MIRA
INFORM REPORT
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Report Date : |
23.02.2008 |
IDENTIFICATION
DETAILS
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Name : |
SPARSH BIO-TECH PRIVATE LIMITED |
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Registered Office : |
Plot No.1, Survey No.242/243/244, Village Lakhabavad, Post Khodiyar Colony,
District Jamnagar – 361006, Gujarat |
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Country : |
India |
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Financials (as on) : |
31.03.2006 |
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Date of Incorporation : |
30.03.2001 |
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Com. Reg. No.: |
04-039373 |
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CIN No.: [Company
Identification No.] |
U24231GJ2001PTC039373 |
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TAN No.: [Tax
Deduction & Collection Account No.] |
RKTS02395B |
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PAN No.: [Permanent
Account No.] |
AAFCS5556F |
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Legal Form : |
Private Limited Liability Company |
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Line of Business : |
Manufacturers and Exporters of Pharmaceuticals, Capsules and Tablets |
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 114900 |
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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 old and established company having moderate track. Trade
relations are fair. It has some accumulated losses. However, in view of the improving
profitability, the losses are expected to be wiped-off soon. Payments are
reported as slow but correct. The company can be considered for small to mediocre business dealings
at usual trade terms and conditions. |
LOCATIONS
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Registered Office/ Plant: |
Plot No.1, Survey No.242/243/244, Village Lakhabavad, Post Khodiyar
Colony, District Jamnagar – 361006, Gujarat, India |
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Tel. No.: |
91-288-2889032/2889033/34 |
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Fax No.: |
91-288-2889036 |
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E-Mail : |
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Website : |
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Factory : |
501, Jay Tower, Hirji Mistry Road, Jamnagar – 361005, Gujarat, India |
DIRECTORS
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Name : |
Mr. Premchand N Maru |
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Designation : |
Director |
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Address : |
5, Oswal Colony, Summair Club Road, Jamnagar – 361005, Gujarat, India |
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Date of Appointment : |
04.10.2004 |
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Name : |
Mr. Dr. Ashok J Maru |
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Designation : |
Director |
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Address : |
1st Floor, 2- Crystal, Gulmohar X Road No.5, Lane Opp. Irla
Masjid, J V P D Scheme, Mumbai – 400049, Maharashtra, India |
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Date of Birth/Age : |
29.08.1953 |
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Date of Appointment : |
30.03.2001 |
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Email : |
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Name : |
Mr. Rasik H Shah |
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Designation : |
Director |
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Address : |
Bukota Housing Estate, Block A1, Bukoto Kampala, Uganda, Africa |
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Date of Birth/Age : |
10.01.1962 |
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Date of Appointment : |
03.11.2001 |
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Email : |
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Name : |
Mr. Sundeep Premchand Maru |
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Designation : |
Director |
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Address : |
“Poonam” 5, Oswal Colony, Jamnagar – 361005, Gujarat, India |
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Date of Birth/Age : |
15.05.1974 |
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Date of Appointment : |
01.04.2003 |
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Date of Ceasing : |
10.03.2005 |
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Email : |
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Name : |
Mr. Juthalal Paras Maru |
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Designation : |
Director |
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Address : |
501, Jay Tower, Oswal Colony, Jamnagar – 361005, Gujarat, India |
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Date of Birth/Age : |
28.02.1961 |
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Date of Appointment : |
01.04.2003 |
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Email : |
MAJOR SHAREHOLDERS
/ SHAREHOLDING PATTERN
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Names of Shareholders |
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No. of Shares |
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Mr. Premchand N Maru |
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201000 |
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Mr. Dr. Ashok J Maru |
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620000 |
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Mr. Rasik H Shah |
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405000 |
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Mrs. Pragna Rasik Shah |
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385000 |
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Mr. Juthalal Paras Maru |
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319000 |
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Mr. Ashok Sushant Maru |
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15000 |
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Mr. Jatin Premchand Maru |
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89000 |
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Mr. Premchand Sundeep Maru |
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78000 |
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Mr. Muktaben Premchand Maru |
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119000 |
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Mrs. Rupali S. Maru |
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36500 |
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Mrs. Rakhi J Maru |
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42000 |
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Total |
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2309500 |
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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 : |
Manufacturers and Exporters of Pharmaceuticals, Capsules and Tablets |
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Products : |
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Exports : |
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Countries : |
East Africa Countries |
GENERAL
INFORMATION
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Bankers : |
Oriental Bank of Commerce |
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Banking
Relations : |
Satisfactory |
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Auditors : |
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Name : |
Sarda and Sarda Chartered Accountant |
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Address : |
Sarda House, Bedi Bunder Road, Opp. Panchavati Society, Jamnagar –
361002, Gujarat, India |
CAPITAL STRUCTURE
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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2950000 |
Equity Share |
Rs.10/- each |
Rs.29.500 Millions |
|
50000 |
Preference Share |
Rs.10/- each |
Rs.0.500 Million |
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Total |
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Rs.30.000
Millions |
Issued, Subscribed & Paid-up Capital :
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No. of Shares |
Type |
Value |
Amount |
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2309500 |
Equity Share |
Rs.10/- each |
Rs.23.095
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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1] Share Capital |
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23.095 |
23.095 |
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2] Share Application Money |
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8.699 |
6.517 |
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3] Reserves & Surplus |
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0.000 |
0.000 |
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4] (Accumulated Losses) |
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(3.069) |
(4.150) |
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NETWORTH |
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28.725 |
25.462 |
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LOAN FUNDS |
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1] Secured Loans |
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27.310 |
35.278 |
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2] Unsecured Loans |
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17.653 |
13.760 |
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TOTAL BORROWING |
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44.963 |
49.038 |
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DEFERRED TAX LIABILITIES |
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0.000 |
0.000 |
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TOTAL |
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73.688 |
74.500 |
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APPLICATION OF FUNDS |
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FIXED ASSETS [Net Block] |
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48.299 |
48.619 |
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Capital work-in-progress |
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0.000 |
0.000 |
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INVESTMENT |
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0.000 |
0.000 |
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DEFERREX TAX ASSETS |
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0.000 |
0.000 |
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CURRENT ASSETS, LOANS & ADVANCES |
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Inventories |
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14.252 |
17.999 |
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Sundry Debtors |
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16.237 |
28.193 |
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Cash & Bank Balances |
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7.630 |
6.253 |
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Other Current Assets |
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1.963 |
1.071 |
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Loans & Advances |
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1.217 |
0.309 |
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Total
Current Assets |
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41.299 |
53.825 |
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Less : CURRENT
LIABILITIES & PROVISIONS |
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Current Liabilities |
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16.465 |
28.776 |
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Provisions |
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0.000 |
0.000 |
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Total
Current Liabilities |
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16.465 |
28.776 |
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Net Current Assets |
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24.834 |
25.049 |
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MISCELLANEOUS EXPENSES |
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0.555 |
0.832 |
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TOTAL |
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73.688 |
74.500 |
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PROFIT & LOSS
ACCOUNT
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PARTICULARS |
|
31.03.2006 |
31.03.2005 |
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Sales Turnover |
|
79.752 |
52.402 |
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Other Income |
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0.000 |
0.000 |
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Total Income |
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79.752 |
52.402 |
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Profit/(Loss) Before Tax |
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1.105 |
(2.256) |
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Provision for Taxation |
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0.024 |
0.000 |
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Profit/(Loss) After Tax |
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1.081 |
(2.256) |
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Export Value |
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42.919 |
39.314 |
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Import Value |
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6.736 |
14.401 |
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Expenditures : |
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Financial Charges |
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3.138 |
3.379 |
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Depreciation & Amortization |
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2.503 |
2.347 |
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Other Expenditure |
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73.006 |
48.932 |
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Total Expenditure |
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78.647 |
54.658 |
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KEY RATIOS
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PARTICULARS |
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31.03.2006 |
31.03.2005 |
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PAT / Total Income |
(%) |
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1.35 |
(4.30) |
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Net Profit Margin (PBT/Sales) |
(%) |
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1.38 |
(4.30) |
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Return on Total Assets (PBT/Total Assets} |
(%) |
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1.23 |
(2.20) |
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Return on Investment (ROI) (PBT/Networth) |
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0.04 |
(0.09) |
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Debt Equity Ratio (Total Liability/Networth) |
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2.14 |
3.06 |
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Current Ratio (Current Asset/Current Liability) |
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2.51 |
1.87 |
LOCAL AGENCY
FURTHER INFORMATION
Form 8:
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Name of the company |
SPARSH BIO-TECH PRIVATE LIMITED |
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Presented By |
Mr. Premchand N.
Maru, Director |
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1) Date and description of instrument creating the change |
17th
December, 2002 Agreement of Term
Loan for Immovable Property |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.6.304 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 |
Create equitable
mortgage of Plot No.1, Survey No.242/243/244 at Lakhabavad, District
Jamnagar, Guajarat, India |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of Interest
2% above PLR Currently 13% Margin 25% and
15% |
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5) Name and Address and description of the person entitled to the charge. |
Oriental Bank of
Commerce Reg. Office.-
E-Block, Harsha Bhawan, Connaught Place, New Delhi – 110001, Branch Office:
Jamnagar, Gujarat, India |
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6) Date and brief description of instrument modifying the charge |
Memorandum of
Entry Dated 17.02.2005 |
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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. |
Additional charge
against following facilities limits: Rs. In Millions
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Name of the company |
SPARSH BIO-TECH PRIVATE LIMITED |
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Presented By |
Mr. Premchand N.
Maru, Director |
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1) Date and description of instrument creating the change |
17th
December, 2002 Agreement of
Hypothecation of assets |
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2) Amount secured by the charge/amount owing on the securities of charge |
Rs.12.500
Millions |
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3) Short particular of the property charged. If the property acquired is subject to charge, date of the acquired of the property should be given |
Hypothecation of
stock of raw material, semi finished and finished goods of pharmaceuticals
products. Consumables,
Stores and Spares and Packing Materials and Receivables, Documents of Title
of Goods Hypothecation of
Plant and Machinery |
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4) Gist of the terms and conditions and extent and operation of the charge. |
Rate of Interest
2% above PLR Currently 13% Margin 25% and
15% |
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5) Name and Address and description of the person entitled to the charge. |
Oriental Bank of
Commerce Reg. Office.- E-Block,
Harsha Bhawan, Connaught Place, New Delhi – 110001, Branch Office: Jamnagar,
Gujarat, India |
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6) Date and brief description of instrument modifying the charge |
Supplemetal
Agreement to secure credit/loans facilities (DOC-13) amounting to Rs.84.500
Dated 17th February, 2005 |
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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. |
charge against
following facilities limits: Rs. In Millions
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Website Details:
This Plant is dedicated B-Lactum facility manufacturing only
Penicillin Anti-Biotic. B-lactum Facility is certified by WHO-GMP (Food and
Drug Control Administration Gujart State, Gandhinagar, India it is well
designed with unidirectional flow of the material movement as well as the
personnel movement. It is having a separate Air handling system to avoid the
cross contamination and to achieve the desired environmental conditions for
penicillin group of products. The store area is about 8410 sq. ft. The processing area and store area of B-lactum Unit
is in the ratio of 40:60.
All critical processing areas in B-lactum Unit like dry
mixing, Tablet Compression, Capsule filling, sealing, polishing, blister
packing, strip packing, bulk capsule filling where the product is exposed to
atmosphere are designed for class 100000 condition. Ancillary areas such as
quarantine, passages I, II, III, and IV have 3-micron filters and passage V
have 5-micron air filtration.
Quality:
The Laboratory is fully equipped for Chemical, Analytical and
Microbiological Testing by High skilled technical persons in Pharmacy and
Analytical field.
The Q.C. laboratory has the following sections:
- Chemical
testing section, which comprises of the various chemicals and reagents
required for chemical testing.
- Instrument
room consisting of the various sophisticated instruments such as
H.P.L.C, Spectrophotometer, Karl isher apparatus, polarimeter,
disintegration and dissolution test apparatus etc. Microbiological
section which s well equipped with laminar airflow benches,
autoclave, colony counter, incubator and various biological cultures.
- Records and
Documentation Room
- Retention
sample room
- Library
- Stability
testing room
- Packing
material testing room
- G.M.P
Training Room.
The following activities in concern with the production are
carried out at the quality control laboratory.
- Raw and Packing material analysis
- In process analysis
- Finished product analysis
- Cleaning and calibration of instrument
- Stability studies of finished products
- Microbiological testing.
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.39.98 |
|
UK Pound |
1 |
Rs.78.57 |
|
Euro |
1 |
Rs.59.20 |
SCORE & RATING
EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
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--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
|
34 |
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 |
|