MIRA
INFORM REPORT
|
Report Date : |
07.08.2008 |
IDENTIFICATION
DETAILS
|
Name : |
ANDHRA ORGANICS LIMITED |
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Registered Office : |
Plot No. 8, S V Co-op Industrial Estate, IDA, Jeedimetla, Hyderabad – 500
005, Andhra Pradesh |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
11.02.1991 |
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Com. Reg. No.: |
01-12314 |
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CIN No.: [Company
Identification No.] |
U24116AP1991PLC012314 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
HYDA02175F |
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PAN No.: [Permanent
Account No.] |
AABCA8911E |
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Legal Form : |
A closely held public limited liability company. |
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Line of Business : |
Manufacturer of Bulk Drugs. |
RATING &
COMMENTS
|
MIRA’s Rating : |
A |
|
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 1300000 |
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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 meeting its normal
commitments timeously. Trade relations are fair. Business is active. General financial position is good. The company can be considered good for normal business dealings. |
LOCATIONS
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Registered Office : |
Plot No. 8, S V Co-op Industrial Estate, IDA, Jeedimetla, Hyderabad –
500 005, Andhra Pradesh, India |
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Tel. No.: |
91-40-23196999 |
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Fax No.: |
91-40-23196777 |
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E-Mail : |
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Factory : |
Plot No. 110A, IDA, Pyadibhimavaram, Ranastalam Mandal, Srikakulam
District |
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Tel. No.: |
91-8942-288215 |
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Fax No.: |
91-8942-288151 |
DIRECTORS
|
Name : |
Mr. Nara Ramamurthy Naidu |
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Designation : |
Managing Director |
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Address : |
Plot No. 27, Kalyan Naga, Hyderabad, Andhra Pradesh, India, India |
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Date of Birth/Age : |
04.07.1952 |
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Date of Appointment : |
10.03.2001 |
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Name : |
Mr. K Hari Babu |
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Designation : |
Director |
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Address : |
7-20-2, Kirlampudi Layout Beach Road, Vishakhapatnam, Andhra Pradesh,
India |
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Date of Birth/Age : |
15.06.1953 |
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Date of Appointment : |
11.02.1991 |
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Name : |
Mr. Bomma Siva Prasad Reddy |
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Designation : |
Director |
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Address : |
8-3-167/D/29, Kalyan Nagar, Hyderabad, Anshra Pradesh, India |
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Date of Birth/Age : |
23.09.1948 |
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Date of Appointment : |
10.03.2001 |
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Name : |
Mr. Meka Ravindranatha Reddy |
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Designation : |
Director |
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Address : |
Flat No. 3, Plot no. 19, Siddartha Nagar, Hyderabad – 500 038, Andhra
Pradesh, India |
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Date of Birth/Age : |
01.07.1971 |
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Date of Appointment : |
15.06.2001 |
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Name : |
Mr. Mundla Narayana Reddy |
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Designation : |
Director |
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Address : |
Plot No.15/A, Road No. 2, Jubile Hills, Hyderabad – 500 033, Andhra
Pradesh, India |
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Date of Birth/Age : |
01.06.1951 |
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Date of Appointment : |
02.08.2004 |
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Name : |
Dr. Nandigala Venkata Reddy |
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Designation : |
Director |
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Address : |
Plot No. 55, Road No.19, Jubilee Hills, Hyderabad, Andhra Pradesh,
India |
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Date of Birth/Age : |
01.07.1943 |
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Date of Appointment : |
02.08.2004 |
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Name : |
Mr. Devireddy Ravibdra Reddy |
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Designation : |
Director |
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Address : |
Siddhartha Nagar, Behind Vengalrao Nagar, Hyderabad – 560 038, Andhra
Pradeh, India |
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Date of Birth/Age : |
14.108.1934 |
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Date of Appointment : |
02.08.2004 |
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Name : |
Mr. Prasanth Nandigala |
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Designation : |
Whole-Time Director |
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Address : |
Plot No. 550, Road No. 19, Jubilee Hills, Hyderabad, Andhra Pradesh,
India |
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Date of Birth/Age : |
14.04.1972 |
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Date of Appointment : |
01.04.2006 |
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Other Directorship : |
Imex Engineering Company Private Limited CIN No.: U74210A1974PTC001733 Covalent Laboratories Private Limited CIN No. : U24230AP2002PTC039606 Virchow Drugs Limited CIN No.: U24239AP2004PLC04249 Virchow Laboratories Limited CIN No. : L24232AP1982PLC003368 |
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Name : |
Mr. Mallodi Phani Kumar |
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Designation : |
Director |
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Address : |
Padmaja palace, Flat No. 401, Srinagar Colony, Hyderabad, Andhra
Pradesh, India |
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Date of Birth/Age : |
26.10.1971 |
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Date of Appointment : |
02.08.2004 |
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Name : |
Mr. Mundla Sudha |
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Designation : |
Whole-Time Director |
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Address : |
Plot No. 15A, Road No.2, Jubilee Hills, Hyderabad – 500 033, Andhra
Pradesh, India |
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Date of Birth/Age : |
19.04.1982 |
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Date of Appointment : |
01.04.2006 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
(As on 08.09.2004)
|
Names of Shareholders |
No. of Shares |
|
M/s. Virchow Laboratories Limited |
4510990 |
|
Lingareddy Venkata Subash |
100 |
|
Mundla Narayana Reddy |
100 |
|
Mundla Lakshmi Prasanna |
100 |
|
Nandigala Venkata Reddy |
100 |
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Nandigala Prasanth |
100 |
|
D Ravindra Reddy |
100 |
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Dr. M Phani Kumar |
100 |
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Total |
4511690 |
Equity shares Breakup (percentage of total equity)
(As on 30.09.2007)
|
Category |
Percentage |
|
Directors or relatives of Director |
99.98 |
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Other top fifty (50) shareholders |
0.02 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Bulk Drugs. |
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Products : |
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Exports : |
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Countries : |
Worldwide |
GENERAL
INFORMATION
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No. of Employees : |
25 |
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Bankers : |
Andhra Bank Somajiguda Branch, D No. 6-3-352/2, Astral Heights, Road No.1, Banjara
Hills, Hyderabad – 500 034, Andhra Pradesh, India |
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Banking
Relations : |
Good |
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Auditors : |
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Name : |
M V Narayana Reddy and Company Chartered Accountants |
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Address : |
Flat No. 504, Vijayasree Apartments, Ameerpet, Hyderabad – 500 073,
Andhra Pradesh, India |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
5000000 |
Equity Shares |
Rs.10/- each |
Rs.50.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
4511690 |
Equity Shares |
Rs.10/- each |
Rs.45.117
millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
45.117 |
45.117 |
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2] Share Application Money |
0.000 |
0.000 |
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3] Reserves & Surplus |
224.807 |
31.078 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
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NETWORTH |
269.924 |
76.195 |
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LOAN FUNDS |
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1] Secured Loans |
233.311 |
231.580 |
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2] Unsecured Loans |
378.995 |
383.757 |
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TOTAL BORROWING |
612.306 |
615.337 |
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DEFERRED TAX LIABILITIES |
47.809 |
42.368 |
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TOTAL |
930.039 |
733.900 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
290.072 |
280.119 |
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Capital work-in-progress |
47.812 |
2.925 |
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INVESTMENT |
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
169.081
|
71.678 |
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Sundry Debtors |
361.252
|
328.911 |
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Cash & Bank Balances |
7.675
|
22.721 |
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Other Current Assets |
0.000
|
0.000 |
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Loans & Advances |
157.832
|
54.821 |
|
Total
Current Assets |
695.840
|
478.131 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
18.534
|
14.113 |
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Provisions |
85.151
|
13.162 |
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Total
Current Liabilities |
103.685
|
27.275 |
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Net Current Assets |
592.155
|
450.856 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
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TOTAL |
930.039 |
733.900 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
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Sales Turnover |
1459.728 |
1050.442 |
741.887 |
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Other Income |
47.245 |
20.795 |
12.498 |
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Total Income |
1506.973 |
1071.237 |
754.385 |
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Profit/(Loss) Before Tax |
283.593 |
180.774 |
(27.024) |
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Provision for Taxation |
89.864 |
101.155 |
7.568 |
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Profit/(Loss) After Tax |
193.729 |
79.619 |
(34.592) |
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Expenditures : |
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Raw Material Consumed |
1034.437 |
662.304 |
633.842 |
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Consumption of stores and spares parts |
15.754 |
13.783 |
8.985 |
|
|
Increase/(Decrease) in Finished Goods |
(67.288) |
42.005 |
(50.632) |
|
|
Salaries, Wages, Bonus, etc. |
19.123 |
14.912 |
16.166 |
|
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Managerial Remuneration |
31.500 |
0.000 |
0.000 |
|
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Payment to Auditors |
0.100 |
0.100 |
0.027 |
|
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Interest |
33.682 |
39.731 |
40.437 |
|
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Insurance Expenses |
1.648 |
1.993 |
2.024 |
|
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Power & Fuel |
90.528 |
66.179 |
73.469 |
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Depreciation & Amortization |
17.069 |
16.565 |
16.163 |
|
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Other Expenditure |
46.827 |
32.891 |
40.928 |
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Total Expenditure |
1223.380 |
890.463 |
781.409 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
12.86
|
7.43 |
(4.59) |
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Net Profit Margin (PBT/Sales) |
(%) |
19.43
|
17.21 |
(3.64) |
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Return on Total Assets (PBT/Total Assets} |
(%) |
28.76
|
23.84 |
NA |
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Return on Investment (ROI) (PBT/Networth) |
|
1.05
|
2.37 |
NA |
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Debt Equity Ratio (Total Liability/Networth) |
|
2.65
|
8.43 |
NA |
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|
Current Ratio (Current Asset/Current Liability) |
|
6.71
|
17.53 |
NA |
LOCAL AGENCY
FURTHER INFORMATION
Form No. 8
|
Corporate
identity number of the company |
U24116AP1991PLC012314 |
|
Name of the
company |
ANDHRA ORGANICS LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
Plot No. 8, S V Co-op Industrial Estate, IDA, Jeedimetla, Hyderabad –
500 005, Andhra Pradesh, India |
|
This form is for |
Modification of
charge |
|
Type of charge |
·
Immovable
property ·
Book debts ·
Floating
charge ·
Others |
|
Particular of
charge holder |
Andhra Bank Somajiguda Branch, D No. 6-3-352/2, Astral Heights, Road No.1, Banjara
Hills, Hyderabad – 500 034, Andhra Pradesh, India |
|
Nature of
instrument creating charge |
1.
Composite
Agreement 2.
RF 289 A 3.
Counter
Guarantee Form 4.
RF 255/RF
255 B |
|
Date of
instrument Creating the charge |
24.05.2007 |
|
Amount secured by
the charge |
Rs.410.000
millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
·
Rate of
Interest OCC/PCFC/REBA/FDBP/FUBD/CUBD: BMPLR presently 13% p.a. for OCC Interest on PC/PCFC/Bills as per bank guidelines from time to time ·
Terms of
repayment Valid till 28.01.2008 as per sanction letter No.534/1/AOL/S-874 dated
12.02.2007 ·
Margin OCC: 25% on Stocks and 50% on Book Debts of less than 90 days tenor. PC/PCFC-10% on Stocks FUBD/FDBP/REBA/CUBD-NIL 10% for
ILC/FLC/BG ·
Extent and
operation of the charge a.
Primary
Security First charge on all current assets b.
Collateral
Security First charge on fixed assets of the company with WDV of Rs.283.044
millions as on 31.03.2006 ·
Others OCC/PCFC/PC/REBA/FDBP/FUBD/CUBD: Rs.350.000 millions (Sub Limit
PC/PCFC Rs.150.000 millions and CUBD Rs.10.000 millions ILC/FLC/BG: Rs.60.000 millions (Sub limit BG Rs.2.500 millions) |
|
Description of
the property charged indicating whether it is a charged on |
Immovable
properties |
|
Particulars of
the property charged |
·
Primary
Security First charge on all current assets ·
Collateral
Security First charge on fixed assets of the company with WDV of Rs.283.044
millions as on 31.03.2006 |
|
Particulars of
the present modification |
Renewal of Limits
as Follows. OCC/PCFC/PC/REBA/FDBP/FUBD/CUBD:
Rs.350.000 MILLIONS (Sub limit PC/PCFC Rs.150.000 millions and CUBD Rs.10.000
millions ILC/FLC/BG:
Rs.60.000 millions (Sub limit BG Rs.2.500 millions |
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 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.42.00 |
|
UK Pound |
1 |
Rs.82.14 |
|
Euro |
1 |
Rs.65.09 |
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 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--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 |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
66 |
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 |
|