MIRA INFORM REPORT

 

 

Report Date :

30.08.2007

 

IDENTIFICATION DETAILS

 

Name :

SURYA PHARMACEUTICALS LIMITED

 

 

Registered Office :

Plot No. 85, HPSIDC Industrial Area, Baddi-173205, District Solan, Himachal Pradesh

 

 

Country :

India

 

 

Financials (as on) :

31.03.2006

 

 

Date of Incorporation :

25.03.1992

 

 

Com. Reg. No.:

06-23861

 

 

CIN No.:

[Company Identification No.]

L24232HP2000PLC023861

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

PTLS14220D

 

 

PAN No.:

[Permanent Account No.]

AABCS3001K

 

 

Legal Form :

A Public Limited Liability Company. Company’s shares are listed on the stock exchanges.

 

 

Line of Business :

Manufacturing and Marketing of bulk drugs and pharmaceuticals.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Maximum Credit Limit :

USD 3632800

 

 

Status :

Good

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is a well-established company having satisfactory track. Directors are reported as experienced, respectable and having satisfactory means of their own. Their trade relations are reported as fair. General financial position is satisfactory. Payments are reported as slow but correct.

 

The company can be considered normal for business dealings at usual trade terms and conditions

 

LOCATIONS

 

Registered Office :

Plot No. 85, HPSIDC Industrial Area, Baddi-173205, District Solan, Himachal Pradesh, India

Tel. No.:

91-172-2779635 (8 Lines) / 91-1795-245350

Fax No.:

91-172-2779639 / 91-1795-245350

E-Mail :

1. sales@suryapharma.com

2. rajivg@suryapharma.com

Website :

http://www.suryapharma.com

Area :

80000 sq. fts.

Location :

Owned

 

 

Corporate Office :

SCO 164-165, Sector 9-C, Madhya Marg, Chandigarh – 160 009, Punjab, India

Tel. No.:

91-172-500-5000

Fax No.:

91-172-507-6000

Email:

sales@suryapharma.com / investorcare@suryapharma.com

Websites:

www.suryapharma.com

 

 

Factory 1 :

Unit I

 

v      Plot No.383, Industrial Area, Phase I, Panchkula, Haryana

Tel.: 91-172-2565222 / 5011319

Fax: 91-172-2573130

Area : 14,00,000 sq. ft.

Location : Owned

Unit II

 

v      Plot No.85, HPSIDC Industrial Area, Baddi - 173205, District Solan, Himachal Pradesh

Tel. No.: 91-1795-245350

Fax: 91-1795-245350

Area : 40,000 sq. ft.

Location : Owned

Unit III

 

v      Plot No. 87, HPSIDC Industrial Area, Baddi - 173205, District Solan, Himachal Pradesh

Tel.No.: 91-1795-246050

Fax: 91-1795-245350

Area : 80,000 sq. ft.

Location : Owned

Unit IV

 

v      Village Banur, Tehsil Rajpura, District Patiala, Punjab

Tel.No.: 91-1762-507131-32 / 91-172-5005000

Fax: 91-1762-507130 / 91-172-5076000

      Area : 20,000 sq. ft.

      Location : Owned

 

 

DIRECTORS

 

Name :

Mr. Rajeev Goyal

Designation :

Chairman and Managing Director

Age :

41 years

Qualification:

Graduate

Experience:

16 years

Address:

#64, Sector 9A, Chandigarh

 

 

Name :

Mrs. Alka Goyal

Designation :

Executive Director

Age :

39 years

Qualification:

Post Graduate

Experience:

16 years

Address:

#64, Sector 9A, Chandigarh

 

 

Name :

Mr.Uday Shantaram Karnik

Designation :

Director-Marketing

Age :

60 years

Qualification:

M.Sc.

Experience:

30 years

Address:

Prashant , 34, Swastik Park, Chembur, Mumbai

 

 

Name :

Mr. S. M. Singla

Designation :

Director Finance

Age :

35 years

Qualification:

FCA

Experience:

12 years

Address:

Flat # 402, GH 27, Sector 20, Panckula (Haryana)

 

 

Name :

Mr. Deepak Arya

Designation :

Nominee Director of IDBI

 

 

Name :

Mr. S. M. Jain

Designation :

Director

Age :

66 years

Qualification:

FCWA

Experience:

40 years

Address:

475, Sector- 14, Gurgaon

 

 

Name :

Mr. Anil Kumar Arya

Designation :

Director

Age :

54 years

Qualification:

Dip. Ayurveda

Experience:

25 years

Address:

G-7, Model Town-III, Delhi

 

 

Name :

Mr. Abhey Kumar Jain

Designation :

Director

Age :

70 years

Qualification:

M.Sc.(Tech) Pharma

Experience:

45 years

Address:

# 158, Sector 18 A, Chandigarh.

 

 

Name :

Mr. Harish Dalmia

Designation :

Director

 

KEY EXECUTIVES

 

Name :

Mr. Rajansh Thukral

Designation :

Company Secretary and Compliance Officer

Address :

Surya Pharmaceutical Limited, SCO 164-165, Sector 9-D, Madhya Marg, Chandigarh – 160 009, Punjab

 

 

Name :

Mr. Sanjiv Sachdev

Designation :

President

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Marketing of bulk drugs and pharmaceuticals.

 

 

Products with  ITC Code :
  • Ampicillin Trihydrate - 294110-02              
  • Amxycillin Trihydrate  - 294110-03            
  • Cloxacillin Sodium - 294110-04                
  • Cephalexin Monohydrate - 294190-02       
  • Cefadroxil Monohydrate - 294200-02         

 

 

Products Range :

Ř       Ampicillin Trihydrate I.P. / B.P. / U.S.P./EP/JP

Ř       Ampicillin Anhydrous I.P. / B.P. / U.S.P. /EP/JP

Ř       Amoxycillin Trihydrate I.P. / B.P. / U.S.P./EP/JP

Ř       Cloxacillin Sodium I.P. / B.P. / U.S.P../EP/JP

Ř       Dicloxacillin Sodium E.P. / B.P. / U.S.P. /EP/JP

Ř       Flucloxacillin Sodium E.P. / B.P/ USP../EP/JP

Ř       Cephalexin Monohydrate I.P. / B.P. / U.S.P.

Ř       Cefadroxil Monohydrate I.P. / B.P. / U.S.P.

Ř       Cephradine B.P. / U.S.P.

Ř       Ceftriaxone Sodium B.P. / U.S.P.

Ř       Cefazolin Sodium B.P. / U.S.P.

Ř       Cefotaxime Sodium B.P. / U.S.P.

Ř       Loratadine

Ř       Clarithromycin U.S.P.

Ř       Roxithromycin B.P.

Ř       Erythromycin Stearate I.P. / B.P. / U.S.P.

Ř       Erythromycin Estolate I.P. / B.P. / U.S.P.

Ř       6-Amino Penicillanic Acid

Ř       7-Amino Desacetoxy Cephalosporanic Acid

Ř       D (-) Parahydroxy Phenyl Glycine Dane Salt (K. Methyl)

Ř       CMIC Chloride

Ř       Ciprofloxacin Hydrochlo Ride I.P / B.P. / U.S.P.

Ř       Enrofoxacin

Ř       Fexofenadine Hydrochloride

Ř       Indinavir Sulphate

Ř       Lamivudine

Ř       Sultamicillin Tosylate

Ř       Sulbactam Sodium (Oral)

Ř       Antibacterial

 

 

Exports :

 

Products :

Cefachlor, Cefixime, Cefadroxil, Cephalexin, Cefdinir, Cefprozil Loratadine, Fexofenadine, Desloratadine, Ampicillin, Amoxycillin, Flucloxacillin, Di Cloxacillin, Cloxacillin

Countries :

Africa, Asia, Europe, South America, Hong Kong, Singapore and Switzerland

 

 

Imports :

 

Products :

Chemicals and Solvents

Countries :

China, Italy, Singapore, Denmark, Hong Kong and Germany

 

 

Terms :

 

Selling :

Credit (90 days)

 

 

Purchasing :

L/C

 

PRODUCTION STATUS

 

Particulars

Production

Sales

Unit

Installed Capacity

Actual Production

Percentage

 

 

 

 

 

 

 

Bulk Drugs

746.820

(781.47)

747.110

(774.40)

Tons

963.000

746.820

77.55

Formulations

145.122

(127.704)

149.631

(124.539)

Million Nos.

180.000

145.122

80.62

 

 

GENERAL INFORMATION

 

Customers :
  • End Users
  • Wholesalers

 

 

No. of Employees :

690

 

 

Bankers :

Ř       Punjab National Bank

Sector 16-D, Chandigarh - 160 016, Punjab

Credit Limit: Rs. 124.500 millions

 

Ř       State Bank of India

Sector 17-B, Chandigarh, Punjab

Credit limit: Rs. 64.500 millions

 

Ř       Canara Bank

Sector 17-C, Chandigarh – 160 017

Tel No. 91-161-2701699

Credit Limit: Rs.43.000 millions

 

Ř       ICICI Bank

9-C, Chandigarh

Credit limit: Rs.89.000 millions

 

Ř       Federal Bank

Sector 8, Chandigarh

      Credit limit: Rs.100.000 millions

 

 

 

 

 

Banking Relations :

Satisfactory

 

 

Auditors :

 

Name :

Bansal Mittal and Company

Chartered Accountants

Address :

SCO 2935-36, 1st Floor,

Sector 22-C, Chandigarh – 160 022

Tel. No.:

91-172-2707065

 

 

Associates/Subsidiaries :
  • Surya Medicare Limited

       Dera Bessi, Punjab.

 

  • Surya Narrow Fabrics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

110.800

106.800

104.700

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

797.400

560.400

463.900

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

908.200

667.200

568.600

LOAN FUNDS

 

 

 

1] Secured Loans

914.600

639.200

491.000

2] Unsecured Loans

563.600

35.400

18.200

TOTAL BORROWING

1478.200

674.600

509.200

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

2386.400

1341.800

1077.800

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

619.000

508.300

457.100

Capital work-in-progress

312.500

0.000

0.000

 

 

 

 

INVESTMENT

2.000

6.800

1.000

DEFERREX TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
806.700

603.600

439.500

 

Sundry Debtors
503.200

441.000

320.800

 

Cash & Bank Balances
439.400

61.800

83.000

 

Other Current Assets
0.000

0.000

0.000

 

Loans & Advances
238.000

196.600

161.600

Total Current Assets
1987.300

1303.000

1004.900

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Current Liabilities
543.300

490.400

401.600

 

Provisions
0.000

0.000

0.000

Total Current Liabilities
543.300

490.400

401.600

Net Current Assets
1444.000

812.600

603.300

 

 

 

 

MISCELLANEOUS EXPENSES

8.900

14.100

16.400

 

 

 

 

TOTAL

2386.400

1341.800

1077.800

 

PROFIT & LOSS ACCOUNT

 

PARTICULARS

 

31.03.2006

31.03.2005

31.03.2004

Sales Turnover

2577.000

1812.200

1731.400

Other Income

4.800

2.400

5.000

Stock Adjustments

105.000

167.700

35.600

Total Income

2686.800

1982.300

1772.000

 

 

 

 

Profit/(Loss) Before Tax

270.600

129.400

87.500

Provision for Taxation

57.700

45.500

27.300

Profit/(Loss) After Tax

212.900

83.900

60.200

 

 

 

 

Expenditures :

 

 

 

 

Selling and Administration Expenses

74.700

61.100

52.100

 

Raw Material

1819.400

1396.700

1264.700

 

Excise Duty

191.700

122.400

110.700

 

Employee Cost

27.800

24.900

20.600

 

Interest and Financial Charges

139.600

117.000

96.300

 

Power & Fuel

52.600

40.300

49.900

 

Depreciation

63.800

55.700

48.000

 

Miscellaneous Expenses

6.700

6.500

5.400

 

Other Manufacturing Expenses

39.900

28.300

36.800

Total Expenditure

2416.200

1852.900

1684.5

 

 

SUMMARISED RESULTS

 

 

PARTICULARS

 

 

31.03.2007

 

Type

 

 

Full Year

Sales Turnover

 

 

2874.900

Other Income

 

 

0.000

Total Income

 

 

2874.900

Total Expenditure

 

 

2322.900

Operating Profit

 

 

552.000

Interest

 

 

146.400

Gross Profit

 

 

405.600

Depreciation

 

 

81.100

Tax

 

 

51.300

Reported PAT

 

 

273.200

Dividend (%)

 

 

0.000

 

QUARTERLY  RESULTS

 

 Type

 

 

30.06.2007

 1st Quarter

 Sales Turnover

 

 1036.200

 Other Income

 

 0.000

 Total Income

 

 1036.200

 Total Expenditure

 

 853.000

 Operating Profit

 

 183.200

 Interest

 

 40.500

 Gross Profit

 

 142.700

 Depreciation

 

 22.000

 Tax

 

 18.800

 Reported PAT

 

 101.900

 

200706 Quarter 1 --------------- Notes: EPS is Basic and Diluted 1.The above results have been reviewed by the Audit Committee and taken on record by the Board of Directors at its meetng held on July 31 2007. 2.The above results have been reviewed by the Statutory Auditors of the company. 3.Previous period/year figures have been regrouped/recasted wherever necessary. 4.There was no pending investors complaint as March 31, 2007 and no fresh investors complaint was received during the quarter ended on June 30 2007. 5.Provision for Deferred tax liability as per AS 22 will be made in the Audited Results. 6.There is only one reportable segment.

 

KEY RATIOS

 

Year

 31.03.2006

31.03.2005

31.03.2004

Debt-Equity Ratio

1.37

0.96

1.07

Long Term Debt-Equity Ratio

0.58

0.30

0.44

Current Ratio

1.44

1.36

1.33

TURNOVER RATIOS

Fixed Assets

3.04

2.57

2.86

Inventory

3.65

3.47

4.20

Debtors

5.46

4.76

6.00

Interest Cover Ratio

2.94

2.11

1.91

Operating Profit Margin(%)

18.39

16.67

13.39

Profit Before Interest And Tax Margin(%)

15.92

13.60

10.62

Cash Profit Margin(%)

10.74

7.70

6.25

Adjusted Net Profit Margin(%)

8.26

4.63

3.48

Return On Capital Employed(%)

22.14

20.63

19.08

Return On Net Worth(%)

27.03

13.58

12.79

 

STOCK PRICES

 

Face Value

Rs.10.00

High

Rs.82.95

Low

Rs.80.60

 

 

 

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

HISTORY

 

Subject is a Chandigarh-based pharmaceutical company with four manufacturing facilities spread across three states of Himachal Pradesh, Haryana and Punjab. The company produces semi synthetic penicillin based products, first generation cephalosporins, anti histamines, drug intermediaries and formulations.


The Company can be considered predominantly a bulk drug or Active Pharmaceutical Ingredient (API) manufacturer, as formulations constituted less than 4% of revenues in FY 2002-03, while the balance was contributed by API, intermediaries and others. Surya Pharmaceuticals is relatively a very small player in the current context. Nevertheless, it has found a space in both domestic and overseas market. In the domestic market, it has opted to become preferred supplier of APIs to domestic pharma majors. In the overseas market, it has been focussing on Far East, Middle East and South Asia. Overall it plans to focus equally on domestic and export market.

 
The company has offered 30 lakh equity shares of Rs 10 each at a premium of Rs 35 each, aggregating Rs 135 millions. The issue proceeds will be utilised, predominantly to augment working capital requirements at Rs 104.700 millions Plant and machinery for R and D amounting to Rs 23.300 millions and for preliminary and public issue expenses of Rs 7.000 millions.

 

 Rajeev Goal, who is currently the company's Managing Director, has promoted the company. The core promoters hold 36.41% stake in the company, which will come down to 25.98% post issue. The promoters friends and associates hold 63.58% stake in the company, which will come down to 45.34% post issue.

 

Over the past three yeas, the company's plant has been operating around 60% capacity utilisation, due to paucity of working capital. Of the proposed issue proceeds of Rs 135.000 millions (including premium), nearly 78% amounting to Rs 104.8 millions is towards augmenting working capital. On successful completion of the issue, the company is hopeful of scaling up the capacity utilisation of bulk drugs, intermediates as well as formulations to 85% in 2003-04, 90% in 2004-05 and to 95% in 2005-06.

 
 The company is presently fetching significant revenues from products like Ampicillin, Amoxicillin, which have very low margins, but have significant growth potential in terms of volume. While the company will optimally capitalise on the growth potential and scale up volumes to improve capacity utilisation and profitability, it has also planned to move up the value chain.

   
 The company's strategy to move up the value chain is multifold. It plans to (a) Increasing the share of higher margin compounds like Cephalexin, Cefadroxyl, Loratadine, Dicloxacillin etc (b) develop new molecules in other therapeutic areas like anti-ulcerants, anti-diabetes (c) Progressively shift to third generation penicillin based cephalosporins like cefixime, cefuroxime, cefdinir, cefporgyl etc, which are already ready for commercial launch (d) Increase the share of regulated markets in the export revenues.

 
 
Currently, the company is focussed on manufacture of tablets and capsules for Pencilling G based products, wherein it has strong presence in API segment. Given the current relatively low level of activity, the company is supplying the formulations on loan license basis to Indswift. This ensures that the company does not end up spending huge amounts on promotion, distribution etc, which may not be justified for current volumes. Further, the company plans to expand its formulation business through tie-ups with few other major pharma companies.

  
 The company has been funding its expansion projects predominantly through debt, augmented by internal accruals. As a result, its interest and finance costs as a percentage of year-end debt were very high at 22% in 2001-02, 17.3% in 2002-03 and 19.0% in the six months ended Sept'03. Given the low interest regime prevailing in the country and the availability of the funds from the current IPO, its interest costs can come down significantly, thereby powering the bottomline.

 

DIRECTORS REPORT:

 

During the year, the turnover of the Company was Rs.2390.125 millions as compared to Rs.1692.227 millions during the previous year, thus registering a growth of 41.24%. The profit before interest and depreciation during the year was Rs.425.848 millions as compared to Rs.302.055 millions during the previous year, thus registering a growth of 49.42%. The company made a net profit after tax of Rs.212.910 millions during the year as compared to Rs.83.917 millions during the previous year, thus registering a growth of 153.71%. 

 
 EXPANSION/GROWTH PLANS AND RESOURCE MOBILISATION: 


During the previous year, the company planned expansions through Greenfield and Brownfield implementations in India and acquisitions abroad involving outlay of Rs.1200.000 millions. The Company has already commenced the implementation of its Jammu Project. The land has been allotted by J and K State Industrial Development Corporation and machinery and other equipments have been identified and advances have been given to the suppliers. A sum of Rs.312.600 millions has been incurred on capital in respect of expansions under process at Banur, Baddi and Jammu locations. During the year under review, a part of Zero Coupon Convertible Share Warrants. The amount has been diverted towards capital expenditure. The financial arrangement for various requirements has been made and the company will be able to raise the funds at the appropriate time. Keeping in view the increasing funds requirements the Directors consider it to be in the best interest of the Company by conserving the resources by not declaring dividend for the current financial year and we hope that our esteemed Shareholders shall provide us their full support in our this report. 


  FINANCIAL CONDITION AND RESULTS OF OPERATION: 

 

Management discussion and Analysis of financial condition and results of operation of the company for the year under review are given as a separate statement in this Annual Report. 

 
 INFORMATION TECHNOLOGY: 

 
The Company has appreciated the significance the need of leverage on information technology in IT in strategic areas simplifying process to reduce costs leveraging qualify information to enhance decisions, effectiveness and to achieve enhanced efficiencies in supply chain management. 

 
 CAPITAL STRUCTURE: 


During the year under review, the company made an issue of Foreign Currency Convertible Bonds to the extent of USD 12 Millions which was fully subscribed and the funds have been received and parked with ICICI Bank Limited, Bahrain as per the plants and objectives announced by the Company. Further, during the year under review, the allottees of Zero Coupon Convertible Share Warrants exercised their option for conversion of 4,00,000 Share Warrants and deposited the conversion price of Rs.63/- per Share Warrant. The Share Warrants have been converted into fully paid Equity Shares issued upon conversion of the Share Warrants. The money mobilized through these issues is being utilized for uplisted at Luxembourg Stock Exchange, M/s. Bigshare Services Private Limited., E-23, Ansa Industrial Estate, Sakivihar Road, Saki Naka, Andheri(E), MUMBAI-400 072

are the Registrar and Share Transfer Agents of the company. 

 

WEBSITES DETAILS:

 

At Surya Pharma, the focus is on care.1993 saw them take their first step into the pharmaceutical industry as manufacturers of penicillin derivatives.

 

The commitment lies in moving towards a disease free world, a cleaner environment and a healthier population.
Fifteen years on has seen Surya Pharma record a spectacular fifty  fold growth rate as a multi-product and multi unit pharmaceutical company with the turnover approx. Rs. 3 Billion and a reputation built on the cornerstones of continous process upgradation.     

 

 

 

Formula for success


When it comes to the manufacturing and marketing of their core products - their formula for success has been the quality of their products, backward integration and waste recycling. Comprehensive research and development facilities, skillful application of the latest processes and innovative production techniques ensure that their four units at Panchkula, Banur and Baddi - located in the foothills of the Himalayas, operate to their full manufacturing capacity with more than 60% of the production exported to bulk buyers in the international market. The climate here is very conducive for the manufacturing of basic drugs.  

           

 

Earning a reputation where it matters most

 

Their extensive range of analytical tools is available to support the work undertaken by their chemists. Their quality control department and R and D labs are fully equipped with the latest state-of-the-art anaytical instruments for quantitative analysis, structural determination of products and continuous research.       

 

Commercial production is carried out in plants operating as per GMP standards and equipped with glass lined, graphite and stainless steel equipment capable of carrying reactions at temperatures ranging from -70o C to 200o C, with a total capacity exceeding 400,000 litres.           

           

 

Supporting aspirations and operations on a global basis


Subject has a well established marketing network in India and across the globe. More than half of the total production is exported to Europe, SE Asia, the Far East, Middle East, Latin America and Africa. Achieving high quality cost effective manufacturing solutions for their customers’ needs is the basis of their business and essential to their success.


Great emphasis is placed on the timely delivery of drugs within given time frames. Safeguarding the competitive interests of their customers with the highest professional integrity has built up a partnership of trust. And to satisfy the needs of as many customers as possible, they are working to enhance and strengthen their research capabilities as well as to expand their manufacturing facilities

.          

 

At one with the environment, in partnership with the world


Being in partnership with the world means respecting its resources without compromise.


Continous process evaluation and monitoring waste recoveries ensure that the focus is maintained.             

 

Specialised facilities have helped them to earn a reputation for the expert handling of hazardous materials in the form of reactants and products. Every care is taken for treatment of solid wastes, discharged liquids and atmospheric releases.

 

OTHER INFORMATION:

 

Amalgamation

 

Pursuant to the Scheme of Amalgamation of the Sam Biotech Limited with the company, as approved by the shareholders and sanctioned by the Hon'ble Punjab and Haryana High Court on 26.07.2001 and by the Hon'ble Himachal Pradesh High Court on 14.08.2001, the assets and liabilities of Sam Biotech Limited stand transferred to and vested in the company with retrospective effect from 1st April, 2000 being the effective date. 

 

The amount standing to the credit of capital suspense accounts represents shares of Surya Pharmaceutical Limited to be allotted to the original subscribers of Sam Biotech Limited after transfer date.

 

The company maintained the pace of sustained growth, reported to increase in turnover by 30% and the profits increased by 5%.

 

The year 2002 was momentous for the company’s operations.  A number of landmarks achievements during the year had laid the foundation for future growth.  Some of these accomplishments include:

 

v      Development of new molecules i.e. Desloratadine by own R and D.  Desloratadine is advanced version of Loratadine (a non sedative anti histamine and is among the highest selling over counter drugs in USA and other advanced countries).

 

v      Development and Commercialisation of D-PHPG base by own R and D.  This is a raw material / intermediate required for the production of Amoxycillin, Cefadroxil which are also produced by the company.

 

v      Export House, ISO 9002

 

TRADE REFERENCE:-

 

v      Sultan Chand Bimalprakas Limited

Kiran Mansion, 4834/24, Ansari Road,

Darya Ganj, New Delhi – 110 002

 

v      Hindustan Max-GB Limited

Hal Complex, Pimpri, Pune – 411 018, Maharashtra 

Tel No. 91-20-7425342

Contact Person :  Mr. M. L. Sharma

 

v      Cleo Singapore Pte Limited, Singapore

v      Daurala Organics Limited, New Delhi

      Tel No. 91-11-23354061

      Contact Person :  Mr. P. K.Khanna

v      Marsing and Company Limited, Denmark

v      Chemphar, Hong Kong

v      Siemsgluss and Sohn GmbH and Company, Hamburg, Germany

v      Helm Hong Kong, Hong Kong

v      Summit Chemicals Asia Pte Limited, Singapore

v      Lonza, Switzerland

v      Delcray Cables (Private) Limited

v      Glacier Irons and Gases Limited

v      Hari Orgo Chem Private Limited

v      Kedia Chemicals Industries Limited

v      Real Gas and Chemicals Private Limited

v      Chemplast Sanmar Limited

Harsha Bhawan, II Floor, 'E' Block, Connaught Place, New Delhi - 110 001

 

 

 

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. 41.04

UK Pound

1

Rs.82.76

Euro

1

Rs.56.07

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

7

--PROFITABILIRY

1~10

5

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--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

YES

--OTHER MERIT FACTORS

YES/NO

YES

TOTAL

 

54

 

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

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions