MIRA
INFORM REPORT
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Report Date : |
26.03.2008 |
IDENTIFICATION
DETAILS
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Name : |
TOP VICTORY INVESTMENTS LIMITED |
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Indian Operation Office : |
502,Tower B, Millennium Plaza, Sector 27, Sushant Lok, 1220001,
Gurgaon, Haryana |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
01.01.1900 |
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FCRN No.: |
F01815 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
RTKT00904B |
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Legal Form : |
Closely held
Public Limited Liability Company. |
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Line of Business : |
Trading of Computer Monitors and sourcing of Raw Materials for the
Production of Computer Monitors. |
RATING &
COMMENTS
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MIRA’s Rating : |
A |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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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 |
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Maximum Credit Limit : |
USD 287292 |
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Status : |
Branch of a Foreign Company |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well established and reputed Company having satisfactory track.
It is a branch of a foreign registered company. Trade relations are fair.
Business is active. Payments are reported as usually correct and as per
commitments. The Company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Indian Operation Office : |
502,Tower B, Millennium Plaza, Sector 27, Sushant Lok, 1220001,
Gurgaon, Haryana, India. |
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Tel. No.: |
91-11-2806116 |
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Website : |
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Branches : |
1114, East Wing, Raheja Towers, M.G. Road, 560 001, Bangalore, India. |
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Tel No : |
91-80-41232300 / 01 |
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Fax No: |
91-80-41232302 |
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Branches : |
303 A, B-Wing, 3rd Floor, VIP Plaza, Off New Link Road, Oshiwara,
Andheri (W), Mumbai, 400 053, India. |
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Tel No : |
91-22-32653993 |
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E-mail: |
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156 A, Lenin Sarani, Kamalalaya Centre, Room No. 513, 5th
Floor, Kolkata, 700 013, India. |
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Mobile No: |
91-9748703249/50 |
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Fax No: |
91-33-22150934 |
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Braches : |
No. 50, Cudallore Main Road, Thavalakuppam, Pondicherry, 605007,
Tamilnadu. |
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Head Office : |
Room 2108, 21st Floor, Harcourt House, 39, Gloucester Road,
Wanchai, Hong Kong |
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Tel No: |
852 - 2858 5736 |
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Fax No: |
852 - 2546 8884 |
DIRECTORS
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Name : |
Dr. Husan Jason |
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Designation : |
Director |
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Name : |
Mr. Houng Yu-Te |
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Designation : |
Director |
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Name : |
Mr. Lin Yeun-Wu |
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Designation : |
Director |
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Name : |
Mr. Djuhar Sutanto |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. Mukesh Gupta |
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Designation : |
Country Manager |
BUSINESS DETAILS
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Line of Business : |
Trading of Computer Monitors and sourcing of Raw Materials for the
Production of Computer Monitors. |
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Products : |
v Computer v Computer
Hardware
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GENERAL
INFORMATION
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Bankers : |
HSBC |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Oberoi Sood and Kapoor, Chartered Accountants |
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Address : |
606, Vishal Bhavan, 95, Nehru Palace, New Delhi -110019, India |
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Tel. No.: |
91-11-26416942, 26429297 |
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Fax No.: |
91-11-26480027 |
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E-Mail : |
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Subsidiaries : |
v Top Victory Electronics
(Fujian ) Company Limited v Beijing Orient
Top Victory Electronics Limited v TPV Electronics
(Fujian) Company Limited |
CAPITAL STRUCTURE
Funds from Head Office: Rs. 14.502 millions
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Head Office Funds |
14.502 |
14.503 |
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2] Share Application Money |
0.000 |
0.000 |
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3] Reserves & Surplus |
57.321 |
22.957 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
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NETWORTH |
71.823 |
37.459 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
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2] Unsecured Loans |
0.000 |
0.000 |
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TOTAL BORROWING |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
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TOTAL |
71.823 |
37.459 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
2.610 |
2.521 |
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Capital work-in-progress |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.798 |
0.423 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
91.551
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133.016 |
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Sundry Debtors |
557.768
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249.938 |
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Cash & Bank Balances |
4.630
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3.360 |
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Other Current Assets |
0.000
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0.000 |
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Loans & Advances |
36.428
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21.138 |
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Total
Current Assets |
690.377
|
407.452 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
575.783
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354.116 |
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Provisions |
46.179
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18.821 |
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Total
Current Liabilities |
621.962
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372.937 |
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Net Current Assets |
68.415
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34.515 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
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TOTAL |
71.823 |
37.459 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
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Sales Turnover |
2190.199 |
1021.954 |
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Other Income |
54.048 |
28.950 |
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Total Income |
2202.785 |
1111.085 |
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Profit/(Loss) Before Tax |
60.870 |
20.369 |
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Provision for Taxation |
26.507 |
9.010 |
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Profit/(Loss) After Tax |
34.363 |
11.359 |
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Earnings in Foreign Currency : |
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Commission Earnings |
13.471 |
28.492 |
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Brand Promotion Support from Head Office |
10.549 |
-- |
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Total Earnings |
24.020 |
28.492 |
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Imports : |
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C.I.F. Colour Monitors |
1710.699 |
860.985 |
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Total Imports |
1710.699 |
860.985 |
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Expenditures : |
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Administrative Expenses |
11.800 |
8.980 |
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Purchases |
2069.094 |
1053.517 |
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Employees Cost |
13.396 |
11.428 |
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Selling and Distribution Expenses |
46.853 |
16.016 |
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Depreciation & Amortization |
0.001 |
0.772 |
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Increase/(Decrease) in Stock |
(41.464) |
60.179 |
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Other Expenditure |
2099.68 |
1150.892 |
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Total Expenditure |
2141.915 |
1090.716 |
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KEY RATIOS
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PARTICULARS |
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31.03.2007 |
31.03.2006 |
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PAT / Total Income |
(%) |
1.56
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1.02 |
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Net Profit Margin (PBT/Sales) |
(%) |
2.78
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1.99 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
2.76
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1.83 |
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Return on Investment (ROI) (PBT/Networth) |
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0.85
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0.54 |
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Debt Equity Ratio (Total Liability/Networth) |
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8.66
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9.96 |
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Current Ratio (Current Asset/Current Liability) |
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1.11
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1.09 |
LOCAL AGENCY
FURTHER INFORMATION
Principal
activities
The Principal activities of the Company are the trading of computer
monitors and sourcing of raw materials for the production of computer monitors.
Results and appropriations
The results for the year are set out in the
income statement on page 6.
The directors declared an interim dividend of
US$15.510 (2005: US$38302) per Class “A” ordinary share, totalling US$32796000
(2005: US$38302000) in respect of the year ended 31st December 2006.
Arrangement to purchase shares and debentures
At the Annual general meeting held on 15 May
2003, shareholders of TPV Technology Limited (“TPV”) approved the adoption of a
share option scheme (the “Scheme”). Under the Scheme, options may be granted to
any employee or director including executive and non-executive directors of
TPV, any of its holding companies and any of their respective subsidiaries and
any entity in which TPV or any of its subsidiaries hold any equity interest.
Details of the outstanding share options as at 31st December 2006
granted to and accepted by the directors under the Scheme. In which the
directors can subscribe for shares in TPV at HK$4.140 and HK$4.735 per share,
are as follows:
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Name of Directors |
As at 1st January 2006 |
Exercised |
As at 31st December 2006 |
|
Dr. Husan. Jason Mr. Houng, Yu-Te Mr Lin, Yeun-Wu |
3,000,000 5,800,000 5,220,000 |
(900,000) (478,000) (2,900,000) |
2,100,000 5,322,000 2,320,000 |
Save as disclosed
above, at no time during the year was the
Company, its holding companies or its subsidiaries a party to any arrangement
to enable the directors of the Company to acquire benefits by means of the
acquisition of shares in, or debentures of, the Company or any other body
corporate.
Management Contracts
No contracts concerning the management and
administration of the whole or any substantial part of the business of the
company were entered into or excised during the year.
Short-Term Bank Loans, Unsecured
The loans of the Company are determinated in
US dollars. The effective interest rate at the balance sheet date is 5.77%
(2005: 4.94% to 5.47%). The carrying amounts of loans approximate their fair
values.
Amount due to ultimate holding company and immediate holding company
The amounts due to ultimate holding company
and immediate holding company are unsecured. Except for an amount due to
ultimate holding company of US$76000000 (2005: US$133500000) which bears
interest at a rate bases on London Inter-Bank Offering Rate plus 0.6% and
repayable on or before 13th October 2007, the remaining balances are
interest free and have no fixed terms of repayment.
The carrying amounts of amounts due to ultimate
holding company and immediate holding Company approximate their fair values.
Fixed Assets
v Computer
v Furniture and Fixture
v Office Equipment
v Vehicles
Contingent Liabilities
(a) Corporate Guarantee 2006
US$’000 2005 US$’000
Guarantees in respect of banking facilities granted to the ultimate 160,000 203,500
Holding Company.
(b) Commitments under operating leases
At 31st December 2006, the Company had future aggregate
minimum lease payments under non-cancellable
Operating leases in respect of land and buildings.
2006
US$’000 2005 US$’000
Not later than one year 47 111
Later than one year and not later than five
years - 47
Total 47 158
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 :
They 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.
They 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. 39.93 |
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UK Pound |
1 |
Rs. 79.34 |
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Euro |
1 |
Rs. 62.55 |
SCORE & RATING
EXPLANATIONS
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SCORE FACTORS |
RANGE |
POINTS |
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HISTORY |
1~10 |
7 |
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PAID-UP CAPITAL |
1~10 |
7 |
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OPERATING SCALE |
1~10 |
7 |
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FINANCIAL CONDITION |
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--BUSINESS SCALE |
1~10 |
8 |
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--PROFITABILIRY |
1~10 |
6 |
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--LIQUIDITY |
1~10 |
7 |
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--LEVERAGE |
1~10 |
7 |
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--RESERVES |
1~10 |
7 |
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--CREDIT LINES |
1~10 |
7 |
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--MARGINS |
-5~5 |
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DEMERIT POINTS |
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--BANK CHARGES |
YES/NO |
YES |
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--LITIGATION |
YES/NO |
NO |
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--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
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MERIT POINTS |
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--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
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--EXPORT ACTIVITIES |
YES/NO |
YES |
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--AFFILIATION |
YES/NO |
YES |
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--LISTED |
YES/NO |
NO |
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--OTHER MERIT FACTORS |
YES/NO |
YES |
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TOTAL |
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63 |
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 |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit consideration.
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NR |
In view of the lack of information, they have no basis upon which to
recommend credit dealings |
No Rating |
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