MIRA
INFORM REPORT
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Report Date : |
02.02.2008 |
IDENTIFICATION
DETAILS
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Name : |
GANJAM NAGAPPA AND SON PRIVATE LIMITED |
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Registered Office : |
No.148, Embassy Square, Infantry Road, Bangalore – 560001, Karnataka |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
19.12.1980 |
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Com. Reg. No.: |
08 – 4049 |
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CIN No.: [Company
Identification No.] |
U52393KA1980PTC004049 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturer of Jewellery. |
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 304024 |
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Status : |
Satisfactory |
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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. Business is active. Payments are reported as
usually correct and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
LOCATIONS
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Registered Office/ Factory : |
No.148, Embassy Square, Infantry Road, Bangalore – 560001, Karnataka,
India |
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Tel. No.: |
91-80-22286132 |
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Fax No.: |
91-80-22269354 |
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E-Mail : |
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Head Office : |
No.63, Palace Road, Vasanth Nagar, Bangalore – 560052, Karnataka,
India |
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Tel. No.: |
91-80-222286135/136 |
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Fax No.: |
91-80-22269354 |
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E-Mail : |
DIRECTORS
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Name : |
Mr. Ganjam Subbramaiah Eswar |
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Designation : |
Chairman Cum Managing Director |
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Address : |
No.204, Block A, I Floor, Embassy Palace, Cunningham Road, Bangalore,
India |
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Date of Birth/Age : |
24.10.1938 |
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Date of Appointment : |
19.12.1980 |
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Name : |
Mr. Ganjam Bimaji Umesh |
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Designation : |
Whole - time Director |
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Address : |
No.104, Block A, I Floor, Embassy Palace, Cunningham Road, Bangalore,
India |
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Date of Birth/Age : |
11.06.1954 |
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Date of Appointment : |
19.12.1980 |
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Name : |
Mrs. Pushpa Murthy |
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Designation : |
Director |
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Address : |
411 The Embassy Palace, 15 Ali Askar Road, Bangalore – 560052,
Karnataka, India |
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Date of Birth/Age : |
12.08.1940 |
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Date of Appointment : |
01.04.1992 |
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Name : |
Mrs. Malini Bimaji |
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Designation : |
Director |
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Address : |
84, Ganjam House, Bull Temple Road, Basavanagudi, Bangalore – 560019,
Karnataka |
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Date of Birth/Age : |
21.09.1935 |
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Date of Appointment : |
19.12.1994 |
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Name : |
Mrs. Uma Ganjam |
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Designation : |
Director |
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Address : |
303, Green Hall, Residency, Cunningham Road, Bangalore – 560052,
Karnataka |
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Date of Birth/Age : |
16.06.1942 |
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Date of Appointment : |
19.12.1980 |
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Name : |
Mr. Kumar Eswar Ganjam |
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Designation : |
Director |
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Address : |
No.204, Block A, I Floor, Embassy Palace, Cunningham Road, Bangalore,
India |
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Date of Birth/Age : |
23.04.1977 |
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Date of Appointment : |
30.09.2000 |
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Name : |
Mr. G. B. Koushik |
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Designation : |
Director |
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Address : |
No.104, Block A, I Floor, Embassy Palace, Cunningham Road, Bangalore,
India |
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Date of Birth/Age : |
15.07.1961 |
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Date of Appointment : |
14.11.1994 |
KEY EXECUTIVES
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Name : |
Mr. Dinesh S. Shastri |
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Designation : |
Company Secretary |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. G. S. Eswar |
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4051 |
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Mrs. Usha Eswar |
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4841 |
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Mr. Kumar E. Gunjam |
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6295 |
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Mr. G. B. Umesh |
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2475 |
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Mrs. Reshma Umesh |
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1349 |
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Mr. G. U. Dushyanth |
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1349 |
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Mr. G. B. Koushik |
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3149 |
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Mrs. Radhika Koushik |
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2024 |
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Mrs. Malini Bimaji |
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4842 |
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Mrs. Pushpa Murthy |
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1 |
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Mrs. Uma Ganjam |
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1 |
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Electronic Ralays India Private Limited |
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4191 |
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Total |
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34568 |
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Category |
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Percentage |
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Directors or relatives of directors |
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100.00 |
BUSINESS DETAILS
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Line of Business : |
Manufacturer of Jewellery. |
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Products : |
Jewellery |
GENERAL
INFORMATION
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Suppliers : |
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Bankers : |
52/60, M G Road,
Mumbai – 400001, Maharashtra, India
Chamber of Commerce
Building, Kempegowda Road, Bangalore – 560009, Karnataka, India
Bangalore Branch,
CITI Centre, No.28, Church Street, Bangalore – 560001.
52/60, Mahatma
Gandhi Road, Fort, Mumbai – 400001, Maharashtra, India |
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Facilities : |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
V. K. Srinivasa Rao Chartered Accountant |
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Address : |
No.361, 1st Floor, 7th Cross, Jayanagar, 1st
Block, Bangalore – 560011, Karnataka, India |
CAPITAL STRUCTURE
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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100000 |
Equity Share |
Rs.1000/- each |
Rs.100.000 Millions |
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Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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34568 |
Equity Share |
Rs.1000/-
each |
Rs.34.568
Millions |
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FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
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SOURCES OF FUNDS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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SHAREHOLDERS FUNDS |
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1] Share Capital |
34.568 |
34.568 |
42.161 |
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2] Share Application Money |
11.975 |
11.975 |
0.000 |
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3] Reserves & Surplus |
29.463 |
20.510 |
12.346 |
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4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
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NETWORTH |
76.006 |
67.053 |
54.507 |
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LOAN FUNDS |
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1] Secured Loans |
182.797 |
69.301 |
61.367 |
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2] Unsecured Loans |
0.000 |
0.000 |
0.000 |
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TOTAL BORROWING |
182.797 |
69.301 |
61.367 |
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DEFERRED TAX LIABILITIES |
0.000 |
0.000 |
0.000 |
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TOTAL |
258.803 |
136.354 |
115.874 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
35.125 |
23.149 |
25.707 |
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Capital work-in-progress |
0.000 |
0.000 |
0.000 |
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INVESTMENT |
1.395 |
0.675 |
0.557 |
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DEFERREX TAX ASSETS |
0.959 |
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
339.018 |
202.134 |
157.609 |
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Sundry Debtors |
1.498 |
3.590 |
1.600 |
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Cash & Bank Balances |
4.888 |
2.682 |
2.433 |
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Other Current Assets |
0.000 |
0.000 |
0.000 |
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Loans & Advances |
28.215 |
19.446 |
9.632 |
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Total
Current Assets |
373.619 |
227.852 |
171.274 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
143.489 |
110.212 |
81.664 |
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Provisions |
8.806 |
5.110 |
0.000 |
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Total
Current Liabilities |
152.295 |
115.322 |
81.664 |
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Net Current Assets |
221.324 |
112.530 |
89.610 |
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MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
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TOTAL |
258.803 |
136.354 |
115.874 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
31.03.2006 |
31.03.2005 |
31.03.2004 |
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Sales Turnover |
651.368 |
496.758 |
348.207 |
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Other Income |
1.436 |
0.000 |
4.043 |
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Total Income |
652.804 |
496.758 |
352.250 |
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Profit/(Loss) Before Tax |
17.730 |
13.273 |
9.373 |
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Provision for Taxation |
8.778 |
5.109 |
6.378 |
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Profit/(Loss) After Tax |
8.952 |
8.164 |
2.995 |
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Export Value |
N.A. |
N.A. |
N.A. |
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Import Value |
N.A. |
N.A. |
N.A. |
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Expenditures : |
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Cost of Goods Sold |
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|
269.316 |
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Administrative Expenses |
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|
39.134 |
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Selling and Distribution expenses |
635.074 |
483.485 |
24.190 |
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Financial Charges |
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|
10.236 |
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Other Expenses |
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|
0.000 |
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Total Expenditure |
635.074 |
483.485 |
342.876 |
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KEY RATIOS
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
31.03.2004 |
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PAT / Total Income |
(%) |
1.37 |
1.64 |
0.85 |
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Net Profit Margin (PBT/Sales) |
(%) |
2.72 |
2.67 |
2.69 |
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Return on Total Assets (PBT/Total Assets} |
(%) |
4.34 |
5.29 |
4.76 |
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Return on Investment (ROI) (PBT/Networth) |
|
0.23 |
0.20 |
0.17 |
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Debt Equity Ratio (Total Liability/Networth) |
|
4.41 |
2.75 |
2.62 |
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Current Ratio (Current Asset/Current Liability) |
|
2.45 |
1.97 |
2.10 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8:
|
Corporate
identity number of the company |
U52393KA1980PTC004049 |
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Name of the
company |
GANJAM NAGAPPA AND SON PRIVATE LIMITED |
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Address of the
registered office or of the principal place of business in India of the company |
No.148, Embassy Square, Infantry Road, Bangalore – 560001, Karnataka,
India |
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This form is for |
Modification of Charge |
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Type of charge |
Book Debts Floating Charge |
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Particular of
charge holder |
ING Vysya Bank
Limited Chamber of
Commerce Building, Kempegowda Road, Bangalore – 560009, Karnataka, India |
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Nature of
instrument creating charge |
Supplemental
General Hypothecation Agreement Facility Agreement General Counter
Guarantee Agreement |
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Date of
instrument Creating the charge |
14.03.2007 |
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Amount secured by
the charge |
Rs.215.000
Millions |
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Brief of the
principal terms an conditions and extent and operation of the charge |
Rate of Interest
: ODSIT/BD: IVRR –
3% p.a. Import LC
(Commission) :As per bank norms BG (Commission) :2% for performance BG and 3%
for financial BG Terms of
Repayment : ODSIT/BD: On
Demand TL: No charge in
the repayment terms Margin : ODSIT/BD: 25% on
stock and Book debts Import/ Inland
Letter of Credit (DP/DA – 120 days) : 10% in term deposit BG: 10% in term
deposit Extent and operation
of the charge : ODSIT/BD: First
charge on of stocks and book debts of the company both present and future. Import/ Inland
Letter of Credit (DP/DA – 120 days) : First charge on goods received under LC
and documents covering title to goods till payment. |
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Short particulars
of the property charged (including location of the property) |
Stocks and Book
debts of the company both present and future stores at (1)
No.148
Embassy Squire, Infantry Road, Bangalore (2)
No. 10, Leela
Galliria, Hotel Leela Palace, Airport Road, Bangalore (3)
No.63/64,
Palace Road, Bangalore (4)
Taj Mahal
Palace and Tower, Mumbai or elsewhere. |
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Particular of the
present modification |
The ODSIT/BD Limit
has been enhanced from Rs.125.000 Millions to Ra.160.000 Millions. Thus the
overall limit stands enhanced from Rs.195.000 Millions to Rs.215.000
Millions. (ODSIT/BD:
Rs.160.000 Millions, Import/Inland LC: Rs.20.000 Millions, BG: Rs.10.000
Millions, TL: Rs.25.000 Millions). |
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Name of the company |
GANJAM NAGAPPA AND SON PRIVATE LIMITED |
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Presented By |
Abu Dhabi
Commercial Bank Limited Bangalore Branch,
CITI Centre, No.28, Church Street, Bangalore – 560001. |
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1) Date and description of instrument creating the change |
25.08.1997
(Registered Document .99/16.09.1997)
(Both documents
relate to single charge) |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.20.000
Millions (STL : Rs10.000
Millions; OCC : Rs.10.000 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
stocks consisting of gold ornaments, diamonds, precious stones etc. All fixed
assets consisting of civil works and interiors, plant and machineries, as
detailed in the schedule to the short term loan agreement. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Interest and
Margin as applicable from time to time Repayable on
demand |
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5) Name and Address and description of the person entitled to the charge. |
Abu Dhabi Commercial
Bank Limited Bangalore Branch,
CITI Centre, No.28, Church Street, Bangalore – 560001. |
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6) Date and brief description of instrument modifying the charge |
08.11.2003
(Both documents
relate to single modification of charge) |
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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. |
Total limit enhanced
from Rs.77.000 Millions to Rs.79.496 Millions (CC Hypothecation
:Rs.10.000 Millions, WCDL Hypothecation : Rs.40.000 Millions, TL 1: Rs.7.500
Millions, TL 2: Rs.11.000 Millions, TL 3: Rs.3.500 Millions Adhoc CC:
Rs.5.000 Millions and BG: Rs.2.496 Millions) All other
existing terms and conditions to continue and extent of eg. Mortgage on
Company immovable property situated at G3A/ G3B Embassy Square No.148,
Infantry Road, Bangalore – 560001, also to continue. |
|
Name of the company |
GANJAM NAGAPPA AND SON PRIVATE LIMITED |
|
Presented By |
HSBC Bank 52/60, M G Road,
Mumbai - 400001 |
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1) Date and description of instrument creating the change |
Agreement of
Hypothecation dated 21.11.2005, for creation of charge over stocks and also present
and future book debts. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.50.000
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 |
All the Company’s
Master / Visa Credit/ Debit Card Receivables. |
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4) Gist of the terms and conditions and extent and operation of the charge. |
In consideration
of Overdraft/Inland trade bill discounting and import facility or any other
banking facilities sanctioned to be sanctioned by the Bank to the company,
the company has hypothecated and charged to the Bank way of first charge as a
continuance security, the assets mentioned in Item No.3 above to secure the
repayment of the advances together with interest cost and all other charges.
Interest at the rate of Hongkong Bank Prime Lending Rate currently 9% per
annum shall be payable by the company on the banking facilities as per bank
tariff, subject however that the bank shall have the right to charge the rate
of interest after giving notice to the company. The company shall maintain
such margin as may be specified by the Bank from time to time. In case the
company fails to fulfill its obligations under the agreement, the bank shall
be entitled to take possession of the hypothecation properties and sell them
by public auction or private contract and utilize the proceeds in full or
part settlement of its claims. |
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5) Name and Address and description of the person entitled to the charge. |
The Hongkong and
Shanghai Banking Corporation Limited 52/60, Mahatma
Gandhi Road, Fort, Mumbai – 400001, Maharashtra, India |
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6) Date and brief description of instrument modifying the charge |
N.A. |
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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. |
N.A. |
Fixed Assets:
- Building
- Plant and Machinery
- Security
Systems
- Telephone
Systems
- UPS Systems
- Weighing
Balances
- Wireless
Transmitters
- Office
Equipment
- Jewellery
Trays
- Generators
- Electrical
Fittings
- Air
Conditioning
- Ventilation
Systems
- Computer
Vehicles
- Furniture and
Fixture
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.39.60 |
|
UK Pound |
1 |
Rs.78.29 |
|
Euro |
1 |
Rs.58.48 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
45 |
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 |
|