MIRA
INFORM REPORT
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Report Date : |
18.09.2007 |
IDENTIFICATION DETAILS
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Name : |
JAI PARABOLIC SPRINGS LIMITED |
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Registered Office : |
E – 178, Phase VII, SAS Nagar, Industrial Area, Mohali – 160057, |
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Country : |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
23.03.1985 |
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Com. Reg. No.: |
16-12559 |
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CIN No.: [Company
Identification No.] |
L34300PB1985PLC012559 |
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Legal Form : |
Public limited liability company. Company’s Shares are listed on the
Stock Exchange |
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Line of Business : |
Manufacturer of Springs, Mechanical Shock Absorbers and Dampers. |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 690000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an old and established company having moderate track.
Company’s profitability is under severe pressure. It has some accumulated
losses. Payments are reported as slow but correct. The company can be considered for small to mediocre business dealings
at usual trade terms and conditions. |
LOCATIONS
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Registered Office : |
E – 178, Phase VII, SAS Nagar, Industrial Area, Mohali – 160057, |
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Tel. No.: |
91-172-5096441 |
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E-Mail : |
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Website : |
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Factory 1 : |
B – 58, Phase VII, Industrial Area, SAS Nagar, Mohali – 160057, |
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Tel. No.: |
91-172-5096551 / 5096552 |
DIRECTORS
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Name : |
Mr. Robert Dean Petty |
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Designation : |
Director |
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Address : |
Apt, 10 E, 222 park AVS, |
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Date of Appointment : |
30.09.2006 |
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Other directorship : |
Kopran Limited L24230MH1958PLC011078 Dolphin Offshore Enterprises [ L11101MH1979PLC021302 Clearwater Capital Partners India Private Limited U65993MH2004PTC144260 |
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Name : |
Mr. U K Singhal |
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Designation : |
Director |
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Address : |
A – 106, Som Apatments, Plot No. : 24, Sector – 6, Dwarka, |
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Date of Appointment : |
30.09.2006 |
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Name : |
Mr. C K Vohra |
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Designation : |
Director |
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Address : |
H No. 2376, Phase – XI, Mohali – 160017, |
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Date of Appointment : |
30.09.2006 |
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Name : |
Mr. Ashok Kumar |
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Designation : |
Director |
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Address : |
Disco Compound, |
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Date of Birth/Age : |
23.01.1937 |
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Date of Appointment : |
29.05.1999 |
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Name : |
Mr. Bhupinder Jauhar Singh |
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Designation : |
Chairman cum Managing Director |
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Address : |
E – 46, |
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Date of Birth/Age : |
25.12.1933 |
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Date of Appointment : |
28.03.1985 |
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Name : |
Mr. Kochi Sasaki |
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Designation : |
Director |
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Address : |
3-10 Fukuora Kanzawa – KU, |
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Date of Birth/Age : |
13.11.1943 |
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Date of Appointment : |
01.07.1999 |
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Name : |
Mr. Ram Krishna Chavali |
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Designation : |
Director |
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Address : |
D – 403, IFCI Colony, Paschim Vihar, |
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Date of Birth/Age : |
30.07.1949 |
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Date of Appointment : |
07.06.1999 |
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Name : |
Mr. Pradeep Jauhar Singh |
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Designation : |
Director |
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Address : |
9/6, |
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Date of Birth/Age : |
23.08.1964 |
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Date of Appointment : |
28.03.1985 |
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Name : |
Mr. Praveen Lakhera |
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Designation : |
Director |
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Address : |
H No 459, Niti Khand Indra Puram, |
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Date of Birth/Age : |
16.09.1953 |
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Date of Appointment : |
03.12.2001 |
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Name : |
Mr. R. P. Singh |
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Designation : |
Director |
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Address : |
IFCI Limited 59 |
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Date of Birth/Age : |
16.09.1953 |
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Date of Appointment : |
09.09.2003 |
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Name : |
Mr. S. P. Singh Kohli |
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Designation : |
Director |
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Address : |
4 B Krishnalaya Bshop Walles Avenue Cit Colony Mylapore, Chennai, |
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Date of Birth/Age : |
10.02.1948 |
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Date of Appointment : |
31.10.2001 |
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Name : |
Mr. Ishwar Chand Goel |
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Designation : |
Director |
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Address : |
769 CA Apartments, Paschim Vihar, |
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Date of Birth/Age : |
02.05.1933 |
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Date of Appointment : |
29.09.1999 |
SHAREHOLDING PATTERN
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Equity Share
Breakup |
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Percentage of
Holding |
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Category |
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Public Financial Companies |
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0.03 |
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Mutual Funds |
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0.01 |
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Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
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27.84 |
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Bodies corporate |
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25.84 |
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Directors or relatives of directors |
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21.42 |
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Other top fifty shareholders |
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6.99 |
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Others |
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17.87 |
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Total
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Springs, Mechanical Shock Absorbers and Dampers. |
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Products : |
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Exports : |
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Countries : |
Asia, Africa, |
PRODUCTION STATUS
|
Particulars |
Unit |
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Installed
Capacity |
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Parabolic / Tapered Leaf Springs |
MT |
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24000 |
GENERAL INFORMATION
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Financial Institution : |
SBI Factors and Commercial Services Private Limited Ground Floor, New No, 84, Rajaji Salai, Chennai - 600001 |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
A k Kalia and Associates Chartered Accountants |
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Address : |
SCO 133-135, Sector – 17-C, |
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associates/Subsidiaries : |
Kopran Limited L24230MH1958PLC011078 Dolphin Offshore Enterprises [ L11101MH1979PLC021302 Clearwater Capital Partners India Private Limited U65993MH2004PTC144260 JPSL Marketing Limited U29222CH1994PTC014916 Jai Suspension Systems Limited L34300TN2000PLC044847 Jamna Agro Implement Private Limited S W Farms Private Limited Planet Fitness Private Limited |
CAPITAL STRUCTURE
As on 30.09.2006
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
36,431,500 |
Equity Shares |
Rs. 10/- each |
Rs. 364.315 Millions |
|
350,000 |
Preference Shares |
Rs. 100/- each |
Rs. 35.000 Millions |
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Total |
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Rs. 399.315
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
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17,266,104 |
Equity Shares |
Rs. 10/- each |
Rs. 172.661
Millions |
|
350,000 |
Preference Shares |
Rs. 100/- each |
Rs. 35.000 Millions |
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Total |
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Rs. 207.661 Millions |
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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17,264,104 |
Equity Shares |
Rs. 10/- each |
Rs. 172.641
Millions |
|
350,000 |
Preference Shares |
Rs. 100/- each |
Rs. 35.000 Millions |
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Total |
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Rs. 207.641 Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2006 [12 Months] |
31.03.2005 [12 Months] |
31.03.2004 [15 Months] |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
182.479 |
182.479 |
177.694 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
0.000 |
0.000 |
5.378 |
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4] (Accumulated Losses) |
[9.924] |
[47.279] |
0.000 |
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NETWORTH |
172.555 |
135.200 |
183.072 |
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LOAN FUNDS |
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1] Secured Loans |
864.605 |
808.434 |
786.669 |
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2] Unsecured Loans |
92.858 |
114.857 |
77.234 |
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TOTAL BORROWING |
957.463 |
923.291 |
863.903 |
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DEFERRED TAX LIABILITIES |
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TOTAL |
1130.018 |
1058.491 |
1046.975 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
391.839 |
482.797 |
431.838 |
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Capital work-in-progress |
68.031 |
59.209 |
111.047 |
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INVESTMENT |
110.359 |
110.359 |
110.359 |
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DEFERREX TAX ASSETS |
171.655 |
125.060 |
168.101 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
127.893
|
150.598 |
131.275 |
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Sundry Debtors |
324.458
|
248.283 |
146.131 |
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Cash & Bank Balances |
22.079
|
12.455 |
13.717 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
124.240
|
106.780 |
94.878 |
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Total
Current Assets |
598.670
|
518.116 |
386.001 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
344.784
|
343.345 |
243.282 |
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Provisions |
3.133
|
1.691 |
0.000 |
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Total
Current Liabilities |
347.917
|
345.036 |
243.282 |
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Net Current Assets |
250.753
|
173.080 |
142.719 |
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MISCELLANEOUS EXPENSES |
137.381 |
107.986 |
82.911 |
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TOTAL |
1130.018 |
1058.491 |
1046.975 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2006 [12 Months] |
31.03.2005 [12 Months] |
31.03.2004 [15 Months] |
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Sales Turnover |
1204.477 |
1056.738 |
1162.836 |
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Other Income |
43.881 |
8.454 |
[8.123] |
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Total Income |
1248.358 |
1065.192 |
1154.713 |
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Profit/(Loss) Before Tax |
[44.143] |
[12.587] |
[42.483] |
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Provision for Taxation |
1.478 |
0.000 |
-- |
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|
Profit/(Loss) After Tax |
[45.621] |
[12.587] |
[42.483] |
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Earnings in Foreign Currency : |
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Total Earnings |
NA |
30.331 |
91.056 |
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Imports : |
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Total Imports |
NA |
13.687 |
2.837 |
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Expenditures : |
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Manufacturing Expenses |
0.000 |
0.000 |
185.745 |
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Administrative Expenses |
0.000 |
0.000 |
27.627 |
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Raw Material Consumed |
563.206 |
588.179 |
619.752 |
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Consumption of stores and spares parts |
161.197 |
97.380 |
0.000 |
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Increase/(Decrease) in Finished Goods |
34.031 |
[4.482] |
0.000 |
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|
Salaries, Wages, Bonus, etc. |
50.025 |
36.278 |
43.424 |
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Managerial Remuneration |
3.612 |
2.889 |
0.000 |
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Payment to Auditors |
0.275 |
0.275 |
0.000 |
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Interest |
89.148 |
75.318 |
75.551 |
|
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Insurance Expenses |
0.932 |
0.769 |
0.000 |
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Power & Fuel |
73.453 |
44.719 |
0.000 |
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Depreciation & Amortization |
32.382 |
23.289 |
46.457 |
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Other Expenditure |
284.240 |
213.165 |
198.641 |
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Total Expenditure |
1292.501 |
1077.779 |
1197.197 |
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SUMMARISED RESULTS
|
PARTICULARS |
|
|
31.03.2007 |
|
Type |
|
|
Full
Year |
|
Sales Turnover |
|
|
871.500 |
|
Other Income |
|
|
39.700 |
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Total Income |
|
|
911.200 |
|
Total Expenditure |
|
|
738.600 |
|
Operating Profit |
|
|
172.600 |
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Interest |
|
|
84.500 |
|
Gross Profit |
|
|
88.100 |
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Depreciation |
|
|
36.700 |
|
Tax |
|
|
1.100 |
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Reported PAT |
|
|
50.300 |
|
Dividend (%) |
|
|
0.000 |
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2007 |
|
Type |
|
|
1st
Qtr |
|
Sales Turnover |
|
|
256.700 |
|
Other Income |
|
|
0.100 |
|
Total Income |
|
|
256.800 |
|
Total Expenditure |
|
|
255.600 |
|
Operating Profit |
|
|
1.200 |
|
Interest |
|
|
27.400 |
|
Gross Profit |
|
|
[26.200] |
|
Depreciation |
|
|
11.700 |
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Tax |
|
|
0.300 |
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Reported PAT |
|
|
[38.200] |
200706 Quarter 1 –
Expenditure Includes (Increase)/Decrease in Stock in Trade
Rs (25.621) million Consumption of Raw Materials Rs 180.607 million Staff Cost
Rs 20.451 million Power & Fuel Rs 21.104 million Other expenditure Rs
51.374 million Misc. Expenses W/off Rs 5.914 million Status of Investor
Complaints for the quarter ended June 30, 2007 Complaints Pending at the
beginning of the quarter Nil Complaints Received during the quarter 17
Complaints disposed off during the quarter 17 Complaints unresolved at the end
of the quarter Nil 1. The above results were approved by the Audit Committee
and taken on record by the Board of Directors at their meeting held on July 31,
2007. 2. The Company manufactures only Parabolic/ Tapered Springs hence Segment
Reporting does not apply to the Company. 3. Provision for deferred tax
liability (if any) shall be provided in the annual accounts of the year. 4. The
Company propose to merge with M/s. Jamna Auto Industries Limited The merger
will be effective from July 01, 2007. 5. Previous period figures have been
regrouped to conform to the current period classification.
KEY RATIOS
|
PARTICULARS |
|
31.03.2006 [12 Months] |
31.03.2005 [12 Months] |
31.03.2004 [15 Months] |
|
PAT / Total Income |
(%) |
[3.65]
|
[1.18] |
[3.68] |
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Net Profit Margin (PBT/Sales) |
(%) |
[3.66]
|
[1.19] |
[3.65] |
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Return on Total Assets (PBT/Total Assets} |
(%) |
[4.46]
|
[1.26] |
[5.19] |
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Return on Investment (ROI) (PBT/Networth) |
|
[0.26]
|
[0.09] |
[0.23] |
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Debt Equity Ratio (Total Liability/Networth) |
|
7.57
|
9.38 |
6.04 |
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Current Ratio (Current Asset/Current Liability) |
|
1.72
|
1.50 |
1.59 |
LOCAL AGENCY FURTHER INFORMATION
History
Incorporated in Mar.'85 as Haryana Suspension, Jai Parabolic
Springs (JPSL) got its present name in Apr.'86. It was promoted by B S
Jauhar.
The company manufactures parabolic and tapered leaf springs. It is the sole
supplier of these springs to leading manufacturers like Maruti, Bajaj Tempo,
Eicher Motors, DCM Toyota, Swaraj Mazda, Mahindra Nissan, Allwyn and TELCO. It
has a technical collaboration with the world's leading spring manufacturer, NHK
Spring Co.,
JPSL exports its products to the
The company had set up a unit to manufacture leaf/parabolic springs with an
installed capacity of 24000 tpa at Maraimalainagar, Tamil Nadu with a capital
outlay of Rs 359.100 Millions. Trial productions have commenced. During the
year 1999-2000, the
Fixed Assets
- Goodwill
- Land
- Building
- Pant and Machinery
- Furniture and Fixture
- Vehicles
- Office Equipment
- Computer
Contingent Liability not provided
in respect of :
|
|
Rs in Millions |
|
Bank Guarantee Outstanding |
0.315 |
|
Excise Claims against the company not
acknowledged as debts |
7.898 |
Bankers Charges
Report as per Registry
|
This form is for |
Creation of charge
|
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Corporate
identity number of the company |
L34300PB1985PLC012559 |
|
Name of the
company |
JAI PARABOLIC SPRINGS LIMITED |
|
Address of the
registered office or of the principal place of business in |
B - 58, Phase VII, SAS Nagar, Industrial Area, Mohali – 160057, |
|
Type of charge |
|
|
Particular of
charge holder |
Clear Water
Capital Partners India Private Limited 201, 2nd
Floor, |
|
Nature of
description of the instrument creating or modifying the charge |
|
|
Date of
instrument Creating the charge |
29.11.2006 |
|
Amount secured by
the charge |
Rs. 80.000
Millions |
|
Brief particulars
of the principal terms an conditions and extent and operation of the charge |
Rate of Interest The rate of
interest shall be GOISEC Yield plus agreed margin. The GOISEC Yield shall be
determined every 30th June and 31st December Terms of
repayment Repayment of loan
in 16 equal installments on a quarterly basis, commencing after the expiry of
the first year form dated of the first disbursements Margin 3.45 % Extent operation
of the charge The charge will
operate as a Pari Passu charge over movable properties and current assets of borrower to operate as security
for repayment of loan, interest, additional interest, further interest,
premium on repayment, costs, expenses and other monies payable to the lender.
|
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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.39.87 |
|
|
1 |
Rs.80.11 |
|
Euro |
1 |
Rs.56.19 |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
42 |
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 |
|