MIRA
INFORM REPORT
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Report Date : |
23.08.2008 |
IDENTIFICATION
DETAILS
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Name : |
LINCON POLYMERS PRIVATE LIMITED |
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Registered Office : |
308, Shanti Mall, Near Satadhar Cross Road, Ghatlodia, Ahmedabad – 380
061, Gujarat |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
04.03.1996 |
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Com. Reg. No.: |
04-28973 |
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CIN No.: [Company
Identification No.] |
U17119GJ1996PTC028973 |
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IEC No.: |
0803008597 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
AHML00266A |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer of PP / HDPE Woven Fabric and Sacks |
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 123890 |
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Status : |
Good |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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Comments : |
Subject is a well established company having satisfactory track
records. Directors are reported as experienced, Respectable and resourceful
businessmen. Their trade relations are fair. Payments are usually correct and as
per commitments. The company can be considered good for normal business at usual trade
terms and conditions. |
INFORMATION PARTED
BY
|
Name : |
Mr. Bimal Sheth |
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Designation : |
Manager |
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Date : |
24.07.2008 |
LOCATIONS
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Registered Office : |
308, Shanti Mall, Near Satadhar Cross Road, Ghatlodia, Ahmedabad – 380
061, Gujarat, India |
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Tel. No.: |
91-79-27461493/27470603 |
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Mobile No.: |
91-9825005913 |
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Fax No.: |
91-79-27470812 |
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E-Mail : |
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Website : |
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Location : |
Owned |
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Factory : |
Block No. 38, Khatraj, Ta- Kalol, District – Gandhinagar, Gujarat,
India |
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Tel. No.: |
91-2764-281274 / 281424 |
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E-Mail : |
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Location : |
Owned |
DIRECTORS
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Name : |
Mr. Babubhai Kachrabhai Patel |
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Designation : |
Chairman |
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Address : |
111, Vaibhav Bunglow, Near Sun-N-Step Club, Sola Road, Ghatlodia,
Ahmedabad – 380 061, Gujarat, India |
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Date of Birth/Age : |
10.03.1953 |
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Qualification : |
Graduate |
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Date of Appointment : |
25.08.1999 |
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Name : |
Mr. Pareshbhai Babubhai Patel |
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Designation : |
Director |
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Address : |
111, Vaibhav Bunglow, Near Sun-N-Step Club, Sola Road, Ghatlodia,
Ahmedabad – 380 061, Gujarat, India |
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Date of Birth/Age : |
23.09.1976 |
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Qualification : |
Graduate |
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Date of Appointment : |
25.08.1999 |
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Name : |
Mr. Hardikbhai Dilipbhai Patel |
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Designation : |
Director |
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Address : |
49, Krishna Society, Jail Road, Mehsana (N.G.) |
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Date of Birth/Age : |
03.06.1976 |
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Date of Appointment : |
01.10.2004 |
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Name : |
Mr. Mahendra Somani |
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Designation : |
Director |
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Address : |
5, Golden Tulip Bunglows, Near Manek Baug Hall, Satellite, Ahmedabad –
380 015, Gujarat, India |
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Date of Birth/Age : |
02.10.1945 |
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Date of Ceasing : |
29.03.2008 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
As on 31.03.2007
|
Names of Shareholders |
No. of Shares |
|
Mr. Babubhai Kachrabhai Patel |
111800 |
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Mr. Pareshbhai Babubhai Patel |
83300 |
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Ms. Kamlaben Patel |
50660 |
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Mr. Vishnubhai K. Patel |
8000 |
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Mr. D I Rajput |
2000 |
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Mr. Kanubhai Patel |
9100 |
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Mr. Dasharthbhai G. Patel |
10000 |
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Mr. Behchardas Patel |
11000 |
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Mr. K D Patel |
16750 |
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Mr. S U Rami |
4000 |
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Ms. Indumatiben I Rajput |
2500 |
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Ms. Dhiruben K Patel |
7000 |
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Ms. Nikitaben L Patel |
15950 |
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Ms. Anitaben P Patel |
30000 |
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Mr. Bhaveshbhai B Patel |
15300 |
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Mr. L K Patel |
12000 |
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Ms. M K Patel |
22300 |
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Mr. J S Patel |
4000 |
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Mr. P G Patel |
2500 |
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Ravi Industries |
20000 |
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Mr. K K Patel |
1500 |
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Mr. J C Patel |
1800 |
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Mr. P M Patel |
1750 |
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Mr. S K Patel |
1600 |
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M/s We Exim |
50100 |
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Shelja Finlease Private Limited |
22000 |
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Rang Udyog Investments Private Limited Liability Company Limited |
45000 |
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Bhavna Investment Private Limited Liability Company Limited |
10000 |
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Prabhadevi Investment Private Limited |
20000 |
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Chopra Yarns Private Limited |
40000 |
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Grin BPO Services Private Limited |
14000 |
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Others/ Relatives of Directors |
5100 |
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TOTAL |
651010 |
List of Allotment as on 05.02.2007
|
Names of Allottees |
No. of Shares |
|
Shehja Finlease Private Limited |
22000 |
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Rang Udyog Investments Private Limited |
45000 |
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Bhavna Investments Private Limited |
10000 |
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Prabhavi Investment Private Limited |
20000 |
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We Exim Prop. Vijaybhai A Patel |
50000 |
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Chopra Yarns Private Limited |
40000 |
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Grin BPO Services Private Limited |
14000 |
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Total |
201000 |
Equity shares Breakup (percentage of total equity)
(As on 30.09.2007)
|
Category |
Percentage |
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Bodies corporate |
23.20 |
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Directors or relatives of Director |
76.80 |
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Total |
100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of PP / HDPE Woven Fabric and Sacks |
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Products : |
·
PP ·
HDPE Woven Bags ·
Sacks |
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Exports : |
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Products : |
·
PP ·
HDPE ·
BOPP woven bags |
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Countries : |
·
Africa ·
UK ·
Spain |
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Terms : |
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Selling : |
15 Days after delivery |
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Purchasing : |
Cash – Against Delivery |
GENERAL
INFORMATION
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Customers : |
Wholesalers |
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Bankers : |
Sola Road Branch, Ghatlodia, Ahmedabad – 380 061, Gujarat, India
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Facilities : |
CC – Rs.45.000 millions, T/L Rs.20.000 millions |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Vijaykumar Hazarilal Soni Chartered Accountants |
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Address : |
501/B, Parshwa Tower, Near Pakvan-II, S G Road, Bodakdev, Ahmedabad –
380 054, Gujarat, India |
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Tel. No. : |
91-79-268729938/ 26870940 |
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Fax No. : |
91-79-26872553 |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
700000 |
Equity Shares |
Rs.10/- each |
Rs.7.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
651010 |
Equity Shares |
Rs.10/- each |
Rs.6.510
millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
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 |
6.510 |
4.500 |
4.500 |
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2] Share Application Money |
1.298 |
0.700 |
0.000 |
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3] Reserves & Surplus |
16.970 |
6.546 |
5.483 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
24.778 |
11.746 |
9.983 |
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LOAN FUNDS |
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1] Secured Loans |
60.079 |
9.885 |
6.315 |
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2] Unsecured Loans |
18.139 |
15.853 |
9.442 |
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TOTAL BORROWING |
78.218 |
25.738 |
15.757 |
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DEFERRED TAX LIABILITIES |
2.825 |
1.313 |
1.553 |
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TOTAL |
105.821 |
38.797 |
27.293 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
53.133 |
17.251 |
15.979 |
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Capital work-in-progress |
0.000 |
0.850 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
0.000 |
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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 |
14.297
|
2.646 |
5.229 |
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Sundry Debtors |
33.028
|
17.026 |
6.687 |
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Cash & Bank Balances |
0.455
|
0.179 |
0.115 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
14.729
|
5.119 |
3.608 |
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Total
Current Assets |
62.509
|
24.970 |
15.639 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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|
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Current Liabilities |
1.835
|
3.123 |
3.547 |
|
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Provisions |
8.024
|
1.151 |
0.778 |
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Total
Current Liabilities |
9.859
|
4.274 |
4.325 |
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Net Current Assets |
52.650
|
20.696 |
11.314 |
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MISCELLANEOUS EXPENSES |
0.038 |
0.000 |
0.000 |
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TOTAL |
105.821 |
38.797 |
27.293 |
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PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
194.739 |
92.035 |
42.349 |
|
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Other Income |
0.094 |
0.524 |
0.000 |
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Total Income |
194.833 |
92.559 |
42.349 |
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Profit/(Loss) Before Tax |
4.425 |
1.232 |
1.942 |
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Provision for Taxation |
2.041 |
0.169 |
0.656 |
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Profit/(Loss) After Tax |
2.834 |
1.063 |
1.286 |
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Earnings in Foreign Currency : |
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|
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Export Earnings |
17.992 |
6.942 |
NA |
|
Total Earnings |
17.992 |
6.942 |
NA |
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Expenditures : |
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Financial Charges |
4.082 |
2.284 |
1.680 |
|
|
Increase/(Decrease) in Finished Goods |
(5.772) |
0.044 |
NA |
|
|
Depreciation & Amortization |
2.874 |
1.801 |
1.443 |
|
|
Other Expenditure |
189.224 |
87.198 |
37.284 |
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Total Expenditure |
190.408 |
91.327 |
40.407 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
1.45
|
1.15 |
3.04 |
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Net Profit Margin (PBT/Sales) |
(%) |
2.27
|
1.34 |
4.59 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
3.83
|
2.92 |
6.14 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.18
|
0.10 |
0.19 |
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|
Debt Equity Ratio (Total Liability/Networth) |
|
3.55
|
2.56 |
2.01 |
|
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|
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|
|
|
Current Ratio (Current Asset/Current Liability) |
|
6.34
|
5.84 |
3.62 |
LOCAL AGENCY
FURTHER INFORMATION
The Registered address of the company has been shifted from F-2,
Aakansha Appartments, Near Sola Railway Crossing, Ghatlodia, Ahmedabad – 380 061,
Gujarat, India to the present address with the effect form 29.01.2007.
Trustseal Acceptance Chart
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Parameters |
Details |
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Existence Verification |
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Name |
LINCON POLYMERS PRIVATE LIMITED |
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Statutory Approvals |
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Income Tax Registration |
AAACL4918P |
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VAT/ TIN Registration |
24060101799 |
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Excise Registration |
AAACL4918P * N 001 |
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Import Export Code |
0803008597 |
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Name of Bank |
Punjab National Bank |
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Current Account Number |
39370008700002636 |
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Account Since |
8 Years |
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Credibility Factors |
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IndiaMART Client Since |
- |
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Years of Establishment |
1996 |
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Turn Over |
Rs.260.700 millions |
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Turn Over Year |
Rs.350.000 millions |
Trade References :
·
Reliance Industries Limited
·
Gail India Limited
·
Ambika Investment Limited – Africa, Jambia
·
Acton Investment Limited – Jambia, Africa
·
Sacayarpi Veras Valsac S.L. - Spain
Form No. 8
|
Name of the company |
LINCON POLYMERS PRIVATE LIMITED |
|
Presented By |
Mr. Babubhai K
Patel, Director |
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1) Date and description of instrument creating the change |
Agreement of
Hypothecation of Goods and Book debts dated 27.12.1999 |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.3.500 millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Hypothecation of
Entire stock of Raw Material, Stock in Process, finished good and spares and
Book Debts of the company. |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
In consideration
of Punjab National Bank, Shahibuag Branch, Ahmedabad having agreed to advance
said facility to the Company of Rs.3.500 millions under Cash Credit
hypothecation of stock it was agreed inter alia as below: ·
Rate of
Interest : 3.75% over PLR plus interest Tax with minimum 15.75% plus interest
tax P.A. ·
Margin : Stock : 35% Book-Debts : 50% ·
Amount
repayable on demand ·
Sub-limit of
Rs.1.500 millions for Book-Debts |
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5) Name and Address and description of the person entitled to the charge. |
Punjab National Bank Sola Road Branch, Ghatlodia, Ahmedabad – 380 061, Gujarat, India |
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6) Date and brief description of instrument modifying the charge |
Supplemental Deed
of Hypothecation dated 14.09.2004. |
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7) Particulars of modifications specifying the terms and conditions or the extent of operations of the charge in which modification is made and the details of the modification. |
The amount
secured by charge has increase by Rs.4.000 millions to make total amount
secured by charge to Rs.10.000 millions on the following conditions :- ·
Sub-limit of
Rs.4.800 millions against Book-Debts ·
Sub-limit of
Rs.2.000 millions for export packing credit/FOBBP/FOBNLL ·
Margin: Stock : 25% Book-Debts : 40% |
|
Corporate
identity number of the company |
U17119GJ1996PTC028973 |
|
Name of the
company |
LINCON POLYMERS PRIVATE LIMITED |
|
Address of the
registered office or of the principal place of business in India of the company |
308, Shanti Mall, Near Satadhar Cross Road, Ghatlodia, Ahmedabad – 380
061, Gujarat, India |
|
This form is for |
Modification of
charge |
|
Type of charge |
·
Book Debts ·
Movable
property (not being pledge) ·
Others |
|
Particular of
charge holder |
Punjab National Bank Sola Road Branch, Ghatlodia, Ahmedabad – 380 061, Gujarat, India |
|
Nature of
instrument creating charge |
Hypothecation Agreement
dated 26.02.2008 |
|
Date of
instrument Creating the charge |
26.02.2008 |
|
Amount secured by
the charge |
Rs.45.000
millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
·
Rate of
interest Rate of interest for CC (Hypo.) of Stocks and Book Debts will be
BPLR+1% -2% i.e. 12% p.a. presently and for Sub-lomit of PC/FBP/FBD of
(Rs.20.000 millions) will be BPLR – 3.25% p.a. at present. ·
Terms of
repayment Repayable period will be 12 months ·
Margin Margin for CC (Hypo.) Stock-25%, for Sub-limit of CC (Hypo.) Book
Debts-40% and for PC/FBP/FBD-15%. ·
Extent and
operation of the charge Exclusive first of Punjab National Bank, Sola Road Branch, Ahmedabad. |
|
Particulars of
the property charged |
The whole of the
Borrower’s stocks both present and future inc., all present and future
Book-debts ana ll tangible movable machinery and plant of the Borrower’s
together with spares, tool and accessories and other movables both present
and future all situated at the Borrower’s premises and godowns at Block
No.21/1, Village Khatraj, Tal. Kalol, Dist. Gandhinagar. |
|
Particulars of
the present modification |
The charge of
Fund based limit of CC (Hypo.) of Rs.31.000 millions is enhanced to Rs.45.000
millions with Sub-Limit against Book Debts of Rs.17.500 millions (Enhanced
from Rs.15.000 millions), PC/FBP/FBD of Rs.20.000 millions and ILC/FLC
(DA/DP) of Rs.3.000 millions. Aggregate maximum limits of charge is Rs.45.000
millions. |
Web Details :
Subject
is a renowned manufacturer dealing with packaging materials like PP / HDPE
Woven Fabrics And Sacks.
They
are among the larger units for manufacturing of the circular woven PP / HDPE
sacks and fabrics both laminated and unlaminated. The PP / HDPE woven sacks /
bags manufactured by them are most suitable for packing products like
fertilizers, cement, sand, food grains, sugar, animal feed, fish meal, pulses,
spices, agro products, minerals, resin, polymers, rubber etc. Their all products
are moderate in price, superior in quality and skillful in workmanship.
They
offer PP / HDPE circular bags, sacks, sacos, bolsas ranging from 35 cms to 120
cms in width and of any length and weight as per clients' requirement. The
products may be unlaminated, single or double fold bottom stitched with yarn
like rayon, PP yarn or cotton yarn, printed in one or three colour as per
customers logo on one side or both UV stabilised for open storage protection.
The bags or sacks may be laminated with polythene or with one ply craft paper,
have sewn valve type closing mouth or may have sandwitch laminations.
The
company is with a main object of setting up a manufacturing unit for woven
sacks , with installation of latest Machinery and adopted advance Technology.
Within a decade its group turnover is 40 crores approximately.
They
are also involved in direct export apart from domestic market. Their export
department is fully tuned to handle all the requirements of speciality bags and
fabrics both laminated and unlaminated. The most outstanding virtue we have is
the capability to guarantee timely deliveries without compromising on the
quality.
Infrastructure
Plant
Company
has set up its plant at khatraj near Ahmedabad and given employment to more than
100 person with the production capacity of 5000 mt per year. They are having 2
Tape line plant of 75mm and 90mm, 50 nos High Speed Looms, 75mm 2 Lamination
Plant and 65mm Liner Plant having capacity of 5.000 millions bag per month. The
market for the product is established and they have good existing network of
the customers.
The company will procure the raw material from open market which is easily and freely available.
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.43.38 |
|
UK Pound |
1 |
Rs.81.34 |
|
Euro |
1 |
Rs.64.55 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
TOTAL |
|
54 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING
EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
NR |
In view of the lack of information, we have no basis upon which to
recommend credit dealings |
No Rating |
|