel. No.: |
91-2145-251096 / 97 |
|
Fax No.: |
91-2145-251100 |
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E-Mail : |
DIRECTORS
|
Name : |
Mr. Surendra Somani |
|
Designation : |
Managing Director |
|
Date of Birth/Age : |
52 Years |
|
|
|
|
Name : |
Mr. Susheel G Somani |
|
Designation : |
Chairman |
|
Date of Birth/Age : |
65 Years |
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|
|
|
Name : |
Mr. Sanjay Parikh |
|
Designation : |
Director |
|
Date of Birth/Age : |
48 Years |
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|
|
|
Name : |
Mr. H P Vyas |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. A. K. Mehta |
|
Designation : |
Director |
|
Date of Birth/Age : |
55 Years |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
PROMOTER'S HOLDING |
|
|
|
PROMOTORS |
|
|
|
Indian Promoters |
9281256 |
34.57 |
|
NON-PROMOTER'S HOLDING |
|
|
|
INSTITUTIONAL INVESTORS |
|
|
|
a) Mutual Funds and UTI |
1250600 |
4.66 |
|
b) Banks, Financial Institutional, Insurance Companies (Central /
State Govt. Institutions / Non-Govt. Institutions) |
1340538 |
4.99 |
|
c) Foreign Institutional Investors |
500300 |
1.86 |
|
OTHERS : |
|
|
|
a) Private Bodies Corporates |
2589060 |
9.64 |
|
b) Indian Public |
11334873 |
42.21 |
|
c) NRIs / OCBs |
87653 |
0.33 |
|
d) Any others |
|
|
|
Clearing Members |
462404 |
1.71 |
|
Trust |
3700 |
0.01 |
|
TOTAL |
26850384 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in numerous medicine research and
developmental activities |
|
|
|
|
Products : |
|
GENERAL
INFORMATION
|
No. of Employees : |
15 |
|
|
|
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Bankers : |
Bank of Nova Scotia Nariman Point Branch |
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|
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Banking
Relations : |
Satisfactory |
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|
|
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Auditors : |
|
|
Name : |
Khandelwala Jain and Company Chartered Accountants |
|
Address : |
Mumbai, Maharashtra, India |
|
Tel. No.: |
91-22-66333404 |
|
|
|
|
Group Companies : |
Kopran Limited Kopran
Laboratories Limited Kampala
Pharmaceutical Industries (1996) Limited Globalpharma
Co. LCC, Dubai, UAE Manufacturing Facility: |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5,000,000 |
Equity Shares |
Rs. 10/- each |
Rs. 50.000 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 |
50.000 |
50.000 |
50.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
[220.900] |
[202.600] |
[196.600] |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
[170.900] |
[152.600] |
[146.600] |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
0.000 |
0.000 |
0.200 |
|
|
2] Unsecured Loans |
593.000 |
588.800 |
569.600 |
|
|
TOTAL BORROWING |
593.000 |
588.800 |
569.800 |
|
|
DEFERRED TAX LIABILITIES |
|
|
|
|
|
|
|
|
|
|
|
TOTAL |
422.100 |
436.200 |
423.200 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
80.300 |
151.900 |
171.400 |
|
|
Capital work-in-progress |
327.900 |
325.100 |
320.600 |
|
|
|
|
|
|
|
|
INVESTMENT |
0.000 |
0.100 |
0.000 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
0.500
|
0.500 |
0.300 |
|
|
Sundry Debtors |
0.000
|
0.000 |
0.000 |
|
|
Cash & Bank Balances |
0.000
|
0.000 |
0.100 |
|
|
Other Current Assets |
0.000
|
0.000 |
0.000 |
|
|
Loans & Advances |
34.300
|
37.600 |
73.500 |
|
Total
Current Assets |
34.800
|
38.100 |
73.900 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
20.900
|
79.100 |
142.800 |
|
|
Provisions |
0.000
|
0.000 |
0.000 |
|
Total
Current Liabilities |
20.900
|
79.100 |
142.800 |
|
|
Net Current Assets |
13.900
|
[41.000] |
[68.900] |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.100 |
0.100 |
|
|
|
|
|
|
|
|
TOTAL |
422.100 |
436.200 |
423.200 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
|
Other Income |
2.500 |
30.600 |
1.800 |
|
|
Total Income |
2.500 |
30.600 |
1.800 |
|
|
|
|
|
|
|
|
Profit/(Loss) Before Tax |
[17.300] |
[3.000] |
[29.000] |
|
|
Provision for Taxation |
1.000 |
3.000 |
0.000 |
|
|
Profit/(Loss) After Tax |
[18.300] |
[6.000] |
[29.000] |
|
|
|
|
|
|
|
|
Expenditures : |
|
|
|
|
|
|
Raw Materials |
0.300
|
1.500
|
0.900
|
|
|
Power & Fuel Cost |
0.000
|
0.600
|
0.600
|
|
|
Other Manufacturing Expenses |
0.000
|
0.700
|
1.700
|
|
|
Employee Cost |
0.100
|
6.500
|
6.200
|
|
|
Selling and Administration
Expenses |
0.900
|
2.600
|
1.600
|
|
|
Miscellaneous Expenses |
0.000
|
1.900
|
0.000
|
|
|
Depreciation |
18.500
|
19.800
|
19.800
|
|
Total Expenditure |
19.800 |
33.600 |
30.800 |
|
KEY RATIOS
|
PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
|
Debt-Equity Ratio |
0.00 |
0.00 |
0.00 |
|
Long Term Debt-Equity Ratio |
0.00 |
0.00 |
0.00 |
|
Current Ratio |
0.06 |
0.08 |
0.10 |
|
TURNOVER RATIOS |
|
|
|
|
Fixed Assets |
0.00 |
0.00 |
0.00 |
|
Inventory |
0.00 |
0.00 |
0.00 |
|
Debtors |
0.00 |
0.00 |
0.00 |
|
Interest Cover Ratio |
0.00 |
0.00 |
0.00 |
|
Operating Profit Margin(%) |
0.00 |
0.00 |
0.00 |
|
Profit Before Interest And Tax
Margin(%) |
0.00 |
0.00 |
0.00 |
|
Cash Profit Margin(%) |
0.00 |
0.00 |
0.00 |
|
Adjusted Net Profit Margin(%) |
0.00 |
0.00 |
0.00 |
|
Return On Capital Employed(%) |
0.00 |
0.00 |
0.00 |
|
Return On Net Worth(%) |
0.00 |
0.00 |
0.00 |
LOCAL AGENCY
FURTHER INFORMATION
Kopran Research Laboratories Limited is a subsidiary of Kopran Limited
and has been engaged in numerous medicine research & developmental
activities.
OPERATIONS
The Company is engaged in basic research in the field of gastroenterology,
cardiology and digestive disorders. The other research includes process
development of new bulk drugs and product development of new finished dosage
forms.
The Research focus is mainly on Process Patents and Non Infringing Process
Development for various bulks. Process Patents have been filed for
Clarithromycin, Azithromycin and Atorvastatin.
The two New Chemical Entities have been offered for licensing.
The Directors have passed the Resolution to initiate the process for merging
the Company with Kopran Limited.
As Per Website
Kopran Research Laboratories Limited (KRLL) is an emerging research
organisation with particular interests in the areas of drug discovery, polymer technology
and synthesis of new molecules. KRLL is a 100% subsidiary of Kopran
Limited KRLL is recognised by the Department of Science and
Industrial Research (DSIR), Government of India. The company is staffed with
competent and dedicated team of scientists.
Kopran Research Laboratories Limited (KRLL) is located at Vashi, New
Mumbai.
They have well defined programs in the area of:
- Chemical
Research (Synthetic Chemistry, APIs)
- New drug
discovery
KRLL has focused to maximize opportunities through research at a time
when In Creation of intellectual wealth is critical to knowledge based
pharmaceutical business, recognising this KRLL has filed about 35 product &
process patents internationally and in India.
A) Product patents have been
issued for the following:
- Orally
administrable acid stable antiulcer compound, KNC-6:
Novel N-substituted polymeric benzimidazole
derivative with dual mode of antiulcer activity, i.e. antisecretory and
cytoprotective.
- A Synthetic
bulk laxative, KNC 1206:
KNC-1206 is a crosslinked
graft polymer of acrylic acid which swells remarkably in body fluid.
- Reactive
polymers:
Reactive polymers
which have chemoenzymatically hydrolysable functional groups.
These reactive polymers
are useful in the synthesis of platform technology based new chemical
entities.
- Platform
technology based NCEs and metabolites NCEs are synthesized based
on platform technology, which have been found to be pharmacologically
significant and toxicologically safe compounds.
- Koptrix:
Synthetic polymer beads useful in the
immobilisation of enzymes, proteins.
B) Process patents have been issued for the following:
- Amlodipine
besilate
- Sildenafil,
Rofecoxib
- Preparation
of immobilised enzyme
- Synthesis of
semi synthetic antibiotics by enzymatic route
Audited Financial Results for the Quarter Ended/Twelve Months Ended
31st March, 2007
(Rs. In Millions)
|
Sr. |
Particulars |
Quarter Ended |
Corresponding |
Year Ended |
Year |
|
1. |
Gross Sales |
196.800 |
431.300 |
1092.100 |
1352.800 |
|
. |
Less: Excise Duty |
13.900 |
10.500 |
57.900 |
69.600 |
|
. |
Net Sales |
182.900 |
420.800 |
1034.200 |
1283.200 |
|
2. |
Other Income |
18.800 |
8.000 |
30.100 |
144.90000 |
|
|
Total Income |
201.700 |
428.800 |
1064.400 |
1428.100 |
|
3. |
Total Expenditure |
272.300 |
380.900 |
1148.100 |
1266.200 |
|
. |
a) (Increase) / Decrease in Stock
in Trade |
40.700 |
20.900 |
114.500 |
34.400 |
|
. |
b) Material Consumed |
143.600 |
284.600 |
722.700 |
874.500 |
|
. |
c) Employee Cost |
37.600 |
19.500 |
115.100 |
104.900 |
|
. |
d)
Operational and Administrative Expenses |
50.500 |
55.900 |
195.800 |
252.400 |
|
4. |
Profit / (Loss) before Interest,
Depreciation |
(70.700) |
47.900 |
(83.700) |
161.900 |
|
5. |
Interest (Net) |
36.900 |
10.500 |
66.400 |
75.100 |
|
6. |
Profit / (Loss) after Interest, but before
Depreciation and Tax |
(107.500) |
37.400 |
(150.100) |
86.800 |
|
7. |
Depreciation |
35.000 |
34.300 |
140.500 |
137.400 |
|
8. |
Profit / (Loss) before Tax |
(142.500) |
3.100 |
(290.600) |
(50.600) |
|
9. |
Provision for Fringe benefit |
0.500 |
--- |
1.900 |
0.400 |
|
10. |
Profit / (Loss) after Tax |
(143.000) |
3.100 |
(292.500) |
(51.000) |
|
11. |
Paid up Equity Share Capital (Face Value
Rs.10/- each) |
322.500 |
268.500 |
322.500 |
268.500 |
|
12. |
Reserves excluding Revaluation Reserves |
--- |
--- |
--- |
680.900 |
|
13. |
EPS for the period, for the year to
date and for the Previous year |
. |
. |
. |
. |
|
. |
Basic (Rs.) |
(4.49) |
0.04 |
(9.19) |
(0.96) |
|
. |
Diluted (Rs.) |
(3.81) |
0.03 |
(7.78) |
(0.63) |
|
14. |
Aggregate of Non-Promoters Shareholding |
. |
. |
. |
. |
|
. |
Number of Shares |
22803528 |
17569128 |
22803528 |
17569128 |
Notes :
1. The above results reviewed by the Audit Committee were taken
on record by the Board of Directors of the
Company at its meeting held on 30th June, 2007.
2. Previous period figures has been regrouped / rearranged
wherever necessary to confirm to the current
periods classification.
3. Auditors observation:
a) Investments and Advances made to
Subsidiary Company, Kopran Research Laboratories Limited
amounting to Rs. 655.557 Millions and Joint Venture. Globalpharma Co. LLC
amounting to Rs. 119.384 Millions which in the opinion of the Auditors are
doubtful. In the opinion of the Management since
the Subsidiary Company, Kopran Research Laboratories Limited is proposed to be
merged and
investments in Joint Venture, Globalpharma Co. LLC are made for long term
period hence no provision
is required to be made.
b) Recognition of Export benefit under
Target Plus Incentive Scheme proposed by the Govt. of Rs. 32 Millions
in earlier years, where
later on export benefit under this Scheme has been reduced retrospectively as
per notification issued
by the Govt. for which no provision has been made. In the opinion of
the Management since
this matter is spending before the Court hence no provision has been made.
4. There was 2 complaint pending as at the beginning of the
quarter. The company has not received any
complaints from the shareholders during the
quarter and both the complaints were disposed off during
the quarter.
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.39.34 |
|
UK Pound |
1 |
Rs.80.72 |
|
Euro |
1 |
Rs.57.71 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
- |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
2 |
|
--PROFITABILIRY |
1~10 |
- |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
- |
|
--CREDIT LINES |
1~10 |
- |
|
--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 |
|
16 |
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 |
|