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MIRA
INFORM REPORT
|
Report Date : |
04.02.2008 |
IDENTIFICATION
DETAILS
|
Name : |
POS – HYUNDAI STEEL MANUFACTURING (INDIA) PRIVATE LIMITED |
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Registered Office : |
F-70, Sipcot Industrial Park, Irungattukottai, NH-4, Bangalore Highway,
Sriperrumbudur, Kanchipuram – 602105, Tamilnadu |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
10.09.1997 |
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Com. Reg. No.: |
18-38990 |
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CIN No.: [Company
Identification No.] |
U28999TN1997PTC038990 |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
To Carry on the business of Steet Sheet Fabrication and Manufacture of
Steel Components and parts in primary, semi finished and finished forms for
automobile, capital goods, and other industries. |
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 1463796 |
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Status : |
Good |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Satisfactory |
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Comments : |
Subject is a part of Korean multinational giant. Available information
indicates high financial responsibility of the company. Their trade relation
are fair. Financial position is satisfactory. Payment are usually correct and
as per commitments. Nothing adverse reported. The company can be considered
good for any normal business dealings. It can be required as a promising business partner in a medium to
long-run. |
LOCATIONS
|
Registered Office/ Factory : |
F-70, Sipcot Industrial Park, Irungattukottai, NH-4, Bangalore
Highway, Sriperrumbudur, Kanchipuram – 602105, Tamilnadu, India |
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Tel. No.: |
91-44-27156057/61//2235605/22356059/22356060 |
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Fax No.: |
91-44-27156458 |
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E-Mail : |
DIRECTORS
|
Name : |
Mr. Sang Moo Doh |
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Designation : |
Director |
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Address : |
1021-50, Sadang Dong Dongiak Ku South Korea, Seoul – 110021, Korea |
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Date of Appointment : |
05.07.2001 |
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Name : |
Mr. E. W. Chung |
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Designation : |
Chairman |
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Address : |
A-9/20, Vasanth Vihar, New Delhi – 110057, India |
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Name : |
Mr. Park Myung Woo |
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Designation : |
Managing Director |
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Address : |
2B, Cambrae Hall, 72 Victoria Crescent Road, Egmore, Chennai |
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Date of Appointment : |
03.10.1997 |
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Name : |
Mr. Jung Keun Suh |
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Designation : |
Director |
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Address : |
C-3/4, 1st Floor, Vasanth Vihar, New Delhi – 110057, India |
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Date of Appointment : |
05.03.2004 |
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Name : |
Mr. Hong IL Rock |
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Designation : |
Director |
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Address : |
987, Dong-San-Dong, Myeon-Kunyi-Gun, Kyung-sang Buk-Do, Korea |
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Date of Appointment : |
22.06.1998 |
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Date of Ceasing |
05.07.2001 |
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Name : |
Mr. Park Kil Ho |
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Designation : |
Director |
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Address : |
Woo Sung, Apartment 207/506, Pyungchon, Anyang, Korea |
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Date of Appointment : |
03.10.1997 |
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Date of Ceasing |
25.04.1999 |
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Name : |
Mr. Yun Sun Kang |
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Designation : |
Director |
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Address : |
Dangsan-dong 5Ka Sang-A Apartment, 2/1203 Seoul, Korea |
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Date of Appointment : |
18.03.2004 |
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Name : |
Mr. Dug Ho Kim |
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Designation : |
Director |
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Address : |
Rani Meyyamai Towers, Block 1, C Type 8th Floor, Chennai -
600028 |
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Date of Appointment : |
22.11.2004 |
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Name : |
Mr. Bang Yeong Sig |
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Designation : |
Director |
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Address : |
G2, 102 Chowon Villa, Myeonmak Dong Dungnang Gu Seoul – 110021, Korea |
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Date of Birth : |
21.11.1963 |
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Date of Appointment : |
12.06.2006 |
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Name : |
Mr. I G Dong |
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Designation : |
General Manager and Director |
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Address : |
1A, The South Gate, 17 Kasturi Rangan Road, Alwarpet, Chennai - 600018 |
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Date of Appointment : |
03.10.1997 |
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Date of Ceasing |
30.01.2000 |
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Name : |
Mr. S. Raghunathan |
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Designation : |
Director |
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Address : |
8/2, Gangadhara Mudaly Stree, Nungambakkam, Chennai -600034 |
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Date of Appointment : |
10.09.1998 |
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Date of Ceasing |
03.10.1997 |
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Name : |
Mr. Sridhar Subbaram |
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Designation : |
Director |
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Address : |
17, Temple Glade, 41D, Beach Road, Kalashetra, Chennai - 600090 |
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Date of Appointment : |
10.09.1998 |
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Date of Ceasing |
03.10.1997 |
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Name : |
Mr. JE Woong Kim |
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Designation : |
Director |
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Address : |
Dangsan-dong 5Ka Sang-A Apartment, 2/1203 Seoul, Korea |
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Date of Appointment : |
25.04.1999 |
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Date of Ceasing |
04.08.2000 |
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Name : |
Young Sok Kwon |
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Designation : |
Managing Director |
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Address : |
2B, Cambrae Hall, 72 Victoria Crescent Road, Egmore, Chennai |
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Date of Appointment : |
25.01.2000 |
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Date of Ceasing |
22.11.2004 |
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Name : |
Mr. Jun Yang Jeung |
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Designation : |
Director |
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Address : |
Hanshin Apartment, 15/505, Banpo-Dong, Seocho Kill Seoul korea |
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Date of Appointment : |
04.08.2000 |
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Date of Ceasing |
17.03.2004 |
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Name : |
Mr. Ki Hong Kim |
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Designation : |
Chairman |
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Address : |
C ľ, 1st Floor, Vasant Vihar, New Delhi - 110057 |
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Date of Appointment : |
30.04.2001 |
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Date of Ceasing |
17.01.21003 |
KEY EXECUTIVES
|
Name : |
Mr. Mr. R K Senthil Vel |
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Designation : |
Finance and Company Secretary |
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Address : |
15/4, Rangarajapuram, 3rd Street, Srinagar Colony,
Saidapet, Chennai - 15 |
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Date of Appointment : |
01.06.2001 |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
|
Names of Shareholders |
|
No. of Shares |
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|
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Hyundai Corporation |
|
16536204 |
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POSCO |
|
23445558 |
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Posco Steel Sales and Services Limited |
|
4573838 |
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Category |
|
Percentage |
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Foreign Holdings (FIIs, FCs, FFIs, NRIs, OCB or Others) |
|
100.000 |
BUSINESS DETAILS
|
Line of Business : |
To Carry on the business of Steet Sheet Fabrication and Manufacture of
Steel Components and parts in primary, semi finished and finished forms for
automobile, capital goods, and other industries. |
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Products : |
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GENERAL
INFORMATION
|
No. of Employees : |
1000 |
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Bankers : |
Large Advances
Branch, Irungattukottai – 602105, Tamilnadu |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
S. Viswanathan Chartered Accountant |
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Address : |
17 Old No.8A, Bishop Wallers Avenue (West), Mylapore – 600004,
Tamilnadu, India |
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Associates/Subsidiaries : |
Hyundai Motor India Limited |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
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|
|
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|
24000000 |
Equity Share |
Rs.10/- each |
Rs.240.000 Millions |
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
23455600 |
Equity Share |
Rs.10/- each |
Rs.234.556
Millions |
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FINANCIAL DATA
[all figures are in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2006 |
31.03.2005 |
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|
SHAREHOLDERS FUNDS |
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|
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1] Share Capital |
|
234.556 |
234.556 |
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2] Share Application Money |
|
0.000 |
0.000 |
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3] Reserves & Surplus |
|
131.393 |
71.320 |
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4] (Accumulated Losses) |
|
0.000 |
0.000 |
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NETWORTH |
|
365.949 |
305.876 |
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|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
0.000 |
16.931 |
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2] Unsecured Loans |
|
30.187 |
23.456 |
|
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TOTAL BORROWING |
|
30.187 |
40.387 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
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|
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TOTAL |
|
396.136 |
346.263 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
|
244.517 |
263.021 |
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Capital work-in-progress |
|
6.898 |
0.000 |
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INVESTMENT |
|
0.000 |
0.000 |
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DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
|
34.809 |
181.686 |
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Sundry Debtors |
|
140.929 |
213.573 |
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Cash & Bank Balances |
|
173.219 |
89.913 |
|
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Other Current Assets |
|
0.000 |
0.000 |
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Loans & Advances |
|
46.568 |
46.238 |
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Total
Current Assets |
|
395.525 |
531.410 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Current Liabilities |
|
250.804 |
448.168 |
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|
Provisions |
|
0.000 |
0.000 |
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Total
Current Liabilities |
|
250.804 |
448.168 |
|
|
Net Current Assets |
|
144.721 |
83.242 |
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MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
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TOTAL |
|
396.136 |
346.263 |
|
PROFIT & LOSS
ACCOUNT
|
PARTICULARS |
|
31.03.2006 |
31.03.2005 |
|
|
Sales Turnover |
|
2932.915 |
2402.460 |
|
|
Other Income |
|
12.831 |
32.533 |
|
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Total Income |
|
2945.746 |
2434.993 |
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|
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|
Profit/(Loss) Before Tax |
|
95.234 |
108.940 |
|
|
Provision for Taxation |
|
35.161 |
8.543 |
|
|
Profit/(Loss) After Tax |
|
60.073 |
100.397 |
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Export Value |
|
N.A. |
N.A. |
|
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|
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Import Value |
|
2536.287 |
2041.816 |
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Expenditures : |
|
|
|
|
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|
Financial Charges |
|
3.405 |
3.986 |
|
|
Depreciation & Amortization |
|
19.345 |
18.104 |
|
|
Other Expenditure |
|
2827.762 |
2303.963 |
|
Total Expenditure |
|
2850.512 |
2326.053 |
|
KEY RATIOS
|
PARTICULARS |
|
|
31.03.2006 |
31.03.2005 |
|
PAT / Total Income |
(%) |
|
2.04 |
4.12 |
|
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|
Net Profit Margin (PBT/Sales) |
(%) |
|
3.25 |
4.53 |
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|
Return on Total Assets (PBT/Total Assets} |
(%) |
|
14.88 |
13.71 |
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|
Return on Investment (ROI) (PBT/Networth) |
|
|
0.26 |
0.36 |
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|
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|
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|
Debt Equity Ratio (Total Liability/Networth) |
|
|
0.77 |
1.60 |
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|
Current Ratio (Current Asset/Current Liability) |
|
|
1.58 |
1.18 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8 :
|
Name of the company |
POS – HYUNDAI STEEL MANUFACTURING (INDIA) PRIVATE LIMITED |
|
Presented By |
Y S Kwon,
Managing Director |
|
1) Date and description of instrument creating the change |
Dated 28.07.1999
Letter of Hypothecation. |
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2) Amount secured by the charge/amount owing on the securities of charge |
Cash Credit Rs.28.000 Millions WC Demand
Loan Rs.112.000 Millions Total Rs.140.000 Millions |
|
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 |
Cash Credit
against Stocks and Receivables Working Capital
Demand Loan against Stocks and Receivables. |
|
4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of Interest @14.79% p.a. |
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5) Name and Address and description of the person entitled to the charge. |
Indian Overseas
Bank Large Advances Branch,
Irungattukottai – 602105, Tamilnadu |
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6) Date and brief description of instrument modifying the charge |
09.07.2003 Letter of
Hypothecation Securing Machineries/ Vehicles/ Goods/ Book debts |
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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. |
Enhancement of
Cash Credit against stocks and receivables from Rs.60.000 Millions to
Rs.80.000 Millions and Fresh L/C/ LG Rs.220.000 Millions The total limits
as of now are as follows : CC Rs.80.000
Millions LC/LG Rs.220.000 Millions Total Rs.300.000 Millions |
Website details:
Subject was established under the
joint-venture of Hyundai Corporation, Pohang Iron and Steel Company (POSCO) and
POSTEEL, POSCO’s system company with the mission of supplying Indian customers
with high quality steel products from POSCO in Tamilnadu State, India as a
Steel Coil Processing Center.
In the Beginning, they focused on the supply
of steel products imported from POSCO with relation to automobile to
manufacturing industry such as Hyundai Motor India Limited, though nowadays they
have been expanding their business area up to steel products for Electronics
and Kitchen Utensils, Stainless Steel Products and other Industrial Steel
products such as electrical steel.
Besides, they have established concrete
corporation relationship with Tata Iron and Steel company (TISCO) which is one
of the greatest steel making company in India, and supply various customers in
southern India with their material through Long-Term Job-Work contracts signed
between two parties.
Now, Hyundai Motor India Private Limited is
constructing another shop at the side of the existing to accomplish its
capacity expansion up to 600000 units of consumer vehicles per year, and it is
expected to be operated by second half of 2007.
According to their major customers production
expansion plan like this, they are reviewing investment plan on installation of
new lines to meet customer satisfaction as well, following factory expansion in
January, 2006.
Subject well be reborn as a company developing
itself ceaselessly for customer satisfaction and make a greatest effort to
serve customers with the highest quality and competitiveness.
CMT REPORT
(Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE
GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE
RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.39.36 |
|
UK Pound |
1 |
Rs.78.29 |
|
Euro |
1 |
Rs.58.48 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
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 |
6 |
|
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 |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
NO |
|
TOTAL |
|
55 |
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 |
|