MIRA
INFORM REPORT
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Report Date : |
01.08.2008 |
IDENTIFICATION
DETAILS
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Name : |
MANDHANA INDUSTRIES LIMITED |
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Registered Office : |
205/214, Peninsula Centre, Dr.S..S. Rao Road, Parel, Mumbai-400012,
Maharashtra. |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
25.07.1984 |
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Com. Reg. No.: |
11 - 33553 |
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CIN No.: [Company
Identification No.] |
U17120MH1984PLC033553 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMM20579G |
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PAN No.: [Permanent
Account No.] |
AABCM6615M |
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Legal Form : |
A Closely Held Public Limited Liability Company. |
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Line of Business : |
Manufacturers and Exporters of Garments. It is also engaged in processing and trading of fabric. |
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 2700000 |
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Status : |
Good |
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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.
Directors are reported as experienced and respectable businessmen. Trade relations are reported as fair.
Business is active. Payments are 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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Registered Office : |
205/214, Peninsula Centre, Dr.S..S. Rao Road, Parel, Mumbai-400012,
Maharashtra. |
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Tel. No.: |
91-22-2494 9398 / 2495 2124 / 2494 6350 / 2493 7236 / 30409191 |
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Fax No.: |
91-22-2493 7236 / 2496 3494 / 30409216/ 30409218 |
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E-Mail : |
nayan@mandhana.com/mandhana@giasbm01.vsnl.net.in/ info@mandhana.com
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Area:. |
Owned |
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Administrative office: |
137, Kewal Industrial Estate, Senapati Bapat Marg, Mumbai – 400 003, Maharashtra, India |
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Tel. No. |
91-22-2494 9381 / 2494 6350 |
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Fax No. |
91-22-2493 7236 |
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Head Office : |
Mumbai : Unit No. 205 to 213, Peninsula center, Dr. S.S. Rao Road, Off. Dr.
Ambedkar Road, Parel, Mumbai – 400 012, India |
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Tel. No.: |
91-22-30409191/200 |
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Fax No.: |
91-22-30409216 |
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E-Mail : |
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Factory1: |
Mandhana Weaving
House: A Division of Mandhana Industries Private Limited, E – 33, MIDC,
Tarapur Industrial Area, District Thane – 401 506 Tel No.: 91-2525-274988/274989 Fax No.: 91-2525-274990 Email : weaving@mandhana.com
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Factory2 : |
Mandhana Dyeing: (Process House) A Division of Mandhana Industries Private Limited, E – 25, MIDC, Tarapur
Industrial Area, District Thane – 401 506 Tel No: 91-2525-272381 / 272426 / 272428 Fax No.: 91-2525-272427 Email:dyeing@mandhana.com. |
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Factory 3 : |
Mandhana Weaving
House: (Shirting Division) Plot No.C-2, MIDC, Tarapur, Industrial Area, District Thane- 401 506 Email: shirting@mandhana.com
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Factory 4: |
Mandhana
Industries Private Limited: (Garment
Division) 26/A, Peenya II Phase, Peenya Industrial Area, Near NTTF Bus Stop,
Bangalore – 560058 Tel No.: 91-80-28395333 Email:bglinfo@mandhana.com |
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Branch Office : |
Bangalore: 26/A, Peenya II Phase, Peenya Industrial Area, Near NTTF Bus Stop,
Bangalore – 560058 Tel. No.:91-80-28395333 E-Mail :bglinfo@mandhana.com |
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New Delhi Office : 410, Chiranjiv Tower, 43 Nehru Place, New Delhi – 110019 Tel No.: 91-11-35836575 E-Mail: tyagi@mandhana.com |
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Chennai Office : No. 70, 2nd Floor, Ormes Road,
Kilpauk, Chennai – 600011 Tel No.:91-44-55164942 E-Mail:kkumar@mandhana.com |
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Mandhana Europe: |
Paris: 15 Rue de la Banque, Escalier B Entresol – 75002 Paris, France Tel No.: 0033142960224 |
DIRECTORS
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Name : |
Mr. Biharilal .C.Mandhana . |
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Designation : |
Executive Director |
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Address : |
31, Mount Unique, 62-A, Peddar Road, Mumbai – 400026, Maharashtra |
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Date of Birth/Age : |
25.09.1945 |
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Date of Appointment : |
25.07.1984 |
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Name : |
Mr..Purshottam.C. Mandhana |
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Designation : |
Managing Director and Whole Time Director |
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Address : |
23, Mount Unique, 62-A, Peddar Road, Mumbai – 400026, Maharashtra |
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Date of Birth/Age : |
06.07.1955 |
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Date of Appointment : |
01.10.1993 |
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Name : |
Mr. Manish .B.Mandhana |
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Designation : |
Joint Managing Director |
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Address : |
22/23,, Mount Unique, 62-A, Peddar Road, Mumbai – 400026, Maharashtra |
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Date of Birth/Age : |
28.09.1968 |
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Date of Appointment : |
30.09.1995 |
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Name : |
Mr. Ashok G. Mandhana |
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Designation : |
Director |
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Name : |
Mr. Prakash G. Mandhana |
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Designation : |
Director |
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Name : |
Mr. Nitin N. Mandhana |
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Designation : |
Directors |
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Name : |
Mr. Ghyanendra Nath Bajpai |
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Designation : |
Additional Director |
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Address : |
131, Shaan Apartments, K D Marg, Prabhadevi, Mumbai – 400028, Maharashtra |
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Date of Birth/Age : |
06.07.1942 |
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Date of Appointment : |
16.05.2007 |
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Name : |
Sanjay Asher |
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Designation : |
Additional Director |
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Address : |
32, Mody Street, Fort, Mumbai-400001, Maharashtra |
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Date of Birth/Age : |
26.11.1964 |
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Date of Appointment : |
16.05.2007 |
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Name : |
Mr. Robin Cornelious |
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Designation : |
Director |
KEY EXECUTIVES
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Name : |
Mr. Biharilal .C.Mandhana |
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Designation : |
Chief Executive |
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Address : |
31, Mount Unique, 62-A, Peddar Road, Mumbai – 400026, Maharashtra |
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Date of Birth/Age : |
25.09.1945 |
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Date of Appointment : |
25.07.1984 |
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Name : |
Mr. Benzamin Menezes |
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Designation : |
Company Secretary |
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Name : |
Mr. Khurshed Tnanawala |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. Biharilal C Mandhana |
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901000 |
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Mr. Manish B Mandhana |
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992000 |
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Mr. Purshottam C Mandhana |
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2575000 |
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Mrs. Sudha B Mandhana |
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873000 |
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Mrs. Prema P Mandhana |
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997000 |
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Mrs. Sangita .M.Mandhana |
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604000 |
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Mrs. Priyavrat P Mandhana |
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1633000 |
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Mr. Vinay B Mandhana |
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252000 |
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Mrs. Preeti P Mandhana |
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45000 |
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Mrs. Muskan M Mandhana |
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205000 |
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Mr. Arnav M Mandhana |
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407000 |
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Mr. Manish B Mandhana ( HUF) |
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417000 |
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Mr. Biharilal C Mandhana ( HUF) |
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599000 |
Equity Share Break – up ( Percentage of total equity)
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Sr.No. |
Category |
Percentage |
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1 |
Directors or relatives of Directors |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturers and Exporters of Garments. It is also engaged in processing and
trading of fabric. |
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Exports : |
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Countries : |
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PRODUCTION STATUS
The company’s production status for the year 31.03.2002 was as under :
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Particulars |
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Installed
Capacity [mtrs
in millions] |
Actual
Production |
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Fabric Processing |
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27.500 |
-- |
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Finished cloth |
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-- |
2201920 Mts. |
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Garment |
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-- |
499530 Mtrs. |
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Garment – Woven |
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-- |
1400No. |
GENERAL
INFORMATION
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No. of Employees : |
About 600 |
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Bankers : |
Bharat House, Bombay Samachar Marg Fort, Mumbai – 400001 Email ID : hurgat@mandhana.com |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Vishal H. Shah and Associates Chartered Accountants, |
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Address : |
A-302, Kailas Esplanade, L.B.S. Marg, Opposite Shreyas Cinema, Ghatkopar [West], Mumbai – 400086, Maharashtra, India |
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Tel. No.: |
Tel. No. [O] : 91-22-25006269, [R] : 91-22-25002407 |
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Associates/Subsidiaries : |
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CAPITAL STRUCTURE
As on 23.07.2007
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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20000000 |
Equity Shares |
Rs. 10/- each |
Rs. 200.000 Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
|
11325000 |
Equity Shares |
Rs. 10/-
each |
Rs. 113.250
Millions |
As on 03.2007
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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10500000 |
Equity Shares |
Rs.10/- each |
105.000
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 |
31.03.2005 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
105.000 |
105.000 |
105.000 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
437.300 |
266.950 |
166.640 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
542.300 |
371.950 |
271.64 |
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LOAN FUNDS |
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1] Secured Loans |
1564.700 |
1364.846 |
458.667 |
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2] Unsecured Loans |
47.900 |
50.714 |
11.297 |
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TOTAL BORROWING |
1612.600 |
1415.56 |
469.964 |
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DEFERRED TAX LIABILITIES |
0.000 |
113.262 |
64.383 |
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TOTAL |
2154.900 |
1900.772 |
805.987 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
1419.800 |
1308.488 |
433.881 |
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Capital work-in-progress |
184.800 |
166.771 |
92.867 |
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INVESTMENT |
0.000 |
0.005 |
0.005 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
494.800
|
252.347 |
144.768 |
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Sundry Debtors |
293.600
|
196.963 |
189.721 |
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Cash & Bank Balances |
23.400
|
17.394 |
12.991 |
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Other Current Assets |
0.000
|
21.128 |
13.826 |
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Loans & Advances |
164.200
|
138.272 |
89.097 |
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Total
Current Assets |
976.000
|
626.104 |
450.403 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
416.000
|
199.846 |
167.020 |
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Provisions |
9.700
|
0.750 |
4.150 |
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Total
Current Liabilities |
425.700
|
200.596 |
171.170 |
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Net Current Assets |
550.300
|
425.508 |
279.234 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
2154.900 |
1900.772 |
805.987 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
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Sales Turnover |
2791.300 |
2073.000 |
1272.500 |
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Other Income |
12.300 |
69.700 |
5.500 |
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Total Income |
2803.600 |
2142.700 |
1278.000 |
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Profit/(Loss) Before Tax |
298.500 |
187.700 |
94.000 |
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Provision for Taxation |
104.200 |
66.400 |
29.900 |
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Profit/(Loss) After Tax |
194.300 |
121.300 |
64.100 |
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Earnings in Foreign Currency : |
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Export Earnings |
NA |
581.498 |
447.863 |
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Expenditures : |
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Manufacturing Expenses |
433.800 |
347.300 |
212.900 |
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Selling and Administrative Expenses |
180.800 |
141.400 |
120.400 |
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Employees cost |
147.600 |
99.000 |
58.400 |
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Raw Material Consumed |
1659.900 |
1227.600 |
742.700 |
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Excise Duty |
9.500 |
16.900 |
0.000 |
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Miscellaneous Expenses |
17.400 |
13.100 |
0.000 |
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Increase/(Decrease) in Finished Goods |
[202.600] |
[33.400] |
0.000 |
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Interest and Financial Charges |
88.800 |
33.100 |
23.100 |
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Power & Fuel |
95.600 |
78.400 |
0.000 |
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Depreciation & Amortization |
74.300 |
31.600 |
26.600 |
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Total Expenditure |
2505.100 |
1955.000 |
1184.000 |
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KEY RATIOS
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
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Debt-Equity Ratio |
3.31 |
2.93 |
1.89 |
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Long Term Debt-Equity Ratio |
2.59 |
2.24 |
1.06 |
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Current Ratio |
1.15 |
1.08 |
1.19 |
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TURNOVER RATIOS |
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Fixed Assets |
1.81 |
2.07 |
2.89 |
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Inventory |
7.47 |
10.44 |
9.54 |
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Debtors |
11.38 |
10.72 |
6.57 |
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Interest Cover Ratio |
4.36 |
5.26 |
5.07 |
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Operating Profit Margin(%) |
16.54 |
9.93 |
11.29 |
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Profit Before Interest And Tax Margin(%) |
13.88 |
8.40 |
9.20 |
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Cash Profit Margin(%) |
9.62 |
5.90 |
7.13 |
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Adjusted Net Profit Margin(%) |
6.96 |
4.38 |
5.04 |
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Return On Capital Employed(%) |
19.65 |
13.78 |
18.30 |
|
Return On Net Worth(%) |
42.51 |
28.22 |
28.99 |
LOCAL AGENCY
FURTHER INFORMATION
Products:
Generic Names of the Principal Products / Services of the company are :-
> Finished cloth
> Processing & Service Charges received
> Garments
Expansion and
Modernisation
The company’s Process House at Tarapur is one of the largest and most modern units in the region. The company had undertaken massive expansion-cum-modernisation of the unit. The company has successfully completed this expansion-cum-modernisation programme. With this expansion, the company is in a position to produce high quality products at reduced cost. This would enable the company to advantageously compete in the international markets. Also, the company would cater to the premium value added products.
Fixed Assets:
The company’s fixed assets of important value include Land, Building, Plant & Machinery, Electrical Installation, Furniture & Fixtures, Computer Accessories Trucks & Vans and Vehicles.
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Corporation identity number or foreign company registrations number of
the company |
U17120MH1984PLC033553 |
|
Name of the company |
MANDHANA INDUSTRIES PRIVATE LIMITED |
|
Address |
205/214, Peninsula Centre, Dr.S..S. Rao
Road, Parel, Mumbai-400012, Maharashtra |
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This Form is for |
Modification of charge |
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Type of Charges |
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Particular of the charge holder
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Corporation Bank, Bharat House, Bombay Samachar Marg Fort, Mumbai – 400001 Email ID : hurgat@mandhana.com |
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Nature or description of the instrument creating charge |
Common Deed of Hypothecation of movables /
Assets/ Debts |
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Date of the instrument creating charge |
09.05.2007 |
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Amount Secure by the charge |
Rs.573.700 millions |
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Brief of the principal terms and conditions and extent and operation
of the charge |
11.50% Per Annum being 1.50% below the banks PLR. ( For New Term Loan of Rs. 123.700 millions)
17.50%
The Security
furnished by the company shall be a continuing security in favour of the bank
for all, whatsoever amounts due from the borrower , directly or indirectly ,
Jointly or several with others or others and in any branches of the bank ,
the bank shall have banker’s lien on all such security. |
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Date of instrument modifying the charge |
23.11.2006 |
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Particulars of the Present modification |
The bank has granted a new term loan of Rs.
1.237 millions. As a result the overall credit facilities as well as amount
of charge stands enhanced from Rs. 450.000 millions to Rs.573.700 millions. |
|
Particulars of the property charge |
1) Exclusive First Charge on the
entire Fixed Assets( except vehicles
) of Bangalore Unit – II, acquired or to be acquired out of the bank finance. 2) Movable fixed assets, Plant and
Machinery Bangalore Unit – I and Vikroli Unit pertaining to Export Division. 3) Inventory and receivables of Export
Division. |
AS PER WEBSITE
Profile:
Subject is a multi divisional Textile Company
spread over multiple geographical locations. They engage in manufacturing of
textiles and garments with State-of-the-art. The scope subject’s business includes
designing, yarn dyeing, weaving, processing, dyeing and garment manufacturing.
Planned infrastructural developments have helped us untergage vertically and
establish themselves as a niche player in the Indian Textile Industry with a
turnover of over Rs. 1054.000 Millions (as on June 30th 2007). To
fuel the organizations expansion plans we are coming up with an UPO for which
they have filed the Draft Red Hearing Prospectus with SEBI.
From the humble beginnings 50 years ago as
fabric retilers, subject has come a long way. All they had was goodwill,
product and receptive market to build an industry brick by brick. With a mix of
experience, youth, energy and united vision to go beyond the boundaries, they
have emerged as an organization the nation can be proud of.
Product Mix:
Fabrics: The fabrics manufactured are for
Shirtings, Bottom Weights, and Home Textiles. They include 100% Cotton and
cotton blends with Lycra, Viscose, Flax, Bamboo, Modal and Polyester. The
yam-dyed shirting counts range from 40’s up to 2/140s. They provide a wide rage
of specialized finishes onto the fabrics such as ETI, Water Repellant, Oil
repellent, mosquito repellent, stain free, UV Protected, Anti Bacterial, Takara
finish, Quick dry and Lisa finish.
Garments: Subject is essentially a
manufacturer of woven casual wear for labels positioned in multiple market
segments – chain stores, hi-street and luxury brands. The product range
includes :
- Men’s Shirts
- Women’s Blouse, Dresses and Skirts
- Casual Bottom Wear
- Kidswear
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.42.30 |
|
UK Pound |
1 |
Rs.84.03 |
|
Euro |
1 |
Rs.66.42 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
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 |
|
|
>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 |
|