MIRA
INFORM REPORT
|
Report Date : |
15.12.2008 |
IDENTIFICATION
DETAILS
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Name : |
RENTWORKS INDIA PRIVATE LIMITED |
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Registered Office : |
Unit No. 5-C, Laxmi Towers, 5th Floor, Wing C, Plot No. C –
25, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra |
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Country : |
India |
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Financials (as on) : |
31.03.2008 |
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Date of Incorporation : |
27.02.2001 |
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Com. Reg. No.: |
11-131029 |
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CIN No.: [Company
Identification No.] |
U71230mh2001ptc131029 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
MUMR10500A |
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PAN No.: [Permanent
Account No.] |
AABCR8889C |
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Legal Form : |
Private Limited Liability Company
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Line of Business : |
Subject is engaged in the business of renting out or letting on hire
of all kinds of Equipments, Appliance Apparatus and Gadgets. |
RATING &
COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Unfavourable & favourable factors carry similar weight in credit
consideration. Capability to overcome financial difficulties seems
comparatively below average. |
Small |
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Maximum Credit Limit : |
USD 300000 |
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Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having moderate track. Company’s
profitability is under secure pressure. It has some accumulated losses. Payments
are reported as slow. The company can be considered for small business with slight caution
initially. |
LOCATIONS
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Registered Office : |
Unit No. 5-C, Laxmi Towers, 5th Floor, Wing C, Plot No. C –
25, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra |
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Tel. No.: |
91-22-56950595 / 66950595 / 67616400 |
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Mobile No.: |
91-9821222088 |
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Fax No.: |
91-22-56950590 / 66950590 |
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E-Mail : |
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Website : |
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Corporate Office
: |
Sandoz house, n 4th Floor, Dr Annie Besant Road Worli Mumbai;400018,
Maharashtra, India |
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Tel. No.: |
91-22-56950595 |
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Fax No.: |
91-22-56950590 |
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Website : |
DIRECTORS
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Name : |
Mr. Robert Warwick Medway |
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Designation : |
Director |
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Address : |
37-39 Annam Road, Bayview NSW 2104, Australia |
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Date of Birth/Age : |
20.05.1967 |
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Date of Appointment : |
27.02.2001 |
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E-Mail: |
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Name : |
Mr. Glenn Keith Goodall |
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Designation : |
Director |
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Address : |
10 the Greenway, Terrey Hills, Sydney, Australia. |
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Date of Birth/Age : |
14.05.1962 |
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Date of Appointment : |
27.02.2001 |
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Name : |
Mr. Alan Van Niekerk |
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Designation : |
Director |
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Address : |
102, Centennial Ave, Lane Cove, NSW 2006, Australia |
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Date of Birth/Age : |
08.11.1954 |
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Date of Appointment : |
27.02.2001 |
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Name : |
Mr. John Alan Kinghorn |
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Designation : |
Director |
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Address : |
41, Carrington Avenue Mosman, New South Wales – 2088, Australia |
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Date of Birth/Age : |
03.06.1941 |
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Date of Appointment : |
06.08.2008 (Regularized At The AGM Held on 09.08.2008) |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Rentworks Mauritius Limited |
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459024 |
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Financial Consulting Associates, Mauritius Jointly with Rentworks
Mauritius Limited |
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1 |
AS ON 30.09.2008
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Equity Share
Breakup |
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Percentage of
Holding |
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Category |
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Foreign holdings [Foreign institutional investors, Foreign Companies, Foreign Financial Institutions, Non-resident Indian or Overseas corporate bodies or others] |
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100.00 |
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Total
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Subject is engaged in the business of renting out or letting on hire
of all kinds of Equipments, Appliance Apparatus and Gadgets. |
GENERAL
INFORMATION
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Customers : |
In South Africa, some of our blue chip clients include:
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Bankers : |
Axis Bank
Limited, Nariman Point Branch, Atlanta, Ground Floor, Nariman Point, Mumbai,
Maharashtra, India |
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Financial Institutions : |
L and T Finance
Limited, L and T House, Ballard Estate, Mumbai - 400 001, Maharashtra |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Deloitte Haskins and Sells Chartered Accountants |
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Address : |
12, Dr. Annie Besant Road, Opposite Shiv Sagar Industrial Estate,
Worli, Mumbai - 400018, Maharashtra, India |
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Tel. No.: |
91-22-66679000 |
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Fax No.: |
91-22-66679025 |
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Holding Company : |
Rentworks Mauritius Limited |
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Associates/Subsidiaries : |
Nil |
CAPITAL STRUCTURE
AS ON 30.09.2008
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
500000 |
Equity Shares |
Rs. 10/- Each |
Rs. 5.000 millions |
Issued, Subscribed
& Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
459025 |
Equity Shares |
Rs. 10/- Each |
Rs. 4.590 millions |
Notes:
The entire share capital is held by Rentworks
Mauritius Limited, the holding company
FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
4.590 |
4.590 |
4.590 |
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2] Share Application Money |
0.000 |
0.000 |
0.000 |
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3] Reserves & Surplus |
43.219 |
10.739 |
0.000 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
47.809 |
15.329 |
4.590 |
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LOAN FUNDS |
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1] Secured Loans |
0.000 |
0.000 |
0.000 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
0.000 |
0.000 |
0.000 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
47.809 |
15.329 |
4.590 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
3.449 |
3.585 |
3.635 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
0.000 |
0.000 |
30.000 |
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DEFERREX TAX ASSETS |
15.607 |
32.388 |
11.808 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
0.000
|
0.000 |
0.000 |
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Sundry Debtors |
192.734
|
96.683 |
43.914 |
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Cash & Bank Balances |
988.639
|
260.634 |
208.516 |
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Other Current Assets |
0.000
|
0.000 |
0.000 |
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Loans & Advances |
90.780
|
65.862 |
35.743 |
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Total
Current Assets |
1272.153
|
423.179 |
288.173 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
1703.903
|
728.692 |
521.976 |
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Provisions |
91.388
|
1.129 |
11.854 |
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Total
Current Liabilities |
1795.291
|
729.821 |
533.830 |
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Net Current Assets |
[523.138]
|
[306.642] |
[245.657] |
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Profit & Loss a/C |
0.000 |
0.000 |
43.610 |
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MISCELLANEOUS EXPENSES |
551.891 |
285.998 |
161.194 |
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TOTAL |
47.809 |
15.329 |
4.590 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2008 |
31.03.2007 |
31.03.2006 |
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Sales Turnover |
NA |
236.961 |
157.282 |
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Other Income |
NA |
0.000 |
0.000 |
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Total Income |
NA |
236.961 |
157.282 |
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Profit/(Loss) Before Tax |
NA |
88.531 |
57.073 |
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Provision for Taxation |
NA |
34.182 |
21.145 |
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Profit/(Loss) After Tax |
NA |
54.349 |
35.928 |
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Import Value |
317.259 |
414.889 |
Na |
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Expenditures : |
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Depreciation & Amortization |
NA |
2.159 |
1.792 |
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Other Expenditure |
NA |
146.271 |
98.417 |
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Total Expenditure |
NA |
148.430 |
100.209 |
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KEY RATIOS
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PARTICULARS |
|
31.03.2008 |
31.03.2007 |
31.03.2006 |
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PAT / Total Income |
(%) |
NA |
22.93 |
22.84 |
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Net Profit Margin (PBT/Sales) |
(%) |
NA
|
37.36 |
36.29 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
NA
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19.28 |
0.17 |
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Return on Investment (ROI) (PBT/Networth) |
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NA
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5.78 |
12.43 |
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Debt Equity Ratio (Total Liability/Networth) |
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37.55
|
47.61 |
116.30 |
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Current Ratio (Current Asset/Current Liability) |
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0.71
|
0.58 |
0.54 |
LOCAL AGENCY
FURTHER INFORMATION
Operations:
The company is engaged in business of acquiring and dealing in the
residuary interest in assets that are the subject of leasing transactions.
During the year, the total Income from Operations was Rs. 236.961 millions as
against Rs. 157.282 millions in the previous year. The net profit of the
company was Rs. 54.349 millions as against Rs. 35.928 millions. The company was
able to generate profits and better margin due to increase in income from
Leasing mainly attributable to the timing and composition of the assets that
have matured during the year vis-a-vis prior year.
During the year, the earnings in foreign exchange was Nil (previous year
Rs. 3.773 millions). The foreign exchange expended during the year was Rs.
414.889 millions against Rs. 343.491 recorded last year.
Fixed assets:
· Leasehold Improvements
· Office Equipments
· Computers
· Furniture and Fixtures
· Software
FORM 8:-
|
Corporate
identity number of the company |
U71230mh2001ptc131029 |
|
Name of the
company |
RENTWORKS INDIA
PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
Unit No. 5-C, Laxmi Towers, 5th Floor, Wing C, Plot No. C –
25, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra |
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This form is for |
Creation of
charge |
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Type of charge |
Others |
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Particular of
charge holder |
L and T Finance
Limited, L and T House, Ballard Estate, Mumbai- 400 001, Maharashtra, India E-Mail: mca21@lifinance.com |
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Nature of
instrument creating charge |
Deed of
hypothecation of goods – 0002/TLO/03191 |
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Date of
instrument Creating the charge |
22.11.2008 |
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Amount secured by
the charge |
Rs. 19.145
millions |
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Brief of the principal
terms an conditions and extent and operation of the charge |
Rate of interest
: 14.00% per annum Terms of
repayment: 55 months Extent and
Operation of the charge: Exclusive and First
charge by way of hypothecation as per clause Nos. 1, 2, 7, 11, 14 and 24 of
the deed of hypothecation dated 22.11.2008 |
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Short particulars
of the property charged (Including location of the property) |
As per assets
annexure 1 to deed of hypothecation Assets type :
desktops, servers, SCSI Card, Laptops, Wireless Cards and Passive Material
Assets description, Quantity and location : as per the asset annexure
covering assets with the Renter : HCL Infosystems Limited. |
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Corporate identity
number of the company |
U99999MH2001PTC131029 |
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Name of the
company |
RENTWORKS INDIA
PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
5th
Floor, C-Wing, Laxmi Towers, Bandra Towers, Bandra Kurla Complex,
Mumbai-400051 |
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This form is for |
Creation of
Charge |
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Type of charge |
Hypothecation |
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Particular of
charge holder |
Axis Bank Limited Nariman Point Branch,
Atlanta, Ground Floor, Nariman Point, Mumbai, Maharashtra, India |
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Nature of
instrument creating charge |
Deed of
Hypothecation |
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Date of
instrument Creating the charge |
03.03.2006 |
|
Amount secured by
the charge |
Rs.50.000
Millions |
|
Brief of the
principal terms an conditions and extent and operation of the charge |
The company has
agreed to function as the Servicing and Security Agent for and on behalf of
UTI Bank to enforce the Underlying Security on behalf of UTI Bank, on the
instructions given by UTI Bank, in case of any event of default. |
|
Description of
the property charged |
Furniture and
Fixture, Plant and Machinery and Others |
|
Particulars of
the property charged |
Hypothecation of all
present and future interest, title and ownership resting with the company
over equipment renter by the render viz. M/s. National Commodity Derivatives
and Exchange Limited. from the company and financed by UTI Bank i.e, the
receivable whereof has been purchased by UTI Bank viz. Desktops, Laptops, Fax
machine, EPABX, Furniture etc. a detailed list, whereof shall be furnished
from time to time, stored or brought into or upon the factory, godowns of
Renter of company or in transit, more Particularly described in scheduled I
to the Deed of Hypothecation. |
WEBSTE DETAILS:-
Company Overview
Subject was established in Australia in
1988 and due to the international success of providing rental solutions an office
was opened in Johannesburg in 1998 called RentWorks Africa (Pty) Limited (“RentWorks”). Today subject has offices in
Johannesburg, Cape Town and Durban from which it conducts business in all of
the South African provinces.
In 2003 a controlling share of subject was
purchased by the Shanduka Group, a black owned and managed investment holding
company, chaired by Cyril Ramaphosa. This successful partnership proudly
positioned Subject as a fully black empowered entity and an empowerment equity
leader in the South African ICT rental market.
In 2007 the Shanduka Group sold its
control to the FirstRand Group whilst maintaining a significant interest in the
company thereby enabling Subject to remain empowered whilst giving the company
access to the FirstRand Group’s customer base and resources.
The company shareholding is:
·
FirstRand Group 65.0%
·
Shanduka Group 25.1%
·
Management 9.9%
The successful company business model has remained the same despite the changes
in ownership and the company remains committed to its business partners in
striving for further success in the rental market.
Subject currently rents over R2 billion
worth of assets which includes information, communication and
telecommunications equipment, medical equipment, yellow metal equipment and PC
networks for schools and small businesses .
Clients:
Subject client base ranges from major
banking and blue chip corporations, to health and education authorities,
federal and regional government departments, small businesses and other public
sector agencies. Their client list is a testimony to their success and covers a
range of market sectors:
·
Banking, finance and insurance
·
Education
·
General commercial
·
Government and regulatory bodies
·
Health, medical and pharmaceutical
·
Hospitality, gaming and entertainment
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IT and telecommunications
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Mining, construction and energy
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Motor, transport and distribution
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Professional services
·
Retail
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 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--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 |
|
30 |
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 |
|