MIRA
INFORM REPORT
|
Report Date : |
13.12.2008 |
IDENTIFICATION
DETAILS
|
Name : |
KIRAN GLOBAL CHEMS LIMITED |
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Registered Office : |
R.S.No.37,Nagore Road, T R Pattinam, Karaikal, Pondicherry – 611 002,
Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.03.2007 |
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Date of Incorporation : |
09.04.2002 |
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Com. Reg. No.: |
59-000618 |
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CIN No.: [Company
Identification No.] |
U24299PY2002PTC000618 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
CHEK06405A |
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PAN No.: [Permanent
Account No.] |
AABCK4882E |
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Legal Form : |
A Closely Held
Public Limited Liability Company |
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Line of Business : |
Manufacturing and
Exporter of Sodium Silicate, Sodium Meta Silicate, Potassium Silicate, Labsa
and Quicl Line Trading and Import
of Sodium Bicarbonate, Titanium – DI- Oxide, Sodium Tripoly Phosphate,
Paraffin Wax, Soda Ash, Epichlorohydrin, Sodium Sulphate and Citric Acid |
RATING &
COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 690000 |
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Status : |
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. Trade relations
are fair. Financial position is good. Payments are usually correct and as per
commitments. The company can be
considered good for any normal business dealings at usual trade terms and
conditions. |
LOCATIONS
|
Registered Office : |
R.S.No.37,Nagore Road, T R Pattinam, Karaikal, Pondicherry – 611 002 |
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E-Mail: |
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Corporate
Office : |
# 81, New Avadi
Road, Kilpauk, Chennai – 600010, Tamilnadu |
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Tel. No.: |
91-44-26445477/26441232/26460350/26460651 |
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Fax No.: |
91-44-26446303 |
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E-Mail : |
rufus@kiranindia.com, atul@kiranindia.com, kiranindia@kiranindia.com |
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Website.: |
DIRECTORS
|
Name : |
Mr. M S Jain |
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Designation : |
Director |
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Address : |
AH -216, 2nd ST, 8th Main Road, Shanthi Colony,
Anna Nagar, Chennai – 600 040 |
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Date of Birth/Age : |
08.05.1949 |
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Date of Appointment : |
06.02.1995 |
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Name : |
Mr. C N Rufus
Fernando |
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Designation : |
Executive
Director |
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Address : |
No.81 New Avadi Road Kilpauk, Chennai -600 040, Tamil Nadu |
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Date of Birth/Age : |
27.07.1962 |
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Date of Appointment : |
09.04.2002 |
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Name : |
Mr. K A Menon |
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Designation : |
Director |
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Address : |
No.7 Sadasivam Nagar, 1st Cross Street, Kamraj Puram,
Sellauyur, Chennai – 600 040 |
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Date of Birth/Age : |
04.05.1936 |
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Date of Appointment : |
12.04.2001 |
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Name : |
Mr. Aatul Jain |
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Designation : |
Director |
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Address : |
AH -216, 2nd ST, 8th Main Road, Shanthi Colony,
Anna Nagar, Chennai – 600 040 |
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Date of Birth/Age : |
25.08.1979 |
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Date of Appointment : |
20.07.2002 |
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Name : |
Mr. K G Prem |
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Designation : |
Director |
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Address : |
No.65, Seventy Feet Road, Jawahar Nagar, Chennai – 600 082 |
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Date of Birth/Age : |
09.02.1952 |
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Date of Appointment : |
20.06.2005 |
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Name : |
Ms. Neha Jain |
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Designation : |
Director |
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Address : |
AH -216, 2nd ST, 8th Main Road, Shanthi Colony,
Anna Nagar, Chennai – 600 040 |
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Date of Birth/Age : |
05.10.1983 |
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Date of Appointment : |
20.06.2005 |
KEY EXECUTIVES
|
Name : |
Mr. M S Jain |
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Designation : |
Chairman |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
AS ON 30.09.2007
|
Names of Shareholders |
|
No. of Shares |
|
Mr. M S Jain |
|
4180 |
|
Mr. Rahul Jain |
|
3960 |
|
M/s. Growell Business Credits Limited |
|
5300 |
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Mrs. Meghna Jain |
|
2640 |
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Mr. Chetan Jain |
|
1300 |
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Mr. Aatul Jain |
|
4180 |
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Mr. C Rufus Fernando |
|
220 |
|
Mr. Rasheed |
|
220 |
AS ON 31.03.2007
|
Sr.
No. |
Category |
Percentage |
|
1 |
Directors or relatives of Directors |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and
Exporter of Sodium Silicate, Sodium Meta Silicate, Potassium Silicate, Labsa
and Quicl Line Trading and
Import of Sodium Bicarbonate, Titanium – DI- Oxide, Sodium Tripoly Phosphate,
Paraffin Wax, Soda Ash, Epichlorohydrin, Sodium Sulphate and Citric Acid |
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|
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Products : |
Ř
Sodium
Silicate Ř
Sodium Meta
Silicate Ř
Potassium
Silicate Ř
Labsa and
Quicl Line Ř
Sodium
Bicarbonate Ř
Titanium –
DI- Oxide Ř
Sodium
Tripoly Phosphate Ř
Paraffin Wax Ř
Soda Ash Ř
Epichlorohydrin Ř
Sodium Sulphate
Ř Citric Acid |
GENERAL
INFORMATION
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No. of Employees : |
400 |
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Bankers : |
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Facilities : |
Notes Cash Credit
Facilities
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Banking
Relations : |
Unknown |
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Auditors : |
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Name : |
S P Associates Chartered
Accountants Address – 18, Krishna
Enclave, Anna Avnue, Adyar, Chennai – 600020, Tamilnadu P Sriganesh Chartered
Accountants Address: Kesavan Enclave, 18
Anna Avenue, Kasturba Nagar, Adayar, Chennai- 600 020 Tamil Nadu |
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Associates/Subsidiaries : |
NIL |
CAPITAL STRUCTURE
AS ON 31.03.2007
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
40000 |
Equity Shares |
Rs.1000/- each |
Rs.40.000 millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
22000 |
Equity Shares |
Rs.1000/-
each |
Rs.22.000
millions |
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
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1] Share Capital |
22.000 |
22.000 |
22.000 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
116.129 |
88.620 |
73.664 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
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NETWORTH |
138.129 |
110.620 |
95.664 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
179.158 |
103.608 |
112.881 |
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2] Unsecured Loans |
10.000 |
0.000 |
0.000 |
|
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TOTAL BORROWING |
189.158 |
103.608 |
112.881 |
|
|
DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
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TOTAL |
327.287 |
214.228 |
208.545 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
73.748 |
55.688 |
42.744 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
10.686 |
1.731 |
1.731 |
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DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
179.765
|
104.190
|
85.860 |
|
|
Sundry Debtors |
121.993
|
97.171
|
70.257 |
|
|
Cash & Bank Balances |
3.191
|
1.656
|
1.101 |
|
|
Other Current Assets |
38.744
|
31.514
|
11.733 |
|
|
Loans & Advances |
16.738
|
2.075
|
9.611 |
|
Total
Current Assets |
360.431
|
236.606
|
178.562 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
105.625
|
71.009
|
12.093 |
|
|
Provisions |
11.953
|
8.788
|
2.399 |
|
Total
Current Liabilities |
117.578
|
79.797
|
14.492 |
|
|
Net Current Assets |
242.853
|
156.809
|
164.070 |
|
|
|
|
|
|
|
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
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TOTAL |
327.287 |
214.228 |
208.545 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
487.868 |
388.794 |
463.937 |
|
|
Other Income |
110.584 |
12.554 |
0.605 |
|
|
Total Income |
598.452 |
401.348 |
464.542 |
|
|
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|
|
|
|
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Profit/(Loss) Before Tax |
30.003 |
22.717 |
22.677 |
|
|
Provision for Taxation |
0.000 |
0.000 |
1.953 |
|
|
Profit/(Loss) After Tax |
30.003 |
22.717 |
20.724 |
|
|
|
|
|
|
|
|
Export Turnover |
0.000 |
89.030 |
0.000 |
|
|
|
|
|
|
|
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Expenditures : |
|
|
|
|
|
|
Material Cost |
0.000 |
0.000 |
350.976 |
|
|
Manufacturing Expenses |
0.000 |
0.000 |
13.312 |
|
|
Administrative Expenses |
0.000 |
0.000 |
9.628 |
|
|
Raw Material Consumed |
517.062 |
341.284 |
0.000 |
|
|
Excise Duty Account |
0.000 |
0.000 |
56.079 |
|
|
Salaries, Wages, Bonus, etc. |
3.405 |
3.063 |
0.000 |
|
|
Managerial Remuneration |
0.850 |
0.775 |
0.000 |
|
|
Payment to Auditors |
0.027 |
0.027 |
0.000 |
|
|
Interest |
12.173 |
8.545 |
5.521 |
|
|
Insurance Expenses |
3.245 |
1.898 |
0.000 |
|
|
Power & Fuel |
0.823 |
1.465 |
0.000 |
|
|
Depreciation & Amortization |
0.000 |
8.177 |
6.349 |
|
|
Other Expenditure |
30.864 |
13.397 |
0.000 |
|
Total Expenditure |
568.449 |
378.631 |
441.865 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2007 |
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
5.01 |
4.63
|
0.42 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
6.14 |
76.59
|
4.88 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
6.91 |
7.77
|
10.16 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.21 |
0.20
|
0.23 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
2.22 |
1.65
|
1.33 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.06 |
2.96
|
12.32 |
LOCAL AGENCY
FURTHER INFORMATION
FIXED ASSETS:
- Electrical
Fittings
- Enginator
- Furniture
- Generator
- Land
- Air
conditioner
- Building(
Factory)
- Car
- Computer
- Lorries
- Office
Building
- Pager
- Plant and
Machinery
- Two Wheelers
- Weigh Bridge
- Welding
Generator
- Xerox machine
- Television
- Forklift
- Fax Machines
- Bull Machines
Mergers
The merger and amalgamations of companies, petitions were filed begore
the high courts as per the companies ACT 1956
The director also proposed to merge Chennai Silicate Private Limited
|
Name of the
company |
KIRAN PONDY CHEMS LIMITED |
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|
Presented
By |
Mr. Rufus
Fernando |
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|
1) Date and
description of instrument creating the change |
Loan cum Hypothecation
Agreement at 03.08.2005 |
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2) Amount secured
by the charge/amount owing on the securities of charge |
Rs.1.120 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 |
TATA LPT 2516 |
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4) Gist of the
terms and conditions and extent and operation of the charge. |
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5) Name and
Address and description of the person entitled to the charge. |
Centurion Bank Limited, Durga Niwas,
Mahatama Gandhi Road, Panaji, Goa - 403 115 |
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Corporation identity number
or foreign company registrations number of the company |
U24299PY2002PTC000618 |
|
Name of the company |
KIRAN PONDY
CHEMS LIMITED |
|
Address |
R.S..
No.37, Nagore Road, T R Pattinam, Karaikal, Pondicherry – 611 002, India |
|
This Form is for |
Modification of Charge |
|
Type of Charges |
|
|
Particular of the charge
holder |
State Bank of India,
Siruthozhil Branch No.2 Valluvar Kottam High Road, Nungambakkam, Chennai –
600 034, Tamil Nadu Email ID: siru6616@md5.vsnl.net.in |
|
Date of the instrument
modifying the charge |
28.02.2007 |
|
Amount Secure by the charge
|
Rs.180.000 millions |
|
Brief of the principal terms
and conditions and extent and operation of the charge |
Rate of Interest: Interest at the rate of
2.50% over SBIAR with a minimum of 14% p.a. Term of Repayment: As per Agreement Margin: Raw Material: 25% Stock in Process: 25% Finished Goods: 25% Receivables : 25% Receivables from associates concern to
be excluded for arriving at the DP Cover Period: 90 Days LC(WC) 25%: BG(WC)25%: 100% for disputed Liability Extent and operation of the
charge: As per Agreement Others: CC(Hypothecation):Rs.80.000 millions (Sub Limit are subject to overall ABF not exceeding Rs. 80.000
millions) CC(Stocks): (Rs. 40.000 millions) CC(Book Debts): (Rs.40.000 millions) EPC: (Rs. 10.000 millions) FDBN ( Non LC): ( Rs.5.000 millions) LC(WC): Rs.90.00 millions BG(WC): Rs.10.000 millions Total:Rs.180.000 millions |
|
Particulars of the present
modification |
The Various Credit Facility
enjoyed by the company now has been enhanced to Rs.180.000 millions, and
details of Property enclosed |
OTHER INFORMATION:
v Andavar Silicate Private Limited
v Solar Chemicals Private Limited
v Navodhaya Chemicals Private Limited
v United Silicate Industries Private Limited
v Nannilam Silicates Private Limited
v Kiran silicates Private Limited
v Vallabh Silicates Private Limited
The Directors confirm that the scheme of amalgamation will be filed with the
Court in accordance with the provision of the Companies Act 1956 in due
course.
Directors are also propose to merge the following companies with effect from 1.4.2005:
v Aadhithya Chemicals Private Limited
v Invincible Chemicals Private Limited
v Kiran Chemfarm Private Limited
v Devi Silicates Private Limited
v Pavun Silicates Private Limited
v Kiran Chemicals Private Limited
v Vijay Detergent Products Private Limited
v Aditya Silicates Private Limited
WEBSITES DETAILS:
Subject, has made a
humble beginning in the year 1979 manufacturing Sodium Silicate in Chennai.
Kiran Pondy Chems Limited and Pure Trading Asia Limited , the flaghsip
companies of the M S Jain Group have in a short span of time managed to reach a
turnover of USD 30 Million with 60% of the revenue coming from manufactured
goods while 40% is contributed by trading.
The first product to be manufactured was Sodium Silicate, a key ingredient in
the detergent industry. The company has thence grown from strength to strength
and today manufactures an array of products that serve the textile, paper,
construction, welding, ceramics, foundry, drilling, chemical and many more
industries.
Company adopted a policy
of focused territorial marketing, working one territory at a time, at first
indigenously and later extending globally. Presently, the company enjoys a 60%
market share in the southern part of India and exports to 6 countries in the
Middle East, South East Asia, South Africa, North Africa and Europe.
Leveraging on the
advantages of port cities, the company has managed to build an extensive logistic network with a chain of warehouses and excellent
transportation facilities. Manufacturing units have been set-up in close
proximity to end-user facilities, to make handling safer and easier besides
making it more economical to buyers. An extensive administrative infrastructure
has also been developed to serve the growing business.
Having established
themselves firmly in the manufacturing sector, the company forayed into trading
chemicals in the year 1995. The support rendered by logistics and networking
along with the goodwill and the experience gained in imports & exports of chemicals
played a significant role in the success of this venture.
Originally limiting
itself to the import of chemicals for in-house requirements, the company soon
seized the opportunities offered by favorable market conditions for imports and
trading especially in the southern part of India. Today, the company imports and trades almost 20 chemicals
in less than a decade into trading and has emerged as a key player in this
segment. It is significant to add that the M S Jain Group is the largest
importer - trader of Soda Ash in India.
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.48.71 |
|
UK Pound |
1 |
Rs.72.85 |
|
Euro |
1 |
Rs.64.70 |
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 |
NO |
|
--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 |
|